Chappell v. Virginia Electric & Power Co.

Present: Carrico, C.J., Compton, Stephenson, Whiting, Lacy, and
Keenan, JJ., and Poff, Senior Justice

E. TYREE CHAPPELL

v.   Record No. 941106                       OPINION BY
                                      SENIOR JUSTICE RICHARD H. POFF
VIRGINIA ELECTRIC AND                       JUNE 9, 1995
POWER COMPANY

               FROM THE CIRCUIT COURT OF HANOVER COUNTY
                      Richard H.C. Taylor, Judge



        The principal question presented in this landowner's appeal

from a judgment confirming the commissioners' report in a

proceeding to condemn an easement is whether the testimony

adduced and proffered by the landowner was sufficient to prove

that the award of compensation for damage to the residue was

unjust.
        In October 1992, Virginia Electric and Power Company (Vepco)

filed a petition to condemn an easement for the construction of

Vepco's 230 kV Elmont-Chickahominy transmission line.      The route

crosses one corner of a farm owned by E. Tyree Chappell.

Approximately half of the farm lies in a flood plain.      The corner

crossed by the easement is cleared land and, with access to State

Route 637, is suitable for residential development.       Chappell's

farm contains 91.72 acres; the easement will cover 0.85 of an

acre.

        In preparation for trial, Chappell served a subpoena on

Donald E. Koonce, Vepco's Director of Transmission Operations.

In response to interrogatories, Chappell advised that he also

planned to call another witness, Gillis G. Pratt, Jr., a real

estate appraiser, who would opine that "the greatest loss to the

property is the damages to the remainder . . . [which] is
significantly devalued, because of its proximity to the right of

way of a high voltage transmission line, including the public

awareness and fear of living in the vicinity of electromagnetic

fields caused by such transmission lines."

     Vepco filed a motion to quash the Koonce subpoena and a

motion in limine to exclude "evidence of or reference to

electromagnetic fields ('EMF'), any alleged link between EMF and

adverse human health effects, any alleged public perception of

any such link, and the effects, if any, of any such perception on

property values in Hanover County."   The trial court granted both

motions.
     Following a view of the property by the court and the

commissioners, Vepco introduced the testimony of a single

witness, Michael C. McCall, a real estate appraiser.   McCall

fixed the value of the easement at $11,900; the damage to an "80-

foot strip running along the easement" at $22,155; no damage to

the residue outside this "buffer strip"; and total just

compensation at $34,100.

     Chappell, testifying as his only witness, valued the

easement at $12,750; damage to the residue at $81,750; and total

just compensation at $94,500.   For the record, Chappell proffered

the testimony of Gillis Pratt, a real estate appraiser.    Pratt

evaluated the easement at $14,445; damage to the residue at

$65,555; and total just compensation at $80,000.

     The trial court entered judgment confirming the

commissioners' report which assessed the value of the easement at

$12,325; damage to the residue at $25,655; and total just

compensation at $37,980.
     In his challenge on appeal to the quantum of the award of

damage to the residue, Chappell contends that the trial court

erred in excluding his evidence of public fear emanating from the

presence of high voltage power lines and the effect of that fear

on the market value of his property.   He relies upon language

contained in Appalachian Pr. Co. v. Johnson, 137 Va. 12, 30-31,

119 S.E. 253, 258 (1923), where we said that "the commissioners

could have properly taken into consideration the effect of the

fear of the [transmission] line breaking down and injuring

persons and property . . . if the liability [for] such injury in

fact depreciated the market value of the property."   Chappell

insists that the trial court's order excluding his evidence from

consideration by the commissioners "was in contravention of

precedent and resulted in unfair prejudice . . . as reflected by

the Commissioners' award."
     We do not agree that Johnson is controlling precedent.      The

landowner was awarded nothing for damage to the residue; damage

to the residue was not an issue before this Court; and the

language Chappell invokes is obiter dicta.
     Nevertheless, we need not decide whether a landowner in a

proceeding to condemn an easement for an electric transmission

line may be entitled to compensation for diminution in the market

value of the remaining land attributable to the fears of

prospective purchasers.   The rule is well settled that, "[i]n

every eminent domain case involving a partial taking, the measure

of damages to the residue of the property not taken is the

difference in the fair market value immediately before and

immediately after the taking."   East Tennessee Natural Gas Co. v.
Riner, 239 Va. 94, 100, 387 S.E.2d 476, 479 (1990); accord Town

of Rocky Mount v. Hudson, 244 Va. 271, 273, 421 S.E.2d 407, 408

(1992).   And, as Chappell acknowledges on brief, "[s]peculative

matters should not be considered by commissioners in determining

just compensation."   Applying these principles, we examine the

probative value of the damage evidence Chappell vouched for the

record.

