1 | 1 | | 89R1685 PRL-D |
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2 | 2 | | By: Bell of Montgomery H.B. No. 1518 |
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3 | 3 | | |
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4 | 4 | | |
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5 | 5 | | |
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6 | 6 | | |
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7 | 7 | | A BILL TO BE ENTITLED |
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8 | 8 | | AN ACT |
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9 | 9 | | relating to the issuance by the Texas Department of Housing and |
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10 | 10 | | Community Affairs of verified residential rental applications. |
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11 | 11 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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12 | 12 | | SECTION 1. This Act shall be known as the Ready to Rent |
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13 | 13 | | Texas Act. |
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14 | 14 | | SECTION 2. Chapter 92, Property Code, is amended by adding |
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15 | 15 | | Subchapter J to read as follows: |
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16 | 16 | | SUBCHAPTER J. VERIFIED RESIDENTIAL RENTAL APPLICATION |
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17 | 17 | | Sec. 92.361. DEFINITIONS. In this subchapter: |
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18 | 18 | | (1) "Applicant" means a person who makes an |
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19 | 19 | | application to a landlord for rental of a dwelling. |
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20 | 20 | | (2) "Department" means the Texas Department of Housing |
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21 | 21 | | and Community Affairs. |
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22 | 22 | | (3) "Landlord" means a prospective landlord to whom a |
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23 | 23 | | person makes an application for rental of a dwelling. |
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24 | 24 | | (4) "Portal" means the verified residential rental |
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25 | 25 | | application Internet portal established and maintained by the |
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26 | 26 | | department. |
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27 | 27 | | (5) "Verified application" means the verified |
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28 | 28 | | residential rental application issued by the department through the |
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29 | 29 | | portal. |
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30 | 30 | | Sec. 92.362. APPLICATION OF SUBCHAPTER. This subchapter |
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31 | 31 | | applies to all applicants for and landlords of residential rental |
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32 | 32 | | property in this state. |
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33 | 33 | | Sec. 92.363. CONSTRUCTION OF SUBCHAPTER. Nothing in this |
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34 | 34 | | subchapter may be construed to prohibit a landlord from rejecting |
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35 | 35 | | an applicant if the applicant does not meet the landlord's tenant |
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36 | 36 | | selection criteria, including the applicant's: |
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37 | 37 | | (1) criminal history; |
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38 | 38 | | (2) previous rental history; |
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39 | 39 | | (3) current income; |
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40 | 40 | | (4) credit history; or |
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41 | 41 | | (5) guarantor information, as applicable. |
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42 | 42 | | Sec. 92.364. APPLICANT USE OF VERIFIED APPLICATION. An |
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43 | 43 | | applicant for rental of a dwelling completely satisfies any |
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44 | 44 | | application requirements of a landlord by submitting to the |
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45 | 45 | | landlord a verified application issued not earlier than the 90th |
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46 | 46 | | day before the date the application is submitted to the landlord. |
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47 | 47 | | Sec. 92.365. LANDLORD ACCEPTANCE OF VERIFIED APPLICATION. |
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48 | 48 | | A landlord must accept a verified application as completely |
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49 | 49 | | satisfying the landlord's application requirements if the |
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50 | 50 | | application is issued not earlier than the 90th day before the date |
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51 | 51 | | the application is submitted to the landlord by the applicant. |
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52 | 52 | | Sec. 92.366. PROHIBITED APPLICATION DOCUMENTS AND FEES. A |
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53 | 53 | | landlord may not require an applicant to: |
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54 | 54 | | (1) submit a rental application other than a verified |
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55 | 55 | | application; or |
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56 | 56 | | (2) pay an: |
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57 | 57 | | (A) application fee; or |
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58 | 58 | | (B) application deposit. |
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59 | 59 | | Sec. 92.367. VERIFIED RESIDENTIAL RENTAL APPLICATION |
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60 | 60 | | INTERNET PORTAL. (a) In this section: |
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61 | 61 | | (1) "Consumer reporting agency" means any person that, |
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62 | 62 | | for monetary fees or dues or on a cooperative nonprofit basis, |
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63 | 63 | | regularly engages in the practice of assembling or evaluating |
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64 | 64 | | credit information or other information on individuals for the |
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65 | 65 | | purpose of furnishing consumer reports to third parties. |
