"It would have to be an astronomical sum of money," McCarthy says of selling out to the feds.
But it's a different story for his aging grandmother, who very well may face a buyout, or another form of property seizure, in the near future. Her home is just 100 yards from the London Avenue Canal breach. McCarthy says she's gradually accepting what may be a brutal reality.
"My grandmother is willing to take what she can get and walk away from it," he says. "It's just too hard for her."
Residents' feelings are mixed on the issue, and confusion has taken hold as details remain scarce. And in coffee shops, congressional hearings, dining rooms and every other imaginable space one question keeps resurfacing: How will Louisiana rebuild?
Aside from levee and coastal restoration costs, private property rights are shaping up as one of the most explosive issues in post-Katrina America.
Some private land ' no one knows how much ' undoubtedly will need to be taken by the government for any long-term plan to progress. Will it be done with or without the property owner's consent? And if it's done with their consent, how will values be determined?
The outcome will impact the livelihoods of thousands ' and the livability of large communities. It also could set a national precedent for how future land expropriations are handled. "This will be the sticking point of the entire debate because you are talking about peoples' property and peoples' money," says Barry Erwin, president of the Council for a Better Louisiana, a Baton Rouge-based think tank. "And we're only talking conceptually on these issues right now. Nobody is getting any answers, and when they do, they probably won't like it."
The U.S. Army Corps of Engineers is the government entity stirring the pot at the moment. They reportedly want to obtain huge swaths of land ' some pieces spanning more than 150 feet ' along the 17th Street and London Avenue canals for levee improvements. In Plaquemines Parish, the feds are considering seizing portions of land from 250 property owners to widen the Mississippi River.
Such takings are not supposed to be government grift. Initial reports suggest ' and the Fifth Amendment to the U.S. Constitution requires ' that property owners will be compensated justly. However, details of any compensation plans have yet to surface. Meanwhile, some parish officials are going public with their fears and expressing concern that purchase prices could drop below pre-Katrina fair market value.
Rachelle Levitt, executive vice president for policy and practice at the Urban Land Institute, a Washington-based nonprofit that researches emerging land use trends, says her group has heard the concerns and is responding with plans and suggestions. She says there needs to be a conscious effort to ensure that all homeowners are compensated at pre-Katrina values ' whether the selling pressure comes from a legislatively-formed corporation, or the government itself.
"There should be some rationalization to that part of the process," she says, admitting there's no way to tell how the payment options will play out. Another widespread concern is that values will be pegged to assessments calculated by Louisiana's elected parish assessors ' especially in New Orleans, where most homes are grossly undervalued.
A more immediate threat to property owners may be the concept of eminent domain ' the flavor of the month for legal and political junkies, thanks to a recent U.S. Supreme Court ruling and the onslaught of reactive legislation. Eminent domain is the legal doctrine that allows governments to take private property for certain public uses that are supposed to serve the greater public good. According to the recent High Court decision, those uses can include economic development that ultimately will yield higher property taxes. While many Americans view that court decision with disdain, it's hard to argue that flood protection for an entire region does not qualify as a legitimate, even overriding, public interest that ought to trump individual property owners' interests.
Of course, it's a lot different when it's your property. It's even more dicey when the "public interest" is infused with private gain.
While eminent domain is routinely used to help build highways and public buildings, it also has been invoked to transfer property to a private owner operating in cahoots with the government. Currently, in Riviera Beach, Fla., the local government is preparing to force nearly 350 property owners and more than 1,000 renters to sell out to a private yacht development because of "blighted" conditions.
While nothing like that is in the works locally ' at least not on the surface ' Gov. Kathleen Blanco told a congressional committee recently that a number of private developers have contacted the state about assisting with the restoration process. That raises fears not only of eminent domain but also of gentrification ' forcing poor folks out so that the silk suits can move in.
State Rep. Mickey Frith, an Abbeville Democrat and chairman of the Acadiana delegation, says it's better to be safe than sorry. He plans to file a bill next year to limit local governments, or state-sponsored corporations, from seizing private property for economic development. "If you are looking to improve infrastructure, that's one thing," says Frith. "But I don't think we ought to be making a land grab just to build a super store or something."
Concerns about eminent domain and how it might be invoked locally also have surfaced at the federal level. A clause allowing it was initially included in landmark home mortgage assistance legislation by Baton Rouge Republican Congressman Richard Baker, but that language was quickly pulled in response to widespread objections in south Louisiana. The bill would establish a special corporation to buy distressed ' and often underinsured ' properties from willing sellers in an attempt to stabilize the local housing market and prevent widespread foreclosures. The bill was racing against the clock last week during Congress' final days before Christmas.
