CHAPTER 51. LAND, TIMBER, AND SURFACE RESOURCES

NATURAL RESOURCES CODE

TITLE 2. PUBLIC DOMAIN

SUBTITLE D. DISPOSITION OF THE PUBLIC DOMAIN

CHAPTER 51. LAND, TIMBER, AND SURFACE RESOURCES

SUBCHAPTER A. GENERAL PROVISIONS

Sec. 51.001. DEFINITIONS. In this chapter:

(1) "Commissioner" means the Commissioner of the General Land

Office.

(2) "Land office" means the General Land Office.

(3) "Board" means the School Land Board.

(4) "Comptroller" means the Comptroller of Public Accounts of

the State of Texas.

(5) "Board of regents" means the board of regents of The

University of Texas System.

(6) "Public school land" means all land of the state that is

dedicated to the permanent school fund.

(7) "Appraiser" means a state certified or state licensed real

estate appraiser who is employed by or contracts with the land

office and who performs professional valuation services

competently and in a manner that is independent, impartial, and

objective.

(8) "Surveyed land" means all or part of any tract of land

surveyed either on the ground or by protraction and dedicated to

or acquired on behalf of the public school fund which is unsold

and for which field notes are on file in the land office or that

may be delineated on the maps of that office as such.

(9) "Unsurveyed land" means any land that is not included in

surveys on file in the land office or surveys delineated on maps

of that office.

(10) "Land" or "real property" means any interest in the

physical land and appurtenances attached to the land, including

improvements.

(11) "Market value" has the meaning assigned by Section 1.04,

Tax Code.

(12) "Sovereign land" means land that has not been sold and

severed by the sovereign.

Acts 1977, 65th Leg., p. 2417, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1997, 75th Leg., ch. 1423, Sec.

14.02, eff. Sept. 1, 1997; Acts 2003, 78th Leg., ch. 280, Sec. 1,

eff. June 18, 2003.

Amended by:

Acts 2005, 79th Leg., Ch.

1098, Sec. 1, eff. June 18, 2005.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 13, eff. June 19, 2009.

SUBCHAPTER B. PROVISIONS GENERALLY APPLICABLE

TO THE MANAGEMENT

OF PUBLIC SCHOOL AND ASYLUM LAND

Sec. 51.011. MANAGEMENT OF PUBLIC SCHOOL LAND. (a) Any land,

mineral or royalty interest, real estate investment, or other

interest, including revenue received from those sources, that is

set apart to the permanent school fund under the constitution and

laws of this state together with the mineral estate in riverbeds,

channels, and the tidelands, including islands, shall be subject

to the sole and exclusive management and control of the school

land board and the commissioner under the provisions of this

chapter and other applicable law.

(a-1) The board may acquire, sell, lease, trade, improve,

maintain, protect, or otherwise manage, control, or use land,

mineral and royalty interests, real estate investments, or other

interests, including revenue received from those sources, that

are set apart to the permanent school fund in any manner, at such

prices, and under such terms and conditions as the board finds to

be in the best interest of the fund.

(a-2) Not later than October 15 of each year, the board shall

report to the Legislative Budget Board the sale of any land that

is set apart to the permanent school fund for less than appraised

value or the purchase of any land that is set apart to the

permanent school fund for more than appraised value during the

preceding state fiscal year.

(b) Notwithstanding any other provision of this chapter, land

within 2,500 feet of a military base may not be sold or leased

and an easement over the land may not be granted unless the

commissioner or the commissioner's designee, after consultation

with appropriate military authorities, determines that the grant

will not adversely affect the mission of the military base.

(c) Any public land may be sold or leased, or an easement over

the property may be granted, to the United States for the use and

benefit of the United States armed forces if the commissioner or

the commissioner's designee, after consultation with appropriate

military authorities, determines that the sale, lease, or

easement would materially assist the military in accomplishing

its mission. A sale, lease, or easement under this subsection

must be at market value. The state shall retain all minerals it

owns with respect to the land, but it may relinquish the right to

use the surface to extract them.

(d) The commissioner shall determine whether a conveyance under

this section takes priority over any preference otherwise granted

by law, including the preferential right of a surrounding

landowner. In making the determination, the commissioner must

only consider the interests of preference holders who assert

their preferences in writing after notice of the proposed

conveyance is published in a newspaper of general circulation in

the area. The commissioner shall, in the commissioner's

discretion, balance the competing interests of the preference

holders and the military. The commissioner's determination is

final. After land is conveyed to the military, all competing

preferences terminate.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 149, Sec. 13,

eff. May 27, 2003; Acts 2003, 78th Leg., ch. 280, Sec. 2, eff.

June 18, 2003.

Amended by:

Acts 2005, 79th Leg., Ch.

1098, Sec. 3, eff. June 18, 2005.

Acts 2005, 79th Leg., Ch.

1098, Sec. 4, eff. June 18, 2005.

Acts 2007, 80th Leg., R.S., Ch.

1368, Sec. 1, eff. June 15, 2007.

Sec. 51.012. COMMISSIONER'S AUTHORITY. Subject to the authority

of the board and to exceptions and restrictions that may be

imposed by the constitution and laws of this state, the

commissioner is vested with the authority necessary to carry out

the provisions of this chapter relating to the sale and lease of

public school land and to the protection of this land from free

use and occupancy and from unlawful enclosure.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 3,

eff. June 18, 2003.

Sec. 51.0125. LAND USED BY STATE AGENCY. Land that belongs to

the permanent school fund as a result of having been deeded or

given to the state and that has been used in the past by a state

agency shall be first offered for sale or lease to state agencies

before it can be sold or leased to any other party. No permanent

school fund land may be used by a state agency without market

value compensation to the permanent school fund.

Added by Acts 1993, 73rd Leg., ch. 991, Sec. 12, eff. Sept. 1,

1993. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 4, eff. June

18, 2003.

Sec. 51.013. CLASSIFICATION OF LAND. (a) As the public

interest may require, the commissioner shall classify or

reclassify all public school land and shall include a designation

of the land, including a classification as agricultural, grazing,

timber, or a combination of these classifications based on the

facts in the particular case.

(b) After the classification is entered on the records of the

land office, no further action needs to be taken by the

commissioner and no notice is required to be given to the county

clerk for the classification to be effective.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 5,

eff. June 18, 2003.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 14, eff. June 19, 2009.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 15, eff. June 19, 2009.

