Amend CSHB 2147 by striking all below the enacting clause and
substituting the following:
      SECTION 1.  Section 31.153(a), Natural Resources Code, is
amended to read as follows:
      (a)  All real property owned by the state shall be accounted
for by the state agency that possesses the property.  Not later
than the last day of each fiscal year, each state agency shall
provide the division with a report on the status of real property
owned or controlled by the agency.
      SECTION 2.  Sections 31.155(a), (b), and (d), Natural
Resources Code, are amended to read as follows:
      (a)  The division is not responsible for maintaining the
inventory records of the real property administered by the Texas
Department of Transportation, <the Texas National Research
Laboratory Commission,> an institution of higher education, the
Employees Retirement System of Texas, or the Teacher Retirement
System of Texas.  The agencies administering the property shall
maintain those records.
      (b)  The Texas Department of Transportation<, or the Texas
National Research Laboratory Commission>, on the request of the
division, shall submit its real property inventory records to the
division.  The real property inventory records of an institution of
higher education, the Employees Retirement System of Texas, and the
Teacher Retirement System of Texas, on the request of the division,
but not more than semiannually, shall be submitted to the division
for information purposes only.
      (d)  The duty under this subchapter of the division to review
and verify real property records and to make recommendations
regarding real property and of the commissioner to prepare a report
involving real property does not apply to:
            (1)  the real property of an institution of higher
education;
            (2)  the real property that is part of a fund created
or specifically authorized by the constitution of this state and
that is administered by or with the assistance of the land office;
            (3)  the real property of the Employees Retirement
System of Texas; <or>
            (4)  the real property of the Teacher Retirement System
of Texas; or
            (5)  the real property of the Texas Historical
Commission.
      SECTION 3.  Section 31.156, Natural Resources Code, is
amended by adding Subsection (e) to read as follows:
      (e)  The division shall furnish an appraisal to the Texas
Department of Housing and Community Affairs of properties that have
been identified as unused or substantially underused.
      SECTION 4.  Sections 31.157(b) and (c), Natural Resources
Code, are amended to read as follows:
      (b)  The draft report shall be submitted to the <State
Purchasing and> General Services Commission, which shall further
evaluate the potential use of the property by another state agency
or department.  The draft report shall also be submitted, at the
same time as it is furnished to the commission, to the Texas
Department of Housing and Community Affairs and each agency that
owns or holds in trust property that is the subject of the draft
report. Each agency may comment on the findings or recommendations,
including the agency's specific reasons for supporting or opposing
the recommendations and detailing any efforts the agency has made
in attempting to put the property to use or sell or lease the
property.  The commission may comment on any findings or
recommendations made by the commissioner and may make additional
recommendations regarding the use of the property.  The Texas
Department of Housing and Community Affairs may comment on any
findings or recommendations made by the commissioner and may make
additional recommendations regarding the suitability of the
property for affordable housing.  The commission shall complete the
review of the draft report within 60 days of the receipt of the
report and forward the comments to the commissioner.
      (c)  The commissioner shall prepare and issue a final report
incorporating the recommendations of the commission regarding use
of the property by another state agency and addressing all comments
received from the commission and the state agency that owns or
controls the property that is the subject of the report.
      SECTION 5.  Section 31.1571, Natural Resources Code, is
amended to read as follows:
      Sec. 31.1571.  DISPOSAL OF UNUSED OR UNDERUSED PROPERTY. (a)
Notwithstanding any other law, after the division has reported a
property unused or underused and the commissioner has made a
recommendation to the governor for a real estate transaction
involving the property, the state agency that owns or controls the
property may not develop, sell, or otherwise dispose of the
property before the earlier of:
            (1)  the date the governor rejects a recommended real
estate transaction involving the property as provided by Section
31.1572 <pursuant to Chapter 672, Acts of the 71st Legislature,
Regular Session, 1989 (Article 5421t, Vernon's Texas Civil
Statutes)>; or
            (2)  two years from the date the recommendation is
approved by operation of law under Section 31.1572 <Chapter 672,
Acts of the 71st Legislature, Regular Session, 1989 (Article 5421t,
Vernon's Texas Civil Statutes)>.
      (b)  If a state agency that owns or controls property that
the division has reported as unused or underused intends to dispose
of or change the use of the property prior to the time provided by
Subsection (a), the state agency shall submit to the governor and
the division a general development plan for future use of the
property.  The plan shall be submitted no later than 30 days prior
to the time that the real estate transaction would be approved by
operation of law if not disapproved by the governor as provided by
Section 31.1572 <pursuant to Chapter 672, Acts of the 71st
Legislature, Regular Session, 1989 (Article 5421t, Vernon's Texas
Civil Statutes)>.  The governor may take such plan into
consideration in determining whether to reject the commissioner's
recommendation.
