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Texas Laws | Property Code
PROPERTY CODE
TITLE 11. RESTRICTIVE COVENANTS

(1) adopting or amending the governing documents, including declarations, bylaws, rules, and regulations of the association; (12053)

(2) increasing the amount of regular assessments of the association or adopting or increasing a special assessment; (12054)

(3) electing non-developer board members of the association or establishing a process by which those members are elected; or (12055)

(4) changing the voting rights of members of the association. (12056)

Added by Acts 2011, 82nd Leg., R.S., Ch. 1026 (H.B. 2761), Sec. 3, eff. January 1, 2012. (12057)

Amended by: (12058)

Acts 2015, 84th Leg., R.S., Ch. 1183 (S.B. 1168), Sec. 8, eff. September 1, 2015. (12059)

Sec. 209.0052. ASSOCIATION CONTRACTS. (12060)(Text)

(a) This section does not apply to a contract entered into by an association during the development period. (12061)

(b) An association may enter into an enforceable contract with a current association board member, a person related to a current association board member within the third degree by consanguinity or affinity, as determined under Chapter 573, Government Code, a company in which a current association board member has a financial interest in at least 51 percent of profits, or a company in which a person related to a current association board member within the third degree by consanguinity or affinity, as determined under Chapter 573, Government Code, has a financial interest in at least 51 percent of profits only if the following conditions are satisfied: (12062)

(1) the board member, relative, or company bids on the proposed contract and the association has received at least two other bids for the contract from persons not associated with the board member, relative, or company, if reasonably available in the community; (12063)

(2) the board member: (12064)

(A) is not given access to the other bids; (12065)

(B) does not participate in any board discussion regarding the contract; and (12066)

(C) does not vote on the award of the contract; (12067)

(3) the material facts regarding the relationship or interest with respect to the proposed contract are disclosed to or known by the association board and the board, in good faith and with ordinary care, authorizes the contract by an affirmative vote of the majority of the board members who do not have an interest governed by this subsection; and (12068)

(4) the association board certifies that the other requirements of this subsection have been satisfied by a resolution approved by an affirmative vote of the majority of the board members who do not have an interest governed by this subsection. (12069)

Added by Acts 2013, 83rd Leg., R.S., Ch. 863 (H.B. 503), Sec. 2, eff. September 1, 2013. (12070)

Sec. 209.0055. VOTING. (12071)(Text)

(a) This section applies only to a property owners' association that: (12072)

(1) provides maintenance, preservation, and architectural control of residential and commercial property within a defined geographic area in a county with a population of 2.8 million or more or in a county adjacent to a county with a population of 2.8 million or more; and (12073)

(2) is a corporation that: (12074)

(A) is governed by a board of trustees who may employ a general manager to execute the association's bylaws and administer the business of the corporation; (12075)

(B) does not require membership in the corporation by the owners of the property within the defined area; and (12076)

(C) was incorporated before January 1, 2006. (12077)

(b) A property owners' association described by Subsection (a) may not bar a property owner from voting in an association election solely based on the fact that: (12078)

(1) there is a pending enforcement action against the property owner; or (12079)

(2) the property owner owes the association any delinquent assessments, fees, or fines. (12080)

Added by Acts 2007, 80th Leg., R.S., Ch. 1367 (H.B. 3674), Sec. 8, eff. September 1, 2007. (12081)

Sec. 209.0056. NOTICE OF ELECTION OR ASSOCIATION VOTE. (12082)(Text)

(a) For an election or vote taken at a meeting of the owners, not later than the 10th day or earlier than the 60th day before the date of the election or vote, a property owners' association shall give written notice of the election or vote to: (12083)

(1) each owner of property in the property owners' association, for purposes of an association-wide election or vote; or (12084)

(2) each owner of property in the property owners' association entitled under the dedicatory instruments to vote in a particular representative election, for purposes of a vote that involves election of representatives of the association who are vested under the dedicatory instruments of the property owners' association with the authority to elect or appoint board members of the property owners' association. (12085)

(a-1) For an election or vote of owners not taken at a meeting, the property owners' association shall give notice of the election or vote to all owners entitled to vote on any matter under consideration. The notice shall be given not later than the 20th day before the latest date on which a ballot may be submitted to be counted. (12086)

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