Senate Joint Resolution E is meant to change the eminent domain laws a city or state government's right to take private property for public or private use, such as for roads or developments.
The U.S. and Michigan supreme courts have both weighed in on eminent domain, offering differing opinions on the issue. In 2005, the high court ruled that a city government could force owners to sell their property for the city to use in a redevelopment plan.
The initiative was passed as a Senate resolution by both the House and the Senate.
Chad Wing, chief of staff for state Sen. Tony Stamos, R-Midland, sponsor of the bill that became the ballot initiative, said it would ban state and local governments from taking private property for private use.
That would mean cities could be prohibited from redeveloping private land to build businesses they claim will create jobs or bring money to the community.
"The right of property is one of the rights the founding fathers founded this country on and needs to be addressed once and for all in Michigan," Wing said.
East Lansing City Manager Ted Staton said eminent domain can be a useful tool for cities when planning construction projects for the community that might require the demolition of private property.
A city faced with a property owner who won't sell might have to build around that property, making construction more expensive for taxpayers and less efficient overall, Staton said.