Texas 2023 - 88th Regular

Texas House Bill HB1367

Filed
1/17/23  
Out of House Committee
5/3/23  
Voted on by Senate
 
Governor Action
 
Bill Becomes Law
 

Caption

Relating to the violation of certain laws and provisions of governing instruments by, and the recall by property owners of, a property owners' association board member.

Impact

The bill's introduction is expected to significantly impact state laws governing property owners' associations, particularly Section 209 of the Property Code. By providing property owners with recourse against board members who violate certain laws or governing provisions, the bill aims to increase transparency and fairness in the operations of such associations. The new legal framework will empower homeowners to take action against non-compliant board members, which some advocates believe will enhance community engagement and strengthen property owners' rights.

Summary

House Bill 1367 aims to reform the governance of property owners' associations in Texas by establishing clearer processes for the recall of board members and legal actions against them for violations. The bill allows owners of at least 20 percent of the voting interests in a property owners' association to petition for a special meeting to initiate a recall election. If a majority votes for the recall, the affected board member is removed immediately. This change is designed to enhance accountability within property owners' associations and provide a democratic mechanism for homeowners to influence governance decisions directly.

Sentiment

The sentiment surrounding HB 1367 appears to be mixed among stakeholders. Proponents argue that the bill is a necessary step towards ensuring greater accountability in property owners' associations, which can sometimes operate with minimal oversight. Advocates for the bill, including homeowner advocacy groups, see it as a means to protect the interests of property owners and give them more control over their community governance. However, opponents express concerns that the bill may lead to increased conflicts within associations and possibly destabilize existing governance structures, especially if it encourages frequent recall elections.

Contention

Notable points of contention arose during legislative discussions, particularly about how the bill could be implemented in diverse communities with varying governance needs. Critics fear that the provisions for recall and legal action may be misused, leading to potential disputes and destabilization within property owners' associations. Additionally, some stakeholders voiced apprehension that the bill could inadvertently create division among homeowners, undermining the collaborative environment that associations are supposed to foster. These debates highlight the ongoing tension between ensuring accountability and maintaining stable governance structures within community associations.

Texas Constitutional Statutes Affected

Property Code

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

Companion Bills

No companion bills found.

Previously Filed As

TX HB4265

Relating to the violation of certain laws and provisions of governing instruments by, and the recall by property owners of, a property owners' association board member.

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