BILL ANALYSIS
By: Ritter
BACKGROUND AND PURPOSE
Currently, building inspections are virtually non-existent in unincorporated areas of the state. House Bill 1039 mandates that a builder of a structure in unincorporated areas of the state must obtain an inspection by a certified, third party inspector before a registration of that structure can be issued by the state.
RULEMAKING AUTHORITY
It is the committee's opinion that rulemaking authority is expressly granted to the Texas Residential Construction Commission in SECTION 1 and SECTION 2 of the bill.
ANALYSIS
SECTION 1: House Bill 1039 amends Title 16 of Texas' Property Code by adding additional language, Chapter 446 under Subtitle F, which applies to the inspection of new residential construction in an unincorporated area.
Section 446.001 applies the new language, Chapter 446 under Subtitle F, to construction in an unincorporated area performed by a builder as described by Section 401.003(a).
Section 446.002 requires a builder to:
1.) Have a new home or other improvement inspected by a third-party inspector that is approved by the commission;
2.) Have the inspection conducted at the time and in the manner prescribed by the commission;
3.) Submit a written report prepared by the inspector describing the result of the inspection to the commission and the purchaser of the new home or improvement.
Section 446.003 authorizes a third-party inspector, as described by Section 427.001(b), to perform an inspection, unless the commission establishes additional qualifications for performing inspections.
Section 446.004 requires the commission to establish the elements of construction to be inspected and prescribe the form for inspection results to be reported in writing.
Section 446.005. If construction is in an unincorporated area where hail and windstorm insurance is available under Chapter 2210, the builder will obtain a certificate of compliance for the structure and provide a copy of the certificate of compliance to the commission and the buyer of the home or improvement in addition to the inspection required by Section 446.002.
Section 446.006. A builder is subject to disciplinary action under Chapter 418 and may be subject to an administrative penalty under Chapter 419 for violating this chapter.
SECTION 2: The Texas Residential Construction Commission is required to adopt rules to implement Subtitle F, Title 16, Property Code, on or before December 1, 2007.
SECTION 3: The change in law applies to construction commenced on or before January 1, 2008. Construction commenced before January 1, 2008 is governed by the laws in effect prior to the change.
SECTION 4: This Act takes effect September 1, 2007.
EFFECTIVE DATE
September 1, 2007.