The bill amends Section 2306.6711(b) of the Government Code regarding the allocation of low-income housing tax credits in Texas. It specifies that the Texas Department of Housing and Community Affairs (TDHCA) must issue commitments for available housing tax credits based on a defined application evaluation process. Notably, the bill increases the maximum amount of housing tax credits that can be allocated to an individual development in a single application round from $2 million to $3 million, while maintaining the overall cap of $6 million for any single applicant.

The changes introduced by this bill will only apply to applications submitted during the 2026 qualified allocation plan cycle or any subsequent plans. Applications submitted under earlier plans will continue to be governed by the previous law. The bill is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Government Code 2306.6711 (Government Code 2306)