Amend SB 426 (house committee printing) as follows:                          
	(1) In the recital to SECTION 1 of the bill (page 1, line 8), 
strike "Subsection (j)" and substitute "Subsections (e), (h), and 
(j)".
	(2) In SECTION 1 of the bill, between the recital to the 
section and amended Section 11.182(j), Tax Code (page 1, between 
lines 8 and 9), insert the following:
	(e) Notwithstanding [In addition to meeting the applicable 
requirements of]  Subsections (b), [and] (c), and (j), an 
organization is entitled to [receive] an exemption under Subsection 
(b) for improved real property that the organization owns or 
controls and that is [includes a housing project constructed after 
December 31, 2001, and] financed with qualified 501(c)(3) bonds 
issued under Section 145 of the Internal Revenue Code of 1986, 
tax-exempt private activity bonds subject to volume cap, or 
low-income housing tax credits if [,] the organization [must]:
		(1) meets the requirements of Subsections (b)(1) and 
(2);            
		(2) owns or controls [control] 100 percent of the 
interest in:
			(A) the general partner of the [if the project is 
owned by a] limited partnership that owns the property, if 
applicable; or
			(B) the entity that owns the property;                                
		(3) complies [(2) comply] with all rules of and laws 
administered by the Texas Department of Housing and Community 
Affairs applicable to community housing development organizations; 
[and]
		(4) submits [(3) submit] annually to the Texas 
Department of Housing and Community Affairs and to the governing 
body of each taxing unit for which the project receives an exemption 
for the housing project evidence demonstrating that the 
organization spent an amount equal to at least 90 percent of the 
project's cash flow in the preceding fiscal year as determined by 
the audit required by Subsection (g), for eligible persons in the 
county in which the property is located, on social, educational, or 
economic development services, capital improvement projects, or 
rent reduction; and
		(5) applied for an exemption under this section for the 
property before January 1, 2004.
	(h) Subsections (d) and (e)(4) [(e)(3)] do not apply to 
property owned by an organization if:
		(1) the entity that provided the financing for the 
acquisition or construction of the property:
			(A) requires the organization to make payments in 
lieu of taxes to the school district in which the property is 
located; or
			(B) restricts the amount of rent the organization 
may charge for dwelling units on the property; or
		(2) the organization has entered into an agreement with 
each taxing unit for which the property receives an exemption to 
spend in each tax year for the purposes provided by Subsection (d) 
or (e)(4) [(e)(3)] an amount equal to the total amount of taxes 
imposed on the property in the tax year preceding the year in which 
the organization acquired the property.