Texas 2021 - 87th Regular

Texas Senate Bill SB754 Compare Versions

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11 87R2204 BEE-F
22 By: Miles S.B. No. 754
33
44
55 A BILL TO BE ENTITLED
66 AN ACT
77 relating to the amendment of a dedicatory instrument to remove a
88 discriminatory provision.
99 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1010 SECTION 1. Title 11, Property Code, is amended by adding
1111 Chapter 216 to read as follows:
1212 CHAPTER 216. AMENDMENT OF DEDICATORY INSTRUMENT TO REMOVE
1313 DISCRIMINATORY PROVISION
1414 SUBCHAPTER A. GENERAL PROVISIONS
1515 Sec. 216.001. DEFINITIONS. In this chapter:
1616 (1) "Dedicatory instrument," "petition," "property
1717 owners' association," and "restrictive covenant" have the meanings
1818 assigned by Section 202.001.
1919 (2) "Discriminatory provision" means a restrictive
2020 covenant, whether express or incorporated by reference, that:
2121 (A) prohibits the use by or the sale, lease, or
2222 transfer of real property or an interest in real property to a
2323 person because of race, color, religion, or national origin; and
2424 (B) is void under Section 5.026.
2525 Sec. 216.002. APPLICABILITY OF CHAPTER. This chapter
2626 applies to any dedicatory instrument, regardless of the date on
2727 which the instrument was recorded.
2828 Sec. 216.003. CONFLICTS WITH OTHER LAW. To the extent of
2929 any conflict between this chapter and any other provision of this
3030 code, this chapter prevails.
3131 Sec. 216.004. CERTAIN AMENDMENTS VOID. An amendment to a
3232 dedicatory instrument under this chapter that amends a provision
3333 other than a discriminatory provision is void.
3434 SUBCHAPTER B. PROPERTY SUBJECT TO PROPERTY OWNERS' ASSOCIATION
3535 Sec. 216.011. REMOVAL OF DISCRIMINATORY PROVISION BY
3636 PROPERTY OWNERS' ASSOCIATION. (a) The governing body of a property
3737 owners' association may amend a dedicatory instrument to remove a
3838 discriminatory provision by a majority vote of the governing body:
3939 (1) on its own motion; or
4040 (2) on the motion of a member of the property owners'
4141 association.
4242 (b) An amendment adopted under this section is effective if
4343 the amendment:
4444 (1) indicates that the amendment is adopted under
4545 authority of this section by specifically referring to this
4646 section;
4747 (2) is signed by a majority of the governing body; and
4848 (3) is filed in the real property records of each
4949 county in which property subject to the discriminatory provision is
5050 located.
5151 Sec. 216.012. REMOVAL OF DISCRIMINATORY PROVISION BY
5252 OWNERS. (a) This section applies only to a dedicatory instrument
5353 that contains provisions for the circulation of a petition by the
5454 owners of property in the subdivision or development to amend the
5555 dedicatory instrument.
5656 (b) The governing body of a property owners' association
5757 shall amend a dedicatory instrument to remove a discriminatory
5858 provision if a petition to remove the provision:
5959 (1) is circulated in accordance with the provisions of
6060 the dedicatory instrument; and
6161 (2) without regard to any threshold for approval of a
6262 petition established by the dedicatory instrument, is approved by
6363 the owners of at least 10 percent of the total number of lots or
6464 units subject to the dedicatory instrument.
6565 (c) An amendment adopted under this section is effective if
6666 the amendment:
6767 (1) indicates that the amendment is adopted under
6868 authority of this section by specifically referring to this
6969 section; and
7070 (2) is filed in the real property records of each
7171 county in which property subject to the dedicatory instrument is
7272 located.
7373 SUBCHAPTER C. PROPERTY NOT SUBJECT TO PROPERTY OWNERS' ASSOCIATION
7474 Sec. 216.021. APPLICABILITY OF SUBCHAPTER. This subchapter
7575 applies only to a dedicatory instrument that does not establish a
7676 property owners' association.
7777 Sec. 216.022. AMENDMENT TO REMOVE DISCRIMINATORY
7878 PROVISION. An amendment may be filed in accordance with this
7979 subchapter to amend a dedicatory instrument to remove a
8080 discriminatory provision.
8181 Sec. 216.023. AMENDMENT COMMITTEE. (a) Three or more
8282 owners of property subject to a dedicatory instrument that contains
8383 a discriminatory provision may form an amendment committee for the
8484 sole purpose of amending the dedicatory instrument to remove the
8585 discriminatory provision.
