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A BILL TO BE ENTITLED
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AN ACT
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relating to the establishment of the workforce housing program by |
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the Texas Department of Housing and Community Affairs. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter K, Chapter 2306, Government Code, is |
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amended by adding Section 2306.2595 to read as follows: |
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Sec. 2306.2595. WORKFORCE HOUSING PROGRAM. (a) In this |
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section: |
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(1) "Fund" means the workforce housing fund. |
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(2) "Program" means workforce housing program. |
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(b) The department shall establish the workforce housing |
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program to provide financial assistance to participating |
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municipalities to facilitate the construction and rehabilitation |
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of eligible workforce housing developments in those |
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municipalities. Financial assistance may be awarded from the fund |
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described by Subsection (e) to eligible developments in the form of |
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grants or low-interest loans for the purposes described by this |
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section and must be prorated, to the extent practicable, according |
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to the size of the participating municipality. |
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(c) To be eligible for financial assistance awarded by a |
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participating municipality under the program, a workforce housing |
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development must: |
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(1) consist of new construction or a substantial |
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rehabilitation of an existing facility; |
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(2) reserve a specified percentage of the units in the |
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development for occupancy of individuals and families earning: |
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(A) not less than 30 percent of the area median |
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income, adjusted for family size; and |
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(B) not more than 120 percent of the area median |
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income, adjusted for family size; and |
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(3) maintain the affordability requirements described |
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by Subdivision (2) for a period of not less than 20 years following |
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the date of receipt of financial assistance under this section. |
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(d) The department shall adopt rules to implement the |
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program, including rules that: |
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(1) provide criteria for determining which |
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municipalities may participate in the program; |
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(2) specify the percentage of units that a workforce |
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housing development must reserve to satisfy the affordability |
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requirements under Subsection (c)(2), to demonstrate eligibility |
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for financial assistance under the program; and |
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(3) provide a scoring system to be used by a |
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municipality to prioritize developments that are eligible for |
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financial assistance under the program. |
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(e) The workforce housing fund is a special account in the |
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state treasury. The fund consists of: |
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(1) money appropriated to the board for a purpose of |
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the fund; |
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(2) repayment of principal and interest from loans |
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made from the fund; |
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(3) money the board transfers to the fund from any |
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available source; |
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(4) depository interest allocable to the fund and |
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other investment returns on money in the fund; |
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(5) money from gifts, grants, or donations to the |
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fund; and |
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(6) any other fees or sources of revenue that the |
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legislature may dedicate for deposit to the fund. |
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(f) Financial assistance provided from the fund to an |
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eligible workforce housing development must be spent by the |
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recipient on the development not later than 36 months after the date |
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the assistance is received. |
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(g) Money provided from the fund that is not spent as |
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required by Subsection (f) must be returned to the department and |
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deposited to the credit of the fund. |
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SECTION 2. This Act takes effect September 1, 2023. |