HB 2295 In Austin 3/23 2:00 PM

TEXAS STATE CAPITOL PUBLIC HEARING ON MONDAY
MONDAY IS YOUR FIRST OPPORTUNITY TO TESTIFY AND PARTICIPATE IN THE LEGISLATIVE PROCESS

This hearing is being held to determine if the Texas Residential Construction Commission (TRCC) will be abolished. House Bill 2295 – McClendon – Relating to the continuation and functions of the Texas Residential Construction Commission.



COMMITTEE: Business & Industry

DATE Monday, March 23, 2009
TIME: 2:00 PM or upon final adjourn./recess
PLACE: E2.026

CHAIRMAN: Rep. Joe Deshotel

BACKGROUND: The State (Sunset Commission Review) has determined that the TRCC does more harm than good for homeowners. The agency is an unnecessary barrier to the resolution of disputes between homeowners and builders, and is also a stacked process that does more to protect the interests of the homebuilding industry than those of Texas taxpayers, homeowners, and consumers.

“By not ensuring the competence and financial responsibility of builders in Texas, the regulations do not prevent unqualified persons from entering the field and thus are not designed to prevent problems from occurring.”

If the TRCC is not to be abolished, it must be substantially overhauled so that it may begin protecting Texas homeowners from unscrupulous builders. Consumer groups have developed ten specific reforms that would enable the TRCC to become of use to Texas homeowners and to justify its continued existence:

1. Make the state-sponsored inspection and dispute resolution process voluntary



2. Make the state-sponsored inspection and dispute resolution free



3. Make the Star Builder program mandatory for all large builders, with the accompanying requirement that builders must be bonded



4. Move the TRCC under the Department of Licensing and Regulation



5. Allow the third-party inspector’s recommendation to include a dollar amount that would cover the homeowner’s repair expenses and allow the TRCC to require the builder to pay that amount



6. Create a private cause of action against any builder who violates a TRCC rule and allow the TRCC to assess a substantial penalty for violation



7. Allow consumers to post questions to the TRCC Web site that are immediately visible to the public and become a permanent, searchable section of the State Web site. Require the TRCC to post responses within a certain timeframe on the message board. All comments will be public. Record and make available to the general public on a consumer-friendly agency website all complaints by builder’s company name and builder’s agent name and city. Detailed information should be available



8. TRCC revenue surplus to be put in a State Victim Recovery Fund to pay for warranty repairs, legal representation for consumers



9. Allow the TRCC to revoke or suspend a builder’s license if he engages in a single violation resulting in disciplinary action



10. Require those who are licensed to keep records for ten years after completion of project, thus keeping them accountable for their work


Come tell your homebuilder experience and call for the abolishment of TRCC, the homebuilder protection agency.

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