PART 17. TEXAS STATE BOARD OF PLUMBING EXAMINERS
CHAPTER 363. EXAMINATION AND REGISTRATION
The Texas State Board of Plumbing Examiners (Board or TSBPE) proposes an amendment to the existing rule at 22 Texas Administrative Code (TAC), Chapter 363, §363.9, concerning examination and registration. The proposed change is referred to as the "proposed rule."
EXPLANATION OF AND JUSTIFICATION FOR THE RULE
The proposed rule implements a Board recommendation to allow the nationally known and recognized certification in medical gas piping installation from the American Society of Sanitation Engineering (ASSE) to expand educational opportunities to potential medical gas piping installation endorsees and lower unnecessary regulatory barriers. The certification in medical gas piping installation offered by ASSE has more rigorous training standards than TSBPE for medical gas piping installation training and is commonly recognized as the "gold standard" for national medical gas piping installation training. The rule allows the Board to recognize this training as an additional path to qualification for holding a medical gas piping installation endorsement.
SECTION BY SECTION SUMMARY
Section 363.9 allows the recognition of the eligibility credential of certification in medical gas piping installation by the ASSE for a Texas medical gas piping endorsement.
FISCAL IMPACT ON STATE AND LOCAL GOVERNMENT
Lisa G. Hill, Executive Director for the Board (Executive Director), has determined that for the first five-year period the amended rule is in effect, there are no foreseeable increases or reductions in costs to the state or local governments as a result of enforcing or administering the rule. The Executive Director has further determined that for the first five-year period the amended rule is in effect, there will be no foreseeable losses or increases in revenue for the state or local governments as a result of enforcing or administering the rule.
PUBLIC BENEFITS
The Executive Director has determined that for each of the first five years the amended rule is in effect, the public benefit anticipated as a result of enforcing or administering the amended rule will be to have fewer regulatory barriers to licensure and greater opportunity to expand the population of medical gas piping endorsees by allowing licensees to obtain a medical gas piping installation training by an additional training provider.
PROBABLE ECONOMIC COSTS TO PERSONS REQUIRED TO COMPLY WITH THE RULE
The executive director has determined that for the first five years the amended rule is in effect, there are no substantial economic costs anticipated to persons required to comply with the amended rule.
ONE-FOR-ONE REQUIREMENT FOR RULES WITH A FISCAL IMPACT
Given that the amended rule does not have a fiscal note which imposes a cost on regulated persons, including another state agency, a special district, or local government, proposal and adoption of the rule is not subject to the requirements of Government Code §2001.0045.
GOVERNMENT GROWTH IMPACT STATEMENT
For each of the first five years the amended rule is in effect, the Board has determined the following: (1) the amended rule does not create or eliminate a government program; (2) implementation of the amended rule does not require the creation of new employee positions or the elimination of existing employee positions; (3) implementation of the amended rule does not require an increase or decrease in future legislative appropriations to the agency; (4) the amended rule does not require an increase or decrease in fees paid to the agency; (5) the amended rule does not create a new regulation; (6) the amended rule does not expand, limit, or repeal an existing regulation; (7) the amended rule does not increase or decrease the number of individuals subject to the rule's applicability; and (8) the amended rule does not positively or adversely affect this state's economy.
LOCAL EMPLOYMENT IMPACT STATEMENT
No local economies are substantially affected by the amended rule. As a result, preparation of a local employment impact statement pursuant to Government Code §2001.022 is not required.
FISCAL IMPACT ON SMALL AND MICRO-BUSINESS, AND RURAL COMMUNITIES
The amended rule will not have an adverse effect on small or micro-businesses, or rural communities because there are no substantial economic costs anticipated to persons required to comply with the amended rule. As a result, preparation of an economic impact statement and a regulatory flexibility analysis, as provided by Government Code §2006.002, are not required.
TAKINGS IMPACT ASSESSMENT
There are no private real property interests affected by the amended rule. As a result, preparation of a takings impact assessment, as provided by Government Code §2007.043, is not required.
PUBLIC COMMENTS
Written comments regarding the amended rule may be submitted by mail to Patricia Latombe at P.O. Box 4200, Austin, Texas 78765-4200, or by email to rule.comment@tsbpe.texas.gov with the subject line "Rule Amendment." All comments must be received within 30 days of publication of this proposal.
