1-1     By:  Hightower (Senate Sponsor - Ogden)               H.B. No. 3581

 1-2           (In the Senate - Received from the House May 5, 1997;

 1-3     May 6, 1997, read first time and referred to Committee on

 1-4     Jurisprudence; May 17, 1997, reported favorably by the following

 1-5     vote:  Yeas 7, Nays 0; May 17, 1997, sent to printer.)

 1-6                            A BILL TO BE ENTITLED

 1-7                                   AN ACT

 1-8     relating to the termination of certain receiverships.

 1-9           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

1-10           SECTION 1.  Subchapter E, Chapter 64, Civil Practice and

1-11     Remedies Code, is amended by adding Section 64.0721 to read as

1-12     follows:

1-13           Sec. 64.0721.  TERMINATION OF RAILROAD RECEIVERSHIP.  (a)  A

1-14     receiver of a railroad company located wholly within this state

1-15     that has been in receivership for more than 50 years may apply to

1-16     the court that appointed the receiver requesting the court to:

1-17                 (1)  terminate the receivership; and

1-18                 (2)  disburse any assets of the railroad company

1-19     remaining after the payment of the company's debts to one or more

1-20     nonprofit charitable organizations chosen by the receiver for use

1-21     in providing services within the county in which the receiver was

1-22     appointed.

1-23           (b)  After a receiver makes an application under Subsection

1-24     (a), the receiver shall publish notice of the proposed termination

1-25     of the receivership for seven consecutive days in a newspaper of

1-26     general circulation in the county in which the receivership is

1-27     located.  The notice must state that a person with an interest in

1-28     the assets of the railroad company may file a claim with the court

1-29     that appointed the receiver not later than the 90th day after the

1-30     final day of the publication of the notice.

1-31           (c)  After the expiration of the period for filing claims

1-32     provided by Subsection (b) and after the court resolves all claims

1-33     filed with the court relating to the railroad company, the court

1-34     shall disburse any remaining assets of the receivership to the

1-35     nonprofit charitable organizations chosen by the receiver that are

1-36     acceptable to the court in its discretion.

1-37           SECTION 2.  The importance of this legislation and the

1-38     crowded condition of the calendars in both houses create an

1-39     emergency and an imperative public necessity that the

1-40     constitutional rule requiring bills to be read on three several

1-41     days in each house be suspended, and this rule is hereby suspended,

1-42     and that this Act take effect and be in force from and after its

1-43     passage, and it is so enacted.

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