HBA-LJP H.B. 1628 77(R)BILL ANALYSIS


Office of House Bill AnalysisH.B. 1628
By: Deshotel
Land & Resource Management
6/14/2001
Enrolled

BACKGROUND AND PURPOSE 

Prior to the 76th legislative session, the Texas Department of Mental
Health and Mental Retardation (MHMR) provided mental health and mental
retardation services at the Beaumont State Center. Sunset legislation for
MHMR passed in the 76th legislative session (Senate Bill 358) contained a
provision that authorized the transfer of Beaumont State Center to local
governance.  As a part of the transfer, the Beaumont State Center facility
was leased to Spindletop Mental Health and Mental Retardation Services
(Spindletop).  However, Spindletop wanted to establish ownership, but
Spindletop's budget did not provide funds to purchase a facility such as
the former Beaumont State Center.  House Bill 1628 authorizes MHMR to
transfer certain real property for nonmonetary consideration to Spindletop
for use as a facility to provide community-based mental health and mental
retardation services. 

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. 

ANALYSIS

House Bill 1628 amends law to authorize the Texas Department of Mental
Health and Mental Retardation (MHMR) to transfer, no later than May 31,
2002, all or part of specified real property to Spindletop Mental Health
and Mental Retardation Services (Spindletop).  The bill requires the
consideration for the transfer to be in the form of an agreement between
the parties that requires Spindletop to use the property in a manner that
primarily promotes a public purpose of the state by using the property to
provide community-based mental health or mental retardation services. 

The bill provides that the transfer does not obligate Spindletop for any
debt related to the property accrued before the transfer.  The bill
provides that any restrictive conditions imposed by a deed transferring the
property to the state recorded in the real property records of Jefferson
County are binding on the property transaction. 

The bill requires MHMR to transfer the property by deed without warranties
regarding covenants of title and provides that the instrument of transfer
must include provisions that indicate any restrictive conditions imposed by
a deed are binding on the described property transaction, requires
Spindletop to use the property in a manner that primarily promotes a public
purpose of the state, and indicates that the ownership of the property
automatically reverts to MHMR if Spindletop fails to use the property in a
manner that complies with the imposed restrictions for more than 180
continuous days. 

The bill provides that the state reserves its property interest in all oil,
gas, and other minerals in and under the land conveyed and the right and
power to remove any and all of the oil, gas, and minerals, including any
right and power to grant oil, gas, and mineral leases held by the state
before the conveyance of the property. 

EFFECTIVE DATE

June 11, 2001.