1 | 1 | | 85R7609 KJE-F |
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2 | 2 | | By: King of Uvalde H.B. No. 1882 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | A BILL TO BE ENTITLED |
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6 | 6 | | AN ACT |
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7 | 7 | | relating to the management of university land by The University of |
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8 | 8 | | Texas System. |
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9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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10 | 10 | | SECTION 1. Section 66.41, Education Code, is amended to |
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11 | 11 | | read as follows: |
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12 | 12 | | Sec. 66.41. MANAGEMENT OF UNIVERSITY LANDS. The board of |
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13 | 13 | | regents of The University of Texas System has the sole and exclusive |
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14 | 14 | | management and control of the lands set aside and appropriated to, |
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15 | 15 | | or acquired by, the permanent university fund. The board may sell, |
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16 | 16 | | lease, and otherwise manage, control, and use the lands in any |
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17 | 17 | | manner and at prices and under terms and conditions the board deems |
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18 | 18 | | best for the interest of the permanent university fund, not in |
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19 | 19 | | conflict with the constitution or this chapter. However, the land |
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20 | 20 | | shall not be sold at a price less per acre than that at which the |
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21 | 21 | | same class of other public land may be sold under the statutes. No |
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22 | 22 | | grazing lease shall be made for a period of more than 10 years. |
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23 | 23 | | SECTION 2. Section 66.46, Education Code, is amended by |
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24 | 24 | | amending Subsections (d) and (m) and adding Subsections (d-1), (n), |
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25 | 25 | | and (o) to read as follows: |
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26 | 26 | | (d) An easement under this section may not be granted for a |
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27 | 27 | | term that is longer than 10 years, but the easement may be renewed |
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28 | 28 | | by the board of regents. The rent to be charged for an easement |
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29 | 29 | | under this section shall be: |
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30 | 30 | | (1) an amount agreed to by the grantee and the board; |
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31 | 31 | | or |
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32 | 32 | | (2) if applicable, the amount determined as provided |
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33 | 33 | | by Subsection (n). |
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34 | 34 | | (d-1) Notwithstanding Subsection (d), the board of regents |
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35 | 35 | | may grant or renew an easement or other interest in university land |
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36 | 36 | | for a term longer than 10 years, and may charge below market rate |
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37 | 37 | | rent for the interest, if: |
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38 | 38 | | (1) the interest is granted or renewed to a |
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39 | 39 | | municipality, a river authority, an electric cooperative organized |
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40 | 40 | | under Chapter 161, Utilities Code, or a nonprofit organization; and |
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41 | 41 | | (2) the terms of the interest: |
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42 | 42 | | (A) require the grantee to use the land in a |
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43 | 43 | | manner that primarily promotes a public purpose of the board and |
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44 | 44 | | benefits the land; and |
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45 | 45 | | (B) include provisions under which the board is |
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46 | 46 | | granted sufficient control to ensure that the public purpose is |
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47 | 47 | | accomplished and the board receives the return benefit. |
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48 | 48 | | (m) The board of regents shall establish procedures by which |
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49 | 49 | | a person seeking an easement or other interest under this section |
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50 | 50 | | may seek relief from a rate or damage schedule or from the rent or |
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51 | 51 | | other amount to be charged for the interest being sought that the |
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52 | 52 | | person believes does not represent the fair market value of the |
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53 | 53 | | interest [being sought]. The procedures must require: |
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54 | 54 | | (1) the fair market value of the interest to be |
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55 | 55 | | conclusively determined by an appraisal obtained by the person |
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56 | 56 | | seeking relief and conducted by an appraiser licensed or certified |
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57 | 57 | | under Chapter 1103, Occupations Code, applying standards generally |
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58 | 58 | | applicable to the assessment of damages for the condemnation of an |
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59 | 59 | | easement under Chapter 21, Property Code; and |
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60 | 60 | | (2) if requested by the person seeking relief, binding |
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61 | 61 | | arbitration to be conducted by a mutually agreeable impartial third |
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62 | 62 | | party, as described by Section 2009.053, Government Code. |
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63 | 63 | | (n) If an appraisal conducted as provided by Subsection |
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64 | 64 | | (m)(1) establishes the fair market value of an easement or other |
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65 | 65 | | interest in property at an amount that is not more than five percent |
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66 | 66 | | above or below the rate or damage schedule or the rent or other |
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67 | 67 | | amount to be charged for the interest, as applicable, the board of |
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68 | 68 | | regents shall charge for the interest an amount equal to the |
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69 | 69 | | interest's fair market value as determined by that appraisal. |
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70 | 70 | | (o) If binding arbitration is requested under Subsection |
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71 | 71 | | (m)(2), the fees and expenses of the impartial third party must be |
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72 | 72 | | paid: |
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73 | 73 | | (1) equally by the board of regents and the person |
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74 | 74 | | seeking relief; or |
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75 | 75 | | (2) by the nonprevailing party if the fair market |
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76 | 76 | | value of the easement or other interest in property being sought is |
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77 | 77 | | determined to be the same as or approximately the same as the amount |
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78 | 78 | | requested by the prevailing party, as determined by the impartial |
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79 | 79 | | third party conducting the arbitration. |
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80 | 80 | | SECTION 3. This Act takes effect September 1, 2017. |
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