Texas House Bill HB369

Texas 2009 - 81st Regular

Caption

Relating to assessment of damages in a condemnation proceeding.

Impact

The revisions proposed in HB 369 could significantly impact property owners, especially those whose properties are targeted for state or federal projects, such as highways managed by the Texas Department of Transportation. By specifying the factors to be considered in estimating local market value—like access, traffic patterns, and utility availability—the bill intends to provide a more structured and potentially fairer valuation process. This could protect property owners from undervalued compensation based on insufficient criteria in existing law.

Summary

House Bill 369 amends the Property Code regarding the assessment of damages in condemnation proceedings, particularly focusing on how the local market value of property is determined before and after condemnation. The bill outlines specific considerations for valuating both the condemned property and any remaining property. It establishes that any changes in market value due to the condemnor's proposed project before condemnation cannot influence the value assessment beforehand, while such changes post-condemnation must be accounted for. This revised approach aims to create a clearer framework for property owners affected by governmental actions.

Contention

A notable point of contention within the discussions around HB 369 relates to the implications of valuing public and nonprofit properties. The bill stipulates that these properties should not be undervalued below their replacement cost if they are used for public functions or services. This provision raises questions about the fairness and feasibility of compensation in cases where the condemned property serves a crucial public role, possibly leading to debates about the state's responsibilities towards such entities. Opponents may argue that these regulations may not adequately consider local economic conditions or the individual circumstances of property owners.