By: Shelley S.B. No. 1481
73R8134 SMH-F
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to the location, survey, sale, and lease of vacant and
1-3 unsurveyed public school land and certain public boundaries and
1-4 related fees.
1-5 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-6 SECTION 1. Subchapter E, Chapter 51, Natural Resources Code,
1-7 is amended to read as follows:
1-8 SUBCHAPTER E. SALE AND LEASE OF VACANCIES
1-9 Sec. 51.171. SALE AND LEASE OF VACANT LAND. (a) Vacant and
1-10 unsurveyed public school land shall be located, sold, and leased
1-11 under this subchapter, except:
1-12 (1) submerged lands within tidewater limits;
1-13 (2) all islands, flats, and emergent lands within
1-14 tidewater limits;
1-15 (3) natural lakes; and
1-16 (4) riverbeds, including channels and islands in
1-17 riverbeds, above tidewater limits.
1-18 (b) This subchapter does not alter or diminish the public
1-19 domain status of the surface estate of riverbeds and channels and
1-20 islands in riverbeds that are located above tidewater limits.
1-21 Sec. 51.172. DEFINITIONS. In this subchapter:
1-22 (1) "Applicant" means any person who files an
1-23 application. The term may include a good-faith claimant.
1-24 (2) "Application" means an application to purchase or
2-1 lease a vacancy under this subchapter.
2-2 (3) "Good-faith claimant" means a person who:
2-3 (A) occupies or uses or whose predecessors in
2-4 interest have occupied or used a vacancy for purposes other than
2-5 exploring for or removing oil, gas, sulphur, other minerals, or
2-6 geothermal resources from the vacancy or who leases or otherwise
2-7 conveys to another person a purported right to explore for or
2-8 remove oil, gas, sulphur, another mineral, or geothermal resources
2-9 from the vacancy;
2-10 (B) has had, or whose predecessors in interest
2-11 have had, the vacancy enclosed or within definite recognized
2-12 boundaries and in possession for a period of 10 or more years with
2-13 a good-faith belief that the vacancy was included within the
2-14 boundaries of a survey or surveys that were previously titled,
2-15 awarded, or sold under circumstances that would have vested title
2-16 in the vacancy if it were actually located within the boundaries of
2-17 the survey or surveys;
2-18 (C) is the owner of land adjoining a vacancy on
2-19 which no application has previously been filed; or
2-20 (D) holds under a good-faith claimant or is
2-21 entitled to a distributive share of any title acquired under an
2-22 application made by a good-faith claimant.
2-23 (4) "Interest" means any right or title in or to real
2-24 property, whether affecting the surface, subsurface, or mineral
2-25 estate, including:
2-26 (A) fee simple title;
2-27 (B) a determinable fee created under a mineral
3-1 lease or conveyance or otherwise;
3-2 (C) a royalty, nonparticipating royalty, or
3-3 overriding royalty interest;
3-4 (D) a remainder or reversionary interest; or
3-5 (E) an interest arising under a lien.
3-6 (5) "Interested person" means:
3-7 (A) a person who may own or who claims any
3-8 interest in land claimed to be vacant or in any land adjoining or
3-9 overlapping that land as determined from the records of the land
3-10 office, the records of the county clerk's office, and the tax
3-11 records of the county or counties in which the land claimed to be
3-12 vacant is located;
3-13 (B) any other person who asserts a right to or
3-14 interest in the land claimed to be vacant and who is known to the
3-15 applicant or whose identity could be ascertained by the applicant
3-16 with the exercise of reasonable diligence;
3-17 (C) the attorney general; or
3-18 (D) the applicant.
3-19 (6) "Vacancy" means an area of unsurveyed public
3-20 school land that:
3-21 (A) is not in conflict on the ground with land
3-22 previously titled, awarded, or sold;
3-23 (B) has not been listed on the records of the
3-24 land office as public school land; and
3-25 (C) was not, on the date of filing of an
3-26 application:
3-27 (i) subject to an earlier subsisting
4-1 application by an applicant or good-faith claimant; or
4-2 (ii) the subject of pending litigation
4-3 brought by the state to recover the land.
4-4 Sec. 51.173. APPLICATION. (a) To purchase or lease a
4-5 vacancy, a person must file an application. The filing of an
4-6 application commences a proceeding under this subchapter. The
4-7 applicant must file the application with the county surveyor of the
4-8 county in which all or part of the land claimed to be vacant is
4-9 located. If the county does not have a county surveyor, the
4-10 application must be filed with the county clerk.
4-11 (b) The application must:
4-12 (1) describe the land that is claimed to be vacant;
4-13 (2) state whether the applicant is a good-faith
4-14 claimant;
4-15 (3) state whether the applicant seeks to purchase the
4-16 vacancy or obtain a mineral lease on the vacancy;
4-17 (4) state the name and last known address of all
4-18 interested persons; and
4-19 (5) provide any other information that the
4-20 commissioner requires by rule.
4-21 (c) The commissioner by rule shall set an application filing
4-22 fee in an amount of not less than $5. The applicant shall pay the
4-23 filing fee to the county surveyor or county clerk at the time the
4-24 application is filed.
4-25 (d) The county surveyor or county clerk shall mark the exact
4-26 date and hour of filing on the original and a duplicate copy of the
4-27 application and shall return a marked copy to the person filing the
5-1 application. The original shall be recorded in a book kept for
5-2 that purpose separate from the deed or real property records.
5-3 (e) Priority among applications covering the same land
5-4 claimed to be vacant is determined by the time of filing indicated
5-5 by the date and hour marked on the application by the county
5-6 surveyor or county clerk.
5-7 Sec. 51.174. FILING APPLICATION WITH COMMISSIONER. (a) The
5-8 applicant shall file with the commissioner a copy of the
5-9 application with the county surveyor's or clerk's mark indicating
5-10 the time of filing not later than the 10th day after the
5-11 application is filed with the county surveyor or clerk. The
5-12 applicant shall include a filing fee set by the commissioner in an
5-13 amount of not less than $100. If the 10th day after filing falls
5-14 on a Saturday, Sunday, or state or federal holiday, the application
5-15 may be filed on the next regular business day following the 10th
5-16 day.
5-17 (b) The commissioner shall mark the date of filing on the
5-18 application and assign a file number to the application.
5-19 (c) An applicant who does not file the application with the
5-20 commissioner in the time provided in this section or pay the filing
5-21 fee waives all rights under the application.
5-22 (d) The commissioner may refuse to accept for filing an
5-23 application that:
5-24 (1) has material omissions;
5-25 (2) does not describe the land claimed to be vacant
5-26 adequately for the land to be located on the ground; or
5-27 (3) describes as vacant land that has been finally
6-1 adjudicated in a court of this state or of the United States not to
6-2 be vacant.
6-3 Sec. 51.175. DEPOSIT. (a) If an applicant is not a
6-4 good-faith claimant, the commissioner shall estimate the costs of
6-5 proceeding under the application, including the costs of a survey
6-6 made by a licensed state land surveyor or the county surveyor, the
6-7 preparation of copies and working sketches by the land office, the
6-8 mailing or publication of notices and copies, and other similar
6-9 costs, excluding allocable costs of salaries and overhead expended
6-10 by the land office in actually conducting a hearing or preparing
6-11 orders and proposals for decision.
6-12 (b) The commissioner shall notify the applicant in writing
6-13 of the estimated costs and the applicant shall make a deposit with
6-14 the commissioner in the amount of the estimated costs.
6-15 (c) If at any time the commissioner determines that the
6-16 funds on deposit are insufficient to pay the costs of the
6-17 proceeding, the commissioner shall estimate the additional amount
6-18 required and shall notify the applicant in writing to make a
6-19 supplemental deposit of the estimated amount. The notice must be
6-20 dated.
6-21 (d) The applicant shall make an initial deposit or a
6-22 supplemental deposit not later than the 30th day after the date of
6-23 the written notice to make the deposit. The commissioner shall
6-24 cancel the application if the applicant does not make a required
6-25 deposit within the prescribed time. Cancellation terminates all
6-26 rights under that application.
