Texas 2025 - 89th Regular

Texas House Bill HB5225 Latest Draft

Bill / Introduced Version Filed 03/14/2025

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                            89R14393 JBD-D
 By: Alders H.B. No. 5225




 A BILL TO BE ENTITLED
 AN ACT
 relating to the powers and duties of certain property owners'
 associations.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 209.0061(b), Property Code, is amended
 to read as follows:
 (b)  A property owners' association board shall adopt an
 enforcement policy regarding the levying of fines by the property
 owners' association. The policy must include:
 (1)  general categories of restrictive covenants for
 which the association may assess fines;
 (2)  a schedule of fines for each category of
 violation; [and]
 (3)  information regarding hearings described by
 Section 209.007; and
 (4)  a restriction on the association's authority to
 impose fines in unreasonable amounts.
 SECTION 2.  Chapter 209, Property Code, is amended by adding
 Section 209.0066 to read as follows:
 Sec. 209.0066.  ASSESSMENTS GENERALLY. (a)  Except as
 otherwise provided by this section, a property owners' association,
 from one year to the next, may not increase by an unreasonable
 amount an assessment a property owner is required to pay.
 (b)  A property owners' association may require a property
 owner to pay an assessment that would otherwise violate Subsection
 (a) if a majority of voters entitled to vote on the matter approve
 the assessment in a vote held as provided for by this chapter or the
 association's dedicatory instruments.
 (c)  A property owners' association board shall adopt a
 policy regarding the levying of assessments related to the
 maintenance or improvement of a common area and fees for the use of
 subdivision amenities.  The policy must include:
 (1)  general categories of restrictive covenants for
 which the association may levy assessments; and
 (2)  a schedule of:
 (A)  assessments for each category of maintenance
 or improvement and for each common area; and
 (B)  fees for the use of subdivision amenities.
 (d)  A property owners' association board may not levy an
 assessment for the maintenance or improvement of a common area
 unless a majority of voters entitled to vote on the matter approve
 the board's policy described by Subsection (c) in a vote held as
 provided for by this chapter or the association's dedicatory
 instruments.
 SECTION 3.  Section 209.0094, Property Code, is amended by
 adding Subsection (h) to read as follows:
 (h)  A property owners' association may not file an
 assessment lien if the debt securing the lien consists solely of a
 minor fine.
 SECTION 4.  Chapter 209, Property Code, is amended by adding
 Sections 209.0151 and 209.0152 to read as follows:
 Sec. 209.0151.  REGULATION OF AESTHETIC IMPROVEMENTS. A
 property owners' association or, if applicable, an architectural
 review authority, as defined by Section 209.00505(a), may not adopt
 or enforce a provision in a dedicatory instrument that prohibits or
 restricts the owner of a lot on which a residence is located from
 making a minor aesthetic improvement to the residence or the lot,
 including painting the residence a color of the owner's choice,
 constructing fencing around the residence, or improving the
 landscaping on the property, provided the improvements would not
 otherwise violate an applicable building code.
 Sec. 209.0152.  REGULATION OF USE OF COMMON AREAS. A
 property owners' association may not adopt or enforce a provision
 in a dedicatory instrument that unreasonably prohibits or restricts
 an owner's use of a common area unless a majority of voters entitled
 to vote on the matter approve the prohibition or restriction in a
 vote held as provided for by this chapter or the association's
 dedicatory instruments.
 SECTION 5.  Section 209.016, Property Code, is amended by
 amending Subsection (b) and adding Subsection (b-1) to read as
 follows:
 (b)  A property owners' association may not adopt or enforce
 a provision in a dedicatory instrument that:
 (1)  requires a lease or rental applicant or a tenant to
 be submitted to and approved for tenancy by the property owners'
 association; [or]
 (2)  requires the following information to be submitted
 to a property owners' association regarding a lease or rental
 applicant or current tenant:
 (A)  a consumer or credit report; or
 (B)  a lease or rental application submitted by
 the applicant, tenant, or that person's agent to the property owner
 or property owner's agent when applying for tenancy; or
 (3)  requires an owner to obtain approval from a
 property owners' association before renting the owner's residence
 as a short-term rental.
 (b-1)  In this section, "short-term rental" means a
 residence that is rented wholly or partly for a fee and for a period
 of less than 30 consecutive days.
 SECTION 6.  Section 209.0094(h), Property Code, as added by
 this Act, applies only to a lien filed on or after the effective
 date of this Act.
 SECTION 7.  This Act takes effect September 1, 2025.