STATUTORY AUTHORITY
This proposal is made under the authority of §1301.251(2) of the Texas Occupations Code, which authorizes the Texas State Board of Plumbing Examiners to adopt rules as necessary to implement the Chapter.
No other statutes or rules are affected by the proposal.
§363.9.Medical Gas Piping Endorsement.
(a) To be eligible for a Medical Gas Piping Installation Endorsement an applicant must:
(1) hold a current Journeyman Plumber, Master Plumber or Plumbing Inspector License; and
(2) have successfully completed an [a
Board-]approved training program in medical gas piping installation,
which is based on the standards contained in the latest edition of
the National Fire Protection Association 99 Health Care Facilities
Code (NFPA 99), or demonstrate the successful completion of a
national certification in medical gas piping installation by the American
Society of Sanitation Engineering (ASSE).
(b) At a minimum, the training program required by subsection (a)(2) of this section shall:
(1) consist of at least twenty-four (24) hours dedicated to classroom presentation, shop demonstration and testing of the enrollee's comprehension of the course material;
(2) address the responsibilities of an endorsement-holder as outlined in the current edition of the NFPA 99, Plumbing License Law and Board Rules;
(3) address the proper installation and testing requirements for medical gas and vacuum piping systems, as outlined in the current edition of the NFPA 99; and
(4) include at least four (4) hours of shop demonstration covering the proper assembly, purging and brazing procedures for horizontal and vertical joints.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on August 11, 2022.
TRD-202202996
Patricia Latombe
General Counsel
Texas State Board of Plumbing Examiners
Earliest possible date of adoption: September 25, 2022
For further information, please call: (512) 936-5216
CHAPTER 537. PROFESSIONAL AGREEMENTS AND STANDARD CONTRACTS
The Texas Real Estate Commission (TREC) proposes amendments to 22 TAC §537.20, Standard Contract Form TREC No. 9-15; §537.28, Standard Contract Form TREC No. 20-16; §537.30, Standard Contract Form TREC No. 23-17; §537.31, Standard Contract Form TREC No. 24-17; §537.32, Standard Contract Form TREC No. 25-14; §537.33, Standard Contract Form TREC No. 26-7; §537.37, Standard Contract Form TREC No. 30-15; §537.43, Standard Contract Form TREC No. 36-9; §537.46, Standard Contract Form TREC No. 39-8; §537.47, Standard Contract Form TREC No. 40-9; §537.48, Standard Contract Form TREC No. 41-2; §537.51, Standard Contract Form TREC No. 44-2; §537.58, Standard Contract Form TREC No. 51-0; §537.59, Standard Contract Form TREC No. 52-0; and new rule §537.65, Standard Contract Form TREC No. 57-0, Notice to Prospective Buyer in Chapter 537, Professional Agreements and Standard Contracts.
The proposed amendments and new rules to Chapter 537 are made as a result of the Commission's quadrennial rule review. The proposed changes to the existing rules add the title of the form adopted by reference in each rule to the rule title and add clarifying language to specify which forms are for mandatory versus voluntary use by license holders. The new rules pair previously existing forms that were available for voluntary use by license holders with a rule to provide greater clarity about each form's purpose and use.
Each of the rules also include corresponding contract forms adopted by reference. Texas real estate license holders are generally required to use forms promulgated by TREC when negotiating contacts for the sale of real property. These forms are drafted and recommended for proposal by the Texas Real Estate Broker-Lawyer Committee, an advisory body consisting of six attorneys appointed by the President of the State Bar of Texas, six brokers appointed by TREC, and one public member appointed by the governor. The Texas Real Estate Broker-Lawyer Committee recommended revisions to the contract forms adopted by reference under the proposed amendments and new rule. The changes listed below apply to all contract forms unless specified otherwise. Paragraph numbers referenced are from the One to Four Family Residential Contract (Resale).
The term "Escrow Agent" is capitalized throughout the contract to reflect its status as a defined term.
Paragraph 3 is amended to add a definition of "cash portion of the sales price."
A new "required notices" section is added to Paragraph 6, which provides one location where MUD, PID, or other similar notices that have been given or are attached to the contract can be listed. The corresponding reference to the Commission's form "Addendum containing Notice of Obligation to Pay Improvement District Assessment" is removed from Paragraph 22.
