By: Montford S.B. No. 1262
A BILL TO BE ENTITLED
AN ACT
1-1 relating to the management, development, accounting, and
1-2 disposition of certain state property.
1-3 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-4 SECTION 1. Subsections (b) and (d), Section 31.157, Natural
1-5 Resources Code, are amended to read as follows:
1-6 (b) The draft report shall be submitted to the State
1-7 Purchasing and General Services Commission which shall further
1-8 evaluate the potential use of the property by another state agency
1-9 or department. The draft report shall also be submitted, at the
1-10 same time as it is furnished to the commission, to each agency that
1-11 owns or holds in trust property that is the subject of the draft
1-12 report. The commission may comment on any findings or
1-13 recommendations made by the commissioner and may make additional
1-14 recommendations regarding the use of the property. The commission
1-15 shall complete the review of the draft report within 60 days of the
1-16 receipt of the report and forward the comments to the commissioner.
1-17 (d) The final report shall be submitted to the governor, the
1-18 presiding officers of both houses of the legislature, the
1-19 Legislative Budget Board, and the governor's budget office not
1-20 later than September 1 of each <the> year <preceding a regular
1-21 session of the legislature>. If the report contains an evaluation
1-22 of a sale of property, it must also contain an evaluation of the
1-23 lease potential of the property.
1-24 SECTION 2. Subchapter E, Chapter 31, Natural Resources Code,
2-1 is amended by adding Section 31.1571 to read as follows:
2-2 Sec. 31.1571. DISPOSAL OF UNUSED OR UNDERUSED PROPERTY.
2-3 (a) Notwithstanding any other law, after the division has reported
2-4 a property unused or underused and the commissioner has made a
2-5 recommendation to the governor and Legislative Budget Board for a
2-6 real estate transaction involving the property, the state agency
2-7 that owns or controls the property may not develop, sell, or
2-8 otherwise dispose of the property before the earlier of:
2-9 (1) the date the governor or Legislative Budget Board
2-10 rejects a recommended real estate transaction involving the
2-11 property pursuant to Chapter 672, Acts of the 71st Legislature,
2-12 Regular Session, 1989 (Article 5421t, Vernon's Texas Civil
2-13 Statutes); or
2-14 (2) two years from the date the recommendation is
2-15 approved by operation of law under Chapter 672, Acts of the 71st
2-16 Legislature, Regular Session, 1989 (Article 5421t, Vernon's Texas
2-17 Civil Statutes).
2-18 (b) If a state agency that owns or controls property that
2-19 the division has reported as unused or underused intends to dispose
2-20 of or change the use of the property prior to the time provided by
2-21 Subsection (a), the state agency shall submit to the governor and
2-22 Legislative Budget Board a general development plan for future use
2-23 of the property. The plan shall be submitted no later than 30 days
2-24 prior to the time that the real estate transaction would be
2-25 approved by operation of law if not disapproved by the governor or
2-26 Legislative Budget Board pursuant to Chapter 672, Acts of the 71st
2-27 Legislature, Regular Session, 1989 (Article 5421t, Vernon's Texas
3-1 Civil Statutes). The governor and Legislative Budget Board may
3-2 take such plan into consideration in determining whether to reject
3-3 the commissioner's recommendation.
3-4 SECTION 3. Subsections (e) and (f), Section 2, Chapter 672,
3-5 Acts of the 71st Legislature, Regular Session, 1989 (Article 5421t,
3-6 Vernon's Texas Civil Statutes), are amended to read as follows:
3-7 (e) The expenses incurred by the division in conducting the
3-8 real estate transaction, including the payment of reasonable
3-9 brokerage fees, may be deducted from the proceeds of the
3-10 transaction prior to deposit of the proceeds <in the Texas capital
3-11 trust fund or other appropriate depository account>. The division
3-12 may promulgate rules relating to the payment of reasonable
3-13 brokerage fees. Unless the proceeds of the transaction are
3-14 dedicated by the constitution, the proceeds of the transaction
3-15 shall be deposited as follows:
3-16 (1) if the agency is eligible to participate in the
3-17 Texas capital trust fund under Chapter 2201, Government Code, the
3-18 deposit shall be made to that fund;
3-19 (2) if the agency is not eligible to participate in
3-20 the Texas capital trust fund pursuant to Chapter 2201, Government
3-21 Code, the deposit shall be made into the state treasury to the
3-22 credit of the affected agency; or
3-23 (3) notwithstanding Subdivisions (1) and (2) of this
3-24 section, if the Legislative Budget Board determines within 90 days
3-25 of the closing of the transaction that the funds should be made
3-26 available to another agency or for another purpose, the funds shall
3-27 be deposited as directed by the board.
