INTRODUCED
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HOUSE COMMITTEE
SUBSTITUTE
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SECTION 1. Section 1201.003,
Occupations Code, is amended by amending Subdivisions (1), (6), (7), (8),
(19), (23), (24), (26), (30), and (32) and adding Subdivisions (21-a) and (22-a)
to read as follows:
(1), (6), (7), (8)
No equivalent
provision.
(19), (21-a)
(22-a)
"Refurbish" means any general repairs, improvements, or aesthetic
changes to a manufactured home that do not constitute the rebuilding of a
salvaged manufactured home.
(23) "Related person"
means a person who directly [or indirectly] participates in
management or policy decisions, holds
a supervisory position over employees, or has the authority to enter into
binding agreements on behalf of the company or business.
(24), (26)
No equivalent
provision.
(30), (32)
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SECTION 1. Section 1201.003,
Occupations Code, is amended by amending Subdivisions (1), (6), (7), (8),
(19), (23), (24), (26), (30), and (32) and adding Subdivisions (9-a),
(21-a), and (26-a) to read as follows:
(1), (6), (7), (8). Same as introduced version.
(9-a) "Credit
transaction" has the meaning assigned by Section 347.002(a)(3),
Finance Code.
(19), (21-a). Same as introduced version.
No equivalent
provision.
(23) "Related
person" means a person who:
(A) directly [or
indirectly] participates in management or policy decisions; and
(B) is designated by an entity and satisfies the requirements
of Sections 1201.104 and 1201.113 on behalf of the entity, if the entity is
licensed or seeking licensure under this chapter.
(24), (26). Same as introduced version.
(26-a) "Sales purchase contract" means the
contract between a retailer and a consumer for the purchase of a
manufactured home from the retailer.
(30), (32). Same as
introduced version.
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SECTION 2. Subchapter A,
Chapter 1201, Occupations Code, is amended by adding Section 1201.010 to
read as follows:
Sec. 1201.010. ELECTRONIC
PUBLIC RECORDS REQUIRED. The department shall provide to the public
through the department's Internet website searchable and downloadable
information regarding manufactured home ownership records, lien records,
installation records, license holder records, manufacturers'
monthly shipment reports, and enforcement actions.
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SECTION 2. Subchapter A,
Chapter 1201, Occupations Code, is amended by adding Section 1201.010 to
read as follows:
Sec. 1201.010. ELECTRONIC
PUBLIC RECORDS REQUIRED. The department shall provide to the public
through the department's Internet website searchable and downloadable
information regarding manufactured home ownership records, lien records,
installation records, license holder records, and enforcement actions.
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SECTION 3. Section 1201.054,
Occupations Code, is amended.
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SECTION 3. Same as introduced
version.
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SECTION 4. Section 1201.055(a),
Occupations Code, is amended.
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SECTION 4. Same as introduced
version.
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SECTION 5. Section 1201.101,
Occupations Code, is amended by amending Subsections (b), (c), (e), and (g)
and adding Subsection (e-1) to read as follows:
(b), (c)
(e) A person may not repair,
rebuild, or otherwise refurbish [alter] a salvaged
manufactured home unless the person holds a retailer's license.
(e-1) A person other than
a consumer may not refurbish a manufactured home that is not a salvaged
manufactured home unless the person holds a retailer's license.
(g)
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SECTION 5. Sections 1201.101(b),
(c), and (g), Occupations Code, are amended to read as follows:
(b), (c). Same as introduced
version.
No equivalent
provision.
No equivalent
provision.
(g). Same as introduced
version.
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SECTION 6. Section
1201.102(d), Occupations Code, is amended to read as follows:
No
equivalent provision.
(d)
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SECTION 6. Section 1201.102,
Occupations Code, is amended by adding Subsection (c-1) and amending
Subsection (d) to read as follows:
(c-1) An individual who
is listed as an owner, principal, partner, corporate officer, registered
agent, or related person of an entity that is licensed as a retailer or
broker may act on behalf of that license holder in the capacity of a
retailer, broker, or salesperson without holding the appropriate license if
at least one individual who is listed as an owner, principal, partner,
corporate officer, registered agent, or related person of the entity has
satisfied the requirements of Sections 1201.104 and 1201.113.
(d). Same as introduced
version.
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SECTION 7. Sections
1201.104(a), (a-2), (b), and (h), Occupations Code, are amended to read as
follows:
(a) Except as provided by
Subsection (g), as a requirement for a manufacturer's, retailer's,
broker's, installer's, or salesperson's license, or to be designated as
a related person, a person who was not licensed or registered with the
department or a predecessor agency on September 1, 1987, must, not more
than 12 months before applying for the person's first license under this
chapter or for designation as a related person, as applicable,
attend and successfully complete eight hours of instruction in the law,
including instruction in consumer protection regulations.
No equivalent
provision.
(a-2)
(b) Except in the case of an
applicant for a salesperson's license, successful completion of the course
of instruction is a prerequisite to obtaining the license or to being
designated as a related person.
(h)
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SECTION 7. Sections 1201.104(a-1),
(a-2), and (h), Occupations Code, are amended to read as follows:
No equivalent
provision.
