|
|
|
|
AN ACT
|
|
relating to the issuance of private activity bonds and to certain |
|
home loan programs. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Section 1372.002, Government Code, is amended by |
|
amending Subsection (a) and adding Subsections (c) and (d) to read |
|
as follows: |
|
(a) For purposes of this chapter, a project is: |
|
(1) an eligible facility or facilities that are [is] |
|
proposed to be financed, in whole or in part, by an issue of |
|
qualified residential rental project bonds; [or] |
|
(2) in connection with an issue of qualified mortgage |
|
bonds or qualified student loan bonds, the providing of financial |
|
assistance to qualified mortgagors or students located in all or |
|
any part of the jurisdiction of the issuer; or |
|
(3) an eligible facility that is proposed to be |
|
financed, in whole or in part, by an issue of bonds other than bonds |
|
described by Subdivision (1) or (2). |
|
(c) For purposes of Subsection (a)(1), an application under |
|
this chapter may include either the rehabilitation or new |
|
construction, or both the rehabilitation and new construction, of |
|
qualified residential rental facilities located at multiple sites |
|
and with respect to which 51 percent or more of the residential |
|
units are located: |
|
(1) in a county with a population of less than 75,000; |
|
or |
|
(2) in a county in which the median income is less than |
|
the median income for the state, provided that the units are located |
|
in that portion of the county that is not included in a metropolitan |
|
statistical area containing one or more projects that are proposed |
|
to be financed, in whole or in part, by an issuance of bonds. |
|
(d) For purposes of Subsection (c), in an application for a |
|
reservation, the number of sites may be reduced as needed without |
|
affecting their status as a project for purposes of the |
|
application, provided that the final application for a reservation |
|
contains at least two sites. |
|
SECTION 2. Section 1372.0221, Government Code, is amended |
|
to read as follows: |
|
Sec. 1372.0221. DEDICATION OF PORTION OF STATE CEILING FOR |
|
PROFESSIONAL EDUCATORS HOME LOAN PROGRAM. Until August 7 [1], out |
|
of that portion of the state ceiling that is available exclusively |
|
for reservations by the Texas State Affordable Housing Corporation |
|
[issuers of qualified mortgage bonds] under Section 1372.0223, 54.5 |
|
percent [1372.022, $25 million] shall be allotted each year and |
|
made available [exclusively] to the corporation [Texas State
|
|
Affordable Housing Corporation] for the purpose of issuing |
|
qualified mortgage bonds in connection with the professional |
|
educators home loan program established under Section 2306.562. |
|
SECTION 3. Section 1372.0222, Government Code, is amended |
|
to read as follows: |
|
Sec. 1372.0222. DEDICATION OF PORTION OF STATE CEILING FOR |
|
FIRE FIGHTER AND LAW ENFORCEMENT OR SECURITY OFFICER HOME LOAN |
|
PROGRAM. Until August 7 [1], out of that portion of the state |
|
ceiling that is available exclusively for reservations by the Texas |
|
State Affordable Housing Corporation [issuers of qualified
|
|
mortgage bonds] under Section 1372.0223, 45.5 percent [1372.022,
|
|
$25 million] shall be allotted each year and made available |
|
[exclusively] to the corporation [Texas State Affordable Housing
|
|
Corporation] for the purpose of issuing qualified mortgage bonds in |
|
connection with the fire fighter, law enforcement officer, and |
|
security officer home loan program established under Section |
|
2306.5621. |
|
SECTION 4. Section 1372.0223, Government Code, is amended |
|
to read as follows: |
|
Sec. 1372.0223. DEDICATION OF PORTION OF STATE CEILING TO |
|
CERTAIN ISSUERS OF QUALIFIED MORTGAGE BONDS [FOR PROFESSIONAL
|
|
NURSING PROGRAM FACULTY MEMBER HOME LOAN PROGRAM]. Until August 7 |
|
[1], out of that portion of the state ceiling that is available |
|
exclusively for reservations by issuers of qualified mortgage bonds |
|
under Section 1372.022: |
|
(1) 10 percent is[, $5 million shall be allotted each
|
|
year and made] available exclusively to the Texas State Affordable |
|
Housing Corporation for the purpose of issuing qualified mortgage |
|
bonds; and |
|
(2) 56.66 percent is available exclusively to housing |
|
finance corporations for the purpose of issuing qualified mortgage |
|
bonds [in connection with the professional nursing program faculty
|
|
member home loan program established under Section 2306.5622]. |
|
SECTION 5. Section 1372.023(a), Government Code, is amended |
|
to read as follows: |
|
(a) Until August 7 [15], of that portion of the state ceiling |
|
that is available exclusively for reservations by issuers of |
