Texas Administrative Code › Title 10 - COMMUNITY DEVELOPMENT › Part 1 - TEXAS DEPARTMENT OF HOUSING AND COMMUNITY AFFAIRS › Chapter 1 - ADMINISTRATION › Subchapter C - PREVIOUS PARTICIPATION AND EXECUTIVE AWARD REVIEW AND ADVISORY COMMITTEE › Section 1.301 - Definitions and Previous Participation Reviews for Multifamily Awards and Ownership Transfers

Current through Reg. 49, No. 28; July 12, 2024
(a) Purpose and
				  Applicability. The purpose of this rule is to provide the procedures used by
				  the Department to comply with Tex. Gov't Code §§
										2306.057, and
				  2306.6713 which
				  require the Compliance Division to assess the compliance history of the
				  Applicant and any Affiliate, the compliance issues associated with the proposed
				  or existing Development, and provide such assessment to the Board. This rule
				  also ensures Department compliance with
				  2 CFR §
											200.331(b) and (c) and Texas
				  Grant Management Standards (TxGMS), where applicable.
(b) Definitions. The following definitions
				  apply only as used in this subchapter. Other capitalized terms used in this
				  section have the meaning assigned in the specific chapters and rules of this
				  title that govern the program associated with the request, or assigned by
				  federal or state laws.
(1) Actively Monitored
				  Development--A Development that within the last three years has been monitored
				  by the Department, either through a NSPIRE inspection or prior onsite
				  monitoring inspection other than NSPIRE, an onsite or desk file monitoring
				  review, an Affirmative Marketing Plan review, or a Written Policies and
				  Procedures Review. NSPIRE inspections include inspections completed by
				  Department staff, Department contractors and inspectors from the Real Estate
				  Assessment Center through federal alignment efforts.
(2) Affiliate--Persons are Affiliates of each
				  other or are "affiliated" if they are under common Control by each other or by
				  one or more third parties. "Control" is as defined in §
											11.1 of this title (relating to
				  General items relating to Pre-Application, Definitions, Threshold Requirements
				  and Competitive Scoring). For Applications for Multifamily Direct Grants/Loans
				  and 811 PRA, or for Ownership Transfers of Multifamily Properties containing
				  Multifamily Direct Grants/Loans or 811 PRA, for purposes of assurance that the
				  Affiliate is not on the Federal Suspended or Debarred Listing, Affiliate is
				  also defined as required by 2 CFR Part 180 and 2 CFR Part 2424.
(3) Applicant--In addition to the definition
				  of applicant in §
											11.1 of this title, in this
				  subchapter, the term applicant includes Persons requesting approval to acquire
				  a Department monitored Development.
(4) Combined Portfolio--Actively Monitored
				  Developments within the Control of Persons affiliated with the Application as
				  identified by the Previous Participation Review and as limited by subsection
				  (c) of this section.
(5) Corrective
				  Action Period--The timeframe during which an Owner may correct an Event of
				  Noncompliance, as permitted in §
											10.602 or §
											10.803 of this title (relating to
				  Notice to Owners and Corrective Action Periods and Compliance and Events of
				  Noncompliance, respectively), including any permitted extension or deficiency
				  period.
(6) Events of
				  Noncompliance--Any event for which an Actively Monitored Development may be
				  found to be in noncompliance for monitoring purposes as further provided for in
				  §
											10.803 of this title or in the
				  table provided at §
											10.625 of this title (relating to
				  Events of Noncompliance).
(7)
				  Monitoring Event--An onsite or desk monitoring review, an NSPIRE inspection,
				  prior onsite monitoring inspection other than NSPIRE, the submission of the
				  Annual Owner's Compliance Report, Final Construction Inspection, a Written
				  Policies and Procedures Review, or any other instance when the Department's
				  Compliance Division or other reviewing area provides written notice to an Owner
				  or Contact Person requesting a response by a certain date. This would include,
				  but not be limited to, responding to a tenant complaint.
(8) National Standards for the Physical
				  Inspection of Real Estate (NSPIRE)--As developed by the Real Estate Assessment
				  Center of HUD.
(9) Person--"Person"
				  is as defined in 10 TAC Chapter 11 (relating Qualified Allocation Plan (QAP)).
				  For Applications for Multifamily Direct Grants/Loans and 811 PRA, or for
				  Ownership Transfers of Multifamily Properties containing Multifamily Direct
				  Grants/Loans or 811 PRA, for purposes of assurance that the Applicant or
				  Affiliate is not on the Federal Suspended or Debarred Listing, Person is also
				  defined and includes Principal as required by 2 CFR Part 180 and 2 CFR Part
				  2424.
(10) Single Audit--As used in
				  this rule, the term relates specifically to an audit required by
				  2 CFR §
												200.501 or the Texas Single Audit
				  Circular.