Bill > SB234

This bill establishes a new Workforce Housing Program through the Texas Department of Housing and Community Affairs designed to provide financial assistance to developers of multifamily housing. The program will offer low-interest mezzanine real estate loans that cannot exceed 20 percent of a development's initial construction or rehabilitation costs. To qualify, housing developments must involve new construction or substantial rehabilitation and reserve units for individuals and families earning between 50-120 percent of the area median income. Income-restricted units cannot charge rent exceeding 30 percent of the monthly income for that unit, and developments must maintain these affordability requirements for at least 20 years. The program will be funded through a special workforce housing fund comprised of appropriations, loan repayments, transfers, donations, and other revenue sources. The department will create rules for developer and development selection, including a scoring system that prioritizes developments with more units reserved for lower-income residents. Developers must spend the financial assistance within 36 months of receiving it, or the funds must be returned to the fund. The bill is set to take effect on September 1, 2025.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB234