LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION March 31, 2011 TO: Honorable Joe Deshotel, Chair, House Committee on Business & Industry FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB565 by Solomons (Relating to the procedures required for the foreclosure of a property owners' association's assessment lien.), Committee Report 1st House, Substituted No significant fiscal implication to the State is anticipated. The bill would amend the the Property Code relating to the procedures required for the foreclosure of a property owners' association's assessment lien. This provision would change the procedures required for the foreclosure of a property owners associations assessment lien by requiring that a property owners association must first obtain a court order in an application for expedited foreclosure before foreclosing on a property owners association assessment lien. The proposed amendment would require the Supreme Court, under its authority based upon Government Code, Section 74.024, to adopt rules by January 1, 2012, establishing expedited foreclosure procedures for use by a property owners association in foreclosing an assessment lien of the association. The rules to be adopted must be substantially similar to the rules adopted by the Supreme Court under Section 50 (r), Article XVI, Texas Constitution, and must require personal service on the record owner of the property of a copy of the notice and application for foreclosure of the lien. The proposed amendment also includes a provision which would allow the owner of the property that is subject to foreclosure to waive in writing the expedited foreclosure proceedings. The bill would take effect September 1, 2011. Local Government Impact No significant fiscal implication to units of local government is anticipated. Source Agencies:212 Office of Court Administration, Texas Judicial Council LBB Staff: JOB, AG, JP
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 82ND LEGISLATIVE REGULAR SESSION
March 31, 2011
TO: Honorable Joe Deshotel, Chair, House Committee on Business & Industry FROM: John S O'Brien, Director, Legislative Budget Board IN RE:HB565 by Solomons (Relating to the procedures required for the foreclosure of a property owners' association's assessment lien.), Committee Report 1st House, Substituted
TO: Honorable Joe Deshotel, Chair, House Committee on Business & Industry
FROM: John S O'Brien, Director, Legislative Budget Board
IN RE: HB565 by Solomons (Relating to the procedures required for the foreclosure of a property owners' association's assessment lien.), Committee Report 1st House, Substituted
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
HB565 by Solomons (Relating to the procedures required for the foreclosure of a property owners' association's assessment lien.), Committee Report 1st House, Substituted
HB565 by Solomons (Relating to the procedures required for the foreclosure of a property owners' association's assessment lien.), Committee Report 1st House, Substituted
No significant fiscal implication to the State is anticipated.
No significant fiscal implication to the State is anticipated.
The bill would amend the the Property Code relating to the procedures required for the foreclosure of a property owners' association's assessment lien. This provision would change the procedures required for the foreclosure of a property owners associations assessment lien by requiring that a property owners association must first obtain a court order in an application for expedited foreclosure before foreclosing on a property owners association assessment lien. The proposed amendment would require the Supreme Court, under its authority based upon Government Code, Section 74.024, to adopt rules by January 1, 2012, establishing expedited foreclosure procedures for use by a property owners association in foreclosing an assessment lien of the association. The rules to be adopted must be substantially similar to the rules adopted by the Supreme Court under Section 50 (r), Article XVI, Texas Constitution, and must require personal service on the record owner of the property of a copy of the notice and application for foreclosure of the lien. The proposed amendment also includes a provision which would allow the owner of the property that is subject to foreclosure to waive in writing the expedited foreclosure proceedings. The bill would take effect September 1, 2011.
The bill would amend the the Property Code relating to the procedures required for the foreclosure of a property owners' association's assessment lien. This provision would change the procedures required for the foreclosure of a property owners associations assessment lien by requiring that a property owners association must first obtain a court order in an application for expedited foreclosure before foreclosing on a property owners association assessment lien.
The proposed amendment would require the Supreme Court, under its authority based upon Government Code, Section 74.024, to adopt rules by January 1, 2012, establishing expedited foreclosure procedures for use by a property owners association in foreclosing an assessment lien of the association. The rules to be adopted must be substantially similar to the rules adopted by the Supreme Court under Section 50 (r), Article XVI, Texas Constitution, and must require personal service on the record owner of the property of a copy of the notice and application for foreclosure of the lien. The proposed amendment also includes a provision which would allow the owner of the property that is subject to foreclosure to waive in writing the expedited foreclosure proceedings.
The bill would take effect September 1, 2011.
Local Government Impact
No significant fiscal implication to units of local government is anticipated.
Source Agencies: 212 Office of Court Administration, Texas Judicial Council
212 Office of Court Administration, Texas Judicial Council
LBB Staff: JOB, AG, JP
JOB, AG, JP