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) Appeal file--The written record of an appeal that contains the applicant's appeal; the responses of Department staff, the executive director, and the board, as applicable; and the final decision.
   2. (2) Applicant--A person who submits, or is preparing to submit, to the Department an application for Department funds or other assistance.
   3. (3) Application--The written request for Department funds or other assistance in the format required by the Department including any exhibits or other supporting material.
   4. (4) Board--The board of directors of the Texas Department of Housing and Community Affairs.
   5. (5) Board Appeals Committee--A committee of three board members appointed by the presiding officer of the board to handle appeals of board actions.
   6. (6) Committee--The Board Appeals Process Committee.
   7. (7) Department--The Texas Department of Housing and Community Affairs.
   8. (8) Low-income housing tax credit--The credit against federal income tax as provided for in §42 of the Internal Revenue Code (42 U.S.C. §42.)
   9. (9) Person--Any individual, partnership, corporation, association, unit of government, community action agency, public or private organization of any character.
2. (b) Grounds. An applicant for funding or other assistance from the Department, other than low-income housing tax credits, may only appeal the disposition of its application by the board based on an action taken by the board which was allegedly not made in accordance with the applicable rules.
3. (c) Appeal to the Board Appeals Process Committee. An applicant must file a written appeal with the Department not later than the fourteenth day after the date of the board meeting at which the award decision appealed was made. The applicant must specify the alleged error and provide a detailed explanation of the alleged error, including any supporting documentation. The specific rule must be cited as well as an explanation of the manner in which the alleged error adversely affects the applicant's ability to receive funds. Upon receipt of the appeal, the executive director shall prepare a file for the Committee to consider at the next regularly scheduled meeting of the board. The Committee may not review any information not submitted by the applicant at least seven days before the Committee meeting. The Committee shall make a final recommendation for the entire board to consider based on the reviewed findings.
4. (d) Possible Actions. In instances in which the appeal if sustained by the board would have resulted in an award to the applicant, the application shall be approved by the board contingent on the availability of funds. If no funds are available in the current year's funding cycle, then the applicant shall be awarded funds from the next year's available funding or from the pool of deobligated funds. In the case of private activity mortgage revenue bond programs, the applicant shall be encouraged to reapply in the next year's funding cycle. If the appeal is rejected, the Department shall notify the applicant of its decision, including the basis for final denial.
5. (e) Final Decision. Appeals not submitted in accordance with this section are dismissed and shall not be granted an extension to refile if the time period for filing an appeal has expired. The decision of the board is final.

Source Note:The provisions of this §1.8 adopted to be effective January 1, 2002, 26 TexReg 10864.