HB1608 - Relating to the adoption of a veterans' land bank program by the Texas State Affordable Housing Corporation.

  89R5991 JAM-D     By: Garcia of Bexar H.B. No. 1608       A BILL TO BE ENTITLED   AN ACT   relating to the adoption of a veterans' land bank program by the   Texas State Affordable Housing Corporation.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Subchapter Y, Chapter 2306, Government Code, is   amended by adding Section 2306.5622 to read as follows:           Sec.   2306.5622.     VETERANS' LAND BANK PROGRAM. (a) In this   section:                 (1)     "Affordable" means that the monthly mortgage   payment or contract rent does not exceed 30 percent of the   applicable median family income for that housing unit size, in   accordance with the income and rent limit rules adopted by the   department.                 (2)     "Low-income household" means a household with an   income of not greater than 80 percent of the area median family   income, based on gross household income, adjusted for household   size, for a municipality or, if located in an area that is not part   of a municipality, a county, as determined annually by the United   States Department of Housing and Urban Development.                 (3)     "Veteran"   has the meaning provided by Section   161.001, Natural Resources Code.                 (4)     "Veterans'   land bank plan" or "plan" means a plan   adopted by the corporation as provided by Subsection (f).                 (5)     "Veterans'   land bank program" or "program" means a   program adopted under Subsection (c).           (b)     This section controls to the extent of any conflict   between this section and another provision of this chapter.           (c)     The corporation shall establish a veterans'   land bank   program for the purpose of acquiring, holding, and transferring   real property under this section to provide affordable housing for   veterans who are members of low-income households.           (d)     Property held by the corporation under the program may   include:                 (1)     property acquired in the manner provided by   Subsection (g); and                 (2)     other property acquired by or transferred to the   corporation.           (e)     A sale or other transfer of property to the corporation   for use in connection with the program is a sale for a public   purpose.           (f)     The corporation shall operate the program in   conformance with a veterans'   land bank plan.   The corporation shall   adopt a plan annually. The plan may be amended from time to time.     In developing the plan, the corporation shall consider any other   housing plans adopted by a municipality or county in which the   corporation intends to implement the program.           (g)     Property that is ordered sold pursuant to foreclosure of   a tax lien may be sold to the corporation for the purpose of the   program in the manner provided by Section 34.01, Tax Code.           (h)     Notwithstanding any other law, if consent is given by   the taxing units that are a party to the judgment, property may be   sold to the corporation for the program for less than the market   value of the property as specified in the judgment or less than the   total of all taxes, penalties, and interest, plus the value of   nontax liens held by a taxing unit and awarded by the judgment,   court costs, and the cost of the sale.           (i)     The deed of conveyance of the property sold to the   corporation under Subsection (g) conveys to the corporation the   right, title, and interest acquired or held by each taxing unit that   was a party to the judgment, subject to the right of redemption.           (j)     Each subsequent resale or rental of a property owned by   the corporation under the program must comply with the conditions   of this subsection.   Within the 10-year period following the date of   acquisition, the corporation   must sell or rent a property to a   veteran who is a member of a low-income household.   If after 10   years a property has not been purchased by a qualified veteran or   has not been leased to a qualified veteran within the preceding six   months, the property shall be transferred from the corporation to   the taxing units who were parties to the judgment for disposition as   otherwise allowed under the law.           (k)     The corporation shall impose, in accordance with this   subsection, deed restrictions on property sold or rented to   veterans through the program requiring the subsequent sale or   rental of the property to veterans who are members of low-income   households. Except as otherwise provided by this subsection, if   the deed restrictions imposed under this subsection are for a term   of years, the deed restrictions renew automatically. The   corporation may modify or add to the deed restrictions imposed   under this subsection. Any modifications or additions made by the   corporation must be adopted by the corporation as part of its plan   and must comply with the minimum requirements provided under this   subsection.           (l)     For purposes of evaluating the effectiveness of the   program, the corporation shall prepare an annual performance report   not later than November 1 of each year. The performance report must   include:                 (1)     for the preceding state fiscal year, a complete   and detailed written accounting of all money received and disbursed   by the corporation under the program and of all properties managed   by the corporation under the program;                 (2)     for each property acquired by the corporation for   the program during the preceding state fiscal year:                       (A)  the street address of the property;                       (B)  the legal description of the property;                       (C)     the date the corporation took title to the   property;                       (D)     the name and mailing address of the property   owner of record at the time of the acquisition;                       (E)     the amount of taxes and other costs owed at   the time of the foreclosure if the property was acquired under   Subsection (g); and                       (F)     the assessed value of the property on the tax   roll at the time of the foreclosure if the property was acquired   under Subsection (g); and                 (3)     for each property that the corporation sold or   rented to a qualified veteran under the program during the   preceding state fiscal year:                       (A)  the street address of the property;                       (B)  the legal description of the property; and                       (C)     the purchase price or amount of contract rent   paid by the veteran.           (m)     The corporation shall provide copies of the performance   report to any taxing units who were parties to a sale of property   under Subsection (g). The corporation shall maintain copies of the   performance report available for public review.           (n)     The corporation shall maintain in its records for   inspection a copy of the sale settlement statement for each   property sold through the veterans'   land bank program.          SECTION 2.  Section 2306.566(c), Government Code, is amended   to read as follows:          (c)  The corporation's plan must include :                 (1)   specific proposals to help serve rural and other   underserved areas of the state ; and                 (2)     the veterans' land bank plan developed under   Section 2306.5622 .          SECTION 3.  Sections 11.18(d) and (o), Tax Code, are amended   to read as follows:          (d)  A charitable organization must be organized exclusively   to perform religious, charitable, scientific, literary, or   educational purposes and, except as permitted by Subsections (h)   and (l), engage exclusively in performing one or more of the   following charitable functions:                (1)  providing medical care without regard to the   beneficiaries' ability to pay, which in the case of a nonprofit   hospital or hospital system means providing charity care and   community benefits in accordance with Section 11.1801;                (2)  providing support or relief to orphans, delinquent   or dependent children in need of residential care, children with   disabilities in need of residential care, abused or battered   spouses or children in need of temporary shelter, the impoverished,   or victims of natural disaster without regard to the beneficiaries'   ability to pay;                (3)  providing support without regard to the   beneficiaries' ability to pay to:                      (A)  elderly persons, including the provision of:                            (i)  recreational or social activities; and                            (ii)  facilities designed to address the   special needs of elderly persons; or                      (B)  persons with disabilities, including   training and employment:                            (i)  in the production of commodities; or                            (ii)  in the provision of services under 41   U.S.C.  Sections 8501-8506;                (4)  preserving a historical landmark or site;                (5)  promoting or operating a museum, zoo, library,   theater of the dramatic or performing arts, or symphony orchestra   or choir;                (6)  promoting or providing humane treatment of   animals;                (7)  acquiring, storing, transporting, selling, or   distributing water for public use;                (8)  answering fire alarms and extinguishing fires with   no compensation or only nominal compensation to the members of the   organization;                (9)  promoting the athletic development of boys or   girls under the age of 18 years;                (10)  preserving or conserving wildlife;   [Text truncated for display. 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