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AN ACT
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relating to the operation of the Texas Residential Construction |
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Commission; providing penalties. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter A, Chapter 5, Property Code, is |
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amended by adding Section 5.016 to read as follows: |
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Sec. 5.016. DISCLOSURE OF ABSENCE OF CERTAIN WARRANTIES. |
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(a) A seller of residential real property that is exempt from |
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Title 16 under Section 401.005 shall give to the purchaser of the |
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property a written notice that reads substantially similar to the |
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following: |
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NOTICE OF NONAPPLICABILITY OF CERTAIN WARRANTIES |
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AND BUILDING AND PERFORMANCE STANDARDS |
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The property that is subject to this contract is exempt from |
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Title 16, Property Code, including the provisions of that title |
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that provide statutory warranties and building and performance |
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standards. |
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(b) A notice required by this section shall be delivered by |
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the seller to the purchaser on or before the effective date of an |
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executory contract binding the purchaser to purchase the property. |
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If a contract is entered into without the seller providing the |
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notice, the purchaser may terminate the contract for any reason on |
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or before the seventh day after the date the purchaser receives the |
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notice. |
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(c) This section does not apply to a transfer: |
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(1) under a court order or foreclosure sale; |
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(2) by a trustee in bankruptcy; |
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(3) to a mortgagee by a mortgagor or successor in |
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interest or to a beneficiary of a deed of trust by a trustor or |
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successor in interest; |
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(4) by a mortgagee or a beneficiary under a deed of |
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trust who has acquired the land at a sale conducted under a power of |
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sale under a deed of trust or a sale under a court-ordered |
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foreclosure or has acquired the land by a deed in lieu of |
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foreclosure; |
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(5) by a fiduciary in the course of the administration |
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of a decedent's estate, guardianship, conservatorship, or trust; |
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(6) from one co-owner to another co-owner of an |
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undivided interest in the real property; |
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(7) to a spouse or a person in the lineal line of |
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consanguinity of the seller; |
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(8) to or from a governmental entity; or |
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(9) of only a mineral interest, leasehold interest, or |
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security interest. |
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SECTION 2. Section 27.002(b), Property Code, is amended to |
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read as follows: |
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(b) Except as provided by this subsection, to [To] the |
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extent of conflict between this chapter and any other law, |
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including the Deceptive Trade Practices-Consumer Protection Act |
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(Subchapter E, Chapter 17, Business & Commerce Code) or a common law |
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cause of action, this chapter prevails. To the extent of conflict |
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between this chapter and Title 16, Title 16 prevails. |
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SECTION 3. Section 27.004(d), Property Code, is amended to |
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read as follows: |
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(d) The court or arbitration tribunal shall abate [dismiss] |
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an action governed by this chapter if Subsection (c) does not apply |
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and the court or tribunal, after a hearing, finds that the |
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contractor is entitled to abatement [dismissal] because the |
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claimant failed to comply with the requirements of Subtitle D, |
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Title 16, if applicable, failed to provide the notice or failed to |
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give the contractor a reasonable opportunity to inspect the |
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property as required by Subsection (a), or failed to follow the |
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procedures specified by Subsection (b). An action is automatically |
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abated [dismissed] without the order of the court or tribunal |
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beginning on the 11th day after the date a motion to abate [dismiss] |
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is filed if the motion: |
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(1) is verified and alleges that the person against |
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whom the action is pending did not receive the written notice |
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required by Subsection (a), the person against whom the action is |
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pending was not given a reasonable opportunity to inspect the |
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property as required by Subsection (a), or the claimant failed to |
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follow the procedures specified by Subsection (b) or Subtitle D, |
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Title 16; and |
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(2) is not controverted by an affidavit filed by the |
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claimant before the 11th day after the date on which the motion to |
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abate [dismiss] is filed. |
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SECTION 4. Section 27.007, Property Code, is amended by |
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adding Subsection (c) to read as follows: |
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(c) This section does not apply to a contract relating to a |
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home required to be registered under Section 426.003. |
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SECTION 5. Section 41.007, Property Code, is amended by |
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amending Subsection (a) and adding Subsections (c) and (d) to read |
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as follows: |
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(a) A contract for improvements to an existing residence |
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described by Section 41.001(b)(3) must contain: |
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(1) the contractor's certificate of registration |
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number from the Texas Residential Construction Commission if the |
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contractor is required to register as a builder with the |
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commission; |
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(2) the address and telephone number at which the |
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owner may file a complaint with the Texas Residential Construction |
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Commission about the conduct of the contractor if the contractor is |
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required to register as a builder with the commission; and |
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(3) the following warning conspicuously printed, |
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stamped, or typed in a size equal to at least 10-point bold type or |
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computer equivalent[, next to the owner's signature line on the
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contract]: |
