Texas 2013 - 83rd Regular

Texas Senate Bill SB286 Compare Versions

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1	1	By: Hinojosa S.B. No. 286
2	2	(Bonnen of Galveston)
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to a home loan program operated by the Texas State
8	8	Affordable Housing Corporation.
9	9	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
10	10	SECTION 1. Subsection (b), Section 1372.025, Government
11	11	Code, is amended to read as follows:
12	12	(b) Subsection (a) does not apply to qualified mortgage
13	13	bonds or qualified residential rental project bonds made available
14	14	exclusively to the Texas Department of Housing and Community
15	15	Affairs under Section 1372.023 or the Texas State Affordable
16	16	Housing Corporation under Section 1372.0223(1) [Sections 1372.0221
17	17	and 1372.0222].
18	18	SECTION 2. Subsections (a) and (b), Section 2306.553,
19	19	Government Code, are amended to read as follows:
20	20	(a) The public purpose of the corporation is to perform
21	21	activities and services that the corporation's board of directors
22	22	determines will promote the public health, safety, and welfare
23	23	through the provision of adequate, safe, and sanitary housing
24	24	primarily for individuals and families of low, very low, and
25	25	extremely low income and for persons who are eligible for loans
26	26	under the home loan program [programs] provided by Section
27	27	[Sections 2306.562 and] 2306.5621. The activities and services
28	28	shall include engaging in mortgage banking activities and lending
29	29	transactions and acquiring, holding, selling, or leasing real or
30	30	personal property.
31	31	(b) The corporation's primary public purpose is to
32	32	facilitate the provision of housing by issuing qualified 501(c)(3)
33	33	bonds and qualified residential rental project bonds and by making
34	34	affordable loans to individuals and families of low, very low, and
35	35	extremely low income and to persons who are eligible for loans under
36	36	the home loan program [programs] provided by Section [Sections
37	37	2306.562 and] 2306.5621. The corporation may make first lien,
38	38	single family purchase money mortgage loans for single family homes
39	39	only to individuals and families of low, very low, and extremely low
40	40	income if the individual's or family's household income is not more
41	41	than the greater of 60 percent of the median income for the state,
42	42	as defined by the United States Department of Housing and Urban
43	43	Development, or 60 percent of the area median family income,
44	44	adjusted for family size, as defined by that department. The
45	45	corporation may make loans for multifamily developments if:
46	46	(1) at least 40 percent of the units in a multifamily
47	47	development are affordable to individuals and families with incomes
48	48	at or below 60 percent of the median family income, adjusted for
49	49	family size; or
50	50	(2) at least 20 percent of the units in a multifamily
51	51	development are affordable to individuals and families with incomes
52	52	at or below 50 percent of the median family income, adjusted for
53	53	family size.
54	54	SECTION 3. The heading to Section 2306.5621, Government
55	55	Code, is amended to read as follows:
56	56	Sec. 2306.5621. HOMES FOR TEXAS HEROES [FIRE FIGHTER, LAW
57	57	ENFORCEMENT OR SECURITY OFFICER, AND EMERGENCY MEDICAL SERVICES
58	58	PERSONNEL] HOME LOAN PROGRAM.
59	59	SECTION 4. Subsection (a), Section 2306.5621, Government
60	60	Code, is amended by amending Subdivisions (2) and (5) and adding
61	61	Subdivisions (10), (11), (12), (13), (14), and (15) to read as
62	62	follows:
63	63	(2) "Home" means a dwelling in this state in which a
64	64	fire fighter, corrections officer, county jailer, public security
65	65	officer, peace officer, professional educator, or person defined as
66	66	emergency medical services personnel under this section intends to
67	67	reside as the borrower's principal residence.
68	68	(5) "Program" means the Homes for Texas Heroes [fire
69	69	fighter, law enforcement or security officer, and emergency medical
70	70	services personnel] home loan program.
71	71	(10) "Allied health program faculty member" means a
72	72	full-time member of the faculty of an undergraduate or graduate
73	73	allied health program of a public or private institution of higher
74	74	education in this state.
75	75	(11) "Graduate allied health program" means a
76	76	postbaccalaureate certificate or master's or doctoral degree
77	77	program in an allied health profession that is accredited by an
78	78	accrediting entity recognized by the United States Department of
79	79	Education.
80	80	(12) "Graduate professional nursing program" and
81	81	"undergraduate professional nursing program" have the meanings
82	82	assigned by Section 54.355, Education Code.
