81R5880 UM-D
By: Jackson H.B. No. 1432
A BILL TO BE ENTITLED
AN ACT
relating to a landowner's repurchase of real property from an
entity that acquired the property through condemnation.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 21.023, Property Code, is amended to
read as follows:
Sec. 21.023. DISCLOSURE OF INFORMATION REQUIRED AT TIME OF
ACQUISITION. An [A governmental] entity with eminent domain
authority shall disclose in writing to the property owner, at the
time of acquisition of the property through eminent domain, that:
(1) the owner or the owner's heirs, successors, or
assigns may be [are] entitled to:
(A) repurchase the property under Subchapter E
[if the public use for which the property was acquired through
eminent domain is canceled before the 10th anniversary of the date
of acquisition]; or
(B) request from the entity certain information
relating to the use of the property and any actual progress made
toward that use; and
(2) the repurchase price is the price paid to the owner
by the entity at the time the entity acquired the property through
eminent domain [fair market value of the property at the time the
public use was canceled].
SECTION 2. Subchapter E, Chapter 21, Property Code, is
amended to read as follows:
SUBCHAPTER E. REPURCHASE OF REAL PROPERTY FROM CONDEMNING
[GOVERNMENTAL] ENTITY
Sec. 21.101. RIGHT OF REPURCHASE [APPLICABILITY]. (a) A
person from whom [Except as provided in Subsection (b), this
subchapter applies only to] a real property interest is acquired by
an [a governmental] entity through eminent domain for a public use,
or that person's heirs, successors, or assigns, is entitled to
repurchase the property as provided by this subchapter if:
(1) the public use for which the property was acquired
through eminent domain is [that was] canceled;
(2) no actual progress is made toward the public use
for which the property was acquired between the date of acquisition
and the fifth anniversary of that date; or
(3) the property becomes unnecessary for the public
use for which the property was acquired [before the 10th
anniversary of the date of acquisition].
(b) In this section, "actual progress" means the completion
of two or more of the following actions:
(1) the performance of a significant amount of labor
to develop the property or other property acquired for the same
public use project for which the property owner's property was
acquired;
(2) the furnishing of a significant amount of
materials to develop the property or other property acquired for
the same public use project for which the property owner's property
was acquired;
(3) the hiring of and performance of a significant
amount of work by an architect, engineer, or surveyor to prepare a
plan or plat that includes the property or other property acquired
for the same public use project for which the property owner's
property was acquired;
(4) application for state or federal funds to develop
the property or other property acquired for the same public use
project for which the property owner's property was acquired;
(5) voter approval of a proposition authorizing the
issuance of bonds or other public securities or the issuance of
revenue bonds related to funding the public use project for which
the property was acquired; or
(6) the acquisition of a tract or parcel of real
property adjacent to the property for the same public use project
for which the owner's property was acquired [This subchapter does
not apply to a right-of-way under the jurisdiction of:
[(1) a county;
[(2) a municipality; or
[(3) the Texas Department of Transportation].
(c) A district court may determine all issues in any suit
regarding the repurchase of a real property interest acquired
through eminent domain by the former property owner or the owner's
heirs, successors, or assigns.
Sec. 21.102. NOTICE TO PREVIOUS PROPERTY OWNER REQUIRED [AT
TIME OF CANCELLATION OF PUBLIC USE]. Not later than the 180th day
after the date an entity that acquired a real property interest
through eminent domain determines that the former property owner is
entitled to repurchase the property under Section 21.101 [of the
cancellation of the public use for which real property was acquired
through eminent domain from a property owner under Subchapter B],
the [governmental] entity shall send by certified mail, return
receipt requested, to the property owner or the owner's heirs,
successors, or assigns a notice containing:
(1) an identification, which is not required to be a
legal description, of the property that was acquired;
(2) an identification of the public use for which the
property had been acquired and a statement that:
(A) the public use has been canceled;
(B) no actual progress was made toward the public
use; or
(C) the property has become unnecessary for the
public use; and
(3) a description of the person's right under this
subchapter to repurchase the property.
Sec. 21.1021. REQUESTS FOR INFORMATION REGARDING CONDEMNED
PROPERTY. (a) On or after the fifth anniversary of the date on
which real property was acquired by an entity through eminent
domain, a property owner or the owner's heirs, successors, or
assigns may request that the condemning entity make a determination
and provide a statement and other relevant information regarding:
(1) whether the public use for which the property was
acquired has been canceled;
(2) whether any actual progress was made toward the
public use between the date of acquisition and the fifth
anniversary of that date, including an itemized description of the
progress made, if applicable; and
(3) whether the property has become unnecessary for
the public use of the property.
(b) A request under this section must contain sufficient
detail to allow the entity to identify the specific tract of land in
relation to which the information is sought.
(c) Not later than the 90th day following the receipt of the
request for information, the entity shall send a written response
by certified mail, return receipt requested, to the requestor.
Sec. 21.103. RESALE OF PROPERTY; PRICE. (a) Not later than
the 180th day after the date of the postmark on a [the] notice sent
under Section 21.102 or a response to a request made under Section
21.1021 that indicates that the property owner or the owner's
heirs, successors, or assigns is entitled to repurchase the
property interest in accordance with Section 21.101, the property
owner or the owner's heirs, successors, or assigns must notify the
[governmental] entity of the person's intent to repurchase the
property interest under this subchapter.
(b) As soon as practicable after receipt of a notice of
intent to repurchase [the notification] under Subsection (a), the
[governmental] entity shall offer to sell the property interest to
the person for the price paid to the owner by the entity at the time
the entity acquired the property through eminent domain [fair
market value of the property at the time the public use was
canceled]. The person's right to repurchase the property expires
on the 90th day after the date on which the [governmental] entity
makes the offer.
SECTION 3. Chapter 21, Property Code, as amended by this
Act, applies only to a condemnation proceeding in which the
petition is filed on or after the effective date of this Act and to
any property condemned through the proceeding. A condemnation
proceeding in which the petition is filed before the effective date
of this Act and any property condemned through the proceeding is
governed by the law in effect immediately before that date, and that
law is continued in effect for that purpose.
SECTION 4. 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 September 1, 2009.