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"IMPORTANT NOTICE: You and your contractor are responsible |
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for meeting the terms and conditions of this contract. If you sign |
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this contract and you fail to meet the terms and conditions of this |
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contract, you may lose your legal ownership rights in your home. |
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KNOW YOUR RIGHTS AND DUTIES UNDER THE LAW." |
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(c) A provision of a contract for improvements to an |
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existing residence described by Section 41.001(b)(3) that requires |
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the parties to submit a dispute arising under the contract to |
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binding arbitration must be conspicuously printed or typed in a |
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size equal to at least 10-point bold type or the computer |
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equivalent. |
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(d) A provision described by Subsection (c) is not |
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enforceable against the owner unless the requirements of Subsection |
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(c) are met. |
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SECTION 6. Section 401.002, Property Code, is amended by |
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adding Subdivisions (7-a) and (8-a) to read as follows: |
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(7-a) "Improvement to the interior of an existing |
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home" means any modification to the interior living space of a home, |
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which includes the addition or installation of permanent fixtures |
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inside the home. An improvement to the interior of an existing home |
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does not include improvements to an existing home if the |
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improvements are designed primarily to repair or replace the home's |
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component parts. |
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(8-a) "Material improvement" means a modification to |
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an existing home that either increases or decreases the home's |
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total square footage of living space that also modifies the home's |
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foundation, perimeter walls, or roof. A material improvement does |
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not include modifications to an existing home if the modifications |
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are designed primarily to repair or replace the home's component |
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parts. |
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SECTION 7. Section 401.003, Property Code, is amended to |
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read as follows: |
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Sec. 401.003. DEFINITION OF BUILDER. (a) In this title, |
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"builder" means any person [business entity or individual] who, for |
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a fixed price, commission, fee, wage, or other compensation, sells, |
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constructs, or supervises or manages the construction of, or |
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contracts for the construction of or the supervision or management |
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of the construction of: |
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(1) a new home; |
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(2) a material improvement to a home, other than an |
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improvement solely to replace or repair a roof of an existing home; |
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or |
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(3) an improvement to the interior of an existing home |
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when the cost of the work exceeds $10,000 [$20,000]. |
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(b) The term includes: |
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(1) an owner, officer, director, shareholder, |
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partner, affiliate, subsidiary, or employee of the builder; |
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(2) a risk retention group governed by Article 21.54, |
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Insurance Code, that insures all or any part of a builder's |
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liability for the cost to repair a residential construction defect; |
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and |
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(3) a third-party warranty company and its |
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administrator. |
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(c) The term does not include any person [business entity or
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individual] who: |
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(1) has been issued a license by this state or an |
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agency [or political subdivision] of this state to practice a trade |
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or profession related to or affiliated with residential |
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construction if the work being done by the entity or individual to |
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the home is solely for the purpose for which the license was issued; |
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or |
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(2) sells a new home and: |
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(A) does not construct or supervise or manage the |
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construction of the home; and |
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(B) holds a license issued under Chapter 1101, |
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Occupations Code, or is exempt from that chapter under Section |
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1101.005, Occupations Code. |
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SECTION 8. Section 401.005, Property Code, is amended by |
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amending Subsection (b) and adding Subsection (c) to read as |
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follows: |
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(b) This title does not apply to a homeowner or to a |
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homeowner's real estate broker, agent, interior designer |
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registered under Chapter 1053, Occupations Code, interior |
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decorator, or property manager who supervises or arranges for the |
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construction of an improvement to a home owned by the homeowner. |
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(c) An individual who builds a home or a material |
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improvement to a home and sells the home immediately following |
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completion of the building or remodeling and does not live in the |
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home for at least one year following completion of the building or |
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remodeling is responsible as a builder under the warranty |
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obligation created by this title for work completed by the |
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individual. Responsibility under this subsection does not |
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automatically require an individual to register under Section |
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416.001. |
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SECTION 9. Chapter 401, Property Code, is amended by adding |
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Section 401.007 to read as follows: |
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Sec. 401.007. INJUNCTION; APPEAL. (a) If the commission |
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has reasonable cause to believe that a person is violating a statute |
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to which this chapter applies, the commission, in addition to any |
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other authorized action, may issue an order to cease and desist from |
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the violation or an order to take affirmative action, or both, to |
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enforce compliance. A person may appeal the order directly to |
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district court in accordance with Chapter 2001, Government Code. |
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(b) Before issuing an order under this section, the |
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commission shall set and give notice of a hearing before a hearings |
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officer. The hearing is governed by Chapter 2001, Government Code. |
