Part 7.
TEXAS RESIDENTIAL CONSTRUCTION COMMISSION
Chapter 303.
REGISTRATION
Subchapter A. REGISTRATION OF BUILDERS
10 TAC §§303.1, 303.3, 303.5, 303.7, 303.9, 303.11, 303.13, 303.15, 303.17, 303.19, 303.21, 303.23
The Texas Residential Construction Commission (the "commission")
adopts new rules at Title 10, Part 7, Chapter 303, Subchapter A, §§303.1,
303.3, 303.5, 303.7, 303.9, 303.11, 303.13, 303.15, 303.17, 303.19, 303.21
and 303.23, relating to the registration of builders in the State of Texas
as provided for in Title 16, Property Code. The new rules are adopted with
changes to the proposed text as published in the January 9, 2004, issue of
the
Texas Register
(29 TexReg 271).
At the Open Meeting on December 18, 2004, the commission adopted emergency
rules relating to the registration of builders and approved the publication
of the proposed rules in the January 9, 2004, issue of the
Texas Register
.
The rules were published for comment in the January 9, 2004, issue of the
Written comments were due February 9, 2004. Written comments were submitted
by Tom Lammers of Houston Structural, Inc. ("HSI") and Jay Dyer of the Texas
Association of Builders ("TAB"). No party requested a hearing pursuant to
the Administrative Procedure Act, Government Code §2001.029.
In a letter dated January 28, 2004, Mr. Lammers commented that the term
"moral turpitude" in §303.11, as that term relates to the criminal history
of an applicant, should be replaced with "poor business ethic and practices."
Mr. Lammers expressed a concern that the requirement provides for an unnecessary
intrusion into an applicant's personal conduct as it relates to whether a
person committed adultery or used a controlled substance. The proposed rule
text uses the language of §416.002 of the Act, which states in part that
the applicant must disclose "misdemeanors involving moral turpitude." The
phrase "involving moral turpitude" in fact embodies a limitation on unnecessary
disclosure because it requires the disclosure of only certain types of misdemeanors
(crimes), i.e., those that are related to the issues of honesty and trustworthiness.
Since the term "moral turpitude" tracks the language of the Act, the commission
declines to make the suggested modification.
In a letter dated February 5, 2004, TAB submitted a number of proposed
changes to the proposed text in its written comments. TAB suggested that the
words "builder" or "builders" be replaced with the "person" or "persons" in §303.1.
The replacement would further clarify the builder registration requirement.
The commission agrees that this clarification is helpful and has modified
the language of the text accordingly.
TAB commented that adding the phrase "the commission's receipt" in §303.3(a)
would further clarify the time period when a provisional registration may
be issued. The revision suggested might cause the provision to be read that
once the background check is received, the provisional license is no longer
appropriate. As stated in the proposed text, the provisional license can be
issued, pending not only receipt of the background check but also evaluation
of the results of the check. Therefore, the commission declines to make the
suggested modification but modifies the language to make clear that a decision
will be made and action will be taken promptly once a review of the application
is complete.
TAB commented that the term "unfavorable" should be replaced or defined
in §303.3(b) due to its subjective meaning. The commission agrees that
the term "unfavorable" is vague and has replaced it with "unacceptable." Additionally,
TAB commented that the last clause in §303.3(b) should be revised to
replace "registration form" with "certificate of registration." This modification
makes it clear that it is the application for registration that is the object
of the denial, not the form. In the interest of clarity, the proposed text
has been modified. In addition, the commission has added language in §303.5
regarding the factors considered by the commission in reviewing an application
in which an applicant has a criminal history to provide further guidance to
applicants on the process of review.
TAB further commented that the term "registration form" in §303.3(c)
should also be replaced with "certificate of registration" and the phrase
"...and state its reasons for denying the revocation" should be added. For
clarity, §303.3 has been revised to more accurately reflect the actions
of the commission.
TAB commented that §303.7(c) should be deleted because its wording
was inconsistent with §416.003 of the Act. The commission has revised
this section to more accurately reflect its intent to convey that, in the
context of the rule, the term "applicant" may apply to someone who is registering
as a builder and someone who is the designated agent.
TAB commented that §303.19(a) should be revised to replace "may" with
"shall" because renewal is not a mandatory requirement. The commission agrees
that to the extent a person chooses not to continue doing business in this
state as a "builder" that person is not required to renew its certificate.
The commission has made modifications to the rule text accordingly.