Paragraph 7.F is revised to require that the seller: (i) provide the buyer with copies of documentation from the repair person that shows both the scope of work and payment for the work completed; and (ii) transfer, at seller's expense, any transferable warranties at closing.
Paragraph 7.H is amended to replace the term "residential service company" with the terminology used by the Texas Department of Licensing and Regulation, which as of September 1, 2021, regulates residential service companies.
Paragraph 9.B(3) is amended to add the transfer of any warranties to correspond with the change in Paragraph 7F. New paragraph 9.B(5) provides that private transfer fees will be the obligation of the seller, unless otherwise provided in this contract.
Paragraph 11 is amended to further clarify the intent of the paragraph by replacing the terms "factual statements" and "business details" with "informational items," which is now defined, and adding that real estate brokers cannot practice law and are prohibited from adding to, deleting, or modifying the contract unless drafted by a party to the contract or a party's attorney. Lines have also been inserted into the blank.
Paragraph 13 is amended to clarify what amounts will be prorated through the closing date.
Paragraph 18.B is amended to add that if no closing occurs, the escrow agent may require a written release of liability before releasing the earnest money.
Paragraph 21 is amended to add a line for a courtesy copy to another individual, like an agent.
In the Unimproved Property Contract, the Farm and Ranch Contract, the New Home Contract (Incomplete Construction), and the New Home Contract (Complete Construction), the Seller's Disclosures paragraph has been amended to: (i) add checkboxes to each disclosure item to indicate whether the seller is or is not aware; and (ii) add two additional disclosures relating to whether the property is located in a floodplain or if any tree located on the property has oak wilt.
The Farm and Ranch Contract contains the following additional proposed changes:
A notice is added that states the form is designed for use in sales of existing farms or ranches of any size, and that it's not for use in complex transactions.
Paragraph 2.A adds the term "Counties" to reflect the fact that farm and ranch properties could be located across two or more counties. Additionally, the phrase "including but not limited to: water rights, claims, permits, strips and gores, easements, and cooperative or association memberships" is deleted from the paragraph.
Paragraph 2.B is amended to make the terms "house" and "garage" plural.
Paragraph 3.D is amended to alter the calculation of the sales price adjustment should the survey reveal a difference in acreage.
New paragraph 4.D is added to address surface leases and includes options regarding whether the seller has delivered copies of written leases or provided notice of oral leases to the buyer, similar to the existing natural resource lease paragraph. The corresponding language in Paragraph 6.F is also amended.
On page 10 of the Contract, the statement "Do not sign if there is a separate written agreement for payment of Brokers' fees" is being modified to make it more conspicuous.
The Residential Condominium Contract contains the following additional proposed changes:
Paragraph 2.A(1) is amended to add a reference to an exhibit.
Paragraph 2.B(2) and 2.C(2) are amended to clarify the timing related to termination and to add a reference to the applicable Property Code provision.
Paragraph 12.A(3) is amended to except prepaid regular periodic maintenance fees, assessments, or dues from the buyer's obligation to pay any and fees associated with the transfer of the property not to exceed a certain amount, and the seller pays the excess.
The Amendment to Contract is amended to add a notice to consult an attorney and to add a reference to Paragraph 7 of the contracts in Paragraph 2 of the Amendment dealing with repairs. The form is also amended to replace the parenthetical following Paragraph 9, Other Modifications, with a statement that real estate brokers and sales agents are prohibited from practicing law. Lines have also been inserted into the blank.
The Seller Financing Addendum contains the following amendments:
A notice encouraging consultation with an attorney and a financial professional and informing parties of the complicated nature of these transactions is added to the top of the form.
Paragraph B is amended to modify the time period within which the seller may terminate.
A new instructional parenthetical is added in Paragraph C. Additionally, the interest in modified to reflect a per annum interest rate.
Paragraph D.2(a) and (b) are amended to clarify the casualty insurance requirements and new paragraph D.2 is added to address casualty insurance.
Paragraph D.2(b) is further amended to add a requirement that the seller provide the buyer with an annual accounting of the escrow account, use escrow deposits to pay taxes and insurance premiums in a timely manner in certain circumstances, and hold the escrow deposit in a separate account. Language is also added to specify whether the escrow account will or will not be serviced by a third-party servicer at either the buyer's or seller's expense.
