By: Flores, Bettencourt S.B. No. 785
A BILL TO BE ENTITLED
AN ACT
relating to the regulation of new HUD-code manufactured housing.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1201.008, Occupations Code, is amended
by amending Subsections (b) and (d) and adding Subsections (d-1),
(g), and (h) to read as follows:
(b) Subject to Subsection (g), on [On] application, the
municipality shall permit the installation of a HUD-code
manufactured home for use as a dwelling in any area determined
appropriate by the municipality, including a subdivision, planned
unit development, single lot, and rental community or park. An
application to install a new HUD-code manufactured home for use as a
dwelling is considered to be granted unless the municipality in
writing denies the application and states the reason for the denial
not later than the 45th day after the date the application is
received.
(d) Except as approved by the department and subject to
Subsection (d-1), a local governmental unit may not require a
permit, a fee, a bond, or insurance for the transportation and
installation of manufactured housing by a licensed retailer or
installer. This subsection does not prohibit the collection of
actual costs incurred by a local governmental unit that result from
the transportation of a manufactured home.
(d-1) A municipality may not require a specific use permit or
other permit that serves a similar purpose to a specific use permit
for a new HUD-code manufactured home if:
(1) the home has been constructed in accordance with
federal law and this chapter; and
(2) the municipality does not require a specific use
permit for other residential property in the same zoning
classification.
(g) Except as provided by Subsection (h), a municipality
with zoning regulations or zoning district boundaries:
(1) shall permit the installation, by right, of a new
HUD-code manufactured home for use as a dwelling within the
municipality's boundaries under at least one:
(A) residential zoning classification;
(B) type of residential zoning district; or
(C) dedicated zoning classification for
residential HUD-code manufactured homes;
(2) may not adopt or enforce other zoning regulations
or zoning district boundaries that directly or indirectly prohibit
the installation of new HUD-code manufactured homes within the
municipality's boundaries;
(3) shall ensure at least one of the residential
zoning classifications or districts described by Subdivision (1)
has been adopted and applies to a substantial area of land within
the municipality's boundaries; and
(4) if the municipality has a comprehensive zoning
classification map, shall indicate on the map the areas within the
municipality's boundaries that comply with Subdivision (3).
(h) Subsection (g) does not:
(1) limit the authority of a municipality to adopt or
enforce an ordinance, rule, or other measure to protect historic
landmarks or include properties within the boundaries of a local
historic district;
(2) affect deed restrictions established before
January 2, 2025; or
(3) apply to a municipality:
(A) in which all areas zoned for residential use
have deed restrictions on September 1, 2025, prohibiting the
placement of manufactured homes; or
(B) that does not have any areas or districts
zoned for business or industrial use.
SECTION 2. This Act takes effect September 1, 2025.