HBA-MPA H.B. 3058 76(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 3058
By: Hill
Urban Affairs
3/21/1999
Introduced



BACKGROUND AND PURPOSE 

The Texas State Affordable Housing Corporation (TSAHC) was established to
be a mortgage banker but does not have access to credit in order to
generate housing finance.  H.B. 3058 provides that an application for a
reservation under Section 2(b)(4), Article 5190.9a,V.T.C.S., must receive
underwriting and feasibility approval from the Texas Department of Housing
and Community Affairs in order to be eligible for such a reservation.  

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that rulemaking
authority is expressly delegated to Texas Department of Housing and
Community Affairs in SECTION 1 (Section 3, Article 5190.9a,V.T.C.S.) of
this bill. 

SECTION BY SECTION ANALYSIS

SECTION 1.  Amends Section 3, Article 5190.9a, V.T.C.S. (Chapter 1092, Acts
of the 70th Legislature, Regular Session, 1987), by adding Subsection (h),
to provide that an application for a reservation under Section 2(b)(4)
(Allocation and Reservation System), must receive underwriting and
feasibility approval of the project to be financed by issue of the bonds
from the Texas Department of Housing and Community Affairs (department)
before the application is eligible for a reservation.  Requires the
department, by rule, to determine the date by which the application must be
submitted to receive the underwriting and feasibility analysis. 

SECTION 2.  Makes application of this Act prospective.

SECTION 3.Emergency clause.
  Effective date: upon passage.