Texas House Bill HB2471

Texas 2025 - 89th Regular

• Filed: 2/5/25

Caption

Relating to security deposits collected by a municipal utility district.

Impact

If enacted, HB2471 would significantly alter the process by which municipal utility districts manage security deposits, ensuring that landlords are not unfairly penalized for damages caused by tenants, and vice versa. This change is expected to create a more equitable distribution of responsibility between landlords and tenants regarding utility-related damages, potentially leading to improved relationships in landlord-tenant dynamics. The bill's provisions may also reduce the administrative burden on districts managing these deposits and disputes.

Summary

House Bill 2471 proposes amendments to the Texas Water Code specifically concerning the handling of security deposits collected by municipal utility districts. The bill establishes that when a district collects separate security deposits from a landlord and a tenant, any deductions for damages or charges must be made solely from the deposit of the individual directly responsible for those damages or charges. This aims to clarify the obligations and rights pertaining to security deposits within rental agreements involving utilities.

Contention

While the bill appears straightforward, there may be points of contention regarding its implementation and enforcement. Concerns could arise over the clarity of determining who is 'directly responsible' for damages and how disputes will be managed when landlords and tenants disagree over responsibility. Furthermore, stakeholders may debate the need for additional regulations to further protect the interests of both landlords and tenants, particularly in contexts where the relationship is already strained.

Texas Constitutional Statutes Affected

Water Code

• Chapter 54. Municipal Utility Districts
  • Section: New Section