HB 2630
AN ACT relating to declarant control of certain property owners'
89th Regular Session
Jan 14, 2025 - Jun 2, 2025 • Session ended
Awaiting Committee Assignment
Bill filed, pending referral to House committee
Committee
Not yet assigned
Fiscal Note
Not available
What This Bill Does
Modifies rules for property owners' associations by limiting how long a declarant (original property developer) can control the association's board. After 50% of lots are sold to non-developer owners, at least one board member must be elected by those owners. When 75% of lots are sold, at least one-third of board members must be elected by non-developer owners. If the total number of lots isn't specified in the declaration, one-third of board members must be elected within five years of the declaration's recording. These changes aim to give homeowners more representation and control in their property owners' association governance.
Subject Areas
Bill Text
relating to declarant control of certain property owners' BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 209.00591(c), Property Code, is amended (c) The declaration may provide for a period of declarant control of the association during which a declarant, or persons designated by the declarant, may appoint and remove board members and the officers of the association, other than board members or officers elected by members of the property owners' association. Regardless of the period of declarant control provided by the (1) on or before the 120th day after the date 50 percent of the lots that may be created and made subject to the declaration are conveyed to owners other than a declarant or a builder in the business of constructing homes who purchased the lots from the declarant for the purpose of selling completed homes built on the lots, at least one board member must be elected by owners other than the declarant; (2) on or before the 120th day after the date 75 percent of the lots that may be created and made subject to the declaration are conveyed as described by Subdivision (1) [to owners other than a declarant or a builder in the business of constructing homes who purchased the lots from the declarant for the purpose of selling completed homes built on the lots], at least one-third of the board members must be elected by owners other than the (3) if[. If] the declaration does not include the number of lots that may be created and made subject to the declaration, at least one-third of the board members must be elected by owners other than the declarant not later than the fifth [10th] anniversary of the date the declaration was recorded. SECTION 2. Section 209.00591, Property Code, as amended by this Act, applies to a declaration regardless of whether the declaration was created or amended before, on, or after the SECTION 3. This Act takes effect September 1, 2025.
Bill History
Bill filed: AN ACT relating to declarant control of certain property owners'
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