SLC C.S.H.B. 833 75(R)BILL ANALYSIS LAND & RESOURCE MANAGEMENT C.S.H.B. 833 By: Junell 3-5-97 Committee Report (Substituted) BACKGROUND In recent years, the filing of "nuisance" liens against state-owned real property has become a popular tactic for individuals or groups, such as The Republic of Texas, who seek redress from the state for alleged grievances. While these liens are invalid because of principle in common law, they can create a potentially serious problem for Veterans Land Board loan applicants whose transactions would be delayed until the Board is able to satisfy title insurers that the abstracts have no merit. PURPOSE As proposed, this bill would explicitly provide that no liens may attach to state-owned property. This clarification in the Property Code would eliminate any confusion over the validity of such liens in the future and would prevent any delays in state real estate transactions. 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 Chapter 43, Property Code, by adding Section 43.002. This section exempts real property owned by this state from attachment, execution, or forced sale. In addition, this section states that a judgment lien or abstract of judgment may not be filed against the state and that any such judgment or abstract is void and unenforceable. SECTION 2. Emergency Clause. COMPARISON OF ORIGINAL TO SUBSTITUTE CSHB 833 adds language in section 1 of the act to make judgment liens and abstract of judgments void and unenforceable. The original act only made these types of judgments voidable, as opposed to void. CSHB 833 strikes the language in section 2 of the original act and replaces it with language that establishes the emergency clause.