SRC-JFA H.B. 770 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 770
By: Haggerty (Shapleigh)
Natural Resources
5-12-97
Engrossed


DIGEST 

Currently, Texas law provides for the sale and other disposition of lands
of the public domain dedicated to the permanent school fund.  These
statutes include a requirement that the fair market value must be received
for any land sold, which has been interpreted to mean a cash
consideration. The School Land Board (board) has the authority to
subdivide lands in order to facilitate land sales, but the board does not
have the authority to dedicate land, by plot or deed, for public use
unless it receives fair market value.  This bill would authorize the board
to dedicate permanent school fund land for public use in exchange for
nonmonetary consideration.  

PURPOSE

As proposed, H.B. 770 authorizes the School Land Board to dedicate
permanent school fund land for public use in exchange for nonmonetary
consideration.   

RULEMAKING AUTHORITY

This bill does not grant any additional rulemaking authority to a state
officer, institution, or agency. 

SECTION BY SECTION ANALYSIS

SECTION 1. Provides that according to the provisions of this Act, there is
hereby transferred to the Texas Parks and Wildlife Department (TPWD) all
of the interest of the permanent school fund in the surface and all of the
oil, gas, and other minerals in that portion of the A.G. McMath Survey No.
298 in El Paso County, Texas, included within the boundaries of the
Franklin Mountains State Park and subject to the provisions of Section 2,
Chapter 383, Acts of the 71st Legislature, Regular Session, 1989.
Provides that there is further transferred to TPWD all of the interest of
the permanent school fund in all of the oil, gas, and other minerals in
certain tracts to the extent that these tracts are included within
Franklin Mountains State Park in El Paso County, Texas (as the boundaries
of the park are established in Section 2, Chapter 736, Acts of the 66th
Legislature, 1979, as amended by Section 2, Chapter 860, Acts of the 67th
Legislature, Regular Session, 1981, and Sections 1 and 2, Chapter 383,
Acts of the 71st Legislature, Regular Session, 1989).   

SECTION 2. Provides that in compensation to the permanent school fund for
the surface and mineral interests to TPWD as described in Section 1 of
this Act, certain interests and tracts of TPWD are transferred to the
permanent school fund, to be managed in the same manner as other permanent
school fund property.    

SECTION 3. Provides that the legislature finds that the fair market values
of the interests transferred into and out of the permanent school fund
pursuant to Sections 1 and 2 of this Act are equivalent.   

SECTION 4. Provides that the transfer of land to the permanent school fund
described in Section 2 of this Act removes the land from the state park,
wildlife management area, or scientific area and changes the legal
boundary of the affected state park, wildlife management area, or
scientific area accordingly.   

SECTION 5. Requires the General Land Office, the School Land Board
(board), and TPWD to develop a plan for the removal or conveyance to TPWD
pursuant to one or more sales, exchanges,  or other transfers of the
surface estate in any real property dedicated to the permanent school fund
that is located within the boundaries of any tract managed by TPWD.
Requires the plan to provide for fair market value compensation, in land
or money, to the permanent school fund.  Requires fair market value to be
determined by an appraisal mutually agreed to by the board.  Prohibits
mineral interests and submerged lands or tidelands from being transferred
under this section.   

SECTION 6. Emergency clause.
  Effective date: upon passage.