Texas 2025 89th Regular

Texas House Bill HB1926 Analysis / Analysis

Filed 04/17/2025

                    BILL ANALYSIS             H.B. 1926     By: Darby     Trade, Workforce & Economic Development     Committee Report (Unamended)             BACKGROUND AND PURPOSE    According to the Texas Real Estate & Probate Institute, the Business Organizations Code provides that all corporations may vote and conduct meetings using electronic and telephonic means. However, the bill author has informed the committee that certain sections of the Property Code apply to the meetings of property owners' associations, which are considered nonprofit corporations, creating inconsistencies. The bill author has further informed the committee that the Property Code contains outdated statutory citations. H.B. 1926 seeks to address these inconsistencies by amending Property Code provisions relating to condominium unit owners' associations and property owners' associations to conform to applicable Business Organizations Code provisions.        CRIMINAL JUSTICE IMPACT   It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.       RULEMAKING AUTHORITY    It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.       ANALYSIS    H.B. 1926 amends the Property Code to update provisions of the Uniform Condominium Act and the Texas Residential Property Owners Protection Act as follows:        authorizes a meeting of a condominium unit owners' association or a property owners' association (POA) to be held by any method of communication, including electronic and telephonic means, as provided by Business Organizations Code provisions relating to alternative forms of meetings;        replaces outdated references to the Business Corporation Act and the Texas Non-Profit Corporation Act in provisions relating to the organization of a condominium unit owners' association and certain meeting notice requirements with references to applicable Business Organizations Code provisions; and        authorizes voting in a condominium unit owners' association meeting or POA meeting to be conducted electronically or by electronic ballot, respectively.       EFFECTIVE DATE    September 1, 2025.

BILL ANALYSIS



# BILL ANALYSIS

H.B. 1926
By: Darby
Trade, Workforce & Economic Development
Committee Report (Unamended)



H.B. 1926

By: Darby

Trade, Workforce & Economic Development

Committee Report (Unamended)

BACKGROUND AND PURPOSE    According to the Texas Real Estate & Probate Institute, the Business Organizations Code provides that all corporations may vote and conduct meetings using electronic and telephonic means. However, the bill author has informed the committee that certain sections of the Property Code apply to the meetings of property owners' associations, which are considered nonprofit corporations, creating inconsistencies. The bill author has further informed the committee that the Property Code contains outdated statutory citations. H.B. 1926 seeks to address these inconsistencies by amending Property Code provisions relating to condominium unit owners' associations and property owners' associations to conform to applicable Business Organizations Code provisions.
CRIMINAL JUSTICE IMPACT   It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.
RULEMAKING AUTHORITY    It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.
ANALYSIS    H.B. 1926 amends the Property Code to update provisions of the Uniform Condominium Act and the Texas Residential Property Owners Protection Act as follows:        authorizes a meeting of a condominium unit owners' association or a property owners' association (POA) to be held by any method of communication, including electronic and telephonic means, as provided by Business Organizations Code provisions relating to alternative forms of meetings;        replaces outdated references to the Business Corporation Act and the Texas Non-Profit Corporation Act in provisions relating to the organization of a condominium unit owners' association and certain meeting notice requirements with references to applicable Business Organizations Code provisions; and        authorizes voting in a condominium unit owners' association meeting or POA meeting to be conducted electronically or by electronic ballot, respectively.
EFFECTIVE DATE    September 1, 2025.



BACKGROUND AND PURPOSE

According to the Texas Real Estate & Probate Institute, the Business Organizations Code provides that all corporations may vote and conduct meetings using electronic and telephonic means. However, the bill author has informed the committee that certain sections of the Property Code apply to the meetings of property owners' associations, which are considered nonprofit corporations, creating inconsistencies. The bill author has further informed the committee that the Property Code contains outdated statutory citations. H.B. 1926 seeks to address these inconsistencies by amending Property Code provisions relating to condominium unit owners' associations and property owners' associations to conform to applicable Business Organizations Code provisions.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 1926 amends the Property Code to update provisions of the Uniform Condominium Act and the Texas Residential Property Owners Protection Act as follows:

authorizes a meeting of a condominium unit owners' association or a property owners' association (POA) to be held by any method of communication, including electronic and telephonic means, as provided by Business Organizations Code provisions relating to alternative forms of meetings;

replaces outdated references to the Business Corporation Act and the Texas Non-Profit Corporation Act in provisions relating to the organization of a condominium unit owners' association and certain meeting notice requirements with references to applicable Business Organizations Code provisions; and

authorizes voting in a condominium unit owners' association meeting or POA meeting to be conducted electronically or by electronic ballot, respectively.

EFFECTIVE DATE

September 1, 2025.