Relating to the payment of application fees for a commitment of low income housing tax credits.
Impact
The law is set to apply specifically to applications submitted under the 2018 qualified allocation plan or any subsequent plans adopted by the department. This amendment aims to streamline the application process, ensuring that only those applicants who have complied with fee payment obligations can progress in securing low income housing tax credits. The implications of this change are significant as it seeks to enhance the overall efficiency of the application cycle.
Summary
House Bill 1834 relates to the payment of application fees for securing low income housing tax credits. The bill amends the Government Code by introducing a requirement that applications for these credits be accompanied by payment of all applicable fees by a specified deadline. If an applicant fails to fulfill this requirement, the Texas Department of Housing and Community Affairs is mandated to reject and return the application during the initial allocation cycle.
Contention
The introduction of this bill may raise concerns regarding accessibility for potential applicants, particularly for non-profit organizations and smaller developers who might struggle with upfront costs. Critics might argue that stringent payment requirements could inadvertently limit opportunities for low income housing development, especially in communities where such financial burdens can greatly impact participation in the program.