Bell Bill Replaces Every Landlord’s Application With A State One

The text as introduced · 856 words

89R1685 PRL-D

By: Bell of Montgomery
H.B. No. 1518

A BILL TO BE ENTITLED

AN ACT

relating to the issuance by the Texas Department of Housing and

Community Affairs of verified residential rental applications.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. This Act shall be known as the Ready to Rent

Texas Act.

SECTION 2. Chapter 92, Property Code, is amended by adding

Subchapter J to read as follows:

SUBCHAPTER J. VERIFIED RESIDENTIAL RENTAL APPLICATION

Sec. 92.361. DEFINITIONS. In this subchapter:

(1) "Applicant" means a person who makes an

application to a landlord for rental of a dwelling.

(2) "Department" means the Texas Department of Housing

and Community Affairs.

(3) "Landlord" means a prospective landlord to whom a

person makes an application for rental of a dwelling.

(4) "Portal" means the verified residential rental

application Internet portal established and maintained by the

department.

(5) "Verified application" means the verified

residential rental application issued by the department through the

portal.

Sec. 92.362. APPLICATION OF SUBCHAPTER. This subchapter

applies to all applicants for and landlords of residential rental

property in this state.

Sec. 92.363. CONSTRUCTION OF SUBCHAPTER. Nothing in this

subchapter may be construed to prohibit a landlord from rejecting

an applicant if the applicant does not meet the landlord's tenant

selection criteria, including the applicant's:

(1) criminal history;

(2) previous rental history;

(3) current income;

(4) credit history; or

(5) guarantor information, as applicable.

Sec. 92.364. APPLICANT USE OF VERIFIED APPLICATION. An

applicant for rental of a dwelling completely satisfies any

application requirements of a landlord by submitting to the

landlord a verified application issued not earlier than the 90th

day before the date the application is submitted to the landlord.

Sec. 92.365. LANDLORD ACCEPTANCE OF VERIFIED APPLICATION.

A landlord must accept a verified application as completely

satisfying the landlord's application requirements if the

application is issued not earlier than the 90th day before the date

the application is submitted to the landlord by the applicant.

Sec. 92.366. PROHIBITED APPLICATION DOCUMENTS AND FEES. A

landlord may not require an applicant to:

(1) submit a rental application other than a verified

application; or

(2) pay an:

(A) application fee; or

(B) application deposit.

Sec. 92.367. VERIFIED RESIDENTIAL RENTAL APPLICATION

INTERNET PORTAL. (a) In this section:

(1) "Consumer reporting agency" means any person that,

for monetary fees or dues or on a cooperative nonprofit basis,

regularly engages in the practice of assembling or evaluating

credit information or other information on individuals for the

purpose of furnishing consumer reports to third parties.

(2) "Credit report" means a written report of

information by a consumer reporting agency that bears on an

individual's creditworthiness, credit standing, or credit

capacity.

(3) "Criminal history background check" means a

written report of an individual's criminal history record

information, as defined by Section 411.082, Government Code.

(b) The department shall develop and implement a portal

through which an applicant may obtain a verified residential rental

application that the applicant may use to apply for rental of a

dwelling.

(c) The portal implemented under Subsection (b) shall

provide for an applicant to:

(1) submit the applicant's:

(A) previous rental history;

(B) proof of current income; and

(C) guarantor information, if applicable;

(2) request and grant permission for the department to

obtain the applicant's:

(A) criminal history background check; and

(B) credit report;

(3) pay any required fees; and

(4) access and share the applicant's verified

application.

(d) The department may contract with a private vendor for

the development and implementation of the portal required by

Subsection (b).

(e) On submission of a request for a verified application

and payment of required fees under Subsection (f), the department

shall:

(1) obtain the applicant's:

(A) criminal history background check; and

(B) credit report;

(2) verify the applicant's:

(A) criminal history;

(B) previous rental history;

(C) current income;

(D) credit history; and

(E) guarantor information, as applicable;

(3) issue a verified application to the applicant

through the portal; and

(4) enable the applicant to share the verified

application through the portal.

(f) The department may charge a fee for a verified

application in an amount reasonable and necessary to administer

this subchapter. The department may not charge a fee for a criminal

history background check or a credit report that exceeds the actual

cost to the department of obtaining the document.

(g) A verified application issued under this section is

valid for 90 days.

SECTION 3. Section 92.102, Property Code, is amended to

read as follows:

Sec. 92.102. SECURITY DEPOSIT. A security deposit is any

advance of money, other than [ a rental application deposit or ] an

advance payment of rent, that is intended primarily to secure

performance under a lease of a dwelling that has been entered into

by a landlord and a tenant.

SECTION 4. Subchapter I, Chapter 92, Property Code, is

repealed.

SECTION 5. Not later than December 31, 2025, the Department

of Housing and Community Affairs shall make available to the public

the verified residential rental application Internet portal

required by Section 92.367, Property Code, as added by this Act.

SECTION 6. This Act takes effect January 1, 2026.