HBA-NLM C.S.S.B. 396 76(R)BILL ANALYSIS


Office of House Bill AnalysisC.S.S.B. 396
By: Moncrief
Land & Resource Management
5/18/1999
Committee Report (Substituted)



BACKGROUND AND PURPOSE 

Currently, the State of Texas owns certain real property in Howard and
Tarrant counties.  The purpose of this bill is to authorize the Texas
Department of Mental Health and Mental Retardation (MHMR) to convey certain
real property to certain companies to provide community-based mental health
and mental retardation services. C.S.S.B. 396 conveys certain state-owned
real property in Howard and Tarrant counties to certain companies 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. 

SECTION BY SECTION ANALYSIS

SECTION 1. (a) Authorizes the Texas Department of Mental Health and Mental
Retardation (MHMR) to convey, on behalf of the state, all or any portion of
the interest of the state in the real property described by Subsection (e)
of this section, to the West Texas Centers for Mental Health and Mental
Retardation (centers) for use as a facility to provide community-based
mental health and mental retardation services. 

(b) Requires the reservations contained in the deed to the State of Texas
recorded at volume 642, page 480, of the Deed Records of Howard County to
run with the land and continue to be binding on the community mental health
and mental retardation center. 

(c) Authorizes the centers to use the conveyed property for the purpose of
providing community-based mental health and mental retardation services.
Reverts ownership of the property automatically to MHMR, if the centers
discontinue using the property for the specified purpose for more than 180
continuous days. 

(d) Requires MHMR to convey the property by an appropriate instrument of
conveyance and sets forth provisions required to be included in the
instrument. 

(e)  Describes the real property authorized for conveyance by Subsection
(a) of this Section. 

SECTION 2. (a) Authorizes MHMR to convey, on behalf of the state, all or
any portion of the interest of the state in the real property, including
the land and all improvements affixed to the land described by Subsection
(f) of this section, to Tarrant County Mental Health and Mental Retardation
Services (TCMHMR) for use as a facility to provide community-based mental
health and mental retardation services or services for the treatment of
alcohol and substance abuse.  

(b) Provides that the conditions precedent and possibility of reverter
established in the deed to the State of Texas recorded at volume 8528, page
2057, of the Deed Records of Tarrant County run with the land and are
binding on TCMHMR. 

(c) Authorizes TCMHMR to use the conveyed property only for the purpose of
providing community-based mental health and mental retardation services or
services for the treatment  of alcohol and substance abuse.  Requires
TCMHMR to immediately notify MHMR if TCMHMR determines that the property
will not be used to provide the services described by this subsection for
more than 60 continuous days. 

(d) Authorizes TCMHMR to enter into a binding agreement to sell or
otherwise dispose of the property if TCMHMR provides notice of the intent
to sell or otherwise dispose of the property to MHMR within a specified
time period, and obtains approval from the Texas Board of Mental Health and
Mental Retardation regarding the use and allocation of the proceeds of the
sale or other disposition of the property. 

(e) Requires MHMR to convey the property by an appropriate instrument of
conveyance and sets forth provisions required to be included in the
instrument. 

(f) Describes the real property authorized for conveyance by Subsection (a)
of  this Act.   

SECTION 3.  Establishes that the state reserves its property interest in
all oil, gas, and other minerals in and under the land conveyed as
authorized by this Act and the right and power to remove any and all of
said minerals, including the right and power to grant oil, gas, and mineral
leases held by the state before the conveyance of the property described by
this Act. 

SECTION 4.  Provides that Sections 31.1571 (Disposal of Unused or Underused
Property) and 31.158 (Real Estate Transaction Authorized by Legislature),
Natural Resources Code, and Sections 533.084 (Management of Surplus Real
Property) and 533.087 (Lease of Real Property), Health and Safety Code, do
not apply to the conveyances authorized by this Act. 

SECTION 5.   Emergency clause.
  Effective date: upon passage.

COMPARISON OF ORIGINAL TO SUBSTITUTE

C.S.S.B. 396 modifies the original in the caption to provide that this Act
relates to "authorizing the conveyance" of certain property located in
Howard and Tarrant counties. 

C.S.S.B. 396 redesignates SECTION 2 of the original to SECTION 1(e) in the
substitute. The substitute creates Subsections (a) and (b) from existing
text of SECTION 1 of the original. In Subsection (a), the substitute
removes the provision that describes the authority granted to MHMR as
'notwithstanding Section 533.084 (Management of Surplus Real Property),
Health and Safety Code."  In addition, the substitute adds new Subsections
(c) and (d) as follows: 

(c) Authorizes the centers to use the conveyed property for the purpose of
providing community-based mental health and mental retardation services.
Reverts ownership of the property automatically to the Texas Department of
Mental Health and Mental Retardation (MHMR), if the centers discontinue
using the property for the specified purpose for more than 180 continuous
days. 

(d) Requires MHMR to convey the property by an appropriate instrument of
conveyance and sets forth provisions required to be included in the
instrument. 

C.S.S.B. 396 redesignates SECTION 3 of the original to SECTION 2 in the
substitute and includes the provision that the property  conveyed to
Tarrant County Mental Health and Mental Retardation Services may be used as
a facility to provide services for the treatment of alcohol and substance
abuse. The substitute creates Subsections (a) and (b) from existing text of
SECTION 3 of the original.  In Subsection (a) the substitute removes the
provision that describes the authority granted to MHMR as " notwithstanding
Section 533.084 (Management of Surplus Real Property), Health and Safety
Code." In addition, the substitute adds new Subsections (c)-(e) as follows: 

(c) Authorizes TCMHMR to use the conveyed property only for the purpose of
providing community-based mental health and mental retardation services or
services for the treatment of alcohol and substance abuse.  Requires TCMHMR
to immediately notify MHMR if  TCMHMR determines that the property will not
be used to provide the services described by this subsection for more than
60 continuous days. 

(d) Authorizes TCMHMR to enter into a binding agreement to sell or
otherwise dispose of the property if TCMHMR provides notice of the intent
to sell or otherwise dispose of the property to MHMR by a specified time
period, and obtains approval from the Texas Board of Mental Health and
Mental Retardation regarding the use and allocation of the proceeds of the
sale or other disposition of the property. 

(e) Requires MHMR to convey the property by an appropriate instrument of
conveyance and sets forth provisions required to be included in the
instrument. 

In addition, the substitute redesignates SECTION 4 of the original to
SECTION 2(f) in the substitute. 

C.S.S.B. 396 redesignates SECTIONS 5-7 in the original to SECTIONS 3-5 in
the substitute, making nonsubstantive changes in predesignated SECTION 3.