By:  Kubiak                                            H.R. No. 882
       73R11975 RNS-D
                                  R E S O L U T I O N
    1-1        WHEREAS, The Texas High-Speed Rail Authority is authorized to
    1-2  exercise the power of eminent domain if the cost of the land
    1-3  acquisition is paid by the franchisee of the high-speed rail
    1-4  facility (Section 6(b)(9), Texas High-Speed Rail Act), and this
    1-5  power allows an appointed board to condemn private property on
    1-6  behalf of a private project; and
    1-7        WHEREAS, There is reason to believe that the franchisee will
    1-8  be unable to meet its obligations to finance the project and to pay
    1-9  the owners of condemned property, since it has been unable to
   1-10  attract sufficient capital from the private sector and its original
   1-11  pledge to rely exclusively on private funds has been reversed;
   1-12  moreover, the company has requested and received an extension of
   1-13  the time allowed to complete the financing of the project; and
   1-14        WHEREAS, Owners of property could suffer irreparable harm if
   1-15  the high-speed rail authority announced a plan of land acquisition
   1-16  and then the franchisee proved unable to make good on its
   1-17  obligation to purchase land proposed to be condemned; and
   1-18        WHEREAS, Unlike a condemnation by a public entity, the
   1-19  ability of the franchisee of the high-speed rail facility to make
   1-20  good on its obligations to owners of property proposed to be
   1-21  condemned depends upon the projected profitability of the completed
   1-22  project, which presupposes that the project should be fully
   1-23  financed before the first steps to condemn land are taken; now,
   1-24  therefore, be it
    2-1        RESOLVED, That the House of Representatives of the 73rd Texas
    2-2  Legislature hereby direct the Texas High-Speed Rail Authority to
    2-3  refrain from authorizing the acquisition of land or construction of
    2-4  projects on behalf of a franchisee constructing a high-speed rail
    2-5  system until there is convincing evidence that the entire project
    2-6  is fully financed; and, be it further
    2-7        RESOLVED, That an official copy of this resolution be
    2-8  forwarded to the board of directors of the Texas High-Speed Rail
    2-9  Authority as an expression of the will of the House of
   2-10  Representatives of the 73rd Texas Legislature.