Sec. 51.014. RULES. The commissioner may adopt rules necessary

to carry out the provisions of this chapter and may alter or

amend the rules to protect the public interest.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 16, eff. June 19, 2009.

Sec. 51.015. FORMS. The commissioner shall adopt forms that are

necessary or proper to transact business that he is required to

transact and may request that the attorney general prepare the

forms.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.016. DUTIES OF THE ATTORNEY GENERAL. The attorney

general shall furnish the commissioner with advice and legal

assistance that may be required to execute the provisions of this

chapter.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.017. FURNISHING DATA TO BOARD OF EDUCATION. On request,

the commissioner shall furnish to the State Board of Education

all available data.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.018. RECORDS AND ACCOUNTS. The commissioner shall keep

in his custody as records of his office each application,

affidavit, obligation, and paper relating to the sale and lease

of public school land and shall keep accurate accounts with each

purchaser or lessee.

Acts 1977, 65th Leg., p. 2418, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 6,

eff. June 18, 2003.

Sec. 51.019. SPECIAL FEE. Each bidder on a mineral lease or

land sale by the board shall remit by separate check a special

sale fee in the amount and in the manner provided in Section

32.110 of this code.

Acts 1977, 65th Leg., p. 2419, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1985, 69th Leg., ch. 624, Sec. 32,

eff. Sept. 1, 1985.

Sec. 51.020. REFUNDS. (a) On presentation of proper proof,

money paid in good faith to a fund in the State Treasury for

public land or by a lessee of public land or minerals to which

the fund is not entitled may be offset or credited by the

commissioner against other sums owing or shall be refunded by the

comptroller in the following instances:

(1) if an error is made in good faith and the refund, stating to

whom payment is to be made, is supported by the official

signature of the commissioner or the attorney general;

(2) if the payment is made according to law but title cannot

issue or possession cannot pass because of a conflict in

boundaries, an erroneous sale, an erroneous lease, or other

cause;

(3) if there is a sale of leased land;

(4) if lease money is paid on a previous forfeited sale and the

sale has been reinstated and the interest paid;

(5) if erroneous timber sales or leases have been made;

(6) if overpayments have been made in final payments to the

comptroller because of decreased acreage or other cause;

(7) if reduction has been made in acreage of timber sold or

leased; or

(8) if payments are made in good faith by claimants of land

where the applicants have no right to purchase the land as

revealed by investigation of title.

(b) After specific appropriations are made according to law,

refunds shall be paid from the funds to which the payments have

been credited.

(c) Any claim for refund except a refund covered by Subdivision

(1) of Subsection (a) of this section shall be certified by the

commissioner, verified by the affidavit of the claimant, and

approved by the attorney general as to the correctness and as to

whom the refund is due.

(d) In the event of a failure of title or right of possession,

money paid by any purchaser or lessee who subsequently sells the

land or assigns the lease shall be refunded to the person on whom

the loss falls.

Acts 1977, 65th Leg., p. 2419, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1991, 72nd Leg., ch. 642, Sec. 5,

eff. Aug. 26, 1991; Acts 1997, 75th Leg., ch. 1423, Sec. 14.03,

eff. Sept. 1, 1997.

SUBCHAPTER C. SALE OF PUBLIC SCHOOL AND ASYLUM LAND

Sec. 51.051. SALE OF LAND. All sales of land described in

Section 51.011 shall be made by or under the direction of the

school land board.

Acts 1977, 65th Leg., p. 2419, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Amended by:

Acts 2005, 79th Leg., Ch.

1098, Sec. 5, eff. June 18, 2005.

Sec. 51.052. CONDITIONS FOR SALE OF LAND. (a) Repealed by Acts

2009, 81st Leg., R.S., Ch. 1175, Sec. 33(2), eff. June 19, 2009.

(b) A purchaser of land under this subchapter may make a down

payment of an amount determined by the board and the board may

set the terms and conditions of the sale, including the interest

rate. On full payment and satisfaction of other conditions, the

purchaser is entitled to a patent for the land. This subsection

does not prevent the board from requiring a tract of land to be

purchased for cash.

(c) Repealed by Acts 1987, 70th Leg., ch. 208, Sec. 14, eff.

Aug. 31, 1987.

(d) Before the land under this chapter is sold, the appraiser

must appraise the land at its market value and file a copy of the

appraisal with the commissioner.

(e) The owner of land that surrounds a tract of land approved

for sale by the board shall have a preference right to purchase

the tract before the land is made available for sale to any other

person, provided the person having the preference right pays not

less than the market value for the land as determined by the

board and the board finds use of the preference to be in the best

interest of the state. The board shall adopt rules to implement

this preference right.

(f) If the surrounding land is owned by more than one person,

the owners of land with a common boundary with a tract of land

approved for sale by the board shall have a preference right to

purchase the tract before it is made available to any other

person, provided the person with the preference right pays not

less than the market value of the land as determined by the board

and the board finds use of the preference to be in the best

interest of the state. The board shall adopt rules to implement

this preference right.

(g) If land is located within the boundaries of or adjacent to

any state park, refuge, natural area, or historical site subject

to the management and control of the Parks and Wildlife

Department, the department has a preference right to purchase the

land before it is made available to any other person. A sale to

the department under this section may not be for less than the

market value of the land, as determined by the board.

(h) The board may sell or exchange any interest in the surface

estate of public school land directly to any state agency, board,

commission, or political subdivision or other governmental entity

of this state without the necessity of a sealed bid sale. All

sales or exchanges made pursuant to this subsection shall be for

not less than market value as determined by the board and under

such other terms and conditions the board determines to be in the

best interest of the state.

(i) If no bid meeting minimum requirements is received for a

tract of land offered at a sealed bid sale under Subchapter D of

Chapter 32, or if the transaction involves commercial real estate

and the board determines that it is in the best interest of the

permanent school fund, the asset management division of the land

office may solicit proposals or negotiate a sale, exchange, or

lease of the land to any person. The board must approve any

negotiated sale, exchange, or lease of any land under this

section.

(i-1) The land office shall post information related to the

process for purchasing commercial real estate under Subsection

(i) on the land office's Internet website.