6-27 Sec. 51.176. APPEAL OF AMOUNT OF DEPOSIT. (a) An applicant
7-1 may appeal the amount of an initial deposit or supplemental deposit
7-2 determined by the commissioner in the manner provided for the
7-3 appeal of agency decisions under the Administrative Procedure and
7-4 Texas Register Act (Article 6252-13a, Vernon's Texas Civil
7-5 Statutes).
7-6 (b) If the applicant does not pay the amount determined by
7-7 the district court on or before the 15th day after the judgment of
7-8 the district court becomes final and nonappealable, the
7-9 commissioner shall cancel the application. Cancellation terminates
7-10 all rights under that application.
7-11 Sec. 51.177. DISPOSITION OF DEPOSITS. (a) The commissioner
7-12 shall deposit all initial and supplemental deposits received under
7-13 this subchapter to the credit of a separate trust account in the
7-14 treasury. The treasurer, on the commissioner's order, shall make
7-15 disbursements from that account for purposes authorized by this
7-16 subchapter.
7-17 (b) After proceedings on an application are concluded and
7-18 all expenditures authorized under this subchapter are paid, the
7-19 commissioner shall provide the applicant a complete statement of
7-20 all deposits and expenditures and shall remit to the applicant any
7-21 balance remaining from the deposit or supplemental deposits made by
7-22 the applicant.
7-23 Sec. 51.178. APPOINTMENT OF SURVEYOR. (a) Not later than
7-24 the 60th day after the date on which the required deposit is paid,
7-25 the commissioner shall appoint a licensed state land surveyor or
7-26 the county surveyor of the county in which all or a part of the
7-27 land claimed to be vacant is located to make a survey of that land.
8-1 (b) The fees and expenses paid for the survey are those
8-2 provided by law. If the fees and expenses are not provided by law,
8-3 the commissioner and surveyor shall make an agreement as to the
8-4 fees and expenses reasonable for the work to be performed.
8-5 (c) The fees and expenses shall be paid by the applicant and
8-6 may be paid from the initial deposit or any supplementary deposits
8-7 made by the applicant under this subchapter.
8-8 Sec. 51.179. NOTICE TO INTERESTED PERSONS. (a) Not later
8-9 than the 10th day after the date on which the commissioner
8-10 appoints the surveyor, the commissioner shall give notice by
8-11 certified mail, return receipt requested, to all interested persons
8-12 at the last known address. The notice shall contain:
8-13 (1) the date of the notice;
8-14 (2) a statement that a vacancy application has been
8-15 made;
8-16 (3) the name, address, and telephone number of the
8-17 surveyor appointed to make the survey;
8-18 (4) a statement that the survey may begin any time
8-19 after the 20th day after the date of the notice;
8-20 (5) a statement that an interested party is entitled
8-21 to:
8-22 (A) observe the conduct of the survey;
8-23 (B) receive a copy of the final survey report
8-24 and other documents filed by the surveyor; and
8-25 (C) participate in the vacancy proceeding;
8-26 (6) a true and legible copy of the application; and
8-27 (7) other information the commissioner by rule may
9-1 prescribe.
9-2 (b) If the location of an interested person is unknown or if
9-3 a notice is returned as unclaimed or undeliverable, the
9-4 commissioner shall publish notice as prescribed by the Texas Rules
9-5 of Civil Procedure. If notice by publication is made, the survey
9-6 may not begin and further proceedings may not be held until the
9-7 30th day after publication is completed.
9-8 (c) If the applicant, another interested person, or the
9-9 surveyor shows that the delay required by Subsection (b) of this
9-10 section may materially affect the accuracy of the survey because of
9-11 destruction, alteration, or removal of natural features, monuments,
9-12 or witness objects, or for other good cause, the commissioner may
9-13 order the survey to proceed. Notice of the request to proceed with
9-14 the survey and of any order issued in response to the request shall
9-15 be mailed first class to all interested persons.
9-16 Sec. 51.180. WAIVER OF NOTICE. (a) An interested person
9-17 may waive service of the notice required by Section 51.179 of this
9-18 code by filing with the commissioner a sworn affidavit stating the
9-19 person's intent to waive notice. The affidavit shall state that
9-20 the person executing the waiver has been provided with a true copy
9-21 of the application filed with the commissioner.
9-22 (b) The affidavit may also state clearly the interested
9-23 person's intent to waive all further notice of the vacancy
9-24 proceedings. If the affidavit states this intent, it must also
9-25 state prominently and clearly that the interested person is aware
9-26 that waiving the right to further notice may result in the loss of
9-27 the opportunity to appear and to contest the application.
10-1 (c) The commissioner by rule may prescribe the form and
10-2 specific content of the affidavit described in this section,
10-3 including additional information to be included.
10-4 Sec. 51.181. SURVEY. (a) Except when notice by publication
10-5 is required, at any time after the 20th day after the date of the
10-6 notice required by Section 51.179(a) of this code, the surveyor
10-7 shall begin the survey of the land claimed to be vacant.
10-8 (b) The surveyor shall prepare and file in the land office:
10-9 (1) a detailed written report of all aspects of the
10-10 survey, including record research conducted, survey corners
10-11 recovered in the course of the field survey, and details of
10-12 boundary construction using recovered corners;
10-13 (2) field notes in the form and content prescribed by
10-14 law, describing the land and the lines and corners surveyed;
10-15 (3) a complete plat depicting in detail the survey
10-16 results;
10-17 (4) the names and addresses of all persons who have
10-18 possession of the land described in the application and a
10-19 description of the lands occupied by those persons; and
10-20 (5) the names and addresses of all persons who have or
10-21 claim any interest in the land.
10-22 (c) The surveyor shall file the report required by this
10-23 section not later than the 140th day after the date of the notice
10-24 required by Section 51.179(a) of this code. If notice by
10-25 publication is required and the commissioner has not ordered the
10-26 survey to proceed, the surveyor shall file the report not later
10-27 than the 170th day after the date on which notice by publication is
11-1 completed. If the commissioner has ordered the survey to proceed,
11-2 the surveyor shall file the report not later than the 140th day
11-3 after the date of the commissioner's order.
11-4 (d) For good cause shown, the commissioner by written order
11-5 may extend the time for filing the survey. The order shall state
11-6 the cause for the extension and shall be included in the record. A
11-7 single order may not extend the time for filing by more than 60
11-8 days.
11-9 (e) An interested person at the person's own expense may
11-10 have any surveying done that the person considers desirable, but a
11-11 survey report, a plat, or field notes based on a survey made by a
11-12 person not qualified by law to survey public lands in this state
11-13 may not be admitted into evidence in a vacancy proceeding or filed
11-14 in the land office.
11-15 (f) The surveyor shall serve a true copy of the survey
11-16 report, field notes, plat, and all other documents filed by the
11-17 surveyor on each interested person, including those named in the
11-18 survey report, by certified mail, return receipt requested, on the
11-19 same day that the survey report is filed in the land office. The
11-20 survey report shall include a certificate of the fact of that
11-21 service.
11-22 Sec. 51.182. ADDITIONAL INTERESTED PERSONS. (a) All
11-23 persons named in the survey report as occupying or as having or
11-24 claiming any interest in the land described in the application
11-25 shall be included in the proceeding as interested persons and shall
11-26 be provided notice as prescribed by this subchapter.
11-27 (b) An application may not be canceled or a proceeding
12-1 terminated because of the discovery of an additional interested
12-2 person unless the commissioner finds that the person filing the
12-3 application knowingly and intentionally omitted the name of the
12-4 person from the application.
12-5 Sec. 51.183. EXCEPTIONS. An interested person may file
12-6 exceptions to the survey report, field notes, and plat not later
12-7 than the 30th day after the date the survey report is filed in the
12-8 land office. A person filing exceptions shall serve a true copy on
12-9 all interested persons and on the surveyor by certified mail,
12-10 return receipt requested. The exceptions shall include a
12-11 certificate of the fact of that service.
12-12 Sec. 51.184. ADDITIONAL SURVEYS. (a) The commissioner or
12-13 the land office staff may consult with the surveyor. The
12-14 commissioner, after notice to the interested persons, may direct
12-15 the surveyor to make additional surveys, to investigate as the
12-16 commissioner considers necessary, and to prepare supplemental
12-17 reports, plats, and field notes the commissioner requires.
