Part 7. TEXAS RESIDENTIAL CONSTRUCTION COMMISSION

Chapter 305. PRACTICE AND PROCEDURES FOR HEARINGS AND DISCIPLINARY ACTIONS

Subchapter B. DISCIPLINARY PROCEEDINGS

10 TAC §305.24, §305.25

(Editor's note: The text of the following sections proposed for repeal will not be published. The sections may be examined in the offices of the Texas Residential Construction Commission or in the Texas Register office, Room 245, James Earl Rudder Building, 1019 Brazos Street, Austin.)

The Texas Residential Construction Commission (the "commission") proposes the repeal of 10 TAC §305.24 and §305.25 as a result of amendments to §305.23, which provide for an informal notice of violation. Further, the language contained in §305.24 and §305.25 is duplicate of language that has been subsumed into other sections in this chapter by amendments adopted effective June 12, 2006.

Susan Durso, General Counsel for the commission, has determined that for each year of the first five-year period that the proposed repeal is in effect there will be no increase in expenditures or revenue for state government and no fiscal impact for state or local government as a result of enforcing or administering the repeal.

Ms. Durso has also determined that for the first five years following the repeal the public will benefit from the conformity of the agency's rules with the statutory language and clarity in the agency rules resulting from consolidation. There is no anticipated economic cost to persons as a result of the proposed repeal. There will be no effect on micro, small or large businesses as a result of the proposed repeal of these rules.

Ms. Durso has also determined that for each year of the first five-year period the proposed repeal is in effect there should be no effect on a local economy; therefore, no local employment impact statement is required under the Administrative Procedure Act, §2001.022.

Comments on the proposed repeal may be submitted to Susan K. Durso, General Counsel, Texas Residential Construction Commission, 311 E. 14th Street, Austin, Texas 78701 or by fax to (512) 475-2453. Comments may also be submitted electronically to comments@trcc.state.tx.us. For comments submitted electronically, please include "Repeal of 305.24 and 305.25" in the subject line. If comments are submitted electronically without "Repeal of 303.24 and 303.25" in the subject line, they may not be considered. The deadline for submission of comments is 14 days from the date of publication of the proposed repeal in the Texas Register . Comments should be organized in a manner consistent with the organization of the rules proposed for repeal.

The repeal of §305.24 and §305.25 is proposed, generally, pursuant to Property Code §408.001, which provides authority for the commission to adopt rules necessary for the implementation of Title 16, Property Code; Property Code Chapter 418, regarding the commission's authority to undertake disciplinary actions; and Chapter 419, regarding the commission's authority to impose administrative penalties.

The statutory provisions affected by the proposed repeal of these rules are those set forth in Property Code, Chapters 408, 418 and 419. No other statutes, articles, or codes are affected by the proposed repeal of these rules.

§305.24.Informal Resolution Process.

§305.25.Request for Hearing.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on July 24, 2006.

TRD-200603876

Susan K. Durso

General Counsel

Texas Residential Construction Commission

Earliest possible date of adoption: September 3, 2006

For further information, please call: (512) 463-2886

10 TAC §313.8

The Texas Residential Construction Commission (commission) proposes amendments for publication and comment to 10 Texas Administrative Code §313.8, relating to the fees for filing a request for the state-sponsored inspection and dispute resolution process. The amendments clarify the procedures for requesting and granting a waiver of the fees for participation in the state-sponsored inspection and dispute resolution process and add to the criteria for granting waiver applications.

Susan Durso, General Counsel for the commission, has determined that for each year of the first five year period that the proposed amendments are in effect there will be no increase in expenditures or revenue for state government and no fiscal impact for local government as a result of enforcing or administering the amended section.

Ms. Durso has also determined that for each year of the first five year period the proposed amendments are in effect the public will benefit from enhanced criteria used to evaluate requests for fee waivers and from the clarification of the rule. There will not be an effect on individuals or large, small or micro businesses. There is no anticipated economic cost to persons who are required to comply with the proposed amendments.

Ms. Durso has also determined that for each year of the first five-year period the proposed amendments are in effect there should be no effect on a local economy; therefore, no local employment impact statement is required under the Administrative Procedure Act, §2001.022.

Interested persons may send written comments regarding these proposed amendments to the Texas Residential Construction Commission, P.O. Box 13144, Austin, Texas 78711-3144. Comments regarding these amendments will be accepted for 30 days following the date of publication in the Texas Register . Thereafter, the comments will not be considered as timely filed. Comments may also be submitted electronically to comments@trcc.state.tx.us. For comments submitted electronically, please include "313.8 amendments" in the subject line. Comments submitted electronically without "313.8 amendments" in the subject line may not be considered.

The amendments are proposed pursuant to Property Code §408.001, which provides general authority for the commission to adopt rules necessary for the implementation of Title 16, Property Code.

The proposed amendments implement Property Code §426.006(b), which provides for the waiver or reduction of fees for the state-sponsored inspection and dispute resolution process.

§313.8. Fees for Filing Requests [ Inspection Fee ].

(a) The commission will establish fees [ a fee ] that are [ is ] commensurate with the scope of the requested inspection and the type of construction defect(s) alleged [ and which is set at the lowest possible rate necessary to cover the cost associated with the third-party inspection ].

(b) The commission shall publish the established fees [ fee ] on its website and make them [ it ] available to the public in writing.

(c) The request to initiate the SIRP must include the appropriate inspection fee.

(d) A requestor who is able to show financial need may submit a request for a reduction or waiver of the required [ inspection ] fee.

(1) [ (e) ] The request for a reduction or waiver of the required [ inspection ] fee must include a sworn affidavit of inability to pay fees on a commission-prescribed form at the time the request to initiate a [ an ] SIRP is filed.

(2) [ (f) ] The Executive Director shall review any request for a fee reduction or waiver and the supporting affidavit to determine whether to approve or deny the request.

(3) The Executive Director's decision on a request for fee reduction or waiver is a final agency decision and is not subject to further administrative appeal.

(e) [ (g) ] The Executive Director shall approve a request to reduce or waive the inspection fee if the requestor:

(1) has a household income of less than five times the poverty guidelines issues each year in the Federal Register by the Department of Health and Human Services for the number of people in the requestor's household; and

(2) [ (1) ] has monthly financial obligations that amount to more than 40% of the requestor's gross monthly income ; [ , ] and [ ; ]

(3) [ (2) ] does not have more than two months of net income in liquid assets.

(f) [ (h) ] If the Executive Director approves a request to reduce or waive the inspection fee, the inspection fee shall be reduced or waived based on the following schedule:

(1) 35% of the fee shall be waived if the requestor has monthly financial obligations between 40% [ 40.00% ] and 45% [ 45.00% ] of the requestor's gross monthly income ; [ . ]

(2) 70% of the fee shall be waived if the requestor has monthly financial obligations between 45.01% and 49.99% of the requestor's gross monthly income ; or [ . ]

(3) 100% of the fee shall be waived if the requestor has monthly financial obligations of 50% or more of the requestor's gross monthly income.

(g) [ (i) ] The Executive Director may grant exceptions to subsections (e) [ (g) ] and (f) [ (h) ] of this section upon a written showing of unique need. Any exemption granted by the Executive Director to subsections (e) [ (g) ] and (f) [ (h) ] of this section must be in writing.

[(j) The Executive Director's decision on a request for fee reduction or waiver is a final agency decision and is not subject to further administrative appeal.]

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State on July 21, 2006.

TRD-200603838

Susan K. Durso

General Counsel

Texas Residential Construction Commission

Earliest possible date of adoption: September 3, 2006

For further information, please call: (512) 463-2886