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Based on the findings of fact, conclusions of law, and |
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recommendations of the hearings officer, the commission by order |
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may find whether a violation has occurred. |
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(c) The commission, after providing notice and an |
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opportunity to appear for a hearing, may impose against a person who |
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violates a cease and desist order an administrative penalty in an |
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amount not to exceed $1,000 for each day of violation. In addition |
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to any other remedy provided by law, the attorney general or the |
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commission may institute in district court a suit for injunctive |
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relief and to collect an administrative penalty. A bond is not |
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required of the commission with respect to injunctive relief |
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granted under this section. In the action, the court may enter as |
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proper an order awarding a preliminary or final injunction. |
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(d) A suit by the attorney general under this section must |
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be brought in Travis County. |
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(e) The attorney general and the commission may recover |
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reasonable expenses incurred in obtaining injunctive relief under |
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this section, including court costs, reasonable attorney's fees, |
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investigative costs, witness fees, and deposition costs. |
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(f) If a party seeks review of the order by the commission, |
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the party shall file a petition initiating judicial review not |
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later than the 30th day after the date of the issuance of the |
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decision. |
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SECTION 10. Section 406.001, Property Code, is amended by |
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adding Subsections (a-1) and (c) to read as follows: |
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(a-1) In making appointments under Subsection (a)(2), the |
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governor shall consider individuals who can represent the interests |
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of homeowners, including individuals who have experience |
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representing consumer or homeowner interests. |
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(c) A person may not be a public member of the commission if |
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the person or the person's spouse: |
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(1) is a builder registered with the commission, or is |
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otherwise registered, certified, or licensed by a regulatory agency |
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in the field of residential construction; |
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(2) is employed by or participates in the management |
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of a business entity or other organization regulated by or |
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receiving money from the commission; |
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(3) owns or controls, directly or indirectly, more |
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than a 10 percent interest in a business entity or other |
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organization regulated by or receiving money from the commission; |
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or |
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(4) uses or receives a substantial amount of tangible |
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goods, services, or money from the commission other than |
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compensation or reimbursement authorized by law for commission |
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membership, attendance, or expenses. |
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SECTION 11. Sections 406.004(b) and (c), Property Code, are |
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amended to read as follows: |
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(b) A person may not be a member of the commission and may |
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not be a commission employee employed in a "bona fide executive, |
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administrative, or professional capacity," as that phrase is used |
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for purposes of establishing an exemption to the overtime |
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provisions of the federal Fair Labor Standards Act of 1938 (29 |
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U.S.C. Section 201 et seq.) and its subsequent amendments, if: |
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(1) the person is an officer, employee, manager, or |
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paid consultant of a Texas trade association or consumer |
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association in the field of residential construction; or |
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(2) the person's spouse is an officer, [a] manager, or |
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paid consultant of a Texas trade association or consumer |
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association in the field of residential construction. |
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(c) A person may not be a member of the commission or act as |
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the general counsel to the commission if the person is required to |
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register as a lobbyist under Chapter 305, Government Code[, because
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of the person's activities for compensation on behalf of a
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profession related to the operation of the commission]. |
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SECTION 12. Section 408.002, Property Code, is amended to |
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read as follows: |
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Sec. 408.002. FEES. (a) The commission shall adopt fees |
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as required by this title in amounts that are reasonable and |
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necessary to provide sufficient revenue to cover the costs of |
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administering this title. |
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(b) The commission may charge a late fee for late payment of |
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any fee due to the commission. The late fee may be any amount that |
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does not exceed the amount of the fee due. |
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(c) The commission may charge a reasonable fee for: |
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(1) a homeowner to submit a request for |
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state-sponsored inspection under Subtitle D; |
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(2) providing public information requested under |
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Chapter 552, Government Code, excluding information requested from |
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the commission under Section 409.001; or |
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(3) producing, mailing, and distributing special |
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printed materials and publications generated in bulk by the |
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commission for use and distribution by builders. |
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(d) The commission may waive or reduce the fee for an |
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inspection under Subtitle D for a homeowner who demonstrates an |
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inability to pay the fee. |
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SECTION 13. Section 408.003, Property Code, is amended by |
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adding Subsection (c) to read as follows: |
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(c) The commission may procure and distribute to consumers |
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informational materials and promotional items that contain |
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commission contact details and outreach information. |
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SECTION 14. Chapter 408, Property Code, is amended by |
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adding Section 408.005 to read as follows: |
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Sec. 408.005. COLLECTION OF AMOUNTS DUE. The commission |
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may seek reimbursement of any amounts due to the commission and |
