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A BILL TO BE ENTITLED
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AN ACT
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relating to notice requirements for leased residential property, |
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manufactured home lots, or commercial property located in a flood |
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zone. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 91, Property Code, is amended by adding |
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Section 91.007 to read as follows: |
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Sec. 91.007. NOTICE FOR LEASED PROPERTY LOCATED IN FLOOD |
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ZONE. (a) In this section: |
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(1) "Commercial property" means real property not |
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zoned or otherwise authorized for use as residential property. |
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(2) "Dwelling" has the meaning assigned by Section |
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92.001. |
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(3) "Flood zone" means any area of land designated by |
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the Federal Emergency Management Agency under the National Flood |
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Insurance Act of 1968 (42 U.S.C. Section 4001 et seq.) as an area of |
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land that is susceptible to being inundated by water from any |
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source, including: |
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(A) a 100-year floodplain; |
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(B) a 500-year floodplain; or |
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(C) a floodway. |
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(4) "Manufactured home lot" has the meaning assigned |
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by Section 94.001. |
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(b) Before signing a written lease agreement or entering |
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into an oral lease agreement for a dwelling, manufactured home lot, |
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or commercial property with a prospective tenant, a landlord or |
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landlord's agent must provide the written notice described by |
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Subsection (d) to the prospective tenant if any part of the |
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following is located in a flood zone: |
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(1) the dwelling, manufactured home lot, or commercial |
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property, as applicable; |
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(2) a building in which the dwelling or commercial |
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property is located, as applicable; |
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(3) the parking area that will be available to the |
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prospective tenant or the tenant's guests or customers; or |
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(4) if the leased property is a dwelling, the storage |
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area for personal property that will be available to the |
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prospective tenant. |
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(c) If a leased dwelling, lot, property, building, or other |
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area described by Subsection (b) is located in an area designated by |
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the Federal Emergency Management Agency as a flood zone during the |
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term of the lease, the landlord or the landlord's agent shall |
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provide the written notice described by Subsection (d) to each |
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affected tenant in that area not later than the 30th day after the |
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date the flood zone is designated. |
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(d) The written notice must: |
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(1) clearly state which dwelling, lot, property, |
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building, or areas listed under Subsection (b) relevant to the |
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tenant's lease are located in a flood zone and whether the area is |
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located in a 100-year floodplain, 500-year floodplain, floodway, or |
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other area susceptible to flooding; |
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(2) if applicable, clearly state that flooding in a |
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100-year or 500-year floodplain can and does occur on a more |
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frequent basis than once every 100 or 500 years, respectively; |
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(3) if the leased property is a dwelling, clearly |
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state that most tenant insurance policies do not cover damages or |
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loss incurred in a flood event; |
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(4) recommend that the tenant seek appropriate |
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insurance coverage that would cover losses caused by a flood; |
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(5) affirm that the landlord or landlord's agent |
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provided the notice: |
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(A) before the lease agreement was entered into; |
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or |
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(B) if Subsection (c) applies, not later than the |
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30th day after the date the flood zone is designated; and |
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(6) be signed and dated by the landlord or landlord's |
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agent and tenant. |
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(e) If a landlord or a landlord's agent violates this |
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section: |
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(1) the tenant may terminate the lease agreement and |
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avoid liability for future rent and any other sums due under the |
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agreement for terminating the agreement and vacating the property |
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before the end of the lease term; and |
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(2) if the tenant suffers loss of or damage to the |
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tenant's personal property as a result of a flood, the tenant is |
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entitled to recover from the landlord the following amounts, less |
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any delinquent rent or other sum for which the tenant is liable to |
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the landlord: |
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(A) the tenant's actual damages; |
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(B) the greater of one month's rent or $1,000; |
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and |
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(C) reasonable attorney's fees and court costs |
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incurred in recovering the amounts in Paragraphs (A) and (B). |
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SECTION 2. Section 91.007, Property Code, as added by this |
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Act, applies only to a lease agreement entered into or renewed on or |
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after the effective date of this Act. |
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SECTION 3. This Act takes effect September 1, 2021. |