Tex. Prop. Code Section 5.014
Notice of Obligations Related to Public Improvement District

(a)

A person who proposes to sell or otherwise convey real property that is located in a public improvement district established under Subchapter A (Short Title), Chapter 372 (Improvement Districts in Municipalities and Counties), Local Government Code, or Chapter 382 (Improvement Projects in Certain Counties), Local Government Code, shall first give to the purchaser of the property the written notice prescribed by Subsection (a-1) or (a-2), as applicable.

(a-1)

Except for the notice prescribed by Subsection (a-2), the notice required by Subsection (a) shall be executed by the seller and must, except as provided by Subsection (b), read as follows:
As the purchaser of the real property described above, you are obligated to pay assessments to (insert name of municipality or county, as applicable), Texas, for the costs of a portion of a public improvement or services project (the “Authorized Improvements”) undertaken for the benefit of the property within (insert name of public improvement district) (the “District”) created under (insert Subchapter A (Short Title), Chapter 372 (Improvement Districts in Municipalities and Counties), Local Government Code, or Chapter 382 (Improvement Projects in Certain Counties), Local Government Code, as applicable).
AN ASSESSMENT HAS BEEN LEVIED AGAINST YOUR PROPERTY FOR THE AUTHORIZED IMPROVEMENTS, WHICH MAY BE PAID IN FULL AT ANY TIME. IF THE ASSESSMENT IS NOT PAID IN FULL, IT WILL BE DUE AND PAYABLE IN ANNUAL INSTALLMENTS THAT WILL VARY FROM YEAR TO YEAR DEPENDING ON THE AMOUNT OF INTEREST PAID, COLLECTION COSTS, ADMINISTRATIVE COSTS, AND DELINQUENCY COSTS.
The exact amount of the assessment may be obtained from (insert name of municipality or county, as applicable). The exact amount of each annual installment will be approved each year by (insert name of city council or county commissioners court, as applicable) in the annual service plan update for the district. More information about the assessments, including the amounts and due dates, may be obtained from (insert name of municipality or county, as applicable).
Your failure to pay any assessment or any annual installment may result in penalties and interest being added to what you owe or in a lien on and the foreclosure of your property.
The undersigned purchaser acknowledges receipt of this notice before the effective date of a binding contract for the purchase of the real property at the address described above.
Date: __________________ ________________________________
Signature of Purchaser

(a-2)

For a district described by Section 372.0035 (Common Characteristic or Use for Projects in Municipalities), Local Government Code, the notice required by Subsection (a) shall be executed by the seller and must, except as provided by Subsection (b), read as follows:
As the purchaser of the real property described above, you are obligated to pay assessments to (insert name of municipality), Texas, for the costs of a portion of a public improvement or services project (the “Authorized Services”) undertaken for the benefit of the property within (insert name of public improvement district) (the “District”) created under Subchapter A (Short Title), Chapter 372 (Improvement Districts in Municipalities and Counties), Local Government Code.
AN ASSESSMENT HAS BEEN LEVIED AGAINST YOUR PROPERTY FOR THE AUTHORIZED SERVICES, WHICH MUST BE PAID IN FULL WITH EVERY PAYMENT BY THE HOTEL OF LOCAL HOTEL OCCUPANCY TAX REMITTANCES TO THE MUNICIPALITY. YOUR FAILURE TO PAY THE ASSESSMENT MAY RESULT IN PENALTIES AND INTEREST BEING ADDED TO WHAT YOU OWE, AND MAY INCLUDE THE PURSUIT OF ANY OTHER REMEDY THAT IS AUTHORIZED UNDER SECTION 372.0035(d), LOCAL GOVERNMENT CODE.
Information about the calculation of the assessment may be obtained from (insert name of the municipality). The exact assessment rate will be approved each year by (insert name of city council) in the annual service plan update for the district. More information about the assessments, including the assessment rate and due dates, may be obtained from (insert name of municipality).
The undersigned purchaser acknowledges receipt of this notice before the effective date of a binding contract for the purchase of the real property at the address described above.
Date: __________________ ________________________________
Signature of Purchaser

(b)

The seller or the municipality or county that created the public improvement district may provide additional information regarding the district in the notice prescribed by Subsection (a-1) or (a-2), including whether an assessment has been levied, the amount of the assessment, and the payment schedule for assessments.

(c)

This section does not apply to a transfer:

(1)

under a court order or foreclosure sale;

(2)

by a trustee in bankruptcy;

(3)

to a mortgagee by a mortgagor or successor in interest or to a beneficiary of a deed of trust by a trustor or successor in interest;

(4)

by a mortgagee or a beneficiary under a deed of trust who has acquired the land at a sale conducted under a power of sale under a deed of trust or a sale under a court-ordered foreclosure or has acquired the land by a deed in lieu of foreclosure;

(5)

by a fiduciary in the course of the administration of a decedent’s estate, guardianship, conservatorship, or trust;

(6)

from one co-owner to another co-owner of an undivided interest in the real property;

(7)

to a spouse or a person in the lineal line of consanguinity of the seller;

(8)

to or from a governmental entity; or

(9)

of only a mineral interest, leasehold interest, or security interest.

