H.B. No. 2856
 
 
 
 
AN ACT
  relating to restrictions under disaster remediation contracts;
  creating a criminal offense.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Sections 58.001(1) and (2), Business & Commerce
  Code, are amended to read as follows:
               (1)  "Disaster remediation" means the removal,
  cleaning, sanitizing, demolition, reconstruction, or other
  treatment of existing improvements to real property performed
  because of damage or destruction to that property caused by a
  natural disaster.
               (2)  "Disaster remediation contractor" means a person
  who engages in disaster remediation for compensation, other than a
  person who has a permit, license, registration, or other
  authorization from the Texas Commission on Environmental Quality
  for the collection, transportation, treatment, storage,
  processing, or disposal of solid waste, but does not include an
  entity approved by the Internal Revenue Service as tax exempt under
  Section 501(c)(3), Internal Revenue Code of 1986.
         SECTION 2.  Section 58.004, Business & Commerce Code, is
  amended to read as follows:
         Sec. 58.004.  PENALTIES [DECEPTIVE TRADE PRACTICE].  (a)  A
  violation of this chapter by a disaster remediation contractor is a
  false, misleading, or deceptive act or practice as defined by
  Section 17.46(b), and any remedy under Subchapter E, Chapter 17, is
  available for a violation of this chapter.
         (b)  A disaster remediation contractor who violates Section
  58.003(b)(1) or (2) commits an offense. An offense under this
  section is:
               (1)  a Class B misdemeanor if the offense was committed
  without the intent to defraud the person contracting for disaster
  remediation services; or
               (2)  a felony of the third degree if the offense was
  committed with the intent to defraud the person contracting for
  disaster remediation services.
         (c)  It is a defense to prosecution under this section if the
  disaster remediation contractor refunds any payment made in
  violation of Section 58.003(b)(1) or (2) not later than the 15th day
  following the receipt of a written demand alleging a violation of
  Section 58.003(b)(1) or (2) sent by certified mail to the disaster
  remediation contractor's last known business address or the address
  of the disaster remediation contractor's registered agent.
         SECTION 3.  The changes in law made by this Act apply only to
  a disaster remediation contract entered into on or after the
  effective date of this Act.  A disaster remediation contract
  entered into before the effective date of this Act is governed by
  the law in effect when the contract was entered into, and the former
  law is continued in effect for that purpose.
         SECTION 4.  This Act takes effect September 1, 2019.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 2856 was passed by the House on May 3,
  2019, by the following vote:  Yeas 134, Nays 6, 2 present, not
  voting; and that the House concurred in Senate amendments to H.B.
  No. 2856 on May 24, 2019, by the following vote:  Yeas 135, Nays 5,
  2 present, not voting.
 
  ______________________________
  Chief Clerk of the House   
 
         I certify that H.B. No. 2856 was passed by the Senate, with
  amendments, on May 22, 2019, by the following vote:  Yeas 31, Nays
  0.
 
  ______________________________
  Secretary of the Senate   
  APPROVED: __________________
                  Date       
   
           __________________
                Governor