HBA-SEB C.S.H.B. 3654 76(R)BILL ANALYSIS Office of House Bill AnalysisC.S.H.B. 3654 By: Oliveira Urban Affairs 4/26/1999 Committee Report (Substituted) BACKGROUND AND PURPOSE C.S.H.B. 3654 creates a revenue source for the housing trust fund by assessing a $2 affordable housing fee on personal and real property filings at the county level. This bill requires the treasurer of a county to retain 20 cents of the fee in order to reimburse the county for expenses incurred in assessing and collecting the fee. The remainder of the fee is credited to the housing trust fund. RULEMAKING AUTHORITY It is the opinion of the Office of House Bill Analysis that this bill does not expressly delegate any additional rulemaking authority to a state officer, department, agency, or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 118.011, Local Government Code, by adding Subsection (e), to require a county clerk to collect an affordable housing fee of $2 for each document filed for recording for which a fee is charged as described by Section 118.012 (Personal Property Records Filing) or 118.013 (Real Property Records Filing). Establishes that this fee is in addition to any other fee charged for recording the document. Requires the clerk to collect the fee at the time the document is presented for recording. SECTION 2. Amends Subchapter B, Chapter 118, Local Government Code, by adding Section 118.0115, as follows: Sec. 118.0115. AFFORDABLE HOUSING FEE. Requires a county clerk to remit the affordable housing fee to the county treasurer within a specific time frame. Requires the county treasurer to remit $1.80 of each fee collected for that quarter to the comptroller. Requires the county treasurer to retain 20 cents of each fee and any interest earned on the entire fee to reimburse the county for expenses associated with collecting and remitting the fee. Requires the comptroller to deposit fee amounts received to the credit of the housing trust fund for use in accordance with the purposes of that fund. SECTION 3. Amends Section 2306.201(b), Government Code, to include in the housing trust fund money deposited from the collection of the affordable housing fee. Redesignates Subdivisions (3)(5) to (4)-(6). SECTION 4. Makes application of this Act prospective. SECTION 5. Effective date: September 1, 1999. SECTION 6. Emergency clause. COMPARISON OF ORIGINAL TO SUBSTITUTE The substitute modifies the original to conform to Legislative Council format. The substitute modifies the original in SECTION 1 by modifying proposed Section 118.011(e), Local Government Code, to correct an erroneous statutory reference. The substitute references Section 118.013 (Real Property Records Filing), rather than Section 118.03, Local Government Code, which does not exist. The substitute modifies the original in SECTION 2 by modifying proposed Section 118.0115, Local Government Code, to require a county treasurer to remit $1.80, rather than 90 cents, of each $2 affordable housing fee collected to the comptroller and to retain 20 cents, rather than 10 cents, of each fee to cover county expenses. The substitute also corrects a spelling error.