Issued March 11, 2013  

 

Dear Citizens,

 

Give thanks! Bill-filing ended on Friday 3/8 and now we have a pretty good notion of what we're dealing with this Session (which ends in 77 days). I've identified only 28 POA-Specific Bills - largely those amending Titles 7 and 11 of the Texas Property Code.  Here is a link to that report - 

Title 7 has the condo laws - Chapters 81 & 82 (TUCA is 82).  Title 11 has laws that pertain to both condos and single-family (Chapter 202), and laws that pertain only to single-family (Chapter 209 aka TROPA).

 

In my next transmission I'll include my overview of the "Sundry Bills" - other bills that may interest the members, directors, managers, attorneys, and developers of common interest communities, but which are not POA-Specific.

 

WORRISOME BUT NOT "SEXY" IN 2013 

 

In previous sessions we were dealing with big hot juicy issues that were easy to relate to - voting rights, secret ballots, open records, open meetings.  This session the issues are less captivating, and the consequences are harder to explain because they sound like legal technicalities. Though boring, those legal technicalities may bear bitter fruit - for developers especially - if they aren't effectively addressed before these bills become law. One such worrisome "technicality" is the blurring of a developer's "control rights" over HOA governance with the developer's "development rights" for expansion, build-out, and sell-out. If the distinction isn't carefully honored, development rights are at stake (IMHO).    

 

DEVELOPERS GET ATTENTION

 

Four of the POA-Specific Bills directly deal with developers:

HB 1933 by Allen amending TUCA

HB 2944 by King amending the Timeshare Act

SB 1372 by Hinojosa amending the Timeshare Act

 

Two other POA-Specific Bills that seem likely to affect developers are:  

HB 35 by Menendez regarding control of lot use 

HB 503 by Hernandez Luna re: HOA contracts

   

HEARINGS HAVE BEGUN 

After a bill is filed, it will be assigned to a committee and scheduled for a hearing.  If a bill makes it out of committee, it competes to get on the calendar for a vote by the full chamber. House Bills are heard first in the House, Senate Bills in the Senate. That's half the battle.  Still has to clear hurdles in the other chamber.

A word about bills that are "pending" in a committee after having a hearing at which testimony was taken. A pending bill can be  "substituted" ~ or replaced with a version that doesn't get a hearing. (Seems unfair.)

At any time after the hearing, the committee may vote on the original bill that was heard, or on the substituted version that was not heard.  If a substituted version is approved by the committee, the bill number is preceded by C.S. for "Committee Substitute."  Hence, SB 198 becomes CSSB 198.   

You can watch the hearing on your computer (or other devices, I suppose).  If you miss the live webcam, you can watch the archived hearings at your leisure.  I belatedly watched the hearing on March 5 in the House Committee on Business & Industry at which 5 POA-Specific Bills were heard.   Here are links to the Hearing Webcams:
The first hearing a bill gets may be the only that has testimony and webcam coverage.  After that first hearing, if the bill gets out of committee, it may get no further public scrutiny, even though it gets another hearing in the second chamber.

YEAR OF CONDOS                  

So far, the most significant POA-specific bills of 2013 are the two multi-part condo bills - HB 1933 by Allen, and HB 2075 by Anchia (the companion is SB 1231 by West).  My section-by-section overview of those two bills is at the back of the report on POA-Specific Bills.  Because it's challenging to navigate Title 7 of the Texas Property Code without a roadmap, my overview also provides some background information about the relationship between Chapters 81 and 82, and between Chapters 82 and 209.

YEAR OF TECHNOLOGY

A number of "technology" bills have been filed that are interesting by way of analogy to POAs.  Several bills address telephone conferencing, video conferencing, or internet broadcasts of meetings of local governments and special districts.  HB 584 by Rodriguez will require county clerks to publish foreclosure posting notices on a website.

HOW TO COUNT BILLS

The attached overview of POA-Specific Bills identifies 28 that have been filed through March 8, 2013.  Two of the 28 bills are multi-purpose, containing 6 unrelated proposals, each of which could stand alone as a bill. Five of 28 bills are "companions" - the same bill was filed in both chambers (House and Senate) to increase the bill's odds of clearing all the hurdles before the session ends.  And two of the 28 bills are "bracketed" to specific developments, and not likely to interest a statewide audience. So, bill counts are only an indication - not to be relied on. 
 
 TLO Website
 

The Texas Legislature Online website is an incredible public asset with powerful search engines and chock full of information ~ all for free (paid with our tax dollars). Check out the tab for "My TLO" at which you may sign up for automatic email alerts of bills that interest you. You can also sign up to be automatically informed of committee meeting at which bills will be heard.  Please explore this amazing website (if you haven't already).

 


Dates of Interest 

November 12, 2012 - First day to pre-file bills for 83rd Session
January 8, 2013 - Opening day of 83rd Regular Session
March 8, 2013 - Deadline for filing bills (with some exceptions)
May 27, 2013 - Last day of Session (no exceptions)
June 16, 2013 - Last day Governor can veto a bill that passed


Perspective 

 

All views expressed are entirely my own. I receive no income for my legislative reporting. I'm not a lobbyist ~ don't head any group or promote any cause ~ don't expect to go to Austin for hearings.

 

I'm a Texas real estate lawyer who writes the "HOA docs" for developers of planned  communities and counsels developers on HOA issues that arise during build-out. My developer practice is enriched by an earlier decade of having represented established homeowner-controlled POAs.

 

Before becoming a lawyer in 1987, I was a real estate broker specializing in the resales of condominiums and townhomes. Also, I have the sensitivities of a homeowner from 36 years of living in common interest communities, and three experiences as a home buyer.  

 

My interest in POAs began in 1977. Four years later I was drawn to POA legislation by the then proposed Texas Uniform Condominium Act (enacted in 1993).  My 30+ years of involvement with POA legislation has always been as a volunteer.  In recent years I have done little more than report on what's going on under the dome.        



Permission

You may forward this newsletter to your people. I invite you to tell me about my mistakes and to share with me what you know about pending POA bills.







contact info
My New Years Resolution is to become active on social media.  Still hasn't happened, still old school. You're welcome to contact me at my address below. Also, by email > [email protected]  And by phone > 972.720.9727.  Advance apologies for when I'm not responsive ~ my day job keeps me plenty busy.
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