87R6378 SGM-D
By: Reynolds H.B. No. 2537
A BILL TO BE ENTITLED
AN ACT
relating to county regulation of short-term rental units in the
unincorporated area of certain counties; authorizing a civil
penalty; authorizing a fee.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Chapter 240, Local Government Code, is amended
by adding Subchapter F to read as follows:
SUBCHAPTER F. REGULATION OF SHORT-TERM RENTAL UNITS IN CERTAIN
COUNTIES
Sec. 240.101. DEFINITIONS. In this subchapter:
(1) "Permit" means a permit issued under this
subchapter for the rental of a short-term rental unit.
(2) "Short-term rental unit" means a dwelling that is:
(A) used or designed to be used as the home of a
person, family, or household, including a single-family dwelling or
a unit in a multi-unit building, including an apartment,
condominium, cooperative, or timeshare; and
(B) rented wholly or partly for a fee and for a
period of less than 30 consecutive days.
(3) "Unit provider" means a person who rents a
short-term rental unit to another person.
Sec. 240.102. APPLICABILITY OF SUBCHAPTER. This subchapter
applies only to a county with a population of 585,000 or more that
is adjacent to a county with a population of 4 million or more.
Sec. 240.103. AUTHORITY TO REGULATE SHORT-TERM RENTAL
UNITS. (a) In accordance with this subchapter, the commissioners
court of a county by order may regulate short-term rental units
located in the unincorporated area of the county.
(b) A county regulation applicable to a short-term rental
unit may require the unit provider to:
(1) register the unit and obtain a permit under this
subchapter; and
(2) provide the contact information for the person
responsible for responding to complaints regarding the unit.
(c) If a county adopts a registration requirement for unit
providers under Subsection (b), a unit provider may not rent a
dwelling to another person as a short-term rental unit unless the
unit provider has a permit issued under this subchapter.
Sec. 240.104. REGISTRATION PERMITS; FEES. (a) A county
that adopts a registration requirement under Section
240.103(b)(1):
(1) shall approve or deny a registration application
not later than the 45th calendar day after the date the county
receives the application; and
(2) may require the applicant to affirm that the unit
does not violate any rules or bylaws of any condominium,
cooperative, property owners' association, or other similar entity
that has jurisdiction over the property in which the unit is
located.
(b) If the county approves a registration application, the
county shall issue to the applicant a permit that is valid for at
least one year.
(c) A county may not charge a registration fee in an amount
greater than the lesser of:
(1) the amount to cover the administrative costs of
enforcing the registration requirement; or
(2) $450.
(d) A county may not restrict the number of permits issued
under this subchapter.
(e) If a county fails to approve or deny a registration
application in accordance with Subsection (a)(1), the registration
is considered approved.
(f) A permit holder may not transfer a permit to another
person.
Sec. 240.105. COMPLAINTS. (a) A county that adopts a
registration requirement under Section 240.103 shall maintain an
Internet website or a telephone hotline that provides the contact
information of permit holders to members of the public for the
purpose of contacting permit holders regarding complaints about
short-term rental units.
(b) A permit holder shall keep the permit holder's current
contact information on file with the county, including the permit
holder's name, telephone number, and e-mail address.
Sec. 240.106. ENFORCEMENT; CIVIL PENALTY. (a) A county may
suspend a permit for a period not to exceed one year if the permit
holder violates a regulation adopted under this subchapter.
(b) A county may assess a civil penalty against a permit
holder not to exceed $200 per day for a violation under this
subchapter.
Sec. 240.107. CONSTRUCTION OF SUBCHAPTER. This subchapter
does not prohibit:
(1) a condominium, cooperative, property owners'
association, or other similar entity from prohibiting or otherwise
restricting an owner of property within the entity's jurisdiction
from using the property as a short-term rental unit;
(2) a lessor, through the terms of a lease agreement,
from restricting the use of the leased property as a short-term
rental unit; or
(3) a property owner from placing a restrictive
covenant or easement on the property that restricts the future use
of the property as a short-term rental unit.
SECTION 2. This Act takes effect September 1, 2021.