By Alexander                                    H.B. No. 2881

      75R9131 PAM-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to the assessment of damages, costs, and attorney's fees

 1-3     in an eminent domain proceeding.

 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-5           SECTION 1.  Section 21.042(b), Property Code, is amended to

 1-6     read as follows:

 1-7           (b)  Except as provided by this subsection, if [If] an entire

 1-8     tract or parcel of real property is condemned, the damage to the

 1-9     property owner is the local market value of the property at the

1-10     time of the special commissioners' hearing.  If a municipality or

1-11     state agency condemns an entire tract or parcel of real property,

1-12     the damage to the property owner is the greater of the local market

1-13     value at the time of the special commissioners' hearing or 70

1-14     percent of the appraised value of the property as determined under

1-15     Chapter 23, Tax Code.

1-16           SECTION 2.  Section 21.047, Property Code, is amended to read

1-17     as follows:

1-18           Sec. 21.047.  Assessment of Costs and Fees.  (a)  Special

1-19     commissioners may adjudge the costs of an eminent domain proceeding

1-20     against any party.  If the commissioners award greater damages than

1-21     the condemnor offered to pay before the proceedings began, the

1-22     condemnor shall pay all costs.  If the condemnor is a municipality

1-23     or state agency and [or if] the decision of the commissioners is

1-24     appealed by the condemnor and a court awards greater damages than

 2-1     the commissioners awarded, the condemnor shall pay all costs and

 2-2     reasonable and necessary attorney's fees incurred by the property

 2-3     owner for the appeal.  If the commissioners' award or the court's

 2-4     determination of the damages is less than or equal to the amount

 2-5     the condemnor offered before proceedings began, the property owner

 2-6     shall pay the costs.

 2-7           (b)  A condemnor shall pay the initial cost of serving a

 2-8     property owner with notice of a condemnation proceeding.  If the

 2-9     property owner is ordered to pay the costs of the proceeding, the

2-10     condemnor may recover the expense of notice from the property owner

2-11     as part of the costs.

2-12           (c)  A court that has jurisdiction of an eminent domain

2-13     proceeding may tax $10 or more as a reasonable fee for each special

2-14     commissioner as part of the court costs of the proceeding.

2-15           SECTION 3.  (a)  This Act takes effect September 1, 1997.

2-16           (b)  The changes in law made by this Act apply only to a

2-17     condemnation proceeding for which a petition is filed on or after

2-18     the effective date of this Act.  A condemnation proceeding for

2-19     which a petition was filed before the effective date of this Act is

2-20     covered by the law in effect when the petition was filed, and the

2-21     former law is continued in effect for that purpose.

2-22           SECTION 4.  The importance of this legislation and the

2-23     crowded condition of the calendars in both houses create an

2-24     emergency and an imperative public necessity that the

2-25     constitutional rule requiring bills to be read on three several

2-26     days in each house be suspended, and this rule is hereby suspended.