     Koonce, Vepco's employee, was never asked to evaluate damage

to the residue, and Pratt produced no evidence of comparable

sales consummated at prices allegedly diminished by public fear

of electric transmission lines.   As Chappell agreed in oral

argument, "[i]t is difficult to prove market value loss when

there are no actual sales of comparable property."
     In support of his estimate of damage to the residue, Pratt

referred to an article he had read in the "Journal of Real Estate

Research".   Based upon "a survey of several experienced

appraisers all over the country," the author of the article

concluded that the effect of high voltage power lines on

residential property values "ranged from zero to 50 percent

difference . . . with the median being typically something

greater than 10 percent".   While Pratt testified that he applied

a 10 percent depreciation formula to one parcel containing 13.77

acres "because of the visual" problem, it is unclear from the

record what percentage factor or factors related to the fears of

prospective customers he applied to other portions of the rest of

Chappell's farm.

     We think that the proffered testimony failed to quantify any

damage to the fair market value of the residue attributable to
the alleged public fear of high voltage transmission lines.

Consequently, the testimony Chappell proffered was inadmissible.

 East Tennessee Natural Gas Co. v. Riner, 239 Va. at 100, 387

S.E.2d at 479-80.

     Finally, Chappell complains that the trial court erred in

denying his "absolute right of cross-examination" and that "[d]ue

to the Court's evidentiary rulings, the Commissioners' award was

arrived at under erroneous principles and should have been

overturned by the Trial Court".
     On cross-examination, Chappell's counsel asked McCall if,

during the course of his testimony in earlier Vepco condemnation

cases, "the question [had] come up about fear of power lines".

The trial court, taking the view that Chappell's question was

within the intendment of the exclusion order entered in limine,

sustained Vepco's objection to the question, and Chappell's

counsel resumed interrogation on a different subject.

     "We will not consider testimony which the trial court has

excluded without a proper showing of what that testimony might

have been."   O'Dell v. Commonwealth, 234 Va. 672, 697, 364 S.E.2d

491, 505 cert. denied, 488 U.S. 871 (1988).   "[W]hen testimony is

rejected before it is delivered, an appellate court has no basis

for adjudication unless the record reflects a proper proffer."

Whittaker v. Commonwealth, 217 Va. 966, 968, 234 S.E.2d 79, 81

(1977); accord Spencer v. Commonwealth, 238 Va. 563, 570, 385

S.E.2d 850, 854 (1989), cert. denied 493 U.S. 1093 (1990);
MacKall v. Commonwealth, 236 Va. 240, 256-57, 372 S.E.2d 759, 769

(1988), cert. denied 492 U.S. 925 (1989); Barrett v.

Commonwealth, 231 Va. 102, 108, 341 S.E.2d 190, 194 (1986); Wyche
v. Commonwealth, 218 Va. 839, 842, 241 S.E.2d 772, 774 (1978);

Owens v. Commonwealth, 147 Va. 624, 630-31, 136 S.E. 765, 767

(1927); Jackson's Case, 98 Va. 845, 846-47, 36 S.E. 487, 488

(1900).   Although the trial court invited Chappell to pursue his

right of "vouching the record", we find nothing in that record

that constitutes a proper proffer.

     The commissioners' award was lower than the highest damage

estimates and higher than the lowest.
     It is a well settled rule of law in this State that it
     requires strong evidence to warrant the appellate court
     in setting aside an award of commissioners when the
     only exception is to the quantum of damages.

Chairman Highway v. Fletcher, 153 Va. 43, 46, 149 S.E. 456, 457

(1929); accord Highway Commissioner v. Carter, 216 Va. 639, 641,

222 S.E.2d 776, 777 (1976).

     We hold that the record fails to show that the difference

between the market value of the residue immediately before and

immediately after the condemnation was greater than the award the

commissioners made, and we will affirm the judgment of the trial

court confirming the award.
                                                         Affirmed.