SB 785

S.B. No. 785
  AN ACT
  relating to the regulation of new HUD-code manufactured housing.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 1201.008, Occupations Code, is amended
  by amending Subsections (b) and (d) and adding Subsections (d-1),
  (g), and (h) to read as follows:
         (b)  Subject to Subsection (g), on [On] application, the
  municipality shall permit the installation of a HUD-code
  manufactured home for use as a dwelling in any area determined
  appropriate by the municipality, including a subdivision, planned
  unit development, single lot, and rental community or park.  An
  application to install a new HUD-code manufactured home for use as a
  dwelling is considered to be granted unless the municipality in
  writing denies the application and states the reason for the denial
  not later than the 45th day after the date the application is
  received.
         (d)  Except as approved by the department and subject to
  Subsection (d-1), a local governmental unit may not require a
  permit, a fee, a bond, or insurance for the transportation and
  installation of manufactured housing by a licensed retailer or
  installer.  This subsection does not prohibit the collection of
  actual costs incurred by a local governmental unit that result from
  the transportation of a manufactured home.
         (d-1)  A municipality may not require a specific use permit or
  other permit that serves a similar purpose to a specific use permit
  for a new HUD-code manufactured home if:
               (1)  the home has been constructed in accordance with
  federal law and this chapter; and
               (2)  the municipality does not require a specific use
  permit for other residential property in the same zoning
  classification.
         (g)  Except as provided by Subsection (h), a municipality
  with zoning regulations or zoning district boundaries:
               (1)  shall permit the installation, by right, of a new
  HUD-code manufactured home for use as a dwelling within the
  municipality's boundaries under at least one:
                     (A)  residential zoning classification;
                     (B)  type of residential zoning district; or
                     (C)  dedicated zoning classification for
  residential HUD-code manufactured homes;
               (2)  shall ensure at least one of the residential
  zoning classifications or districts described by Subdivision (1)
  has been adopted and applies to an area of land within the
  municipality's boundaries; and
               (3)  if the municipality has a comprehensive zoning
  classification map, shall indicate on the map the areas within the
  municipality's boundaries that comply with Subdivision (2).
         (h)  Subsection (g) does not:
               (1)  limit the authority of a municipality to adopt or
  enforce an ordinance, rule, or other measure to protect historic
  landmarks or include properties within the boundaries of a local
  historic district;
               (2)  affect deed restrictions established before
  January 2, 2025; or
               (3)  apply to a municipality:
                     (A)  in which all areas zoned for residential use
  have deed restrictions on September 1, 2025, prohibiting the
  placement of manufactured homes; or
                     (B)  that does not have any areas or districts
  zoned for business or industrial use.
         SECTION 2.  This Act takes effect September 1, 2026.
  ______________________________
  ______________________________
     President of the Senate
  Speaker of the House     
         I hereby certify that S.B. No. 785 passed the Senate on
  April 10, 2025, by the following vote:  Yeas 28, Nays 2; and that
  the Senate concurred in House amendment on May 30, 2025, by the
  following vote:  Yeas 30, Nays 1.
  ______________________________
  Secretary of the Senate    
         I hereby certify that S.B. No. 785 passed the House, with
  amendment, on May 27, 2025, by the following vote:  Yeas 96,
  Nays 41, two present not voting.
  ______________________________
  Chief Clerk of the House   
  Approved:
  ______________________________ 
              Date
  ______________________________ 
            Governor