(j) The board, in its sole discretion and in the best interests

of the permanent school fund as determined by the board and

without regard to requirements of local governments as to the

necessity of any such dedication, may dedicate permanent school

fund land to any governmental unit for the benefit and use of the

public in exchange for nonmonetary consideration with a value

reasonably equivalent to or greater than the market value of the

dedicated land, if the board determines that such an exchange

would benefit the permanent school fund. The asset management

division of the land office shall determine the value of the

nonmonetary consideration and shall file a copy of its

determination with the commissioner. Examples of public purposes

for which permanent school fund land may be dedicated under this

subsection include but are not limited to: (1) rights-of-way for

public roads, utilities, or other infrastructure; (2) public

schools; (3) public parks; (4) government offices or facilities;

(5) public recreation facilities; and (6) residential

neighborhood public amenities.

(k) The asset management division of the land office may

contract for the services of a real estate broker or of a private

brokerage or real estate firm to assist in any sale, lease, or

exchange of land under this subchapter.

(l) If the board leases land under this subchapter and the lease

includes the right to produce groundwater from the land, the

lessee shall comply with the statutory provisions governing and

the rules adopted by the groundwater conservation district, if

any, in which the land is located, including the statutory

provisions and rules governing the production and use of

groundwater and the transfer of groundwater out of the district.

Acts 1977, 65th Leg., p. 2419, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5242, ch. 965,

Sec. 1, eff. June 19, 1983; Acts 1987, 70th Leg., ch. 208, Sec.

14, eff. Aug. 31, 1987; Acts 1989, 71st Leg., ch. 383, Sec. 4,

eff. June 14, 1989; Acts 1991, 72nd Leg., ch. 633, Sec. 5, eff.

Aug. 26, 1991; Acts 1993, 73rd Leg., ch. 991, Sec. 13, eff. Sept.

1, 1993; Acts 1995, 74th Leg., ch. 293, Sec. 1, eff. Aug. 28,

1995; Acts 2003, 78th Leg., ch. 280, Sec. 7, eff. June 18, 2003.

Amended by:

Acts 2005, 79th Leg., Ch.

1098, Sec. 6, eff. June 18, 2005.

Acts 2007, 80th Leg., R.S., Ch.

726, Sec. 1, eff. September 1, 2007.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 17, eff. June 19, 2009.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 33(2), eff. June 19, 2009.

Sec. 51.054. RESERVATION OF MINERALS. (a) Except as otherwise

provided in this section, land dedicated to the permanent school

fund shall be sold subject to a reservation set by the board of

not less than one-eighth of all sulphur and other mineral

substances from which sulphur may be derived or produced and not

less than one-sixteenth of all other minerals to the state;

provided, that if leasing rights are retained hereunder, the

reserved minerals shall be subject to lease as provided by

Subchapter B, Chapter 52, Natural Resources Code, and Subchapters

B and E, Chapter 53, Natural Resources Code. The mineral

reservation to the state shall be determined by the board before

the land is offered for sale. If the board determines that a

mineral reservation under this section would substantially reduce

the value of the surface of land by restricting its suitability

for agricultural, commercial, or residential use, the board may

take such action or waive such rights as are in the best interest

of the permanent school fund, including, without limitation,

establishing designated exploration or drilling sites, waiving

surface or other rights of access or development, or conveying

the land with no mineral reservation.

(b) Land that is set apart for the various asylum funds shall be

sold with the oil, gas, coal, and all other minerals reserved to

the fund to which the land belongs.

(c) The provisions of this section do not apply to oil and gas

sold from public school land covered by Subchapter F, Chapter 52,

of this code.

(d) The provisions of this section do not apply to vacancies

covered by Section 51.201 of this code.

(e) An oil, gas, or other mineral lease on land in which the

state reserves a mineral or royalty interest is not effective

until a certified copy of the recorded lease is filed in the

General Land Office.

Acts 1977, 65th Leg., p. 2420, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5243, ch. 965,

Sec. 2, eff. June 19, 1983; Acts 1985, 69th Leg., ch. 923, Sec.

3, eff. Aug. 26, 1985; Acts 1995, 74th Leg., ch. 354, Sec. 3,

eff. Aug. 28, 1995; Acts 2003, 78th Leg., ch. 280, Sec. 8, eff.

June 18, 2003.

Sec. 51.0551. LISTS OF PUBLIC LAND OFFERED FOR SALE: CRIMINAL

PENALTIES. (a) A person, including a corporation or an

association, commits an offense if he reproduces, prints, or

prepares or sells or furnishes a printed, multigraphed, or

mimeographed list prepared by or under the direction of the

commissioner offering for sale or lease any state or public

school land.

(b) This section does not prohibit the commissioner or land

board from advertising in a newspaper or otherwise as is provided

by law nor a newspaper or periodical from publishing the list in

a regular issue as a news item.

(c) An offense under this section is a misdemeanor punishable by

a fine of not more than $1,000.

Added by Acts 1983, 68th Leg., p. 1021, ch. 235, art. 5, Sec.

1(a), eff. Sept. 1, 1983.

Sec. 51.056. APPLICATION OR REQUEST TO PURCHASE LAND. A person

who wants to purchase public school land shall submit to the

commissioner a written application or request in a form

designated by the commissioner.

Acts 1977, 65th Leg., p. 2420, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5243, ch. 965,

Sec. 3, eff. June 19, 1983; Acts 1987, 70th Leg., ch. 208, Sec.

5, eff. Aug. 31, 1987; Acts 2003, 78th Leg., ch. 280, Sec. 9,

eff. June 18, 2003.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 18, eff. June 19, 2009.

Sec. 51.065. NOTICE AND RECORD OF SALE. (a) The commissioner

shall notify the county clerk of the proper county of the sale of

each tract of land, the name and address of the purchaser, and

the price of the land.

(b) After being informed of any sale of public school land, the

county clerk shall enter in his books opposite the description of

the land sold, the name of the purchaser and the date of the

sale.

(c) The notice of sale and the book containing the entry are

public records.

Acts 1977, 65th Leg., p. 2422, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 12,

eff. June 18, 2003.

Sec. 51.066. LAND AWARD. (a) The commissioner shall prepare

and issue a land award for each tract of sovereign land sold.

(b) Each land award shall be appropriately numbered and shall be

worded in a manner that will constitute a receipt for the first

or full payment after it is signed by the commissioner.

(c) One copy of the land award shall be retained in the land

office and the other copy shall be sent to the purchaser.

