79S20055 AJA-F
By: Shapleigh S.B. No. 26
A BILL TO BE ENTITLED
AN ACT
relating to the use of the power of eminent domain.
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. LIMITATIONS ON USE OF EMINENT DOMAIN
Sec. 2206.001. DEFINITION. In this chapter, "economic
development" means efforts to promote prosperity and comfort in a
community, stimulate the economy, expand employment opportunities,
encourage the establishment and growth of commerce and industry, or
expand the property and sales tax base.
Sec. 2206.002. 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 the taking:
(1) confers a private benefit on a particular private
party through the use of the property;
(2) is for a public use that is merely a pretext to
confer a private benefit on a particular private party;
(3) is for economic development purposes; or
(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.
(c) This section does not prohibit the distribution of
surplus toll revenue as otherwise allowed by law. Toll revenue
raised from a part of a transportation system may be used to help
fund the transportation system generally if otherwise allowed by
law.
(d) This section does not affect the authority of an entity
authorized by law to take private property through the use of
eminent domain if:
(1) there is a definite public right or use in the
purpose to which the property is to be devoted other than economic
development;
(2) the taking of the property is reasonably essential
for the successful operation of a public project in which there is a
definite public right or use as described by Subdivision (1); or
(3) the taking:
(A) prevents a menace to the health, safety,
morals, and welfare of citizens; or
(B) is part of 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.
SECTION 2. Section 203.052, Transportation Code, is amended
by adding Subsection (c) to read as follows:
(c) The commission may not condemn property for a purpose
described in Subsection (b)(9) unless:
(1) subject to the provisions of Section 227.041(b-1),
the purpose is for a gas station, convenience store, or similar
facility; or
(2) the purpose is to provide a location between the
main lanes of a highway or between a highway and a department rail
facility for a gas station, convenience store, or similar facility
that:
(A) provides services to and directly benefits
users of a toll project; and
(B) is not located within 10 miles of an
intersection of the toll project and a segment of another state or
federal highway.
SECTION 3. (a) An interim committee is created to study
the use of the power of eminent domain.
(b) The interim committee consists of:
(1) five members of the senate appointed by the
lieutenant governor; and
(2) five members of the house of representatives
appointed by the speaker of the house of representatives.
(c) The lieutenant governor shall designate one senator
appointed to the interim committee to act as chair. The speaker of
the house of representatives shall designate one member of the
house of representatives appointed to the committee to act as vice
chair.
(d) The interim committee shall:
(1) study the use of the power of eminent domain,
including the use of the power of eminent domain for economic
development purposes; and
(2) prepare a report of the committee's study for the
80th Legislature.
(e) The report required by Subsection (d)(2) of this section
must be filed with the lieutenant governor and speaker of the house
of representatives not later than January 1, 2007.
SECTION 4. Chapter 2206, Government Code, as added by this
Act, applies to a taking of private property by eminent domain
pending on the effective date of this Act. For purposes of this
section, a taking is pending if a condemnation petition is filed
under Section 21.012, Property Code, and a judgment awarding
possession of the property to the condemning entity has not become
final.
SECTION 5. 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 on the 91st day after the last day of the
legislative session.