(a-1) If the applicant is
not an individual, the applicant must have at least one related person who
satisfies the requirements of Subsection (a). If that applicant is
applying for a retailer's license, the related person must be a management
official who satisfies the requirements of Subsections (a) and (a-2) for
[at] each retail location operated by the applicant.
(a-2). Same as introduced
version.
No
equivalent provision.
(h). Same as introduced
version.
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No
equivalent provision.
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SECTION 8. Section
1201.105(a), Occupations Code, is amended to read as follows:
(a) The department may not
issue or renew a license unless a bond or other security in a form
prescribed by the director is filed with the department as provided by this
subchapter. The bond or other security is payable to the manufactured
homeowner consumer claims program [trust fund].
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SECTION 8. Section
1201.106(a-1), Occupations Code, is amended to read as follows:
(a-1) Notwithstanding the
provisions of Subsection (a), the director may require additional security
for the licensing, renewal, or relicensing of a person, or the
sponsoring of a salesperson, who, either directly, as a related person,
or through a related person, has been the subject of a license revocation,
has caused the trust fund to
incur unreimbursed costs or liabilities in excess of available surety bond
coverage, or has failed to pay an administrative penalty that has been
assessed by final order.
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SECTION 9. Section
1201.106(a-1), Occupations Code, is amended to read as follows:
(a-1) Notwithstanding the
provisions of Subsection (a), the director may require additional security
for the licensing, renewal, or relicensing of a person, or the
sponsoring of a salesperson, who, either directly, as a related person,
or through a related person, has been the subject of a license revocation,
has caused the manufactured homeowner
consumer claims program [trust fund] to incur
unreimbursed costs or liabilities in excess of available surety bond
coverage, or has failed to pay an administrative penalty that has been
assessed by final order.
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SECTION 9. Sections
1201.107(b) and (d), Occupations Code, are amended.
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SECTION 10. Same as
introduced version.
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SECTION 10. Section
1201.111(a), Occupations Code, is amended.
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SECTION 11. Same as
introduced version.
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SECTION 11. The heading to
Section 1201.113, Occupations Code, is amended.
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SECTION 12. Same as
introduced version.
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SECTION 12. Section
1201.113, Occupations Code, is amended.
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SECTION 13. Same as
introduced version.
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No
equivalent provision.
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SECTION 14. Section
1201.118, Occupations Code, is amended to read as follows:
Sec. 1201.118. RULES
RELATING TO CERTAIN PERSONS. The board shall adopt rules providing for
additional review and scrutiny of any application for an initial or renewal
license that involves a person who has previously:
(1) been found in a final
order to have participated in one or more violations of this chapter that
served as grounds for the suspension or revocation of a license;
(2) been found to have
engaged in activity subject to this chapter without possessing the required
license;
(3) caused the manufactured
homeowner consumer claims program [trust fund] to incur
unreimbursed payments or claims; or
(4) failed to abide by the
terms of a final order, including the payment of any assessed
administrative penalties.
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SECTION 13. Section
1201.151(e), Occupations Code, is amended to read as follows:
(e) A deposit becomes a down
payment upon execution of a retail
sales contract or other applicable contract [binding written
agreement]. Thereafter, if the consumer exercises the consumer's
three-day [a] right of rescission in accordance with Section
1201.1521, the retailer shall, not later than the 15th day after the
date of the rescission, refund to the consumer all money and other
consideration received from the consumer, with only the allowable [without
offset or] deduction for
third-party expenses in accordance with Section 1201.1511.
No equivalent
provision.
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SECTION 15. Section
1201.151, Occupations Code, is amended by amending Subsection (e) and
adding Subsection (f) to read as follows:
(e) A deposit becomes a down
payment upon execution of a sales
purchase contract [binding written agreement].
Thereafter, if the consumer exercises the consumer's three-day [a]
right of rescission in accordance with Section 1201.1521, the
retailer shall, not later than the 15th day after the date of the
rescission, refund to the consumer all money and other consideration
received from the consumer, with only the allowable [without
offset or] deduction for real
property appraisal and title work expenses in accordance with
Section 1201.1511.
(f) Retention of real
property appraisal and title work expenses authorized by Subsection (e) is
not allowed if the consumer exercises the right of rescission in accordance
with 12 C.F.R. Section 1026.23.
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SECTION 14. Subchapter D,
Chapter 1201, Occupations Code, is amended by adding Section 1201.1511 to
read as follows:
Sec. 1201.1511.
THIRD-PARTY EXPENSES. (a) Notwithstanding Section 1201.151 or 1201.1521,
a retailer may collect from a consumer in advance or deduct from the
consumer's deposit or down payment any third-party
expenses incurred by the retailer if the consumer:
(1) contracts with the
retailer to arrange for services that are performed by a third party and related to the construction
and installation of a manufactured home;
(2) is provided notice of
laws relating to rescission and third-party
expenses before signing the contract for third-party
services; and
(3) is provided an
itemized list of the specific third-party
expenses incurred by the retailer.
(b) A retailer may not
charge to the consumer any fees or expenses other than the third-party expenses disclosed to the
consumer under Subsection (a)(3).
