Goodwin Workforce Housing Bill Sets Up A New Treasury Fund

The text as introduced · 521 words

89R7677 JAM-D

By: Goodwin
H.B. No. 1810

A BILL TO BE ENTITLED

AN ACT

relating to the establishment of the workforce housing program by

the Texas Department of Housing and Community Affairs.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:

SECTION 1. Subchapter K, Chapter 2306, Government Code, is

amended by adding Section 2306.2595 to read as follows:

Sec. 2306.2595. WORKFORCE HOUSING PROGRAM. (a) In this

section:

(1) "Fund" means the workforce housing fund.

(2) "Program" means the workforce housing program.

(b) The department shall establish the workforce housing

program to provide financial assistance to participating

municipalities to facilitate the construction and rehabilitation

of eligible workforce housing developments in those

municipalities. Financial assistance may be awarded from the fund

described by Subsection (e) to eligible developments in the form of

grants or low-interest loans for the purposes described by this

section and must be prorated, to the extent practicable, according

to the size of the participating municipality.

(c) To be eligible for financial assistance awarded by a

participating municipality under the program, a workforce housing

development must:

(1) consist of new construction or a substantial

rehabilitation of an existing facility;

(2) reserve a specified percentage of the units in the

development for occupancy of individuals and families earning:

(A) not less than 30 percent of the area median

income, adjusted for family size; and

(B) not more than 120 percent of the area median

income, adjusted for family size; and

(3) maintain the affordability requirements described

by Subdivision (2) for a period of not less than 20 years following

the date of receipt of financial assistance under this section.

(d) The department shall adopt rules to implement the

program, including rules that:

(1) provide criteria for determining which

municipalities may participate in the program;

(2) specify the percentage of units that a workforce

housing development must reserve to satisfy the affordability

requirements under Subsection (c)(2), to demonstrate eligibility

for financial assistance under the program; and

(3) provide a scoring system to be used by a

municipality to prioritize developments that are eligible for

financial assistance under the program.

(e) The workforce housing fund is a special account in the

state treasury. The fund consists of:

(1) money appropriated to the board for a purpose of

the fund;

(2) repayment of principal and interest from loans

made from the fund;

(3) money the board transfers to the fund from any

available source;

(4) depository interest allocable to the fund and

other investment returns on money in the fund;

(5) money from gifts, grants, or donations to the

fund; and

(6) any other fees or sources of revenue that the

legislature may dedicate for deposit to the fund.

(f) Financial assistance provided from the fund to an

eligible workforce housing development must be spent by the

recipient on the development not later than 36 months after the date

the assistance is received.

(g) Money provided from the fund that is not spent as

required by Subsection (f) must be returned to the department and

deposited to the credit of the fund.

SECTION 2. This Act takes effect September 1, 2025.