Bill Text: TX SB659 | 2013-2014 | 83rd Legislature | Comm Sub

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Bill Title: Relating to compliance with certain requirements of programs administered by the Texas Department of Housing and Community Affairs.

Spectrum: Partisan Bill (Democrat 2-0)

Status: (Passed) 2013-06-14 - Effective on 9/1/13 [SB659 Detail]

Download: Texas-2013-SB659-Comm_Sub.html

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By: West S.B. No. 659
(Dutton)

A BILL TO BE ENTITLED
AN ACT
relating to compliance with certain requirements of programs
administered by the Texas Department of Housing and Community
Affairs.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 2306.6721, Government Code, is
transferred to Subchapter B, Chapter 2306, Government Code,
redesignated as Section 2306.0504, Government Code, and amended to
read as follows:
Sec. 2306.0504 [2306.6721]. DEBARMENT FROM PROGRAM
PARTICIPATION. (a) The department shall develop, and the board by
rule shall adopt, a policy providing for the debarment of a person
from participation in programs administered by the department [the
low income housing tax credit program as described by this
section].
(b) The department may debar a person from participation in
a department [the] program on the basis of the person's past failure
to comply with any condition imposed by the department in the
administration of its programs [connection with the allocation of
housing tax credits].
(c) The department shall debar a person from participation
in a department [the] program if the person:
(1) materially or repeatedly violates any condition
imposed by the department in connection with the administration of
a department program, including a material or repeated violation of
a land use restriction agreement regarding a development supported
with a [allocation of] housing tax credit allocation [credits]; or
(2) is debarred from participation in federal housing
programs by the United States Department of Housing and Urban
Development[; or
[(3) is in material noncompliance with or has
repeatedly violated a land use restriction agreement regarding a
development supported with a housing tax credit allocation].
(d) A person debarred by the department from participation
in a department [the] program may appeal the person's debarment to
the board.
SECTION 2. Subsection (a), Section 2306.6717, Government
Code, is amended to read as follows:
(a) Subject to Section 2306.67041, the department shall
make the following items available on the department's website:
(1) as soon as practicable, any proposed application
submitted through the preapplication process established by this
subchapter;
(2) before the 30th day preceding the date of the
relevant board allocation decision, except as provided by
Subdivision (3), the entire application, including all supporting
documents and exhibits, the application log, a scoring sheet
providing details of the application score, and any other document
relating to the processing of the application;
(3) not later than the third working day after the date
of the relevant determination, the results of each stage of the
application process, including the results of the application
scoring and underwriting phases and the allocation phase;
(4) before the 15th day preceding the date of board
action on the amendment, notice of an amendment under Section
2306.6712 and the recommendation of the director and monitor
regarding the amendment; and
(5) an appeal filed with the department or board under
Section 2306.0504 or 2306.6715 [or 2306.6721] and any other
document relating to the processing of the appeal.
SECTION 3. Section 2306.6719, Government Code, is amended
by adding Subsections (c), (d), (e), and (f) to read as follows:
(c) For a violation other than a violation that poses an
imminent hazard or threat to health and safety, the department must
provide the owner of a development with the following periods to
correct a failure to comply with a condition or law described by
Subsection (a)(1) or (2):
(1) 30 days for a failure to file the annual owner's
compliance report; and
(2) 90 days for any other failure to comply under this
section.
(d) For good cause shown, the executive director may extend
the periods provided under Subsection (c).
(e) For purposes of determining eligibility to apply for and
receive financial assistance from the department, a development may
not be considered to be in noncompliance with an applicable
condition or law if the owner of the development takes appropriate
corrective action during the period provided under Subsection (c).
(f) Notwithstanding Subsection (e), the department shall:
(1) submit to the applicable federal agency any report
required by federal law regarding an owner's noncompliance with a
condition or law described by Subsection (a)(1) or (2); and
(2) for purposes of developing and administering the
policy relating to debarment under Section 2306.0504, consider
recurring violations of a condition or law described by Subsection
(a)(1) or (2), including violations that are corrected during the
applicable period provided under Subsection (c).
SECTION 4. This Act takes effect September 1, 2013.