(c) The department may
demand copies of contracts, invoices, receipts, or other proof of any third-party expenses retained by a
retailer.
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SECTION 16. Subchapter D,
Chapter 1201, Occupations Code, is amended by adding Section 1201.1511 to
read as follows:
Sec. 1201.1511. REAL
PROPERTY APPRAISAL AND TITLE WORK EXPENSES. (a) Notwithstanding Section
1201.151 or 1201.1521, a retailer may collect from a consumer in advance or
deduct from the consumer's deposit or down payment any expenses incurred by
the retailer if, after receiving a
conditional notification of approval from a lender chosen by the consumer,
the consumer:
(1) contracts with the
retailer to arrange for services that are performed by an appraiser of real property or a title
company in connection with real property that will be included in the
purchase or exchange or is intended to be pledged by the consumer as
collateral for the consumer's purchase or exchange of a
manufactured home;
(2) is provided notice of
laws relating to rescission and real
property appraisal and title work expenses before signing the
contract for real property appraisal and
title work services; and
(3) is provided an
itemized list of the specific real
property appraisal and title work expenses incurred by the retailer.
(b) A retailer may not
charge to the consumer any fees or expenses other than the real property appraisal and title work
expenses disclosed to the consumer under Subsection (a)(3).
(c) The department may
demand copies of contracts, invoices, receipts, or other proof of any real property appraisal and title work
expenses retained by a retailer.
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SECTION 15. Section
1201.152(a), Occupations Code, is amended.
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SECTION 17. Same as
introduced version.
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SECTION 16. Section
1201.1521, Occupations Code, is amended to read as follows:
Sec. 1201.1521. RESCISSION
OF CONTRACT FOR SALE OR[,] EXCHANGE[, OR LEASE-PURCHASE]
OF HOME. (a) A person who acquires a manufactured home from or through a
licensee by purchase or[,] exchange[, or lease-purchase]
may, not later than the third day after the date the retail sales contract or other applicable contract is signed, rescind
the contract without penalty or charge other than a third-party expense incurred in
accordance with Section 1201.1511.
No equivalent
provision.
(b)
(c) Notwithstanding
Subsection (a), if the purchase of the manufactured home is made wholly or
partly with a consumer credit transaction in which a creditor will obtain a
lien or other security interest in the manufactured home during the term of
the credit transaction, the right of rescission immediately terminates on
the execution by the consumer of a binding note, security agreement, or
other financing credit contract for which the consumer's purchased
manufactured home will serve as collateral for the consumer credit
transaction.
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SECTION 18. Section
1201.1521, Occupations Code, is amended to read as follows:
Sec. 1201.1521. RESCISSION
OF CONTRACT FOR SALE OR[,] EXCHANGE[, OR LEASE-PURCHASE]
OF HOME. (a) A person who acquires a manufactured home from or through a
licensee by purchase or[,] exchange[, or lease-purchase]
may, in a cash transaction occurring
not later than the third day after the date the sales purchase [applicable]
contract is signed, rescind the contract without penalty or charge other
than the real property appraisal and
title work expenses incurred in accordance with Section 1201.1511.
(b) A person who acquires
a manufactured home from or through a licensee by purchase or exchange may,
in a transfer that is based wholly or partly on a credit transaction
occurring not later than the third day after the date of the signing of the
binding note, security agreement, or other financing credit contract with
respect to which the consumer's purchased manufactured home will serve as
collateral for the credit transaction, rescind the contract without penalty
or charge other than the real property appraisal and title work expenses
incurred in accordance with Section
1201.1511.
(c) [(b)].
Substantially the same as introduced version.
No equivalent
provision.
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SECTION 17. Section
1201.156, Occupations Code, is amended.
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SECTION 19. Same as
introduced version.
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SECTION 18. Section
1201.157, Occupations Code, is amended.
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SECTION 20. Same as
introduced version.
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SECTION 19. Sections
1201.162(a) and (c), Occupations Code, are amended to read as follows:
(a)
(c) The right of rescission
described in Subsection (a) shall apply only to the sale transaction
between the retailer and the consumer. Failure by the retailer to comply
with the disclosure provisions of this section does not affect the validity
of a subsequent conveyance or transfer of title of a manufactured home or
otherwise impair a title or lien position of a person other than the
retailer. The consumer shall continue to have the right of rescission with
regard to the retailer until the end of the third day after the retailer
delivers a copy of the disclosure required by Subsection (a). The
consumer's execution of a signed receipt of a copy of the disclosure
required by Subsection (a) shall constitute conclusive proof of the
delivery of the disclosure. If the consumer grants a person other than the
retailer a lien on the manufactured home, the right of rescission [shall]
immediately terminates on execution of a binding note, security
agreement, or other financing credit contract, or [cease] on the
filing of the lien with the department.
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SECTION 21. Section
1201.162(a), Occupations Code, is amended to read as follows:
(a). Same as introduced
version.
No equivalent
provision.
