LEGISLATIVE BUDGET BOARD Austin, Texas FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION April 26, 2009 TO: Honorable Yvonne Davis, Chair, House Committee on Urban Affairs FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB2308 by Davis, Yvonne (Relating to the establishment of the Texas secure loan pilot program by the Texas Department of Housing and Community Affairs.), Committee Report 1st House, Substituted Estimated Two-year Net Impact to General Revenue Related Funds for HB2308, Committee Report 1st House, Substituted: an impact of $0 through the biennium ending August 31, 2011. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
LEGISLATIVE BUDGET BOARD
Austin, Texas
FISCAL NOTE, 81ST LEGISLATIVE REGULAR SESSION
April 26, 2009
TO: Honorable Yvonne Davis, Chair, House Committee on Urban Affairs FROM: John S. O'Brien, Director, Legislative Budget Board IN RE:HB2308 by Davis, Yvonne (Relating to the establishment of the Texas secure loan pilot program by the Texas Department of Housing and Community Affairs.), Committee Report 1st House, Substituted
TO: Honorable Yvonne Davis, Chair, House Committee on Urban Affairs
FROM: John S. O'Brien, Director, Legislative Budget Board
IN RE: HB2308 by Davis, Yvonne (Relating to the establishment of the Texas secure loan pilot program by the Texas Department of Housing and Community Affairs.), Committee Report 1st House, Substituted
Honorable Yvonne Davis, Chair, House Committee on Urban Affairs
Honorable Yvonne Davis, Chair, House Committee on Urban Affairs
John S. O'Brien, Director, Legislative Budget Board
John S. O'Brien, Director, Legislative Budget Board
HB2308 by Davis, Yvonne (Relating to the establishment of the Texas secure loan pilot program by the Texas Department of Housing and Community Affairs.), Committee Report 1st House, Substituted
HB2308 by Davis, Yvonne (Relating to the establishment of the Texas secure loan pilot program by the Texas Department of Housing and Community Affairs.), Committee Report 1st House, Substituted
Estimated Two-year Net Impact to General Revenue Related Funds for HB2308, Committee Report 1st House, Substituted: an impact of $0 through the biennium ending August 31, 2011. The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
Estimated Two-year Net Impact to General Revenue Related Funds for HB2308, Committee Report 1st House, Substituted: an impact of $0 through the biennium ending August 31, 2011.
The bill would make no appropriation but could provide the legal basis for an appropriation of funds to implement the provisions of the bill.
General Revenue-Related Funds, Five-Year Impact: Fiscal Year Probable Net Positive/(Negative) Impact to General Revenue Related Funds 2010 $0 2011 $0 2012 $0 2013 $0 2014 $0
2010 $0
2011 $0
2012 $0
2013 $0
2014 $0
All Funds, Five-Year Impact: Fiscal Year Probable (Cost) fromCommunity Affairs Fed Fd127 2010 ($1,070,000) 2011 $0 2012 $0 2013 $0 2014 $0
Fiscal Year Probable (Cost) fromCommunity Affairs Fed Fd127 2010 ($1,070,000) 2011 $0 2012 $0 2013 $0 2014 $0
2010 ($1,070,000)
2011 $0
2012 $0
2013 $0
2014 $0
Fiscal Analysis
The bill would amend the Government Code relating to the establishment of the Texas Secure Loan Pilot Program by the Texas Department of Housing and Community Affairs (TDHCA). The bill would require TDHCA to establish the Texas Secure Loan Pilot Program, which would serve only low and very low income households and include provisions not found in traditional mortgage loans. The bill would take effect September 1, 2009.
The bill would amend the Government Code relating to the establishment of the Texas Secure Loan Pilot Program by the Texas Department of Housing and Community Affairs (TDHCA). The bill would require TDHCA to establish the Texas Secure Loan Pilot Program, which would serve only low and very low income households and include provisions not found in traditional mortgage loans.
The bill would take effect September 1, 2009.
Methodology
To develop the cost estimate, TDHCA made the following assumptions: only 10 loans would be made; based on TDHCA First-Time Homebuyer loans to low income households, TDHCA assumes the average loan amount would be $107,000. Based on these assumptions, TDHCA assumes the following one-time cost of loan issuances in fiscal year 2010 would total $1,070,000 (10 loans X $107,000 = $1,070,000). The agency also assumes it would use funds from the Neighborhood Stabilization Program to fund this program, but note that use of these funds would restrict the program to the purchase of foreclosed properties.
Local Government Impact
No fiscal implication to units of local government is anticipated.
Source Agencies: 332 Department of Housing and Community Affairs, 352 Bond Review Board
332 Department of Housing and Community Affairs, 352 Bond Review Board
LBB Staff: JOB, DB, MW, NV, ER
JOB, DB, MW, NV, ER