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HB 2471

AN ACT relating to security deposits collected by a municipal utility

House Bill
Filed

Filed

Bill introduced by legislator

Committee

Hearing

Passed Cmte

Calendar

Passed

Sent

Enrolled

Governor

Signed

89th Regular Session

Jan 14, 2025 - Jun 2, 2025 • Session ended

Awaiting Committee Assignment

Bill filed, pending referral to House committee

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Committee

Not yet assigned

Fiscal Note

Not available

What This Bill Does

Prevents municipal utility districts from arbitrarily deducting damages or service charges from a security deposit that does not belong to the person responsible for those damages. Specifically, if a district collects separate security deposits from both a landlord and a tenant, they can only deduct damages or charges from the deposit of the specific party directly responsible for those damages. The law aims to protect tenants and landlords from unfair utility deposit practices by ensuring that each party's security deposit remains separate and protected.

Subject Areas

Bill Text

relating to security deposits collected by a municipal utility
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1.  Subchapter D, Chapter 54, Water Code, is amended
by adding Section 54.2053 to read as follows:
Sec. 54.2053.  RESTRICTIONS ON USE OF CERTAIN DEPOSITS FOR
SERVICES.  A district that collects a separate security deposit
from a landlord and a tenant of the landlord for services or
facilities furnished by the district may deduct damages and charges
only from the security deposit of the person who is directly
responsible for the damages or charges.
SECTION 2.  This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution.  If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2025.

Bill History

filed

Bill filed: AN ACT relating to security deposits collected by a municipal utility