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SECTION 20. Section
1201.164, Occupations Code, is amended to read as follows:
Sec. 1201.164. ADVANCE COPY
OF CONTRACT AND DISCLOSURE STATEMENTS; OFFER BY RETAILER. (a) In a
transaction that is to be financed and that will not be subject to the
federal Real Estate Settlement Procedures Act of 1974 (Pub. L. No. 93-533)
and its implementing regulations, a retailer shall deliver to a consumer at
least 24 hours before the retail
sales contract or other applicable
contract is fully executed the contract, with all required
information included, signed by the retailer. The delivery of the
contract, with all required information included, signed by the retailer
constitutes a firm offer by the retailer. Except as provided for by
[in] Subsection (b), the consumer may accept the offer not earlier
than 24 hours after the delivery of the contract. If the consumer has not
accepted the offer within 72 hours after the delivery of the contract, the
retailer may withdraw the offer.
(b)
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SECTION 22. Section
1201.164, Occupations Code, is amended to read as follows:
Sec. 1201.164. ADVANCE COPY
OF SALES PURCHASE CONTRACT AND DISCLOSURE STATEMENTS; OFFER BY
RETAILER. (a) In a transaction that is to be financed and that will not
be subject to the federal Real Estate Settlement Procedures Act of 1974
(Pub. L. No. 93-533) and its implementing regulations, a retailer shall
deliver to a consumer at least 24 hours before the sales purchase contract is fully executed the
contract, with all required information included, signed by the retailer.
The delivery of the contract, with all required information included,
signed by the retailer constitutes a firm offer by the retailer. Except as
provided for by [in] Subsection (b), the consumer may accept the
offer not earlier than 24 hours after the delivery of the contract. If the
consumer has not accepted the offer within 72 hours after the delivery of
the contract, the retailer may withdraw the offer.
(b). Substantially the same
as introduced version.
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SECTION 21. The heading to
Subchapter E, Chapter 1201, Occupations Code, is amended.
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SECTION 23. Same as
introduced version.
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SECTION 22. Section
1201.201, Occupations Code, is amended.
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SECTION 24. Same as
introduced version.
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SECTION 23. Section 1201.203,
Occupations Code, is amended to read as follows:
Sec. 1201.203. FORMS; RULES.
(a), (b)
(c) The department may
make corrections and other nonsubstantive changes to forms described by
this section when necessary to improve efficiency or to modernize the
department's systems. The board shall review any changes made by the
department at the next board meeting following the changes.
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SECTION 25. Section
1201.203, Occupations Code, is amended to read as follows:
Sec. 1201.203. FORMS; RULES.
(a), (b). Same as introduced
version.
No equivalent
provision.
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SECTION 24. Sections
1201.204(a) and (c), Occupations Code, are amended.
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SECTION 26. Same as
introduced version.
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SECTION 25. Section
1201.205, Occupations Code, is amended.
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SECTION 27. Same as
introduced version.
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SECTION 26. Sections
1201.2055(a), (c), (d), (e), (g), and (i), Occupations Code, are amended.
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SECTION 28. Same as
introduced version.
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SECTION 27. The heading to
Section 1201.206, Occupations Code, is amended.
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SECTION 29. Same as
introduced version.
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SECTION 28. Sections
1201.206(a), (b), (c), (e), (f), (g), (h), and (k), Occupations Code, are
amended to read as follows:
(a), (b), (c), (e), (f)
(g) When an application is
filed for the issuance of a statement of ownership [and location]
for a used manufactured home that is not in a retailer's inventory or is
being converted from personal property to real property in accordance with
Section 1201.2075 [is filed], a statement from the tax
assessor-collector for the taxing unit having power to tax the manufactured
home shall also be filed with the department. The statement from the tax
assessor-collector must indicate that there are no perfected and
enforceable personal property taxes
due that have not been extinguished and canceled in accordance with
Section 32.015, Tax Code, on the manufactured home that may have
accrued on each January 1 that falls within the 18 months before the date
of the sale.
(h), (k)
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SECTION 30. Sections
1201.206(a), (b), (c), (e), (f), (g), (h), and (k), Occupations Code, are
amended to read as follows:
(a), (b), (c), (e), (f). Same as introduced version.
(g) When an application is filed for the
issuance of a statement of ownership [and location] for a used
manufactured home that is not in a retailer's inventory or is being
converted from personal property to real property in accordance with
Section 1201.2075 [is filed], a statement from the tax
assessor-collector for the taxing unit having power to tax the manufactured
home shall also be filed with the department. The statement from the tax
assessor-collector must indicate that, with respect to each January 1
occurring in the 18-month period preceding the date of the sale, there
are no perfected and enforceable tax
liens on the manufactured home that have not been extinguished and canceled
in accordance with Section 32.015, Tax Code, or personal property taxes due on the
manufactured home [that may have accrued on each January 1 that falls
within the 18 months before the date of the sale].
(h), (k). Same as introduced
version.
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SECTION 29. The heading to
Section 1201.207, Occupations Code, is amended.
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SECTION 31. Same as
introduced version.
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SECTION 30. Sections
1201.207(a), (a-1), (b), (c), and (d), Occupations Code, are amended.
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SECTION 32. Same as
introduced version.
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SECTION 31. Section
1201.2075, Occupations Code, is amended.
