Bill > SB2608

This bill modifies the definition of "at-risk development" in the Texas Government Code to expand the types of federal housing assistance programs that qualify for low income housing tax credits. Specifically, the bill adds two new housing assistance programs administered by the U.S. Department of Housing and Urban Development (HUD): the Section 8 Housing Assistance Payments Program for New Construction and the Section 8 Housing Assistance Payments Program for Substantial Rehabilitation. These additions will make more housing developments eligible for tax credits, particularly those facing affordability challenges or at risk of losing their current subsidies. The changes will apply only to tax credit applications submitted during the 2026 or later qualified allocation plans, ensuring a clear transition period. The bill is designed to help preserve and support affordable housing developments that might otherwise become less accessible to low-income residents. The legislation will take effect on September 1, 2025, giving housing agencies and developers time to understand and prepare for the expanded definition of at-risk developments.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=SB2608