77R12290 E By Davis of Dallas H.B. No. 3383 Substitute the following for H.B. No. 3383: By Davis of Dallas C.S.H.B. No. 3383 A BILL TO BE ENTITLED 1-1 AN ACT 1-2 relating to the exemption from ad valorem taxation for certain 1-3 community housing development organizations. 1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: 1-5 SECTION 1. Section 11.182, Tax Code, is amended by amending 1-6 Subsection (b) and adding Subsection (f) to read as follows: 1-7 (b) Property owned by the organization may not be exempted 1-8 under Subsection (a) after the third anniversary of the date the 1-9 organization acquires the property unless the organization is 1-10 offering to rent or is renting the property without profit to a 1-11 low-income or moderate-income individual or family satisfying the 1-12 organization's eligibility requirements. Rental property owned by 1-13 the organization that is exempted under Subsection (a) may not be 1-14 exempted in a subsequent tax year unless in the preceding tax year 1-15 the organization spent an amount equal to at least 50 percent of 1-16 the amount of the exemption in that year on social, educational, or 1-17 economic development services for eligible persons in the 1-18 jurisdiction granting the exemption. 1-19 (f) An organization is not required to spend at least 50 1-20 percent of the amount of the exemption as prescribed in Subsection 1-21 (b) if the organization acquired the property using tax-exempt bond 1-22 financing after January 1, 1997, and before December 31, 2001. 1-23 SECTION 2. This Act takes effect January 1, 2002, and 1-24 applies only to ad valorem taxes imposed on or after that date.