In New Zealand, the Public Works Act 1981 gives powers to the Crown and Local Government to compulsorily acquire land for public works.
The Resource Management Act allows network utility operators that provide essential service to the public that includes electricity distribution, roads, water supply, drainage and sewerage to also compulsorily acquire land.
Persons who have a freehold or lessee's interest in the confiscated land are entitled to compensation.
We feel the anguish of the landlord and motel lessee having to endure the process of quantifying the loss of land taken away by force. This must be a frustrating and harrowing experience.
By SALLY KIDSON
nelsonmail.co.nz
25 October 2008
A Richmond motel owner says he is not being offered financial compensation for the negative effect he thinks major changes to the highway at the front of his motel will have on his business. Kerry Mitchell said about 55sq m of land had been taken from the front of his property, Oxford Court Motels, under the Public Works Act.
The New Zealand Transport Agency, formerly Transit New Zealand, has taken the land so it can upgrade Gladstone Rd, which forms part of State Highway 6.
As part of the upgrade, and a ring road system the Tasman District Council wants to introduce in Richmond, traffic lights will be installed at Oxford St.
A resource consent hearing for the work is set down for next Wednesday. Mr Mitchell has lodged a submission opposing the application, on the grounds that he has not been compensated fairly and that the transport agency has not considered other alternatives.
Mr Mitchell said he had been offered the minimum land value for the strip of land that was taken by the NZTA, but had not received it, as he had refused to sign the agreement with the agency. He was more upset that he had not been offered any financial contribution for the "injurious effect" the road changes would have on his business.
"They (NZTA) can do what they like. It's time someone around the country stood up to them."
He said the effect of having flashing lights and increased noise pollution would make his motel less attractive to customers.
The proposal was already having an effect on his business, as the people who leased the motel from him had refused to go through a rent review, which meant he was losing potential income, he said. "The reason they don't want to pay more rent is they say they are going to lose occupancy."
He had had two meetings with the NZTA and representatives from the council, and was angry that the council had not fought his case more. "All I'm asking is for the council to stand up for their ratepayers. "I feel that the public should know what the council is all about, that they don't support the ratepayers."
In a report for the resource consent, Tasman District Council land use consents coordinator Jack Andrew describes the work as a necessary and appropriate way to allow the transport agency to make the planned improvements to the intersection.
The report says roading development is an integral part of the transport infrastructure of the district, and some land must always be surrendered to roads in developing urban areas such as Richmond. The report says the issue of compensation is outside the Resource Management Act.
NZTA regional manager Graham Taylor said it was inappropriate for the agency to comment during the judicial process.
Tasman Mayor Richard Kempthorne said it wasn't a council issue, and that he and other council staff had tried to help liaise between Mr Mitchell and the agency.
http://www.stuff.co.nz/nelsonmail/4739541a6510.html
