Texas Senate Bill SB1767

Texas 2023 - 88th Regular

• Filed: 3/7/23

Caption

Relating to organization of, meetings of, and voting by condominium unit owners' associations and property owners' associations.

Impact

The implementation of SB1767 would modernize the administrative processes of associations by allowing electronic voting and meetings. This change is expected to increase engagement from unit owners in decision-making processes, as it accommodates varied circumstances that may prevent physical attendance. Additionally, the bill's provisions aim to streamline organizational requirements, ensuring that associations maintain proper governance structures conducive to efficient operation. This legislative update could lead to faster decision-making and more frequent engagement from owners, positively affecting the community governance model.

Summary

SB1767 proposes significant amendments to the Property Code concerning the organization, meetings, and voting procedures of condominium unit owners' associations and property owners' associations in Texas. The bill mandates that associations must be organized as either profit or nonprofit corporations and establishes clear requirements for how meetings can be conducted, particularly emphasizing the need for flexibility in communication methods. Notably, it endorses electronic and telephonic communication for conducting meetings, thereby facilitating participation from unit owners who may otherwise find it challenging to attend in person.

Sentiment

Overall sentiment regarding SB1767 appears to be supportive among property management professionals and many unit owners who are eager for improvements and modernization in governance. Advocates assert that these changes will empower owners, enhance transparency, and promote a more engaged community. Conversely, there may be reservations concerning the potential misuse of electronic voting or concerns over ensuring that discussions remain as robust in virtual settings as they would in person.

Contention

Some points of contention surrounding SB1767 relate to the practicality of virtual meetings and voting protocols. Critics may express skepticism regarding the efficacy of electronic voting, particularly concerning security and the need for adequate measures to guarantee that all voices are heard during important decisions. Additionally, some associations may struggle to adapt to the new technological requirements outlined in the bill, raising concerns about equitable access to participation and the potential for disenfranchising older or less tech-savvy residents.

Texas Constitutional Statutes Affected

Property Code

• Chapter 82. Uniform Condominium Act
  • Section: New Section
  • Section: 108
  • Section: 110

• Chapter 209. Texas Residential Property Owners Protection Act
  • Section: 0056
  • Section: 00592