SRC-MKV S.B. 673 77(R)BILL ANALYSIS Senate Research CenterS.B. 673 By: Jackson Natural Resources 6/8/2001 Enrolled DIGEST AND PURPOSE A municipality may authorize a franchise to operate certain properties for a period of 75 years, and is prohibited from selling certain properties used for the purpose of operating the properties located on certain state-owned lands. S.B. 673 authorizes a municipality to lease or sell property used for the purpose of operating certain properties located on certain state-owned lands and authorizes a franchise to operate certain properties for a period of 99 years. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 307.001, Local Government Code, to change from 60,000 or more to 50,000 or more the population of a municipality that borders on the Gulf of Mexico that is authorized to use and occupy for park purposes gulf tidelands and adjacent water as provided by this chapter. SECTION 2. Amends Section 307.042, Local Government Code, by amending Subsection (c) and adding Subsection (e), as follows: (c) Changes the period in which a purchaser of certain properties may operate the properties from 75 years to 99 years after the purchase. (e) Authorizes the municipality to sell the property described by Subsection (b) if no bonded indebtedness remains outstanding. Authorizes the General Land Office, if the municipality sells the property, to grant to the purchaser a lease of the state-owned tideland, water, and bed beneath the property, or, if necessary, a larger area for a period of not more than 99 years after the purchase. Provides that the purchaser and the purchaser's heirs, successors, and assigns have the same right of use and occupancy to the state-owned tideland, water, and bed as is granted to the municipality under this chapter. Provides that on termination of that period or on cessation of use of the property for that purpose, the right of use and occupancy reverts to the municipality. SECTION 3. Effective date: upon passage or September 1, 2001.