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restitution for any dishonored payment instrument presented for |
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payment to the commission. |
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SECTION 15. Chapter 409, Property Code, is amended by |
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adding Section 409.0011 to read as follows: |
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Sec. 409.0011. BUILDER LIST. (a) In this section, "volume |
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builder" means a builder who registers at least 100 homes each year |
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as provided by Section 426.003. |
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(b) The commission shall create and make accessible to the |
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public an electronic list and a hard-copy list of builders who: |
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(1) are registered with the commission; and |
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(2) provide in this state building services, including |
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accessible floor plans, to persons with mobility-related special |
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needs. |
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(c) The electronic list required under Subsection (b) shall |
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provide, if available, the following information with respect to |
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each listed builder: |
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(1) a link to the builder's website; and |
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(2) contact information for the builder, including the |
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municipalities where the builder provides building services |
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described by Subsection (b)(2). |
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(d) The commission shall contact all volume builders in this |
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state and encourage those builders to develop floor plans that are |
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designed to be accessible for persons with mobility-related special |
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needs. |
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(e) The Veterans' Land Board shall make accessible to the |
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public on its Internet website and in hard-copy format the |
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electronic list required under Subsection (b). |
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SECTION 16. Section 409.003, Property Code, is amended by |
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adding Subsections (d), (e), and (f) to read as follows: |
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(d) The commission shall make available to the public |
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information about each complaint that resulted in disciplinary |
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action by the commission. |
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(e) The commission may not disclose the address of any |
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individual home registered with the commission when making |
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information available to the public under this title, except as |
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necessary to implement this title. |
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(f) Notwithstanding Subsections (d) and (e), the commission |
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may not disclose the address of an individual home registered with |
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the commission: |
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(1) on the commission's Internet website; or |
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(2) in connection with an open records request under |
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Chapter 552, Government Code. |
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SECTION 17. Chapter 409, Property Code, is amended by |
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adding Section 409.004 to read as follows: |
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Sec. 409.004. DIRECTORY OF BUILDERS. The commission shall |
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make available to the public a list of each builder who holds a |
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certificate of registration issued under Chapter 416. |
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SECTION 18. Section 416.002, Property Code, is amended by |
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adding Subsection (e) to read as follows: |
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(e) Based on a commission investigation of an alleged |
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violation of Sections 418.001(a)(14)-(20), the commission may |
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require an applicant for renewal of a certificate of registration |
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to disclose to the commission every person with an ownership |
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interest in the applicant's business as a builder. This subsection |
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does not apply to a publicly traded company. |
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SECTION 19. Section 416.004, Property Code, is amended by |
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amending Subsection (a) and adding Subsection (c) to read as |
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follows: |
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(a) The commission shall charge and collect: |
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(1) a filing fee for an application for an original |
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certificate of registration that does not exceed $500; [and] |
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(2) a fee for renewal of a certificate of registration |
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that does not exceed $300; and |
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(3) a late fee that does not exceed the amount of the |
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fee due if payment of a registration application or renewal fee due |
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under this title is late. |
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(c) All fees paid to the commission under this section are |
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nonrefundable. |
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SECTION 20. Sections 416.008(d) and (e), Property Code, are |
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amended to read as follows: |
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(d) The hearings officer may grant a motion for continuance |
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of the hearing on the request of the commission or either party |
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[hearing may be continued from time to time with the consent of the
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applicant]. |
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(e) The hearing shall be held before a hearings officer |
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appointed by the commission. After the hearing, the hearings |
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officer shall enter an appropriate order. [The order of the
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hearings officer under this subsection is a final decision.] |
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SECTION 21. Section 416.010, Property Code, is amended by |
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adding Subsection (e) to read as follows: |
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(e) A builder may designate a United States Postal Service |
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postal box for use in correspondence. The builder may not use the |
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box as the builder's principal place of business for purposes of |
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this section. |
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SECTION 22. Section 416.011(d), Property Code, is amended |
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to read as follows: |
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(d) The certification issued by the commission as a "Texas |
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Star Builder" is valid for at most one year and renewable on a date |
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to be determined at the commission's discretion [shall be for the
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same period of time as the builder's registration under this
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chapter]. |
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SECTION 23. Chapter 416, Property Code, is amended by |
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adding Section 416.012 to read as follows: |
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Sec. 416.012. CONTINUING EDUCATION PROGRAMS. (a) The |
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commission shall recognize or administer continuing education |
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programs for builders registered by the commission. A registered |
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builder must participate in the programs to the extent required by |
