HBA-MPM H.B. 1514 77(R) BILL ANALYSIS Office of House Bill AnalysisH.B. 1514 By: Junell Business & Industry 2/23/2001 Introduced BACKGROUND AND PURPOSE Some residential subdivisions in Texas are being built in close proximity to existing commercial enterprises. Persons who sell residential properties in these subdivisions might not disclose the proximity of an existing commercial enterprise to a buyer. House Bill 1514 requires sellers to inform a potential buyer of residential property of commercial enterprises located within one mile of the property that emit smoke, noise, vibrations, or odors that might cause offense and makes provisions for a buyer to terminate a contract if the notice is not provided. 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 1514 amends the Property Code to require a seller of residential real property to give the purchaser a written notice disclosing the location of any commercial business located within one mile of the purchaser's property that would be considered by a reasonable person to cause an offense to the senses of a person living at the residential property, including smoke, odors, noise, or vibrations. The bill requires the seller to deliver the notice on or before the date the executory contract binds the purchaser. The bill specifies that the notice may be given separately, as part of the contract during negotiations, or as part of any other notice given to the purchaser. If an executory contract is entered into without the seller providing the required notice, the bill authorizes the purchaser to terminate the contract within seven days after the purchaser receives the notice or the date the transfer occurs, whichever is earlier. EFFECTIVE DATE October 1, 2001.