SLC C.S.H.B. 91 75(R)BILL ANALYSIS LAND & RESOURCE MANAGEMENT C.S.H.B. 91 By: Hirschi 3-18-97 Committee Report (Substituted) BACKGROUND Midwestern State University does not now have the authority to purchase or sell properties and use the proceeds to the benefit of the university. It is necessary for the university to have this authority in order to comply with the terms of gifts from estate donors. This authority currently exists for several other universities. PURPOSE This bill gives Midwestern State University the authority to buy and sell land within certain guidelines as granted to other institutions. 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 Section 103.09, Education Code, as follows: Sec. 103.09. CONTROL AND MANAGEMENT OF REAL PROPERTY. (a) Gives the board the sole and exclusive control and management of university lands and other real property. (b) Sets forth how the University Board of Regents can acquire property. (c) States that the board may sell, exchange, lease, or otherwise dispose of any interest in real property owned by the university. (d) The board may not lease the surface rights of land under its control or management for a term of more than 99 years. SECTION 2. Repeals Chapter 19. SECTION 3. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE CSHB 91 amends the caption on Sec. 103.09, by striking LANDS and inserting REAL PROPERTY. CSHB 91 adds language to allow board control and management of all university lands and other real property. The original act only stated university lands. Subsection (b) makes it possible for the board to acquire "real property that is necessary or convenient to carry out purposes of the university". This section also makes the board's purchase of property subject to action by the Texas Higher Education Coordinating Board under Sec. 61.0572(b)(5). The original act did not contain these provisions. Subsection (c) again replaces the word land with the words "real property". This section of CSHB 91 establishes that money received from sale or lease of real property constitue institutional funds of the university. This subsection also inserts language that allows the board to use property received in an exchange of real property of the university. The original act only set forth how the university could dispose of land. Section 2 of CSHB 91 repeals Chapter 19, Acts of the 69th Legislature. The orginal act set forth the emergency clause in Sec. 2 and did not repeal Chapter 19. CSHB 91 sets forth the emergency clause in Section 3.