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this section to maintain the builder's registration. |
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(b) A builder who registers for the first time on or after |
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September 1, 2007, must complete, during the first year the builder |
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is registered with the commission, five hours of continuing |
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education, one hour of which must address ethics. |
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(c) A builder who is registered before September 1, 2007, |
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and all other builders who register for the first time on or after |
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September 1, 2007, and satisfy the requirements of Subsection (b), |
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must complete five hours of continuing education every five years, |
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one hour of which must address ethics. |
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(d) The commission shall permit a registered builder to |
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receive continuing education credit for educational, technical, |
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ethical, or professional management activities related to the |
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practice of residential construction, including: |
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(1) successfully completing or auditing a course |
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sponsored by an institution of higher education; |
|
(2) successfully completing a course certified by a |
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professional or trade organization; |
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(3) attending a seminar, tutorial, short course, |
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correspondence course, videotaped course, or televised course on |
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the practice of residential construction; |
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(4) participating in an in-house course sponsored by a |
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corporation or other business entity; |
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(5) teaching a course described by Subdivisions |
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(1)-(4); |
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(6) publishing an article, paper, or book on the |
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practice of residential construction; |
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(7) making or attending a presentation at a meeting of |
|
a residential or builder association or organization or writing a |
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paper presented at the meeting; |
|
(8) participating in the activities of a residential |
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or builder association, including serving on a committee of the |
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organization; and |
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(9) engaging in self-directed study on the practice of |
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residential construction. |
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(e) A registered builder may not receive more than two |
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continuing education credit hours during each five-year period for |
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engaging in self-directed study. |
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(f) At least two hours of the continuing education |
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requirement under this section must address: |
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(1) limited statutory warranties; |
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(2) building and performance standards; and |
|
(3) requirements of the International Residential |
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Code as adopted under Section 430.001 and other statutes and rules |
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that apply to builders under this title. |
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(g) A builder's agent or other designated individual may |
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satisfy the requirements of this section for the builder if the |
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builder is a corporation or other business entity. |
|
SECTION 24. Section 417.003, Property Code, is amended to |
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read as follows: |
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Sec. 417.003. FEES. (a) The commission shall charge and |
|
collect: |
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(1) a filing fee for an application for certification |
|
under this chapter that does not exceed $100; [and] |
|
(2) a fee for renewal of a certification under this |
|
chapter that does not exceed $50; and |
|
(3) a late fee that does not exceed the amount of the |
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fee due if payment of a registration or application fee due under |
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this title is late. |
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(b) All fees paid to the commission under this section are |
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nonrefundable. |
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SECTION 25. Sections 418.001 and 418.002, Property Code, |
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are amended to read as follows: |
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Sec. 418.001. GROUNDS FOR DISCIPLINARY ACTION. A person, |
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including a builder or a person who is designated as a builder's |
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agent under Section 416.006, or a person who owns or controls a |
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majority ownership interest in the builder is subject to |
|
disciplinary action under this chapter for: |
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(1) fraud or deceit in obtaining a registration or |
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certification under this subtitle; |
|
(2) misappropriation or misapplication of trust funds |
|
in the practice of residential construction, including a violation |
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of Chapter 32, Penal Code, or Chapter 162, if found by a final |
|
nonappealable court judgment; |
|
(3) naming false consideration in a contract to sell a |
|
new home or in a construction contract; |
|
(4) discriminating on the basis of race, color, |
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religion, sex, national origin, or ancestry; |
|
(5) publishing a false or misleading advertisement; |
|
(6) failure to honor, within a reasonable time, a |
|
check issued to the commission, or any other instrument of payment, |
|
including a credit or debit card or electronic funds transfer, |
|
after the commission has sent by certified mail a request for |
|
payment to the person's last known business address, according to |
|
commission records; |
|
(7) failure to pay an administrative penalty assessed |
|
by the commission under Chapter 419 or a fee due under Chapter 426; |
|
(8) failure to pay [nonpayment of] a final |
|
nonappealable court judgment arising from a construction defect or |
|
other transaction between the person and a homeowner; |
|
(9) failure to register a home as required by Section |
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426.003; |
|
(10) failure to remit the fee for registration of a |
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home under Section 426.003; [or] |
|
(11) failure to reimburse a homeowner the amount |
|
ordered by the commission as provided by [in] Section 428.004(d); |
|
(12) engaging in statutory or common-law fraud or |
|
misappropriation of funds, as determined by the commission after a |
|
hearing under Section 418.003; |
|
(13) a repeated failure to participate in the |
|
state-sponsored inspection and dispute resolution process if |
|
required by this title; |
|
(14) failure to register as a builder as required |
|
under Chapter 416; |
|
(15) using or attempting to use a certificate of |
|
registration that has expired or that has been revoked; |
|
(16) falsely representing that the person holds a |
|
certificate of registration issued under Chapter 416; |
|
(17) acting as a builder using a name other than the |
|
name or names disclosed to the commission; |
|
(18) aiding, abetting, or conspiring with a person who |
|
does not hold a certificate of registration to evade the provisions |
|
of this title or rules adopted under this title, if found by a final |
|
nonappealable court judgment; |
|
(19) allowing the person's certificate of registration |
|
to be used by another person; |
|
(20) acting as an agent, partner, or associate of a |
|
person who does not hold a certificate of registration with the |
|
intent to evade the provisions of this title or rules adopted under |
|
this title; |
|
(21) a failure to reasonably perform on an accepted |
|
offer to repair or a repeated failure to make an offer to repair |
|
based on: |
|
(A) the recommendation of a third-party |
|
inspector under Section 428.004; or |
|
(B) the final holding of an appeal under Chapter |
|
429; |
|
(22) a repeated failure to respond to a commission |
|
request for information; |
|
(23) a failure to obtain a building permit required by |
|
a political subdivision before constructing a new home or an |
|
improvement to an existing home; |
|