Acts 1977, 65th Leg., p. 2422, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 19, eff. June 19, 2009.

Sec. 51.067. INFORMATION REQUIRED WITH PAYMENTS. A person who

is making a payment of principal, interest, or lease rental on

land shall give the name of the original purchaser or lessee and

shall sufficiently designate the land.

Acts 1977, 65th Leg., p. 2422, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.069. DISPOSITION OF PAYMENTS ON PUBLIC SCHOOL LAND.

Payments on public school land received by the commissioner,

including payments received as interest on the purchase of public

school land, shall be transmitted to the comptroller to be

credited to the permanent school fund.

Acts 1977, 65th Leg., p. 2423, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1997, 75th Leg., ch. 1423, Sec.

14.09, eff. Sept. 1, 1997; Acts 2003, 78th Leg., ch. 328, Sec. 5,

eff. Jan. 1, 2004.

Sec. 51.070. UNPAID PRINCIPAL ON PUBLIC SCHOOL LAND SALES. (a)

Unpaid and delinquent principal on sales of public school land

shall bear interest at a rate set by the board, which principal

and interest shall be payable at the times and on such terms as

are established by the board.

(b) No patent may be issued for any public school land until all

principal, accrued interest, late charges, and other fees and

expenses are paid in full.

(c) Any unpaid principal and interest is considered delinquent

on the 30th day after the date payment of the principal and

interest is due for the obligation.

(d) After the payment of principal and interest becomes

delinquent under the obligation, notice of delinquency and

subsequent potential forfeiture must be provided by certified

mail, return receipt requested, to the last known address of the

obligee and must be documented in the records of the land office.

Acts 1977, 65th Leg., p. 2423, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5244, ch. 965,

Sec. 4, eff. June 19, 1983; Acts 1995, 74th Leg., ch. 354, Sec.

1, eff. Aug. 28, 1995; Acts 2003, 78th Leg., ch. 280, Sec. 13,

eff. June 18, 2003.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 20, eff. June 19, 2009.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 21, eff. June 19, 2009.

Sec. 51.071. FORFEITURE OF LAND. (a) If principal, accrued

interest, late charges, and other fees and expenses on a sale of

sovereign land are not paid when due as required by the terms set

by the board, the land is subject to forfeiture by the

commissioner by entry on the file containing the papers "Land

Forfeited" or similar words, the date of the forfeiture, and the

official signature of the commissioner.

(b) After the entry is made on the file, the land and all

payments that have been made for it are forfeited to the state,

and the land may be resold in accordance with the provisions of

this subchapter.

Acts 1977, 65th Leg., p. 2423, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1983, 68th Leg., p. 5244, ch. 965,

Sec. 5, eff. June 19, 1983; Acts 2003, 78th Leg., ch. 280, Sec.

14, eff. June 18, 2003.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 22, eff. June 19, 2009.

Sec. 51.072. EFFECT OF FORFEITURE. In cases of forfeiture, the

original obligations and reinstatement fees are as binding as if

no forfeiture occurred.

Acts 1977, 65th Leg., p. 2423, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 15,

eff. June 18, 2003.

Sec. 51.073. CLASSIFICATION AND SALE OF LEASED AND FORFEITED

LAND. Before it is sold, the commissioner shall classify and

determine the market value of land on which leases have expired

and land forfeited to the state.

Acts 1977, 65th Leg., p. 2423, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 16,

eff. June 18, 2003.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

387, Sec. 1, eff. June 15, 2007.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 23, eff. June 19, 2009.

Sec. 51.074. REINSTATEMENT OF LAND PURCHASES. (a) If no rights

of third persons have intervened, the purchasers or their

vendees, heirs, or legal representatives, who claim land that has

been forfeited for nonpayment of principal and interest, may have

the claim reinstated on written request by paying into the State

Treasury the amount of all principal and interest due on the

claim up to the date of reinstatement.

(b) The right to reinstate a claim under this section is limited

to the last purchaser from the state, or his vendees, heirs, or

legal representatives, and must be exercised within six months

from the date of the forfeiture.

Acts 1977, 65th Leg., p. 2423, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 17,

eff. June 18, 2003.

Sec. 51.075. FORFEITURE OF A DECEASED PURCHASER'S LAND. (a) If

a purchaser of land dies, the heirs or legal representatives of

the deceased have one year following November 1 after the

purchaser's death in which to make payment before the

commissioner declares the land to be forfeited.

(b) If the forfeiture is declared by the commissioner within the

time period stated in Subsection (a) of this section, it will be

set aside on proper proof of death if no rights of third parties

have intervened.

Acts 1977, 65th Leg., p. 2424, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.076. LEGAL PROCEEDINGS. None of the provisions of

Sections 51.071 through 51.072 and 51.074 through 51.075 of this

code shall prevent the state from instituting legal proceedings

necessary:

(1) to enforce a forfeiture;

(2) to recover the full amount of principal and interest that

may be owed to the state at the time the forfeiture occurred; or

(3) to protect another right to the land.

Acts 1977, 65th Leg., p. 2424, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 18,

eff. June 18, 2003.

Sec. 51.077. LIEN. To secure the payment of principal and

interest due on a sale of public school land and university land

the state has an express lien for the use and benefit of the fund

to which the land belongs. The lien is in addition to any right

and remedy that the state has for enforcement of the payment of

principal and interest due and unpaid, up to and including the

period required to reinstate the land award and obligation.

Acts 1977, 65th Leg., p. 2424, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 19,

eff. June 18, 2003.

Sec. 51.0771. REINSTATEMENT FEE. (a) A reinstatement fee is

due when a forfeited award is reinstated. The reinstatement fee

is calculated at one and one-half percent of all amounts

delinquent at the time of the reinstatement.

(b) The comptroller must receive the reinstatement fee before

the forfeited award is reinstated.

(c) Amounts received in the form of a reinstatement fee are

considered proceeds from the sale of permanent school fund land

and shall be deposited in the permanent school fund.

Added by Acts 2003, 78th Leg., ch. 280, Sec. 20, eff. June 18,

2003.

Sec. 51.078. TRANSFER OF INDEBTEDNESS. (a) If a person or the

Federal Farm Loan Bank, with the consent of the owner of land

covered by Section 51.077 of this code, pays to the state the

principal and interest due on any obligation given for the land,

the commissioner, on written request of the owner, may execute,

acknowledge, and deliver to the person or the Federal Farm Loan

Bank a written transfer of the indebtedness held by the state.

