BILL ANALYSIS


                                                        H.B. 1979
                                       By: Hightower (Armbrister)
                                                    State Affairs
                                                           5-5-95
                              Senate Committee Report (Unamended)
BACKGROUND

The General Land Office's asset management division is charged with
reviewing the real property inventory of each state agency,
identifying real property not being used or being underused, and
reporting ultimately to the state leadership.  The Texas Department
of Criminal Justice (TDCJ) also maintains and updates internally
its own extensive inventory of real property.  This process has
yielded a particularly up-to-date list of properties that the TDCJ
feels can and should be sold at fair market value for the benefit
of the state.  Although the TDCJ has authority to lease real
property, it does not presently have statutory authority to sell
it.

PURPOSE

As proposed, H.B. 1979 authorizes the Texas Department of Criminal
Justice to sell real property at fair market value using the
established staff and procedures within the General Land Office to
make the transaction.

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 496A, Government Code, by adding Section
496.0021, as follows:

     Sec. 496.0021.  SALE OF DEPARTMENT REAL PROPERTY.  (a)
     Authorizes the Texas Board of Criminal Justice (board) to sell
     state-owned real property under the board's management and
     control at the real property's fair market value.  Requires
     the General Land Office to negotiate and close a transaction
     on behalf of the board using procedures under Section
     31.158(c), Natural Resources Code.  Requires proceeds from the
     transaction to be deposited in the Texas capital trust fund.
     
     (b) Authorizes the board to authorize the sale of land
       directly to a local government at fair market value without
       the requirement of a sealed bid sale if the local government
       acquires the property for use as a local correctional
       facility.
SECTION 2. Emergency clause.
           Effective date: upon passage.