BILL ANALYSIS

 

 

Senate Research Center	S.B. 1992
85R12808 JG-D	By: Watson
	Intergovernmental Relations
	4/25/2017
	As Filed

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

The current rules governing the provision of low income housing tax credits for affordable housing developments prohibits the Texas Department of Housing and Community Affairs from awarding these credits to two developments that are within two miles of each other in a single year. This rule only applies to counties with populations exceeding one million people.

 

S.B. 1992 changes this bracket to 1.5 million people in order to remove Travis County from the bracket. With the increased density in the City of Austin, this two-mile rule eliminates a significant amount of area where a second development can be built in areas that are high opportunity. This change will allow these developments to be located in such regions where the residents will have access to quality schools, transportation, and health services.

 

As proposed, S.B. 1992 amends current law relating to the allocation of housing tax credits to developments within proximate geographical areas.

 

RULEMAKING AUTHORITY

 

This bill does not expressly grant any additional rulemaking authority to a state officer, institution, or agency.

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Section 2306.6711(f), Government Code, to provide that this subsection applies only to communities contained within counties with populations exceeding 1.5 million, rather than one million.

 

SECTION 2. Provides that the change in law made by this Act applies only to an application for low income housing tax credits that is submitted to the Texas Department of Housing and Community Affairs (TDHCA) during an application cycle that is based on the 2018 qualified allocation plan or a subsequent plan adopted by the governing board of TDHCA. Provides that an application that is submitted during an application cycle that is based on an earlier qualified allocation plan is governed by the law in effect on the date the application cycle began, and the former law is continued in effect for that purpose.

 

SECTION 3. Effective date: September 1, 2017.