88R5858 JAM-D
 
  By: Eckhardt, Gutierrez, Menéndez S.B. No. 2328
 
 
 
A BILL TO BE ENTITLED
 
AN ACT
  relating to certain occupancy preferences given by developments
  supported with a low income housing tax credit allocation.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 2306.6701, Government Code, is amended
  to read as follows:
         Sec. 2306.6701.  PURPOSE. (a) The department shall
  administer the low income housing tax credit program to:
               (1)  encourage the development and preservation of
  appropriate types of rental housing for households, including
  members of a group specified by Subsection (b), that have
  difficulty finding suitable, affordable rental housing in the
  private marketplace;
               (2)  maximize the number of suitable, affordable
  residential rental units added to the state's housing supply;
               (3)  prevent losses for any reason to the state's supply
  of suitable, affordable residential rental units by enabling the
  rehabilitation of rental housing or by providing other preventive
  financial support under this subchapter; and
               (4)  provide for the participation of for-profit
  organizations and provide for and encourage the participation of
  nonprofit organizations in the acquisition, development, and
  operation of affordable housing developments in urban and rural
  communities.
         (b)  Consistent with Section 42(g)(9), Internal Revenue Code
  of 1986, a development supported with a housing tax credit
  allocation may give an occupancy preference to teachers and other
  employees of the school district in which the development is
  located, and members of the households of those persons, if all
  other occupancy requirements under state and federal law are
  satisfied.
         SECTION 2.  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
  during an application cycle that is based on the 2024 qualified
  allocation plan or a subsequent plan adopted by the governing board
  of the department under Section 2306.67022, Government Code. 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.  This Act takes effect September 1, 2023.