Governor versus farmers and small business over Prop. 98

Battle lines are hardening over the June 3rd primary’s eminent domain initiative Proposition 98, with Gov. Arnold Schwarzenegger opposing it Friday and the farm and small business lobbyists reacting quickly.

Schwarzenegger said he opposes the ballot measure to curb government rights to harness eminent domain in property seizures.

“Eminent domain is an issue worth addressing,” he said in a prepared statement. “However Proposition 98 would undermine California's ability to improve our infrastructure, including our water delivery and storage.”

After Schwarzenegger announced his Prop. 98 opposition Friday, the state chapter of the National Federation of Independent Business chimed in against the governor as did the 91,000-member California Farm Bureau Federation, a Prop. 98 co-sponsor.

Farm bureau president Doug Mosebar said the initiative is needed to protect private property owners such as churches, farms and businesses from eminent domain abuses.

“Government wants to be able to take property for whatever purpose it wants, even to give it to private developers for their own personal gain,” Mosebar said in statement e-mailed to reporters. “Proposition 98 would curb that power…(and) protect property and water rights, while allowing government agencies to use eminent domain for legitimate public works such as water projects, roads and schools.”