TAB again commented that the term "registration form" should be replaced
with "certificate of registration" in §303.21. For purposes of clarity
and consistency, the term has been replaced. TAB also noted that there was
an inconsistency between §303.3 and §303.21 with regard to the date
that the applicant is notified of denial of the certificate of registration.
The commission agrees that the time frames are different, but for an appropriate
reason. The statute requires that the commission issue a certificate of registration
to an applicant, who meets the requirement of Property Code Chapter 416 not
later than fifteen (15) days after receipt of the application. If the commission
is unable to issue a certificate of registration within that time frame it
may issue a provisional certificate. Section 303.3(c) is directed only at
the instance in which a provisional certificate has been issued. Therefore,
the three-day notice of the denial of the certificate of registration and
the revocation of the provisional certificate provided for under §303.3(c)
is designed to expedite the return of the provisional certificate to prevent
continued work by an applicant who does not meet the requirements of Chapter
416.
Finally, TAB commented that §303.23(b) should be revised to begin
the section with "Upon its receipt of a request for a hearing under this section,
the commission shall: ..." The commission has determined that the proposed
text as it relates to the hearings procedure is best maintained separately
in a rule adopted for the purpose of describing the hearings process. Therefore,
the commission has deleted proposed rule language and referenced the requirements
of Property Code §416.008(g) that a hearing on the denial of a certificate
of registration will be conducted in accordance with Government Code, Chapter
2001 and in more comprehensive rules devoted to the hearings procedures to
be adopted by the commission.
In addition to written public comments received concerning the builder
registration rules, the commission held informal public meetings around the
state between January and March of 2004 and gathered comments on a variety
of issues pending before the commission, including rule comments. During those
informal meetings, an unidentified private citizen commented that due to the
number of builders operating in Texas, it would be in the public interest
for the commission to require that builders submit to an examination as part
of the registration requirements. The commission agrees that builder competency
is crucial to the safety of Texas citizens but at this time the commission
declines to address additional requirements for builder education and training
because the Act does not expressly provide for them.
All comments regarding these rules, including any not specifically referenced
herein, were fully considered by the commission. The commission has made other
minor modifications to the proposed rule text for the purpose of clarifying
its intent and improving style and readability.
The new rules are adopted to implement provisions of House Bill
730 (Act effective September 1, 2003, 78th Legislature Regular Session, Chapter
458, §1.01) and specifically provisions of Chapter 416, Property Code,
which provides, in part, that the commission must begin registering builders
by March 1, 2004, and, 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 (Act effective September 1, 2003,
78th Legislature, Regular Session, Chapter 458, §1.01).
The statutory provisions affected by the adoption of these rules are those
set forth in Property Code, Chapters 408 and 416 and House Bill 730, 78th
Legislature, Regular Session, Chapter 458, §1.01.
No other statutes, articles, or codes are affected by this adoption.
§303.1.Process.
All persons must register with the commission, using a commission-prescribed
form, in order to conduct business as a builder in the state of Texas. A person
must submit a completed application for registration and filing fee for issuance
of a certificate of registration in the name of each entity under which the
applicant intends to operate as a builder in this state. The commission shall
issue a certificate of registration to an applicant who meets the eligibility
requirements for builder registration within fifteen (15) days of receipt
of the completed registration application form and required fee.
§303.3Provisional Registration.
(a)
If the commission determines it is in the public interest,
it may issue a provisional registration certificate pending receipt and evaluation
of the results of a criminal background check.
(b)
If a provisional registration certificate has been issued
and the commission has determined that the results of the criminal background
check are acceptable, the commission shall issue a certificate of registration
within fifteen (15) days of the commission's approval of the application.
(c)
If a provisional registration certificate has been issued
and the results of the background check are unacceptable, the commission shall
deny the application for registration and revoke the provisional certificate.
(1)
Upon a denial of registration and revocation of the provisional
certificate, the commission shall issue a written notice via certified mail,
return receipt requested, to the applicant within three (3) business days
of its decision containing the commission's reason(s) for the denial of the
application and revocation of the provisional registration.
(2)
The applicant shall return the provisional certificate
to the commission in person or by mail not later than three (3) business days
after receipt of the denial and revocation notice.
(3)
Failure to return the provisional certificate to the commission
may result in the imposition of administrative penalties upon the applicant
or other enforcement action within the discretion of the commission.
(d)
This section expires January 1, 2005.
§303.5.Application for Registration.
(a)
The application for registration shall contain a request
for information from the applicant that is sufficient for the commission to
conduct a criminal background check to determine the applicant's eligibility
for registration under the Act.
