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A BILL TO BE ENTITLED
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AN ACT
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relating to the regulation of manufactured homes. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Section 9.102(53), Business & Commerce Code, is |
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amended to read as follows: |
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(53) "Manufactured home" has the meaning assigned by |
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42 U.S.C. Section 5402(6) [means a structure, transportable in one |
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or more sections, that, in the traveling mode, is eight body feet or |
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more in width or 40 body feet or more in length, or, when erected on |
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site, is 320 or more square feet, and that is built on a permanent |
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chassis and designed to be used as a dwelling with or without a |
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permanent foundation when connected to the required utilities, and |
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includes the plumbing, heating, air-conditioning, and electrical |
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systems contained therein. The term includes any structure that |
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meets all of the requirements of this subdivision except the size |
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requirements and with respect to which the manufacturer voluntarily |
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files a certification required by the United States secretary of |
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housing and urban development and complies with the standards |
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established under Title 42 of the United States Code]. |
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SECTION 2. Section 1201.003(12), Occupations Code, is |
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amended to read as follows: |
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(12) "HUD-code manufactured home" has the meaning |
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assigned by 42 U.S.C. Section 5402(6). The term [: |
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[(A) means a structure: |
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[(i) constructed on or after June 15, 1976, |
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according to the rules of the United States Department of Housing |
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and Urban Development; |
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[(ii) built on a permanent chassis; |
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[(iii) designed for use as a dwelling with |
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or without a permanent foundation when the structure is connected |
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to the required utilities; |
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[(iv) transportable in one or more |
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sections; and |
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[(v) in the traveling mode, at least eight |
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body feet in width or at least 40 body feet in length or, when |
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erected on site, at least 320 square feet; |
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[(B) includes the plumbing, heating, air |
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conditioning, and electrical systems of the home; and |
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[(C)] does not include a recreational vehicle as |
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defined by 24 C.F.R. Section 3282.15(b) [3282.8(g)]. |
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SECTION 3. Section 1201.103(a-1), Occupations Code, is |
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amended to read as follows: |
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(a-1) All required records of a licensee under Subsection |
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(a) are to be maintained at the licensee's principal office or such |
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other location [within this state] as the licensee may designate. A |
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licensee may maintain required records under this subsection |
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electronically if the licensee can produce the record on request by |
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the department for review. |
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SECTION 4. Section 1201.162(a), Occupations Code, is |
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amended to read as follows: |
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(a) Before the completion of a credit application or [more |
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than one day] before entering into any agreement for a sale or |
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exchange that will not be financed, the retailer must provide to the |
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consumer a written disclosure in the form promulgated by the board. |
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The disclosure shall be in at least 12-point type and must address |
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matters of concern relating to costs and obligations that may be |
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associated with home ownership, matters to be considered in making |
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financing decisions, related costs that may arise when purchasing a |
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manufactured home, and such other matters as the board may deem |
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appropriate to promote informed purchase, financing, and related |
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decisions regarding the acquisition and ownership of a manufactured |
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home. The form shall also conspicuously disclose the consumer's |
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right of rescission. |
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SECTION 5. Section 1201.164, Occupations Code, is amended |
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to read as follows: |
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Sec. 1201.164. CONSUMER MODIFICATION OR WAIVER OF RIGHT OF |
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RESCISSION [ADVANCE COPY OF SALES PURCHASE CONTRACT AND DISCLOSURE |
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STATEMENTS; OFFER BY RETAILER]. [(a) In a transaction that is to |
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be financed and that will not be subject to the federal Real Estate |
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Settlement Procedures Act of 1974 (Pub. L. No. 93-533) and its |
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implementing regulations, a retailer shall deliver to a consumer at |
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least 24 hours before the sales purchase contract is fully executed |
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the contract, with all required information included, signed by the |
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retailer. The delivery of the contract, with all required |
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information included, signed by the retailer constitutes a firm |
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offer by the retailer. Except as provided for by Subsection (b), |
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the consumer may accept the offer not earlier than 24 hours after |
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the delivery of the contract. If the consumer has not accepted the |
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offer within 72 hours after the delivery of the contract, the |
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retailer may withdraw the offer. |
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[(b)] Before the execution of the sales purchase contract, |
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the consumer may modify or waive the right to rescind [and the |
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deadlines for disclosures that are provided by Subsection (a)] if |
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the consumer determines that the purchase of the manufactured home |
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is needed to meet a bona fide personal emergency. If the consumer |
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has a bona fide personal emergency that necessitates the immediate |
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purchase of the manufactured home, the consumer shall give the |
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retailer a dated written statement that describes the emergency, |
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specifically modifies or waives the [notice periods and any] right |
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of rescission, and bears the signature of all of the consumers |
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entitled to the [disclosures and] right of rescission. In such |
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event the retailer shall immediately give the consumer all of the |
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disclosures required by this code and sell the manufactured home |
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without [the required waiting periods or] the right of rescission. |
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The department shall verify with the consumer the consumer's bona |
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fide personal emergency before issuing the statement of ownership. |
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SECTION 6. This Act takes effect September 1, 2025. |