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.