Texas Register, Volume 46, Number 38, Pages 5983-6306, September 17, 2021 Page: 6,017
5985-6306 p. ; 28 cm.View a full description of this periodical.
Extracted Text
The following text was automatically extracted from the image on this page using optical character recognition software:
of the number of Actively Monitored Developments in the Combined
Portfolio;
(D) Any Development Controlled by the Applicant has
been the subject of an agreed final order entered by the Board and the
terms have been violated;
(E) Any Person subject to previous participation review
failed to meet the terms and conditions of a prior condition of approval
imposed by the EARAC, the Governing Board, voluntary compliance
agreement, or court order;
(F) Payment of principal or interest on a loan due to
the Department is past due beyond any grace period provided for in
the applicable documents for any Development currently Controlled
by the Applicant or that was Controlled by the Applicant at the time
the payment was due and a repayment plan has not been executed with
the Department, or an executed repayment plan has been violated;
(G) The Department has requested and not been pro-
vided evidence that the Owner has maintained required insurance on
any collateral for any loan held by the Department related to any De-
velopment Controlled by the Applicant;
(H) The Department has requested and not been pro-
vided evidence that property taxes have been paid or satisfactory ev-
idence of a tax exemption on any collateral for any loan held by the
Department related to any Development Controlled by the Applicant;
(I) Fees or other amounts owed to the Department by
any Person subject to previous participation review are 30 days or more
past due and a repayment plan has not been executed with the Depart-
ment, or an executed repayment plan has been violated;
(J) Despite past condition(s) agreed upon by any Person
subject to previous participation review to improve their compliance
operations, three or more new Events of Noncompliance have since
been identified by the Department, and have not been resolved during
the corrective action period;
(K) Any Person subject to previous participation review
has or had Control of a TDHCA funded Development that has gone
through a foreclosure; or
(L) Any Person subject to previous participation review
or the proposed incoming owner is currently debarred by the Depart-
ment or currently on the federal debarred and suspended listing.
(f) Compliance Notification to Applicant and EARAC. The
Compliance Division will notify Applicants of their compliance status
from the categories identified in paragraphs (1) to (4) of this subsec-
tion.
(1) Previously approved. If EARAC or the Board previ-
ously approved the compliance history of an Applicant, with or with-
out conditions (including approvals resulting from a Dispute under
1.303(g) of this subchapter (relating to Executive Award and Review
Advisory Committee (EARAC))) such conditions have not been vio-
lated, and no new Events of Noncompliance have occurred since the
last approval, the compliance history will be deemed acceptable with-
out further review or discussion and recommended as approved or ap-
proved with the same prior conditions. For 4% Housing Tax Credit
Applications (without other Department resources), where it has been
determined by staff that the Determination Notice can be issued ad-
ministratively, and for which the Board previously approved a set of
conditions associated with a prior Application of the Applicant's, and
those same conditions are to be applied to the new 4% Application by
Program or Compliance, or if an Application only has underwriting
conditions, then the new 4% Application does not need to be approved
by EARAC and is not required to be presented to the Board(2) Category 1. The compliance history of Category 1 ap-
plications will be deemed acceptable (for Compliance purposes only)
without further review or discussion.
(3) Category 2 and Category 3. Category 2 and 3 Appli-
cants will be informed by the Compliance Division that the Application
is a Category 2 or 3 and provided a seven calendar day period to provide
written comment, submit any remaining evidence of corrective action
for uncorrected events, propose one or more of the conditions listed in
1.303 of this subchapter, or propose other conditions for consideration
before the Compliance Division makes its final submission to EARAC.
(4) The Department will not make an award or approve an
Ownership Transfer to any entity who has an Affiliate, Board member,
or a Person identified in the Application that is currently on the Federal
Debarred and Suspended Listing. An Applicant or entity requesting
an Ownership Transfer will be notified of the debarred status and will
be given the opportunity (subject to other Department rules) to remove
and replace the Affiliate, Board member, or Person so that the transfer
or award may proceed.
(g) Compliance Recommendation to EARAC for Awards.
(1) After taking into consideration the information re-
ceived during the seven-day period, Category 2 Applications will
be recommended for approval or approval with conditions (for com-
pliance purposes only). Any recommendation for an award with
conditions will utilize the conditions identified in 1.303 of this sub-
chapter. The Applicant will be notified if their award is recommended
for approval with conditions.
(2) After taking into consideration the information re-
ceived during the seven-day period, Category 3 applications will be
recommended for approval, approval with conditions (for compliance
purposes only) or denial. Any recommendation for an award or own-
ership transfer with conditions will utilize the conditions identified in
1.303 of this subchapter. The Applicant will be notified if their award
is recommended for denial or approval with conditions.
(3) An Applicant that will be recommended for denial or
awarded with conditions will be informed of their right to file a Dispute
under 1.303 of this subchapter.
(4) In the case of 4% Housing Tax Credit Applications
where it has been determined by staff that the Determination Notice
can be issued administratively, Category 2 and 3 applications being
approved with conditions that are specifically listed in #1.303 of this
subchapter and that have been previously approved by the Board for
the Applicant, do not require approval of EARAC or the Board unless
the Applicant is requesting to Dispute the Compliance Recommenda-
tion.
(h) Compliance Recommendation for Ownership Transfers.
After taking into consideration the information received during the
seven-day period the results will be reported to the Executive Director
with a recommendation of approval, approval with conditions, or
denial. If the Executive Director determines that the request should
be denied, or approved with conditions and the requesting entity
disagrees, the matter may be appealed to the Board under 1.7 of this
title (relating to Appeals).
1.302. Previous Participation Reviews for Department Program
Awards Not Covered by 1.301 of this Subchapter.
(a) Purpose and applicability. This section applies to program
awards not covered by 1.301 of this subchapter (relating to Previous
Participation Reviews for Multifamily Awards and Ownership Trans-
fers). With the exception of a household or project commitment con-
tract, prior to awarding or allowing access to Department funds through
a Contract or through a Reservation Agreement a previous participa-PROPOSED RULES September 17, 2021 46 TexReg 6017
Upcoming Pages
Here’s what’s next.
Search Inside
This issue can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Periodical.
Texas. Secretary of State. Texas Register, Volume 46, Number 38, Pages 5983-6306, September 17, 2021, periodical, September 17, 2021; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth1385246/m1/35/: accessed July 17, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.