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SECTION 33. Same as
introduced version.
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SECTION 32. Section
1201.2076(a), Occupations Code, is amended to read as follows:
(a)
No equivalent
provision.
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SECTION 34. Section
1201.2076, Occupations Code, is amended by amending Subsection (a) and
adding Subsection (a-1) to read as follows:
(a). Same as introduced
version.
(a-1) Notwithstanding
Subsection (a), the department may not require an inspection for
habitability before issuing a statement of ownership with respect to a
manufactured home if the home is being sold to or ownership is otherwise
being transferred to a retailer. The department remains subject to the
other requirements of Subsection (a).
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SECTION 33. Section
1201.208, Occupations Code, is amended.
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SECTION 35. Same as
introduced version.
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SECTION 34. Section
1201.209, Occupations Code, is amended.
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SECTION 36. Same as
introduced version.
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SECTION 35. The heading to
Section 1201.210, Occupations Code, is amended.
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SECTION 37. Same as
introduced version.
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SECTION 36. Section
1201.210(a), Occupations Code, is amended.
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SECTION 38. Same as
introduced version.
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SECTION 37. Section
1201.212, Occupations Code, is amended.
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SECTION 39. Same as
introduced version.
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SECTION 38. Section
1201.213(b), Occupations Code, is amended.
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SECTION 40. Same as
introduced version.
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SECTION 39. Section
1201.214, Occupations Code, is amended.
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SECTION 41. Same as
introduced version.
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SECTION 40. Section
1201.216, Occupations Code, is amended.
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SECTION 42. Substantially
the same as introduced version.
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SECTION 41. Section
1201.217, Occupations Code, is amended.
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SECTION 43. Same as
introduced version.
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SECTION 42. Section
1201.219(h), Occupations Code, is amended.
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SECTION 44. Same as
introduced version.
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SECTION 43. Section
1201.220, Occupations Code, is amended.
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SECTION 45. Same as
introduced version.
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SECTION 44. Section
1201.221(b), Occupations Code, is amended.
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SECTION 46. Same as
introduced version.
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SECTION 45. Section
1201.222(a), Occupations Code, is amended.
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SECTION 47. Same as
introduced version.
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SECTION 46. Section
1201.255(a), Occupations Code, is amended to read as follows:
(a) Except as authorized
under Section 1201.252, manufactured housing that is installed must be
installed in compliance with the standards and rules adopted and orders
issued by the department. An uninstalled manufactured home may not be
occupied for any residential
purpose.
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SECTION 48. Section
1201.255(a), Occupations Code, is amended to read as follows:
(a) Except as authorized
under Section 1201.252, manufactured housing that is installed must be
installed in compliance with the standards and rules adopted and orders
issued by the department. An uninstalled manufactured home may not be
occupied for any purpose other than
to view the home on a retailer's sales lot.
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No
equivalent provision.
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SECTION 49. Section
1201.358(d), Occupations Code, is amended to read as follows:
(d) A manufacturer,
retailer, or installer entitled to indemnification under this section is a
consumer for purposes of Subchapter I and may recover actual damages from
the manufactured homeowner consumer claims program [trust fund].
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SECTION 47. Section
1201.360(a), Occupations Code, is amended.
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SECTION 50. Same as
introduced version.
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No
equivalent provision.
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SECTION 51. The heading to
Subchapter I, Chapter 1201, Occupations Code, is amended to read as
follows:
SUBCHAPTER I. MANUFACTURED HOMEOWNER
CONSUMER CLAIMS PROGRAM [HOMEOWNERS' RECOVERY TRUST FUND]
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No
equivalent provision.
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SECTION 52. Section
1201.401, Occupations Code, is amended to read as follows:
Sec. 1201.401. MANUFACTURED HOMEOWNER
CONSUMER CLAIMS PROGRAM [HOMEOWNERS' RECOVERY TRUST FUND]. (a)
The department shall administer the manufactured homeowner
consumer claims program to provide a remedy for damages resulting from
prohibited conduct by a person licensed under this chapter [homeowners'
recovery trust fund is an account in the general revenue fund].
(b) The department may
make a payment under the manufactured homeowner consumer claims program
only after all other departmental operating expenses are sufficiently
funded.
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SECTION 48. Section
1201.403, Occupations Code, is amended to read as follows:
Sec. 1201.403. AMOUNT
RESERVED IN TRUST FUND; PAYMENT OF COSTS. (a) The amount [One
million dollars shall be] reserved in the trust fund shall be
determined by a specific appropriation made to the department and allocated
to the fund by the operating budget of the department [for payment
of valid consumer claims].
(b) If any part of the
department's operating budget is based on appropriated receipts, [Unless
the balance of the trust fund is less than $1 million, the costs of the
director and the department in administering] the trust fund shall
be funded out of the appropriated receipts only after all other department
operations have been sufficiently funded [, keeping books and
records, investigating consumer complaints, and conducting the informal
dispute resolution process shall be paid from the trust fund].
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No
equivalent provision.
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No
equivalent provision.
