89R4359 JAM-D     By: Leo Wilson H.B. No. 4607       A BILL TO BE ENTITLED   AN ACT   relating to certain occupancy preferences given by developments   supported with a low income housing tax credit allocation.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Section 2306.6701, Government Code, is amended   to read as follows:          Sec. 2306.6701.  PURPOSE. (a) The department shall   administer the low income housing tax credit program to:                (1)  encourage the development and preservation of   appropriate types of rental housing for households, including   members of a group specified by Subsection (b), that have   difficulty finding suitable, affordable rental housing in the   private marketplace;                (2)  maximize the number of suitable, affordable   residential rental units added to the state's housing supply;                (3)  prevent losses for any reason to the state's supply   of suitable, affordable residential rental units by enabling the   rehabilitation of rental housing or by providing other preventive   financial support under this subchapter; and                (4)  provide for the participation of for-profit   organizations and provide for and encourage the participation of   nonprofit organizations in the acquisition, development, and   operation of affordable housing developments in urban and rural   communities.          (b)  Consistent with Section 42(g)(9), Internal Revenue Code   of 1986, a development supported with a housing tax credit   allocation may give an occupancy preference to teachers and other   employees of the school district in which the development is   located, and members of the households of those persons, if all   other occupancy requirements under state and federal law are   satisfied.          SECTION 2.  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 2026 qualified   allocation plan or a subsequent plan adopted by the governing board   of the department under Section 2306.67022, Government Code. 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 3.  This Act takes effect September 1, 2025.