Texas House Bill HB3272

Texas 2019 - 86th Regular

Caption

Relating to a right of first refusal applicable to the sale of housing developments that have received certain financial assistance administered by the Texas Department of Housing and Community Affairs.

Impact

The implementation of HB 3272 would significantly affect state laws governing housing developments. By providing a structured minimum price for the sale of such properties, the bill ensures that community-focused organizations have a first opportunity to purchase developments that were initially subsidized by state funds. Furthermore, the bill introduces a preference point system in the allocation of housing tax credits that encourages compliance with these new provisions, promoting responsible management and transfer of community housing.

Summary

House Bill 3272 aims to establish a right of first refusal for certain housing developments that have received financial assistance from the Texas Department of Housing and Community Affairs. The bill stipulates that developers who seek housing tax credits must agree to provide qualified entities with a right of first refusal to purchase the development at a minimum price, ensuring that these developments remain accessible to community housing organizations and tenants. In the context of rising housing costs, this legislation aims to protect local communities and ensure affordable housing opportunities are preserved.

Contention

Notable points of contention surrounding HB 3272 arise from concerns about the balance between promoting affordable housing and the operational freedom of developers. Proponents argue that ensuring tenant organizations and community housing development organizations have the first opportunity to purchase these properties is essential for maintaining affordability and community stability. Critics might highlight potential restrictions on developers' market choices and the implications these requirements could have on investment in housing projects.