HBA-KDB H.B. 1811 77(R)    BILL ANALYSIS


Office of House Bill AnalysisH.B. 1811
By: Kolkhorst
Land & Resource Management
2/26/2001
Introduced



BACKGROUND AND PURPOSE 

The Cranston-Gonzales National Affordable Housing Act (act) provides
formula grants to states and localities that communities use to fund a wide
range of activities that help build, buy, and rehabilitate affordable
housing for rent or home ownership or provide direct rental assistance to
low-income people. The majority of the funds that Texas receives are
typically given to the larger cities and counties by the Texas Department
of Housing and Community Affairs (department) despite the fact that current
law explicitly states the department is required to give the highest
priority to utilizing these funds for the benefit of non-participating
small cities and rural areas that do not qualify to receive funds under the
act directly from the United States Department of Housing and Urban
Development.  House Bill 1811 requires the department to spend 95 percent
of the funds it receives  under the act on behalf of the non-participating
small cities and rural areas. 

RULEMAKING AUTHORITY

It is the opinion of the Office of House Bill Analysis that this bill does
not expressly delegate any additional rulemaking authority to a state
officer, department, agency, or institution. 

ANALYSIS

House Bill 1811 amends the Government Code  to  require the Texas
Department  of Housing and Community Affairs to expend at least 95 percent
of the federal housing funds provided by the CranstonGonzales National
Affordable Housing Act to aid non-participating small cities and rural
areas that do not qualify to receive funds under the act directly from the
United States Department of Housing and Urban Development. 

EFFECTIVE DATE

September 1, 2001.