BILL ANALYSIS S.B. 390 By: Harris Jurisprudence 4-5-95 Committee Report (Amended) BACKGROUND Currently, when the government applies the process of eminent domain for the purpose of condemnation of private property, the governmental agency will obtain an appraisal of the property to be condemned. Since there is no requirement for a governmental agency to share the details of this appraisal with the property owner, governmental agencies routinely withhold this information from the property owner. The property owner has to retain an appraiser in order to be satisfied as to the offer being made for the property. Unnecessary litigation frequently arises from the distrust that grows because of this practice. PURPOSE As proposed, S.B. 390 requires a governmental entity or corporation with eminent domain authority that wants to acquire real property to disclose all relevant property information to the property owner at the time an offer to purchase is made. 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 21B, Property Code, by adding Section 21.0111, as follows: Sec. 21.0111. DISCLOSURE OF INFORMATION REQUIRED. Requires a governmental entity or corporation with eminent domain authority that wants to acquire real property for a public use to disclose to the property owner at the time an offer to purchase is made any and all existing appraisal reports produced or acquired by the governmental entity or corporation relating specifically to the owner's property and used in determining the final valuation offer. Requires a property owner to disclose to the acquiring governmental entity or corporation any and all existing appraisal reports produced or acquired by the property owner relating specifically to the owner's property and used in determining the owner's opinion of value. Requires such disclosure to take place within 10 days of receipt of appraisal report(s) but no later then 10 days prior to the special commissioners's hearing. Authorizes a subsequent bona fide purchaser for value from the governmental entity or corporation to conclusively presume that the requirement of this section has been met. Provides that this section does not apply to acquisitions of real property for which a governmental entity or corporation does not have eminent domain authority. SECTION 2. Makes application of this Act prospective. SECTION 3. Emergency clause. Effective date: upon passage.