(b)
In reviewing an application to determine if an applicant
is eligible for registration under this subchapter, the commission shall consider,
among other things, whether the applicant has a criminal history and if so:
(1)
the nature and seriousness of any crimes to which the applicant
has pled guilty or pled no contest, or for which the applicant has a prior
conviction or convictions, including whether such a crime involves moral turpitude;
(2)
the extent to which acting as a registered builder might
offer the applicant an opportunity to engage in further criminal activity
of a same or similar nature as that for which the applicant has a prior conviction;
(3)
the extent and nature of the applicant's past criminal
activity;
(4)
the age of the applicant when any criminal activity discovered
occurred;
(5)
the remoteness in time between the submission of the application
and the date of the applicant's last criminal conviction;
(6)
the applicant's overall work history in relation to the
dates of any criminal convictions;
(7)
evidence of the applicant's successful rehabilitation efforts
while incarcerated or after release, including but not limited to, restitution
to the victim, completion of probationary requirements and completion of community
service; and
(8)
other evidence of the applicant's eligibility to serve
as a registered builder, as requested by the commission.
(c)
An applicant must respond to a commission request for further
information in reviewing the application in order to complete the application
process.
§303.7.Designated Agents.
(a)
To be eligible to receive a certificate of registration
under this subchapter all applicants must designate an individual as an agent.
Each designated agent must adhere to the same registration requirements and
meet the same eligibility requirements as any person applying for builder
registration under this subchapter.
(b)
A corporation must designate one or more of its officers
as the designated agent(s).
(c)
A limited liability company must designate one or more
of its managers as the designated agent(s).
(d)
A partnership, limited partnership or limited liability
partnership must designate one of its managing partners as the designated
agent or, if there are no individuals serving as a managing partner, a partnership,
limited partnership or limited liability partnership must designate an individual
officer among its managing partners as the designated agent.
(e)
A corporation, limited liability company, partnership,
limited partnership or limited liability partnership is not eligible for registration
as a builder and may not act as a builder unless the entity's designated agent
is individually eligible for registration as a builder.
§303.9.Eligibility Requirements.
At the time the application for registration is filed with the commission,
an applicant must be at least 18 years of age and a citizen of the United
States or a lawfully admitted alien and must demonstrate to the satisfaction
of the commission that the applicant is honest, trustworthy and has integrity.
§303.11.Information Regarding Past Criminal History.
(a)
The applicant must disclose on the application for registration:
(1)
whether the applicant has entered a plea of guilty or nolo
contendere (no contest) to any felony charge or to a misdemeanor charge for
a crime involving moral turpitude; or
(2)
whether the applicant has been convicted of any felony
charge or of a misdemeanor charge for a crime involving moral turpitude and
that the time for appeal of the conviction has elapsed or that the conviction
was affirmed on appeal.
(b)
The commission will conduct a criminal background check
of each applicant and may conduct a criminal background check on any other
person responsible for the registration if the commission determines it necessary
to further the purposes of the Act.
(c)
Any information obtained from an applicant as a result
of the criminal background check that is not a public record at the time the
commission obtains the information is deemed confidential. The commission
may not release or otherwise disclose the confidential information except
pursuant to a court order, subpoena or with the written consent of the applicant.
(d)
For purposes of this section, an applicant who has received
a deferred adjudication for any felony charge or for a misdemeanor charge
for a crime involving moral turpitude shall disclose that charge on the application
for registration.
§303.13.Designated Address.
(a)
Each builder shall designate in the application for registration
a fixed physical address located in this state to serve as its principal place
of business.
(b)
Each designated agent shall provide in the application
for registration a fixed physical address in Texas.
(c)
Each builder shall submit a commission-prescribed change
of information form and the required fee not later than thirty (30) days from
the date the builder moves from the address designated on its certificate
of registration.
(d)
Each designated agent shall submit a commission-prescribed
change of information form and the required fee not later than thirty (30)
days from the date the designated agent moves from the address provided on
its application.
§303.15.Change of Registered Name.
(a)
Within forty-five (45) days from the date a builder commences
operation under a name different from the builder name designated on its current
certificate of registration, the registered builder shall submit written notice
to the commission of the new entity name under which it is operating.
(b)
A change in the name of the registered builder resulting
from a change in the form of business organization for that builder requires
the submission of a new application for a certificate of registration.
§303.17.Material Change in Information.
Except as otherwise expressly provided in this subchapter, each builder
and designated agent shall report to the commission in writing using a commission-prescribed
form any material change in the information provided to the commission in
the application for certificate of registration within thirty (30) days of
the change.