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SECTION 53. Section
1201.404, Occupations Code, is amended to read as follows:
Sec. 1201.404. CONSUMER
COMPENSATION. (a) Except as otherwise provided by Subchapter C, a
payment made under the manufactured homeowner consumer claims program [the
trust fund] shall be paid directly to a consumer or, at the director's
option, to a third party on behalf of a consumer to compensate a consumer
who sustains actual damages resulting from an unsatisfied claim against a
licensed manufacturer, retailer, broker, or installer if the unsatisfied
claim results from a violation of:
(1) this chapter;
(2) a rule adopted by the
director;
(3) the National
Manufactured Housing Construction and Safety Standards Act of 1974 (42
U.S.C. Section 5401 et seq.);
(4) a rule or regulation of
the United States Department of Housing and Urban Development; or
(5) Subchapter E, Chapter
17, Business & Commerce Code.
(b) The department is
[trust fund and the director are] not liable to the consumer if the manufactured
homeowner consumer claims program [trust fund] does not have the
money necessary to pay the actual damages determined to be payable. The
director shall record the date and time of receipt of each verified
complaint and, as money becomes available, pay the consumer whose claim is
the earliest by date and time to have been found to be verified and
properly payable.
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SECTION 49. Section
1201.405(d), Occupations Code, is amended to read as follows:
No equivalent
provision.
(d) Notwithstanding other
provisions of this subchapter, this subchapter does not apply to, and a
consumer may not recover against the
trust fund as a result of, a claim against a license holder that
results from a cause of action directly related to the sale, [lease-purchase,]
exchange, brokerage, or installation of a manufactured home before
September 1, 1987.
No equivalent
provision.
No equivalent
provision.
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SECTION 54. Sections
1201.405(c), (d), (f), and (g), Occupations Code, are amended to read as
follows:
(c) Under the
manufactured homeowner consumer claims program, the department [The
trust fund] is not liable for and the director may not pay:
(1) punitive, exemplary,
double, or treble damages; or
(2) damages for pain and
suffering, mental anguish, emotional distress, or other analogous tort
claims.
(d) Notwithstanding other
provisions of this subchapter, this subchapter does not apply to, and a
consumer may not recover through the
manufactured homeowner consumer claims program [against the trust fund] as a
result of, a claim against a license holder that results from a cause of
action directly related to the sale, [lease-purchase,] exchange,
brokerage, or installation of a manufactured home before September 1, 1987.
(f) Under the
manufactured homeowner consumer claims program, the department [The
trust fund] is not liable for and the director may not pay:
(1) actual damages to
reimburse an affiliate or related person of a licensee, except when the
director issues an order under Sections 1201.358(b) and (c);
(2) actual damages to
correct matters that are solely cosmetic in nature;
(3) for attorney's fees; or
(4) actual damages to
address other matters, unless the matters involve:
(A) a breach of warranty;
(B) a failure to return or
apply as agreed money received from a consumer or money for which the
consumer was obligated; [or]
(C) the breach of an
agreement to provide goods or
services necessary to the safe and habitable use of a manufactured home
such as steps, air conditioning, access to utilities, or access to sewage
and wastewater treatment; or
(D) perfected and
enforceable tax liens not extinguished and canceled in accordance with
Section 32.015, Tax Code.
(g) The board by rule may
place reasonable limits on the costs that may be approved for payment under
the manufactured homeowner consumer claims program [from the trust
fund], including the costs of reassigned warranty work, and require
consumers making claims that may be subject to reimbursement under the
manufactured homeowner consumer claims program [from the trust fund]
to provide estimates establishing that the cost will be reasonable. Such
rules may also specify such procedures and requirements as the board may
deem necessary and advisable for the administration of the manufactured
homeowner consumer claims program [trust fund].
|
No
equivalent provision.
|
SECTION 55. The heading to
Section 1201.406, Occupations Code, is amended to read as follows:
Sec. 1201.406. PROCEDURE FOR
RECOVERY UNDER MANUFACTURED HOMEOWNER CONSUMER CLAIMS PROGRAM [FROM
TRUST FUND].
|
No
equivalent provision.
|
SECTION 56. Section
1201.406(a), Occupations Code, is amended to read as follows:
(a) To recover under the
manufactured homeowner consumer claims program [from the trust fund],
a consumer must file a written, sworn complaint in the form required by the
director not later than the second anniversary of:
(1) the date of the alleged
act or omission causing the actual damages; or
(2) the date the act or
omission is discovered or should reasonably have been discovered.
|
No
equivalent provision.
|
SECTION 57. Sections
1201.409(a) and (c), Occupations Code, are amended to read as follows:
(a) Except as otherwise
provided by Subchapter C, the manufactured homeowner consumer claims
program [trust fund] shall be reimbursed by the surety on a bond
or from other security filed under Subchapter C for the amount of a claim
that is paid out under the manufactured homeowner consumer claims
program [of the trust fund] by the director to a consumer in
accordance with this subchapter.
