By Horn                                                H.B. No. 882

         75R3226 CAS-F                           

                                A BILL TO BE ENTITLED

 1-1                                   AN ACT

 1-2     relating to designating property as a homestead.

 1-3           BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

 1-4           SECTION 1.  Section 41.005, Property Code, is amended to read

 1-5     as follows:

 1-6           Sec. 41.005.  VOLUNTARY DESIGNATION OF HOMESTEAD.  (a)  If a

 1-7     rural homestead of a family is part of one or more parcels

 1-8     containing a total of more than 200 acres, the head of the family

 1-9     and, if married, that person's spouse may voluntarily designate not

1-10     more than 200 acres of the property as the homestead.  If a rural

1-11     homestead of a single adult person, not otherwise entitled to a

1-12     homestead, is part of one or more parcels containing a total of

1-13     more than 100 acres, the person may voluntarily designate not more

1-14     than 100 acres of the property as the homestead.

1-15           (b)  If an urban homestead of a family, or an urban homestead

1-16     of a single adult person not otherwise entitled to a homestead, is

1-17     part of one or more lots containing a total of more than one acre,

1-18     the head of the family and, if married, that person's spouse or the

1-19     single adult person, as applicable, may voluntarily designate not

1-20     more than one acre of the property as the homestead.

1-21           (c)  Except as provided by Subsection (e) or Subchapter B, to

1-22     [To] designate property as a homestead, a person or persons, as

1-23     applicable, must make the designation in an instrument that is

1-24     signed and acknowledged or proved in the manner required for the

 2-1     recording of other instruments.  The person or persons must file

 2-2     the designation with the county clerk of the county in which all or

 2-3     part of the property is located.  The clerk shall record the

 2-4     designation in the county deed records.  The designation must

 2-5     contain:

 2-6                 (1)  a description sufficient to identify the property

 2-7     designated;

 2-8                 (2)  a statement by the person or persons who executed

 2-9     the instrument that the property is designated as the homestead of

2-10     the person's family or as the homestead of a single adult person

2-11     not otherwise entitled to a homestead; [and]

2-12                 (3)  the name of the current record title holder of the

2-13     property; and

2-14                 (4)  for a rural homestead, the number of acres

2-15     designated and, if there is more than one survey, the number of

2-16     acres in each.

2-17           (d)  A person or persons, as applicable, may change the

2-18     boundaries of a homestead designated under Subsection (c) [this

2-19     section] by executing and recording an instrument in the manner

2-20     required for a voluntary designation under that subsection.  A

2-21     change under this subsection does not impair rights acquired by a

2-22     party before the change.

2-23           (e)  Except as otherwise provided by this subsection,

2-24     property on which a person receives an exemption from taxation

2-25     under Section 11.43, Tax Code, is considered to have been

2-26     designated as the person's homestead for purposes of this

2-27     subchapter if the property is listed as the person's residence

 3-1     homestead on the most recent appraisal roll for the appraisal

 3-2     district established for the county in which the property is

 3-3     located.  If a person designates property as a homestead under

 3-4     Subsection (c) or Subchapter B and a different property is

 3-5     considered to have been designated as the person's homestead under

 3-6     this subsection, the designation under Subsection (c) or Subchapter

 3-7     B, as applicable, prevails for purposes of this chapter.

 3-8           (f)  If a person or persons, as applicable, have not made a

 3-9     voluntary designation of a homestead under this section as of the

3-10     time a writ of execution is issued against the person, any

3-11     designation of the person's or persons' homestead must be made in

3-12     accordance with Subchapter B.

3-13           (g) [(f)]  An instrument that made a voluntary designation of

3-14     a homestead in accordance with prior law and that is on file with

3-15     the county clerk on September 1, 1987, is considered a voluntary

3-16     designation of a homestead under this section.

3-17           SECTION 2.  This Act takes effect September 1, 1997.

3-18           SECTION 3.  The importance of this legislation and the

3-19     crowded condition of the calendars in both houses create an

3-20     emergency and an imperative public necessity that the

3-21     constitutional rule requiring bills to be read on three several

3-22     days in each house be suspended, and this rule is hereby suspended.