BILL ANALYSIS



C.S.H.B. 1743
By: Glaze
March 30, 1995
Committee Report (Substituted)


BACKGROUND

The Texas Local Government Code allows home-rule municipalities to
appoint a receiver for substandard properties in lieu of
demolition.  Before a building can be demolished or a receiver
appointed to bring the property up to standards, a municipality is
required to give notice to the owner of a building regarding
violations of standards and hold a hearing on the issue if the
owner requests it.

During a regular review of HUD funded demolition and renovation
projects, the Tyler Preservation Board developed the concept of
using court ordered receivership as a tool for preservation.  This
is a unique concept that has apparently not been utilized by other
states.  It is doubtful that there will be many actions filed under
the proposed act, but it does provide an additional tool in very
limited instances for the preservation of historic structures,
especially in cases referred to as "demolition by neglect".


PURPOSE

This amendment to the Local Government Code would permit a local
Preservation Board, in municipalities designated a "Certified Local
Government" by the Texas Historical Commission, to review
substandard buildings slated for possible demolition to determine
whether it has historical significance.  If found to be
historically significant, the issuance of a demolition order may be
stayed for 90 days to seek alternative uses for the property.  If
the owner does not come forward and the property has been deemed
historic, a receiver action is permitted in lieu of demolition.


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 Subchapter A, Chapter 214, Local Government Code
by adding Section 214.00111 as follows: 

     Sec. 214.00111.     ADDITIONAL AUTHORITY TO PRESERVE
SUBSTANDARD BUILDING AS HISTORIC PROPERTY.  Allows the local
preservation board to review substandard buildings for possible
designation as a Recorded Texas Historic Landmark, eligibility for
a municipal Historic Designation or nomination for the National
Register of Historic places if the municipality has been designated
a "Certified Local Government" by the Texas Historical Commission
under 16 U.S.C.A. Section 470 et seq.  Exempts single family
dwellings.  Requires the review prior to public notice or hearing. 
Specifies the criteria to be used by the Preservation Board in
reviewing such property.  Requires findings of such review to be
reported to the municipality in writing.  Allows the municipality
90 days to find alternative uses or an alternative purchaser if the
preservation board report determines that the property may be
rehabilitated and designated as historic property.  Exempts owner
of a building from accrual of penalties during the 90-day period
provided.

SECTION 2. Amends Section 214.003, Local Government Code, by adding
a new subsection (c) as follows, and renumbering the remaining
subsections:  

     Allows the court to appoint a receiver for historic properties
subject to Section 214.00111.  Specifies the guidelines a court
appointed receiver must use in rehabilitating historic properties.

SECTION 3.  Emergency clause.

COMPARISON OF ORIGINAL TO SUBSTITUTE

The original made review by the historic preservation board
mandatory;  the substitute makes review permissive.


SUMMARY OF COMMITTEE ACTION

H.B. 1743 was considered in a public hearing on March 20, 1995.  It
was left pending.  It was considered in a public hearing on March
27, 1995.  The committee considered a complete substitute for the
bill.  The substitute was adopted without objection.  The following
people testified in favor of the bill: Rep. Glaze; and Randal B.
Gilbert, representing himself and the City of Tyler Historic
Preservation Board.  The bill was reported favorably, as
substituted, with the recommendation that it do pass and be
printed, by a record vote of 6 ayes, 0 nays, 0 pnv, and 3 absent.