1-1  By:  Leedom                                           S.B. No. 1038
    1-2        (In the Senate - Filed March 8, 1995; March 9, 1995, read
    1-3  first time and referred to Committee on Natural Resources;
    1-4  March 21, 1995, reported favorably by the following vote:  Yeas 10,
    1-5  Nays 0; March 21, 1995, sent to printer.)
    1-6                         A BILL TO BE ENTITLED
    1-7                                AN ACT
    1-8  relating to calculation of interest on sales of public school land,
    1-9  recording of patents, the sale of minerals under lands dedicated to
   1-10  the permanent school fund, the commissioner's discretion to issue
   1-11  permits to prospect for minerals, and the lease of unsurveyed land
   1-12  in the public domain, including state-owned riverbeds and channels.
   1-13        BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
   1-14        SECTION 1.  Subsection (a), Section 51.070, Natural Resources
   1-15  Code, is amended to read as follows:
   1-16        (a)  Unpaid and delinquent interest on sales of public school
   1-17  land shall bear interest at a rate set by the board, which interest
   1-18  shall be payable at the times and on such terms as are established
   1-19  by the board by rule or by contract <compounded annually as it
   1-20  accrues on the date of payment set by the board>.
   1-21        SECTION 2.  Section 51.244, Natural Resources Code, is
   1-22  amended to read as follows:
   1-23        Sec. 51.244.  DELIVERY OF PATENT.  (a)  When a patent is
   1-24  ready for delivery, the commissioner shall send it, together with
   1-25  the check for payment of the fee required by Section 51.242 of this
   1-26  code and the name and address of the owner or his agent, by
   1-27  certified <registered> mail to the clerk of the proper county.
   1-28        (b)  On receiving the patent, the clerk shall record it and
   1-29  shall send the patent, together with the name and address of the
   1-30  owner or his agent and the remaining recording fees, by certified
   1-31  <registered> mail to the clerk of another proper county until the
   1-32  patent has been recorded in each county in which all or part of the
   1-33  land is located.
   1-34        (c)  After the patent is recorded in all the proper counties,
   1-35  it shall be sent by certified <registered> mail to the proper
   1-36  party.
   1-37        SECTION 3.  Subsection (a), Section 51.054, Natural Resources
   1-38  Code, is amended to read as follows:
   1-39        (a)  Except as otherwise provided in this section, land
   1-40  <Land> dedicated to the permanent school fund shall be sold subject
   1-41  to a reservation set by the board <School Land Board> of not less
   1-42  than one-eighth of all sulphur and other mineral substances from
   1-43  which sulphur may be derived or produced and not less than
   1-44  one-sixteenth of all other minerals to the state; provided, that if
   1-45  leasing rights are retained hereunder, the reserved minerals shall
   1-46  be subject to lease as provided by Subchapter B, Chapter 52,
   1-47  Natural Resources Code, and Subchapters B and E, Chapter 53,
   1-48  Natural Resources Code.  The mineral reservation to the state shall
   1-49  be determined by the board before the land is offered for sale.  If
   1-50  the board determines that a mineral reservation under this section
   1-51  would substantially reduce the value of the surface of land by
   1-52  restricting its suitability for agricultural, commercial, or
   1-53  residential use, the board may take such action or waive such
   1-54  rights as are in the best interest of the permanent school fund,
   1-55  including, without limitation, establishing designated exploration
   1-56  or drilling sites, waiving surface or other rights of access or
   1-57  development, or conveying the land with no mineral reservation.
   1-58        SECTION 4.  Subsection (a), Section 53.013, Natural Resources
   1-59  Code, is amended to read as follows:
   1-60        (a)  The <After receipt of the rental payment set by the
   1-61  commissioner, the> commissioner may <shall> issue to the first
   1-62  applicant a permit to prospect the area designated in the
   1-63  applicant's application for a period up to <of> one year from the
   1-64  date the application is filed.  If the commissioner elects to grant
   1-65  the application for a permit to prospect under the provisions of
   1-66  this subchapter, the permit shall not be issued until after the
   1-67  land office receives the rental payment set by the commissioner.
   1-68        SECTION 5.  The importance of this legislation and the
    2-1  crowded condition of the calendars in both houses create an
    2-2  emergency and an imperative public necessity that the
    2-3  constitutional rule requiring bills to be read on three several
    2-4  days in each house be suspended, and this rule is hereby suspended,
    2-5  and that this Act take effect and be in force from and after its
    2-6  passage, and it is so enacted.
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