BILL ANALYSIS


                                                        H.B. 1454
                                           By: Talton (Patterson)
                                      Intergovernmental Relations
                                                         05-17-95
                                Senate Committee Report (Amended)
BACKGROUND

In the past there have been allegations regarding elected officials
using trust agreements in order to sell land which they could not
sell otherwise.

PURPOSE

As proposed, H.B. 1454 prohibits a municipality or county from
purchasing real property held in trust until the trustee submits to
the governing body of the municipality or county a copy of the
trust agreement identifying the true owner of the property.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not grant any
additional rulemaking authority to a state officer, institution, or
agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 280, Local Government Code, by adding
Section 280.002, as follows:

     Sec. 280.002.  ACQUIRING LAND HELD IN TRUST.  (a)  Prohibits
     a municipality or county from purchasing real property held in
     trust until the trustee submits to the governing body of the
     municipality or county a copy of the trust agreement
     identifying the true owner of the property.
     
     (b)  Requires the trustee to identify the true owner of the
       property to a municipality or county.
       
       (c)  Provides that a conveyance of a property by a trustee
       is void if a municipality or county fails to comply with
       Subsection (a).
       
       (d)  Provides that a trust agreement submitted to the
       governing body of the municipality or county under this
       section is confidential information excepted from the
       requirements of Section 552.021, Government Code.
       
       SECTION 2.   Emergency clause.
           Effective date:  90 days after adjournment.