Bill > HB1585

This bill modifies several provisions related to housing finance corporations (HFCs) in Texas, primarily focusing on the location and tax status of residential developments. The bill restricts HFCs to owning residential developments only within the boundaries of the local government that created them, limiting their previous ability to own properties outside their jurisdiction. Specifically, the bill requires that any residential development owned by an HFC must be located within the same local government that formed the corporation, and provides that such developments are only exempt from state and local taxes if they meet this location requirement. The bill also clarifies that HFCs can delegate authority to the Texas Department of Housing and Community Affairs for various property-related activities, and allows local governments to transfer residential development sites to HFCs by resolution without voter approval. The tax exemption changes will apply to newly built developments with certificates of occupancy issued on or after the bill's effective date, or to developments acquired by the corporation after that date. The bill will take effect immediately if it receives a two-thirds vote in the Texas Legislature, or on September 1, 2025, if it does not receive the required immediate-effect vote.

Government Affairs

https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB1585