Texas House Bill HB5225

Texas 2025 - 89th Regular

• Filed: 3/14/25

Caption

Relating to the powers and duties of certain property owners' associations.

Impact

This bill will primarily impact the operations of property owners' associations across Texas by restricting their authority to levy assessments and enforce fines without community consent. Specifically, amendments require that any significant increases in assessments need majority approval from the membership. This legislature aims to enhance transparency and accountability within associations, ideally leading to a fairer and more equitable way of addressing community financial responsibilities.

Summary

House Bill 5225 seeks to amend the Texas Property Code to redefine the powers and duties of property owners' associations (POAs). The main thrust of the bill is to regulate the enforcement of fines and assessments imposed by these associations, ensuring that they cannot impose unreasonable financial burdens on property owners without proper oversight. It mandates that associations must adopt clear policies regarding both the levying of fines and the implementation of assessments for maintenance or improvements, which must be approved by a majority of voters within the association.

Contention

Some notable points of contention surrounding HB 5225 include the balance between homeowners' rights and the regulatory power of property owners' associations. Proponents argue that the bill will uphold homeowners' autonomy, especially concerning aesthetic decisions and minor improvements that enhance property value. Conversely, opponents may argue that limiting the authority of associations could undermine their ability to maintain community standards and aesthetics, potentially leading to disputes within neighborhoods regarding property values and maintenance norms.

Texas Constitutional Statutes Affected

Property Code

• Chapter 209. Texas Residential Property Owners Protection Act
  • Section: 0061
  • Section: New Section
  • Section: 0094