|
qualified mortgage bonds, 33.34 percent [one-third] is available |
|
exclusively to the Texas Department of Housing and Community |
|
Affairs for the purpose of issuing qualified mortgage bonds. |
|
SECTION 6. Sections 1372.0231(d), (e), (g), and (i), |
|
Government Code, are amended to read as follows: |
|
(d) Except as provided by Subsection (i), before May [June] |
|
1, the board shall apportion the amount of the state ceiling set |
|
aside under Subsection (a)(2) among the uniform state service |
|
regions according to the percentage of the state's population that |
|
resides in each of those regions. |
|
(e) Until March 1 [May 15] of each year, for each of the |
|
uniform state service regions containing [Austin,] Dallas [,] or |
|
Houston, the board shall reserve a total of $15 million of the state |
|
ceiling set aside for the region under Subsection (d) for: |
|
(1) the areas in the region that are located outside of |
|
a metropolitan statistical area; or |
|
(2) projects involving the rehabilitation of a |
|
qualified residential rental facility or facilities in the region, |
|
regardless of whether the projects are located inside or outside a |
|
metropolitan statistical area. |
|
(g) On or after May [June] 1, the board may not grant |
|
available reservations to housing finance corporations described |
|
by Subsection (a) based on uniform state service regions or any |
|
segments of those regions. |
|
(i) Before May [June] 1, the board shall apportion the |
|
amount of the state ceiling set aside under Subsection (a)(2) only |
|
among uniform state service regions with respect to which an issuer |
|
has submitted an application for a reservation of the state ceiling |
|
on or before March 1. |
|
SECTION 7. Section 1372.0261(a), Government Code, is |
|
amended to read as follows: |
|
(a) In this section, "utilization percentage" means that |
|
portion of the amount of the state ceiling allocated to a housing |
|
finance corporation with respect to which the corporation issues |
|
private activity bonds that result in mortgage loans or mortgage |
|
credit certificates. A housing finance corporation's utilization |
|
percentage for an allocation of the state ceiling is the quotient |
|
of: |
|
(1) the amount of the state ceiling: |
|
(A) with respect to which mortgage loans have |
|
been originated, considering only the original principal balance of |
|
those loans; |
|
(B) that is used to purchase mortgages or |
|
mortgage-backed securities; or |
|
(C) that is [the amount of the state ceiling] |
|
used to issue mortgage credit certificates; divided by |
|
(2) the amount of the state ceiling allocated, minus |
|
any amounts of the state ceiling required for debt service reserve |
|
funds. |
|
SECTION 8. Section 1372.031, Government Code, is amended to |
|
read as follows: |
|
Sec. 1372.031. PRIORITIES FOR RESERVATIONS AMONG CERTAIN |
|
ISSUERS. Subject to Sections 1372.0321, [and] 1372.0231, and |
|
1372.035(c) if, on or before October 20, more than one issuer in a |
|
category described by Section 1372.022(a)(2), (3), (4), or (6) |
|
applies for a reservation of the state ceiling for the next program |
|
year, the board shall grant reservations in that category in the |
|
order determined by the board by lot. |
|
SECTION 9. Section 1372.0321(a-1), Government Code, as |
|
added by Chapters 330 and 1329, Acts of the 78th Legislature, |
|
Regular Session, 2003, is reenacted and amended to read as follows: |
|
(a-1) In granting reservations to issuers of qualified |
|
residential rental project issues, the board shall give second |
|
priority to projects in which 80 [100] percent or more of the |
|
residential units in the project are: |
|
(1) under the restriction that the maximum allowable |
|
rents are an amount equal to 30 percent of 60 percent of the area |
|
median family income minus an allowance for utility costs |
|
authorized under the federal low-income housing tax credit program; |
|
and |
|
(2) reserved for families and individuals earning not |
|
more than 60 percent of the area median income. |
|
SECTION 10. Section 1372.035, Government Code, is amended |
|
by amending Subsection (b) and adding Subsection (c) to read as |
|
follows: |
|
(b) Except as provided by Sections 1372.031-1372.033 and |
|
Subsection (c), the board shall grant reservations in the order in |
|
which the applications for those reservations are received, |
|
regardless of the amounts of the related bond issues. |
|
(c) If, with respect to an application, an issuer receives a |
|
carryforward designation under Section 1372.061(b), the board |
|
shall grant a reservation with respect to the issuer's next |
|
available application on the earlier of the following: |
|
