H.B. No. 74 AN ACT relating to certain financial assistance administered by the Texas Department of Housing and Community Affairs in certain rural areas. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 2306.6702(a), Government Code, is amended by adding Subdivisions (12) and (17) to read as follows: (12) "Rural area" means an area that is: (A) described by Section 2306.004(28-a); or (B) designated by the department as a rural area under Section 2306.6740. (17) "Urban area" means the area that is located within the boundaries of a primary metropolitan statistical area or a metropolitan statistical area other than an area: (A) described by Section 2306.004(28-a)(B); or (B) designated by the department as a rural area under Section 2306.6740. SECTION 2. Subchapter DD, Chapter 2306, Government Code, is amended by adding Section 2306.6740 to read as follows: Sec. 2306.6740. DESIGNATION OF CERTAIN AREAS AS RURAL. (a) The department by rule shall provide for the designation by the department of an area located within the boundaries of a primary metropolitan statistical area or a metropolitan statistical area as a rural area under Section 2306.6702(a)(12)(B) for purposes of receiving housing tax credits administered by the department under this subchapter. (b) Rules adopted under this section must: (1) provide procedures by which a political subdivision or a census-designated place may apply for a rural designation; (2) provide guidelines for designating an area as rural, including specifying: (A) conditions under which a rural designation is not appropriate, including the proximity of the area to or the presence of major amenities commonly associated with urban or suburban areas; and (B) conditions under which a rural designation is appropriate, including areas with low population density, the proximity of the area to or the absence of major amenities commonly associated with urban or suburban areas, a high level of undeveloped land, a significant presence of unimproved roads, or significant agricultural activity; and (3) ensure that any housing tax credits allocated to a designated rural area comply with applicable federal requirements regarding that assistance. SECTION 3. This Act takes effect September 1, 2015. ______________________________ ______________________________ President of the Senate Speaker of the House I certify that H.B. No. 74 was passed by the House on April 30, 2015, by the following vote: Yeas 122, Nays 17, 1 present, not voting; and that the House concurred in Senate amendments to H.B. No. 74 on May 29, 2015, by the following vote: Yeas 90, Nays 46, 3 present, not voting. ______________________________ Chief Clerk of the House I certify that H.B. No. 74 was passed by the Senate, with amendments, on May 27, 2015, by the following vote: Yeas 26, Nays 5. ______________________________ Secretary of the Senate APPROVED: __________________ Date __________________ Governor