This Action Plan will be used by the Texas Department of Housing and Community Affairs (TDHCA) to distribute and use $101,996,848 through the newly-authorized Neighborhood Stabilization Program (NSP), which the U.S. Department of Housing and Urban Development (HUD) is providing to the State of Texas. The NSP funds were authorized by the Housing and Economic Recovery Act of 2008 (HERA) as an adjunct to the Community Development Block Grant (CDBG) Program for the redevelopment of abandoned and foreclosed homes and residential properties. Texas NSP funding is available to eligible entities operating in counties meeting the threshold of greatest need. A multi-level approach will be used in the distribution of funds to communities. The first level, Direct Allocation, is a reservation of a specified amount available to eligible entities in 25 counties identified as having the highest order of significant need. The second level, Select Pool, is an initial competitive allocation of not less than $500,000, available to entities in up to 76 additional counties which have also been identified as demonstrating significant need. In addition, a separate pool of Texas NSP funds is available for land banking activities.

NSP activities will include the establishment of financing mechanisms for purchase and redevelopment of foreclosed homes and residential properties, purchase and rehabilitation of homes and residential properties that have been abandoned or foreclosed, establishment of land bank/trusts, removal of blight, and the redevelopment of demolished or vacant properties. Households directly assisted with NSP funds must income qualify and be at or below 120% of the Area Median Income (AMI), as defined by HUD. The following counties have been identified as having the greatest need (in order of need score): Tarrant Dallas Cameron Bexar Hidalgo Harris Nueces Collin Webb Travis Montgomery El Paso Brazoria Potter Jefferson Denton Taylor Williamson Bell Lubbock Galveston Wichita Fort Bend Ector McLennan Gregg Tom Green Grayson Brazos Victoria Orange Bowie Harrison Midland Smith Comal Hays Ellis Johnson Kaufman Parker Bastrop Hood Liberty Hunt Henderson Rockwall Wise Hill Burnet Navarro Guadalupe Randall Angelina Wood Matagorda Lamar San Patricio Atascosa Milam Maverick Jim Wells Eastland Van Zandt Kleberg Grimes Hale Palo Pinto Nacogdoches Hopkins Kendall Coryell Cooke Kerr Medina Aransas Caldwell Wilson Gonzales Waller Anderson Val Verde Montague Llano Washington Fannin Walker Upshur Brown Cherokee Jackson Austin Starr Wharton Polk Gillespie Jasper Leon Willacy Erath Howard

TDHCA has continued to work closely with subrecipients, to bring their NSP projects to sucessful completion.  During this quarter, 100% of the Texas NSP allocation was obligated to specific properties and contracts.  Several subrecipients were not able to meet the obligation requirement - consequently those contracts were terminated.  TDHCA entered into 7 new Developer Agreements in this quarter, for more than 700 rental units that will be restricted to occupancy by households at or below 50% AMI.

TDHCA and TDRA jointly administer the Texas NSP funds.  Approximately $19 Million of the Texas NSP allocation is contracted to subrecipients through TDRA contracts.

Contractor shall acquire, hold, maintain as necessary and dispose of no less than one-hundred and twenty (120) foreclosed homes or residential properties.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42), as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01).

Contractor shall land bank properties to provide an area-wide benefit in target area(s) that are 120% AMI or less at the time of acquisition.  

Properties must be transferred to a final eligible use within 10 years of the effective date as specified in Section 2 of this Contract.

Prior to occupation, all new housing units constructed on Land Bank properties must meet the International Residential Codes, as required by Chapter 214, Subchapter G, of the Local Government Code and all applicable energy efficiency standards established by §2306.187 of the Texas Government Code as well as energy standards as verified by a REScheck certification.  New construction single-family homes must also be compliant with the universal design features as required by §2306.514 of the Texas Government Code. 

Prior to occupation, all rehabilitated homes (the entire unit) on Land Bank properties must be brought up to, at a minimum, Housing Quality Standards as well as local building codes and zoning ordinances.  If homes are to be rehabilitated in areas where there are no applicable local building codes, then the homes must be brought up to, at a minimum, Texas Minimum Construction Standards (TMCS). 