12-18 (b) The surveyor shall provide copies of all reports, plats,
12-19 field notes, and other information resulting from additional
12-20 surveys and investigation to all interested persons.
12-21 (c) An interested person may file exceptions or other
12-22 responses not later than the 20th day after the surveyor files the
12-23 required documents with the land office.
12-24 (d) Service of additional documents and exceptions or
12-25 responses to those documents shall be made as provided by Sections
12-26 51.181 and 51.183 of this code.
12-27 Sec. 51.185. ACTION ON APPLICATION. (a) Not later than the
13-1 90th day after the date on which the surveyor files the survey
13-2 report and other documents required to be filed, the commissioner
13-3 shall either deny the application as provided by Section 51.186 of
13-4 this code or hold a hearing to determine whether a vacancy exists.
13-5 (b) Except as provided by Section 51.192 of this code, the
13-6 commissioner may not find that a vacancy exists unless a hearing is
13-7 held.
13-8 (c) The commissioner shall decide all issues raised or that
13-9 could be raised by the application and any exceptions or responses
13-10 to the application, including the existence of a vacancy, the
13-11 boundaries of a vacancy, and the status and rights of any
13-12 interested person as a good-faith claimant or prior applicant.
13-13 (d) The commissioner may not decide in a proceeding on an
13-14 application any claim of the state or permanent school fund for
13-15 damages arising from trespass, the removal or use of minerals or
13-16 geothermal resources, mispayment of proceeds from the sale or use
13-17 of minerals or geothermal resources, damages to the soil,
13-18 vegetation, or other life or habitat, and similar or related
13-19 claims. Those claims may be asserted by the commissioner in
13-20 administrative proceedings under rules adopted by the commissioner
13-21 or through suit brought by the attorney general at the request of
13-22 the commissioner.
13-23 (e) Evidence or testimony regarding the existence or extent
13-24 of mineral development or other economic use of land claimed to be
13-25 vacant may not be introduced or considered, unless that evidence or
13-26 testimony is relevant to determine the existence or boundaries of
13-27 the alleged vacancy or the status of a person as a good-faith
14-1 claimant.
14-2 Sec. 51.186. DENIAL OF APPLICATION. (a) If, after
14-3 reviewing the survey report, any supplemental reports, any
14-4 exceptions to the reports, all pertinent publicly available records
14-5 of the land office and the state archives, and land office staff
14-6 recommendations, the commissioner decides that the land claimed to
14-7 be vacant is not vacant, the commissioner may enter an order
14-8 denying the application. The order shall contain findings of fact,
14-9 conclusions of law, and other matters the commissioner considers
14-10 appropriate.
14-11 (b) The commissioner shall promptly send a true copy of the
14-12 order denying the application to the applicant by certified mail,
14-13 return receipt requested.
14-14 (c) The commissioner shall place in the file assigned to the
14-15 application the original order, all materials filed by the
14-16 surveyor, all exceptions and responses to the surveyor's filings,
14-17 all memoranda provided to the commissioner by the land office
14-18 staff, a list of all files and records of the land office and state
14-19 archives examined by the staff or commissioner in connection with
14-20 the application, and all other relevant papers.
14-21 (d) An interested person may request a rehearing and appeal
14-22 the commissioner's order as provided by the Administrative
14-23 Procedure and Texas Register Act (Article 6252-13a, Vernon's Texas
14-24 Civil Statutes) and by rules adopted by the commissioner consistent
14-25 with that Act. If a rehearing is not requested, the order becomes
14-26 final on the 30th day after the date it is signed. If a rehearing
14-27 is requested and denied, the order becomes final on the date that
15-1 time for appeal to the district court expires. If appeal is taken,
15-2 the order becomes final on the date that a judgment disposing of
15-3 the order becomes final.
15-4 (e) When the commissioner's order denying the vacancy is
15-5 final, all rights under the application are terminated.
15-6 Sec. 51.187. EFFECT OF FINAL ORDER. (a) A final order of
15-7 the commissioner under this subchapter is conclusive with respect
15-8 to the land described in the application. A final order of the
15-9 commissioner does not have the effect of stare decisis.
15-10 (b) The cancellation, withdrawal, abandonment, or
15-11 termination of an application, the refusal of the commissioner to
15-12 accept an application for filing, or the order or judgment of any
15-13 court resulting in or affecting such an action has no effect on a
15-14 subsequent determination of whether any land described in the
15-15 application is vacant.
15-16 (c) A decision of the commissioner issued before September
15-17 1, 1993, that denies a vacancy application or letter of inquiry is
15-18 not conclusive as to the existence or nonexistence of a vacancy.
15-19 Sec. 51.188. RULEMAKING; VENUE OF APPEALS. (a) A hearing
15-20 under this subchapter and further proceedings arising from the
15-21 hearing shall be conducted in accordance with the Administrative
15-22 Procedure and Texas Register Act (Article 6252-13a, Vernon's Texas
15-23 Civil Statutes) and rules adopted by the commissioner consistent
15-24 with that Act.
15-25 (b) Appeal of a final order of the commissioner is to a
15-26 district court of the county in which the land claimed to be vacant
15-27 or a part of that land is located. The district court shall review
16-1 the commissioner's order under the substantial evidence rule.
16-2 Sec. 51.189. COMMISSIONER'S ORDER. (a) If it appears to
16-3 the commissioner that the alleged vacancy is not in conflict with
16-4 land previously titled, awarded, or sold by the state or its
16-5 predecessor sovereigns, the commissioner shall enter an order
16-6 declaring the existence of a vacancy and determining all other
16-7 issues.
16-8 (b) If it appears to the commissioner that the land claimed
16-9 to be vacant is not vacant, the commissioner shall enter an order
16-10 denying the application and determining all other issues.
16-11 (c) The commissioner shall base the order on the testimony
16-12 and other competent evidence presented at the hearing, the
16-13 surveyor's filings and all supplements to those filings, any
16-14 exceptions or responses to the surveyor's filings and all
16-15 supplements to those filings, and the publicly available records of
16-16 the land office and the state archives. The commissioner and the
16-17 examiner or examiners who conduct hearings on the application may
16-18 consult with the land office staff and the surveyor to the extent
16-19 permitted by the Administrative Procedure and Texas Register Act
16-20 (Article 6252-13a, Vernon's Texas Civil Statutes). The record
16-21 shall include a list of the names and titles of all staff
16-22 consulted, a list of the files and documents of the land office and
16-23 state archives examined, and a copy of all memoranda provided to
16-24 the examiners or commissioner by the land office staff or by the
16-25 surveyor.
16-26 (d) The order shall contain:
16-27 (1) findings of fact;
17-1 (2) conclusions of law;
17-2 (3) a field note description of the land, if any,
17-3 found to be vacant, sufficient to locate it on the ground, and
17-4 other elements required by law;
17-5 (4) an accurate plat of the land, if any, found to be
17-6 vacant consistent with the field notes and prepared by the surveyor
17-7 or a licensed state land surveyor on the land office staff; and
17-8 (5) other matters the commissioner considers
17-9 appropriate.
17-10 (e) The commissioner's order may adopt, without restating,
17-11 the findings of fact and conclusions of law stated in a proposal
17-12 for decision prepared by the examiner or examiners who conducted
17-13 the hearings and any opinion or statement contained in that
17-14 proposal for decision.
17-15 Sec. 51.190. DETERMINATION OF BOUNDARIES; REOPENING. (a)
17-16 In determining the boundaries and size of a vacancy, the
17-17 commissioner is not restricted to a description of the land claimed
17-18 to be vacant that is provided by the applicant, the surveyor, or an
17-19 interested party. The commissioner shall adopt the description of
17-20 a vacancy that best describes the vacancy and is consistent with
17-21 the information available under this section.