4-1 (f) This article does not apply to a real estate transaction
4-2 involving real property owned by the state which the division has
4-3 no duty to review under the provisions of Section 31.155(d),
4-4 Natural Resources Code <Act is not applicable to any real estate
4-5 transaction administered by a state agency that, pursuant to
4-6 Article 601e, Revised Statutes, is ineligible to benefit from the
4-7 Texas capital trust fund or to any real estate transaction
4-8 involving permanent school fund land>.
4-9 SECTION 4. Subsections (a), (b), and (c), Section 3, Chapter
4-10 672, Acts of the 71st Legislature, Regular Session, 1989 (Article
4-11 5421t, Vernon's Texas Civil Statutes), are amended to read as
4-12 follows:
4-13 (a) After properties are recommended for alternate use by
4-14 the division during the recurring property review and report
4-15 required by Subchapter E, Chapter 31, Natural Resources Code, the
4-16 agency possessing the real property recommended for alternative use
4-17 shall have 60 days after the date it receives the written
4-18 recommendation to file its comments on or objections to the
4-19 recommendations with the governor and Legislative Budget Board.
4-20 <If, within 90 days after the date the governor receives the
4-21 written recommendation, the governor disapproves of the alternate
4-22 use recommended, the division may not enter into any real estate
4-23 transaction involving those properties until authorized by the
4-24 legislature. After the governor disapproves a recommendation, the
4-25 governor may request and the division may make additional
4-26 recommendations relating to the property.>
4-27 (b) If the division reports a property as unused or
5-1 underused and the commissioner of the General Land Office
5-2 recommends a real estate transaction involving the property, the
5-3 commissioner is authorized to conduct the transaction unless the
5-4 recommendation is disapproved by the governor or Legislative Budget
5-5 Board no later than 90 days after receiving the commissioner's
5-6 written recommendation. The governor may disapprove a recommended
5-7 real estate transaction by providing written notice of the
5-8 disapproval to the commissioner of the General Land Office no later
5-9 than 90 days after receiving the commissioner's written
5-10 recommendation. The Legislative Budget Board may disapprove a
5-11 recommendation if a majority of the members of the board from each
5-12 house file written letters of disapproval with the executive
5-13 director of the Legislative Budget Office no later than 90 days
5-14 after receiving the commissioner's written recommendation. The
5-15 executive director of the Legislative Budget Office shall notify
5-16 the commissioner of the General Land Office within 10 days of the
5-17 board's disapproval. <After finding that a real estate transaction
5-18 would be appropriate, the governor may propose that the division
5-19 complete the recommended real estate transaction. The governor may
5-20 make a proposal at any time except during a regular or special
5-21 session of the legislature.>
5-22 (c) If a recommended real estate transaction is approved as
5-23 provided by Subsection (b) of this section, the division shall take
5-24 appropriate charge and control of the real property to undertake
5-25 the real estate transaction recommended. <The governor shall
5-26 specify the details of the proposal, give the complete legal
5-27 description and location of the property, and direct the secretary
6-1 of state to publish the proposal in the Texas Register.>
6-2 SECTION 5. Subsections (d) through (l), Section 3, Chapter
6-3 672, Acts of the 71st Legislature, Regular Session, 1989 (Article
6-4 5421t, Vernon's Texas Civil Statutes), are repealed.
6-5 SECTION 6. This Act takes effect September 1, 1995.
6-6 SECTION 7. Not later than November 1, 1995, the asset
6-7 management division of the General Land Office shall provide the
6-8 governor and the Legislative Budget Board with a certified list of
6-9 all properties identified as unused and underused in the division's
6-10 most recent evaluation and, where appropriate, recommendations for
6-11 real estate transactions regarding the listed properties.
6-12 SECTION 8. The importance of this legislation and the
6-13 crowded condition of the calendars in both houses create an
6-14 emergency and an imperative public necessity that the
6-15 constitutional rule requiring bills to be read on three several
6-16 days in each house be suspended, and this rule is hereby suspended.