SRC-MAX H.B. 1665 75(R)   BILL ANALYSIS


Senate Research Center   H.B. 1665
By: Oliveira (Lucio)
Jurisprudence
5-14-97
Engrossed


DIGEST 

The Property Code does not require the seller of unimproved real property
to disclose to a potential buyer the location of subsurface pipelines.  As
agricultural land is being converted for residential purposes, buyers are
often unaware of potentially hazardous underground pipelines underneath
the property being bought.  This bill sets forth provisions regarding the
disclosure of the location of certain subsurface conditions by a person
who is selling unimproved real property  to be used for residential
purposes.                                                   

PURPOSE

As proposed, H.B. 1665 sets forth provisions regarding the disclosure of
the location of certain subsurface conditions by a person who is selling
unimproved real property  to be used for residential purposes.

RULEMAKING AUTHORITY

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

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Chapter 5A, Property Code, by adding Section 5.010, as
follows: 

Sec. 5.0101.  SELLER'S DISCLOSURE OF LOCATION OF CONDITIONS UNDER SURFACE
OF UNIMPROVED REAL PROPERTY.  Requires a seller of unimproved real
property to be used for residential purposes to provide to the purchaser
of the property a written notice disclosing the location of certain
transportation pipelines.  Sets forth provisions regarding the notice.
Provides that this section applies to any seller of unimproved real
property, including a seller who is the developer of the property and who
sells the property to others for resale.  Defines "hazardous substance"
and "hazardous waste." Provides that a seller is not required to give the
notice under certain conditions. 

SECTION 2. Makes application of this Act prospective to January 1, 1998.

SECTION 3. Emergency clause.
  Effective date:  upon passage.