HBA-ALS C.S.H.B. 1355 76(R) BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 1355 By: Ramsay Land and Resource Management 3/17/1999 Committee Report (Substituted) BACKGROUND AND PURPOSE Currently, the legal boundary line between Texas and Oklahoma is the gradient boundary line along the south bank of the Red River (river), subject to avulsion. Avulsion is the sudden and perceptible loss or addition to land by the action of water, or a sudden change in the bed or course of a stream. This process creates problems in identifying the exact boundary line between the two states. Questions concerning the true boundary can cause difficulties for law enforcement personnel, taxing authorities, and other persons living in the vicinity of the boundary. C.S.H.B.1355 creates a compact with the State of Oklahoma establishing the vegetation line along the south bank of the river as the legal boundary between Texas and Oklahoma, except in the Texoma area where the boundary remains the same. 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 HBA-ALS H.B. 1355 76(R) SECTION 1. Amends Subtitle A, Title 2, Natural Resources Code, to add Chapter 12, as follows: CHAPTER 12. RED RIVER BOUNDARY COMPACT Sec. 12.001. ADOPTION OF COMPACT. Provides that this state enacts the Red River Boundary Compact (compact) into law and enters into the compact with the State of Oklahoma if it legally joins in the compact in substantially the form provided by Section 12.002. Sec. 12.002. TEXT OF COMPACT. Provides that the Red River Boundary Compact reads as follows: RED RIVER BOUNDARY COMPACT ARTICLE I. PURPOSE (a) Provides that the states of Texas and Oklahoma recognize that: (1) there are actual and potential disputes, controversies, criminal proceedings, and litigation arising, or that may arise, out of the location of the states' boundary line along the river; (2) the south bank of the river is the boundary between the states along the river; (3) the boundary between the states changes due to the natural action of the river and because of those changes as well as the nature of the land, the south bank is often not easily identified; (4) surveys are expensive and time-consuming, and can only identify the south bank as it exists at the time of the survey; (5) survey techniques are of minimal aid when locating the boundary for law enforcement, administrative, and taxation purposes; and (6) the use of a readily identifiable natural landmark rather than an artificial survey line to establish a boundary better serves the party states' interests. (b) Provides that the principal purpose of entering this compact is to establish an identifiable boundary between the states of Texas and Oklahoma along the river without affecting private property rights or title to property. Provides that this compact serves the compelling purposes of: (1) creating a friendly and harmonious interstate relationship; (2) avoiding the multiple exercise of sovereignty and jurisdiction, including taxation, judicial and police powers, and administrative authority; (3) avoiding a lack of exercise of sovereignty and jurisdiction over lands along the boundary; (4) avoiding venue questions arising from incidents occurring along the boundary and minimizing future disputes and litigation; (5) promoting economic and political stability; and (6) placing the boundary in a location that can be visually identified or located without a current survey and is near the historical boundary. ARTICLE II. ESTABLISHMENT OF BOUNDARY (a) Defines "vegetation" and "vegetation line." (b) Provides that the permanent political boundary line between Texas and Oklahoma along the river is the vegetation line along the south bank of the river, except for the Texoma area boundary which is not changed. Specifies the Texoma area boundaries and the upper end of the normal pool elevation of Lake Texoma, for purposes of this compact. (c) Authorizes the party states to agree to equally share the cost of monumenting and maintaining the lines demarking the boundary within the Texoma area and the upper limit of the normal pool elevation in a manner designed to make the boundary readily identifiable to the public or to seek funding from other sources for monumenting and maintaining the lines. (d) Provides that the party states recognize the rules of accretion, erosion, and avulsion if there is a change in the watercourse of the river. Provides that the states agree that accretion or erosion may cause a change in the boundary if it causes a change in the vegetation line. Provides that the states agree, with regard to avulsion that a change in the course of the river caused by an immediately perceivable natural event that changes the vegetation line will change the location of the boundary. ARTICLE III. SOVEREIGNTY Provides that the party states agree on the effective date of this compact, that the State of Oklahoma has sovereignty over all lands north of the boundary line and the State of Texas has sovereignty over all lands south of the boundary line, as established by this compact. Provides that this compact does not affect the sovereignty rights of federally recognized Indian tribes over lands on either side of the boundary, which continue to be controlled by federal law. ARTICLE IV. PENDING LITIGATION Provides that the jurisdiction of any litigation concerning the title to land bordering the river that is pending in courts of either state or the United States on this compact's effective date is not affected by this compact. Provides that the states intend that such litigation continue in the courts of the jurisdiction where pending until the litigation is finally determined. ARTICLE V. PUBLIC RECORDS (a) Provides that either state's public records regarding lands over which the sovereignty is changed by this compact are accepted as evidence of record of title to such lands, to and including the effective date of this compact, by the courts of the other state and the federal courts. (b) Requires the recording officials of the counties of each party state, with regard to lands over which the sovereignty is changed by this compact, to accept for filing certified copies of documents of title previously filed in the other state. Provides