Texas 2021 - 87th Regular

Texas House Bill HB1864 Compare Versions

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

Old	New	Differences
1	1	87R4486 SMT-D
2	2	By: Lucio III H.B. No. 1864
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the authority of the Texas Department of Insurance and
8	8	the Texas Windstorm Insurance Association to issue certificates of
9	9	compliance for association coverage.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 2210.251(g), Insurance Code, is amended
12	12	to read as follows:
13	13	(g) A certificate of compliance issued by the department or
14	14	association under Section 2210.2515 demonstrates compliance with
15	15	the applicable building code under the plan of operation. The
16	16	certificate is evidence of insurability of the structure by the
17	17	association.
18	18	SECTION 2. Section 2210.2515, Insurance Code, is amended by
19	19	amending Subsections (c), (c-1), (i), and (k) and adding Subsection
20	20	(f) to read as follows:
21	21	(c) A person may apply to the association [department] on a
22	22	form prescribed by the department for a certificate of compliance
23	23	for a completed improvement. The association [department] shall
24	24	issue a certificate of compliance for a completed improvement if a
25	25	professional engineer licensed by the Texas Board of Professional
26	26	Engineers and Land Surveyors:
27	27	(1) has designed the improvement, has affixed the
28	28	engineer's seal on the design, and submits to the association
29	29	[department] on a form prescribed by the department an affirmation
30	30	that the design complies with the applicable building code under
31	31	the plan of operation and that the improvement was constructed in
32	32	accordance with the design; or
33	33	(2) completes and submits to the association
34	34	[department] a sealed post-construction evaluation report that:
35	35	(A) confirms the improvement's compliance with
36	36	the applicable building code under the plan of operation; and
37	37	(B) includes documentation supporting the
38	38	engineer's post-construction evaluation report on a form
39	39	prescribed by the department on which the engineer has affixed the
40	40	engineer's seal.
41	41	(c-1) The association [department] may deny an application
42	42	for a certificate of compliance under Subsection (c) if the
43	43	evaluation report or the form prescribed by the department under
44	44	Subsection (c)(1) is not fully documented as required under
45	45	Subsection (c).
46	46	(f) If the department determines not to issue a certificate
47	47	of compliance under Subsection (e), a person may apply for a
48	48	certificate of compliance under Subsection (c).
49	49	(i) The association [department] is authorized to submit a
50	50	formal complaint under Chapter 1001, Occupations Code, to the Texas
51	51	Board of Professional Engineers and Land Surveyors related to the
52	52	engineering work of a professional engineer as reflected in the
53	53	sealed post-construction evaluation report or other materials
54	54	submitted by an engineer under Subsection (c).
55	55	(k) The department or association may rescind a certificate
56	56	of compliance issued under this section if the department finds
57	57	that the improvement does not comply with the applicable building
58	58	code under the plan of operation. The commissioner may adopt rules
59	59	as necessary to implement this subsection.
60	60	SECTION 3. The commissioner of insurance shall adopt rules
61	61	to implement this Act not later than December 31, 2021.
62	62	SECTION 4. Section 2210.2515, Insurance Code, as amended by
63	63	this Act, applies only to an application for a certificate of
64	64	compliance made on or after January 1, 2022. An application for a
65	65	certificate of compliance made before January 1, 2022, is governed
66	66	by the law as it existed immediately before the effective date of
67	67	this Act, and that law is continued in effect for that purpose.
68	68	SECTION 5. This Act takes effect September 1, 2021.