SRC-VRA H.B. 1129 78(R) BILL ANALYSIS Senate Research Center H.B. 1129 By: Farrar (Gallegos) Intergovernmental Relations 5/16/2003 Engrossed DIGEST AND PURPOSE Since the City of Houston is not zoned, it has to rely heavily on deed restrictions to stop the encroachment of noncompatible land uses and inappropriate development. Currently, the City of Houston's Legal Department, Neighborhood Protection Division, can enforce three different types of deed restrictions: residential use, setbacks, and the lot size and number of structures on a lot. Recently, when petitioning the city to enforce deed restrictions, many citizens have been told that the deed restrictions are too vague and ambiguous to be enforceable. This bill attempts to ameliorate this problem by more explicitly stating what types of deed restrictions the city can enforce. H.B. 1129 pertains only to the City of Houston and is intended to help ensure that communities can implement and enforce appropriate deed restrictions to ensure that older and lower income residential areas have the tools they need to help revitalize their communities. RULEMAKING AUTHORITY This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 212.132, Local Government Code, as redesignated by Chapter 1420, Acts of the 77th Legislature, Regular Session, 2001, to redefine "restriction." SECTION 2. Amends Section 212.133, Local Government Code, as redesignated by Chapter 1420, Acts of the 77th Legislature, Regular Session, 2001, as follows: (a) Makes a conforming change. (b) Prohibits the municipality from initiating or maintaining a suit to enjoin or abate a violation of a restriction if a property owners' association with the authority to enforce the restriction files suit to enforce the restriction. (c) Prohibits the association, in a suit by a property owners' association to enforce a restriction, from submitting into evidence or otherwise using the work product of the municipality's legal counsel. SECTION 3. Makes application of Section 212.133, Local Government Code, as redesignated by Chapter 1420, Acts of the 77th Legislature, Regular Session, 2001, and amended by this Act, prospective. SECTION 4. Amends Subchapter E, Chapter 212, Local Government Code, as redesignated by Chapter 1420, Acts of the 77th Legislature, Regular Session, 2001, by adding Section 212.1335, as follows: Sec. 212.1335. FORECLOSURE BY PROPERTY OWNERS ASSOCIATION. (a) Prohibits a municipality from participating in a suit or other proceeding to foreclose a property owners' association's lien on real property. (b) Prohibits the association, in a suit or other proceeding to foreclose a property owners' association's lien on real property in the subdivision, from submitting into evidence or otherwise use the work product of the municipality's legal counsel. SECTION 5. Makes application of Section 212.1335, Local Government Code, as added by this Act, prospective. SECTION 6. Effective date: September 1, 2003.