88R9309 JG-D     By: Springer S.B. No. 1925       A BILL TO BE ENTITLED   AN ACT   relating to the allocation of low income housing tax credits.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 2306.67022, Government Code, is amended   to read as follows:          Sec. 2306.67022.  QUALIFIED ALLOCATION PLAN; MANUAL. (a)   At least biennially, the board shall adopt a qualified allocation   plan and a corresponding manual to provide information regarding   the administration of and eligibility for the low income housing   tax credit program. The board may adopt the plan and manual   annually, as considered appropriate by the board.          (b)  The department may not adopt a qualified allocation plan   that:                (1)  requires as part of the threshold criteria that an   applicant agree to, in a land use restriction agreement or   otherwise, an affordability period for a proposed development that   is greater than the federal minimum affordability period; or                (2)  uses a scoring system that awards points to an   application based on whether an applicant agrees to, in a land use   restriction agreement or otherwise, an affordability period for a   proposed development that is greater than the federal minimum   affordability period.          (c)  For purposes of Subsection (b), "federal minimum   affordability period" means the period beginning on the first day   of the compliance period, as defined by Section 42(i)(1), Internal   Revenue Code of 1986 (26 U.S.C. Section 42(i)(1)), and ending 15   years from the date on which the compliance period ends.          SECTION 2.  Section 2306.6711(b), Government Code, is   amended to read as follows:          (b)  Not later than the deadline specified in the qualified   allocation plan, the board shall issue commitments for available   housing tax credits based on the application evaluation process   provided by Section 2306.6710. The board may not allocate to an   applicant housing tax credits in any unnecessary amount, as   determined by the department's underwriting policy and by federal   law, and in any event may not allocate to the applicant housing tax   credits in an amount greater than $6 [$3] million in a single   application round or to an individual development more than $2   million in a single application round.          SECTION 3.  Section 2306.6724, Government Code, is amended   by adding Subsection (g) to read as follows:          (g)  Notwithstanding other law, the department shall issue a   final commitment for an allocation of housing tax credits not later   than the 90th day following the date on which the department first   receives from an applicant an Internal Revenue Service Form 8609,   or that form's successor, for the purpose of obtaining a low-income   housing credit allocation and certification.          SECTION 4.  Section 2306.1112, Government Code, is repealed.          SECTION 5.  The change in law made by this Act applies only   to an application for low income housing tax credits that is   submitted to the Texas Department of Housing and Community Affairs   during an application cycle that is based on the 2024 qualified   allocation plan or a subsequent plan adopted by the governing board   of the department. An application that is submitted during an   application cycle that is based on an earlier qualified allocation   plan is governed by the law in effect on the date the application   cycle began, and the former law is continued in effect for that   purpose.          SECTION 6.  This Act takes effect September 1, 2023.