that the acceptance of a document for filing does not affect its legal effect or sufficiency, which is determined by the document itself and the real estate laws of the jurisdiction where the land was located at the time the document was executed or took effect. Requires the recording officials of the counties of each state to accept for filing documents of title for lands over which the sovereignty is changed by this compact, using legal descriptions derived from land descriptions of the other state. ARTICLE VI. TAXES (a) Provides that the lands over which the sovereignty is changed by this compact are subject to taxation only by the state gaining sovereignty over the lands after the effective date of this compact, except as provided by Subsections (b) and (c). (b) Provides that the taxes for the year of adoption of this compact on property over which the jurisdiction has changed may be imposed only by the state in which the property was located on January 1 of the year of the adoption of this compact. Authorizes the levy and collection of taxes for the year of adoption by that state or its authorized subdivisions or agencies, and provides that liens or rights accrued or accruing, including the right of collection, are fully recognized if the liens or other rights arising from the imposition of taxes are asserted within five years after the effective date of this compact. Provides that all liens or other rights are barred if they are not asserted within five years after the effective date of this compact. (c) Provides that the party states recognize that the boundary will change as a result of accretion, erosion, and avulsion, and agree that subsequent to this compact's adoption, the state in which lands adjoining the boundary line are located on January 1 of each year has the right to levy and collect taxes for the entire ensuing year. (d) Provides that taxes currently assessed by governmental entities in each party state as to lands bordering or crossing the boundary line are presumed to be correct as to acreage within the particular jurisdiction unless there is contrary proof that is competent and presented in writing by the property owner to the appropriate taxing agencies. Provides that presentment of such proof must be presented to the appropriate taxing agencies before May 1 of the year following the year this compact takes effect. Provides that in subsequent years there is a presumption that the acreage taxed in each jurisdiction for the previous year was correct unless there is evidence of change furnished to or obtained by the taxing agencies according to that agency's rules and regulations. ARTICLE VII. PROPERTY RIGHTS Provides that this compact does not change any person's or entity's title to any of the lands along the river or the boundaries of those lands, an adjacent landowner's riparian rights, a person's or entity's ownership of water or water rights, or the regulation of water or water rights. ARTICLE VIII. EFFECTIVE DATE Provides that this compact takes effect when enacted by the states of Texas and Oklahoma and consented to by the United States Congress. ARTICLE IX. ENFORCEMENT (a) Provides that this compact does not limit or prevent either party state from instituting or maintaining any legal or equitable action or proceeding for the protection of any right under this compact or the enforcement of its provisions. (b) Provides that this compact is not binding on either state until it is enacted by both states and consented to by the United States Congress. Requires the governor of each party state to give notice of enactment of this compact to the governor of the other state and to the president of the United States. Requests the president to give notice of the United States Congress' consent to this compact to the governors of the party states. ARTICLE X. AMENDMENTS Provides that this compact remains in full force and effect unless amended in the same manner as it was created. Sec. 12.003. NEGOTIATIONS TO RESOLVE DIFFERENCES. Provides that the Commissioner of the General Land Office (commissioner) has the authority to negotiate with the appropriate Oklahoma representative to resolve differences between the states concerning matters in the compact, until the State of Oklahoma enters into this compact pursuant to Section 12.002. Requires the commissioner to conduct negotiations in cooperation with the Red River Boundary Commission. Requires the commissioner to report the status of negotiations annually or as frequently as necessary to the governor. Sec. 12.004. IMPLEMENTATION OF COMPACT. Provides that the commissioner has the authority to negotiate with the appropriate Oklahoma representative to establish procedures for implementing the compact's provisions. Requires the commissioner to conduct the negotiations in cooperation with the Red River Boundary Commission. Requires the commissioner to report the status of negotiations annually or as frequently as necessary to the governor. Provides that the governor must approve a procedure for implementing a provision of the compact. Sec. 12.005. RELATION TO OTHER LAW. Provides that this compact does not affect the Red River Compact under Section 46.013, Water Code (Text of the Compact). SECTION 2. Emergency clause. Effective date: upon passage. COMPARISON OF ORIGINAL TO SUBSTITUTE The substitute modifies the original bill in SECTION 1, as follows: In Chapter 12, Article VII, provides that the Red River Boundary Compact (compact) does not change an adjacent landowner's riparian rights, a person's or entity's ownership of water or water rights, or the regulation of water or water rights. In Chapter 12, Article X, Section 12.003, provides that the Commissioner of the General Land Office is authorized to, rather than required to, negotiate with the appropriate Oklahoma representative to resolve differences between the states concerning matters in the compact, until the State of Oklahoma enters into this compact. Makes nonsubstantive changes. In Chapter 12, Article X, Section 12.004, makes conforming changes. Adds Chapter 12, Article X, Section 12.005, to provide that this compact does not affect the Red River Compact under Section 46.013, Water Code (Text of the Compact).