The following words and terms, when used in this Chapter, shall have the following meanings unless the context or the NOFA indicates otherwise. Other definitions may be found in Texas Government Code, Chapter 2306 and Chapter 1 of this Title (relating to Administration), and the applicable federal regulations.
- (1) Activity--A form of assistance provided to a Household or Administrator by which single family funds are used for acquisition, new construction, Reconstruction, Rehabilitation, refinance of an existing Mortgage, tenant-based rental assistance, or other single family Department approved expenditure for single family housing.
- (2) Administrator--A unit of local government, Nonprofit Organization or other entity acting as a Community Housing Development Organization under 24 C.F.R. Part 92 ("CHDO"), Subrecipient, Developer or similar organization that has an executed written Agreement with the Department.
- (3) Affirmative Marketing Plan--HUD Form 935.2B or equivalent plan created in accordance with HUD requirements to direct specific marketing and outreach to potential tenants and homebuyers who are considered "least likely" to know about or apply for housing based on an evaluation of market area data.
(4) Affiliate--If, directly or indirectly, either one Controls or has the power to Control the other or a third person Controls or has the power to Control both. The Department may determine Control to include, but not be limited to:
- (A) interlocking management or ownership;
- (B) identity of interests among family members;
- (C) shared facilities and equipment;
- (D) common use of employees; or
- (E) a business entity which has been organized following the exclusion of a person which has the same or similar management, ownership, or principal employees as the excluded person.
- (5) Affiliated Party--A person or entity with a contractual relationship with the Administrator through an Agreement with the Department.
- (6) Agreement--Same as "Contract." May be referred to as a "Reservation System Agreement" or "Reservation Agreement" when providing access to the Department's Reservation System as defined in this Chapter.
- (7) Amy Young Barrier Removal Program--Program designed to remove barriers and address immediate health and safety issues for Persons with Disabilities as outlined in the Program Rule or NOFA.
- (8) Annual Income--The definition of Annual Income and the methods utilized to establish eligibility for housing or other types of assistance as defined under the Program Rule.
- (9) Applicant--An individual, unit of local government, nonprofit corporation or other entity who has submitted to the Department an Application for Department funds or other assistance.
- (10) Application--A request for a Contract award or a request to participate in a Reservation System submitted by an Applicant to the Department in a form prescribed by the Department, including any exhibits or other supporting material.
- (11) Certificate of Occupancy--Document issued by a local authority to the owner of premises attesting that the structure has been built in accordance with building ordinances.
- (12) Chapter 2306--Texas Government Code, Chapter 2306.
- (13) Combined Loan to Value (CLTV)--The aggregate principal balance of all the Mortgage Loans, including Forgivable Loans, divided by the appraised value.
- (14) Competitive Application Cycle--A defined period of time that Applications may be submitted according to a published Notice of Funding Availability (NOFA) that will include a submission deadline and selection or scoring criteria.
- (15) Conforming Mortgage Loan--A first-lien Mortgage Loan that meets Federal Housing Administration (FHA), U.S. Department of Agriculture (USDA), U.S. Department of Veterans Affairs (VA), and Fannie Mae or Freddie Mac guidelines.
- (16) Contract--The executed written Agreement between the Department and an Administrator performing an Activity related to a single family Program that describes performance requirements and responsibilities. May also be referred to as "Agreement."
- (17) Contract Administrator (CA)--Same as "Administrator."
- (18) Control--The possession, directly or indirectly, of the power to direct or cause the direction of the management and policies of any person or entity, whether through the ownership or voting securities, by contract or otherwise, including ownership of more than 50 percent of the general partner interest in a limited partnership, or designation as a managing member of a limited liability company or managing general partner of a limited partnership or any similar member.
- (19) Deobligate--The cancellation of or release of funds under a Contract or Agreement as a result of the termination of or reduction of funds under a Contract or Agreement.
- (20) Department--The Texas Department of Housing and Community Affairs as defined in Chapter 2306 of the Texas Government Code.
- (21) Developer--Any person, general partner, Affiliate, or Affiliated Party or affiliate of a person who owns or proposes a Development or expects to acquire control of a Development and is the person responsible for performing under the Contract with the Department.
- (22) Domestic Farm Laborer--Individuals (and the family) who receive a substantial portion of their income from the production or handling of agricultural or aquacultural products.
- (23) Draw--Funds requested by the Administrator, approved by the Department and subsequently disbursed to the Administrator.
- (24) Forgivable Loan--Financial assistance in the form of money that, by Agreement, is not required to be repaid if the terms of the Mortgage Loan are met.
- (25) HOME Program--HOME Investment Partnerships Program at 42 U.S.C. §§12701 - 12839.
- (26) Household--One or more persons occupying a rental unit or owner-occupied Single Family Housing Unit. May also be referred to as a "family" or "beneficiary."
- (27) Housing Trust Fund (HTF)--State-funded Programs authorized under Chapter 2306 of Texas Government Code.
- (28) Housing Contract System (HCS)--The electronic information system that is part of the "central database" established by the Department to be used for tracking, funding, and reporting single family Contracts and Activities.
