HB 1810

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
(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
(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
(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
(2)  repayment of principal and interest from loans
(3)  money the board transfers to the fund from any
(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
(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
(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.