Relating to notice requirements for a leased dwelling located in a floodplain.

Contracts

• Lease Templates: Standard Texas Residential Lease Agreements must be updated. You must ensure the flood notice is either a standalone addendum or a distinct section within the lease that requires a specific signature or initial.
• Exemption Logic: Remove flood disclosure clauses from Short-Term Rental agreements (<30 days) and Seller’s/Buyer’s Temporary Residential Leases (<90 days) to streamline closing documents.

Hiring/Training

• Leasing Agents: Staff must be trained on the "Hard Stop" protocol. A lease cannot be countersigned or executed by management until the tenant’s signature on the flood disclosure is verified.
• Renewals: Staff handling lease renewals must ensure that tenants rolling over into new terms post-September 1, 2025, sign this disclosure, even if they have lived in the unit for years.

Reporting & Record-Keeping

• Digital Workflows: If using platforms like Yardi, Blue Moon, or DocuSign, you must configure the signature fields to make the flood disclosure signature mandatory. The tenant must not be able to submit the lease packet without signing this specific document.
• Audit Trail: Retain the signed disclosure for the life of the tenancy plus the statute of limitations period (4 years) to defend against potential future flood claims.

Fees & Costs

• No New State Fees: There are no filing fees associated with this bill.
• Cost of Non-Compliance: High. Failure to obtain the signature allows the tenant to terminate the lease unilaterally and sue for damages if a flood occurs.