BILL ANALYSIS

Senate Research Center	H.B. 1558
87R17325 JG-D	By: Button et al. (Johnson)
	Local Government
	5/18/2021
	Engrossed

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

Garland will soon be home to a new Veterans Affairs (VA) hospital, and one of the city's anticipated needs involves housing for those who will work at and receive services from this VA hospital, particularly low-income veterans. By increasing veterans' access to affordable housing near veterans hospitals like the one in Garland, the legislature can improve these veterans' access to quality health care services, which is essential considering that veterans unfortunately often face a variety of barriers to these sorts of services.

Seeking to address this issue, H.B. 1558 would require the Texas Department of Housing and Community Affairs point system used to rank applications for low income housing tax credits to encourage applicants to give preference for leasing units in the development to low-income veterans, if the application concerns a development that is or will be located in a county with a population of one million or more and not more than two miles from a veterans hospital, VA medical center, or VA health center. By encouraging developers to prioritize low-income veterans, H.B. 1558 will both increase veterans' access to affordable housing and ensure they will be able to easily access quality health care services in close proximity to their homes.

H.B. 1558 amends current law relating to the system by which an application for a low income housing tax credit is scored.

RULEMAKING AUTHORITY

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

SECTION BY SECTION ANALYSIS

SECTION 1. Amends Section 2306.6710(b), Government Code, as follows:

(b) Requires the Texas Department of Housing and Community Affairs (TDHCA), if an application for low income housing tax credits satisfies the threshold criteria, to score and rank the application using a point system that:

(1) makes no changes to this subdivision;

(2) and (3) makes nonsubstantive changes to these subdivisions; and

(4) for an application concerning a development that is or will be located in a county with a population of 1 million or more and not more than two miles from a veterans hospital, veterans affairs medical center, or veterans affairs health care center, encourages applicants to provide a preference for leasing units in the development to low income veterans.

SECTION 2. Provides that the change in law made by this Act applies only to an application for low income housing tax credits that is submitted to TDHCA during an application cycle that is based on the 2022 qualified allocation plan or a subsequent plan adopted by the governing board of TDHCA. Provides that an application that is submitted during an application cycle that is based on an earlier qualified allocation plan is governed by the law in effect on the date the application cycle began, and the former law is continued in effect for that purpose.

SECTION 3. Effective date: September 1, 2021.