88R25774 ATP-F By: Burns H.B. No. 1786 A BILL TO BE ENTITLED AN ACT relating to the amendment of restrictive covenants of certain residential subdivisions. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 202, Property Code, is amended by adding Section 202.024 to read as follows: Sec. 202.024. RESIDENTIAL SUBDIVISION WITHOUT MANDATORY PROPERTY OWNERS' ASSOCIATION. (a) In this section, "dedicatory instrument" includes a deed containing a restrictive covenant. (b) This section applies only to residential subdivisions whose dedicatory instruments do not require membership in a property owners' association. (c) The dedicatory instruments of a residential subdivision described by Subsection (b) may not be amended unless notice of the proposed amendment is provided by certified mail, return receipt requested, to each property owner in the residential subdivision, at the owner's mailing address according to the records of the appraisal district in which the property is located. The notice must: (1) contain the text of the amendment; (2) contain a ballot that the owner may return to an address stated on the ballot in order to cast the owner's vote; (3) state a deadline to return the ballot, which may not be less than 60 days after the date the notice is sent; and (4) identify an individual or entity who will tabulate the ballots and include the individual's or entity's mailing address. (d) The individual or entity who tabulates the ballots must retain the ballots for at least 180 days after the deadline provided by Subsection (c)(3). (e) If within the ballot retention period provided by Subsection (d), a property owner in the residential subdivision sends a request by certified mail, return receipt requested, to the ballot tabulator at the address given under Subsection (c)(4), the ballot tabulator must provide the owner a copy of all ballots in electronic or paper form. (f) A dedicatory instrument amendment that receives the required vote in order to be adopted in accordance with the terms of the dedicatory instrument may not be filed of record until the 30th day after the expiration of the ballot retention period provided by Subsection (d). (g) This section supersedes any contrary requirement in a dedicatory instrument. SECTION 2. This Act takes effect September 1, 2023.