§303.19.Renewal.
(a)
After March 1, 2004, a person operating as a builder in
this state must keep a current certificate of registration and must renew
its certificate of registration prior to the expiration of the effective period
shown on the certificate of registration. A builder who fails to maintain
a current certificate of registration may be subject to an administrative
penalty as determined by the commission.
(b)
In order to renew a certificate of registration, a builder
shall submit a completed application for renewal of a certificate of registration
and the required fee to the commission not later than thirty (30) days prior
to the expiration of the effective period shown on the current certificate
of registration.
§303.21.Denial of Registration.
(a)
If the commission denies a certificate of registration,
the commission shall provide written notice to the applicant not later than
the 15th day after the date the commission receives the completed application
for registration and the required fee.
(b)
The commission shall state the reason(s) for denial of
a certificate of registration in its written notice to the applicant and provide
notice of the opportunity for appeal.
§303.23.Appeal from Denial.
(a)
An applicant may file a written request for a hearing to
appeal the denial of its certificate of registration not later than thirty
(30) days from the date of receipt of the denial notification.
(b)
A hearing for an appeal under this subsection will be conducted
in accordance with the Administrative Procedures Act, Government Code, Chapter
2001 and procedures adopted by the commission.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on May 21, 2004.
TRD-200403482
Susan Durso
General Counsel
Texas Residential Construction Commission
Effective date: June 10, 2004
Proposal publication date: January 9, 2004
For further information, please call: (512) 475-0595
10 TAC §§303.100, 303.110, 303.120, 303.130, 303.140, 303.150, 303.160, 303.170
The Texas Residential Construction Commission (the "commission")
adopts new rules at Title 10, Part 7, Chapter 303, Subchapter B, §§303.100,
303.110, 303.120, 303.130, 303.140, 303.150, 303.160 and 303.170, regarding
the registration of a homes in the State of Texas as provided for in Title
16, Property Code. The new rules are adopted with changes to the proposed
text as published in the January 9, 2004, issue of the
Texas Register
(29 TexReg 274). The new rules are adopted to implement
provisions of House Bill 730 (Act effective September 1, 2003, 78th Legislature,
Regular Session, Chapter 458, §1.01) and specifically provisions of Chapter
426, Property Code, which provides, in part, that builders must register a
new home with the commission or register an existing home if the builder's
work constitutes a material improvement to the home or is an interior renovation
with a cost in excess of $20,000, and 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, House Bill 730 (Act effective September
1, 2003, 78th Legislature, Regular Session, Chapter 458, §1.01).
At the Open Meeting on December 18, 2004, the commission adopted emergency
rules relating to the registration of homes and approved the publication of
the proposed rules for the January 9, 2004, issue of the
Texas Register
. The new rules are adopted to implement provisions of
House Bill 730 (Act effective September 1, 2003, 78th Legislature, Regular
Session, Chapter 458, §1.01) and, more specifically, provisions of Chapter
426 of the Property Code.
The rules were published for comment in the January 9, 2004, issue of the
Written comments were due February 9, 2004. Tom Lammers of Houston Structural,
Inc. ("HSI") and Jay Dyer of the Texas Association of Builders ("TAB") submitted
written comments for the commission's consideration during the comment period.
No party requested a hearing pursuant to the Administrative Procedure Act,
Government Code §2001.029.
In a letter dated January 28, 2004, Mr. Lammers commented that §303.100(b)
should be revised to replace the word "earlier" with "later" as it relates
to the time period when a builder must register a new home for a transaction
governed by the Act for which there is no transfer of title. Mr. Lammers's
concern was due to instances in which a homeowner and builder enter into an
agreement months before the actual work on the home commences. Although circumstances
as described by Mr. Lammers do exist, the rule tracks the language of §426.003
of the Act. Since the plain wording of the statute connotes the Legislature's
intention that home registration occur sooner, rather than later, the commission
declines to accept the suggested change. However, the commission has made
revisions to clarify that the time period is to be calculated from the date
on which the parties enter an agreement that is not subject to any contingency.
Such revisions are in §303.100(c) and §303.110(b).
In a letter dated February 5, 2004, TAB submitted a number of proposed
changes to the proposed text in its written comments. TAB suggested that a
new subsection be added to §303.100 to provide a time period for builders
to register a new home when there is to be no transfer of title. The commission
agrees the proposed rule text did not fully address the circumstance described
by TAB. Accordingly, the commission added a new subsection, §303.100(c),
to ensure that the registration requirement encompasses new home construction
governed by the Act regardless of whether there is a transfer of title.