(1) the date of receipt of notice from the issuer that |
|
the application for which the issuer received the carryforward |
|
designation is being withdrawn; or |
|
(2) if the amount of the carryforward is sufficient to |
|
satisfy fully the issuer's next available application, the date of |
|
expiration of the period specified by Section 1372.042(a-1). |
|
SECTION 11. Section 1372.037(a), Government Code, is |
|
amended to read as follows: |
|
(a) Except as provided by Subsection (b), before August 15 |
|
[September 1] the board may not grant for any single project a |
|
reservation for that year that is greater than: |
|
(1) $25 million, if the issuer is an issuer of |
|
qualified mortgage bonds, other than the Texas Department of |
|
Housing and Community Affairs or the Texas State Affordable Housing |
|
Corporation; |
|
(2) $50 million, if the issuer is an issuer of a |
|
state-voted issue, other than the Texas Higher Education |
|
Coordinating Board, or $75 million, if the issuer is the Texas |
|
Higher Education Coordinating Board; |
|
(3) the amount to which the Internal Revenue Code |
|
limits issuers of qualified small issue bonds and enterprise zone |
|
facility bonds, if the issuer is an issuer of those bonds; |
|
(4) the lesser of $15 million or 15 percent of the |
|
amount set aside for reservation by issuers of qualified |
|
residential rental project bonds, if the issuer is an issuer of |
|
those bonds; |
|
(5) the amount as prescribed in Sections 1372.033(d), |
|
(e), and (f), if the issuer is an issuer authorized by Section |
|
53.47, Education Code, to issue qualified student loan bonds; or |
|
(6) $50 million, if the issuer is any other issuer of |
|
bonds that require an allocation. |
|
SECTION 12. Section 1372.070, Government Code, is amended |
|
to read as follows: |
|
Sec. 1372.070. FORM AND CONTENTS OF APPLICATION FOR |
|
CARRYFORWARD APPLICATION. An application for a carryforward |
|
designation must: |
|
(1) be on a form prescribed by the board; |
|
(2) be signed by a member or officer of the issuer and |
|
by[:
|
|
[(A)] the governor, if the issuer was created to |
|
act on behalf of this state[; or
|
|
[(B)
the presiding officer or another authorized
|
|
official of each political subdivision, if the issuer was created
|
|
to act on behalf of one or more political subdivisions of this
|
|
state]; |
|
(3) state the amount of carryforward sought; |
|
(4) describe the project; |
|
(5) state which priority classification is applicable |
|
to the applicant; |
|
(6) include evidence satisfactory to the board that |
|
that priority classification is correct; and |
|
(7) contain any other information that the board by |
|
rule requires. |
|
SECTION 13. Sections 2306.553(a) and (b), Government Code, |
|
are amended to read as follows: |
|
(a) The public purpose of the corporation is to perform |
|
activities and services that the corporation's board of directors |
|
determines will promote the public health, safety, and welfare |
|
through the provision of adequate, safe, and sanitary housing |
|
primarily for individuals and families of low, very low, and |
|
extremely low income and[,] for persons who are eligible for loans |
|
[professional educators] under the [professional educators] home |
|
loan programs [program as] provided by Sections [Section] 2306.562 |
|
and[, for fire fighters, corrections officers, county jailers,
|
|
public security officers, and peace officers under the fire
|
|
fighter, law enforcement officer, and security officer home loan
|
|
program as provided by Section] 2306.5621[, and for professional
|
|
nursing program faculty members under the professional nursing
|
|
program faculty member home loan program as provided by Section
|
|
2306.5622]. The activities and services shall include engaging in |
|
mortgage banking activities and lending transactions and |
|
acquiring, holding, selling, or leasing real or personal property. |
|
(b) The corporation's primary public purpose is to |
|
facilitate the provision of housing by issuing qualified 501(c)(3) |
|
bonds and qualified residential rental project bonds and by making |
|
affordable loans to individuals and families of low, very low, and |
|
extremely low income and[,] to persons who are eligible for loans |
|
under the home loan programs provided by Sections 2306.562 and |
|
2306.5621 [professional educators under the professional educators
|
|
home loan program, to fire fighters, corrections officers, county
|
|
jailers, public security officers, and peace officers under the
|
|
fire fighter, law enforcement officer, and security officer home
|
|
loan program, and to professional nursing program faculty members
|
|
under the professional nursing program faculty member home loan