(c) If payment to the manufactured
homeowner consumer claims program [trust fund] of a claim is
not made by the surety or from the other security in a timely manner, the
attorney general shall file suit for recovery of the amount due the manufactured
homeowner consumer claims program [trust fund]. Venue for the
suit is in Travis County.
|
No
equivalent provision.
|
SECTION 58. Section
1201.410, Occupations Code, is amended to read as follows:
Sec. 1201.410. INFORMATION
ON RECOVERY UNDER MANUFACTURED HOMEOWNER CONSUMER CLAIMS PROGRAM [FROM
TRUST FUND]. The director shall prepare information for notifying
consumers of their rights to recover under the manufactured homeowner
consumer claims program [from the trust fund], shall post the
information on the department's website, and shall make printed copies
available on request.
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SECTION 50. Section
1201.451, Occupations Code, is amended.
|
SECTION 59. Same as
introduced version.
|
SECTION 51. Section
1201.452(a), Occupations Code, is amended.
|
SECTION 60. Same as
introduced version.
|
SECTION 52. Section
1201.455, Occupations Code, is amended.
|
SECTION 61. Same as
introduced version.
|
SECTION 53. Section
1201.456, Occupations Code, is amended.
|
SECTION 62. Same as
introduced version.
|
SECTION 54. Section
1201.457, Occupations Code, is amended to read as follows:
Sec. 1201.457. HABITABILITY:
CHANGE TO OR FROM NONRESIDENTIAL [BUSINESS] USE OR SALVAGE.
(a) If the sale or[,] exchange[, or lease-purchase]
of a used manufactured home is to a purchaser for the purchaser's business
use, the home is not required to be habitable.
The purchaser of the home
shall file with the department an application for the issuance of a
statement of ownership [and location] indicating that the home is
reserved for a business use.
(a-1), (b)
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SECTION 63. Section 1201.457,
Occupations Code, is amended to read as follows:
Sec. 1201.457. HABITABILITY:
CHANGE TO OR FROM NONRESIDENTIAL [BUSINESS] USE OR SALVAGE.
(a) If the sale or[,] exchange[, or lease-purchase]
of a used manufactured home is to a purchaser for the purchaser's business
use, the home is not required to be habitable unless the purchaser discloses to the retailer in writing at the
time of purchase that the purchaser intends for a person to be present in the
home for regularly scheduled work shifts of not less than eight hours each
day. The purchaser of
the home shall file with the department an application for the issuance of
a statement of ownership [and location] indicating that the home is
reserved for a business use.
(a-1), (b). Same as
introduced version.
|
SECTION 55. Section
1201.459(c), Occupations Code, is amended.
|
SECTION 64. Same as
introduced version.
|
SECTION 56. Section
1201.460, Occupations Code, is amended.
|
SECTION 65. Same as introduced
version.
|
SECTION 57. Sections
1201.461(b), (c), (e), (f), and (h), Occupations Code, are amended to read
as follows:
(b), (c)
(e) A person may not repair,
rebuild, or otherwise refurbish [alter] a salvaged
manufactured home unless the person complies with the rules of the director
relating to rebuilding a salvaged manufactured home.
(f), (h)
|
SECTION 66. Sections
1201.461(b), (c), (e), (f), and (h), Occupations Code, are amended to read
as follows:
(b), (c). Same as introduced
version.
(e) A person may not repair,
rebuild, or otherwise refurbish [alter] a salvaged
manufactured home unless the person complies with the rules of the director
relating to rebuilding a salvaged manufactured home. For purposes of this subsection,
"refurbish" means any general repairs, improvements, or aesthetic
changes to a manufactured home that do not constitute the rebuilding of a
salvaged manufactured home.
(f), (h). Same as introduced
version.
|
SECTION 58. Section
1201.504, Occupations Code, is amended.
|
SECTION 67. Same as
introduced version.
|
SECTION 59. Sections
1201.512(b) and (c), Occupations Code, are amended.
|
SECTION 68. Same as
introduced version.
|
SECTION 60. Section
1201.513(b), Occupations Code, is amended.
|
SECTION 69. Same as introduced
version.
|
SECTION 61. Section
1201.551(a), Occupations Code, is amended to read as follows:
(a)
No
equivalent provision.
|
SECTION 70. Section
1201.551, Occupations Code, is amended to read as follows:
Sec. 1201.551. DENIAL OF
LICENSE; DISCIPLINARY ACTION.
(a). Same as introduced
version.
(b) The director may suspend
or revoke a license if, after receiving notice of a claim, the license
holder or the license holder's surety fails or refuses to pay a final claim
paid under the manufactured homeowner consumer claims program [from
the trust fund] for which demand for reimbursement was made.
|
No
equivalent provision.
|
SECTION 71. Section
1201.6041(a), Occupations Code, is amended to read as follows:
(a) Instead of requiring a
consumer to apply for compensation under the manufactured homeowner
consumer claims program [from the trust fund] under Subchapter
I, the director may order a manufacturer, retailer, broker, or installer,
as applicable, to pay a refund directly to a consumer who sustains actual
damages resulting from an unsatisfied claim against a licensed
manufacturer, retailer, broker, or installer if the unsatisfied claim
results from a violation of:
(1) this chapter;
(2) a rule adopted by the
director;
(3) the National Manufactured
Housing Construction and Safety Standards Act of 1974 (42 U.S.C. Section
5401 et seq.);
(4) a rule or regulation of
the United States Department of Housing and Urban Development; or
(5) Subchapter E, Chapter
17, Business & Commerce Code.
