89R4623 SCR-D
By: Harris Davila H.B. No. 2630
A BILL TO BE ENTITLED
AN ACT
relating to declarant control of certain property owners'
associations.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 209.00591(c), Property Code, is amended
to read as follows:
(c) The declaration may provide for a period of declarant
control of the association during which a declarant, or persons
designated by the declarant, may appoint and remove board members
and the officers of the association, other than board members or
officers elected by members of the property owners' association.
Regardless of the period of declarant control provided by the
declaration:[,]
(1) on or before the 120th day after the date 50
percent of the lots that may be created and made subject to the
declaration are conveyed to owners other than a declarant or a
builder in the business of constructing homes who purchased the
lots from the declarant for the purpose of selling completed homes
built on the lots, at least one board member must be elected by
owners other than the declarant;
(2) on or before the 120th day after the date 75
percent of the lots that may be created and made subject to the
declaration are conveyed as described by Subdivision (1) [to owners
other than a declarant or a builder in the business of constructing
homes who purchased the lots from the declarant for the purpose of
selling completed homes built on the lots], at least one-third of
the board members must be elected by owners other than the
declarant; and
(3) if[. If] the declaration does not include the
number of lots that may be created and made subject to the
declaration, at least one-third of the board members must be
elected by owners other than the declarant not later than the fifth
[10th] anniversary of the date the declaration was recorded.
SECTION 2. Section 209.00591, Property Code, as amended by
this Act, applies to a declaration regardless of whether the
declaration was created or amended before, on, or after the
effective date of this Act.
SECTION 3. This Act takes effect September 1, 2025.