83	83	(13) "Professional educator" means a classroom
84	84	teacher, full-time paid teacher's aide, full-time librarian,
85	85	full-time counselor certified under Subchapter B, Chapter 21,
86	86	Education Code, full-time school nurse, or allied health or
87	87	professional nursing program faculty member.
88	88	(14) "Professional nursing program faculty member"
89	89	means a full-time member of the faculty of either an undergraduate
90	90	or graduate professional nursing program.
91	91	(15) "Undergraduate allied health program" means an
92	92	undergraduate degree or certificate program that:
93	93	(A) prepares students for licensure,
94	94	certification, or registration in an allied health profession; and
95	95	(B) is accredited by an accrediting entity
96	96	recognized by the United States Department of Education.
97	97	SECTION 5. Subsections (b), (c), (d), (f), (h), and (h-1),
98	98	Section 2306.5621, Government Code, are amended to read as follows:
99	99	(b) The corporation shall establish a program to provide
100	100	eligible fire fighters, corrections officers, county jailers,
101	101	public security officers, peace officers, [and] emergency medical
102	102	services personnel, and professional educators with low-interest
103	103	home mortgage loans.
104	104	(c) To be eligible for a loan under this section, at the time
105	105	a person files an application for the loan, the person must:
106	106	(1) be a:
107	107	(A) fire fighter, corrections officer, county
108	108	jailer, public security officer, peace officer, or person defined
109	109	as emergency medical services personnel under this section; or
110	110	(B) professional educator who is employed by a
111	111	school district or is an allied health or professional nursing
112	112	program faculty member in this state;
113	113	(2) reside in this state; and
114	114	(3) have an income of not more than 115 percent of area
115	115	median family income, adjusted for family size, or the maximum
116	116	amount permitted by Section 143(f), Internal Revenue Code of 1986,
117	117	whichever is greater.
118	118	(d) The corporation may contract with other agencies of the
119	119	state or with private entities to determine whether applicants
120	120	qualify as fire fighters, corrections officers, county jailers,
121	121	public security officers, peace officers, [or] emergency medical
122	122	services personnel, or professional educators under this section or
123	123	otherwise to administer all or part of this section.
124	124	(f) The board of directors of the corporation shall adopt
125	125	rules governing:
126	126	(1) the administration of the program;
127	127	(2) the making of loans under the program;
128	128	(3) the criteria for approving mortgage lenders;
129	129	(4) the use of insurance on the loans and the homes
130	130	financed under the program, as considered appropriate by the board
131	131	to provide additional security for the loans;
132	132	(5) the verification of occupancy of the home by the
133	133	fire fighter, corrections officer, county jailer, public security
134	134	officer, peace officer, professional educator, or person defined as
135	135	emergency medical services personnel as the borrower's principal
136	136	residence; and
137	137	(6) the terms of any contract made with any mortgage
138	138	lender for processing, originating, servicing, or administering
139	139	the loans.
140	140	(h) In addition to funds set aside for the program under
141	141	Section 1372.0223(1) [1372.0222], the corporation may solicit and
142	142	accept funding for the program from the following sources:
143	143	(1) gifts and grants for the purposes of this section;
144	144	(2) available money in the housing trust fund
145	145	established under Section 2306.201, to the extent available to the
146	146	corporation;
147	147	(3) federal block grants that may be used for the
148	148	purposes of this section, to the extent available to the
149	149	corporation;
150	150	(4) other state or federal programs that provide money
151	151	that may be used for the purposes of this section; and
152	152	(5) amounts received by the corporation in repayment
153	153	of loans made under this section.
154	154	(h-1) To fund home mortgage loans for eligible fire
155	155	fighters, corrections officers, county jailers, public security
156	156	officers, peace officers, [and] emergency medical services
157	157	personnel, and professional educators under this section, the
158	158	corporation may use any proceeds received from the sale of bonds,
159	159	notes, or other obligations issued under the home loan program
160	160	provided by this section, regardless of any amendments to the
161	161	eligibility standards for loans made under the program and
162	162	regardless of when the corporation received the proceeds from those
163	163	bonds, notes, or other obligations issued under the program.
164	164	SECTION 6. Sections 1372.0221 and 1372.0222 and Subsection
165	165	(i), Section 2306.5621, Government Code, are repealed.
166	166	SECTION 7. This Act takes effect immediately if it receives
167	167	a vote of two-thirds of all the members elected to each house, as
168	168	provided by Section 39, Article III, Texas Constitution. If this
169	169	Act does not receive the vote necessary for immediate effect, this
170	170	Act takes effect September 1, 2013.