Closer to home, another urban land-loss threat springs from Mayor Ray Nagin's Bring New Orleans Back Commission, which has been working with the Urban Land Institute to draft a citywide rebuilding plan. An initial draft of ULI's plan would halt developments in flood-prone areas and replace them with wetlands, parks and inner-city levees to reduce flooding of remaining neighborhoods and create a buffer for surges. Here again, it's all a matter of perspective: Whose property gets sacrificed for the greater public good?
All of these ideas could translate into lost property for some, but for others it could mean losing or preserving a way of life, McCarthy says. Such factors may or may not affect market values or buyout options or congressional intent.
"I think there will be a lot of disappointed landowners who will want to return, but can't," he says. "But we're a determined people down here, and we'll find a way to make it."
Louisiana has joined nine other states in support of Indiana’s appeal of a federal judge’s ruling that the Hoosier State’s ban on sam-sex marriage violates the Constitution.
The Saints are being cautious in an effort to minimize risk of re-injury.
LSU Health Sciences Center says people with a common, hard-to-treat kind of lung cancer can join a new national trial to test drugs faster.
As New Orleans Saints coach Sean Payton and general manager Mickey Loomis spoke about the opening of training camp, steep, tree-covered mountains were in full view behind them.
The family of fallen cyclist Lon Lomas is speaking out after the release this week of the man charged with his death.
"The solutions are obvious: undo consolidation, or amend the charter to make this hybrid attempt at a new form of government work better."
Friday's Blogs from the Bog!
Marijuana source of disputes for HOAs; experts say still safe to fly; Russian-supported attacks on Ukraine and more national and international news for Friday, July 25, 2014.
The Board of Elementary and Secondary Education is considering whether to get involved in a lawsuit against Gov. Bobby Jindal for his attempts to undermine use of the Common Core education standards in Louisiana's public schools.
The latest meeting of a south Louisiana flood board that stirred political turmoil with a lawsuit against the oil and gas industry is taking place amid uncertainty over the future of the lawsuit — and the board's own membership.
The photos taken nearly a mile under the Gulf of Mexico are so clear that small holes are visible in a lifeboat that may have gone down or been scuttled when a passenger ship was sunk by a Nazi submarine in 1942.
Advocate columnist and Jindal shill Quin Hillyer has been against the New Orleans levee board lawsuit from day one, but a recent piece targeting author/activist John Barry prompted the perfect rebuttal from the board’s former vice-president, who takes Hillyer to task on just about every distorted claim he’s made on the issue.
Thousands of people who bought health insurance through the marketplace created by the federal health care overhaul face price hikes next year that could top 10 percent.
Louisiana fell one spot in an annual national ranking of child well-being that looks at poverty, education and health access.
A federal judge has decided he doesn't need to hear more arguments in the case of a gay couple who want a Louisiana marriage license.
Saints again bring playoff aspirations into 2014 campaign.
New details in the case against the man arrested for last week’s bomb threat and bank robbery has surfaced, including a MidSouth Bank surveillance video showing the alleged suspect attempt an early-morning bank robbery.
Parents and teachers who support the Common Core education standards sued Gov. Bobby Jindal Tuesday over his actions against the multi-state standards, accusing him of illegally meddling in education policy.
An arrest was announced this morning in connection with last week’s bomb scare at UL Lafayette.
Attorneys, judges and others interviewed by LaPolitics expect 15 to 20 district judge races this year.
"I feel like I'm under siege," an attorney said recently over drinks at Galatoire's Bistro in Baton Rouge. "We all do. Every time I turn around somebody wants a check. District attorney races. The judges. They're killing us."
As a requirement for running for Congress in the 6th District, former Gov. Edwin Edwards has filed his financial disclosure statement with the U.S. House showing his income in 2013 totaling $242,787.
Unlike those swindled by Bernie Madoff, the victims of Texas businessman Robert Allen Stanford’s Ponzi scheme won’t be getting any relief from the Securities Investor Protection Corp.’s emergency fund after a recent appellate court ruling.
The legal challenge is part of a continuing struggle over Common Core, which has become controversial since the Board of Elementary and Secondary Education adopted the standards in 2010.
The lone Democrat to announce he's running for governor, state Rep. John Bel Edwards, criticized Republican Gov. Bobby Jindal's budgeting tactics as "running the state like a big Ponzi scheme."