TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS BOARD MEETING

A G E N D A

9:30 AM September 3, 2015

John H. Reagan Building JHR 140, 105 W 15th Street

Austin, Texas

CALL TO ORDER ROLL CALL J. Paul Oxer, Chairman CERTIFICATION OF QUORUM Pledge of Allegiance - I pledge allegiance to the flag of the United States of America, and to the republic for which it stands, one nation under God, indivisible, with liberty and justice for all. Texas Allegiance - Honor the Texas flag; I pledge allegiance to thee, Texas, one state under God, one and indivisible. CONSENT AGENDA

Items on the Consent Agenda may be removed at the request of any Board member and considered at another appropriate time on this agenda. Placement on the Consent Agenda does not limit the possibility of any presentation, discussion or approval at this meeting. Under no circumstances does the Consent Agenda alter any requirements under Chapter 551 of the Texas Government Code, Texas Open Meetings Act. Action may be taken on any item on this agenda, regardless of how designated.

ITEM 1: APPROVAL OF THE FOLLOWING ITEMS PRESENTED IN THE BOARD MATERIALS:

EXECUTIVE

a) Board Meeting Minutes Summaries for June 16, 2015; June 30, 2015; July 16, 2015; and July 30, 2015

Beau Eccles Board Secretary

LEGAL

b) Presentation, Discussion, and Possible Action regarding the adoption of an Agreed Final Order concerning Van Apartments (HTC 92181 / CMTS 1091)

Jeff Pender Deputy General

Counsel

c) Presentation, Discussion, and Possible Action regarding the adoption of an Agreed Final Order concerning Villa Elaina (HTF 85338 / CMTS 4210)

HOME PROGRAM

d) Presentation, Discussion, and Possible Action to authorize the issuance of the 2015 HOME Investment Partnerships Program (“HOME”) Single Family Programs Competitive Award and Reservation System Notices of Funding Availability (“NOFAs”) for Single Family Non-Development Programs, and the publication of the NOFAs in the Texas Register

Jennifer Molinari Director of HOME

Program

e) Presentation, Discussion, and Possible Action on amendments to two HOME Homeowner Rehabilitation Assistance Household Commitment Contracts issued under Reservation Agreement 2012-0800 for the reconstruction of two single family homes by WREM Literacy Group, Inc. under the Disaster set-aside 1002069

COMMUNITY AFFAIRS

f) Presentation, Discussion, and Possible Action on Corrections to Previous Program Year 2015 Emergency Solutions Grants Program Awards and the Associated Award of a Contract under the Program Year 2014 Emergency Solutions Grants Program

Michael DeYoung Director of CA

g) Presentation, Discussion and Possible Action on State Fiscal Year 2016 Homeless Housing and Services Program Awards

h) Presentation, Discussion, and Possible Action Authorizing Staff to Identify an Eligible Entity, through release and subsequent award of a Request for Applications (“RFA”) to Permanently administer the Community Services Block Grant in Delta, Franklin, Hopkins, Lamar, Rains, Red River, and Titus counties

TEXAS HOMEOWNERSHIP PROGRAM

i) Presentation, Discussion, and Possible Action on the Single Family Mortgage Loan and Mortgage Credit Certificate (MCC) Programs Participating Lender List

Cathy Gutierrez Director of TXHP

HOUSING RESOURCE CENTER

j) Presentation, Discussion, and Possible Action on the 2016 Regional Allocation Formula Methodology

Elizabeth Yevich Director of HRC

ASSET MANAGEMENT

k) Presentation, Discussion and Possible Action regarding Housing Tax Credit Application Amendments

14051 Churchill at Champions Circle Fort Worth 14155 Cypress Place Apartments Beaumont 14291 Cypress Creek at Wayside Houston 14292 Cypress Creek at Parker Creek North Royse City

Raquel Morales Director of Asset

Management

BOND FINANCE

l) Presentation, Discussion, and Possible Action on Resolution 16-001 Authorizing the Issuance, Sale and Delivery of Texas Department of Housing and Community Affairs Single Family Mortgage Revenue Refunding Bonds, 2015 Series A (Taxable) (the “2015A Bonds”) and Single Family Mortgage Revenue Bonds, 2015 Series B (the “2015B Bonds”); Approving the Form and Substance of Related Documents; Authorizing the Execution of Documents and Instruments Necessary or Convenient to Carry Out the Purposes of this Resolution; and Containing Other Provisions Relating to the Subject

Monica Galuski Director of Bond

Finance

MULTIFAMILY FINANCE

m) Presentation, Discussion, and Possible Action on Determination Notices for Housing Tax Credits with another Issuer

15405 Sagetree Terrace Houston 15407 Reserve at Quebec Fort Worth 15412 Timbers Apartments Austin 15413 Martha’s Vineyard Dallas

