81R9388 JAM-D
By: Menendez H.B. No. 3431
A BILL TO BE ENTITLED
AN ACT
relating to the transfer of the powers, duties, and programs of the
Texas State Affordable Housing Corporation to the Texas Department
of Housing and Community Affairs and to the establishment of
certain other programs and divisions within the department.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Subchapter C, Chapter 2306, Government Code, is
amended by adding Section 2306.058 to read as follows:
Sec. 2306.058. TRANSITION PLAN FOR CERTAIN POWERS, DUTIES,
AND PROGRAMS; RULES. (a) The director by rule shall adopt a
transition plan for the department's assumption of the former
powers and duties of the Texas State Affordable Housing Corporation
under Section 2306.551. The transition plan must:
(1) include a timetable with specific steps and
deadlines needed to fully complete the transfer; and
(2) ensure that the transfer is fully implemented not
later than January 1, 2010.
(b) The director may adopt rules necessary to improve the
efficiency or effectiveness of any program that is transferred to
the department as a result of the department's assumption of the
former powers and duties of the Texas State Affordable Housing
Corporation under Section 2306.551, including rules that provide
for consolidating the operation of programs already administered by
the department and a program or programs that are transferred to the
department from the Texas State Affordable Housing Corporation.
SECTION 2. Subchapter D, Chapter 2306, Government Code, is
amended by adding Section 2306.084 to read as follows:
Sec. 2306.084. NONPROFIT ASSISTANCE DIVISION. (a) The
nonprofit assistance division is an independent entity within the
department, is administratively attached to the department, and is
not an advisory body to the department.
(b) The department shall administer and enforce Section
2306.5552 through the nonprofit assistance division.
SECTION 3. Subchapter E, Chapter 2306, Government Code, is
amended by adding Section 2306.095 to read as follows:
Sec. 2306.095. HOMELESS GRANT PROGRAM. (a) The department
shall provide grants, supportive housing services, and housing
retention services to support services offered to homeless persons
by political subdivisions, housing finance corporations,
for-profit corporations, and nonprofit organizations.
(b) Grants made under this section must be used only for
support services for homeless persons, including:
(1) case management;
(2) job training, placement, and retention;
(3) housing placement and retention; and
(4) mental health services.
(c) The department may adopt rules to administer this
section.
SECTION 4. Subchapter Y, Chapter 2306, Government Code, is
amended by amending Section 2306.551 and adding Section 2306.5511
to read as follows:
Sec. 2306.551. TRANSFER OF CORPORATION POWERS AND DUTIES
AND ASSETS. (a) The powers and duties of the corporation under
this chapter or other law are transferred to the Texas Department of
Housing and Community Affairs.
(b) The corporation shall transfer to the Texas Department
of Housing and Community Affairs:
(1) all assets owned or distributed by the
corporation, including any real or personal property owned by the
corporation and any bond revenue distributed by the corporation;
(2) all records related to the operation of any home
loan programs under this chapter; and
(3) any applications pending with the corporation on
the date the corporation is dissolved by the board of the
corporation.
(c) The board of the corporation shall:
(1) take all necessary actions to dissolve the
corporation; and
(2) at the request of the director, assist the
director in formulating the transition plan under Section 2306.058.
Sec. 2306.5511. DEFINITION; CONSTRUCTION OF OTHER LAW. (a)
In this subchapter, "corporation" means the Texas State Affordable
Housing Corporation.
(b) A reference in law to the corporation is a reference to
the Texas Department of Housing and Community Affairs.
SECTION 5. Section 2306.557, Government Code, is amended to
read as follows:
Sec. 2306.557. DISTRIBUTION OF EARNINGS. (a) Any part of
earnings remaining after payment of expenses and any establishment
of reserves by the corporation's board of directors may not inure to
any person except that the corporation shall use these excess
earnings to further the corporation's new or existing affordable
housing initiatives if the corporation's board of directors
determines that sufficient provision has been made for the full
payment of the expenses, bonds, and other obligations of the
corporation and for any establishment of reserves by the
corporation's board of directors.
(b) Notwithstanding any provision to the contrary, all
earnings from bonds issued under Section 2306.5551, 2306.562,
2306.5621, or 2306.565 shall be allocated to the homeless grant
program under Section 2306.095.
SECTION 6. Sections 2306.255(g) and 2306.552, Government
Code, are repealed.
SECTION 7. (a) The Texas State Affordable Housing
Corporation is abolished on January 1, 2010.
(b) All powers, duties, obligations, rights, contracts,
funds, unspent appropriations, records, real or personal property,
and personnel of the Texas State Affordable Housing Corporation
shall be transferred to the Texas Department of Housing and
Community Affairs not later than January 1, 2010.
(c) The nonprofit assistance division of the Texas
Department of Housing and Community Affairs created under Section
2306.084, Government Code, as added by this Act, is established on
the effective date of this Act.
(d) A policy, procedure, or decision of the Texas State
Affordable Housing Corporation relating to a duty of that
corporation that is transferred to the authority of the Texas
Department of Housing and Community Affairs under Section 2306.551,
Government Code, as amended by this Act, continues in effect as a
policy, procedure, or decision of the Texas Department of Housing
and Community Affairs until superseded by an act of the director of
the Texas Department of Housing and Community Affairs.
(e) Except as otherwise provided by this Act, the validity
of a plan or procedure adopted, contract or acquisition made,
proceeding begun, grant or loan awarded, obligation incurred, right
accrued, or other action taken by or in connection with the
authority of the Texas State Affordable Housing Corporation before
that corporation is abolished under Subsection (a) of this section
is not affected by the abolishment.
(f) The director of the Texas Department of Housing and
Community Affairs shall adopt rules relating to the transfer of the
programs assigned to the Texas Department of Housing and Community
Affairs under Section 2306.551, Government Code, as amended by this
Act, not later than October 1, 2009.
SECTION 8. This Act takes effect immediately if it receives
a vote of two-thirds of all the members elected to each house, as
provided by Section 39, Article III, Texas Constitution. If this
Act does not receive the vote necessary for immediate effect, this
Act takes effect September 1, 2009.