      (c)  Before final authorization is given to dispose of or
change the use of property that the division has reported as unused
or underused, the state agency that owns or controls the property
shall notify the division of any planned development, acquisition,
disposition, lease, or exchange of the property, including any
planned construction of new improvements or major modifications to
existing improvements.
      SECTION 6.  Subchapter E, Chapter 31, Natural Resources Code,
is amended by adding Section 31.1572 to read as follows:
      Sec. 31.1572.  REAL ESTATE TRANSACTION AUTHORIZED BY
GOVERNOR. (a)  A real estate transaction authorized by this section
shall be conducted as provided by this section.
      (b)  After a property is recommended for an alternative use
by the division during the recurring property review and report
under this subchapter, the state agency that owns or controls the
property may file comments on or objections to the recommendation
with the governor and the division on or before the 60th day after
the date the agency receives the written recommendation from the
division.
      (c)  If the division reports a property as unused or
underused and the commissioner recommends a real estate transaction
involving the property, the commissioner may conduct the
transaction unless the recommendation is disapproved by the
governor on or before the 90th day after the date the governor
receives the commissioner's written recommendation.  The governor
may disapprove a recommended real estate transaction by providing
written notice to the commissioner on or before the 90th day after
the date the governor receives the commissioner's written
recommendation.
      (d)  If the commissioner conducts a recommended real estate
transaction as provided by Subsection (c), the division shall take
possession and control of the real property as necessary to
negotiate and close the recommended real estate transaction.
      (e)  The expenses incurred by the division in conducting a
real estate transaction, including the payment of reasonable
brokerage fees, may be deducted from the proceeds of the
transaction before the proceeds are deposited as provided by
Subsection (f).  The division may adopt rules relating to the
payment of reasonable brokerage fees.
      (f)  Unless the proceeds of the real estate transaction are
dedicated by the Texas Constitution, the proceeds of the
transaction shall be deposited as follows:
            (1)  if the state agency is eligible to participate in
the Texas capital trust fund under Chapter 2201, Government Code,
the proceeds shall be deposited to the credit of that fund; or
            (2)  if the state agency is not eligible to participate
in the Texas capital trust fund under Chapter 2201, Government
Code, the proceeds shall be deposited to the credit of that state
agency.
      (g)  This section does not apply to a real estate transaction
involving real property owned by the state if the division is not
required to review the property under Section 31.155(d).
      SECTION 7.  Section 31.158, Natural Resources Code, is
amended by adding Subsections (d), (e), and (f) to read as follows:
      (d)  After a bid or proposal is accepted under this section,
the commissioner may negotiate an amendment to the terms of the
sale, exchange, or lease agreement with the party whose bid or
proposal was accepted only if:
            (1)  the sale, exchange, or lease of the property is
not completed within six months of the date the bid or proposal was
accepted; and
            (2)  the commissioner finds that the amendment is in
the best interest of the state.
      (e)  If the division determines that an exchange of real
property is in the best interest of the state, the division may
negotiate and close the exchange transaction in the same manner
provided for the sale or lease of state property under this
section.
      (f)  Notwithstanding Subsection (c), the commissioner may
offer a first option to purchase or lease real property owned or
held in trust by the state to an adjacent property owner or lessee
only if:
            (1)  the owner or lessee acquired the owner's or
lessee's interest in the adjacent real property from the state; and
            (2)  the commissioner determines that the real estate
transaction will enhance the value of the remaining state property
and serve the best interest of the state.
      SECTION 8.  Chapter 672, Acts of the 71st Legislature,
Regular Session, 1989 (Article 5421t, Vernon's Texas Civil
Statutes), is repealed.
      SECTION 9.  This Act takes effect September 1, 1999, and
applies only to a report issued under Section 31.157, Natural
Resources Code, on or after the effective date of this Act.  A
report issued under Section 31.157, Natural Resources Code, before
the effective date of this Act is governed by the law in effect at
the time the report was issued, and that law is continued in effect
for that purpose.
      SECTION 10.  The importance of this legislation and the
crowded condition of the calendars in both houses create an
emergency and an imperative public necessity that the
constitutional rule requiring bills to be read on three several
days in each house be suspended, and this rule is hereby
suspended.