17-22 (b) If in determining the boundaries and size of a vacancy
17-23 it becomes apparent to the commissioner that persons who have not
17-24 been named as interested persons and who have not been served
17-25 notice of the proceeding under the application may be affected by
17-26 the finding that a vacancy exists at the location and with the
17-27 boundaries believed by the commissioner to conform to the record,
18-1 the proceeding shall be reopened and the persons affected shall be
18-2 joined as interested persons and given an opportunity to
18-3 participate adequately in the proceeding. This subsection does not
18-4 require the refiling of an application or the conduct of a new
18-5 survey by the surveyor.
18-6 Sec. 51.191. GOOD-FAITH CLAIMANT STATUS. (a) An applicant
18-7 or interested person who wishes to assert status as a good-faith
18-8 claimant may file notice of claim of good-faith status at any time
18-9 before the 20th day preceding the date on which the first hearing
18-10 before the commissioner begins. The notice of claim of good-faith
18-11 status shall state the grounds for the claim and describe the land
18-12 claimed to be affected by the good-faith status. The notice shall
18-13 be filed in the land office and served on all interested persons by
18-14 certified mail, return receipt requested.
18-15 (b) Filing notice of claim of good-faith status is not an
18-16 admission by the person asserting the claim that a vacancy exists.
18-17 Sec. 51.192. ORDER WITHOUT NOTICE AND HEARING. (a) An
18-18 applicant who asserts status as a good-faith claimant may present
18-19 evidence to the commissioner that:
18-20 (1) the good-faith claimant owns all of the land and
18-21 interest in land completely surrounding the land claimed to be
18-22 vacant;
18-23 (2) there is no subsisting prior application covering
18-24 the land described in the good-faith claimant's application;
18-25 (3) no previous application has been made covering the
18-26 land described in the good-faith claimant's application; and
18-27 (4) the good-faith claimant meets all other
19-1 requirements of a good-faith claimant.
19-2 (b) If the commissioner finds that the evidence presented is
19-3 accurate, further notice to other persons is not required and, on
19-4 acceptance for filing by the commissioner of a survey made by a
19-5 licensed state land surveyor or the county surveyor of the county
19-6 in which the land claimed to be vacant or a part of that land is
19-7 located, the commissioner may enter an order declaring the
19-8 existence of the vacancy and determining the good-faith status of
19-9 the applicant.
19-10 (c) For purposes of this section, land claimed to be vacant
19-11 and surrounded by lands owned only by the good-faith claimant and
19-12 the state is considered to be surrounded completely by land owned
19-13 by the good-faith claimant.
19-14 (d) Two or more persons may jointly apply as good-faith
19-15 claimants under this section if together they meet the requirements
19-16 of Subsection (a) of this section.
19-17 (e) A person who would have been an interested person under
19-18 an application made under this subchapter by a person other than a
19-19 good-faith claimant may move to set aside an order entered under
19-20 this section by filing a written motion with the commissioner not
19-21 later than the second anniversary of the date of that order. The
19-22 person shall serve a true copy of the motion by certified mail,
19-23 return receipt requested, on the applicant and all persons holding
19-24 or claiming under the applicant.
19-25 (f) The commissioner shall set aside an order issued under
19-26 this section finding that a vacancy exists if, after notice and
19-27 hearing, the commissioner finds that the person asserting rights
20-1 under this section, at the time the order declaring the vacancy was
20-2 entered, did not:
20-3 (1) qualify as a good-faith claimant under this
20-4 subchapter;
20-5 (2) own all of the land and interests in land
20-6 surrounding the land claimed to be vacant; or
20-7 (3) meet another material requirement of this section.
20-8 (g) The commissioner on the commissioner's own motion may
20-9 set aside an order after notice and hearing as required by
20-10 Subsections (e) and (f) of this section.
20-11 (h) If the order is set aside, the commissioner shall reopen
20-12 the proceeding on the application and conduct the reopened
20-13 proceeding in the same manner as proceedings on other applications.
20-14 (i) The issues in a reopened proceeding are limited to the
20-15 status of the applicant as a good-faith claimant entitled to rights
20-16 under this section and the rights of any other person as an
20-17 applicant or good-faith claimant.
20-18 (j) An application of a good-faith claimant who does not own
20-19 all of the land and interests in land completely surrounding the
20-20 land claimed to be vacant is treated as an application under other
20-21 sections of this subchapter.
20-22 Sec. 51.193. SALE OR LEASE OF VACANCY. (a) When a vacancy
20-23 has been established by final order, the school land board may sell
20-24 or lease the vacancy as provided by this subchapter.
20-25 (b) The board shall set the sale price and other terms and
20-26 conditions as in all other sales of other lands dedicated to the
20-27 permanent school fund. The sale price may not be less than the
21-1 fair market value as determined by an appraisal conducted by the
21-2 land office.
21-3 (c) The fee prescribed in Section 32.110(a) of this code
21-4 applies to all sales and leases made under this subchapter.
21-5 (d) The board may allow a credit against the sale price in
21-6 an amount not to exceed the actual cost of the survey paid by an
21-7 applicant or good-faith claimant if:
21-8 (1) the purchaser is a person exercising a
21-9 preferential right to purchase under this subchapter;
21-10 (2) the board has reserved all mineral and geothermal
21-11 leasing rights; and
21-12 (3) the board finds that the fair market value of the
21-13 mineral estate is equal to or exceeds 50 percent of the amount of
21-14 the credit.
21-15 Sec. 51.194. CONDITIONS OF SALE; MINERAL AWARDS. (a) In
21-16 all sales, the board shall reserve to the permanent school fund all
21-17 oil, gas, sulphur, and other minerals and geothermal resources and
21-18 shall determine the manner in which those minerals and geothermal
21-19 resources are to be leased.
21-20 (b) Before the sale of a vacancy, the land office shall
21-21 prepare and present to the board a study of the mineral prospects
21-22 and value of the vacancy, taking into consideration the size and
21-23 configuration of the vacancy, its location with respect to other
21-24 surrounding and nearby tracts, the proximity of mineral production,
21-25 and the likelihood of future mineral leasing and development. The
21-26 study shall include a recommendation as to the method most
21-27 advantageous to the state by which the vacancy could be leased.
22-1 (c) The board shall review the study and land office
22-2 recommendations and shall determine whether:
22-3 (1) the state shall retain all leasing rights and the
22-4 vacancy shall be leased as provided in Subchapter B, Chapter 52,
22-5 and Subchapters B and E, Chapter 53, of this Code; or
22-6 (2) the owner of the soil shall be designated to
22-7 execute leases as the agent of the state subject to the rights,
22-8 obligations, and liabilities of Subchapter F, Chapter 52, and
22-9 Subchapter C, Chapter 53, of this code.
22-10 (d) If the board determines that the owner of the soil shall
22-11 act as agent under Subsection (c)(2) of this section, the board
22-12 shall establish the division of bonus, rental, and royalty between
22-13 the permanent school fund and the owner of the soil. The portion
22-14 to be paid to the owner of the soil may not be less than 20 percent
22-15 or more than 50 percent. The board may establish different
22-16 portions to be paid to the owner of the soil for the lease of
22-17 different substances.
22-18 (e) If the board provides for lease by the owner of the soil
22-19 under Subsection (c)(2) of this section, the original purchaser is
22-20 a good-faith claimant, and the vacancy was established under an
22-21 application made by a person other than a good-faith claimant, the
22-22 board shall award the applicant a perpetual nonparticipating
22-23 royalty of not less than 1/32 or more than 1/16 of the value of all
22-24 oil, gas, and sulphur produced and not less than one percent or
22-25 more than two percent of the value of other minerals produced.
22-26 (f) If the board determines that the state shall retain all
22-27 leasing rights as provided in Subsection (c)(1) of this section,
23-1 the board shall award:
23-2 (1) to an applicant other than a good-faith claimant,
23-3 a perpetual nonparticipating royalty of 1/32 of the value of oil,
23-4 gas, and sulphur produced and one percent of the value of other
23-5 minerals produced; and
23-6 (2) to a good-faith claimant purchasing the vacancy, a
23-7 nonparticipating royalty of 1/32 of the value of oil, gas, and
23-8 sulphur produced and one percent of the value of other minerals
23-9 produced.
