Circling back.

As you may have read in the previous post, a jury found that the Lower Colorado River Authority diminished my client's property value by $787,500.00 when it placed a high voltage electric transmission line across it (in a 7-acre easement).

But, how did we get to that point -- where a jury had to decide?

Condemnation/eminent domain matters fall under Chapter 21 of the Texas Property Code.  When an entity with the power of eminent domain (which includes most common carriers of electric power) decides to acquire an easement from a private property owner there are several things it must do (keep in mind that we're not talking about the Public Utility Commission process here -- we're assuming that is already complete).  One of those steps is to make the landowner an offer of compensation.  There is a common misconception about eminent domain.  They can't just "take" your land -- at least not without paying for it.  In fact, the question of liability (whether compensation is owed) is not even in dispute at all.  They know they owe something.  Disputes often arise as to how much that is.  If the landowner and the entity cannot agree on compensation, the power company files suit and, ultimately, a trial may be held on the issue.

So, the LCRA (or some other entity) makes the landowner an offer.  In the above case, that amount was $307,000.00.  But how did they arrive at that number?  They hired an appraiser to tell them.  The appraiser's figure consisted of several components -- but the most important two for this discussion are: 1) the amount of money the actual easement area was worth; and, 2) the amount that the rest of the property was diminished in value because of the easement.

Now, very early in this blog's history I spoke of a Constitutional requirement that just compensation be paid but that sometime entities discharged their obligation to "pay" it without doing so at all.  I'll not lump the LCRA in with those.  The LCRA has, in my experience, hired appraisers that say that the overall property value (not just the easement) is diminished by powerlines.  Their appraisers may not say they hurt property as much as landowners think they do -- but at least they are conceding that a huge transmission line and associated structures (see the pictures at the top of the page) diminishes overall value to some degree.

Some companies (Oncor Electric for one) hires appraisers that say they don't!  I'm not kidding.  See the pictures above again.  So the Constitution says they have to pay just compensation.  And so they hire experts who tell them that they owe almost nothing.

Seriously?

Yes.

How do they get away with this?  Well, that's how the process works (you can thank your legislature for giving these companies the power of eminent domain).  The wind energy producers have to pay annual royalties to persons with windmills on their land.  But not the transmission companies.  They make a one-time purchase of the rights to scar your land forever.  And they (in large part) try to do it for the least amount of money possible.  They pick and choose who they hire as consultants -- and fire the ones that don't tell them what they want to hear.  And it's sad because the vast majority of people take their offers. They can afford to fight with people who choose to because they buy so much land so very cheaply.

Fortunately, for the ones who do choose to fight, the power companies don't get the last word.

Traveling for the next several days.  Happy weekend to you.