Teresa Morales Acting Director of MF

n) Presentation, Discussion, and Possible Action on Inducement Resolution No. 16-002 for Multifamily Housing Revenue Bonds Regarding Authorization for Filing Applications for Private Activity Bond Authority on the 2015 Waiting List for Williamsburg Apartments

o) Presentation, Discussion, and Possible Action Authorizing and Directing the Executive Director to Approve Modifications to the Organizational Structure Relating to Darson Marie Terrace (#15404) Prior to Bond Closing

RULES

p) Presentation, Discussion, and Possible Action on an order adopting new 10 TAC Chapter 5, Community Affairs Programs, Subchapter J, Homeless Housing and Services Program,

Michael DeYoung Director of CA

§5.1009 Shelter and Housing Standards, and directing its publication in the Texas Register

q) Presentation, Discussion, and Possible Action on an order adopting amendments to 10 TAC Chapter 5, Community Affairs Programs, Subchapter K, Emergency Solutions Grants (“ESG”), §5.2002 Purpose and Use of Funds, and §5.2004 Eligible Applicants, and directing its publication in the Texas Register

r) Presentation, Discussion, and Possible Action proposing the repeal of 10 TAC Chapter 20 Single Family Umbrella Rule, §20.1 Purpose, §20.2 Applicability, §20.3 Definitions, §20.4 Eligible Single Family Activities, §20.5 Funding Notices, §20.6 Applicant Eligibility, §20.7 Household Eligibility Requirements, §20.8 Single Family Housing Unit Eligibility Requirements, §20.9 General Administration and Program Requirements, §20.10 Inspection and Construction Requirements, §20.11 Survey Requirements, §20.12 Insurance Requirements for Acquisition Activities, §20.13 Loan, Lien and Mortgage Requirements for Activities With Acquisition, §20.14 Amendments to Agreements and Contracts and Modifications to Mortgage Loan Documents, §20.15 Compliance and Deobligation, and §20.16 Waivers and Appeals, and proposing new 10 TAC Chapter 20 Single Family Umbrella, §20.1 Purpose, §20.2 Applicability, §20.3. Definitions, §20.4 Eligible Single Family Activities, §20.5 Funding Notices, §20.6 Applicant Eligibility, §20.7 Household Eligibility Requirements, §20.8 Single Family Housing Unit Eligibility Requirements, §20.9 General Administration and Program Requirements, §20.10 Inspection Requirements for Construction Activities, §20.11 Survey Requirements for Acquisition Activities, §20.12 Insurance Requirements for Acquisition Activities, §20.13 Loan, Lien and Mortgage Requirements for Activities With Acquisition, §20.14 Amendments to Agreements and Contracts and Modifications to Mortgage Loan Documents, §20.15 Compliance and Monitoring, and §20.16 Waivers and Appeals, and directing their publication for public comment in the Texas Register

Marni Holloway Director of

Neighborhood Stabilization Program

CONSENT AGENDA REPORT ITEMS

ITEM 2: THE BOARD ACCEPTS THE FOLLOWING REPORTS:

a) TDHCA Outreach Activities, July-Aug 2015 Michael Lyttle Chief of External

Affairs

b) Report Regarding a Request for Proposal (“RFP”) for Master Servicer for the Texas First Time Homebuyer Program and the My First Texas Home Program issued by the Texas Department of Housing and Community Affairs (the “Department”)

Monica Galuski Director of Bond

Finance

c) Report Regarding a Request for Proposal (“RFP”) for TBA Program Administrator issued by the Texas Department of Housing and Community Affairs (the “Department”)

d) Report Regarding the Awards of HOME and TCAP funds from the 2015-1 Multifamily Development Program Notice of Funding Availability

Teresa Morales Acting Director of MF

ACTION ITEMS

ITEM 3: MULTIFAMILY FINANCE

a) Presentation, Discussion, and Possible Action on Inducement Resolution No. 16-003 for Multifamily Housing Revenue Bonds Regarding Authorization for Filing Applications for Private Activity Bond Authority on the 2015 Waiting List for Cheyenne Village Apartments and Chisolm Trace Apartments and Determination regarding Eligibility under 10 TAC §10.101(a)(4) related to Undesirable Neighborhood Characteristics

Teresa Morales Acting Director of MF

b) Report and Discussion regarding the need to clarify 10 TAC §10.3(a) definition of “Qualified Elderly Development” in light of recent HUD guidance on age-restricted developments

Tom Gouris Deputy Executive

Director

ITEM 4: ASSET MANAGEMENT

Presentation, Discussion and Possible Action regarding Amendments to HOME Direct Loan Terms for Allegre Point (HTC # 11123, HOME # 1001576)

