LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 6, 2009 TO: Honorable Joe Deshotel, Chair, House Committee on Business & Industry FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB2896 by Leibowitz (Relating to requiring the Texas Residential Construction Commission to adopt forms to be used by builders for contracts for the sale or construction of a new home.), As Introduced No significant fiscal implication to the State is anticipated. The bill would amend the Property Code to require the Texas Residential Construction Commission (TRCC) to adopt rules that require builders to use contract forms prepared with the assistance of the Texas Real Estate Broker-Lawyer Committee and adopted by TRCC for the sale or construction of a new home. The rules could not prohibit a builder from using a contract form prepared by the purchaser or prepared by an attorney and required by the purchaser. The bill would include failure to use a contract form required by TRCC under the provisions of the bill as a violation subject to disciplinary action by the TRCC. Based on the analysis of TRCC, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources. Local Government Impact No fiscal implication to units of local government is anticipated. Source Agencies:370 Residential Construction Commission LBB Staff: JOB, JRO, TG
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
April 6, 2009
TO: Honorable Joe Deshotel, Chair, House Committee on Business & Industry FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB2896 by Leibowitz (Relating to requiring the Texas Residential Construction Commission to adopt forms to be used by builders for contracts for the sale or construction of a new home.), As Introduced
TO: Honorable Joe Deshotel, Chair, House Committee on Business & Industry
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: HB2896 by Leibowitz (Relating to requiring the Texas Residential Construction Commission to adopt forms to be used by builders for contracts for the sale or construction of a new home.), As Introduced
Honorable Joe Deshotel, Chair, House Committee on Business & Industry
Honorable Joe Deshotel, Chair, House Committee on Business & Industry
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
HB2896 by Leibowitz (Relating to requiring the Texas Residential Construction Commission to adopt forms to be used by builders for contracts for the sale or construction of a new home.), As Introduced
HB2896 by Leibowitz (Relating to requiring the Texas Residential Construction Commission to adopt forms to be used by builders for contracts for the sale or construction of a new home.), As Introduced
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the Property Code to require the Texas Residential Construction Commission (TRCC) to adopt rules that require builders to use contract forms prepared with the assistance of the Texas Real Estate Broker-Lawyer Committee and adopted by TRCC for the sale or construction of a new home. The rules could not prohibit a builder from using a contract form prepared by the purchaser or prepared by an attorney and required by the purchaser. The bill would include failure to use a contract form required by TRCC under the provisions of the bill as a violation subject to disciplinary action by the TRCC. Based on the analysis of TRCC, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources.
The bill would amend the Property Code to require the Texas Residential Construction Commission (TRCC) to adopt rules that require builders to use contract forms prepared with the assistance of the Texas Real Estate Broker-Lawyer Committee and adopted by TRCC for the sale or construction of a new home. The rules could not prohibit a builder from using a contract form prepared by the purchaser or prepared by an attorney and required by the purchaser. The bill would include failure to use a contract form required by TRCC under the provisions of the bill as a violation subject to disciplinary action by the TRCC.
Based on the analysis of TRCC, it is assumed any costs or duties associated with implementing the provisions of the bill could be absorbed within existing resources.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 370 Residential Construction Commission
370 Residential Construction Commission
LBB Staff: JOB, JRO, TG
JOB, JRO, TG