1. (a) Definitions. The following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise.

   1. (1) CSBG--The Community Services Block Grant, 42 United States Code, §9901 et seq.
   2. (2) Department--The Texas Department of Housing and Community Affairs.
   3. (3) Low-income housing tax credit--The credit against federal income tax as provided for in §42 of the Internal Revenue Code (42 United States Code, §42).
   4. (4) Past due audit--An audit report required by the department that has not been received by the department on or before its due date.
   5. (5) Person--Any individual, partnership, corporation, association, unit of government, community action agency, or public or private organization of any character.
2. (b) A person is not eligible to apply for funds or any other assistance from the department unless any past due audit has been submitted to the department in a satisfactory format on or before the application deadline for the funds or other assistance.
3. (c) Except as provided in this subsection, a person is not eligible to receive funds, a new contract, loan, or allocation of low-income housing tax credits from the department until any unresolved audit finding or questioned or disallowed cost is resolved. This section does not apply to the receipt of CSBG or energy assistance funds.

Source Note:The provisions of this §1.3 adopted to be effective February 29, 1996, 21 TexReg 1393.