HBA-NIK H.B. 1800 76(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 1800 By: Eiland Land & Resource Management 3/23/1999 Introduced BACKGROUND AND PURPOSE In 1961, the State of Texas sold a 375-acre island off the port of Texas City to the City of Texas City. The island was referred to at that time as Snake Island but now is named Shoal Point. Since that time, the island has served as a dredge material depository and has grown to over 1000 acres. Texas City would like to purchase the whole area for future growth. H.B. 1800 authorizes the state to transfer the title of Shoal Point to the City of Texas City with certain protective provisions for the state. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. (a) Authorizes the commissioner of the General Land Office (office), on behalf of the state, to transfer to the City of Texas City the right, title, and interest in and to the property described by Subsection (g). (b) Provides that the transfer authorized by Subsection (a) must be for cash in an amount no less than the fair market value of the property as determined by the commissioner of the office after an appraisal performed by an appraiser employed by the office, and under other terms negotiated in a purchase and sale agreement between the parties. (c) Provides that the state expressly reserves the property interest in the minerals in or on the property, including the right to explore and develop the property for the production of minerals, for the benefit of the permanent school fund. (d) Provides that, if the City of Texas City transfers or attempts to transfer title to all or part of the property after the transfer authorized by Subsection (a), title to the property automatically reverts to the state. (e) Provides that the title of the City of Texas City to the property becomes absolute upon payment of the consideration required by Subsection (b) and is subject only to the reservations provided by this section. Authorizes the City of Texas City to use, develop, or lease the property for public or private purposes subject only to applicable provisions of the Texas Constitution. (f) Provides that Section 31.158 (Real Estate Transaction Authorized by Legislation), Natural Resource Code, does not apply to the transfer of property authorized in this section. (g) Sets forth the description of the real property to which Subsection (a) refers. SECTION 2. Emergency clause. Effective date: upon passage.