(24) abandoning, without justification, any home |
|
improvement contract or new home construction project engaged in or |
|
undertaken by the person, if found to have done so by a final, |
|
nonappealable court judgment; |
|
(25) a repeated failure to comply with the |
|
requirements of Subtitle F; or |
|
(26) otherwise violating this title or a commission |
|
rule adopted under this title. |
|
Sec. 418.002. DISCIPLINARY POWERS OF COMMISSION. (a) On a |
|
determination that a ground for disciplinary action under Section |
|
418.001 exists, the commission may: |
|
(1) revoke or suspend a registration or certification |
|
in the event of repeated prior violations that have resulted in |
|
disciplinary action; |
|
(2) probate the suspension of a registration or |
|
certification; [or] |
|
(3) formally or informally reprimand a registered or |
|
certified person; or |
|
(4) impose an administrative penalty under Chapter |
|
419. |
|
(b) The commission must consider the factors described by |
|
Section 419.002(b) before taking disciplinary action under this |
|
chapter. |
|
(c) For purposes of Section 418.001(12), the commission may |
|
not conduct a hearing or revoke or suspend a registration or |
|
certification unless the determination of statutory or common-law |
|
fraud or misappropriation of funds has been made in a final |
|
nonappealable judgment by a court. |
|
(d) Prior to imposing disciplinary action under Subsection |
|
(a)(1) based upon grounds that involve a transaction between a |
|
builder and a homeowner, there must be repeated prior violations |
|
that have resulted in disciplinary action that involve the greater |
|
of: |
|
(1) at least three homes registered by the builder |
|
under Section 426.003; or |
|
(2) at least one percent of the homes registered by the |
|
builder under Section 426.003 during the preceding 12 months. |
|
(e) When the commission has information that a matter may be |
|
criminal in nature, the commission may refer the matter to a local |
|
district attorney or county attorney for investigation. |
|
SECTION 26. Section 418.004, Property Code, is amended by |
|
adding Subsection (c) to read as follows: |
|
(c) An appeal to a district court of a final decision of the |
|
commission under this section regarding a revocation or suspension |
|
of a registration or certification is determined by substantial |
|
evidence. |
|
SECTION 27. Chapter 418, Property Code, is amended by |
|
adding Section 418.005 to read as follows: |
|
Sec. 418.005. RESPONSIBILITY FOR ADMINISTRATIVE ACTIONS. |
|
(a) The commission may simultaneously take administrative action |
|
under this chapter against: |
|
(1) a builder; and |
|
(2) a person who owns or controls a majority ownership |
|
interest in the builder. |
|
(b) A builder and a person who owns or controls a majority |
|
ownership interest in the builder are jointly and severally liable |
|
for any amounts due to the commission under this title. |
|
SECTION 28. Section 419.001, Property Code, is amended to |
|
read as follows: |
|
Sec. 419.001. IMPOSITION OF ADMINISTRATIVE PENALTY. The |
|
[In a contested case involving disciplinary action, the] commission |
|
may[, as part of the commission's order,] impose an administrative |
|
penalty on a [registered or certified] person who violates this |
|
title or a rule adopted or order issued by the commission under this |
|
title. |
|
SECTION 29. Section 419.002, Property Code, is amended by |
|
amending Subsection (a) and adding Subsection (c) to read as |
|
follows: |
|
(a) Except as provided by Subsection (c), an [An] |
|
administrative penalty imposed under this chapter may not exceed |
|
$10,000 [$5,000] for each violation. |
|
(c) A violation of Section 418.001(2) or (12) is punishable |
|
by a penalty not to exceed $100,000. |
|
SECTION 30. Subtitle C, Title 16, Property Code, is amended |
|
by adding Chapter 420 to read as follows: |
|
CHAPTER 420. BUILDING CONTRACT PROVISIONS |
|
Sec. 420.001. REQUIRED WRITTEN DISCLOSURE. In a contract |
|
for the construction of a new home or an improvement to an existing |
|
home required to be registered under Section 426.003, the contract |
|
must contain a notice to the consumer in at least 10-point bold type |
|
or the computer equivalent that gives the telephone number of the |
|
commission and states: |
|
STATE LAW REQUIRES THAT A PERSON HOLD A CERTIFICATE OF |
|
REGISTRATION FROM THE TEXAS RESIDENTIAL CONSTRUCTION COMMISSION IF |
|
THE PERSON CONTRACTS TO CONSTRUCT A NEW HOME OR IF THE PERSON |
|
CONTRACTS TO CONSTRUCT A MATERIAL IMPROVEMENT TO AN EXISTING HOME |
|
OR CERTAIN IMPROVEMENTS TO THE INTERIOR OF AN EXISTING HOME AND THE |
|
TOTAL COST OF THE IMPROVEMENT IS $10,000 OR MORE (INCLUDING LABOR |
|
AND MATERIALS). |
|
YOU MAY CONTACT THE COMMISSION AT [insert commission's |
|
telephone number] TO FIND OUT WHETHER THE BUILDER HAS A VALID |
|
CERTIFICATE OF REGISTRATION. THE COMMISSION HAS INFORMATION |
|
AVAILABLE ON THE HISTORY OF BUILDERS, INCLUDING SUSPENSIONS, |
|
REVOCATIONS, COMPLAINTS, AND RESOLUTION OF COMPLAINTS. |
|
THIS CONTRACT IS SUBJECT TO CHAPTER 426, PROPERTY CODE. THE |
|
PROVISIONS OF THAT CHAPTER GOVERN THE PROCESS THAT MUST BE FOLLOWED |
|
IN THE EVENT A DISPUTE ARISES OUT OF AN ALLEGED CONSTRUCTION |
|
DEFECT. IF YOU HAVE A COMPLAINT CONCERNING A CONSTRUCTION DEFECT |
|
YOU MAY CONTACT THE COMMISSION AT THE TOLL-FREE TELEPHONE NUMBER TO |
|
LEARN HOW TO PROCEED UNDER THE STATE-SPONSORED INSPECTION AND |
|
DISPUTE RESOLUTION PROCESS. |
|
Sec. 420.002. REQUIRED CONTRACT PROVISIONS. In a contract |
|
for the construction of a new home or an improvement to an existing |
|
home required to be registered under Section 426.003, the contract |
|
is not enforceable against a homeowner unless the contract: |
|
(1) contains the builder's name and certificate of |
|
registration number; and |
|
(2) contains the notice required by Section 420.001. |
|
Sec. 420.003. BINDING ARBITRATION CONTRACT PROVISION. |
|
(a) In a contract for the construction of a new home or the |
|
improvement of an existing home required to be registered under |
|
Section 426.003 and that contains a provision requiring the parties |
|
to submit a dispute arising under the contract to binding |
|
arbitration, the provision must be conspicuously printed or typed |
|
in a size equal to at least 10-point bold type or the computer |
|
equivalent. |
|
(b) A provision described by Subsection (a) is not |
|
enforceable against the homeowner unless the requirements of |
|
Subsection (a) are met. |
|
SECTION 31. Section 426.003(b), Property Code, is amended |
|
to read as follows: |
|
(b) A builder who enters [into] a transaction governed by |
|
this title, other than the transfer of title of a new home from the |
|
builder to the seller, shall register the home involved in the |
|
transaction with the commission. The registration must: |
|
(1) include the information required by the commission |
|
by rule; |
|
(2) be accompanied by the fee required by Subsection |
|
(c); and |
|
(3) be delivered to the commission not later than the |
|
15th day after the earlier of: |
|
(A) the date of the substantial completion of the |
|
home or other residential construction project [of the agreement
|
|
that describes the transaction between the homeowner and the
|
|
builder]; [or] |
|
(B) the date the new home is occupied; or |
|
(C) the date of issuance of a certificate of |
|
occupancy or a certificate of completion [commencement of the work
|
|
on the home]. |
|
SECTION 32. Section 426.001(a), Property Code, is amended |
|
to read as follows: |
|
(a) This subtitle applies to a dispute between a builder and |
|
a homeowner if: |
|
(1) the dispute arises out of an alleged construction |
|
defect, other than a claim solely for: |
|
(A) personal injury, survival, or wrongful |
|
death; or |
|
(B) damage to goods; and |
|
(2) a request is submitted to the commission not later |
|
than the 30th day after [on or before] the 10th anniversary of: |
|
(A) the date of the initial transfer of title |
|
from the builder to the initial owner of the home or the improvement |
|
that is the subject of the dispute; or |
|
(B)[,] if there is not a closing in which title is |
|
transferred, the date on which the [contract for] construction of |
|
the improvement was substantially completed [entered into]. |
|
SECTION 33. Section 426.004, Property Code, is amended by |
|
amending Subsection (c) and adding Subsection (d) to read as |
|
follows: |
|
(c) If the transfer of the title of the home from the builder |
|
to the initial homeowner occurred before January 1, 2004, or if the |
|
contract for improvements or additions between the builder and |
|
homeowner was entered into before January 1, 2004, the commission |
|
shall register the home and the builder [the person who submits a
|
|
request involving the home] shall pay[, in addition to the
|
|
inspection expenses required by this section,] the registration fee |
|
required by Section 426.003. |
|
(d) The commission may reimburse an inspector for travel |
|
expenses incurred to complete an inspection regardless of whether |
|
the expenses exceed the amount collected under this section. |
|
SECTION 34. Section 426.005, Property Code, is amended by |
|
amending Subsection (a) and adding Subsection (f) to read as |
|
follows: |
|
(a) A homeowner or builder must comply with this subtitle |
|
before initiating an action for damages or other relief arising |
|
from an alleged construction defect. |
|
(f) A homeowner is not required to comply with this subtitle |
|
if: |
|
(1) at the time a homeowner and a builder enter into a |
|
contract covered by this title the builder was not registered; or |
|
(2) the certificate of registration of the builder has |
|
been revoked. |
|
SECTION 35. Section 426.006, Property Code, is amended to |
|
read as follows: |
|
Sec. 426.006. TIME FOR REQUESTING INSPECTION AND DISPUTE |
|
RESOLUTION. (a) For an alleged defect discovered during an |
|
applicable warranty period, the [The] state-sponsored inspection |
|
and dispute resolution process must be requested on or before the |
|
second anniversary of the date of discovery of the conditions |
|
