BILL ANALYSIS H.B. 307 By: Park 03-15-95 Committee Report (Unamended) BACKGROUND Currently, law allows cities to repair, remove, or demolish substandard buildings and levy the cost as a lien against the property. This lien takes precedence only as to the owner and not as to the mortgage lienholder. This means that if a city spends money to repair, remove, or demolish a substandard building, the mortgage lienholder gets the benefit without any repayment to the public treasury which is then out the cost of the procedure. PURPOSE This bill will allow a municipality to repair, remove, or demolish structures in the knowledge that their liens will attach and be subordinate to tax liens and all recorded bona fide mortgage liens attached to real property before September 1, 1995, and before the date the municipality's lien attaches. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS Section 1: Amends Section 214.001(o), Local Government Code to allow a local government lien filed on structure needing to be repaired, removed, or demolished to be subordinate to mortgage liens attached to the real property before September 1, 1995, and before the date to which the municipality's lien attaches. Section 2: Emergency clause. SUMMARY OF COMMITTEE ACTION H.B. 307 was heard by the committee in a public hearing on March 13, 1995. The following persons testified in favor of the bill: Rep. Park; and Bob McFarland, representing himself. The bill was reported favorably, without amendment, with the recommendation that it do pass and be printed, by a record vote of 8 ayes, 1 nay, 0 pnv, and 0 absent.