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SECTION 62. Section
347.002(b), Finance Code, is amended.
|
SECTION 72. Same as
introduced version.
|
SECTION 63. Section
347.004(a), Finance Code, is amended.
|
SECTION 73. Same as
introduced version.
|
SECTION 64. Section 347.056,
Finance Code, is amended.
|
SECTION 74. Same as
introduced version.
|
SECTION 65. Section
347.155(b), Finance Code, is amended.
|
SECTION 75. Same as
introduced version.
|
SECTION 66. Section 347.356,
Finance Code, is amended.
|
SECTION 76. Same as
introduced version.
|
SECTION 67. Section
347.455(b), Finance Code, is amended.
|
SECTION 77. Same as
introduced version.
|
SECTION 68. Section
63.005(a), Property Code, is amended.
|
SECTION 78. Same as
introduced version.
|
No
equivalent provision.
|
SECTION 79. Section
1.04(3-a), Tax Code, is amended to read as follows:
(3-a) Notwithstanding
anything contained herein to the contrary, a manufactured home is an
improvement to real property only if the owner of the home has elected to
treat the manufactured home as real property pursuant to Section 1201.2055,
Occupations Code, and a [certified] copy of the statement of
ownership [and location] has been filed with the real property
records of the county in which the home is located as provided in Section
1201.2055(d), Occupations Code.
|
No
equivalent provision.
|
SECTION 80. Section
11.432(a), Tax Code, is amended to read as follows:
(a) Except as provided by
Subsection (a-1), for a manufactured home to qualify as a residence
homestead under Section 11.13, the application for exemption required by
Section 11.43 must be accompanied by:
(1) a copy of the statement
of ownership [and location] for the manufactured home issued by the
manufactured housing division of the Texas Department of Housing and
Community Affairs under Section 1201.207, Occupations Code, showing that
the individual applying for the exemption is the owner of the manufactured
home;
(2) a copy of the sales
purchase agreement or other applicable contract or agreement
or the payment receipt showing that the applicant is the purchaser
of the manufactured home; or
(3) a sworn affidavit by the
applicant stating that:
(A) the applicant is the
owner of the manufactured home;
(B) the seller of the
manufactured home did not provide the applicant with the applicable
[a purchase] contract or agreement; and
(C) the applicant could not
locate the seller after making a good faith effort.
|
SECTION 69. Section
23.127(a), Tax Code, is amended.
|
SECTION 81. Same as
introduced version.
|
SECTION 70. Section 23.127,
Tax Code, is amended by adding Subsection (m) to read as follows:
(m) When a retailer files a declaration under this section, the
chief appraiser:
(1) may impose only a property tax on retail manufactured
housing inventory as described by this section and Section 23.128; and
(2) may not tax as personal property homes declared as retail
manufactured housing inventory.
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SECTION 82. Section 23.127,
Tax Code, is amended by adding Subsection (m) to read as follows:
(m) Except as provided by Subsection (d), a chief appraiser
shall appraise retail manufactured housing inventory in the manner provided
by this section.
|
No
equivalent provision.
|
SECTION 83. Section
25.08(e), Tax Code, is amended to read as follows:
(e) A manufactured home
shall be listed together with the land on which the home is located if:
(1) the statement of
ownership [and location] for the home issued under Section 1201.207,
Occupations Code, reflects that the owner has elected to treat the home as
real property; and
(2) a [certified]
copy of the statement of ownership [and location] has been filed in
the real property records in the county in which the home is located.
|
No
equivalent provision.
|
SECTION 84. Section
32.03(b), Tax Code, is amended to read as follows:
(b) A bona fide purchaser
for value or the holder of a lien recorded on a manufactured home statement
of ownership [and location] is not required to pay any taxes that
have not been recorded with the Texas Department of Housing and Community
Affairs. In this section, manufactured home has the meaning assigned by
Section 32.015(b). Unless a tax lien has been filed timely with the Texas
Department of Housing and Community Affairs, no taxing unit, nor anyone
acting on its behalf, may use a tax warrant or any other method to attempt
to execute or foreclose on the manufactured home.
|
SECTION 71. The following
provisions of the Occupations Code are repealed:
(1) Section 1201.003(16);
(2) Section 1201.058(b);
(3)
Section 1201.101(f-1);
(4) Sections 1201.206(i),
(i-1), and (j);
(5) Section 1201.210(d); and
(6) Sections 1201.303(c),
(d), (e), (f), and (g).
|
SECTION 85. The following
provisions of the Occupations Code are repealed:
(1) Sections 1201.003(16)
and (31);
(2) Section 1201.058(b);
(3) Sections 1201.206(i),
(i-1), and (j);
(4) Section 1201.210(d);
(5) Sections 1201.303(c),
(d), (e), (f), and (g);
(6)
Section 1201.402;
(7)
Section 1201.403; and
(8)
Section 1201.611(h).
|
SECTION 72. This Act take
effect September 1, 2018.
|
SECTION 86. This Act takes
effect September 1, 2017.
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