The written request of the owner shall be acknowledged in the

manner required for the conveyance of real estate and shall be

accompanied by an affidavit of ownership.

(b) The person or the Federal Farm Loan Bank is subrogated to

all the rights, liens, and remedies held by the state to secure

and enforce the payment of the principal and interest that was

paid to the state.

(c) If the land claimed by a person claiming to be the owner is

held under evidence of title that the law or rules of the land

office do not authorize to be filed in the land office, the

commissioner may admit the owner to be the person that the person

or the Federal Farm Loan Bank paying the indebtedness admits to

be the owner, and on making this admission the instrument of

transfer shall be executed.

(d) None of the provisions of this section shall change any part

of the law or rules that apply to the land office with relation

to titles to land and issuance of patents.

Acts 1977, 65th Leg., p. 2424, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.079. TRANSFERS GENERALLY. (a) An owner of public

school land purchased from the state may sell the land or a

definite portion of the land in any size tract.

(b) If land to be sold is separated from another portion of land

but is not sufficiently designated by metes and bounds in the

papers offered to be filed so that it may be identified with

certainty, the commissioner shall require that proper field notes

accompany the papers before he files them and separates the land.

Acts 1977, 65th Leg., p. 2425, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 21,

eff. June 18, 2003.

Sec. 51.080. PERSONAL TRANSFERS. (a) A vendee who obtains

through personal transfer a whole survey or a whole portion of a

survey purchased from the state as a whole or who obtains through

personal transfer a portion of a survey purchased from the state

as a whole or in a quantity less than the whole survey is

entitled to become a substitute purchaser directly from the state

in the manner provided in this section.

(b) With the approval of the commissioner, the vendee may file

in the land office a complete chain of title through personal

transfers that have been duly executed and recorded in the

counties in which the land or a part of the land is located and

shall pay the fees provided by law.

(c) After the papers are filed in the land office, the

substituted purchaser shall have his portion of land separated

from the other portion of land, if any, on the records of the

land office and shall assume and be liable to the state for all

unpaid principal and interest due the state for the land conveyed

by the deeds that are filed, together with all obligations and

penalties attaching to the original purchase.

(d) The obligation of the original purchaser and the obligation

of all vendors of the substituted purchaser are enforceable

against the substituted purchaser as if he were the original

purchaser from the state, and the obligation of the vendor or

vendors of the substituted purchaser are canceled.

Acts 1977, 65th Leg., p. 2425, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.081. TRANSFERS OTHER THAN PERSONAL TRANSFER. A person

who claims title through a source other than by personal transfer

to a definite portion of a survey that is less than the whole

survey purchased from the state, with the approval of the

commissioner, may have the portion of land that he claims

separated from the other portion of the survey on the records of

the land office by filing in the land office evidence of claims

that may be required by the commissioner and by paying the fees

provided by law for papers filed as evidence of the claim or a

right to a separation of the area.

Acts 1977, 65th Leg., p. 2425, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.082. LIABILITY OF VENDEE. After a separation of land is

made on the records of the land office, the portion that is

separated shall be charged and credited with its pro rata part of

the principal and interest due and paid to November 1 preceding

the date of the filing of the transfers or other papers.

Acts 1977, 65th Leg., p. 2425, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.083. PATENT ON PART OF A TRACT. (a) If an owner or

claimant of land whose ownership or claim is shown on the records

of the land office desires a patent on a portion of the whole

tract, the owner or claimant, with the approval of the

commissioner, may file field notes for the portion of the tract

on which the patent is desired, together with the filing fee

required by law, and may obtain a patent for the portion of the

tract after the full price is paid, together with all fees

required by law.

(b) If the ownership of the tract is evidenced by personal

transfer, the patent shall be issued to the owner and his

assigns, but if the claimant claims title through other evidence

than by personal transfer, the patent shall be issued in the name

of the person and his assigns who hold title by original purchase

or in the name of the person and his assigns who appear on the

records to hold title through the last personal transfer.

(c) If a patent is issued in the name of any person other than

the legal owner, the patent and the rights granted in the patent

inure to the benefit of the legal owner.

Acts 1977, 65th Leg., p. 2426, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.085. TIME FOR PURCHASE OF LAND. Each purchaser of land

has the option of paying the purchase price in full at any time,

together with all fees, and obtaining a patent for the land.

Acts 1977, 65th Leg., p. 2426, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.086. SALE OF ESCHEATED PERMANENT SCHOOL LAND. (a) All

sales of escheated land that is a part of the permanent school

fund must be made at a price that may not be less than the

minimum price set by the court under Section 71.107, Property

Code, and in the same manner as the sale of public school land as

provided by this chapter.

(b) Repealed by Acts 2009, 81st Leg., R.S., Ch. 1175, Sec.

33(13), eff. June 19, 2009.

(c) When escheated permanent school land is sold, this state

shall reserve all minerals in the land for the permanent school

fund.

Added by Acts 1983, p. 3729, ch. 576, Sec. 4, eff. Jan. 1, 1984.

Amended by Acts 2003, 78th Leg., ch. 1276, Sec. 13.002(a), eff.

Sept. 1, 2003.

Amended by:

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 24, eff. June 19, 2009.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 33(13), eff. June 19, 2009.

SUBCHAPTER D. LEASE OF LAND

Sec. 51.121. LEASE OF UNSOLD LAND. (a) Unsold public school

land may be leased for any purpose the commissioner determines is

in the best interest of the state under terms and conditions set

by the commissioner. Improvements on land under this subsection

shall not become the property of the state and shall be taxed in

the same manner as other private property.

Text of subsection as amended by Acts 2007, 80th Leg., R.S., Ch.

387, Sec. 2

(b) Improvements on land leased under Subsection (a) shall be

removed prior to the expiration of the lease unless the

commissioner determines it to be in the best interest of the

state that removal of the improvements not be required and

includes such a provision in the terms and conditions of the

lease.

Text of subsection as amended by Acts 2007, 80th Leg., R.S., Ch.

1368, Sec. 2

(b) Improvements on land leased under Subsection (a) shall be

removed prior to the expiration of the lease unless the

commissioner determines it to be in the best interest of the

state that removal of the improvements not be required and

includes a provision in the terms and conditions of the lease

that the improvements on the land shall become property of the

state upon termination or expiration of the lease.

