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By:  Mowery                                                       H.B. No. 398


A BILL TO BE ENTITLED
AN ACT
relating to the approval process for certain housing project sites proposed by public housing authorities. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 392.003, Local Government Code, is amended to read as follows: Sec. 392.003. LEGISLATIVE FINDINGS. The legislature finds that: (1) there is a shortage of safe or sanitary housing at rents that persons of low income can afford that forces persons of low income to live in unsanitary or unsafe housing and in overcrowded and congested housing; (2) these housing conditions are responsible for an increase in and spread of disease and crime, are a menace to the health, safety, morals, and welfare of the residents of the state, impair economic values, and necessitate excessive and disproportionate expenditures of public funds for crime prevention and punishment, public health and safety, fire and accident protection, and other public services and facilities; (3) the unsafe and unsanitary housing cannot be cleared and the shortage of safe and sanitary housing for persons of low income cannot be relieved by private enterprise; (4) the construction of housing projects for persons of low income would not be competitive with private enterprise; (5) the clearance, replanning, and reconstruction of the areas in which unsanitary or unsafe housing exists and the providing of safe and sanitary housing for persons of low income are public uses and purposes and governmental functions of state concern for which public money may be spent and private property acquired; (6) it is in the public interest for: (A) [that] work on low income housing projects to commence as soon as possible to relieve the unemployment emergency; and (B) the public to be fully aware of and able to participate in basic decisions associated with work on those projects; and (7) this chapter is necessary in the public interest. SECTION 2. Section 392.053, Local Government Code, is amended by amending Subsections (b) and (e) and adding Subsections (d-1) and (f) to read as follows: (b) Unless the commissioners of an authority hold a public meeting about a proposed housing project before the site for the project is approved, the authority may not authorize the acquisition of existing multifamily rental housing for use as a housing project or the construction of a [the] housing project or obtain a permit, certificate, or other authorization required by a [municipality or other] political subdivision for the occupancy or operation of any part of the housing project or for any part of the construction of the housing project. A majority of the commissioners must attend the [public] meeting. The governing body of each of the following political subdivisions shall send a representative to attend the meeting: (1) a political subdivision that requires a permit, certificate, or other authorization for the occupancy or operation of any part of the housing project or for any part of the construction of the project; and (2) the municipality in which the housing project is to be located or, if the project will not be located in a municipality, the county in which the project is to be located, if the municipality or county is not otherwise described by Subdivision (1). (d-1) The commissioners shall consider, transcribe or record, and summarize the comments received at the meeting and submit the summary along with the proposal for the housing project to the governing bodies of the appropriate political subdivisions for approval as described by Section 392.0545. (e) If a housing authority has not complied with the requirements of this section and Section 392.054, a [municipality or other] political subdivision may not issue a permit, certificate, or other authorization for the occupancy or operation of any part of the housing project or for any part of the construction of[, or for the occupancy of,] a housing project. (f) This section does not apply to the acquisition of: (1) existing multifamily rental housing if any part of that housing is reserved for persons of extremely low to moderate income; or (2) a permit, certificate, or other authorization required for the occupancy or operation of any part of existing multifamily rental housing described by Subdivision (1). SECTION 3. Subchapter D, Chapter 392, Local Government Code, is amended by adding Section 392.0545 to read as follows: Sec. 392.0545. APPROVAL OF HOUSING PROJECT SITE BY CERTAIN POLITICAL SUBDIVISIONS. (a) In this section, "housing project" has the meaning assigned by Section 392.053. (b) Before authorizing the acquisition of existing multifamily rental housing for use as a housing project or the construction of a housing project, the authority must obtain the written approval of the proposed site of the project from the governing body of each of the following political subdivisions: (1) a political subdivision that requires a permit, certificate, or other authorization for the occupancy or operation of any part of the housing project or for any part of the construction of the project; and (2) the municipality in which the housing project is to be located or, if the project will not be located in a municipality, the county in which the project is to be located, if the municipality or county is not otherwise described by Subdivision (1). (c) This section does not apply to the acquisition of existing multifamily rental housing if any part of that housing is reserved for persons of extremely low to moderate income. SECTION 4. Section 392.056, Local Government Code, is amended by amending Subsection (c) and adding Subsection (f) to read as follows: (c) Except as prohibited in Subsection (f), an [An] authority may sell, lease, exchange, transfer, assign, pledge, or grant an option on the authority's real property or personal property and may insure or provide for the insurance of the authority's real property, personal property, or operations against risks or hazards. (f) An authority may not demolish or otherwise dispose of a public housing project or a portion of a public housing project until written approval, as required in Section 392.0545(b), has been secured for a site or sites on which replacement housing units will be provided under terms of comparable tenant eligibility. This subsection does not apply to the disposal of existing multifamily rental housing if any part of that housing is reserved for persons of extremely low to moderate income. SECTION 5. The changes in law made by Section 392.053, Local Government Code, as amended by this Act, and by Section 392.0545, Local Government Code, as added by this Act, apply only to a proposed housing project for which the site is approved by a public housing authority on or after the effective date of this Act. A proposed housing project for which the site is approved by a public housing authority before the effective date of this Act is covered by the law as it existed immediately before that date, and that law is continued in effect for that purpose. SECTION 6. This Act takes effect September 1, 2003.