| 1 | 1 | | 81R9415 ACP-D |
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| 2 | 2 | | By: Davis of Dallas H.B. No. 3535 |
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| 3 | 3 | | |
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| 4 | 4 | | |
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| 5 | 5 | | A BILL TO BE ENTITLED |
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| 6 | 6 | | AN ACT |
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| 7 | 7 | | relating to the allocation of certain low income housing tax credit |
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| 8 | 8 | | commitments. |
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| 9 | 9 | | BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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| 10 | 10 | | SECTION 1. Section 2306.111(d-1), Government Code, is |
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| 11 | 11 | | amended to read as follows: |
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| 12 | 12 | | (d-1) In allocating low income housing tax credit |
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| 13 | 13 | | commitments under Subchapter DD, the department shall, before |
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| 14 | 14 | | applying the regional allocation formula prescribed by Section |
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| 15 | 15 | | 2306.1115, set aside for at-risk developments, as defined by |
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| 16 | 16 | | Section 2306.6702, not less than the minimum amount of housing tax |
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| 17 | 17 | | credits required under Section 2306.6714. Funds or credits are |
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| 18 | 18 | | also not required to be allocated according to the regional |
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| 19 | 19 | | allocation formula under Subsection (d) if: |
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| 20 | 20 | | (1) the funds or credits are reserved for |
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| 21 | 21 | | contract-for-deed conversions or for set-asides mandated by state |
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| 22 | 22 | | or federal law, including the nonprofit set-aside mandated by |
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| 23 | 23 | | Section 42(h)(5), Internal Revenue Code of 1986 (26 U.S.C. Section |
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| 24 | 24 | | 42(h)(5)), and each contract-for-deed allocation or set-aside |
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| 25 | 25 | | allocation equals not more than 10 percent of the total allocation |
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| 26 | 26 | | of funds or credits for the applicable program; |
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| 27 | 27 | | (2) the funds or credits are allocated by the |
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| 28 | 28 | | department primarily to serve persons with disabilities; or |
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| 29 | 29 | | (3) the funds are housing trust funds administered by |
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| 30 | 30 | | the department under Sections 2306.201-2306.206 that are not |
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| 31 | 31 | | otherwise required to be set aside under state or federal law and do |
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| 32 | 32 | | not exceed $3 million during each application cycle. |
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| 33 | 33 | | SECTION 2. This Act takes effect immediately if it receives |
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| 34 | 34 | | a vote of two-thirds of all the members elected to each house, as |
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| 35 | 35 | | provided by Section 39, Article III, Texas Constitution. If this |
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| 36 | 36 | | Act does not receive the vote necessary for immediate effect, this |
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| 37 | 37 | | Act takes effect September 1, 2009. |
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