89R28858 RAL-D
 
  By: Smithee H.B. No. 4511
 
  Substitute the following for H.B. No. 4511:
 
  By:  King C.S.H.B. No. 4511
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to wind energy agreements and the right of a surface estate
  owner to capture and employ wind energy.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Title 6, Utilities Code, is amended by adding
  Chapter 303 to read as follows:
  CHAPTER 303. WIND ENERGY RIGHTS AND AGREEMENTS
         Sec. 303.0001.  DEFINITIONS. In this chapter:
               (1)  "Wind energy agreement" means a lease, license,
  easement, or other agreement between the owner of a surface estate
  and a wind energy developer to develop wind-powered energy
  generation by means of the installation of equipment and necessary
  facilities on the subject property.
               (2)  "Wind energy developer" means the lessee, grantee,
  easement holder, licensee, or similar party under a wind energy
  agreement.
               (3)  "Wind-powered energy generation" means the
  generation of electricity by means of a turbine or other device that
  captures and employs the kinetic energy of the wind.
         Sec. 303.0002.  RIGHT OF SURFACE ESTATE OWNER TO CAPTURE AND
  EMPLOY WIND ENERGY. The owner of a surface estate has an inherent
  right, either directly or through a wind energy developer under a
  wind energy agreement, to capture and employ the kinetic energy of
  the wind. The right described by this section is not severable from
  the surface estate.
         Sec. 303.0003.  WIND ENERGY AGREEMENT. A wind energy
  agreement is subject to statutory and other rules of law to the same
  extent as other agreements creating interests in or rights to use
  real property.
         Sec. 303.0004.  TERMINATION; RELEASE. (a) If a wind energy
  agreement expires or is terminated, each wind energy developer that
  owned the wind energy agreement at the time the agreement expired or
  terminated shall record a release of the expired or terminated
  agreement in the office of the county clerk in the county where the
  land subject to the agreement is located.
         (b)  If a wind energy developer fails to record a release as
  required by Subsection (a), the owner of the surface estate or the
  owner's agent may request a wind energy developer shown as the wind
  energy developer of record for the agreement to record the release.
  The request must be:
               (1)  in writing; and
               (2)  delivered to the last-known address of the wind
  energy developer:
                     (A)  personally; or
                     (B)  by certified mail, first class postage
  prepaid, and return receipt requested.
         (c)  In the absence of a good faith claim that the wind energy
  agreement is in force and effect, a wind energy developer who
  receives a request under Subsection (b) shall, not later than 90
  days after the date the request is received:
               (1)  record the release as required by Subsection (a);
  or
               (2)  inform the owner of the surface estate or the
  owner's agent:
                     (A)  that the wind energy developer no longer owns
  the wind energy agreement; and
                     (B)  of the name of the party that succeeded to the
  wind energy developer's interest.
         (d)  An owner of the surface estate or the owner's agent that
  receives notice under Subsection (c)(2) may request the successor
  in interest to record a release in the manner provided by Subsection
  (b). If the interest of a wind energy developer has been
  transferred by an instrument that has not been recorded, the
  transferee shall:
               (1)  first record the instrument by which the
  transferee acquired the interest or record a notice of the transfer
  and then record the release required by Subsection (c); or
               (2)  cause the wind energy developer shown as the wind
  energy developer of record for the agreement to record the release
  required by Subsection (c).
         (e)  A release recorded under this section must:
               (1)  identify the wind energy agreement with reasonable
  clarity; and
               (2)  include:
                     (A)  the names of the parties;
                     (B)  the legal description of the land subject to
  the agreement; and
                     (C)  the applicable recording information of the
  agreement.
         Sec. 303.0005.  TRANSFER OF PARTY'S INTEREST IN AGREEMENT.
  Nothing in this chapter restricts the transfer of any interest of a
  party to a wind energy agreement, including the transfer of the
  right of the owner of the surface estate to receive payments under
  the wind energy agreement.
         SECTION 2.  Nothing in this Act affects the validity of an
  agreement entered into before the effective date of this Act.
         SECTION 3.  This Act takes effect September 1, 2025.