Texas House Bill HB2398

Texas 2025 - 89th Regular

• Filed: 2/4/25

Caption

Relating to the governance of property owners' associations.

Impact

Furthermore, the bill enhances the enforcement mechanisms available to county attorneys, allowing them to seek injunctive relief in cases of violations related to property owners' associations. This could lead to greater accountability among the boards of these associations, as it provides a legal pathway for county attorneys to intervene in situations where homeowners' rights may be compromised. By establishing clear fiduciary duties for board members and officers, HB2398 also aims to promote responsible governance and ensure that board actions reflect the best interests of the community.

Summary

House Bill 2398 addresses the governance of property owners' associations in Texas by amending the Property Code. One of the key provisions of the bill allows a dedicatory instrument, other than a declaration, to be amended by a majority vote of the lot owners, in addition to any governmental approvals required. This amendment is significant as it seeks to streamline the governance process and provide clearer guidelines for amending community rules, thereby empowering property owners to have a more direct say in the management of their associations.

Enactment

If passed, the provisions outlined in this bill would take effect on September 1, 2025, allowing property owners and associations to adapt to the changes. This timeline underscores the importance of stakeholder engagement and feedback as communities prepare for the potential shifts in governance practices that may arise from HB2398.

Contention

Despite its intentions, the bill may face opposition from those who fear it could unintentionally empower boards at the expense of individual homeowners. Critics might argue that amendments made without sufficient safeguards could lead to decisions that do not align with the community’s welfare or that the increased authority of county attorneys introduces unnecessary legal complexities. Balancing the empowerment of property owners with the potential for board overreach is likely to remain a point of contention as discussions continue around the implications of this legislation.

Texas Constitutional Statutes Affected

Property Code

• Chapter 209. Texas Residential Property Owners Protection Act
  • Section: 0041
  • Section: 00592
  • Section: 00593
  • Section: New Section