89R21574 SCL-D
 
  By: Harris , Hunter, Gates, Metcalf, et al. H.B. No. 23
 
  Substitute the following for H.B. No. 23:
 
  By:  Gates C.S.H.B. No. 23
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to the authority of certain persons to obtain third-party
  review of plats and property development plans, permits, and
  similar documents, and the inspection of an improvement related to
  such a document.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 247.001(4), Local Government Code, as
  added by Chapter 654 (H.B. 14), Acts of the 88th Legislature,
  Regular Session, 2023, is amended to read as follows:
               (4)  "Plan" means a subdivision development plan,
  including a subdivision plan, subdivision construction plan, land
  development application, and site development plan [has the meaning
  assigned by Section 212.001].
         SECTION 2.  Section 247.002, Local Government Code, as added
  by Chapter 654 (H.B. 14), Acts of the 88th Legislature, Regular
  Session, 2023, is amended to read as follows:
         Sec. 247.002.  OPTION FOR THIRD-PARTY REVIEW OR INSPECTION
  [REQUIRED].  (a)  Notwithstanding any other law, an applicant for
  [If a regulatory authority does not approve, conditionally approve,
  or disapprove a development document by the 15th day after the date
  prescribed by a provision of this code for the approval,
  conditional approval, or disapproval of the document,] any required
  review of a development [the] document may obtain review of the
  document from [be performed by] a person:
               (1)  other than:
                     (A)  the applicant; or
                     (B)  a person whose work is the subject of the
  application; and
               (2)  who is:
                     (A)  employed by the regulatory authority to
  review development documents;
                     (B)  employed by another political subdivision to
  review development documents, if the regulatory authority has
  approved the person to review development documents; or
                     (C)  an engineer licensed under Chapter 1001,
  Occupations Code.
         (b)  Notwithstanding any other law, an owner of land or an
  improvement to the land that requires a development [If a
  regulatory authority does not conduct a required development
  inspection by the 15th day after the date prescribed by a provision
  of this code for conducting the inspection, the] inspection may
  obtain the inspection from [be conducted by] a person:
               (1)  other than:
                     (A)  the owner of the land or improvement to the
  land that is the subject of the inspection; or
                     (B)  a person whose work is the subject of the
  inspection; and
               (2)  who is:
                     (A)  certified to inspect buildings by the
  International Code Council;
                     (B)  employed by the regulatory authority as a
  building inspector;
                     (C)  employed by another political subdivision as
  a building inspector, if the regulatory authority has approved the
  person to perform inspections; or
                     (D)  an engineer licensed under Chapter 1001,
  Occupations Code.
         (c)  Notwithstanding any other law, an applicant or owner of
  land or an improvement to land who uses a person to conduct a review
  or inspection under this section may rely on the determinations
  made by the person, and any permits and approvals issued based on
  those determinations are binding on the regulatory authority.
         SECTION 3.  Section 247.004, Local Government Code, as added
  by Chapter 654 (H.B. 14), Acts of the 88th Legislature, Regular
  Session, 2023, is amended by amending Subsection (a) and adding
  Subsection (c) to read as follows:
         (a)  A person who reviews a development document or conducts
  a development inspection under Section 247.002 shall:
               (1)  review the document, conduct the inspection, and
  take all other related actions in accordance with all applicable
  provisions of law as if the person is the regulatory authority; and
               (2)  not later than the 15th day after the date the
  person completes the review or inspection, provide notice to the
  regulatory authority of the results of the review or inspection.
         (c)  A person who reviews a development document or conducts
  a development inspection under Section 247.002 shall maintain
  commercially reasonable professional liability insurance with a
  minimum annual limit of $500,000 per occurrence and $1 million in
  the aggregate and that names the regulatory authority and the
  applicant as additional insureds.  The person shall provide a
  certificate of the required insurance to the regulatory authority
  before the person may commence a review or inspection under Section
  247.002.
         SECTION 4.  Chapter 247, Local Government Code, as added by
  Chapter 654 (H.B. 14), Acts of the 88th Legislature, Regular
  Session, 2023, is amended by adding Section 247.0043 to read as
  follows:
         Sec. 247.0043.  REGULATORY AUTHORITY LIABILITY. A
  regulatory authority is not liable for a review or inspection
  conducted by a person under Section 247.002.
         SECTION 5.  Chapter 247, Local Government Code, as added by
  Chapter 654 (H.B. 14), Acts of the 88th Legislature, Regular
  Session, 2023, is amended by adding Section 247.0047 to read as
  follows:
         Sec. 247.0047.  REQUIRED PROVISION OF NECESSARY
  INFORMATION; RELIANCE.  (a)  A regulatory authority shall:
               (1)  post on the regulatory authority's Internet
  website each law, rule, standard, fee schedule, and other document
  necessary for a person to review a development document or conduct a
  development inspection under Section 247.002; or
               (2)  provide an electronic copy of the information
  described by Subdivision (1) on request not later than the second
  business day after the date the request is made.
         (b)  A person who reviews a development document or conducts
  a development inspection under Section 247.002 may rely on the
  accuracy and completeness of the information provided by a
  regulatory authority under Subsection (a).
         SECTION 6.  Section 247.005, Local Government Code, as added
  by Chapter 654 (H.B. 14), Acts of the 88th Legislature, Regular
  Session, 2023, is amended to read as follows:
         Sec. 247.005.  WAIVER AND ADDITIONAL APPROVAL PROHIBITED.  A
  regulatory authority may not request or require an applicant to:
               (1)  waive:
                     (A)  the applicant's right to obtain third-party
  review under Section 247.002; or
                     (B)  a deadline or other procedure under this
  chapter; or
               (2)  obtain the regulatory authority's approval for a
  development document or development inspection that a third-party
  reviewer has approved.
         SECTION 7.  (a)  Except as provided by Subsection (b) of this
  section, Chapter 247, Local Government Code, as amended by this
  Act, applies only to a development document or a request for a
  development inspection, as those terms are defined by Section
  247.001 of that chapter, that was not final on the effective date of
  this Act.  A development document or request for a development
  inspection that was final before the effective date of this Act is
  governed by the law applicable to the document or inspection
  immediately before the effective date of this Act, and that law is
  continued in effect for that purpose.
         (b)  Section 247.004(c), Local Government Code, as added by
  this Act, applies only to the review of a development document or
  development inspection, as those terms are defined by Section
  247.001, Local Government Code, that begins on or after September
  1, 2025.
         SECTION 8.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution.  If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect September 1, 2025.