Sec. 1201.008. REGULATION BY MUNICIPALITY. (a) A municipality may prohibit the installation of a mobile home for use as a dwelling in the municipality. The prohibition must be prospective and may not apply to a mobile home previously legally permitted by and used as a dwelling in the municipality. If a mobile home is replaced by a HUD-code manufactured home in the municipality, the municipality shall grant a permit for use of the manufactured home as a dwelling in the municipality. (b) On application, the municipality shall permit the installation of a HUD-code manufactured home for use as a dwelling in any area determined appropriate by the municipality, including a subdivision, planned unit development, single lot, and rental community or park. An application to install a new HUD-code manufactured home for use as a dwelling is considered to be granted unless the municipality in writing denies the application and states the reason for the denial not later than the 45th day after the date the application is received. (b) Subject to Subsection (g), on application, the municipality shall permit the installation of a HUD-code manufactured home for use as a dwelling in any area determined appropriate by the municipality, including a subdivision, planned unit development, single lot, and rental community or park. An application to install a new HUD-code manufactured home for use as a dwelling is considered to be granted unless the municipality in writing denies the application and states the reason for the denial not later than the 45th day after the date the application is received. (c) Subsections (a) and (b) do not affect the validity of an otherwise valid deed restriction. (d) Except as approved by the department, a local governmental unit may not require a permit, a fee, a bond, or insurance for the transportation and installation of manufactured housing by a licensed retailer or installer. This subsection does not prohibit the collection of actual costs incurred by a local governmental unit that result from the transportation of a manufactured home. (d) Except as approved by the department and subject to Subsection (d-1), a local governmental unit may not require a permit, a fee, a bond, or insurance for the transportation and installation of manufactured housing by a licensed retailer or installer. This subsection does not prohibit the collection of actual costs incurred by a local governmental unit that result from the transportation of a manufactured home. (d-1) A municipality may not require a specific use permit or other permit that serves a similar purpose to a specific use permit for a new HUD-code manufactured home if: (1) the home has been constructed in accordance with federal law and this chapter; and (2) the municipality does not require a specific use permit for other residential property in the same zoning classification. (e) Notwithstanding any zoning or other law, in the event that a manufactured home occupies a lot in a municipality, the owner of the manufactured home may remove the manufactured home from its location and place another manufactured home on the same property, provided that the replacement is a newer manufactured home and is at least as large in living space as the prior manufactured home. (f) An owner's ability to replace the home as a result of a fire or natural disaster cannot be restricted. Other than in the case of a fire or natural disaster, a general-rule or home-rule municipality by an ordinance or charter may limit the ability of the owner to replace his home to a single replacement. (g) Except as provided by Subsection (h), a municipality with zoning regulations or zoning district boundaries: (1) shall permit the installation, by right, of a new HUD-code manufactured home for use as a dwelling within the municipality's boundaries under at least one: (A) residential zoning classification; (B) type of residential zoning district; or (C) dedicated zoning classification for residential HUD-code manufactured homes; (2) shall ensure at least one of the residential zoning classifications or districts described by Subdivision (1) has been adopted and applies to an area of land within the municipality's boundaries; and (3) if the municipality has a comprehensive zoning classification map, shall indicate on the map the areas within the municipality's boundaries that comply with Subdivision (2). (h) Subsection (g) does not: (1) limit the authority of a municipality to adopt or enforce an ordinance, rule, or other measure to protect historic landmarks or include properties within the boundaries of a local historic district; (2) affect deed restrictions established before January 2, 2025; or (3) apply to a municipality: (A) in which all areas zoned for residential use have deed restrictions on September 1, 2025, prohibiting the placement of manufactured homes; or (B) that does not have any areas or districts zoned for business or industrial use.
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