Transcript Document
1845 to 2010 Compulsory Purchase = the taking of a person or company’s land by compulsion Compensation = the monetary recompense (usually!) that person or company receives for its interest in the land and for the disruption caused to its affairs Some differences in law and legal systems The English system Terms and jargon – 19th Century roots Compulsory Purchase, Compensation, Blight, Material Detriment, Severance and Injurious Affection, Betterment, Disturbance Dispute Resolution – Lands Tribunal Combination of general and specific Acts of Parliament Government level (Federal level) = an Act of Parliament County/local authority level – (State level) = a Compulsory Purchase Order Transport – roads, railways and airports Planning – regeneration and housing Energy – electricity, gas and oil Government facilities – education, defence No compulsory purchase without a “compelling case in the public interest” Burden of establishing this lies with the acquiring authority CPO powers are an important tool for local authorities and other public bodies to use as a means of assembling the land needed to help deliver social and economic change Used properly they can contribute towards effective and efficient urban and rural regeneration Bodies possessing compulsory purchase powers are therefore encouraged to consider using them pro-actively wherever appropriate to ensure real gains are brought to residents and the business community without delay The confirming minister must Take a balanced view between the intentions of the acquiring authority and the affected landowner Be satisfied that the acquiring authority has made out a compelling case that justifies the taking of another’s land Be satisfied that what the acquiring authority intends to do with the land once acquired WILL be done within a reasonable timescale Acquiring authorities should always seek to acquire by negotiation - CPO a last resort – but use ‘in parallel’ is encouraged Provide full information about the scheme, CPO process and timetable They can make a CPO and negotiate simultaneously A CPO is ‘made’ – but at this stage it has no force A Public Inquiry is held – an independent Inspector examines the justification for the CPO and the basis of objections to it The Inspector reports and makes a recommendation to the appropriate central government Minister of State The Minister confirms or modifies the Order – but the Minister can also reject it The CPO is ‘confirmed’ – at this stage it has force 2008 - Infrastructure Planning Commission Fast track process12 – 18 months for obtaining Planning and CPO LHR T5 - 19 years proposal to opening – 4 year Public Inquiry 1995 to 1999 Nuclear Power, Wind Farms, Railways, Roads, Waste etc National Policy Statements/Developemnt Consent Orders Curtailed Public Inquiry The Channel Tunnel Rail Link – High Speed One Highbury – Arsenal FC The 2012 Olympic Games Crossrail High Speed Two The UK had some ambivalence about being ‘joined’ to France but…. The Channel Tunnel opened in 1994 – high speed rail links to Paris opened at the same time The next stage was to connect to London Acquisition process for HS1 started in 1995 Powers obtained in 1996 62 miles tunnel portal to St Pancras London A Private Finance Initiative – Public Private Partnership Financing difficulties in 1997 delayed start and project split into section 1 (Channel Tunnel to North Kent) and section 2 (North Kent to Central London) Section 1 completed 2003 Section 2 completed 2007 Line also used for fast commuter trains but as yet no freight $10bn – on sale for $2.5bn Farmers! Tunnels Statutory Undertakers Finishing the job CPO powers sought for what objectors to the scheme claimed was the use of compulsory purchase powers to assist the development aspirations of a private company Major 500 acre+ regeneration site East London $12bn cost (4x original estimate) 52 electricity towers removed – tunnel Huge remediation CPO implemented in 2007 - $1.5bn cost of acquisitions 800+ businesses displaced Linked to HS1 – javelin trains (Japanese) 7 minute journey time St Pancras to Stratford Problems with relocating ‘bad neighbour’ users Wrong time in property cycle Planning issues Compensation costs circa $1.5bn The implementation of an old idea -- a fast rail link crossing London from East to West 1836 – Robert Stevenson scheme 1991 – ‘East-West’ scheme 2005 – Crossrail Bill 2008 - Acquisition of land begins Crossrail Act 2008 Funding - $20+ bn Private/GLA/Government with a business rates levy Very high value property ‘Wrong’ time in the cycle Hugely disruptive work sites in central London Interaction with Olympics Completion 2017?? London to Birmingham – stage 1 Then (perhaps) Birmingham to Manchester – Leeds – Glasgow and Edinburgh $50bn Very early stages - completion 2035 Blight issues – hardship schemes - huge opposition from wealthy residential areas - The Chilterns UK used to rely on North Sea Now vulnerable to winter shortages Need for massive increase in storage capacity Saltfleetby CPO 2009 750 interests Connection to gas grid •Market value/willing parties/no scheme world •Valuation date •Equivalent reinstatement •Comparables v development appraisal/residual Land Compensation Act 1961 6 statutory ‘Rules’ set out in the Act to govern the principles to be applied 2 specific valuation ‘Rules’ Rule 2 ‘The value of land shall, subject as hereinafter provided, be taken to be the amount which the land if sold in the open market by a willing seller might be expected to realise’ Rule 5 ‘Where land is, and but for the compulsory acquisition would continue to be, devoted to a purpose of such a nature that there is no general demand or market for land for that purpose, the compensation may, if the Lands Tribunal is satisfied that reinstatement in some other place is bona fide intended, be assessed on the basis of the reasonable cost of equivalent reinstatement’ Statutory referral to Lands Tribunal (Upper Tribunal – Lands Chamber) – Court of Appeal – Supreme Court Alternative Dispute Resolution – Mediation Early Neutral Evaluation Fees and costs Planning Assumptions Advance Payments Compensation when no land is taken Loss Payments 1901 : Zanzibar – Railway construction Secretary of State for Foreign Affairs –v- Charlesworth 1914 – Canada – Hydro-electric power Cedar Rapids Co –v- Lacoste 1917 – Canada - Hydro-electric power Fraser –v- Fraserville City 1939 – India – Harbour construction Vyricherla Narayana Gajapatiraju –v- Revenue Divisional Officer Vizigapatam 1947 -Trinidad : Naval base construction Pointe Gourde Quarrying & Transport Co Ltd –vSub-Intendent Crown Lands 1979 – Australia – Shopping centre Melwood Units Otd –v- Main Road Commissioner 1995 – Hong Kong – New town Director of Buildings and Land –v- Shun Fung Ironworks Ltd 2002 – Wales – Replacement wildlife ‘wetlands’ Waters –v- Welsh Development Authority Population densities people per square mile Japan– 873 UK – 659 USA – 82 Canada – 9 Different countries, different challenges but common experiences and issues!