The 聽of the Honolulu rail project has filed a lawsuit to take property where the state鈥檚 non-profit blood bank manufactures, stores and distributes Hawaii鈥檚 blood supply.
The Honolulu Authority for Rapid Transportation鈥檚 suit, filed Monday in Circuit Court, seeks to take a narrow strip of the parcel fronting Dillingham Boulevard through eminent domain to make way for the rail line.
The suit follows years of discussions between HART and the blood bank over the impact the rail project could have on the medical facility, which provides blood products to 18 civilian hospitals statewide.
A HART spokesman said the organization has been in negotiations with the blood bank since March 2014 and hopes talks will continue even as city attorneys proceed with a lawsuit using Honolulu鈥檚 eminent domain power to take the property.
鈥淎uthorization for eminent domain was granted by both the City Council and the HART Board in March 2016 and April 2016, respectively,鈥 HART said in a statement.聽鈥淲e have continued negotiating since that time with the hopes of reaching a fair settlement.鈥
The blood bank expressed regret that HART had filed suit.
In a statement, the blood bank’s president and chief executive said blood bank and HART officials met last month to discuss current construction plans and timelines, as well as the impact to the blood bank’s operations and options for risk mitigation.
During the meeting, the blood bank聽agreed to grant HART limited access to meet the immediate rail project needs provided聽that the organization’s聽regulatory compliance and blood manufacturing and distribution would not be at risk, said Dr. Kim-Anh Nguyen, president and chief executive.
“We were disappointed that within several days of that meeting, we were notified that HART leadership voted to move forward with eminent domain proceedings against BBH,鈥 Nguyen said.
The crux of the dispute turns on the impact that the rail project will have on the blood bank headquarters and lab building that would remain. State law and the U.S. Constitution allow the government to take land from private landowners for public purposes, but require that the government provide the landowner 鈥渏ust compensation鈥 for the taking.
Eminent domain lawsuits often turn on what is 鈥渏ust compensation.鈥
Neither party responded to questions about the compensation discussed during negotiations. And the two sides disagreed about the impact rail would have on the blood bank鈥檚 operations and land value.
鈥淚t is significant to note that HART has limited its take to an approximately 11-ft wide strip of the parcel fronting Dillingham Boulevard, which consists of only landscaping (grass and shrubs),鈥 HART said in a statement. 鈥淗ART鈥檚 take is not expected to have any impact on Blood Bank鈥檚 operations.鈥
鈥淲e beg to differ,鈥 said the blood bank鈥檚 attorney, . 鈥淚 think we鈥檙e going to have a fairly serious disagreement on that.鈥
Running an elevated train adjacent to the blood bank’s second-floor will affect its operations, he said, adding it鈥檚 not enough to compensate the blood bank simply for the property taken.
鈥淭he Constitution requires a whole heck of a lot more than that,鈥 Thomas said. 鈥淵ou鈥檝e got to be put back in the position you were in before the taking.鈥
HART鈥檚 complaint asks the court to determine the amount of compensation the blood bank should be entitled to.
HART is set to run out of money for the rail project this year after the聽Legislature concluded its 2017 session without reaching agreement on how to聽subsidize the project. The lack of consensus left the , which is way over budget and far behind schedule, with a shortfall of about $3 billion.
Construction of the rail line is now moving from less developed areas of West Oahu toward more urban areas on its way to its terminus at Ala Moana Center.
Nguyen said that the city鈥檚 suit places a burden on the blood bank.
鈥淏BH is a non-profit entity and being forced to defend a lawsuit is a costly expense,鈥 she said. 鈥淲e believe eminent domain seizure is not in the best interest of the community and jeopardizes BBH鈥檚 ability to provide an uninterrupted, safe and reliable blood supply for Hawaii鈥檚 hospitals and patients.鈥
Although the Dillingham building is the blood bank’s headquarters, its donor center is on Young Street.
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About the Author
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Stewart Yerton is the senior business writer for 天美视频. You can reach him at syerton@civilbeat.org.