Texas Property Code amended – Affects all residential subdivision property owners associations

Texas Property Code amended - Affects all residential subdivision property owners associations

The regular session of the 83rd Texas Legislature enacted a bill to amend the Texas Property Code which affects all residential subdivision property owners associations.

H.B. 3800 was passed, signed into law by Governor Perry, and takes effect on September 1, 2013.  This bill amends Section 209.004 of the Texas Property Code to require county clerks to separately index management certificates in the official public records of Texas counties and to require the filing of such certificates between the dates of September 1, 2013 and January 1, 2014 by all residential subdivision property owners associations.

Beginning September 1, 2013, in order to be in compliance with current law, every residential subdivision  property owners association in Texas will be required to file or re-file their management certificate in each county in which any portion of the residential subdivision is located prior to the end of this year regardless of whether a residential subdivision property owners association already has a management certificate on file with the county clerk’s office prior to September 1, 2013.

The new requirement does not apply to condominium owners associations or commercial property owners associations.

If you have any questions, please do not hesitate to contact a member of our Real Estate team.

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