- (29) HUD--The United States Department of Housing and Urban Development or its successor.
- (30) Life of Loan Flood Certification--Tracks the flood zone of the Single Family Housing Unit for the life of the Mortgage Loan.
- (31) Limited English Proficiency (LEP)--Requirements as issued by HUD and the Department of Justice to ensure meaningful and appropriate access to programs and activities by individuals who have a limited ability to read, write, speak or understand English.
- (32) Loan Assumption--An agreement between the buyer and seller of Single Family Housing Unit that the buyer will make remaining payments and adhere to terms and conditions of an existing Mortgage Loan on the Single Family Housing Unit and Program requirements. A Mortgage Loan assumption requires Department approval.
- (33) Loan to Value (LTV)--The amount of the Mortgage Loan(s) divided by the Single Family Housing Unit's appraised value, excluding Forgivable Loans.
- (34) Manufactured Housing Unit (MHU)--A structure that meets the requirements of Texas Manufactured Housing Standards Act, Texas Occupations Code, Chapter 1201 or FHA guidelines as required by the Department.
- (35) Mortgage--Has the same meaning as defined in §2306.004 of the Texas Government Code.
- (36) Mortgage Loan--Has the same meaning as defined in §2306.004 of the Texas Government Code.
- (37) Nonconforming Mortgage Loan--Any Mortgage Loan that does not meet the definition of a "Conforming Mortgage Loan" defined in this section.
- (38) Neighborhood Stabilization Program (NSP)--A HUD-funded program authorized by HR3221, the "Housing and Economic Recovery Act of 2008" (HERA) and §1497 of the Wall Street Reform and Consumer Protection Act of 2010, as a supplemental allocation to the CDBG Program.
- (39) NOFA--Notice of Funding Availability.
- (40) Nonprofit Organization--An organization with a current tax exemption ruling from the Internal Revenue Service under the Internal Revenue Code, or classification as a subordinate of a nonprofit under the Internal Revenue Code.
- (41) Office of Colonia Initiatives--A division of the Department authorized under Chapter 2306 of Texas Government Code which acts as a liaison to the colonias and manages some Programs in the colonias.
- (42) Parity Lien--A lien position whereby two or more lenders share a security interest of equal priority in the collateral.
- (43) Persons with Disabilities--Any person who has a physical or mental impairment that substantially limits one or more major life activities and has a record of such impairment; or is regarded as having such impairment.
- (44) Principal Residence--The primary Single Family Housing Unit that a Household inhabits. May also be referred to as "primary residence."
- (45) Program--The specific fund source from which single family funds are applied for and used.
- (46) Program Income--Gross income received by the Administrator or Affiliate directly generated from the use of Single Family funds.
- (47) Program Manual--A set of guidelines designed to be an implementation tool for the single family Programs which allows the Administrator to search for terms, statutes, regulations, forms and attachments. The Program Manual is developed by the Department and amended or supplemented from time-to-time.
- (48) Program Rule--Chapters of this Title which pertain to specific single family Program requirements.
- (49) Reconstruction--The demolition and rebuilding a Single Family Housing Unit on the same lot in substantially the same manner. The number of housing units may not be increased; however, the number of rooms may be increased or decreased dependent on the number of family members living in the housing unit at the time of Application.
- (50) Rehabilitation--The improvement or modification of an existing residential unit through an alteration, addition, or enhancement.
- (51) Reservation--Funds set-aside for a Household Applicant or single family Activity registered in the Department's registration system.
- (52) Reservation System--The Department's computer registration system(s) that allows Administrators to reserve funds for a specific Household.
- (53) Resolution--Formal action by a corporate board of directors or other corporate body authorizing a particular act, transaction, or appointment. Resolutions must be in writing and state the specific action that was approved and adopted, the date the action was approved and adopted, and the signature of person or persons authorized to sign resolutions. Resolutions must be approved and adopted in accordance with the corporate bylaws.
- (54) Self-Help--Housing Programs that allow low, very low, and extremely low-income families to build or rehabilitate their Single Family Housing Units through their own labor or volunteers.
- (55) Set-up--The creation of a new Activity in the Department database by an Administrator, which requires review and approval by the Department.
- (56) Single Family Housing Unit--A home designed and built for one person or one Household for rental or owner-occupied. This includes the acquisition, construction, Reconstruction or Rehabilitation of an attached or detached unit. May be referred to as a single family "home," "housing," "property," "structure," or "unit."
- (57) Soft Costs--Costs related to and identified with a specific Single Family Housing Unit other than construction costs. May also be referred to as "direct delivery" costs.
- (58) Subgrantee--Same as "Administrator."
- (59) Subrecipient--Same as "Administrator."
- (60) TAC--Texas Administrative Code.
- (61) TMCS--Texas Minimum Construction Standards as amended and described in the Miscellaneous Section of the Texas Register.
- (62) TREC--Texas Real Estate Commission.
Source Note:The provisions of this §20.3 adopted to be effective December 6, 2015, 40 TexReg 8639.