(d)

For the purposes of this section, a contract for the purchase and sale of real property having a performance period of less than six months is considered a sale requiring notice.
Added by Acts 2005, 79th Leg., Ch. 1085 (H.B. 1919), Sec. 1, eff. January 1, 2006.
Amended by:
Acts 2009, 81st Leg., R.S., Ch. 87 (S.B. 1969), Sec. 20.002, eff. September 1, 2009.
Acts 2021, 87th Leg., R.S., Ch. 253 (H.B. 1543), Sec. 3, eff. September 1, 2021.

Source: Section 5.014 — Notice of Obligations Related to Public Improvement District, https://statutes.­capitol.­texas.­gov/Docs/PR/htm/PR.­5.­htm#5.­014 (accessed Jun. 5, 2024).

5.001
Fee Simple 5.002
Failing as a Conveyance 5.003
Partial Conveyance 5.004
Conveyance by Authorized Officer 5.005
Aliens 5.006
Attorney’s Fees in Breach of Restrictive Covenant Action 5.007
Vendor and Purchaser Risk Act 5.008
Seller’s Disclosure of Property Condition 5.009
Duties of Life Tenant 5.010
Notice of Additional Tax Liability 5.011
Seller’s Disclosure Regarding Potential Annexation 5.012
Notice of Obligations Related to Membership in Property Owners’ Association 5.013
Seller’s Disclosure of Location of Conditions Under Surface of Unimproved Real Property 5.014
Notice of Obligations Related to Public Improvement District 5.015
Prohibited Fees 5.016
Conveyance of Residential Property Encumbered by Lien 5.019
Notice of Water Level Fluctuations 5.020
Easements Restricting Possession of Firearms or Alcoholic Beverages Prohibited 5.021
Instrument of Conveyance 5.022
Form 5.023
Implied Covenants 5.024
Encumbrances 5.025
Wood Shingle Roof 5.026
Discriminatory Provisions 5.027
Correction Instruments: Generally 5.028
Correction Instruments: Nonmaterial Corrections 5.029
Correction Instruments: Material Corrections 5.030
Correction Instrument: Effect 5.041
Future Estates 5.042
Abolition of Common-law Rules 5.043
Reformation of Interests Violating Rule Against Perpetuities 5.061
Definition 5.062
Applicability 5.063
Notice 5.064
Seller’s Remedies on Default 5.065
Right to Cure Default 5.066
Equity Protection 5.067
Placement of Lien for Utility Service 5.068
Foreign Language Requirement 5.069
Seller’s Disclosure of Property Condition 5.070
Seller’s Disclosure of Tax Payments and Insurance Coverage 5.071
Seller’s Disclosure of Financing Terms 5.072
Oral Agreements Prohibited 5.073
Contract Terms, Certain Waivers Prohibited 5.074
Purchaser’s Right to Cancel Contract Without Cause 5.076
Recording Requirements 5.077
Annual Accounting Statement 5.078
Disposition of Insurance Proceeds 5.079
Title Transfer 5.080
Liability for Disclosures 5.081
Right to Convert Contract 5.082
Request for Balance and Trustee 5.083
Right to Cancel Contract for Improper Platting 5.084
Right to Deduct 5.085
Fee Simple Title Required 5.087
Additional Provisions: Certain Counties 5.0141
Notice Required Before Contract Execution 5.0142
Purchaser Signature Required 5.0143
Recording of Notice at Closing 5.0144
Reliance on Filed Service Plan 5.0145
Suits for Damages 5.151
Disclosure in Offer to Purchase Mineral Interest 5.152
Certain Purchases of Mineral or Royalty Interests Void 5.201
Definitions 5.202
Certain Private Transfer Fee Obligations Void 5.203
Notice Requirements for Continuation of Existing Private Transfer Fee Obligations 5.204
Additional Compliance Requirement: Timely Acceptance of Fees Paid Under Existing Private Transfer Fee Obligations 5.0205
Equitable Interest Disclosure 5.205
Disclosure of Existing Transfer Fee Obligation Required in Contract for Sale 5.206
Waiver Void 5.207
Injunctive or Declaratory Relief 5.0261
Removal of Discriminatory Provision from Recorded Conveyance Instrument 5.0621
Construction with Other Law 5.0622
Additional Applicability: Certain Counties
Green check means up to date. Up to date

Accessed:
Jun. 5, 2024

§ 5.014’s source at texas​.gov