The Addendum for Property Subject to Mandatory Membership in a Property Owners Association is amended to except prepaid regular periodic maintenance fees, assessments, or dues from the buyer's obligation to pay any and fees associated with the transfer of the property not to exceed a certain amount, and the seller pays the excess. Language is also added to clarify that these fees should be prorated pursuant to Paragraph 13 of the Contract. Finally, the amended language adds that the paragraph does not apply to a fee that is not imposed by the Association, even if it is collected by the Association for the benefit of a third party.
The Third Party Financing Addendum is amended to add an "other financing" box in Paragraph 1. Paragraph 3 is amended to add that a note must be secured by vendor's and deed of trust liens only if required by the buyer's lender. Finally, the phrase "provided in relation to the closing of this sale" is struck from Paragraph 5.B to streamline the paragraph.
Both the Addendum Regarding Residential Leases and the Addendum Regarding Fixture Leases are amended to add a checkbox in Paragraph B.1 related to notice of oral leases. Additionally, the Addendum for Disclosure of Fixture Leases is amended to modify Paragraph A.1 to include checkboxes, in lieu of a blank line, so that the parties can specifically indicate what types of fixture leases will be assumed and assigned.
The Notice to Prospective Buyer form (which currently exists, but has not had a corresponding rule which adopts the form by reference) is amended to add a reference to the notice requirements regarding public improvement districts.
The Loan Assumption Addendum contains the following amendments:
-"Effective Date" and "Title Company" are capitalized throughout.
-Paragraph A is amended to add that the noteholder of the loan being assumed is authorized to receive a copy of the buyer's credit reports.
-Paragraph B is amended to modify the time period within which the seller may terminate.
-Paragraph C is amended to clarify that the buyer will assume in writing the following notes at closing, to remove the reference to $500 and instead insert a blank, and to add the following sentence: "Within 7 days after the Effective Date, Seller will deliver to Buyer copies of the note(s) to be assumed, the deed(s) of trust, and the most recent loan statement(s) from the lender."
-New paragraph H is added related to authorization to release information.
-A new due on sale notice is added.
The Addendum for Reservation of Oil, Gas, and Other Minerals is amended to replace the phrase "reserve and retain implied" with "waive" in Paragraph C. The term "current" is added to "contact information" in Paragraph D.
Abby Lee, Deputy General Counsel, has determined that for the first five-year period the proposed amendments are in effect there will be no fiscal implications for the state or for units of local government as a result of enforcing or administering the sections. There is no adverse economic effect anticipated for small businesses, micro-businesses, rural communities, or local or state employment as a result of implementing the proposed amendments. There is no significant economic cost anticipated for persons who are required to comply with the proposed amendments. Accordingly, no Economic Impact Statement or Regulatory Flexibility Analysis is required.
Ms. Lee also has determined that for each year of the first five years the sections as proposed are in effect, the public benefits anticipated as a result of adopting the sections as proposed will be improved clarity and greater transparency for members of the public and license holders.
For each year of the first five years the proposed amendments and new rules are in effect, the amendments will not:
-create or eliminate a government program;
-require the creation of new employee positions or the elimination of existing employee positions;
-require an increase or decrease in future legislative appropriations to the agency;
-require an increase or decrease in fees paid to the agency;
-create a new regulation;
-expand, limit, or repeal an existing regulation;
-increase or decrease the number of individuals subject to the rule's applicability; or
-positively or adversely affect the state's economy.
Comments on the proposal may be submitted through the online comment submission form at https://www.trec.texas.gov/rules-and-laws/comment-on-proposed-rules, to Abby Lee, Deputy General Counsel, Texas Real Estate Commission, P.O. Box 12188, Austin, Texas 78711-2188, or via email to general.counsel@trec.texas.gov. The deadline for comments is 30 days after publication in the Texas Register.
The amendments and new rule are proposed under Texas Occupations Code, §1101.151, which authorizes the Texas Real Estate Commission to adopt and enforce rules necessary to administer Chapters 1101 and 1102; and to establish standards of conduct and ethics for its license holders to fulfill the purposes of Chapters 1101 and 1102 and ensure compliance with Chapters 1101 and 1102.
