77R16558 PAM-F By Fraser S.B. No. 1398 Substitute the following for S.B. No. 1398: By Turner of Coleman C.S.S.B. No. 1398 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the authority of the governing body of a municipality 1-3 to change previously adopted zoning regulations. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 211.003, Local Government Code, is 1-6 amended by adding Subsections (d)-(h) to read as follows: 1-7 (d) Notwithstanding any other provision of this subchapter, 1-8 the governing body of a municipality may not change the zoning 1-9 classification of a property that results in a diminution of more 1-10 than 25 percent of the property's value unless: 1-11 (1) the owner of the property: 1-12 (A) waives any right to object to the proposed 1-13 change; or 1-14 (B) fails to file with the governing body before 1-15 the 90th day after the date the governing body notifies the 1-16 property owner of the date the governing body will vote on the 1-17 proposed change under Section 211.006: 1-18 (i) a written statement objecting to the 1-19 proposed change under this section; and 1-20 (ii) a copy of an appraisal report by a 1-21 state certified or licensed appraiser that states the appraiser's 1-22 opinion of the value of the property before and after the proposed 1-23 change in the zoning classification; or 1-24 (2) the governing body compensates the property owner 2-1 for the diminution in value resulting from the change as determined 2-2 by: 2-3 (A) an agreement with the property owner; or 2-4 (B) a proceeding governed by Chapter 21, 2-5 Property Code. 2-6 (e) For the purposes of this section, a municipality's 2-7 designation and regulation of an area that overlays a property's 2-8 zoning classification is not considered a change in a zoning 2-9 classification if the overlay designation is made for a purpose 2-10 described by Subsection (b) or for the purpose of regulating roads, 2-11 landscaping, trees, signs, parking, flood control, or geologically 2-12 unstable areas. 2-13 (f) Subsection (d) does not apply to property if the zoning 2-14 classification for the property was not changed by the governing 2-15 body of a municipality over the owner's objections at any time 2-16 during the 20 years immediately preceding the date the governing 2-17 body notifies the property owner of a proposed change in the 2-18 property's zoning classification under Subsection (d). 2-19 (g) A property owner who fails to timely file an objection 2-20 to a proposed change in the property's zoning classification waives 2-21 any right to compensation under this section. 2-22 (h) Subsections (d)-(g) and this subsection expire September 2-23 1, 2003. 2-24 SECTION 2. Subchapter A, Chapter 21, Property Code, is 2-25 amended by amending Section 21.003 and adding Section 21.004 to 2-26 read as follows: 2-27 Sec. 21.003. DISTRICT COURT AUTHORITY. A district court may 3-1 determine all issues, including the authority to condemn property 3-2 and the assessment of damages, in any suit filed under this chapter 3-3 and any suit filed: 3-4 (1) in which this state, a political subdivision of 3-5 this state, a person, an association of persons, or a corporation 3-6 is a party; and 3-7 (2) that involves a claim for property or for damages 3-8 to property occupied by the party under the party's eminent domain 3-9 authority or for an injunction to prevent the party from entering 3-10 or using the property under the party's eminent domain authority. 3-11 Sec. 21.004. PROCEEDINGS REGARDING CHANGE OF ZONING 3-12 CLASSIFICATION. (a) A proceeding filed under this chapter for the 3-13 purpose of determining the diminution of a property's value under 3-14 Section 211.003(d), Local Government Code, is a condemnation or 3-15 eminent domain proceeding under this chapter for the sole purpose 3-16 of satisfying the procedures required by this chapter. 3-17 (b) In a proceeding described by Subsection (a), the 3-18 condemnor or acquiring entity is the municipality, the condemned 3-19 property is the property for which the zoning is to be 3-20 reclassified, and the condemnation is the change in the property's 3-21 zoning classification. 3-22 (c) The special commissioners or district court, as 3-23 appropriate, may determine all issues related to a proceeding under 3-24 this section. 3-25 (d) Not later than the 10th day before the date the 3-26 condemnation proceeding begins, each party shall provide to the 3-27 other parties a copy of each appraisal report supporting that 4-1 party's opinion of any diminution of value. 4-2 (e) The municipality may change the property's zoning 4-3 classification at any time pending the results of the special 4-4 commissioners' award or further litigation. 4-5 (f) This section expires September 1, 2003. 4-6 SECTION 3. Subchapter B, Chapter 21, Property Code, is 4-7 amended by adding Section 21.0121 to read as follows: 4-8 Sec. 21.0121. CONDEMNATION PETITION RELATING TO ZONING 4-9 CLASSIFICATION. (a) If the United States, this state, a political 4-10 subdivision of this state, a corporation with eminent domain 4-11 authority, or an irrigation, water improvement, or water power 4-12 control district created by law wants to change a property's zoning 4-13 classification but is unable to agree with the owner of the 4-14 property on the amount of damages, the condemning entity may begin 4-15 a condemnation proceeding by filing a petition in the proper court. 4-16 (b) The petition must: 4-17 (1) describe the property to be reclassified under a 4-18 different zoning classification; 4-19 (2) state the purpose for which the property's zoning 4-20 is to be changed; 4-21 (3) state the name of the owner of the property if the 4-22 owner is known; and 4-23 (4) state that the entity and the property owner are 4-24 unable to agree on the damages. 4-25 (c) This section expires September 1, 2003. 4-26 SECTION 4. This Act takes effect September 1, 2001.