(c) Repealed by Acts 2007, 80th Leg., R.S., Ch. 387, Sec. 14(1),

eff. June 15, 2007.

(d) In leases granted under this subchapter, the commissioner

may grant the lessee a preference right to purchase the leased

premises. In order to grant this preference right, the

commissioner must include such a provision in the lease. The

provision may provide that the preference right to purchase may

be exercised at any time during the term of the lease. If the

commissioner does include the preference right to purchase in the

lease, the lessee shall have a preference right to purchase the

leased premises before the leased premises are made available for

sale to any other person. All sales under this subsection must

be for a price determined by the board and under any other terms

and conditions that the commissioner deems to be in the best

interest of the state. The preference right to purchase granted

under this subsection is superior to any other preference right

to purchase granted under any other section of this code or under

any other law. Nothing in this subsection shall be construed to

allow the commissioner to grant a preference right to purchase

submerged land.

(e) Subject to the provisions of Title 2, Utilities Code, any

district created by Section 59, Article XVI, Texas Constitution,

that leases unsold public school land for power generation

through the use of renewable energy sources, such as wind, solar,

or geothermal energy and other sustainable sources, or a district

participating in a power generation project using renewable

energy sources which is located on unsold public school lands may

distribute and sell electric energy generated on public school

lands within or without the boundaries of the district and may

issue bonds to accomplish such purposes pursuant to Chapter 1371,

Government Code, or other applicable law. For any such power

generation project which is located on both public lands and

private lands, the district may sell outside its boundaries only

the pro rata portion of the total amount as is generated on the

public lands. All electric energy generated pursuant to this

section shall be sold for resale only to utilities authorized to

make retail sales under Title 2, Utilities Code, and shall be

subject to the solicitation process and integrated resource

planning process authorized by that title.

Acts 1977, 65th Leg., p. 2426, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1979, 66th Leg., p. 472, ch. 215,

Sec. 1, eff. May 17, 1979; Acts 1983, 68th Leg., p. 3729, ch.

576, Sec. 5, eff. Jan. 1, 1984; Acts 1985, 69th Leg., ch. 624,

Sec. 33, eff. Sept. 1, 1985; Acts 1987, 70th Leg., ch. 208, Sec.

4, eff. Aug. 31, 1987; Acts 1993, 73rd Leg., ch. 991, Sec. 14,

eff. Sept. 1, 1993; Acts 1999, 76th Leg., ch. 62, Sec. 18.40,

eff. Sept. 1, 1999; Acts 2001, 77th Leg., ch. 1420, Sec. 8.352,

eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch. 280, Sec. 22, eff.

June 18, 2003.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

387, Sec. 2, eff. June 15, 2007.

Acts 2007, 80th Leg., R.S., Ch.

387, Sec. 14(1), eff. June 15, 2007.

Acts 2007, 80th Leg., R.S., Ch.

1368, Sec. 2, eff. June 15, 2007.

Sec. 51.122. ADVERTISEMENT OF LEASES. Leases under the

provisions of this subchapter may be advertised in the manner

provided in Section 32.107 of this code.

Acts 1977, 65th Leg., p. 2426, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.123. LEASE APPLICATION. A person who desires to lease

land shall submit a written application to the commissioner

specifying and describing the particular land he desires to

lease.

Acts 1977, 65th Leg., p. 2426, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.124. AWARD OF LEASE. (a) A lease shall be awarded to

the highest responsible bidder.

(b) The lease shall be awarded under the rules and in the

quantities the commissioner considers to be in the best interest

of the state and not inconsistent with the equities of the

occupant.

Acts 1977, 65th Leg., p. 2426, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1985, 69th Leg., ch. 624, Sec. 33,

eff. Sept. 1, 1985.

Sec. 51.125. REJECTION OF BID OR OFFER TO LEASE. Any bid or

offer to lease may be rejected by the commissioner for fraud,

collusion, or other good and sufficient cause before the lease is

signed.

Acts 1977, 65th Leg., p. 2426, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977. Amended by Acts 1985, 69th Leg., ch. 624, Sec. 33,

eff. Sept. 1, 1985.

Sec. 51.126. NOTIFICATION OF ACCEPTANCE AND EXECUTION OF LEASE.

After the applications are received, the commissioner shall give

written notification to the successful applicant that his bid or

offer to lease is accepted and execute a lease to the applicant

in the name and by the authority of the State of Texas.

Acts 1977, 65th Leg., p. 2427, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.127. RECORDING MEMORANDUM OF LEASE. (a) The

commissioner shall prepare a descriptive memorandum of the lease

at the time the lease is executed and deliver the lease and the

memorandum to the lessee.

(b) The lessee shall deliver the memorandum of the lease to the

clerk of the county in which the land is located.

(c) The clerk shall record the memorandum in the county clerk's

office.

(d) On payment of the recording fee, the clerk shall deliver the

recorded memorandum to the lessee. The lessee shall provide to

the commissioner a certified copy of the recorded memorandum.

Acts 1977, 65th Leg., p. 2427, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

387, Sec. 3, eff. June 15, 2007.

Sec. 51.129. LIEN. (a) During the continuance of the lease and

after forfeiture, the state has a lien on all property owned by

the lessee which is located on the leased premises to secure

payment of rent due.

(b) The lien is superior to all other liens.

(c) A reservation of the lien in the lease is not essential to

preserve its validity.

Acts 1977, 65th Leg., p. 2427, ch. 871, art. I, Sec. 1, eff.

Sept. 1, 1977.

Sec. 51.131. SOIL AND WATER CONSERVATION PLANS. (a) For each

lease issued under this subchapter for agricultural or grazing

purposes, the commissioner may require the lessee to implement a

soil and water conservation plan approved by the commissioner.

The commissioner, in reviewing a plan, and the lessee, in

implementing a plan, may be assisted by the United States

Department of Natural Resources Conservation Service.

(b) The commissioner by rule shall adopt a procedure for

reviewing and approving soil and water conservation plans

required by Subsection (a) of this section.

Added by Acts 1985, 69th Leg., ch. 624, Sec. 34, eff. Sept. 1,

1985. Amended by Acts 2003, 78th Leg., ch. 280, Sec. 23, eff.

June 18, 2003.