TAB suggested that the phrase "governed by this Act" be deleted from §303.100(a)
because the phrase is unnecessary due to the two defined terms contained within
the rule. The commission has defined the term "transaction governed by the
Act" in its rule on definitions and believes that its use in this section
adds clarity to the rule. Therefore, while the rule text has been revised
to enhance readability, the term has been retained in §303.100(a). TAB's
comment also suggested that the term "enter" in §303.100(b) be replaced
with "execute" to indicate the signing of an agreement for construction. The
commission notes that the term "enter" is statutory and, perhaps, was utilized
by the Legislature to connote that an agreement could be oral or be written
but unsigned. Therefore, the commission has retained the term as used in the
statute. TAB also commented regarding this subsection that language should
be added to state that the builder's obligation for home registration only
applies to construction projects in which the agreement is entered into or
the construction work is commenced after January 1, 2004. As a result of other
changes in the proposed rule text and to signal to builders that the obligation
to register home construction projects began on January 1, 2004, the language
suggested by TAB has been included in the rule text. TAB further commented
that a new subsection (d) should be added to state that builders have no obligation
to register homes for which construction described by a transaction governed
by the Act commenced before January 1, 2004. The commission believes that
the rule language as modified has clarified that the builder's obligation
to register homes began on January 1, 2004 and the suggested new subsection
would be superfluous.
TAB commented that the phrase "for consideration" in §303.120(b) should
be replaced with "when the cost of the work." Although, the commission chose
the term "consideration" to reflect the required element for a contractual
agreement between a builder and homeowner and to embrace forms of compensation
other than cash, the commission has revised the definition of "improvement
to the interior of an existing home when the cost of the work exceeds $20,000"
to make clear that compensation in any form is relevant to determining the
cost of the work. However, due to other modifications in §303.120, the
comment is no longer relevant to the rule text.
TAB commented that §303.150(b) should be revised to add the word "home"
and delete the word "registration." The commission has revised the proposed
text of this subsection and believes that the revisions encompass this TAB
comment.
In addition to written public comments received concerning the home registration
rules during the public comment period, the commission held informal public
meetings around the state between January and March of 2004 and gathered comments
on a variety of issues pending before the commission, including rule comments.
During those informal meetings, Becky Oliver, Greater San Antonio Builders
Association, commented that in instances of new home construction on property
not owned by the builder §303.110(b) should be revised to read "fifteen
days from the signing of the mechanic's lien contract" instead of "not later
than the fifteenth day after the date that the builder and the homeowner enter
into an agreement." Mr. Buford Chapman, a building official for the City of
Lufkin, made a similar comment regarding the withdrawal of home registration
for agreements that fall through. As mentioned in the above response to TAB's
comments, the commission agrees that clarification is needed in this subsection
and has added language to make clear that the trigger date for registration
is the date upon which the parties enter into an agreement that is not subject
to a contingency, such as the approval of financing. These comments on the
failure of projects to commence as a result of financing issues also prompted
numerous comments on the question of procedures for home registration withdrawal
that was provided for in the proposed rule text under §303.110(c). One
such comment was received from Mr. Harris Connell, a homebuilder in San Antonio.
An additional comment regarding §303.110 was received from Mr. Lawrence
Cronk of Sugar Land. Mr. Cronk commented that determining when to register
a home for projects with multiple agreements with consideration that totals
$20,000 in a twelve-month period may be difficult, for example, if one project
under $20,000 commenced in January and second project commenced in June. As
a result of that comment and others with a similar focus, the commission has
replaced the language of §303.110(c) to reflect Mr. Cronk's comment.
The commission will propose a new §303.115 regarding withdrawal as proposed
in §303.110(c) to address Mr. Connell’s comment.
All comments regarding these rules, including any not specifically referenced
herein, were fully considered by the commission. As a result of those comments
and the commission's desire to improve the clarity of its intent and the readability
of the rules, the commission has made other modifications to the proposed
rule text.
The statutory provisions affected by the adoption of these rules
are those set forth in Property Code Chapters 27, 408, 426 and House Bill
730, 78th Legislature, Regular Session.
No other statutes, articles, or codes are affected by the adoption.
§303.100.New Home Registration.
(a)
On or after January 1, 2004, a builder shall register with
the commission all new home construction resulting from a transaction governed
by the Act.
