By Solomons H.B. No. 1050 77R10170 CAS-F A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to liens on real property in favor of governmental 1-3 entities. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Chapter 51, Property Code, is amended by adding 1-6 Section 51.008 to read as follows: 1-7 Sec. 51.008. CERTAIN LIENS ON REAL PROPERTY. (a) A lien on 1-8 real property created under this code or another law of this state 1-9 in favor of a governmental entity must be recorded as provided by 1-10 Chapters 11 and 12 in the real property records of the county in 1-11 which the property or a portion of the property is located unless: 1-12 (1) the lien is imposed as a result of failure to pay: 1-13 (A) ad valorem taxes; or 1-14 (B) a penalty or interest owed in connection 1-15 with those taxes; or 1-16 (2) the law establishing the lien expressly states 1-17 that recording the lien is not required. 1-18 (b) Any notice of the lien required by law must contain a 1-19 legal description of the property. 1-20 (c) This section does not apply to: 1-21 (1) a lien created under Section 89.083, Natural 1-22 Resources Code; or 1-23 (2) a state tax lien under Chapter 113, Tax Code. 1-24 SECTION 2. Section 313.042(e), Transportation Code, is 2-1 amended to read as follows: 2-2 (e) An assessment against abutting property is: 2-3 (1) a lien on the property that is superior to any 2-4 other lien or claim except a lien or claim for ad valorem taxes; 2-5 and 2-6 (2) a personal liability and charge against the owner 2-7 of the property, regardless of whether the owner is named. 2-8 SECTION 3. Section 314.043(b), Transportation Code, is 2-9 amended to read as follows: 2-10 (b) The notice required by Subsection (a) must: 2-11 (1) show substantially that the governing body has 2-12 determined it necessary that the street be improved; 2-13 (2) give the name of: 2-14 (A) the street and the names of the two cross 2-15 streets or other approximate lengthwise limits between which the 2-16 street is to be or has been improved or otherwise identify or 2-17 designate the street and the portion of the street to be improved; 2-18 and 2-19 (B) the subdivision and affected blocks if the 2-20 street abuts a subdivision for which a plat has been recorded in 2-21 the county clerk's office; and 2-22 (3) state that a portion of the cost of the 2-23 improvement is to be or has been specifically assessed as a lien on 2-24 property abutting the street. 2-25 SECTION 4. (a) This Act takes effect September 1, 2001. 2-26 (b) Section 51.008, Property Code, as added by this Act, 2-27 applies to a lien on real property in favor of a governmental 3-1 entity regardless of whether the lien arose before, on, or after 3-2 the effective date of this Act. In the case of such a lien that 3-3 arose before the effective date of this Act, the lien must be 3-4 recorded not later than December 31, 2002. Section 51.008, 3-5 Property Code, as added by this Act, applies only to notice of such 3-6 a lien provided on or after the effective date of this Act. Notice 3-7 of such a lien provided before the effective date of this Act is 3-8 covered by the law in effect when the notice was provided, and that 3-9 law is continued in effect for that purpose. 3-10 (c) The amendment to Section 313.042(e), Transportation 3-11 Code, by this Act applies only to a lien arising under that section 3-12 on or after the effective date of this Act. A lien arising under 3-13 that section before the effective date of this Act is covered by 3-14 the law in effect when the lien arose, and that law is continued in 3-15 effect for that purpose. 3-16 (d) The amendment to Section 314.043(b), Transportation 3-17 Code, by this Act applies only to notice required by Section 3-18 314.043(a), Transportation Code, provided on or after the effective 3-19 date of this Act. Notice provided before the effective date of 3-20 this Act is covered by the law in effect when the notice was 3-21 provided, and the former law is continued in effect for that 3-22 purpose.