Texas 2009 - 81st Regular

Texas House Bill HB2350 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	81R9545 JTS-F
2	2	By: Bohac H.B. No. 2350
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of certain municipalities to require
8	8	trust accounts for certain commercial buildings; providing a
9	9	criminal penalty.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Chapter 214, Local Government Code, is amended
12	12	by adding Subchapter I to read as follows:
13	13	SUBCHAPTER I. TRUST ACCOUNTS FOR CERTAIN COMMERCIAL BUILDINGS IN
14	14	CERTAIN MUNICIPALITIES
15	15	Sec. 214.251. DEFINITIONS. In this subchapter,
16	16	"commercial" and "International Building Code" have the meanings
17	17	assigned by Section 214.211.
18	18	Sec. 214.252. ORDINANCE AUTHORIZING TRUST ORDER. A
19	19	municipality located in a county with a population of 3.3 million or
20	20	more by ordinance may authorize a municipal official to issue a
21	21	trust order in writing to the owner of a commercial building to
22	22	establish a trust account for the building if the official finds
23	23	that the building:
24	24	(1) is not in compliance with the International
25	25	Building Code, as that code may have been amended by the
26	26	municipality; and
27	27	(2) constitutes an immediate hazard to human life or
28	28	to property.
29	29	Sec. 214.253. TRUST ACCOUNT. (a) An ordinance under this
30	30	subchapter may require an owner subject to a trust order to
31	31	establish an account insured by the Federal Deposit Insurance
32	32	Corporation at a financial institution with retail operations in
33	33	the municipality or elsewhere in this state.
34	34	(b) The ordinance may require the owner to deposit all rent
35	35	paid for use of the building into the trust account and prohibit the
36	36	owner from withdrawing funds from the trust account except to make
37	37	payments in the ordinary course of business to:
38	38	(1) a taxing authority to pay ad valorem taxes
39	39	assessed against the real property on which the building is
40	40	located;
41	41	(2) the financial institution at which the trust
42	42	account is maintained to pay fees or charges reasonable and
43	43	necessary to maintain the account;
44	44	(3) any supplier of electricity, natural gas, water,
45	45	or garbage removal services directly to the building;
46	46	(4) the holder of debt secured by an enforceable lien
47	47	against the building or against the property on which the building
48	48	is located, unless the holder is an insider, as that term is defined
49	49	by Section 24.002, Business & Commerce Code, of the owner; or
50	50	(5) a person or entity that has supplied goods or
51	51	services reasonably necessary to bring the building into compliance
52	52	with the International Building Code, as that code may have been
53	53	amended by the municipality.
54	54	Sec. 214.254. MONTHLY ACCOUNTING. An ordinance under this
55	55	subchapter may require the owner of a building subject to a trust
56	56	order to submit to the municipal official a monthly accounting
57	57	sworn to by the owner that:
58	58	(1) provides all information reasonably necessary to
59	59	identify the trust account and the persons authorized to withdraw
60	60	funds from the account;
61	61	(2) states the total amount of rent received for use of
62	62	the building during the period covered by the accounting;
63	63	(3) states that:
64	64	(A) all rent received for use of the building
65	65	during the period covered by the accounting has been deposited into
66	66	the trust account;
67	67	(B) no ad valorem tax assessed against the real
68	68	property on which the building is located is delinquent; and
69	69	(C) no payment to any entity that has supplied
70	70	electricity, natural gas, water, or garbage removal services
71	71	directly to the building is overdue by more than 30 days; and
72	72	(4) describes the disbursement of all funds from the
73	73	trust account during the period covered by the accounting by date,
74	74	amount, purpose, recipient's name, and recipient's mailing and
75	75	physical addresses.
76	76	Sec. 214.255. CLOSING OF TRUST ACCOUNT. (a) An ordinance
77	77	adopted under this subchapter may provide that the owner may close
78	78	the trust account only after:
79	79	(1) the municipal official has stated in writing that
80	80	the building has been brought into compliance with the
81	81	International Building Code, as that code may have been amended by
82	82	the municipality; and
83	83	(2) the owner has submitted to the municipal official
84	84	a written statement sworn to by the owner that no payment to any
85	85	supplier of electricity, natural gas, water, or garbage removal
86	86	services directly to the building is overdue by more than 30 days.
87	87	(b) The ordinance may also provide that, not later than the
88	88	15th day after the date the owner has closed the trust account, the
89	89	owner must submit to the municipal official a written statement
90	90	sworn to by the owner describing the final disbursement of all funds
91	91	from the trust account by date, amount, purpose, recipient's name,
92	92	and recipient's mailing and physical addresses.
93	93	Sec. 214.256. OFFENSE. (a) An owner of a building commits
94	94	an offense if the owner violates an ordinance adopted under this
95	95	subchapter.
96	96	(b) An offense under this section is a Class C misdemeanor.
97	97	(c) Each day the violation continues constitutes a separate
98	98	offense.
99	99	(d) Section 3.04(a), Penal Code, does not apply to two or
100	100	more offenses consolidated or joined for trial under Section 3.02,
101	101	Penal Code, if each of the offenses is:
102	102	(1) for the violation of an ordinance adopted under
103	103	this subchapter;
104	104	(2) punishable by fine only; and
105	105	(3) tried in a municipal court, regardless of whether
106	106	the court is a municipal court of record.
107	107	SECTION 2. This Act takes effect January 1, 2010.