81R11118 PMO-D
By: Guillen H.B. No. 3928
A BILL TO BE ENTITLED
AN ACT
relating to proof of ownership of homestead property after a
disaster.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter H, Chapter 418, Government Code, is
amended by adding Section 418.198 to read as follows:
Sec. 418.198. PROOF OF OWNERSHIP OF HOMESTEAD. (a) In this
chapter:
(1) "Governmental entity" means an agency of this
state or political subdivision of this state or the federal
government.
(2) "Public benefit" includes federal, state, or local
financial assistance.
(b) A person may demonstrate ownership of the person's
homestead if:
(1) the person is applying for a public benefit to
improve real property damaged as a result of a natural disaster; and
(2) any part of the property is located in an area
designated by:
(A) an executive order or proclamation issued by
the governor under this chapter declaring a state of disaster as a
result of a natural disaster, such as a hurricane or tornado; or
(B) a declaration of the president of the United
States under the Robert T. Stafford Disaster Relief and Emergency
Assistance Act (42 U.S.C. Section 5121 et seq.), declaring a major
disaster as a result of a natural disaster, such as a hurricane or
tornado.
(c) A person may demonstrate ownership of the person's
homestead by proving that the person was in possession of the real
property on the date of the natural disaster that severely damaged
or destroyed the real property and:
(1) proving that the person is the record title holder
of the real property; or
(2) providing two or more of the following documents
to establish ownership of the property for purposes of this section
only:
(A) an escrow or title insurance company document
relating to the purchase of the property;
(B) a mortgage payment book or other mortgage
documents that list the person's name and the property's address;
(C) a policy of real property insurance showing
the person as the named insured and the property as the insured
property;
(D) an affidavit of heirship; or
(E) a property tax bill or receipt showing the
person as the party responsible for the assessments and the
property as the taxed parcel.
(d) A person proving ownership under this section who cannot
locate other persons who may have an ownership interest in the
person's homestead property:
(1) shall publish a notice in a newspaper of general
circulation in the county in which the property is located stating
that a claim for public benefits, which may be secured by a lien on
the property under this section, is being made with a governmental
entity; and
(2) may accept a public benefit only if, after the 45th
day after the date the notice is published, no other person claiming
an ownership interest in the homestead property objects to the
claim for public benefits under this section.
(e) Any debt or other obligation incurred by the person who
obtains a public benefit under Subsection (d) to improve the
property is secured by a lien on the property to the extent of the
value of the improvements made to the property.
(f) The validity of a lien under Subsection (e) may be
challenged by a person who may have an ownership interest in the
homestead property, other than the person who made the claim for
public benefits under this section, not later than the first
anniversary of the date the notice was published under Subsection
(d).
SECTION 2. This Act takes effect September 1, 2009.