Texas 2023 - 88th Regular

Texas Senate Bill SB1766

Filed
3/7/23  
Out of Senate Committee
4/26/23  
Voted on by Senate
5/3/23  
Out of House Committee
5/7/23  
Voted on by House
5/9/23  
Governor Action
5/23/23  

Caption

Relating to indemnification and duties of real property appraisers under certain governmental contracts.

Impact

The passage of SB 1766 could significantly impact the landscape of appraisal services provided to governmental entities in Texas. By limiting the indemnification obligations placed on appraisers, the bill may encourage more professionals to engage in contracts with governmental agencies, fostering a more competitive environment in the appraisal market. Additionally, this legislation could elevate the standards for appraisal services by mandating that they be delivered with the skill and care reflective of competent appraisers under similar circumstances, potentially enhancing the quality of these services.

Summary

Senate Bill 1766, introduced by Senator Creighton, addresses indemnification and the duties of real property appraisers under certain governmental contracts. The bill aims to provide explicit protections for appraisers by limiting their liability in circumstances where they would otherwise be required to indemnify governmental agencies. Specifically, it aims to ensure that appraisers are not held responsible for liabilities arising from the actions or negligence of the governmental agency they are contracted with, thereby aligning their liability standards with those previously granted to engineers.

Sentiment

Overall, the sentiment surrounding SB 1766 appears to be positive among lawmakers, as it received unanimous support during the voting process. Proponents of the bill argue that it represents a necessary step to safeguard appraisers while promoting accountability in governmental contracts. However, there were concerns voiced by some stakeholders regarding the implications this might have for the local governments' operational capabilities and their ability to manage appraisal contracts effectively.

Contention

Notable points of contention include the pushback from organizations like the County Judge and Commissioner Association, who expressed opposition to the bill, voicing concerns that it may create new risks by extending the mandatory sales period. Critics worry that the bill could inadvertently increase hazards, particularly for first responders, by creating ambiguities around liability in the appraisal process. This clash reflects broader tensions between protecting professionals in the appraisal field and ensuring appropriate oversight and risk management in public contracts.

Texas Constitutional Statutes Affected

Local Government Code

  • Chapter 271. Purchasing And Contracting Authority Of Municipalities, Counties, And Certain Other Local Governments
    • Section: 9041
    • Section: 9041
    • Section: 9041
    • Section: 9041
    • Section: 9041

Companion Bills

TX HB2584

Identical Relating to indemnification and duties of real property appraisers under certain governmental contracts.

Similar Bills

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