LEGISLATIVE BUDGET BOARD
                              Austin, Texas
                                     
                    FISCAL NOTE, 76th Regular Session
  
                              April 30, 1999
  
  
          TO:  Honorable Gary Walker, Chair, House Committee on Land &
               Resource Management
  
        FROM:  John Keel, Director, Legislative Budget Board
  
       IN RE:  HB 1186 by Hilbert (relating to the commencement of a
               special commissioners' hearing in an eminent domain
               proceeding), Committee Report 1st House, Substituted
  
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*  No significant fiscal implication to the State is anticipated.        *
*                                                                        *
*  The bill would make no appropriation but could provide the legal      *
*  basis for an appropriation of funds to implement the provisions of    *
*  the bill.                                                             *
**************************************************************************
  
Fiscal Analysis

The bill would dismiss any condemnation proceeding in which the
evidentiary hearing would not commence before the 90th day after a
condemnation petition is filed.  The dismissal could be waived in cases
where the condemnor and condemnee agree to a hearing date beyond the 90
days and in cases where the delay is not attributable to the condemnor.
In cases where a proceeding is dismissed, the court could order the
condemnor, which could be a state agency or a political subdivision, to
reimburse a property owner for reasonable and necessary attorneys' fees,
appraisers, photographers and other expenses.

Methodology

According to the Attorney General's Office, the bill could result in
numerous condemnation proceedings by state agencies being dismissed,
since the majority of special commissioners' hearings are scheduled more
than 90 days after a petition is filed.

The Texas Department of Transportation (TXDOT) estimates that
approximately half, or 62, of the 125 eminent domain cases the agency
handles per year could be dismissed because of the 90-day hearing limit.
TXDOT estimates that the dismissal and subsequent refiling of cases
will result in significant delays in obtaining possession of parcels of
land needed for highway construction.  The delays could result in
substantial cost, depending on the length of the delay.
  
Local Government Impact
  
Units of local government condemning property could incur costs,
depending on the number of eminent domain proceedings that would be
dismissed and the delay this would cause to infrastructure projects.
  
  
Source Agencies:   601   Department of Transportation, 302   Office Of
                   The Attorney General
LBB Staff:         JK, DE, TL