SUBCHAPTER E. SALE AND LEASE OF VACANCIES

Sec. 51.171. PURPOSE; APPLICATION OF OTHER LAW. (a) This

subchapter controls the purchase and lease of vacant land and the

authority of the commissioner and the board to:

(1) determine whether a vacancy exists; and

(2) sell and lease vacant land.

(b) To the extent a provision of this subchapter conflicts with

another law relating to vacant land or Chapter 2001, Government

Code, this subchapter controls.

Amended by Acts 2001, 77th Leg., ch. 1418, Sec. 1, eff. Sept. 1,

2001.

Amended by:

Acts 2005, 79th Leg., Ch.

874, Sec. 1, eff. June 17, 2005.

Sec. 51.172. DEFINITIONS. In this subchapter:

(1) "Administratively complete" means a vacancy application that

complies with Section 51.176 and any rule adopted by the

commissioner regarding the filing of a vacancy application.

(1-a) "Applicant" means any person, including a good-faith

claimant, who files a vacancy application.

(1-b) "Application commencement date" means:

(A) the date, as designated in the commissioner's notice to the

applicant required by Section 51.177(b); or

(B) the date, as designated in the commissioner's notice to the

applicant required by Section 51.177(d), indicating that any

deficiency in the vacancy application has been resolved.

(2) "Good-faith claimant" means a person who, on the application

commencement date:

(A) occupies or uses or has previously occupied or used, or

whose predecessors in interest in the land claimed to be vacant

have occupied or used, the land or any interest in the land for

any purposes, including occupying or using:

(i) the surface or mineral estate for any purposes, including

exploring for or removing oil, gas, sulphur, or other minerals

and geothermal resources from the land;

(ii) an easement or right-of-way; or

(iii) a mineral royalty or leasehold interest;

(B) has had, or whose predecessors in interest have had, the

land claimed to be vacant enclosed or within definite boundaries

recognized in the community and in possession under a chain of

title for a period of at least 10 years with a good-faith belief

that the land was included within the boundaries of a survey or

surveys that were previously titled, awarded, or sold under

circumstances that would have vested title in the land if the

land were actually located within the boundaries of the survey or

surveys;

(C) is the owner of land:

(i) that adjoins the land claimed to be vacant; and

(ii) for which no vacancy application has been previously filed;

or

(D) holds title under a person described by Paragraph (A), (B),

or (C) or is entitled to a distributive share of a title acquired

under an application filed by a person described by Paragraph

(A), (B), or (C).

(3) "Interest" means any right or title in or to real property,

including a surface, subsurface, or mineral estate. "Interest"

includes a right or title described as follows:

(A) a fee simple title;

(B) a determinable fee or other leasehold or mineral interest

created under a conveyance instrument, including a mineral lease;

(C) a mineral royalty, nonparticipating royalty, or overriding

royalty interest described by Section 51.194(c);

(D) a life estate;

(E) a remainder or reversionary interest; or

(F) a secured interest under a lien.

(4) "Necessary party" means:

(A) an applicant or good-faith claimant whose present legal

interest in the surface or mineral estate of the land claimed to

be vacant may be adversely affected by a vacancy determination;

(B) a person who asserts a right to or who claims an interest in

land claimed to be vacant;

(C) a person who asserts a right to or who claims an interest in

land claimed to be vacant or in land adjoining land claimed to be

vacant as shown in the records of the land office or the county

records, including tax records, of any county in which all or

part of the land claimed to be vacant is located;

(D) a person whose name appears in the records described by

Paragraph (C); or

(E) an attorney ad litem appointed under Section 51.180.

(4) "Necessary party" means:

(A) an applicant or good-faith claimant whose present legal

interest in the surface or mineral estate of the land claimed to

be vacant may be adversely affected by a vacancy determination;

(B) a person who asserts a right to or who claims an interest in

land claimed to be vacant;

(C) a person who asserts a right to or who claims an interest in

land adjoining land claimed to be vacant as shown in the records

of the land office or the county records, including tax records,

of any county in which all or part of the land claimed to be

vacant is located;

(D) a person whose name appears in the records described by

Paragraph (C); or

(E) an attorney ad litem appointed under Section 51.180.

(5) "Survey report" means a written report of a survey conducted

by a licensed state land surveyor or a county surveyor of the

county in which a majority of the land claimed to be vacant is

located.

(6) "Vacancy" means an area of unsurveyed public school land

that:

(A) is not in conflict on the ground with land previously

titled, awarded, or sold;

(B) has not been listed on the records of the land office as

public school land; and

(C) was not, on the application commencement date:

(i) subject to an earlier subsisting application;

(ii) subject to a vacancy application denied with prejudice;

(iii) the subject of pending litigation relating to state

ownership or possession of the land; or

(iv) subject to a previous vacancy application that has been

finally adjudicated by the commissioner or a court of this state

or the United States.

(7) "Vacancy application" means a form submitted to the

commissioner by an applicant to:

(A) initiate a determination by the commissioner whether land

claimed to be vacant is vacant;

(B) purchase vacant land; or

(C) lease vacant land.

(7) "Vacancy application" means a form submitted to the

commissioner by an applicant to:

(A) initiate a determination by the commissioner whether land

claimed to be vacant is vacant; and

(B) purchase or lease vacant land.

Amended by Acts 2001, 77th Leg., ch. 1418, Sec. 1, eff. Sept. 1,

2001.

Amended by:

Acts 2005, 79th Leg., Ch.

874, Sec. 1, eff. June 17, 2005.

Acts 2009, 81st Leg., R.S., Ch.

1175, Sec. 25, eff. June 19, 2009.

Sec. 51.173. DISPOSITION OF VACANT LAND. (a) Vacant and

unsurveyed public school land shall be located, sold, and leased

under this subchapter, except:

(1) submerged lands within tidewater limits;

(2) all islands, flats, and emergent lands within tidewater

limits;

(3) natural lakes; and

(4) riverbeds, including channels and islands in riverbeds,

above tidewater limits.

(b) This subchapter does not alter or diminish the public domain

status of the surface estate of riverbeds and channels and

islands in riverbeds that are located above tidewater limits.

Amended by Acts 2001, 77th Leg., ch. 1418, Sec. 1, eff. Sept. 1,

2001.

Amended by:

Acts 2005, 79th Leg., Ch.

874, Sec. 1, eff. June 17, 2005.

