Interstate Trust Building Co. v. Denver Urban Renewal Authority

473 P.2d 978, 172 Colo. 427, 1970 Colo. LEXIS 607
Supreme Court of Colorado·Decided August 31, 1970·No. 24771·Published·Cited by 11 cases

Opinion

Mr. Chief Justice McWilliams

delivered the opinion of the Court.

*429 This is an original proceeding wherein the Interstate Trust Building Company, a Colorado corporation, is the petitioner. It will hereinafter be referred to as Interstate. The named respondents in this original proceeding are the Denver Urban Renewal Authority, a body corporate and politic; the District Court in and for the City and County of Denver; and the Honorable Hugh Arnold, a district judge of the Eighth Judicial District assigned to sit in the Second Judicial District.

The Denver Urban Renewal Authority, hereinafter referred to as DURA, filed with the trial court a petition in condemnation wherein it sought to take by eminent domain certain property owned by Interstate. In its petition DURA asked that there be a determination of the compensation to be paid the owner and that upon payment of such sum that it be adjudged the owner in fee simple of the subject property. In the trial court, Interstate, as respondent in the eminent domain proceeding, filed its answer to the aforesaid petition in condemnation. The issues framed by the petition for condemnation and the answer thereto are now awaiting trial.

In the meantime DURA filed a motion asking for immediate possession of the property sought to be condemned, to which Interstate filed that which is denominated as a “Traverse of Motion for Immediate Possession.” Hearing was then held on DURA’s motion for immediate possession, at the conclusion of which the trial court granted the motion and ordered that DURA be given possession of the subject property on June 1, 1970, conditioned upon deposit with the trial court by DURA of the sum of $250,000 for the use of Interstate. By this original proceeding Interstate seeks review of the order of the trial court granting DURA immediate possession.

Interstate contends that the order of the trial court granting DURA immediate possession of the property in question should be reversed for any one, or all, of the following reasons: (1) there was no pleaded authority to condemn on the part of DURA; (2) the boundaries *430 of the Skyline Urban Renewal Project (in which the subject property is located) were changed by the Denver City Council after referral of the measure to a vote; (3) the area included within the Skyline Urban Renewal Project is not a slum or blighted area; (4) the proposed taking is not for a public use; (5) there was no good faith negotiation on the part of DURA prior to the institution of condemnation proceedings; and (6) the deposit ordered by the trial court is unconstitutionally low. Resolution of several of these contentions is found in Rabinoff v. District Court, 145 Colo. 225, 360 P.2d 114, where the constitutionality of the Urban Renewal Act of 1958 is upheld.

I.

Interstate initially contends that the petition in condemnation fails to set forth with sufficient clarity DURA’s authority to condemn. In the petition DURA alleges that its authority to condemn is set forth in Chapter 58, section 5, of the 1958 Session Laws of Colorado, which is referred to as the Urban Renewal Law. In Rabinoff a similar allegation concerning the authority to condemn was held to be sufficient with the observation that “the source of the authority is adequately identified and ... sufficiently complies with the general condemnation statute, C.R.S. ’53, 50-1-2.”

Counsel argues that in view of the re-enactment in 1963 by the General Assembly of the Colorado Revised Statutes, reference thereafter to 1958 Session Laws is insufficient. However, in the motion for immediate possession— and it is the order granting this motion with which we are here concerned — -DURA alleged that its authority to condemn was the “power granted by C.R.S. 139-62-5.” Under such circumstance we hold this to be sufficient identification of the authority under which DURA proposes to condemn and in connection with which it has now been decreed the right to immediate possession.

II.

Counsel next contends that the entire Skyline *431 Urban Renewal Project is void because the project was one “instituted by referendum” and thereafter “materially changed and altered” by subsequent councilmanic action. Such change and alteration is claimed to be prohibited by Article XX, section 5 of the Colorado’ con-situation and by Article II, sections C2.1 — C2.4 of the Denver City Charter.

In this regard we are here concerned with a referred ordinance — not an initiated ordinance — and the background of this referral is as follows: in 1966 certain preliminary ordinances relating to this urban renewal project were enacted by the Denver City Council; the opponents of urban renewal then circulated petitions and forced a referral of the entire matter to a vote of the electorate, with the voters thereafter voting “for” the referred ordinance. The project thereafter created by council had boundaries that were admittedly not identical with the boundary description contained in the referred ordinance. In this general connection it should be noted that though Skyline project is entirely within the boundaries spelled out in the referred ordinance, it does not contain, however, all of the area thus described. In other words, the Skyline project is an area reduced in size from the area described in the referred ordinance.

In the first place, it should be noted that the referred ordinance itself authorized the formation of a “project or projects” within the described area. Quite clearly, then, this contemplated that there could be more than one project within the described area and it would seem to logically follow from this that it also contemplated that a project could embrace something less than the total described area.

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Interstate Trust Building Co. v. Denver Urban Renewal Authority, 473 P.2d 978, 172 Colo. 427, 1970 Colo. LEXIS 607 (Colo. 1970).

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