23-10 (g) If a preferential right to obtain the first mineral
23-11 lease on a vacancy is exercised, the applicant, whether or not a
23-12 good-faith claimant, is entitled to a royalty credit equal to 1/4
23-13 of the royalty retained by the state under the lease for a period
23-14 of five years from the date of first production under the first
23-15 lease awarded.
23-16 Sec. 51.195. PREFERENTIAL RIGHT OF GOOD-FAITH CLAIMANT. (a)
23-17 A good-faith claimant has a preferential right to purchase or lease
23-18 the portion of a vacancy subject to the good-faith claim.
23-19 (b) A good-faith claimant may exercise the preferential
23-20 right by filing a notice of intent to purchase or lease, on a form
23-21 prescribed by the board, not later than the 90th day after the date
23-22 the order establishing the vacancy becomes final. The good-faith
23-23 claimant shall describe in the notice the portion of the vacancy
23-24 the good-faith claimant seeks to purchase or lease. The good-faith
23-25 claimant shall mail a copy of the notice to the applicant and to
23-26 all other interested persons who have asserted status as good-faith
23-27 claimants.
24-1 (c) All preferential rights held by a good-faith claimant
24-2 expire if the good-faith claimant does not file the notice of
24-3 intent within the time prescribed by Subsection (b) of this section
24-4 or does not complete the purchase or lease within 60 days after the
24-5 board sets the terms of the purchase or lease. For good cause
24-6 shown, the board may extend the time to complete the purchase or
24-7 lease by a period not to exceed 90 days.
24-8 (d) A good-faith claimant exercising a preferential right
24-9 shall repay to the applicant the applicant's reasonable expenses
24-10 incurred in determining the existence of a vacancy, excluding
24-11 filing and attorney fees, not later than the date on which the sale
24-12 or purchase by the good-faith claimant is completed. Failure to
24-13 pay the expenses cancels the preferential right of the good-faith
24-14 claimant.
24-15 Sec. 51.196. PREFERENTIAL RIGHT OF APPLICANT OTHER THAN
24-16 GOOD-FAITH CLAIMANT. (a) On the expiration of the preferential
24-17 right of a good-faith claimant to purchase or lease or if there is
24-18 no good-faith claimant, an applicant who is not a good-faith
24-19 claimant has a preferential right to purchase or lease all or any
24-20 portion of the vacancy.
24-21 (b) An applicant may exercise the preferential right by
24-22 filing a notice of intent to purchase or lease, on a form
24-23 prescribed by the board, not later than the 90th day after the date
24-24 on which the rights of the good-faith claimant expire. The
24-25 applicant shall describe in the notice the portion of the vacancy
24-26 the applicant seeks to purchase or lease. The applicant shall mail
24-27 a copy of the notice to all other interested persons asserting
25-1 status as good-faith claimants.
25-2 (c) All preferential rights held by an applicant expire if
25-3 the applicant does not file the notice of intent within the time
25-4 prescribed by Subsection (b) of this section or does not complete
25-5 the purchase or lease within 60 days after the date on which the
25-6 board sets the terms of the purchase or lease. For good cause
25-7 shown, the board may extend the time to complete the purchase or
25-8 lease by a period not to exceed 90 days.
25-9 Sec. 51.197. RIGHTS ASSIGNABLE. An applicant or good-faith
25-10 claimant may assign all rights in a vacancy or land claimed to be
25-11 vacant. The assignment must be in writing. The assignor shall
25-12 record the assignment in the real property records of the county or
25-13 counties in which the vacancy or land claimed to be vacant is
25-14 located and file a certified copy of the recorded assignment in the
25-15 land office.
25-16 Sec. 51.198. LEASE TERMS UNDER PREFERENTIAL RIGHTS. The
25-17 board shall prescribe terms for preferential purchases or leases
25-18 consistent with this subchapter. The board may not grant a
25-19 preferential lease with a royalty of less than 1/8 of the value of
25-20 all oil, gas, and sulphur produced or less than five percent of the
25-21 value of all geothermal resources and all other minerals produced.
25-22 The board may grant a preferential lease of coal or lignite with a
25-23 lesser royalty if the board determines that a lesser royalty is
25-24 necessary to promote development of coal or lignite, but the board
25-25 may not grant a preferential lease of coal or lignite with a
25-26 royalty of less than $0.20 for each short ton.
25-27 Sec. 51.199. EFFECT OF PRIOR CONVEYANCES. (a) A mineral
26-1 lease, surface lease, deed, or any other conveyance of any interest
26-2 in land executed by a good-faith claimant before the date of
26-3 completion of a sale or lease under this subchapter does not give
26-4 the grantee under that conveyance any interest in or to the vacancy
26-5 or its minerals.
26-6 (b) A title to land or an interest in land acquired from the
26-7 state under a preferential right does not pass as after-acquired
26-8 title under a covenant of general warranty, description, or other
26-9 provision contained in a conveyance executed before the date of
26-10 completion of a sale or lease under this subchapter.
26-11 Sec. 51.200. RULEMAKING AUTHORITY. (a) The commissioner
26-12 may adopt rules consistent with this subchapter relating to
26-13 applications to purchase or lease vacancies and the determination
26-14 of the existence of vacancies.
26-15 (b) The board may adopt rules consistent with this
26-16 subchapter relating to sale and lease of vacancies.
26-17 <Sec. 51.171. SALE AND LEASE OF VACANT LAND. Vacant and
26-18 unsurveyed public school land except riverbeds, channels, islands,
26-19 lakes, bays, and other areas in tidewater limits shall be sold and
26-20 leased under the provisions of this subchapter.>
26-21 <Sec. 51.172. DEFINITIONS. In this subchapter:>
26-22 <(1) "Good faith claimant" and "claimant" mean any
26-23 person:>
26-24 <(A) who occupies or uses or has previously
26-25 occupied or used or whose predecessors in interest have occupied or
26-26 used a vacancy for purposes other than exploring for or removing
26-27 oil, gas, sulphur, or other minerals from the vacancy; and>
27-1 <(B) who has himself or whose predecessors in
27-2 interest had the vacancy enclosed or within definite recognized
27-3 boundaries and in possession for a period of 10 years with a
27-4 good-faith belief that the vacancy was included inside the
27-5 boundaries of the survey or surveys that were previously titled,
27-6 awarded, or sold under circumstances that would have vested title
27-7 in the vacancy if it were actually located within the boundaries of
27-8 the survey or surveys whose boundaries are recognized boundaries in
27-9 the community.>
27-10 <(2) "Vacancy" means an area of unsurveyed public
27-11 school land that:>
27-12 <(A) is not in conflict on the ground with land
27-13 previously titled, awarded, or sold;>
27-14 <(B) has not been listed on the records of the
27-15 land office as public school land; and>
27-16 <(C) was, on the date of filing, neither subject
27-17 to an earlier subsisting application to purchase or lease by a
27-18 discoverer or claimant nor involved in pending litigation brought
27-19 by the state to recover the land.>
27-20 <(3) "Applicant" means any person, other than a
27-21 good-faith claimant, who discovers and files an application to
27-22 purchase or lease a vacancy.>
27-23 <Sec. 51.174. PURCHASE OF VACANCY BY ADJOINING LANDOWNER.
27-24 If the owner of the land adjoining an alleged vacancy files an
27-25 application to purchase the vacancy and no application to purchase
27-26 or lease the vacancy has been previously filed, the owner of the
27-27 adjoining land, who otherwise qualifies as a good-faith claimant,
28-1 shall be considered a good-faith claimant regardless of the length
28-2 of time he has owned the adjoining land or has enclosed the vacancy
28-3 or has had it within definite recognized boundaries and in
28-4 possession with the belief that the vacancy was included within his
28-5 survey.>
28-6 <Sec. 51.175. APPLICATION TO PURCHASE OR LEASE A VACANCY.
