Bill: HB 2730, 87(R) - 2021

Committee

House Land & Resource Management

Vote Recommendation

Vote Recommendation Economic Freedom Property Rights Personal Responsibility Limited Government Individual Liberty
Yes Neutral Positive Neutral Neutral Neutral

Author(s)

Joe Deshotel
DeWayne Burns
Terry Canales
Charlie Geren
Ken King

Bill Caption

Relating to the acquisition of real property by an entity with eminent domain authority and the regulation of easement or right-of-way agents.

Fiscal Notes

No significant fiscal implication to the State is anticipated.

Bill Analysis

HB 2730 would require the landowner's bill of rights to inform property owners of their right to file a written complaint with the Texas Real Estate Commission over misconduct by an easement or right-of-way agent representing an entity using eminent domain authority.

HB 2730 would require the completion of coursework, a minimum age of 18 and citizenship/lawful alien status in order to obtain a certificate of registration as an easement or right-of-way agent. The Texas Real Estate Commission would oversee this process. The certificate may be revoked if the certificate holder accepts a financial incentive to make an offer the certificate holder knows or should know is less than adequate compensation.

Under HB 2730 an entity with eminent domain authority has only made a bona fide offer if the written initial offer includes a copy of the landowner's bill of rights, a statement indicating what is included in the compensation being offered, an instrument of conveyance, and certain contact information. 

HB 2730 requires general terms for deed, agreement, or other instruments of conveyance for a pipeline right-of-way easement or an electric transmission line right-of-way easement that is included in an eminent domain offer. The terms that must be addressed include if the instrument conveys a pipeline right-of-way easement or an easement related to pipeline appurtenances, the maximum number of pipelines that can be installed, a description of authorized pipelines, and other technical details. This section does not apply to a pipeline or appurtenance that is downstream of where natural gas is measured and custody is being transferred from transmission pipeline to a distribution company or where a gas utility taps a transmission pipeline to a city gate, provided that the pipeline does not exceed 100 feet or an electric power line that operates below 60 kilovolts. Other general terms would also have to be addressed if the instrument conveys an electric transmission line right-of-way easement. These terms would include general description of uses and location of easement among other technical requirements. The private entity exercising eminent domain and the property owner would be allowed to negotiate to amend, alter, or omit the general terms at any time after the private entity provides an instrument of conveyance containing the required general terms to the owner.

This bill would require the private entity exercising eminent domain to maintain commercial liability insurance and notify the property owner of his right to negotiate to recover damages.

This bill would allow the property owners and the private entity exercising eminent domain to negotiate additional terms and conditions that are not required by the bill.

Vote Recommendation Notes

Texas Action supports HB 2730 because it strengthens property rights with respect to eminent domain proceedings.


Source URL (retrieved on 08/18/2025 06:08 PM): http://reports.texasaction.com/bill/87r/hb2730?print_view=true