HB1698 - Relating to the amendment of restrictive covenants applicable to certain subdivisions.

      By: Schoolcraft H.B. No. 1698       A BILL TO BE ENTITLED   AN ACT   relating to the amendment of restrictive covenants applicable to   certain subdivisions.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Title 11, Property Code, is amended by adding   Chapter 213 to read as follows:   CHAPTER 213. AMENDMENT OF RESTRICTIONS APPLICABLE TO CERTAIN   MULTI-ZONED SUBDIVISIONS           Sec. 213.001.  DEFINITIONS. In this chapter:                 (1)     "Lot" means any designated parcel of land located   in a subdivision.                 (2)  "Multi-zoned subdivision" means a subdivision:                       (A)  that:                             (i)  was platted before 1965;                             (ii)  has more than 900 lots; and                             (iii)     is located in two or more separately   incorporated municipalities; and                       (B)     at least one portion of the plat of which is   zoned for a use other than a use permitted by the applicable   restrictions.                 (3)     "Real property records" and "restrictions" have   the meanings assigned by Section 201.003.           Sec.   213.002.     APPLICABILITY. This chapter applies only to   a multi-zoned subdivision located wholly or partly in a   municipality:                 (1)  with a population of 30,000 or more; and                 (2)  located in at least three counties.           Sec.   213.003.     AMENDMENT OF RESTRICTIONS. (a)   Notwithstanding any other law, restrictions applicable to property   in a multi-zoned subdivision may be amended as provided by this   chapter.           (b)     An amendment under this chapter may apply to all or part   of the subdivision.   Restrictions may be amended under this chapter   to affect different portions of the subdivision differently.           (c)     An amendment approved under this chapter is effective   and applies to each separately owned lot in the area designated as   subject to the amendment.           Sec.   213.004.     VOTE REQUIRED. (a)   An amendment of   restrictions under this chapter must be approved by the owners of at   least 67 percent of the lots in the area of the subdivision   designated in the relevant ballot as subject to the proposed   amendment.           (b)     Only one vote may be cast for each lot.   The vote of   multiple owners of a property may be reflected by the signature or   vote of one of the owners.           Sec.   213.005.     BALLOT REQUIREMENTS. (a)   A ballot for a vote   under this chapter must:                 (1)  be in writing;                 (2)     state the substance of the proposed amendment of   the restrictions;                 (3)     designate the area of the subdivision to which the   proposed amendment applies; and                 (4)     specify the date by which the ballot must be   returned to be counted.           (b)     A ballot for a vote under this chapter must be mailed to   each owner of a lot in the area of the subdivision to which the   proposed amendment applies at the address shown in the online   records of the appraisal district in which the lot is located.           (c)     Before a vote is held under this section, a copy of the   ballot must be recorded in the real property records of each county   in which the subdivision is located.           Sec.   213.006.     CERTIFICATION OF VOTE; RECORDING REQUIRED.   (a)   If an amendment of the restrictions of a subdivision is   approved under this chapter, a document certifying the approval   must be recorded in the real property records of each county in   which the subdivision is located.           (b)     A document filed under this section is prima facie   evidence that the required vote was attained and the required   procedures for the vote were followed.           Sec.   213.007.     CLAIM OF LACK OF MUTUALITY PROHIBITED. If an   amendment of a subdivision's restrictions is approved under this   chapter, an owner of property within the subdivision to which the   amended restrictions apply may not claim in any judicial proceeding   that the amendment is not enforceable on the grounds that the   amendment is not applicable to all of the property in the   subdivision.          SECTION 2.  Chapter 213, Property Code, as added by this Act,   applies to a restrictive covenant enacted before, on, or after the   effective date of this Act.          SECTION 3.  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.