28-7 (a) An applicant who claims that a vacancy exists and who desires
28-8 to purchase or lease the vacancy shall file with the county
28-9 surveyor in the county in which any part of the vacancy is located
28-10 a sworn written application in duplicate to purchase or lease the
28-11 vacancy.>
28-12 <(b) The application shall.>
28-13 <(1) describe the land that is claimed to be vacant;>
28-14 <(2) state the desire of the applicant to purchase or
28-15 lease the land under the provisions of this chapter;>
28-16 <(3) give the names and addresses of any owners or
28-17 claimants of land or any interest in land or of leases on,
28-18 adjoining, overlapping, or including the land claimed to be vacant
28-19 as far as can be determined from the records of the land office and
28-20 the county clerk's office in the county in which the land is
28-21 located and the tax records of the county in which the land is
28-22 located;>
28-23 <(4) give the names and addresses of any persons who,
28-24 from facts known to the applicant, assert any right to the alleged
28-25 vacant land; and>
28-26 <(5) state that the applicant knows of no other
28-27 claimants than those listed.>
29-1 <Sec. 51.176. FILING FEE. At the time the application is
29-2 filed, the applicant shall pay to the county surveyor a filing fee
29-3 set by the board of not less than $5.>
29-4 <Sec. 51.177. FILING APPLICATION WITH COUNTY. (a) The
29-5 county surveyor shall mark the exact date and hour of filing on the
29-6 original and duplicate copy of each application and shall return
29-7 one copy of the application to the applicant and shall record the
29-8 other copy in a book kept for that purpose.>
29-9 <(b) If the county does not have a county surveyor, the
29-10 preliminary filing of the application shall be with the county
29-11 clerk. The county clerk shall record the application in a book
29-12 kept for that purpose and not in the deed records.>
29-13 <Sec. 51.178. FILING APPLICATION WITH COMMISSIONER. (a)
29-14 Within 10 days after the application is filed with the county
29-15 surveyor, the copy of the application that is returned to the
29-16 applicant shall be filed with the commissioner.>
29-17 <(b) The commissioner shall mark the date of filing on the
29-18 application.>
29-19 <(c) The applicant shall pay to the commissioner a filing
29-20 fee set by the commissioner in an amount not less than $100.>
29-21 <(d) Failure to file the application with the commissioner
29-22 in the time provided by this section and to pay the filing fee
29-23 constitutes a waiver of all rights under the application.>
29-24 <(e) As between applicants, priority dates from the time of
29-25 filing the application with the county surveyor.>
29-26 <Sec. 51.179. DEPOSIT. (a) The commissioner shall notify
29-27 the applicant by letter of the estimated cost of proceeding under
30-1 the application, and within 30 days after the date of the
30-2 commissioner's letter, the applicant shall make a deposit with the
30-3 commissioner to pay the cost of the work that may be necessary to
30-4 comply with the request contained in the application.>
30-5 <(b) On failure to make the deposit required under this
30-6 section, all rights under the application are lost.>
30-7 <Sec. 51.180. INSUFFICIENT DEPOSIT. (a) If the deposit is
30-8 insufficient, the applicant shall be requested by letter to make a
30-9 further deposit of an amount determined by the commissioner.>
30-10 <(b) If the further deposit is not made within 30 days after
30-11 the date of the letter, work shall be discontinued and the
30-12 application canceled with the cancellation endorsed on the
30-13 application.>
30-14 <(c) On cancellation, the right to purchase or lease the
30-15 vacancy under the application is lost.>
30-16 <Sec. 51.181. APPEAL OF AMOUNT OF DEPOSIT. (a) The
30-17 applicant is entitled to appeal the estimated cost determined by
30-18 the commissioner to a district court in Travis County by giving
30-19 written notice to the commissioner within 15 days after receiving
30-20 the estimated cost from the commissioner as provided in Sections
30-21 51.179 through 51.180 of this code.>
30-22 <(b) The applicant has 15 days after the district court
30-23 enters its decision in which to pay the amount ordered by the
30-24 court's decision.>
30-25 <Sec. 51.182. DEPOSITS AS TRUST FUND. Deposits provided
30-26 under Sections 51.179 through 51.180 of this code shall be a
30-27 special trust fund to be used only for the purpose authorized by
31-1 this subchapter.>
31-2 <Sec. 51.183. STATEMENT AND REFUND OF REMAINING DEPOSIT. As
31-3 soon as the total expense properly charged against the deposit is
31-4 determined, the commissioner shall render a complete statement to
31-5 the applicant together with any balance remaining from the
31-6 deposit.>
31-7 <Sec. 51.184. NOTICE OF INTENTION TO SURVEY. (a) After the
31-8 application is filed with the commissioner and the deposit is made,
31-9 the commissioner shall mail a notice of intention to survey to all
31-10 persons named as interested persons in the application at the
31-11 addresses provided in the application and to the attorney general.>
31-12 <(b) The notices shall be deposited in the post office in
31-13 Austin at least 10 days before the date set for the beginning of
31-14 the survey.>
31-15 <Sec. 51.185. APPOINTMENT OF SURVEYOR. (a) The
31-16 commissioner shall appoint a surveyor to make the survey in
31-17 accordance with the notice of intention to survey.>
31-18 <(b) The surveyor shall be a surveyor licensed by the state
31-19 or the county surveyor of the county in which the vacancy or part
31-20 of the vacancy is located.>
31-21 <(c) The fees and expenses paid for the survey shall be the
31-22 same as provided by law, and if the fees and expenses are not
31-23 provided by law, the commissioner and surveyor shall make an
31-24 agreement as to fees and expenses that shall not be more than an
31-25 amount that is reasonable for the work performed.>
31-26 <(d) The fees and expenses shall be paid by the applicant.>
31-27 <Sec. 51.186. SURVEY REPORT. (a) Except as provided in
32-1 Subsection (b) of this section, a written report of the survey,
32-2 together with field notes describing the land and the lines and
32-3 corners surveyed and a plat showing the results of the survey,
32-4 shall be filed in the land office within 120 days from the filing
32-5 of the application.>
32-6 <(b) The commissioner may extend the time for filing the
32-7 survey if good cause is shown. The cause for extension of time
32-8 shall be stated in writing and filed as part of the record of the
32-9 proceedings. An extension of time may not be more than 60 days.>
32-10 <(c) The survey report shall give the names and post office
32-11 addresses of all persons who have possession of the land described
32-12 in the application and of all persons found by the surveyor who
32-13 have or claim any interest in the land.>
32-14 <Sec. 51.187. PERSONAL SURVEY. Any interested party at his
32-15 own expense may have any surveying done that he considers
32-16 desirable.>
32-17 <Sec. 51.188. HEARING AND NOTICE. (a) Within 60 days after
32-18 the surveyor makes his report, a hearing may be held before the
32-19 commissioner to determine whether or not there is a vacancy.>
32-20 <(b) The date for the hearing shall be provided in the
32-21 notice that the commissioner shall give to all persons thought to
32-22 be interested parties and to all persons shown by the record of the
32-23 proceeding to be interested parties, including the attorney
32-24 general.>
32-25 <(c) The notice of the hearing shall be deposited at the
32-26 post office in Austin at least 10 days before the date set for the
32-27 hearing.>
33-1 <(d) At the hearing, the state and each interested party,
33-2 whether or not he received notice, is entitled to be heard.>
33-3 <(e) The hearing shall be conducted in accordance with the
33-4 provisions of the Administrative Procedure and Texas Register Act
33-5 (Article 6252 13a, Vernon's Texas Civil Statutes).>
33-6 <Sec. 51.189. DETERMINATION OF VACANCY BY COMMISSIONER. (a)
33-7 If it appears to the commissioner that the alleged vacancy is not
33-8 in conflict with land previously titled, awarded, or sold by the
33-9 state, he shall give prompt notice of this finding to the applicant
33-10 and to all persons who were previously identified as interested
33-11 parties.>
33-12 <(b) After the notice is given under Subsection (a) of this
33-13 section, and subject to the preferential right of a good-faith
33-14 claimant, the applicant is entitled for 120 days to purchase or
33-15 lease the portion of the land that is determined to be vacant at a
33-16 price set by the board as provided in this code and with the same
33-17 royalty reservation as provided in Section 51.201 of this code.>
33-18 <(c) No award may be made by the commissioner unless a
33-19 hearing is held, and no presumption may obtain in a suit involving
33-20 the existence of a vacancy as a result of the action of the
33-21 commissioner in this respect.>
33-22 <Sec. 51.190. PURCHASE OR LEASE BY APPLICANT. (a) If there
33-23 is no good-faith claimant or if no good-faith claimant exercises
33-24 his preferential right within the time allowed, the applicant is
33-25 entitled to purchase or lease, according to his application, the
33-26 vacancy for which he made application and which is found to exist.>
33-27 <(b) Consideration shall be determined by the board as
34-1 provided in this subchapter, but without consideration of potential
34-2 mineral value.>
34-3 <Sec. 51.191. SUIT TO RECOVER LAND. A good-faith claimant
34-4 of a vacant or unsurveyed tract of land has 30 days after the sale
34-5 or lease of the land to the applicant to institute suit to set
34-6 aside the sale or lease of the land. If the suit is not instituted
34-7 within the 30 day period by the good-faith claimant, he loses all
34-8 preferential rights to purchase or lease the land.>
34-9 <Sec. 51.192. DENIAL OF VACANCY BY COMMISSIONER. (a) If
34-10 the commissioner decides that the area alleged to be vacant is not
34-11 vacant, he shall endorse this decision on the application and file
34-12 it with his finding.>
34-13 <(b) The commissioner shall promptly notify the applicant of
34-14 his decision by registered mail and shall file all reports and
34-15 papers received in connection with the application.>
34-16 <(c) After the commissioner takes all action provided under
34-17 Subsections (a) and (b) of this section, he shall take no further
34-18 action with respect to the application unless the existence of the
34-19 alleged vacancy is determined by a court of competent jurisdiction.>
34-20 <(d) Within 90 days after the commissioner's decision is
34-21 mailed, unless the applicant files suit in a district court in a
34-22 county in which part of the alleged vacancy is located to litigate
34-23 the question of the existence of a vacancy, the applicant's
34-24 application and all preference rights acquired to purchase or lease
34-25 the alleged vacancy become null and void.>
34-26 <Sec. 51.193. PREFERENTIAL RIGHT OF GOOD FAITH CLAIMANT.
