Texas Government Code 1433.022 – Limitations On Acquisitions
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(a) An issuer may not acquire an industrial project, or any part of an industrial project, by eminent domain.
(b) Land previously acquired by an issuer by eminent domain may be sold, leased, or otherwise used in accordance with this chapter, if the governing body determines that:
(1) the use will not interfere with the purpose for which that land was originally acquired or that the land is no longer needed for that purpose;
(2) at least seven years have elapsed since the land was acquired by eminent domain; and
(3) the land was not acquired for park purposes unless the sale or lease of that land has been approved at an election held under § 1502.055.
Terms Used In Texas Government Code 1433.022
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Person: includes corporation, organization, government or governmental subdivision or agency, business trust, estate, trust, partnership, association, and any other legal entity. See Texas Government Code 311.005
(c) An issuer may not acquire or construct an industrial project or medical project for an individual, firm, partnership, or corporation, or make or authorize a lease to an individual, firm, partnership, or corporation if the effect of the lease of that project is to remove the lessee’s business from existing facilities in this state.
(d) An issuer may not issue bonds to acquire existing facilities for the purpose of leasing those facilities to the industrial concern from which the facilities are acquired or to another person controlled by the industrial concern.