LRB-2592/1
PG:wlj:pg
2005 - 2006 LEGISLATURE
September 9, 2005 - Introduced by Representatives Suder, Wood, M. Williams,
Moulton, Musser, Petrowski, Gronemus, Gunderson, Hines, Kerkman,
Ainsworth, Freese and
McCormick, cosponsored by Senators Zien, Brown
and Reynolds. Referred to Committee on Property Rights and Land
Management.
AB656,1,2
1An Act to amend 32.09 (1m); and
to create 32.09 (1m) (b) of the statutes;
2relating to: determining fair market value of property taken by condemnation.
Analysis by the Legislative Reference Bureau
Under current law, a property owner whose property is taken for a public
purpose is entitled to the fair market value of the property taken. In determining
fair market value, evidence of the income of a business is not admissible if there is
evidence of the sale of comparable property. See Leathem Smith Lodge, Inc. v. State,
94 Wis. 2d 406 (1980).
This bill permits provides that an appraisal of property based on the income
approach may be considered even if there is evidence of the sale of comparable
property.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB656, s. 1
3Section
1. 32.09 (1m) of the statutes is amended to read:
AB656,2,64
32.09
(1m) As a basis for determining value, a commission in condemnation
5or a court may consider the price and other terms and circumstances of any good faith
1sale or contract to sell and purchase comparable property. A sale or contract is
2comparable within the meaning of this
subsection
paragraph if it was made within
3a reasonable time before or after the date of evaluation and the property is
4sufficiently similar in the relevant market, with respect to situation, usability,
5improvements and other characteristics, to warrant a reasonable belief that it is
6comparable to the property being valued.
AB656, s. 2
7Section
2. 32.09 (1m) (b) of the statutes is created to read:
AB656,2,108
32.09
(1m) (b) As a basis for determining value, a commission in condemnation
9or a court may consider an appraisal based on the income approach even if there is
10evidence of the sale of comparable property.
AB656,2,1412
(1) This act first applies to actions for the determination of fair market value
13commenced on or after January 1, 2005, that are pending on the effective date of this
14subsection.
