The following words and terms, when used in this Chapter, shall have the following meanings, unless the context clearly indicates otherwise. Any capitalized terms not specifically mentioned in this section shall have the meaning as defined in Tex. Gov't Code, Chapter 2306, §§141, 142, and 145 of the Internal Revenue Code, 24 CFR Part 91, Part 92, Part 93 and 2 CFR Part 200, and Chapter 10 of this Title (relating to Uniform Multifamily Rules).

1. (1) Annual Income or Annual Incomes --"annual income" as defined at 24 CFR §5.609, which includes but is not limited to the list of income in HUD Handbook 4350, and specifically excludes those items listed in HUD's Updated List of Federally Mandated Exclusions from Income.
2. (2) Choice limiting activity--any transfer of title that occurs prior to a Development obtaining environmental clearance after an application for federal funds (HOME, NSP, and NHTF) has been submitted. Choice limiting activities also include closing on loans including loans for interim financing, signing of a contract, and commencing construction.
3. (3) Construction Completion--title transfer requirements and construction work have been performed as reflected by the Development's certificate(s) of occupancy and Certificate of Substantial Completion (AIA Form G704) and the final drawdown of funds has been disbursed. In addition, for Developments not layered with Housing Tax Credits, Construction Completion means all modifications requested as a result of the Department's Final Construction Inspection were cleared as evidenced by receipt of the Closed Final Development Inspection Letter.
4. (4) Community Housing Development Organization (CHDO)--a private nonprofit organization that has experience developing and/or owning affordable rental housing and that meets the requirements in 24 CFR Part 92 for purposes of receiving HOME funds under the CHDO set-aside. In addition, a member of a CHDO's board cannot be a Principal of the development beyond his/her role as a board member of the CHDO or be an employee of the development team, and may not receive financial benefit other than reimbursement of expenses from the CHDO (e.g., a voting board member cannot also be a paid executive.
5. (5) "Federal Affordability Period"--the period commencing on the date of Construction Completion and ending on the date which is the required number of years as defined by the federal program from the date of Construction Completion.
6. (6) HOME Match-Eligible Unit--a Unit in the Development that is not assisted with HOME Program funds, but would qualify as eligible for Match under 24 CFR Part 92. Unless otherwise identified by the provisions in the NOFA, TCAP-RF funds and matching contribution on NSP and NHTF Developments must be used on HOME-Match Eligible Units.
7. (7) Land Use Restriction ("LURA") Term--the period commencing on the effective date of the LURA and ending on the date which is the greater of the loan term or 30 years.

8. (8) Matching contribution (Match)--a contribution to a Development from non-federal sources that may be in the form of one or more of the following:

   1. (A) Cash contribution (grant), except for cash contributions made by investors in a limited partnership or other business entity subject to pass through tax benefits in a tax credit transaction or owner equity (including deferred developer fee);
   2. (B) Reduced fees or donated labor from certain eligible contractors, subcontractors, architects, attorneys, engineers, excluding any contributions from a party related to the Developer or Owner;
   3. (C) Net present value of yield foregone from a below market interest rate loan;
   4. (D) Waived or reduced fees from cities or counties not related to the Applicant in connection with the proposed Development;
   5. (E) Donated land or land sold below market value, as evidenced by a third party appraisal, from an unrelated party.
9. (10) Section 234 Condominium Housing basic mortgage limits ("234 Condo Limits")--the per-unit subsidy limits for all MFDL funding. These limits take into account whether or not a Development is elevator served and any local conditions that may make development of multifamily housing more or less expensive in a given metropolitan statistical area. Currently, the high cost percentage adjustment applicable to the 234 Condo Limits for HUD's Fort Worth Multifamily Hub is applicable for all Developments that TDHCA finances through the MFDL Program.
10. (11) State Affordability Period--the LURA Term as described in the MFDL contract and loan documents and as required by Department in accordance with the State Act which is usually an additional period after the Federal Affordability Period.

Source Note:The provisions of this §13.2 adopted to be effective January 8, 2017, 41 TexReg 10589; amended to be effective January 4, 2018, 42 TexReg 7668.