Current through Reg. 49, No. 38; September 20, 2024
(a) Set-Asides. Specific types of Activities
or Developments for which a portion of MFDL funds may be reserved in a NOFA
will be grouped in categories called Set-Asides. Not all Set-Asides will be
available in every NOFA, and the Board may approve Set-Asides not described in
this section. The amount of a single award may be credited to multiple
Set-Asides, in which case the credited portion of funds may be repositioned
into an oversubscribed Set-Aside prior to a defined collapse deadline.
(1) General / Soft Repayment Set-Aside.
(A) Applicants seeking to qualify for NHTF
under this set-aside must propose Developments in which all Units assisted with
MFDL funds are available for households earning the greater of the poverty rate
or 30% AMI, and have rents no higher than the rent limits for extremely
low-income tenants in 24 CFR
§
93.302(b).
(B) Applicants seeking to qualify for HOME
under this set-aside must propose Developments in which all Units assisted with
MFDL funds are available to households earning no more than 80% AMI and have
rents no higher than the rent limits
24 CFR
§92.2.
(C) A portion of the General / Soft Repayment
Set-Aside may be reallocated into the CHDO Set-Aside in order to fully fund a
CHDO award that exceeds the remaining amount in the CHDO Set-Aside.
(2) CHDO Set-Aside. Unless waived
or reduced by HUD, a portion of the Department's annual HOME allocation will be
set aside for eligible CHDOs meeting the requirements of the definition of
Community Housing Development Organization in
24 CFR §
92.2 and
10 TAC §
13.2(2) of this
chapter. Applicants under the CHDO Set-Aside must be proposing to develop
housing on Development Sites located outside Participating Jurisdictions (PJ),
unless the award is made within a Persons with Disabilities (PWD) Set-Aside, or
the requirement under Tex. Gov't Code §
2306.111(c)(1)
has been waived by the Governor. A grant for CHDO operating expenses may be
awarded in conjunction with an award of MFDL funds under this Set-Aside, if no
other CHDO operating grants have been awarded to the Applicant in the same
Calendar year, in accordance with
24 CFR §
92.2 08. Applications under the CHDO
Set-Aside may not have a for profit special limited partner within the
ownership organization chart.
(b) Regional Allocation and Collapse. All
funds subject to Tex. Gov't Code §
2306.111 or as
described to HUD in planning documents will be allocated to regions and
potentially subregions based on a Regional Allocation Formula (RAF) within the
applicable Set-Asides (unless the funds have already been through a RAF of the
annual NOFA and/or Special Purpose NOFA). The RAF methodology may differ by
fund source. HOME funds will be allocated in accordance with Tex. Gov't Code
Chapter 2306. The end date and Application Acceptance Date for the regionally
allocated funds will be identified in the NOFA but in no instance shall it be
less than 30 days from the date a link to the Board approved NOFA or NOFA
Amendment is published on the Department's website.
(1) After funds have been made available
regionally and the period for regional allocation has expired, remaining funds
within each respective Set-Aside may collapse and be pooled together on a date
identified in the NOFA. All Applications received prior to these collapse dates
will continue to hold their priority unless they are withdrawn, terminated,
suspended, or funded.
(2) Funds
remaining after expiration of the Set-Asides on the end date identified in the
NOFA, which have not been requested in the form of a complete Application, may
be collapsed and pooled together to be made available statewide on a first-come
first-served basis to Applications submitted after the collapse dates, as
further described in the NOFA.
(3)
In instances where the RAF would result in regional or subregional allocations
insufficient to fund an Application, the Department may use an alternative
method of distribution, including an early collapse, revised formula or other
methods as approved by the Board, and reflected in the NOFA.
(c) Notice of Funding Availability
(NOFA). MFDL funds will be distributed pursuant to the terms of a published
NOFA that provides the specific collapse dates and deadlines as well as
Set-Aside and RAF amounts applicable to each NOFA, along with scoring criteria,
priorities, award limits, and other Application information. Set-asides, RAFs,
and total funding amounts may increase or decrease in accordance with the
provisions herein without further Board action as authorized by the
Board.