Raquel Morales Director of Asset

Management

ITEM 5: REAL ESTATE ANALYSIS

a) Presentation, Discussion, and Possible Action on appeal of the recommended HOME loan terms in connection with the application under the Multifamily Development Program 2015-1 Notice of Funding Availability (“NOFA”) for Westridge Villas, #15502, McKinney

Brent Stewart Director of Real Estate Analysis

b) Presentation, Discussion, and Possible Action on appeal of the recommended HOME loan terms in connection with the application under the Multifamily Development Program 2015-1 Notice of Funding Availability (“NOFA”) for Merritt Hill Country, #15273, Dripping Springs

ITEM 6: RULES

a) Presentation, Discussion, and Possible Action on proposed repeals of 10 TAC Chapter 10 Subchapter A, concerning General Information and Definitions, Subchapter B, concerning Site and Development Requirements and Restrictions, Subchapter C, concerning Application Submission Requirements, Ineligibility Criteria, Board Decisions and Waiver of Rules for Applications, and Subchapter G, concerning Fee Schedule, Appeals and Other Provisions, and a proposed new 10 TAC Chapter 10 Subchapter A, concerning General Information and Definitions, Subchapter B, concerning Site and Development Requirements and Restrictions, Subchapter C, concerning Application Submission Requirements, Ineligibility Criteria, Board Decisions and Waiver of Rules for Applications, and Subchapter G, concerning Fee Schedule, Appeals and Other Provisions, and directing their publication for public comment in the Texas Register

Teresa Morales Acting Director of MF

b) Presentation, Discussion, and Possible Action on the proposed repeal of 10 TAC Chapter 11 concerning the Housing Tax Credit Program Qualified Allocation Plan, and a proposed new 10 TAC Chapter 11, concerning the Housing Tax Credit Program Qualified Allocation Plan, and directing its publication for public comment in the Texas Register

c) Presentation, Discussion, and Possible Action on the proposed repeal of 10 TAC Chapter 10 Subchapter D concerning Underwriting and Loan Policy and a proposed new 10 TAC Chapter 10 Subchapter D and directing their publication for public comment in the Texas Register

Brent Stewart Director of Real Estate Analysis

d) Presentation, Discussion and Possible Action on the proposed repeal of 10 TAC Chapter 10 Subchapter E concerning Post Award and Asset Management Requirements and a proposed new 10 TAC Chapter 10 Subchapter E and directing their publication for public comment in the Texas Register

Raquel Morales Director of Asset

Management

PUBLIC COMMENT ON MATTERS OTHER THAN ITEMS FOR WHICH THERE WERE POSTED AGENDA ITEMS.

EXECUTIVE SESSION

The Board may go into Executive Session (close its meeting to the public): J. Paul Oxer

1. The Board may go into Executive Session Pursuant to Tex. Gov’t Code §551.074 for the purposes of discussing personnel matters including to deliberate the appointment, employment, evaluation, reassignment, duties, discipline, or dismissal of a public officer or employee;

Chairman

2. Pursuant to Tex. Gov’t Code, §551.071(1) to seek the advice of its attorney about pending or contemplated litigation or a settlement offer;

3. Pursuant to Tex. Gov’t Code, §551.071(2) for the purpose of seeking the advice of its attorney about a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts with Tex. Gov’t Code, Chapter 551; including seeking legal advice in connection with a posted agenda item;

4. Pursuant to Tex. Gov’t Code, §551.072 to deliberate the possible purchase, sale, exchange, or lease of real estate because it would have a material detrimental effect on the Department’s ability to negotiate with a third person; and/or-

5. Pursuant to Tex. Gov’t Code, §2306.039(c) the Department’s internal auditor, fraud prevention coordinator or ethics advisor may meet in an executive session of the Board to discuss issues related to fraud, waste or abuse.

OPEN SESSION

If there is an Executive Session, the Board will reconvene in Open Session. Except as specifically authorized by applicable law, the Board may not take any actions in Executive Session

ADJOURN

To access this agenda and details on each agenda item in the board book, please visit our website at www.tdhca.state.tx.us or contact Michael Lyttle, 512-475-4542, TDHCA, 221 East 11th Street, Austin, Texas 78701, and request the information.

If you would like to follow actions taken by the Governing Board during this meeting, please follow TDHCA account (@tdhca) on Twitter.

Individuals who require auxiliary aids, services or sign language interpreters for this meeting should contact Gina Esteves, ADA Responsible Employee, at 512-475-3943 or Relay Texas at 1-800-735-2989, at least three (3) days before the meeting so that appropriate arrangements can be made.

Non-English speaking individuals who require interpreters for this meeting should contact Elena Peinado, 512- 475-3814, at least three (3) days before the meeting so that appropriate arrangements can be made.

Personas que hablan español y requieren un intérprete, favor de llamar a Elena Peinado al siguiente número 512- 475-3814 por lo menos tres días antes de la junta para hacer los preparativos apropiados.