1-1                                   AN ACT
 1-2     relating to the process for preparing a development plan before
 1-3     certain state-owned real property is offered for sale or lease.
 1-4           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 1-5           SECTION 1.  Subchapter E, Chapter 31, Natural Resources Code,
 1-6     is amended by adding Section 31.1611 to read as follows:
 1-7           Sec. 31.1611.  PUBLIC HEARING BEFORE PREPARATION OF
 1-8     DEVELOPMENT PLAN.  (a)  If the division is requested to prepare a
 1-9     development plan under Section 31.161, the division shall notify
1-10     the local government to which the plan will be submitted under
1-11     Section 31.162 of the division's intent to prepare a development
1-12     plan.  The division shall provide the local government with
1-13     information relating to:
1-14                 (1)  the location of the property to be offered for
1-15     sale or lease;
1-16                 (2)  the highest and best use to which the property may
1-17     legally be placed as provided in the division's report under
1-18     Section 31.157; and
1-19                 (3)  the process for preparing the development plan
1-20     under Section 31.161 and the process provided under Sections 31.165
1-21     and 31.166 for the special board of review.
1-22           (b)  Not later than the 30th day after the date the local
1-23     government receives the notice provided under Subsection (a), the
1-24     local government may request the division to hold a public hearing
 2-1     to solicit public comment.  If requested by the local government,
 2-2     the division shall hold a public hearing.  The local government
 2-3     shall provide notice of the hearing to property owners in at least
 2-4     the same manner that notice is provided for adopting zoning
 2-5     regulations or subdivision requirements in the local government's
 2-6     jurisdiction.  The division shall set the agenda for the hearing
 2-7     and must complete the hearing not later than the 120th day after
 2-8     the date the notice is provided under Subsection (a).
 2-9           (c)  If the local government does not request a public
2-10     hearing under Subsection (b), the commissioner may hold a hearing
2-11     to solicit public comment.  The division shall provide notice of
2-12     the hearing in the same manner that a local government is required
2-13     to provide notice under Subsection (b).  The commissioner shall set
2-14     the agenda for the hearing and must complete the hearing not later
2-15     than the 120th day after the date the notice is provided under
2-16     Subsection (a).
2-17           (d)  A public hearing under this section may include:
2-18                 (1)  a presentation by the division relating to the
2-19     division's classification of the real property as underused or
2-20     unused and the division's recommendation of the highest and best
2-21     use to which the property may legally be placed;
2-22                 (2)  a presentation by the local government relating to
2-23     relevant local plans, development principles, and ordinances that
2-24     may affect the development of the property; and
2-25                 (3)  oral comments and presentations of information by
2-26     and written comments received from other persons relating to the
2-27     development of the property.
 3-1           (e)  The division shall prepare a summary of the information
 3-2     and testimony presented at a hearing conducted under this section
 3-3     and may develop recommendations based on the information and
 3-4     testimony.  The division shall prepare and deliver a report to the
 3-5     commissioner summarizing the information and testimony presented at
 3-6     the hearing and the views presented by the state, the affected
 3-7     local governments, and other persons who participated in the
 3-8     hearing process.  The commissioner shall review the division's
 3-9     report and may instruct the division to incorporate information
3-10     based on the report in preparing the development plan under Section
3-11     31.161.
3-12           (f)  The commissioner may adopt rules to implement this
3-13     section.  The division shall administer the process provided by
3-14     this section.
3-15           SECTION 2.  Section 31.167(a), Natural Resources Code, is
3-16     amended to read as follows:
3-17           (a)  Except as provided by this subsection, a [A] development
3-18     plan promulgated by the special board of review and any plan
3-19     accepted by a local government shall be final and binding on the
3-20     state, its lessees, successors in interest and assigns, and
3-21     affected local governments or political subdivisions unless revised
3-22     by the special board of review.  If the division does not receive a
3-23     bid or auction solicitation for the real property subject to the
3-24     development plan, the division, at the direction of the
3-25     commissioner, may revise the development plan to conserve and
3-26     enhance the value and marketability of the property.
3-27           SECTION 3.  The importance of this legislation and the
 4-1     crowded condition of the calendars in both houses create an
 4-2     emergency and an imperative public necessity that the
 4-3     constitutional rule requiring bills to be read on three several
 4-4     days in each house be suspended, and this rule is hereby suspended,
 4-5     and that this Act take effect and be in force from and after its
 4-6     passage, and it is so enacted.
         _______________________________     _______________________________
             President of the Senate              Speaker of the House
               I certify that H.B. No. 2162 was passed by the House on May
         11, 1999, by the following vote:  Yeas 148, Nays 0, 2 present, not
         voting.
                                             _______________________________
                                                 Chief Clerk of the House
               I certify that H.B. No. 2162 was passed by the Senate on May
         26, 1999, by the following vote:  Yeas 30, Nays 0.
                                             _______________________________
                                                 Secretary of the Senate
         APPROVED:  _____________________
                            Date
                    _____________________
                          Governor