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79S20524 KCR-D
By: Kolkhorst H.B. No. 65
A BILL TO BE ENTITLED
AN ACT
relating to limiting the use of eminent domain to take private
property for private uses or economic development purposes.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subtitle E, Title 10, Government Code, is
amended by adding Chapter 2206 to read as follows:
CHAPTER 2206. LIMITATION ON USE OF EMINENT DOMAIN FOR PRIVATE
PARTIES OR ECONOMIC DEVELOPMENT PURPOSES
Sec. 2206.001. LIMITATION ON EMINENT DOMAIN FOR PRIVATE
PARTIES OR ECONOMIC DEVELOPMENT PURPOSES. (a) This section
applies to the use of eminent domain under the laws of this state,
including a local or special law, by any governmental or private
entity, including:
(1) a state agency, including an institution of higher
education as defined by Section 61.003, Education Code;
(2) a political subdivision of this state; or
(3) a corporation created by a governmental entity to
act on behalf of the entity.
(b) A governmental or private entity may not take private
property through the use of eminent domain if a purpose of the
taking:
(1) is to promote or facilitate private retail,
office, commercial, industrial, or residential development;
(2) is for a public use that is merely a pretext to
promote or facilitate development described by Subdivision (1);
(3) is for economic development, unless the economic
development is a secondary purpose resulting from municipal
community development or municipal urban renewal activities under
Chapter 373 or 374, Local Government Code, or Section
311.005(a)(1)(I), Tax Code, to eliminate an existing affirmative
harm on society from slum or blighted areas;
(4) is to raise revenue to meet the cost of a public
project if the property being taken is not otherwise necessary for
the successful or safe operation of that public project, provided,
however, that nothing in this section shall prohibit the
distribution of surplus toll revenue as otherwise allowed by law;
(5) is to enhance or increase tax revenue; or
(6) is to transfer the property to a nongovernmental
entity, including an individual, corporation, partnership, or
other business entity.
(c) This section does not affect the authority of an entity
authorized by law to take private property through the use of
eminent domain for:
(1) transportation projects, including railroads,
ports, airports, or public roads or highways;
(2) water supply, wastewater, flood control, and
drainage projects;
(3) the operations of a common carrier or energy
transporter;
(4) the provision of utility services;
(5) a sports and community venue project approved by
voters at an election held on or before December 1, 2005, under
Chapter 334 or 335, Local Government Code; or
(6) public infrastructure.
SECTION 2. Section 203.052, Transportation Code, as amended
by H.B. No. 2702, Acts of the 79th Legislature, Regular Session,
2005, is amended by amending Subsection (b) and adding Subsection
(c) to read as follows:
(b) Property necessary or convenient to a state highway for
purposes of Subsection (a) includes an interest in real property, a
property right, or a material that the commission determines is
necessary or convenient to:
(1) protect a state highway;
(2) drain a state highway;
(3) divert a stream, river, or other watercourse from
the right-of-way of a state highway;
(4) store materials or equipment for use or used in the
construction or maintenance of a state highway;
(5) construct or operate a warehouse or other facility
used in connection with the construction, maintenance, or operation
of a state highway;
(6) lay out, construct, or maintain a roadside park;
(7) lay out, construct, or maintain a parking lot that
will contribute to maximum use of a state highway with the least
possible congestion;
(8) mitigate an adverse environmental effect that
directly results from construction or maintenance of a state
highway;
(9) subject to Subsection (c), provide a location for
an ancillary facility that is anticipated to generate revenue for
use in the design, development, financing, construction,
maintenance, or operation of a toll project, including a gas
station, garage, store, hotel, restaurant, or other commercial
facility;
(10) construct or operate a toll booth, toll plaza,
service center, or other facility used in connection with the
construction, maintenance, or operation of a toll project; or
(11) accomplish any other purpose related to the
location, construction, improvement, maintenance, beautification,
preservation, or operation of a state highway.
(c) The commission may not acquire property for an ancillary
facility through the exercise of eminent domain.
SECTION 3. Section 227.041(b), Transportation Code, as
amended by H.B. No. 2702, Acts of the 79th Legislature, Regular
Session, 2005, is amended to read as follows:
(b) An interest in real property or a property right is
necessary or convenient for the construction or operation of a
facility if it is located in or contiguous to an existing or planned
segment of the Trans-Texas Corridor or is needed for mitigation of
adverse environmental effects, and if its acquisition will further
the primary purposes of the Trans-Texas Corridor. Primary purposes
include:
(1) providing right-of-way or a location for a
facility;
(2) providing land for mitigation of adverse
environmental effects;
(3) providing buffer zones for scenic or safety
purposes;
(4) allowing for possible future expansion of any
facility; and
(5) subject to Section 203.052(c), providing a
location for a gas station, convenience store, or similar ancillary
facility.
SECTION 4. Section 227.041(e), Transportation Code, as
added by H.B. No. 2702, Acts of the 79th Legislature, Regular
Session, 2005, is repealed.
SECTION 5. Chapter 2206, Government Code, as added by this
Act, applies only to the taking of private property by eminent
domain for which a condemnation petition is filed on or after the
effective date of this Act. A taking for which a condemnation
petition is filed before, and is pending on, the effective date of
this Act is governed by the law in effect immediately before that
date, and that law is continued in effect for that purpose.
SECTION 6. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect December 1, 2005.