Texas 2025 - 89th Regular

Texas House Bill HB2979 Compare Versions

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11 89R11636 JAM-D
22 By: Harris H.B. No. 2979
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77 A BILL TO BE ENTITLED
88 AN ACT
99 relating to a prohibition on the exercise of eminent domain and the
1010 disposition of certain property acquired for certain rail projects.
1111 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1212 SECTION 1. Section 112.002, Transportation Code, is amended
1313 by amending Subsection (b) and adding Subsection (c) to read as
1414 follows:
1515 (b) A railroad company may:
1616 (1) sue, be sued, plead, and be impleaded in its
1717 corporate name;
1818 (2) have and use a seal and alter the seal at will;
1919 (3) receive and convey persons and property on its
2020 railway by any mechanical power, including the use of steam;
2121 (4) regulate the time and manner in which, and the
2222 compensation for which, passengers and property are transported,
2323 subject to the provisions of law;
2424 (5) except as provided by Subsection (c), exercise the
2525 power of eminent domain for the purposes prescribed by this
2626 subtitle or Subtitle D;
2727 (6) purchase, hold, and use all property as necessary
2828 for the construction and use of its railway, stations, and other
2929 accommodations necessary to accomplish company objectives, and
3030 convey that property when no longer required for railway use; and
3131 (7) take, hold, and use property granted to the
3232 company to aid in the construction and use of its railway, and
3333 convey that property in a manner consistent with the terms of the
3434 grant when the property is no longer required for railway use.
3535 (c) A private entity may not exercise the power of eminent
3636 domain for the purpose of developing or operating a high-speed rail
3737 project, as defined by Section 112.201.
3838 SECTION 2. Subchapter B, Chapter 112, Transportation Code,
3939 is amended by adding Section 112.063 to read as follows:
4040 Sec. 112.063. DISPOSITION OF REAL PROPERTY ACQUIRED FOR
4141 HIGH-SPEED RAIL PROJECT. (a) In this section, "high-speed rail"
4242 has the meaning assigned by Section 112.201.
4343 (b) Except as provided by Subsection (d), a private entity
4444 that acquires real property for a high-speed rail project may not
4545 use that property for any purpose other than a high-speed rail
4646 project.
4747 (c) Except as provided by Subsection (d), a person from whom
4848 real property is acquired by a private entity as described by
4949 Subsection (b), and the person's heirs, successors, and assigns,
5050 are entitled to notice and opportunity to repurchase the property
5151 before all other purchasers for the price paid to the owner by the
5252 entity at the time the entity acquired the property if:
5353 (1) the high-speed rail project for which the property
5454 was acquired is canceled before the property is used for that
5555 project;
5656 (2) the property is not used for the high-speed rail
5757 project for which the property was acquired before the 10th
5858 anniversary of the date of acquisition; or
5959 (3) the property becomes unnecessary for the
6060 high-speed rail project for which the property was acquired before
6161 the 10th anniversary of the date of acquisition.
6262 (d) Subsections (b) and (c) do not apply to real property
6363 acquired by a private entity as described by Subsection (b) if,
6464 before the acquisition of the property:
6565 (1) the entity acquiring the property gives written
6666 notice to the person from whom the property is to be acquired that
6767 the property may be used for a purpose other than a high-speed rail
6868 project; and
6969 (2) the person from whom the property is to be acquired
7070 signs a statement acknowledging that written notice was given under
7171 Subdivision (1).
7272 (e) Notice and repurchase as required by Subsection (c)
7373 shall follow the timelines and processes for notice and repurchase
7474 in Chapter 21, Property Code.
7575 SECTION 3. Section 131.012, Transportation Code, is amended
7676 to read as follows:
7777 Sec. 131.012. EMINENT DOMAIN. (a) Except as provided by
7878 Subsection (b), a [A] corporation chartered for the purpose of
7979 constructing, acquiring, maintaining, or operating lines of
8080 electric railway between municipalities in this state for the
8181 transportation of freight, passengers, or both freight and
8282 passengers may:
8383 (1) exercise the power of eminent domain with all the
8484 rights and powers granted by law to a railroad company; and
8585 (2) enter, condemn, and appropriate land,
8686 right-of-way, easements, or other property of any person or
8787 corporation to acquire:
8888 (A) right-of-way on which to construct and
8989 operate lines of railway for the acquiring corporation; or
9090 (B) sites for depots or power plants.
9191 (b) An interurban electric railway company may not exercise
9292 the power of eminent domain for the purposes described by
9393 Subsection (a).
9494 SECTION 4. Section 112.063, Transportation Code, as added
9595 by this Act, applies to real property acquired on or after September
9696 1, 2025.
9797 SECTION 5. This Act takes effect September 1, 2025.