TRCC
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The Sun Sets on the Texas Residential Construction Commission
By
Charles J. Pignuolo
Devlin & Pignuolo, P.C.
The Texas Residential Construction Commission (TRCC) came into being in September, 2003 and will cease to be on August 31, 2010 meaning that the Texas Residential Construction Commission Act (TRCCA) will largely become ineffective after August 31, 2009. As all mortgage lenders know, the TRCCA not only established specific state wide performance standards for the first time in the history of Texas, but the Act also put in place a dispute resolution procedure for construction defect claims. Of greater importance to lenders, the TRCC required that all builders be registered with the commission and that all new homes built and sold in Texas be registered with the Commission. As part of these functions the TRCC required that specific language be included in sale agreements and custom building contracts.
In the 2009 legislative session lawmakers in Austin failed to support continuation of the TRCC. Under the State's Sunset Law (Government Code 325.017) the TRCC will close on August 31, 2010. Between now and then what must a lender or builder do to comply with the Texas Residential Construction Commission Act?
On June 11 the TRCC met to establish a timeline and action plan to implement the State's Sunset Law provisions. The TRCC will not accept any new business after August 31, 2009, meaning that no new builder registration or home registration or submission of disputes will take place. In order to establish clear cutoff dates for builder registration, home enrollment and submission of disputes, and to allow enough time to administer claims through the end of its mandate, the agency implemented the following:
-All new homes and projects completed by August 31, 2009 must be registered;
-All new builder registrations and timely renewal registrations are required, and will be accepted, through August 31, 2009;
-Any new application or renewals for registration will be prorated;
-Inspection requests (SSIRPs) will be accepted through August 31, 2009;
-Inspection requests will be scheduled for inspection as soon as possible;
-Ombudsmen will process complaints and conduct post inspection business through August 31, 2010.
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It is advisable that builders use an addendum to their sale and custom building contracts between now and August 31, 2009 in order to stay in compliance with the current law. The Texas Association of Builders is preparing a contract amendment or addendum to be used between now and August 31, 2009. Builders should check the TAB website or consult their own attorney to obtain a suitable document.
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TRCC released a second quarter "On The Level"Â, a TRCC info newsletter:
Click Here
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List of TRCC approved Continuing Education Courses:
Click Here
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The next commission meeting is scheduled on October 14, 2009.
TAB
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NAHB Fall Board Meetings: Sept 30- Oct 4, 2009
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Nominate TAB of the Year Award Recipients
TAB is now accepting entries. More information and entry forms may be found under Members on the TAB website.
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Congratulations ACES Builders:
Best Print Ad, Remodeler: Kennen Kahanek Custom Builder
Best Sales Brochure, Custom Builder: Jauregui Architecture Interiors Construction
Best Web Site, Custom Builder: Jauregui Architecture Interiors Construction
Best Sales Brochure, Volume Builder: Stonebridge Homes
Best Direct Mail Piece, Custom Builder: Allegro Builders
Best Direct Mail Piece, Remodeler: Crawford Renovation
Best Web Site, Remodeler: Crawford Renovation
Product Design over $400K: Allegro Builders
Best Outdoor Living Space: Crawford Renovation
Best Master Bathroom - Home over $1 million: Rohe & Wright Builders
Best Interior/Foyer - Home $500K - $1 million: Rohe & Wright Builders
Best Interior/Foyer - Home over $1 million: Allegro Builders
Best Specialty Room: Rohe & Wright Builders
Best Media Room: Rohe & Wright Builders
Best Architectural Design - Home over $1 million: Jauregui Architecture Interiors Construction
Best Overall Interior Design - Home $500K - $1 million: Rueby Custom Homes Inc.
Best New Home over $1 million: Jauregui Architecture Interiors Construction
Grand Award - Custom Builder of the Year over $1million: Jauregui Architecture Interiors Construction
Grand Award - Remodeler of the Year: Crawford Renovation
Grand Award - Builder of the Year, Mid Volume: Stonebridge Homes
- http://www.texasbuilders.org/
NAHB
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