Relating to the amendment of an application for an allocation of low income housing tax credits.
The bill impacts the regulatory framework surrounding low income housing initiatives within Texas. Specifically, the law stipulates that any applications submitted after the 2018 qualified allocation plan will adhere to the new guidelines, while earlier applications will continue to follow the prior regulations. This change is expected to streamline the application process for low income housing tax credits, as it prevents post-deadline modifications which could complicate assessments and evaluations by the governing board. The change is designed to enhance the efficiency of the housing tax credit system in Texas.
House Bill 2261 seeks to amend Section 2306.6708(a) of the Texas Government Code, relating specifically to the application process for allocations of low income housing tax credits. The amendment disallows any changes or supplements to an application after the filing deadline. This includes any modifications related to the financial viability of the housing development as assessed by the Texas Department of Housing and Community Affairs. The intent behind this strict approach is to promote transparency and accountability in the allocation process by ensuring that all applications are evaluated based solely on the information submitted by the deadline.
While the bill aims to tighten control over the application process, there may be concerns about its implications for developers and applicants. The absolute prohibition on amending applications after the deadline could be seen as overly rigid, potentially disadvantaging applicants who need to adjust plans due to unforeseen circumstances. Stakeholders in the housing sector might argue for more flexibility in the application process to accommodate the dynamic nature of housing development, which often faces challenges that can arise after the submission deadline.