34-27 (a) A good-faith claimant who ascertains that a vacancy exists or
35-1 that a claimed vacancy may exist or who has been notified by the
35-2 commissioner that a vacancy has been found to exist on land claimed
35-3 by him shall have a preferential right to purchase or lease the
35-4 vacancy at any time until 90 days after a decision of the
35-5 commissioner declaring the existence of a vacancy.>
35-6 <(b) The good-faith claimant may purchase or lease the
35-7 vacancy by submitting a written application to the commissioner for
35-8 the purchase or lease of the vacancy and by furnishing to the
35-9 commissioner satisfactory proof that he is a good-faith claimant.>
35-10 <(c) The good-faith claimant is entitled to purchase or
35-11 lease the portion of the land that is vacant at the price set by
35-12 the board subject to the royalty reservations provided in this
35-13 subchapter which are effective on the date the application is
35-14 filed.>
35-15 <Sec. 51.194. TERM OF PREFERENTIAL RIGHT. A good-faith
35-16 claimant has a preferential right to purchase the land alleged or
35-17 adjudicated to be vacant until 90 days after the final judicial
35-18 determination of the existence of the vacancy.>
35-19 <Sec. 51.195. EFFECT OF GOOD FAITH CLAIMANT'S APPLICATION.
35-20 The application of a good-faith claimant may not be used or
35-21 considered as an admission on his part that a vacancy exists.>
35-22 <Sec. 51.196. PROCEDURE FOR PURCHASE OR LEASE BY GOOD-FAITH
35-23 CLAIMANT. (a) On the date a good-faith claimant's application is
35-24 filed, if there is no valid and subsisting application previously
35-25 filed by an applicant covering the alleged vacancy, the application
35-26 of the good-faith claimant shall be filed and shall be accompanied
35-27 by:>
36-1 <(1) a filing fee set by the commissioner in an amount
36-2 not less than $1;>
36-3 <(2) a written report of a surveyor licensed by the
36-4 state or by the county surveyor of any county in which all or part
36-5 of the alleged vacancy is located;>
36-6 <(3) field notes describing the land and the lines and
36-7 corners surveyed;>
36-8 <(4) a plat showing the results of the survey; and>
36-9 <(5) any proof that will show to the satisfaction of
36-10 the commissioner that the applicant is a good-faith claimant.>
36-11 <(b) The good-faith claimant may file his application to
36-12 purchase or lease and within 120 days from the date of filing the
36-13 application with the commissioner have a survey made of the alleged
36-14 vacancy and file the report, field notes, and plat in the land
36-15 office together with proof that he is a good-faith claimant.>
36-16 <(c) If it appears to the commissioner that the alleged
36-17 vacancy is not in conflict with land previously titled, awarded, or
36-18 sold by the state, the commissioner shall grant the application
36-19 under the provisions of this subchapter. Before the application is
36-20 granted, the commissioner may hold a hearing at which interested
36-21 persons may appear.>
36-22 <Sec. 51.197. FAILURE TO EXERCISE PREFERENTIAL RIGHT WITHIN
36-23 CERTAIN TIME. (a) If the good-faith claimant does not exercise
36-24 his preferential right to purchase within 90 days after a decision
36-25 of the commissioner under the provisions of this subchapter, the
36-26 applicant shall be awarded an oil, gas, and mineral lease on not
36-27 more than seven eighths of the minerals.>
37-1 <(b) The consideration for the lease shall not be less than
37-2 $1 an acre, and the lease shall be for a primary term set by the
37-3 board of not more than five years.>
37-4 <(c) The lease shall be subject to other consideration and
37-5 terms required by the board and the preferential right of a
37-6 good-faith claimant until 90 days after final judicial
37-7 determination under Section 51.194 of this code.>
37-8 <Sec. 51.198. REPAYMENT OF APPLICANT'S EXPENSES. Within 90
37-9 days after the commissioner declares the vacancy to exist, the
37-10 good-faith claimant shall repay to the applicant the expenses
37-11 incurred in determining the existence of a vacancy, except filing
37-12 fees, as provided in this subchapter or the good-faith claimant
37-13 will lose all preferential rights to purchase or lease the land.>
37-14 <Sec. 51.199. JUDICIAL DETERMINATION OF GOOD FAITH CLAIMANT.
