LEGISLATIVE BUDGET BOARD
Austin, Texas
 
FISCAL NOTE, 78TH LEGISLATIVE REGULAR SESSION
 
May 31, 2003

TO:
Honorable David Dewhurst , Lieutenant Governor, Senate
Honorable Tom Craddick, Speaker of the House, House of Representatives
 
FROM:
John Keel, Director, Legislative Budget Board
 
IN RE:
HB2044 by McReynolds (Relating to the powers and duties of the General Land Office and the accounting and disposition of state-owned real property. ), Conference Committee Report

No significant fiscal implication to the State is anticipated.

The bill would revise and reorganize Chapter 31 of the Natural Resources Code, relating to the asset
management duties of the General Land Office (GLO). The bill would add the authority for GLO to
charge fees for other services and products not specifically listed in Section 31.064, Natural
Resources Code. The bill would require state agencies to report directly to the Texas Historical
Commission pertaining to buildings of a certain age rather than go through GLO to report the data.

The bill would require that proceeds from the sale of real property purchased with general revenue be
deposited to the credit of the unobligated portion of the general revenue fund. The bill would require a
diversion of the mineral ownership of Texas Parks and Wildlife Department (TPWD) lands identified
for sale to the Permanent School Fund under management by the GLO.

The bill would exempt certain properties from review in the GLO real property study, including the
real property of the Texas Historical Commission, the Alamo, the French Legation, the Governor's
Mansion, the State Cemetery, and property administered by the State Preservation Board and highway
rights-of-way owned by the Texas Department of Transportation.

The bill would repeal Natural Resources Code 31.152, establishing an asset management division at
the GLO. However, the agency would continue to perform the same or similar functions, which could
be delegated to another divsion within the General Land Office. The bill would repeal the following
subchapters in Chapter 31, Natural Resources Code: Subchapter F grants relating to improvements on
leased property, Subchapter H regarding the use of State Energy Resources, and Subchapter I relating
to real estate transactions not authorized by the Legislature.

The bill would release the state's interest in a 35.686 parcel of land.  According to the agency, the School Land Board, in consultation with the Veterans' Land Board, would determine an appropriate price for releasing the state's interest.  The bill would prohibit the Parks and Widlife Department from selling land located in a certain county.  In addition, the bill provides that the State of Texas shall retain any and all rights to reasonable use of the surface and ground water for mineral development and production purposes. 

The bill would take effect immediately upon enactment, assuming that it receives the requisite twothirds majority votes in both houses of the Legislature. Otherwise, it would take effect September 1,2003


Local Government Impact

No fiscal implication to units of local government is anticipated.


Source Agencies:
LBB Staff:
JK, CL, MS