claimed to be evidence of the construction defect but not later than |
|
the 90th [30th] day after the date the applicable warranty period |
|
expires. |
|
(b) If the alleged defect would violate the statutory |
|
warranty of habitability and was not discoverable by a reasonable, |
|
prudent inspection or examination of the home or improvement within |
|
the applicable warranty period, the state-sponsored inspection and |
|
dispute resolution process must be requested: |
|
(1) on or before the second anniversary of the date of |
|
discovery of the conditions claimed to be evidence of the |
|
construction defect; and |
|
(2) not later than the 10th anniversary of the date of |
|
the initial transfer of title from the builder to the initial owner |
|
of the home or improvement that is the subject of the dispute or, if |
|
there is not a closing, the date on which the contract for |
|
construction of the improvement is entered into. |
|
SECTION 36. Section 426.007, Property Code, is amended to |
|
read as follows: |
|
Sec. 426.007. ADMISSIBILITY OF CERTAIN EVIDENCE. A person |
|
who submits a request for state-sponsored inspection and dispute |
|
resolution or responds to a request under Chapter 428 must disclose |
|
in the request or response the name of any expert [person] who, |
|
before the request is submitted, inspected the home on behalf of the |
|
requestor or respondent in connection with the construction defect |
|
alleged in the request or response. If an expert's [a person's] |
|
name is known to the requestor or respondent at the time of the |
|
request or response and is not disclosed as required by this |
|
section, the requestor or respondent may not designate the person |
|
as an expert or use materials prepared by that person in: |
|
(1) the state-sponsored inspection and dispute |
|
resolution process arising out of the request; or |
|
(2) any action arising out of the construction defect |
|
that is the subject of the request or response. |
|
SECTION 37. Section 426.008, Property Code, is amended by |
|
adding Subsection (c) to read as follows: |
|
(c) For the purposes of admissibility of a third-party |
|
inspector's recommendation or a ruling by a panel of state |
|
inspectors, the recommendation or ruling shall be considered a |
|
business record under Rule 902, Texas Rules of Evidence. |
|
SECTION 38. Section 427.001, Property Code, is amended by |
|
amending Subsections (b), (c), and (d) and adding Subsection (c-1) |
|
to read as follows: |
|
(b) A third-party inspector who inspects an issue involving |
|
workmanship and materials must: |
|
(1) have a minimum of three [five] years' experience in |
|
the residential construction industry; and |
|
(2) be certified as a residential combination |
|
inspector by the International Code Council. |
|
(c) A third-party inspector who inspects an issue involving |
|
a structural matter or involving workmanship, materials, and a |
|
structural matter must: |
|
(1) be an approved structural engineer or approved |
|
architect; and |
|
(2) have a minimum of five [10] years' experience in |
|
residential construction. |
|
(c-1) A third-party inspector who inspects an issue |
|
involving a structural matter and an unrelated issue involving |
|
workmanship and materials matters must meet the requirements of |
|
Subsections (b) and (c). |
|
(d) Each third-party inspector [who inspects an issue
|
|
involving a structural matter] must receive, in accordance with |
|
commission rules: |
|
(1) initial training regarding the state-sponsored |
|
inspection and dispute resolution process and this subtitle; and |
|
(2) annual continuing education in the inspector's |
|
area of practice. |
|
SECTION 39. Chapter 427, Property Code, is amended by |
|
adding Section 427.003 to read as follows: |
|
Sec. 427.003. NO CIVIL LIABILITY. (a) A person who |
|
performs services for the commission as a third-party inspector or |
|
a state inspector who does not act with wanton and wilful disregard |
|
for the rights, safety, or property of another is not liable for |
|
civil damages for any act or omission within the course and scope of |
|
carrying out the person's duties or functions as a third-party |
|
inspector or state inspector. |
|
(b) This section does not apply to an intentional act of |
|
misconduct or gross negligence. |
|
SECTION 40. Sections 428.001(d) and (g), Property Code, are |
|
amended to read as follows: |
|
(d) At the time a [A] person [who] submits a request under |
|
this section, the person must send by certified mail, return |
|
receipt requested, a copy of the request, including evidence |
|
submitted with the request, to each other party involved in the |
|
dispute. |
|
(g) The commission by rule shall establish a standard form |
|
for submitting a request under this section [and provide a means to
|
|
submit a request electronically]. |
|
SECTION 41. Section 428.003(a), Property Code, is amended |
|
to read as follows: |
|
(a) On or before the 30th [15th] day after the date the |
|
commission receives a request, the commission shall appoint the |
|
next available third-party inspector from the applicable lists of |
|
third-party inspectors maintained by the commission under |
|
Subsection (c). |
|
SECTION 42. Section 428.004, Property Code, is amended by |
|
amending Subsection (a) and adding Subsections (e) and (f) to read |
|
as follows: |
|
(a) If the dispute involves workmanship and materials in the |
|
home of a nonstructural matter, the third-party inspector shall |
|
issue a recommendation not later than the 30th [15th] day after the |
|
date the third-party inspector receives the appointment from the |
|
commission. |
|
(e) The commission may not require a builder to reimburse |
|
fees or inspection expenses under this section if, before the |
|
inspection, the builder offered to make repairs or have repairs |
|
made substantially equivalent to those required by the findings of |
|
the final report confirming the defect requiring repair. |
|
(f) If, before the inspection, the builder has made or |
|
offered to make repairs substantially equivalent to those required |
|
by the findings of the final report confirming the defect, the |
|
agency may not list the finding on the commission's Internet |
|
website. |
|
SECTION 43. Section 429.001(c), Property Code, is amended |
|
to read as follows: |
|
(c) The panel shall: |
|
(1) review the recommendation for compliance with this |
|
title as [without a hearing unless a hearing is otherwise] required |
|
by rules adopted by the commission; |
|
(2) approve, reject, or modify the recommendation of |
|
the third-party inspector or remand the dispute for further action |
|
by the third-party inspector; and |
|
(3) issue written findings of fact and a ruling on the |
|
appeal not later than the 30th day after the date the notice of |
|
appeal is filed with the commission. |
|
SECTION 44. Section 430.005, Property Code, is amended to |
|
read as follows: |
|
Sec. 430.005. ALTERNATIVE STANDARDS FOR CERTAIN |
|
CONSTRUCTION. (a) For the purpose of this title, the only |
|
statutory warranty and building and performance standards that |
|
apply to residential construction in unincorporated areas of |
|
counties that are considered economically distressed areas as |
|
defined by Section 15.001(11) of the Water Code and located within |
|
50 miles of an international border are the standards established |
|
for colonia housing programs administered by the Texas Department |
|
of Housing and Community Affairs, unless a county commissioners |
|
court has adopted other building and performance standards |
|
authorized by statute. |
|
(b) This section does not exempt a builder in an area |
|
described by Subsection (a) from the registration requirements |
|
imposed by this title, including the requirements of Sections |
|
416.001 and 426.003. |
|
(c) An allegation of a postconstruction defect in a |
|
construction project in an area described by Subsection (a) is |
|
subject to the state-sponsored inspection and dispute resolution |
|
process described by this subtitle. |
|
SECTION 45. Section 430.006, Property Code, is amended to |
|
read as follows: |
|
Sec. 430.006. STATUTORY WARRANTIES EXCLUSIVE. The |
|
warranties established under this chapter supersede all implied |
|
warranties. The only warranties that exist for residential |
|
construction or residential improvements are: |
|
(1) warranties created by this chapter; |
|
(2) warranties created [or] by other statutes |
|
expressly referring to residential construction or residential |
|
improvements; |
|
(3) [, or] any express, written warranty acknowledged |
|
by the homeowner and the builder; and |
|
(4) warranties that apply to an area described by |
|
Section 430.005(a) as described by that section. |
|
SECTION 46. Subtitle D, Title 16, Property Code, is amended |
|
by adding Chapter 431 to read as follows: |
|
CHAPTER 431. ENERGY-EFFICIENT BUILDING ACCREDITATION PROGRAM |
|
Sec. 431.001. ENERGY-EFFICIENT BUILDING ACCREDITATION |
|
PROGRAM. (a) In this section, "National Housing Act" means |
|
Section 203(b), (i), or (k) of the National Housing Act (12 U.S.C. |
|
Sections 1709(b), (i), and (k)). |
|
(b) The commission, in consultation with the Energy Systems |
|
Laboratory at the Texas Engineering Experiment Station of The Texas |
|
A&M University System, the Texas Commission on Environmental |
|
Quality, and an advisory committee appointed by the commission, may |
|
establish an energy-efficient building accreditation program for |
|
buildings that exceed the building energy performance standards |
|
under Section 388.003, Health and Safety Code, by 15 percent or |
|
more. |
|
(c) If the commission establishes a program under this |
|
chapter, the commission, in consultation with the Energy Systems |
|
Laboratory, shall update the program on or before December 1 of each |
|
even-numbered year using the best available energy-efficient |
|
building practices. |
|
(d) If the commission establishes a program under this |
|
chapter, the program must include a checklist system to produce an |
|
energy-efficient building scorecard to help: |
|
(1) home buyers compare potential homes and, by |