37-15 If the commissioner fails to determine whether or not there is a
37-16 good-faith claimant or if his decision is questioned by an
37-17 applicant or by a person asserting to be a good-faith claimant, the
37-18 issue shall be determined in any suit brought under this subchapter
37-19 to determine the existence of the alleged vacancy.>
37-20 <Sec. 51.200. RIGHTS OF HOLDERS OF TITLE AND HOLDERS OF
37-21 INTERESTS IN TITLE OF A CLAIMANT. (a) If all owners holding title
37-22 under the claimant or an interest in the title under which the
37-23 claimant claims to be a good-faith claimant accept the provisions
37-24 of this section and contribute their proportionate part of the
37-25 royalty reserved to the state and the royalty awarded to the
37-26 applicant, the purchase by the good-faith claimant under the
37-27 preferential right inures distributively to their benefit.>
38-1 <(b) The royalty reservations shall be deducted
38-2 distributively and proportionately from the mineral interest of
38-3 each owner including mineral leases if the area is under a mineral
38-4 lease.>
38-5 <(c) As a condition of this subchapter, the good-faith
38-6 claimant receiving the patent or award or for whose benefit a
38-7 patent or award is received shall recognize the proportionate
38-8 interests of other owners who benefit by the award of the
38-9 preferential right. >
38-10 <(d) The consideration for the purchase shall be determined
38-11 by the board without considering the potential value of minerals or
38-12 any improvements located on the vacancy but shall not be less than
38-13 $1 an acre. The state retains the right to recover from the party
38-14 or parties liable the market value when produced of all oil, gas,
38-15 sulphur, or other minerals that may have been produced from the
38-16 area before the effective date of the patent or award less an
38-17 offset to the operator for the actual cost of development and
38-18 production.>
38-19 <(e) No mineral lease executed by a good-faith claimant
38-20 before filing the vacancy claim may give the lessee any interest in
38-21 or to the vacancy.>
38-22 <(f) No title to land or to a mineral interest in land
38-23 acquired from the state under a preferential right may be held to
38-24 pass as after acquired title because of any covenant of general
38-25 warranty, description, or other provision contained in any
38-26 conveyance executed before the date of award under the preferential
38-27 right.>
39-1 <Sec. 51.201. RESERVATION OF MINERALS. (a) If a good-faith
39-2 claimant purchases a vacancy located within five miles of a well
39-3 producing oil, gas, or other minerals in commercial quantities, not
39-4 less than a free royalty of one eighth of all oil, gas, sulphur,
39-5 and other minerals shall be reserved to the state.>
39-6 <(b) If a vacancy that is not covered by Subsection (a) of
39-7 this section is sold, not less than a free royalty of one sixteenth
39-8 of all oil and gas production and one eighth of all sulphur and
39-9 other minerals shall be reserved to the state.>
39-10 <(c) If a good-faith claimant fails to exercise his
39-11 preferential right to purchase a vacancy within 90 days after the
39-12 commissioner determines the existence of the vacancy, the mineral
39-13 interest reserved by the state shall be not less than a free
39-14 royalty of one eighth of the oil and gas and not less than a free
39-15 royalty of one sixth of the sulphur and other minerals.>
39-16 <(d) The state shall reserve not less than a free royalty of
39-17 one eighth of all oil, gas, sulphur, and other minerals on
39-18 vacancies that are leased by the state as determined by the board.>
39-19 <(e) An oil, gas, or other mineral lease on land in which
39-20 the state reserves a free royalty interest is not effective until a
39-21 certified copy of the recorded lease is filed in the General Land
39-22 Office.>
39-23 <Sec. 51.202. MINERAL RESERVATIONS UNDER SALE MADE TO
39-24 CLAIMANT AFTER 90 DAY DEADLINE. If a good-faith claimant does not
39-25 exercise his preferential right to purchase until after 90 days
39-26 after the decision of the commissioner determining the existence of
39-27 a vacancy, the sale made to the claimant shall be subject to a
40-1 reservation to the state of not less than a free royalty of one
40-2 eighth of all oil, gas, sulphur, and other minerals and subject to
40-3 any lease made by the state to the applicant.>
40-4 <Sec. 51.203. ROYALTY FOR APPLICANT. If there is a valid
40-5 subsisting application previously filed by an applicant on the date
40-6 that the good-faith claimant files his application to purchase
40-7 under a preferential right, and if the good-faith claimant
40-8 exercises his preferential right to purchase within 90 days after
40-9 the commissioner's decision under this subchapter, a free royalty
40-10 of one sixteenth of all oil, gas, sulphur, and other minerals that
40-11 may be produced from the land shall be added to the royalty
40-12 interest reserved to the state and shall be awarded by the state to
40-13 the applicant. The free royalty shall be deducted proportionately
40-14 from the good-faith claimant's award.>
40-15 <Sec. 51.205. APPEAL. (a) A person who is aggrieved by any
40-16 action taken by the commissioner under the provisions of this
40-17 subchapter or with reference to any application to purchase or
40-18 lease a vacancy may institute suit in the district court of any
40-19 county in which part of the land is located to try the issues of
40-20 boundary, title, ownership of any alleged vacancy involved, and
40-21 preferential rights of the person.>
40-22 <(b) Within 30 days after the suit is filed, the plaintiff
40-23 shall have a certified copy of the original petition served on the
40-24 attorney general and the commissioner by the sheriff or a constable
40-25 of Travis County and shall have the officer's return filed with the
40-26 papers in the suit.>
40-27 <(c) Whether the attorney general answers or intervenes in
41-1 the suit or institutes a suit, the venue of all suits following the
41-2 filing of the application shall be in the county in which the land
41-3 or part of the land is located.>
41-4 <(d) If the litigation is prosecuted to a final judgment,
41-5 the judgment is binding on the state.>
41-6 <(e) The attorney general must intervene on behalf of the
41-7 state in suits brought under this section.>
41-8 <(f) The suit must be filed in accordance with the
41-9 provisions of the Administrative Procedure and Texas Register Act
41-10 (Article 6252-13a, Vernon's Texas Civil Statutes) relating to
41-11 appeals from agency decisions.>
41-12 SECTION 2. Section 118.161, Local Government Code, is
41-13 amended to read as follows:
41-14 Sec. 118.161. Fee Schedule. A county surveyor shall collect
41-15 the following fees:
41-16 (1) for recording the field notes and plat of a survey
41-17 for a tract of land, providing copies of field notes, plats, or
41-18 other papers or records, and certifying any copies, the same amount
41-19 collected by the county clerk of the county as a filing fee;
41-20 (2) for surveying a tract of land or designating a
41-21 homestead:
41-22 (A) the actual expenses incurred, including all
41-23 expenses of making the survey, preparing a survey report, field
41-24 notes, plat, and other documents required by law, and filing those
41-25 documents in the records of the county surveyor or the General Land
41-26 Office; and
41-27 (B) any fees for surveying services agreed on by
42-1 the county surveyor and the person seeking the services; and
42-2 (3) for filing an application to purchase or lease a
42-3 vacancy or for surveying a vacancy, the amounts provided by
42-4 Subchapter E, Chapter 51, Natural Resources Code. <Inspecting and
42-5 recording the field notes and plat of a survey for any tract of
42-6 land:>
42-7 <(A) less than one-third of a league ..... $1.00>
42-8 <(B) one-third of a league ............... $2.00>
42-9 <(C) more than one-third of a league ..... $3.00>
42-10 <(2) Recording surveys and plats required by law to be
42-11 placed on the map of a new county, for each 100
42-12 words ................................... $0.20>
42-13 <(3) Examination of papers and records in his office
42-14 at the request of any person ............ $0.25>
42-15 <(4) Copies of all field notes and plats, or other
42-16 papers or records in the office, for each 100
42-17 words, including certificate ............ $0.20>
42-18 <(5) Surveying of any tract of land, including all
42-19 expenses in making the survey, and returning the
42-20 plat and field notes of the survey:>
42-21 <(A) for each English lineal mile actually run
42-22 .................................... $3.00>
42-23 <(B) for less than one English lineal mile run
42-24 .................................... $2.50>
42-25 <(6) Services in designating a homestead, including
42-26 pay for chain carriers, for each day's service
42-27 ......................................... $5.00>
43-1 SECTION 3. Subsection (b), Section 72.006, Local Government
43-2 Code, is amended to read as follows:
43-3 (b) A surveyor appointed under this chapter is entitled to
43-4 receive the actual expenses incurred in making the survey and any
43-5 fees for surveying services agreed on by the surveyor and the
43-6 counties <$3 for each mile surveyed>.
43-7 SECTION 4. Subsection (a), Section 21.078, Natural Resources
43-8 Code, is amended to read as follows:
43-9 (a) The plane coordinate values for a point on the earth's
43-10 surface, to be used in expressing the position or location of the
43-11 point in the appropriate zone, of either system, shall consist of
43-12 two distances, expressed in U.S. Survey Feet and decimals of a foot
43-13 when using the Texas Coordinate System of 1927 and expressed either
43-14 in meters and decimals of a meter or in U.S. Survey Feet or
43-15 decimals of a foot when using the Texas Coordinate System of 1983.
43-16 SECTION 5. (a) The change in law made by this Act applies
43-17 only to an application to purchase or lease a vacancy under
43-18 Subchapter E, Chapter 51, Natural Resources Code, that is filed
43-19 with a county surveyor or county clerk on or after the effective
43-20 date of this Act.
43-21 (b) An application filed before that date is governed by the
43-22 law in effect on the date the application is filed, and the former
43-23 law is continued in effect for that purpose.
43-24 SECTION 6. This Act takes effect September 1, 1993.
43-25 SECTION 7. The importance of this legislation and the
43-26 crowded condition of the calendars in both houses create an
43-27 emergency and an imperative public necessity that the
44-1 constitutional rule requiring bills to be read on three several
44-2 days in each house be suspended, and this rule is hereby suspended.