(b)
For new home construction involving a title transfer from
the builder to the initial homeowner, the builder shall submit a home registration
form and the appropriate fee to the commission on or before the 15th day of
the month that follows the month in which the title transfer takes place.
(c)
For new home construction that does not involve a title
transfer from the builder to the initial homeowner, a builder shall register
a home by submitting a home registration form and the appropriate fee to the
commission not later than the 15th day after the date that the builder enters
into a transaction governed by the Act that is not subject to any contingency
or the date of commencement of the work on the home, whichever date is earlier.
§303.110.Registration of Existing Homes by a Builder.
(a)
On or after January 1, 2004, a builder who enters into
a transaction governed by the Act for an existing home shall register the
home with the commission.
(b)
A builder shall register a home under this subsection by
submitting a home registration form and the appropriate fee to the commission
not later than the 15th day after the date that the builder enters into a
transaction governed by the Act that is not subject to a contingency or the
date of commencement of the work on the home, whichever date is earlier.
(c)
A builder shall not intentionally divide an agreement to
improve the interior of an existing home into more than one agreement each
with consideration of less than $20,000 for the purpose of avoiding the requirements
of this subchapter.
§303.120.Registration for Purposes of the State-sponsored Inspection and Dispute Resolution Process.
A person who files a request with the commission to initiate the state-sponsored
inspection and dispute resolution process for an alleged construction defect(s)
resulting from a transaction governed by the Act, must register the home with
the commission at the time of filing the request if the home has not been
registered previously with the commission.
§303.130.Homes Not Eligible for Registration.
The commission shall not register a home under this subchapter if:
(1)
the home was built by the homeowner acting in the capacity
of a builder with or without the assistance of the homeowner's hired employees
or independent contractors; and
(2)
the home has been used or will be used by the homeowner
as the homeowner's primary residence for at least one year after completion
or substantial completion of construction of the home.
§303.140.Home Registration Process.
(a)
A person registering a home under this subchapter shall
use a commission-prescribed home registration form.
(b)
A completed home registration form must be submitted to
the commission with the appropriate fee by first class mail, personal delivery
or, if provided by the commission, an electronic method of submission.
§303.150.Fees.
(a)
Home registration fees shall be made payable to the Texas
Residential Construction Commission via check, money order, credit card or
other payment method acceptable to the commission.
(b)
A builder who fails to register a new or an existing home
with the commission pursuant to the requirements of this subchapter may register
the home not later than sixty (60) days after the required registration period
has expired by submitting the home registration form with payment of the home
registration fee and a late home registration penalty in an amount set by
the commission.
(c)
A builder who has been granted tax-exempt status by the
Internal Revenue Service under the Internal Revenue Code §501(c)(3) may
request a waiver of a home registration fee by submitting a commission-prescribed
fee waiver form and documentation verifying the builder's Internal Revenue
Code §501(c)(3) tax-exempt status.
§303.160.Public Information.
(a)
Within thirty (30) days of the receipt of a completed home
registration form, the commission shall provide to the homeowner of the registered
home the following:
(1)
information regarding the functions of the commission;
(2)
information on the limited statutory warranty and building
and performance standards adopted by the commission;
(3)
a description of the state-sponsored inspection and dispute
resolution process;
(4)
a description of the commission complaint resolution procedures;
and
(5)
other information as determined by the commission.
(b)
The commission shall notify a builder in writing that a
home has been registered under the builder's name.
§303.170.Administrative Penalties.
The commission may assess an administrative penalty and/or take other
disciplinary action within its authority against a builder:
(1)
who fails to register a home with the commission pursuant
to the requirements of this subchapter;
(2)
who fails to pay a late home registration penalty required
under this subchapter;
(3)
who registers a home more than sixty (60) days after the
expiration of the registration period required under this subchapter; or
(4)
who is found to have intentionally divided an agreement
to improve the interior of an existing home into more than one agreement,
each with consideration of less than $20,000, for the purpose of avoiding
the requirements of this subchapter.
This agency hereby certifies that the adoption has been
reviewed by legal counsel and found to be a valid exercise of the agency's
legal authority.
Filed with the Office of
the Secretary of State on May 21, 2004.
TRD-200403484
Susan Durso
General Counsel
Texas Residential Construction Commission
Effective date: June 10, 2004
Proposal publication date: January 9, 2004
For further information, please call: (512) 475-0595
Subchapter A. ARBITRATIONS BETWEEN HOMEOWNERS AND BUILDERS
Subchapter B. REGISTRATION OF HOMES
Chapter 318.
RESIDENTIAL CONSTRUCTION ARBITRATION