| 1 | 1 | | H.B. No. 614 |
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| 2 | 2 | | |
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| 3 | 3 | | |
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| 4 | 4 | | AN ACT |
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| 5 | 5 | | relating to property owners' association fines. |
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| 6 | 6 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 7 | 7 | | SECTION 1. Chapter 209, Property Code, is amended by adding |
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| 8 | 8 | | Section 209.0061 to read as follows: |
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| 9 | 9 | | Sec. 209.0061. ASSOCIATION POLICY; FINES. (a) This |
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| 10 | 10 | | section does not apply to a property owners' association that is not |
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| 11 | 11 | | authorized by the association's dedicatory instrument to levy a |
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| 12 | 12 | | fine. |
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| 13 | 13 | | (b) A property owners' association board shall adopt an |
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| 14 | 14 | | enforcement policy regarding the levying of fines by the property |
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| 15 | 15 | | owners' association. The policy must include: |
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| 16 | 16 | | (1) general categories of restrictive covenants for |
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| 17 | 17 | | which the association may assess fines; |
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| 18 | 18 | | (2) a schedule of fines for each category of |
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| 19 | 19 | | violation; and |
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| 20 | 20 | | (3) information regarding hearings described by |
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| 21 | 21 | | Section 209.007. |
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| 22 | 22 | | (c) The enforcement policy adopted pursuant to Subsection |
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| 23 | 23 | | (b) may reserve the board's authority to levy a fine from the |
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| 24 | 24 | | schedule of fines that varies on a case-by-case basis. |
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| 25 | 25 | | (d) Each property owners' association shall: |
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| 26 | 26 | | (1) provide a copy of the policy to an owner of each |
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| 27 | 27 | | property in the subdivision by: |
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| 28 | 28 | | (A) posting the policy on an Internet website |
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| 29 | 29 | | maintained by the property owners' association or an agent acting |
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| 30 | 30 | | on behalf of the association and accessible to members of the |
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| 31 | 31 | | association; or |
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| 32 | 32 | | (B) annually sending a copy of the policy, |
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| 33 | 33 | | separately or included in routine communication from the property |
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| 34 | 34 | | owners' association to property owners, by: |
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| 35 | 35 | | (i) hand delivery to the owner; |
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| 36 | 36 | | (ii) first class mail to the owner's last |
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| 37 | 37 | | known mailing address; or |
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| 38 | 38 | | (iii) e-mail to an e-mail address provided |
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| 39 | 39 | | to the property owners' association by the owner; and |
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| 40 | 40 | | (2) make the policy available on any publicly |
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| 41 | 41 | | accessible Internet website maintained by the property owners' |
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| 42 | 42 | | association or an agent acting on behalf of the association. |
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| 43 | 43 | | SECTION 2. Section 209.0061, Property Code, as added by |
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| 44 | 44 | | this Act, applies only to a fine that becomes due on or after the |
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| 45 | 45 | | effective date of this Act. A fine that becomes due before the |
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| 46 | 46 | | effective date of this Act is governed by the law in effect |
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| 47 | 47 | | immediately before the effective date of this Act, and that law is |
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| 48 | 48 | | continued in effect for that purpose. |
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| 49 | 49 | | SECTION 3. This Act takes effect January 1, 2024. |
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| 50 | 50 | | ______________________________ ______________________________ |
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| 51 | 51 | | President of the Senate Speaker of the House |
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| 52 | 52 | | I certify that H.B. No. 614 was passed by the House on May 9, |
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| 53 | 53 | | 2023, by the following vote: Yeas 138, Nays 1, 2 present, not |
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| 54 | 54 | | voting. |
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| 55 | 55 | | ______________________________ |
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| 56 | 56 | | Chief Clerk of the House |
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| 57 | 57 | | I certify that H.B. No. 614 was passed by the Senate on May |
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| 58 | 58 | | 23, 2023, by the following vote: Yeas 31, Nays 0. |
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| 59 | 59 | | ______________________________ |
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| 60 | 60 | | Secretary of the Senate |
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| 61 | 61 | | APPROVED: _____________________ |
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| 62 | 62 | | Date |
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| 63 | 63 | | _____________________ |
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| 64 | 64 | | Governor |
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