The statute affected by these amendments and new rules is Texas Occupations Code, Chapter 1101. No other statute, code, or article is affected by the amendments and new rules.
§537.20.Standard Contract Form TREC No. 9-16[9-15], Unimproved Property Contract.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 9-16[9-15] approved
by the Commission in 2021 for mandatory use in the sale
of unimproved property where the intended use is for one
to four family residences.
§537.28.Standard Contract Form TREC No. 20-17[20-16], One to Four Family Residential
Contract (Resale).
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 20-17[20-16]
approved by the Commission in 2021 for mandatory use in
the resale of residential real estate.
§537.30.Standard Contract Form TREC No. 23-18[23-17], New Home Contract (Incomplete
Construction).
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 23-18[23-17]
approved by the Commission in 2021 for mandatory use in
the sale of a new home where construction is incomplete.
§537.31.Standard Contract Form TREC No. 24-18[24-17], New Home Contract (Completed Construction).
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 24-18[24-17]
approved by the Commission in 2021 for mandatory use in
the sale of a new home where construction is completed.
§537.32.Standard Contract Form TREC No. 25-15[25-14], Farm and Ranch Contract.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 25-15[25-14]
approved by the Commission in 2021 for mandatory use in
the sale of a farm or ranch.
§537.33.Standard Contract Form TREC No. 26-8[26-7], Seller Financing Addendum.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 26-8[26-7] approved
by the Commission in 2015 for mandatory use as an addendum
concerning seller financing.
§537.37.Standard Contract Form TREC No. 30-16[30-15], Residential Condominium Contract
(Resale).
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 30-16[30-15]
approved by the Commission in 2021 for mandatory use in
the resale of a residential condominium unit.
§537.43.Standard Contract Form TREC No. 36-10[36-9], Addendum for Property Subject to
Mandatory Membership in a Property Owners Association.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 36-10[36-9]
approved by the Commission in 2020 for mandatory use as
an addendum to be added to promulgated forms in the sale of property
subject to mandatory membership in an owners' association.
§537.46.Standard Contract Form TREC No. 39-9[39-8], Amendment to Contract.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 39-9[39-8] approved
by the Commission in 2015 for mandatory use as an amendment
to promulgated forms of contracts.
§537.47.Standard Contract Form TREC No. 40-10[40-9], Third Party Financing Addendum.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form, TREC No. 40-10[40-9]
approved by the Commission in 2019 for mandatory use as
an addendum to be added to promulgated forms of contracts when there
is a condition for third party financing.
§537.48.Standard Contract Form TREC No. 41-3[41-2], Loan Assumption Addendum.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 41-3[41-2] approved
by the Commission in 2012 for mandatory use as an addendum
to be added to promulgated forms of contracts when there is an assumption
of a loan.
§537.51.Standard Contract Form TREC No. 44-3[44-2], Addendum for Reservation of Oil,
Gas, and Other Minerals.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 44-3[44-2] approved
by the Commission in 2014 for mandatory use as an addendum
to be added to promulgated forms of contracts for the reservation
of oil, gas, and other minerals.
§537.58.Standard Contract Form TREC No. 51-1[51-0], Addendum Regarding Residential Leases.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 51-1[51-0] approved
by the Commission in 2020 for mandatory use as an addendum
to be added to promulgated forms of contracts as related to lease agreements.
§537.59.Standard Contract Form TREC No. 52-1[52-0], Addendum Regarding Fixture Leases.
The Texas Real Estate Commission (Commission) adopts by reference
standard contract form TREC No. 52-1[52-0] approved
by the Commission in 2020 for mandatory use as an addendum
to be added to promulgated forms as related to fixture leases.
§537.65.Standard Contract Form TREC No. 57-0, Notice to Prospective Buyer.
The Texas Real Estate Commission (Commission) adopts by reference standard contract form TREC No. 57-0 approved by the Commission in 2022 for voluntary use when the parties use a contract of sale that has not been approved for mandatory use by the Commission.
The agency certifies that legal counsel has reviewed the proposal and found it to be within the state agency's legal authority to adopt.
Filed with the Office of the Secretary of State on August 10, 2022.
TRD-202202989
Abby Lee
Deputy General Counsel
Texas Real Estate Commission
Earliest possible date of adoption: September 25, 2022
For further information, please call: (512) 936-3057