|
providing a copy of the completed scorecard to a mortgage lender, |
|
qualify for energy-efficient mortgages under the National Housing |
|
Act; and |
|
(2) communities qualify for emissions reduction |
|
credits by adopting codes that meet or exceed the energy-efficient |
|
building or energy performance standards established under Chapter |
|
388, Health and Safety Code. |
|
Sec. 431.002. PUBLIC INFORMATION PROGRAM. The commission |
|
may establish a public information program to inform homeowners, |
|
sellers, buyers, and others regarding energy-efficient building |
|
ratings. |
|
Sec. 431.003. MEASUREMENT SYSTEM FOR REDUCTION IN ENERGY |
|
AND EMISSIONS. If the commission establishes a program under this |
|
chapter, the Energy Systems Laboratory shall establish a system to |
|
measure the reduction in energy and emissions produced under the |
|
energy-efficient building program and report those savings to the |
|
commission. |
|
Sec. 431.004. CERTIFICATION FEE. If the commission |
|
establishes a program under this chapter, the commission may set a |
|
certification fee sufficient to cover the cost of administering the |
|
program and pay for any education efforts conducted under this |
|
chapter. |
|
SECTION 47. Title 16, Property Code, is amended by adding |
|
Subtitle F to read as follows: |
|
SUBTITLE F. INSPECTION OF NEW RESIDENTIAL CONSTRUCTION |
|
CHAPTER 446. RESIDENTIAL CONSTRUCTION IN UNINCORPORATED AREAS AND |
|
OTHER AREAS NOT SUBJECT TO MUNICIPAL INSPECTIONS |
|
Sec. 446.001. APPLICABILITY OF CHAPTER. This chapter |
|
applies to residential construction described by Sections |
|
401.003(a)(1), (2), and (3) in an unincorporated area and to other |
|
areas not subject to municipal inspections. |
|
Sec. 446.002. INSPECTION REQUIRED. (a) A builder shall |
|
have a new home or other improvement to which this chapter applies |
|
inspected by a fee inspector. |
|
(b) For new construction subject to this chapter, there |
|
shall be a minimum of three inspections performed during the |
|
project to ensure code compliance, as applicable, at the following |
|
stages of construction: |
|
(1) foundation, prior to the placement of concrete; |
|
(2) framing and mechanical systems prior to being |
|
covered with sheetrock or other interior wall covering; and |
|
(3) final inspection when the home is completed. |
|
(c) For improvements other than new construction, the |
|
inspections described in Subsection (b) shall occur as necessary |
|
based upon the scope of work of the project. |
|
(d) The builder shall be responsible for contracting with a |
|
fee inspector authorized by this chapter to perform the inspections |
|
required by this section. |
|
(e) The commission may establish fees necessary to |
|
administer this subtitle. Such fees may be included in the home |
|
registration fee required by and described in Section 426.003(c). |
|
Sec. 446.003. ELECTRONIC REPORTING SYSTEM. (a) The |
|
commission shall establish an Internet-based process to implement |
|
this subtitle. The process shall be password protected. |
|
Inspectors will use the Internet-based process to report the |
|
satisfactory completion of the inspections required by Section |
|
446.002 to the commission. Upon reporting of satisfactory |
|
completion of the inspections, the commission shall issue a |
|
certificate of completion which shall be forwarded to the homeowner |
|
within 30 days following the registration of a home, as required by |
|
Section 426.003. |
|
(b) The commission shall allow for an alternative reporting |
|
system for persons who demonstrate to the commission an inability |
|
to comply with the electronic reporting requirements of Subsection |
|
(a). |
|
Sec. 446.004. FEE INSPECTOR. A fee inspector must be either |
|
a licensed engineer, a registered architect, a professional |
|
inspector licensed by the Texas Real Estate Commission, or a |
|
third-party inspector qualified under Section 427.001(b). A |
|
builder may use the same or a different fee inspector for |
|
inspections required under this chapter. |
|
Sec. 446.005. ELEMENTS OF INSPECTION. The commission by |
|
rule shall: |
|
(1) establish the elements of the construction that |
|
must be inspected under this chapter in accordance with Section |
|
446.002 to ensure compliance with the applicable code provisions as |
|
required by Section 430.001(d); and |
|
(2) prescribe the form and the manner in which the |
|
results of the inspection will be reported in writing. |
|
Sec. 446.006. CONSTRUCTION IN CERTAIN AREAS: ELIGIBILITY |
|
FOR CERTAIN WINDSTORM AND HAIL INSURANCE. (a) This section applies |
|
only to construction in an unincorporated area in which windstorm |
|
and hail insurance coverage is available under Chapter 2210, |
|
Insurance Code. |
|
(b) In addition to an inspection required pursuant to |
|
Section 446.002, the builder must, if required by statute, obtain a |
|
certificate of compliance for the structure in the manner provided |
|
under Section 2210.251, Insurance Code. |
|
SECTION 48. Subchapter Z, Chapter 214, Local Government |
|
Code, is amended by adding Section 214.906 to read as follows: |
|
Sec. 214.906. VERIFICATION OF BUILDER REGISTRATION. A |
|
municipality may not issue a building permit to a builder, as |
|
defined by Section 401.003, Property Code, for construction |
|
described by Section 401.003(a), Property Code, unless the |
|
municipality has verified that the builder is registered with the |
|
Texas Residential Construction Commission under Chapter 416, |
|
Property Code, or is exempt from registration under Section |
|
401.005, Property Code. |
|
SECTION 49. Section 388.009, Health and Safety Code, is |
|
repealed. |
|
SECTION 50. On or before June 1, 2008, the Texas Residential |
|
Construction Commission shall adopt all rules necessary to |
|
implement Subtitle F, Title 16, Property Code, as added by this Act. |
|
SECTION 51. Subtitle F, Title 16, Property Code, as added |
|
by this Act, applies only to construction commenced on or after |
|
September 1, 2008. For the purposes of Subtitle F, Title 16, |
|
Property Code, as added by this Act, construction commenced before |
|
September 1, 2008, is governed by the law in effect immediately |
|
before the effective date of this Act and the former law is |
|
continued in effect for such construction. |
|
SECTION 52. (a) The House Committee on State Affairs shall |
|
conduct an interim study regarding the feasibility of creating a |
|
fund designed to reimburse aggrieved persons who experience actual |
|
damages from a builder's actions in violation of Title 16, Property |
|
Code. The speaker of the house of representatives shall appoint two |
|
additional members of the house of representatives who have |
|
expressed an interest in this issue as voting adjunct members of the |
|
committee for the purpose of participating in the study. |
|
(b) The committee shall investigate: |
|
(1) potential methods for payments into the fund, |
|
procedures for managing the fund, and methods for making claims to |
|
the fund; and |
|
(2) similar funds created by other states and |
|
jurisdictions of the United States and the relative successes or |
|
failures of those funds. |
|
(c) Not later than September 1, 2008, the committee shall |
|
submit to the speaker of the house of representatives and the |
|
members of the house of representatives: |
|
(1) the results of the study; and |
|
(2) any recommendations for statutory changes |
|
resulting from the findings of the study. |
|
(d) This section expires October 1, 2008. |
|
SECTION 53. (a) This Act applies only to the following |
|
that are filed on or after September 1, 2007: |
|
(1) an application for a building permit or |
|
certification as a builder or a Texas Star Builder; or |
|
(2) a request for state-sponsored inspection and |
|
dispute resolution. |
|
(b) An application for a building permit or for |
|
certification as a builder or a Texas Star Builder or a request for |
|
state-sponsored inspection and dispute resolution that was filed |
|
before September 1, 2007, is governed by the law as it existed |
|
immediately before September 1, 2007, and that law is continued in |
|
effect for that purpose. |
|
SECTION 54. Section 5.016, Property Code, as added by this |
|
Act, applies only to a transfer of residential property in which the |
|
improvements to the property commenced on or after September 1, |
|
2007. A transfer of residential property in which the improvements |
|
commenced before September 1, 2007, is governed by the law in effect |
|
at the time the improvements were commenced, and the former law is |
|
continued in effect for that purpose. |
|
SECTION 55. Section 416.012, Property Code, as added by |
|
this Act, applies only to work performed by a builder on or after |
|
September 1, 2007. Work performed by a builder before that date is |
|
governed by the law in effect when the work is performed, and the |
|
former law is continued in effect for that purpose. |
|
SECTION 56. The changes in law made by this Act by the |
|
amendment of Section 418.001, Property Code, apply only to conduct |
|
that occurs on or after September 1, 2007. Conduct that occurs |
|
before that date is governed by the law in effect when the conduct |
|
occurs, and the former law is continued in effect for that purpose. |
|
SECTION 57. This Act takes effect September 1, 2007. |
|
|
|
______________________________ |
______________________________ |
|
President of the Senate |
Speaker of the House |
|
|
|
I certify that H.B. No. 1038 was passed by the House on April |
|
25, 2007, by the following vote: Yeas 135, Nays 1, 1 present, not |
|
voting; and that the House concurred in Senate amendments to H.B. |
|
No. 1038 on May 24, 2007, by the following vote: Yeas 136, Nays 2, |
|
3 present, not voting. |
|
|
|
______________________________ |
|
Chief Clerk of the House |
|
|
I certify that H.B. No. 1038 was passed by the Senate, with |
|
amendments, on May 21, 2007, by the following vote: Yeas 31, Nays |
|
0. |
|
|
|
______________________________ |
|
Secretary of the Senate |
|
APPROVED: __________________ |
|
Date |
|
|
|
__________________ |
|
Governor |