1 | 1 | | 89R11636 JAM-D |
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2 | 2 | | By: Harris H.B. No. 2979 |
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4 | 4 | | |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to a prohibition on the exercise of eminent domain and the |
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10 | 10 | | disposition of certain property acquired for certain rail projects. |
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11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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12 | 12 | | SECTION 1. Section 112.002, Transportation Code, is amended |
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13 | 13 | | by amending Subsection (b) and adding Subsection (c) to read as |
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14 | 14 | | follows: |
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15 | 15 | | (b) A railroad company may: |
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16 | 16 | | (1) sue, be sued, plead, and be impleaded in its |
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17 | 17 | | corporate name; |
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18 | 18 | | (2) have and use a seal and alter the seal at will; |
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19 | 19 | | (3) receive and convey persons and property on its |
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20 | 20 | | railway by any mechanical power, including the use of steam; |
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21 | 21 | | (4) regulate the time and manner in which, and the |
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22 | 22 | | compensation for which, passengers and property are transported, |
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23 | 23 | | subject to the provisions of law; |
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24 | 24 | | (5) except as provided by Subsection (c), exercise the |
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25 | 25 | | power of eminent domain for the purposes prescribed by this |
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26 | 26 | | subtitle or Subtitle D; |
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27 | 27 | | (6) purchase, hold, and use all property as necessary |
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28 | 28 | | for the construction and use of its railway, stations, and other |
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29 | 29 | | accommodations necessary to accomplish company objectives, and |
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30 | 30 | | convey that property when no longer required for railway use; and |
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31 | 31 | | (7) take, hold, and use property granted to the |
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32 | 32 | | company to aid in the construction and use of its railway, and |
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33 | 33 | | convey that property in a manner consistent with the terms of the |
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34 | 34 | | grant when the property is no longer required for railway use. |
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35 | 35 | | (c) A private entity may not exercise the power of eminent |
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36 | 36 | | domain for the purpose of developing or operating a high-speed rail |
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37 | 37 | | project, as defined by Section 112.201. |
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38 | 38 | | SECTION 2. Subchapter B, Chapter 112, Transportation Code, |
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39 | 39 | | is amended by adding Section 112.063 to read as follows: |
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40 | 40 | | Sec. 112.063. DISPOSITION OF REAL PROPERTY ACQUIRED FOR |
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41 | 41 | | HIGH-SPEED RAIL PROJECT. (a) In this section, "high-speed rail" |
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42 | 42 | | has the meaning assigned by Section 112.201. |
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43 | 43 | | (b) Except as provided by Subsection (d), a private entity |
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44 | 44 | | that acquires real property for a high-speed rail project may not |
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45 | 45 | | use that property for any purpose other than a high-speed rail |
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46 | 46 | | project. |
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47 | 47 | | (c) Except as provided by Subsection (d), a person from whom |
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48 | 48 | | real property is acquired by a private entity as described by |
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49 | 49 | | Subsection (b), and the person's heirs, successors, and assigns, |
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50 | 50 | | are entitled to notice and opportunity to repurchase the property |
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51 | 51 | | before all other purchasers for the price paid to the owner by the |
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52 | 52 | | entity at the time the entity acquired the property if: |
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53 | 53 | | (1) the high-speed rail project for which the property |
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54 | 54 | | was acquired is canceled before the property is used for that |
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55 | 55 | | project; |
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56 | 56 | | (2) the property is not used for the high-speed rail |
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57 | 57 | | project for which the property was acquired before the 10th |
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58 | 58 | | anniversary of the date of acquisition; or |
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59 | 59 | | (3) the property becomes unnecessary for the |
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60 | 60 | | high-speed rail project for which the property was acquired before |
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61 | 61 | | the 10th anniversary of the date of acquisition. |
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62 | 62 | | (d) Subsections (b) and (c) do not apply to real property |
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63 | 63 | | acquired by a private entity as described by Subsection (b) if, |
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64 | 64 | | before the acquisition of the property: |
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65 | 65 | | (1) the entity acquiring the property gives written |
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66 | 66 | | notice to the person from whom the property is to be acquired that |
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67 | 67 | | the property may be used for a purpose other than a high-speed rail |
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68 | 68 | | project; and |
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69 | 69 | | (2) the person from whom the property is to be acquired |
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70 | 70 | | signs a statement acknowledging that written notice was given under |
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71 | 71 | | Subdivision (1). |
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72 | 72 | | (e) Notice and repurchase as required by Subsection (c) |
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73 | 73 | | shall follow the timelines and processes for notice and repurchase |
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74 | 74 | | in Chapter 21, Property Code. |
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75 | 75 | | SECTION 3. Section 131.012, Transportation Code, is amended |
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76 | 76 | | to read as follows: |
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77 | 77 | | Sec. 131.012. EMINENT DOMAIN. (a) Except as provided by |
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78 | 78 | | Subsection (b), a [A] corporation chartered for the purpose of |
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79 | 79 | | constructing, acquiring, maintaining, or operating lines of |
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80 | 80 | | electric railway between municipalities in this state for the |
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81 | 81 | | transportation of freight, passengers, or both freight and |
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82 | 82 | | passengers may: |
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83 | 83 | | (1) exercise the power of eminent domain with all the |
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84 | 84 | | rights and powers granted by law to a railroad company; and |
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85 | 85 | | (2) enter, condemn, and appropriate land, |
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86 | 86 | | right-of-way, easements, or other property of any person or |
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87 | 87 | | corporation to acquire: |
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88 | 88 | | (A) right-of-way on which to construct and |
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89 | 89 | | operate lines of railway for the acquiring corporation; or |
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90 | 90 | | (B) sites for depots or power plants. |
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91 | 91 | | (b) An interurban electric railway company may not exercise |
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92 | 92 | | the power of eminent domain for the purposes described by |
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93 | 93 | | Subsection (a). |
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94 | 94 | | SECTION 4. Section 112.063, Transportation Code, as added |
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95 | 95 | | by this Act, applies to real property acquired on or after September |
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96 | 96 | | 1, 2025. |
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97 | 97 | | SECTION 5. This Act takes effect September 1, 2025. |
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