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66 | 66 | | (2) "Credit report" means a written report of |
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67 | 67 | | information by a consumer reporting agency that bears on an |
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68 | 68 | | individual's creditworthiness, credit standing, or credit |
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69 | 69 | | capacity. |
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70 | 70 | | (3) "Criminal history background check" means a |
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71 | 71 | | written report of an individual's criminal history record |
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72 | 72 | | information, as defined by Section 411.082, Government Code. |
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73 | 73 | | (b) The department shall develop and implement a portal |
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74 | 74 | | through which an applicant may obtain a verified residential rental |
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75 | 75 | | application that the applicant may use to apply for rental of a |
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76 | 76 | | dwelling. |
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77 | 77 | | (c) The portal implemented under Subsection (b) shall |
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78 | 78 | | provide for an applicant to: |
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79 | 79 | | (1) submit the applicant's: |
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80 | 80 | | (A) previous rental history; |
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81 | 81 | | (B) proof of current income; and |
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82 | 82 | | (C) guarantor information, if applicable; |
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83 | 83 | | (2) request and grant permission for the department to |
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84 | 84 | | obtain the applicant's: |
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85 | 85 | | (A) criminal history background check; and |
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86 | 86 | | (B) credit report; |
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87 | 87 | | (3) pay any required fees; and |
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88 | 88 | | (4) access and share the applicant's verified |
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89 | 89 | | application. |
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90 | 90 | | (d) The department may contract with a private vendor for |
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91 | 91 | | the development and implementation of the portal required by |
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92 | 92 | | Subsection (b). |
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93 | 93 | | (e) On submission of a request for a verified application |
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94 | 94 | | and payment of required fees under Subsection (f), the department |
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95 | 95 | | shall: |
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96 | 96 | | (1) obtain the applicant's: |
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97 | 97 | | (A) criminal history background check; and |
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98 | 98 | | (B) credit report; |
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99 | 99 | | (2) verify the applicant's: |
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100 | 100 | | (A) criminal history; |
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101 | 101 | | (B) previous rental history; |
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102 | 102 | | (C) current income; |
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103 | 103 | | (D) credit history; and |
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104 | 104 | | (E) guarantor information, as applicable; |
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105 | 105 | | (3) issue a verified application to the applicant |
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106 | 106 | | through the portal; and |
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107 | 107 | | (4) enable the applicant to share the verified |
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108 | 108 | | application through the portal. |
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109 | 109 | | (f) The department may charge a fee for a verified |
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110 | 110 | | application in an amount reasonable and necessary to administer |
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111 | 111 | | this subchapter. The department may not charge a fee for a criminal |
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112 | 112 | | history background check or a credit report that exceeds the actual |
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113 | 113 | | cost to the department of obtaining the document. |
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114 | 114 | | (g) A verified application issued under this section is |
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115 | 115 | | valid for 90 days. |
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116 | 116 | | SECTION 3. Section 92.102, Property Code, is amended to |
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117 | 117 | | read as follows: |
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118 | 118 | | Sec. 92.102. SECURITY DEPOSIT. A security deposit is any |
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119 | 119 | | advance of money, other than [a rental application deposit or] an |
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120 | 120 | | advance payment of rent, that is intended primarily to secure |
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121 | 121 | | performance under a lease of a dwelling that has been entered into |
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122 | 122 | | by a landlord and a tenant. |
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123 | 123 | | SECTION 4. Subchapter I, Chapter 92, Property Code, is |
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124 | 124 | | repealed. |
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125 | 125 | | SECTION 5. Not later than December 31, 2025, the Department |
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126 | 126 | | of Housing and Community Affairs shall make available to the public |
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127 | 127 | | the verified residential rental application Internet portal |
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128 | 128 | | required by Section 92.367, Property Code, as added by this Act. |
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129 | 129 | | SECTION 6. This Act takes effect January 1, 2026. |
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