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  By: Lucio  S.B. No. 1038
         (In the Senate - Filed March 1, 2007; March 14, 2007, read
  first time and referred to Committee on Business and Commerce;
  May 11, 2007, reported adversely, with favorable Committee
  Substitute by the following vote:  Yeas 7, Nays 0; May 11, 2007,
  sent to printer.)
 
  COMMITTEE SUBSTITUTE FOR S.B. No. 1038 By:  Lucio
 
 
A BILL TO BE ENTITLED
 
AN ACT
 
  relating to the regulation of certain lease agreements in
  manufactured home communities.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 94.051, Property Code, is amended to
  read as follows:
         Sec. 94.051.  INFORMATION TO BE PROVIDED TO PROSPECTIVE
  TENANT.  At the time the landlord receives an application from a
  prospective tenant, the landlord shall give the tenant a copy of:
               (1)  the proposed lease agreement for the manufactured
  home community;
               (2)  any manufactured home community rules; and
               (3)  a separate disclosure statement with the following
  prominently printed in at least 10-point type:
         "You have the legal right to an initial lease term of six
  months. If you prefer a different lease period, you and your
  landlord may negotiate a shorter or longer lease period. After the
  initial lease period expires, you and your landlord may negotiate a
  new lease term by mutual agreement. Regardless of the term of the
  lease, [if the recreational vehicle is tied to, affixed, or
  otherwise a permanent part of the premises,] the landlord must give
  you at least 60 days' notice of the nonrenewal of the lease.  
  However, if the manufactured home community's land use will change,
  the landlord must give you at least 180 days' notice before the
  landlord can nonrenew the lease [if the landlord will not renew your
  lease and will require that you relocate your manufactured home or
  recreational vehicle].  You [During the 60 day period, you] must
  continue to pay all rent and other amounts due under the lease
  agreement, including late charges, if any, after receiving notice
  of the nonrenewal."
         SECTION 2.  The heading to Section 94.204, Property Code, is
  amended to read as follows:
         Sec. 94.204.  NONRENEWAL OF LEASE [TERMINATION] FOR CHANGE
  IN LAND USE.
         SECTION 3.  Subsection (a), Section 94.204, Property Code,
  is amended to read as follows:
         (a)  A landlord may choose not to renew [terminate] a lease
  agreement to change the manufactured home community's land use only
  if not later than the 180th day before the date the land use will
  change:
               (1)  [not later than the 120th day before the date the
  land use changes,] the landlord sends notice to the tenant, to the
  owner of the manufactured home if the owner is not the tenant, and
  to the holder of any lien on the manufactured home:
                     (A)  specifying the date that the land use will
  change; and
                     (B)  informing the tenant, owner, and lienholder,
  if any, that the owner must relocate the manufactured home; and
               (2)  [not later than the 120th day before the date the
  land use changes,] the landlord posts in a conspicuous place in the
  manufactured home community a notice stating that the land use will
  change and specifying the date that the land use will change.
         SECTION 4.  The changes in law made by this Act apply only to
  a lease agreement or a renewal to a lease agreement entered into
  after the effective date of this Act.  A lease agreement or a
  renewal to a lease agreement entered into on or before the effective
  date of this Act is covered by the law in effect at the time the
  lease agreement or the renewal to the lease agreement was entered
  into, and the former law is continued in effect for that purpose.
         SECTION 5.  This Act takes effect September 1, 2007.
 
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