| 1 | 1 | | S.B. No. 818 |
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| 2 | 2 | | |
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| 3 | 3 | | |
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| 4 | 4 | | AN ACT |
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| 5 | 5 | | relating to the disposition of real property interests by |
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| 6 | 6 | | navigation districts and port authorities. |
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| 7 | 7 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 8 | 8 | | SECTION 1. The heading to Section 60.038, Water Code, is |
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| 9 | 9 | | amended to read as follows: |
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| 10 | 10 | | Sec. 60.038. DISPOSITION [SALE OR LEASE] OF INTERESTS IN |
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| 11 | 11 | | REAL PROPERTY [LAND]. |
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| 12 | 12 | | SECTION 2. Section 60.038, Water Code, is amended by |
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| 13 | 13 | | amending Subsections (a), (b), and (c) and adding Subsections (e), |
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| 14 | 14 | | (f), and (g) to read as follows: |
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| 15 | 15 | | (a) A district may sell, exchange, or lease real property or |
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| 16 | 16 | | any interest in real property [all or any part of land] owned by it, |
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| 17 | 17 | | whether the real property was [land is] acquired by gift or |
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| 18 | 18 | | purchase, in settlement of any litigation, controversy, or claim in |
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| 19 | 19 | | behalf of the district, or in any other manner, except that lands or |
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| 20 | 20 | | flats heretofore purchased from the State of Texas under former |
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| 21 | 21 | | Article 8225, Revised Civil Statutes of Texas, 1925, or granted by |
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| 22 | 22 | | the State of Texas in any general or special act, may be sold only to |
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| 23 | 23 | | the State of Texas or exchanged with the State of Texas for other |
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| 24 | 24 | | lands or exchanged for adjacent littoral land as authorized by |
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| 25 | 25 | | Section 61.117 [of this code]. The district may impose |
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| 26 | 26 | | restrictions on the development, use, and transfer of any real |
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| 27 | 27 | | property or interest in real property in connection with its sale or |
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| 28 | 28 | | exchange under this section. |
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| 29 | 29 | | (b) Except as provided by Subsection (e), before [Before] a |
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| 30 | 30 | | district may sell or exchange real property [land], the commission |
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| 31 | 31 | | shall determine by resolution that the real property [land] is no |
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| 32 | 32 | | longer needed for use by the district in connection with the |
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| 33 | 33 | | development of a navigation project. |
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| 34 | 34 | | (c) Except as provided by Subsection (e), (f), or (g), a |
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| 35 | 35 | | sale [Sale] or exchange [lease] of real property [land] shall be |
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| 36 | 36 | | made as provided by Sections 60.040, 60.041, and 60.042 |
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| 37 | 37 | | [60.039-60.042 of this code]. |
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| 38 | 38 | | (e) A district may donate, exchange, convey, sell, or lease |
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| 39 | 39 | | land, improvements, easements, or any other interests in real |
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| 40 | 40 | | property to an electric utility, as that term is defined by Section |
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| 41 | 41 | | 31.002, Utilities Code, or a telecommunications utility, as that |
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| 42 | 42 | | term is defined by Section 51.002, Utilities Code, to promote a |
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| 43 | 43 | | public purpose related to the development of the district. The |
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| 44 | 44 | | district shall determine the terms and conditions of the |
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| 45 | 45 | | transaction so as to: |
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| 46 | 46 | | (1) achieve the public purpose; and |
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| 47 | 47 | | (2) be consistent with the requirements of Title 2, |
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| 48 | 48 | | Utilities Code. |
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| 49 | 49 | | (f) A district may donate, exchange, convey, sell, or lease |
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| 50 | 50 | | a real property interest under Subsection (e) for less than its fair |
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| 51 | 51 | | market value and without complying with the notice and bidding |
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| 52 | 52 | | requirements of Sections 60.040, 60.041, and 60.042. |
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| 53 | 53 | | (g) Narrow strips of real property resulting from boundary |
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| 54 | 54 | | or surveying conflicts or similar causes, or from insubstantial |
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| 55 | 55 | | encroachments by abutting real property owners, or real property of |
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| 56 | 56 | | larger configuration that has been subject to encroachments by |
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| 57 | 57 | | abutting real property owners for more than 25 years may be |
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| 58 | 58 | | abandoned, released, exchanged, or transferred to such abutting |
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| 59 | 59 | | owners on terms and conditions considered appropriate or |
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| 60 | 60 | | advantageous to the district. A district may convey real property |
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| 61 | 61 | | under this subsection for less than its fair market value and |
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| 62 | 62 | | without complying with the notice and bidding requirements of |
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| 63 | 63 | | Sections 60.040, 60.041, and 60.042. |
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| 64 | 64 | | SECTION 3. This Act takes effect immediately if it receives |
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| 65 | 65 | | a vote of two-thirds of all the members elected to each house, as |
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| 66 | 66 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 67 | 67 | | Act does not receive the vote necessary for immediate effect, this |
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| 68 | 68 | | Act takes effect September 1, 2023. |
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| 69 | 69 | | ______________________________ ______________________________ |
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| 70 | 70 | | President of the Senate Speaker of the House |
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| 71 | 71 | | I hereby certify that S.B. No. 818 passed the Senate on |
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| 72 | 72 | | April 3, 2023, by the following vote: Yeas 31, Nays 0. |
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| 73 | 73 | | ______________________________ |
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| 74 | 74 | | Secretary of the Senate |
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| 75 | 75 | | I hereby certify that S.B. No. 818 passed the House on |
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| 76 | 76 | | May 6, 2023, by the following vote: Yeas 125, Nays 11, |
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| 77 | 77 | | one present not voting. |
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| 78 | 78 | | ______________________________ |
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| 79 | 79 | | Chief Clerk of the House |
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| 80 | 80 | | Approved: |
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| 81 | 81 | | ______________________________ |
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| 82 | 82 | | Date |
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| 83 | 83 | | ______________________________ |
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| 84 | 84 | | Governor |
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