8686 (b) Only one amendment committee may operate under this
8787 subchapter at one time. If more than one committee files notice of
8888 the committee's formation for the same property subject to a
8989 dedicatory instrument, the first committee that files a notice in
9090 compliance with Section 216.024 has the authority to act under this
9191 subchapter.
9292 Sec. 216.024. NOTICE OF AMENDMENT COMMITTEE FORMATION. (a)
9393 An amendment committee formed under Section 216.023 shall file
9494 written notice of the committee's formation with the county clerk
9595 of each county in which property subject to the dedicatory
9696 instrument is located.
9797 (b) The notice of the amendment committee's formation must
9898 contain:
9999 (1) a statement that an amendment committee has been
100100 formed to amend a dedicatory instrument to remove a discriminatory
101101 provision;
102102 (2) the name and residential address of each amendment
103103 committee member;
104104 (3) a reference to the real property records or map or
105105 plat records where the dedicatory instrument that contains the
106106 discriminatory provision sought to be removed is recorded and the
107107 name of the subdivision or development, as applicable; and
108108 (4) a copy of the proposed amendment to the dedicatory
109109 instrument that indicates the deletion of the discriminatory
110110 provision from the original restrictive covenant or that restates
111111 the original restrictive covenant without the discriminatory
112112 provision.
113113 (c) Before filing the notice of the amendment committee's
114114 formation under Subsection (a), each amendment committee member
115115 must sign and acknowledge the notice before a notary or other
116116 official authorized to take acknowledgments.
117117 (d) A county clerk who receives a notice of an amendment
118118 committee's formation under Subsection (a) shall enter the filing
119119 date and record the notice in the county's real property records.
120120 Sec. 216.025. NOTICE TO PROPERTY OWNERS. (a) Not later
121121 than the 30th day after the date notice of the amendment committee's
122122 formation is filed with the county clerk, the amendment committee
123123 shall provide a copy of the notice of the amendment committee's
124124 formation to the owners of property subject to the dedicatory
125125 instrument.
126126 (b) Notice may be provided under Subsection (a) by:
127127 (1) publishing a copy of the notice of the amendment
128128 committee's formation at least once a week for two consecutive
129129 weeks in a newspaper of general circulation in each county in which
130130 property subject to the dedicatory instrument is located;
131131 (2) mailing a copy of the notice of the amendment
132132 committee's formation by first class mail to the owner of each lot
133133 or unit subject to the dedicatory instrument as of the date the
134134 notice is given; or
135135 (3) posting a copy of the notice of the amendment
136136 committee's formation in a conspicuous manner reasonably designed
137137 to provide notice to owners of property subject to the dedicatory
138138 instrument, including:
139139 (A) in a common area or at an entrance to the
140140 subdivision or development;
141141 (B) with the consent of the owner, on
142142 conspicuously located private property; or
143143 (C) on any Internet website maintained by the
144144 subdivision or development or other Internet media.
145145 Sec. 216.026. OBJECTION TO AMENDMENT BY PROPERTY OWNERS.
146146 (a) The owner of property subject to a dedicatory instrument
147147 proposed to be amended under a notice of an amendment committee's
148148 formation may file an objection to the proposed amendment.
149149 (b) An objection under Subsection (a) is effective only if
150150 the objection is:
151151 (1) signed by the owners of at least 25 percent of the
152152 units or lots subject to the dedicatory instrument proposed to be
153153 amended; and
154154 (2) filed with the county clerk of each county in which
155155 the notice of the amendment committee's formation was filed not
156156 later than the 90th day after the date the notice of the amendment
157157 committee's formation was filed with the county clerk.
158158 Sec. 216.027. EFFECTIVE DATE OF AMENDMENT. If an objection
159159 is not filed in accordance with Section 216.026, the proposed
160160 amendment contained in the notice of the amendment committee's
161161 formation filed under Section 216.024(a) becomes effective on the
162162 date the notice is filed.
163163 Sec. 216.028. DISSOLUTION OF COMMITTEE. (a) A committee
164164 that does not file an amendment to a dedicatory instrument before
165165 the 120th day after the date the notice of the amendment committee's
166166 formation is filed with the county clerk is dissolved.
167167 (b) An amendment filed by a dissolved committee is void.
168168 SECTION 2. This Act takes effect immediately if it receives
169169 a vote of two-thirds of all the members elected to each house, as
170170 provided by Section 39, Article III, Texas Constitution. If this
171171 Act does not receive the vote necessary for immediate effect, this
172172 Act takes effect September 1, 2021.