|
|
program]. The corporation may make first lien, single family |
|
purchase money mortgage loans for single family homes only to |
|
individuals and families of low, very low, and extremely low income |
|
if the individual's or family's household income is not more than |
|
the greater of 60 percent of the median income for the state, as |
|
defined by the United States Department of Housing and Urban |
|
Development, or 60 percent of the area median family income, |
|
adjusted for family size, as defined by that department. The |
|
corporation may make loans for multifamily developments if: |
|
(1) at least 40 percent of the units in a multifamily |
|
development are affordable to individuals and families with incomes |
|
at or below 60 percent of the median family income, adjusted for |
|
family size; or |
|
(2) at least 20 percent of the units in a multifamily |
|
development are affordable to individuals and families with incomes |
|
at or below 50 percent of the median family income, adjusted for |
|
family size. |
|
SECTION 14. Sections 2306.562(a), (b), and (c), Government |
|
Code, are amended to read as follows: |
|
(a) In this section: |
|
(1) "Allied health program faculty member" means a |
|
full-time member of the faculty of an undergraduate or graduate |
|
allied health program of a public or private institution of higher |
|
education in this state. |
|
(1-a) "Graduate allied health program" means a |
|
postbaccalaureate certificate or master's or doctoral degree |
|
program in an allied health profession that is accredited by an |
|
accrediting entity recognized by the United States Department of |
|
Education. |
|
(1-b) "Graduate professional nursing program" and |
|
"undergraduate professional nursing program" have the meanings |
|
assigned by Section 54.221, Education Code. |
|
(2) "Home" means a dwelling in this state in which a |
|
professional educator intends to reside as the professional |
|
educator's principal residence. |
|
(3) [(2)] "Mortgage lender" has the meaning assigned |
|
by Section 2306.004. |
|
(4) [(3)] "Professional educator" means a classroom |
|
teacher, full-time paid teacher's aide, full-time librarian, |
|
full-time counselor certified under Subchapter B, Chapter 21, |
|
Education Code, [or] full-time school nurse, or allied health or |
|
professional nursing program faculty member. |
|
(5) "Professional nursing program faculty member" |
|
means a full-time member of the faculty of either an undergraduate |
|
or graduate professional nursing program. |
|
(6) [(4)] "Program" means the professional educators |
|
home loan program. |
|
(7) "Undergraduate allied health program" means an |
|
undergraduate degree or certificate program that: |
|
(A) prepares students for licensure, |
|
certification, or registration in an allied health profession; and |
|
(B) is accredited by an accrediting entity |
|
recognized by the United States Department of Education. |
|
(b) The corporation shall establish a program to provide |
|
low-interest home mortgage loans to eligible professional |
|
educators whose income does not exceed the greater of: |
|
(1) 115 percent of area median family income, adjusted |
|
for family size; or |
|
(2) the maximum amount permitted by Section 143(f), |
|
Internal Revenue Code of 1986[, with low-interest home mortgage
|
|
loans]. |
|
(c) To be eligible for a loan under this section, a |
|
professional educator must: |
|
(1) reside in this state on the application date; and |
|
(2) be employed by a school district or be an allied |
|
health or professional nursing program faculty member in this state |
|
on the application date. |
|
SECTION 15. Section 2306.5622, Government Code, is |
|
repealed. |
|
SECTION 16. Section 1372.0261, Government Code, as amended |
|
by this Act, applies only to a reservation of state ceiling granted |
|
on or after January 1, 2008. |
|
SECTION 17. This Act takes effect September 1, 2007. |
|
|
|
______________________________ |
______________________________ |
|
President of the Senate |
Speaker of the House |
|
|
|
I certify that H.B. No. 3552 was passed by the House on May 8, |
|
2007, by the following vote: Yeas 146, Nays 0, 2 present, not |
|
voting; and that the House concurred in Senate amendments to H.B. |
|
No. 3552 on May 24, 2007, by the following vote: Yeas 143, Nays 0, |
|
2 present, not voting. |
|
|
|
______________________________ |
|
Chief Clerk of the House |
|
|
I certify that H.B. No. 3552 was passed by the Senate, with |
|
amendments, on May 22, 2007, by the following vote: Yeas 31, Nays |
|
0. |
|
|
|
______________________________ |
|
Secretary of the Senate |
|
APPROVED: __________________ |
|
Date |
|
|
|
__________________ |
|
Governor |