Sec. 51.174. GENERAL POWERS AND DUTIES OF COMMISSIONER. (a)

The commissioner may:

(1) delegate responsibility for implementing this subchapter;

(2) perform any other act necessary to administer and implement

the purposes of this subchapter, including entering into a

contract with a private party to provide the notices required

under this subchapter; and

(3) terminate without prejudice a vacancy application if an

applicant fails to comply with this subchapter or a rule adopted

under this subchapter.

(b) The commissioner may grant an extension of time to comply

with a requirement under this subchapter. For each application,

the commissioner may grant not more than a total of 30 days in

extensions of time to comply with one or more requirements of

this subchapter, excluding any extensions of time related to the

survey report under this subchapter. The commissioner may grant

not more than 90 days in extensions of time to comply with a

requirement related to the survey report under this subchapter.

(c) The commissioner shall adopt rules necessary and convenient

to administer this subchapter.

(d) The commissioner shall advise the board relating to the

market value of the surface, mineral, and leasehold estates of

vacant land.

Amended by Acts 2001, 77th Leg., ch. 1418, Sec. 1, eff. Sept. 1,

2001; Acts 2003, 78th Leg., ch. 280, Sec. 24, eff. June 18, 2003.

Amended by:

Acts 2005, 79th Leg., Ch.

874, Sec. 1, eff. June 17, 2005.

Sec. 51.175. GENERAL POWERS AND DUTIES OF BOARD. (a) The board

shall set the terms and conditions for each sale and lease of a

vacancy.

(b) The board shall adopt rules governing the terms and

conditions for the sale and lease of a vacancy. The rules shall

be adopted and amended as necessary to be consistent with real

property law of this state and other applicable law.

(c) The board may adopt rules governing mineral classification,

royalty reservations, and awards of royalty reservations and

preferential rights to an applicant or to a good-faith claimant

in addition to the provisions prescribed by this subchapter.

Amended by Acts 2001, 77th Leg., ch. 1418, Sec. 1, eff. Sept. 1,

2001; Acts 2003, 78th Leg., ch. 280, Sec. 25, eff. June 18, 2003.

Amended by:

Acts 2005, 79th Leg., Ch.

874, Sec. 1, eff. June 17, 2005.

Sec. 51.176. VACANCY APPLICATION; FILING. (a) To purchase or

lease land claimed to be vacant, a person must file a vacancy

application on a form prescribed by the commissioner. A

completed application must include:

(1) a description of the land claimed to be vacant that is

sufficient to locate the land on the ground;

(2) a written statement indicating whether the applicant seeks

to purchase the land claimed to be vacant or obtain a mineral

lease on the land or both purchase the land and obtain a mineral

lease on the land;

(3) a list, in a format prescribed by the commissioner,

containing the name and last known mailing address of each

necessary party whose name appears in the records described by

Section 51.172(4)(C);

(4) an affidavit executed by the applicant affirming that the

applicant conducted a diligent search of all the records

described by Section 51.172(4)(C) in preparing the list required

by Subdivision (3);

(5) if applicable, a statement of the basis for and documentary

proof for an assertion of good-faith-claimant status;

(6) at the applicant's discretion:

(A) a survey report, including:

(i) the field notes describing the land and the lines and

corners surveyed; and

(ii) a plat depicting the results of the survey; or

(B) an abstract of title to any land that adjoins the land

claimed to be vacant; and

(7) any other information required by the commissioner.

(b) The applicant must file the original and a duplicate copy of

the vacancy application with the county clerk of each county in

which all or part of the land claimed to be vacant is located.

(c) The county clerk shall mark the exact date and hour of

filing on the original and a duplicate copy of the vacancy

application and shall return a marked copy to the person filing

the application. The original shall be recorded in a book kept

for that purpose separate from the deed or real property records.

The failure to record a vacancy application as provided by this

subsection does not affect the validity of the application

filing.

(d) Not later than the fifth day after the date an applicant

files the vacancy application with the county clerk, the

applicant shall file a duplicate copy of the marked copy received

from the county clerk with the county surveyor of each county in

which all or part of the land claimed to be vacant is located if

that county has a county surveyor.

(e) Priority among vacancy applications covering the same land

claimed to be vacant is determined by the earliest time of filing

indicated by the date and hour marked on the application by the

county clerk.

(f) The applicant shall submit to the commissioner two duplicate

copies of the marked copy that has been file-stamped by the

county clerk not later than the 30th day after the date the

vacancy application is filed with the county clerk. The

commissioner shall mark the date the two duplicate copies are

received on each copy, assign a file number to the vacancy

application, and return a marked duplicate copy containing the

file number to the applicant.

(g) The applicant shall include a filing fee set by the

commissioner in an amount of not less than $100.

Amended by Acts 2001, 77th Leg., ch. 1418, Sec. 1, eff. Sept. 1,

2001.

Amended by:

Acts 2005, 79th Leg., Ch.

874, Sec. 1, eff. June 17, 2005.

Acts 2007, 80th Leg., R.S., Ch.

682, Sec. 1, eff. September 1, 2007.

Sec. 51.177. PROCESSING VACANCY APPLICATION. (a) Not later

than the 45th day after the date the applicant files the

duplicate copies with the commissioner as provided by Section

51.176(f), the commissioner shall:

(1) determine whether the vacancy application is

administratively complete; and

(2) provide to the applicant the notice required by this

section.

(a) Not later than the 45th day after the date the commissioner

accepts the duplicate copies as properly filed by the applicant

as provided by Section 51.176(f), the commissioner shall:

(1) determine whether the vacancy application is

administratively complete; and

(2) provide to the applicant the notice required by this

section.

(b) If the commissioner determines that the vacancy application

is administratively complete, the commissioner shall provide

written notice to the applicant that:

(1) informs the applicant that the application is

administratively complete;

(2) states the application commencement date; and

(3) states the amount of any deposit required under Section

51.178 and the date by which the applicant must pay the deposit.

(c) If the commissioner determines that the vacancy application

is not administratively complete, the commissioner shall provide

written notice to the applicant that:

(1) informs the applicant that the application is not

administratively complete;

(2) provides a list of any deficiencies the applicant must

resolve; and

(3) states a reasonable period of not more than 30 days from the

date of the notice to resolve any listed deficiencies.

(d) Not later than the 30th day after the date provided under

Subsection (c)(3) to resolve any deficiencies