HBA-AMW H.B. 3517 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3517
By: Turner, Bob
Land & Resource Management
4/18/2001
Introduced



BACKGROUND AND PURPOSE 

Currently, some real estate developers rely on restrictive covenants and
building restrictions in deeds to control the orderly growth of real estate
developments.  Many of these covenants and building restrictions contain
time expiration provisions while other restrictions do not.  As a result of
such inconsistency, many rural counties throughout Texas have had a
difficult time regulating the growth and development of the residential
development of subdivisions located in unincorporated areas.    House Bill
3517 sets forth provisions relating to amending building restrictions in
residential unincorporated subdivisions in counties with a population of
less than 65,000. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 3517 amends the Property Code to specify that provisions
regarding amendments to building restrictions in residential unincorporated
subdivisions apply to a residential real estate subdivision and any of the
subdivision's units or parcels located in whole or in part within an
unincorporated area of a county that has a population of less than 65,000
and to all restrictive covenants regardless of the date on which the
covenants were created.   

The bill also sets forth that provisions relating to the extension of the
term, renewal, creation, or change of building restrictions apply only to a
subdivision which, by the express terms of the instrument creating existing
restrictions, some or all of the restrictions affecting the real property
within the subdivision or any of its units or parcels provide: 

 _for no means, manner, or method for amending, changing, or modifying the
restrictions; 

 _for the unanimous consent of all the property owners in such subdivisions
or the unanimous consent of all the property owners in any of its units or
parcels of the amending, changing, or modifying of the restrictions; or 

 _for the consent of the developer of the subdivision or the consent of an
architectural control committee for any amendment, change, or modification. 

EFFECTIVE DATE

The Act takes effect on the 91st day after adjournment.