TX SB1935

Requires HOA board meetings to be held within 10 miles of the subdivision when a majority of board members are not elected by property owners (excluding the declarant/developer)

Mandates at least one-third of board members be elected by non-declarant owners within 120 days after a majority of lots are conveyed to homeowners; increases to a majority of board members once 75% of lots are conveyed

Requires declarants to notify owners within 30 days of reaching the majority lot conveyance threshold via website posting and email to registered owners

Requires HOA fines to be reasonable based on the nature, frequency, and effect of violations, and mandates associations establish a maximum cap on accumulated fines for continuing violations

Prohibits HOAs from increasing regular assessments by 5% or more per year unless approved by a majority vote of property owners entitled to vote on the increase

Establishes March 1, 2026 as the compliance deadline for existing HOAs that have already reached the conveyance thresholds, with an effective date of September 1, 2025