SB 142 moving towards passage, changes made to Senate version

Chairman Burt Solomons is the bill sponsor for SB 142 in the Texas House of Representatives.  Today he obtained approval of the House Business and Industry Committee for his committee substitute of the bill.  The House version makes some changes from the version passed from the Texas Senate authored by Chairman West.  (Note that if this version passes the House, the Senate can either vote to accept the new version, or move for a conference committee to attempt to resolve the differences.)  The House version of the bill is here.  The changes from the Senate version as reported by Chairman Solomons are as follows:

1)      Amends subsection (a), Section 5.006, Property Code to a apply additionally to a breach of a statute relating to real property subject to a restrictive covenant and makes the awarding of attorney’s fees for a prevailing party permission rather than required.

2)      Amends Section 5.012, Property Code to amend the language for a notice of membership in a homeowners’ association to include that a current, rather than recent, resale certificate may be requested by the seller.

3)      Amends subsection (b), Section 51.015 to limit an assessment lien under this section applies only to a lawful assessment.

4)      Subdivision (1), Section 202.001, Property Code, is amended to expand the definition of a dedicatory instrument to include bylaws.

5)      Section 202.006, Property Code, is amended to ensure that a dedicatory instrument that has not been filed may not be enforced against a homeowner unless the homeowner agrees to comply with the subsequently filed dedicatory instrument.

6)      Chapter 202, Property Code, is amended by adding 202.013 relating to roofing materials and renumbering 202.014

7)      Chapter 202.012 is amended to change the criteria by which a solar panel must meet to be permissible and to remove a subjective criteria for the architectural review committee in approving a solar panel.

8)       Section 207.003, Property Code, is amended to reflect that a resale certificate must be current and makes changes to the required content of the resale certificate. It also caps the fee for copying and assembling a resale certificate to the amount for a public information request under the Texas Administrative Code.

9)      Section 209.0041 is amended to assert that all ballots which result in a change to a dedicatory instrument is a record of the association.

10)  Section 209.005, Property Code, is amended to remove an exception to the chapter in accordance to a dedicatory instrument and allows the delivery of requested records through other mailing or delivery method which can be evidenced. Amends the requirement that the association notify a homeowner that they will not be able to timely produce requested records to include a reason for the noncompliance and changes the cost estimates and allowances for record requests to actual costs rather than estimates.

11)  Section 209.0051, Property Code, is amended by requiring open meetings compliance for meetings were policies and association business are discussed and not just where formal action is taken. Includes in the required open meetings, emergency meetings and includes a requirement for an audio recording. Makes changes to limit the reason why a board may meet for a meeting without posting advanced notice.

12)  Section 209.00592, Property Code, is amended by removing representative or delegated voting as a method of acceptable voting.

13)  Section 209.00953, Property Code, is amended to remove an exception to the chapter in accordance to a dedicatory instrument and to make other non-substantive changes.

14)  Amends 209.0062, Property Code, to change the ability of a property owners’ association to offer a payment plan for assessments in arrears from permissive to a right for a property owner to make partial payments.

15)  Amends 209.0063, Property Code by switching attorneys’ fees and fines on the priority of payment and removes the exemption for application of priority of payment if a homeowner is in default on a payment plan.

16)  Amends 209.009, Property Code, to include fees for third party debt collection in the types of debt for which a property owners’ association may not foreclosure for solely.

17)  Amends 209.0091, Property Code, to remove a provision allowing judicial foreclosure for any lien which is allowed under the dedicatory instrument, and requires the rules adopted by the Texas Supreme Court under this section to include service upon a property owner by methods prescribed under Rules 106 through 119 Texas Rules of Civil Procedure.

18)  Amends Section 209.014 to reflect a change in reference to a regular meeting to an annual meeting.

19)  Adds Section 209.015 relating to Board Powers.

20)  Makes changes to the applicability sections to reflect the added sections to the bill.

Posted on May 11, 2011, in Newsroom. Bookmark the permalink. Comments Off on SB 142 moving towards passage, changes made to Senate version.

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