BILL ANALYSIS

H.B. 624

By: Neave

Business & Industry

Committee Report (Unamended)

BACKGROUND AND PURPOSE

There are concerns that residential tenants may be given too little time when presented with a rent increase in a lease renewal to review the terms of the new lease and make an informed decision about whether they should stay and pay the higher rent. H.B. 624 seeks to address these concerns by setting a deadline by which a landlord is required to provide written notice of any rent increase to a tenant.

CRIMINAL JUSTICE IMPACT

It is the committee's opinion that this bill does not expressly create a criminal offense, increase the punishment for an existing criminal offense or category of offenses, or change the eligibility of a person for community supervision, parole, or mandatory supervision.

RULEMAKING AUTHORITY

It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency, or institution.

ANALYSIS

H.B. 624 amends the Property Code to require a landlord that proposes on renewal of a tenant's lease to increase the amount of rent the landlord charges the tenant to provide the tenant written notice that states the amount of the tenant's rent after the increase and the effective date of the rent increase. The bill requires the landlord to provide such notice not later than the seventh day before the date the tenant is required to provide notice to vacate at the end of the lease term. The bill prohibits a landlord who fails to provide such notice from requiring the tenant to provide notice to vacate the premises before the seventh day after the date the landlord provides such notice to the tenant and from increasing the rent before the seventh day after the effective date of the renewal lease term for a tenant who renews the lease. 

EFFECTIVE DATE

September 1, 2019.