Prior to occupation, all reconstructed homes on Land Bank properties must meet the International Residential Codes, as required by Chapter 214, Subchapter G, of the Local Government Code and all applicable energy efficiency standards established by §2306.187 of the Texas Government Code as well as energy standards as verified by a REScheck certification.  Reconstructed single-family homes must also be compliant with the universal design features as required by §2306.514 of the Texas Government Code. 

One hundred percent (100%) of the final eligible use activities shall benefit households at or below one-hundred and twenty percent (120%) of the current AMI.  

Qualifying neighborhoods identified in the application.

TSHAC has contracted to purchase a total of 331 land bank properties through collaboration with their local partners.  During this reporting period TSHAC acquired 69 properties.

Contractor shall conduct the demolition of four (4) properties within the Land Bank, to result in an area-wide benefit in target area(s) that are 120% AMI or less at the time of demolition.  Properties must meet NSP and local definitions of blight, and present a danger to public health, safety and welfare, or be conducted in concert with a coordinated program of redevelopment, rehabilitation, or new construction in a target area.

Qualifying neighborhoods identified in the application.

TSHAC met obligation of demolition activities for the period.  They will commence with demolition activities in future quarters.

Contractor shall ensure that the amount of the Department funds expended for all eligible project-related administration activities, including the required annual program compliance and fiscal audit does not exceed the amount specified for administration in Exhibit B, Budget.

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TSHAC has continued to administer NSP within program requirements. 

Contractor shall acquire thirteen (13) homes and that are foreclosed or abandoned.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42), as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01).

Thirteen (13) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Eligible neighborhoods identified in the application within the City of Fort Worth.

Tarrant County Housing Partnership has acquired 13 foreclosed homes that will be rehabilitated and sold to LMMI households.  Properties will be refinanced into NSP interim construction financing in order to reimburse purchase and fund rehabilitation activities.  During this quarter, the Greystoke multifamily property was split from this contract and moved to a separate Developer Agreement.

Contractor shall conduct thirteen (13) residential rehabilitations and/or reconstructions of housing units within the target area(s) utilizing the funds provided under the corresponding Contract Activity line item in Exhibit B, Budget, of this contract resulting in thirteen (13) owner-occupied homes.

Rehabilitated homes (the entire unit) must be brought up to, at a minimum, Housing Quality Standards as well as local building codes and zoning ordinances.  If homes are to be rehabilitated in areas where there are no applicable local building codes, then the homes must be brought up to, at a minimum, Texas Minimum Construction Standards (TMCS). 

Thirteen (13) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the applicaiton within the City of Fort Worth.

Tarrant County Housing Partnership has contracted for the rehab of 13 foreclosed properties.

Contractor shall ensure that the amount of the Department funds expended for all eligible project-related administration activities, including the required annual program compliance and fiscal audit does not exceed the amount specified for administration in Exhibit B, Budget.

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Tarrant County Housing Partnership has continued to administer NSP within requirements.  The Administrative Budget and Obligation under this contract was reduced in this quarter so that the appropriate amount could be transferred to the Greystoke Developer Agreement, #77090000216.  Obligation amount reflected above should be $78,570.76.  Corrections to this error occur in Q3 2011.

Contractor shall conduct the demolition of a one hundred sixty-two (162) unit blighted multi-family property to result in an area-wide benefit in the identified target areas.  Properties must meet NSP and local definitions of blight, and present a danger to public health, safety and welfare. 

In order to meet CDBG requirement, contractor will secure future development as affordable housing.

These activities shall benefit three thousand one hundred twenty-two (3,122) persons of which two thousand seven hundred seventy-five (2,775) persons or eighty nine percent (89%) are at or below one-hundred twenty percent (120%) of the current AMI.

Qualifying neighborhoods identified in the application within the City of Brownsville.

Brownsville Housing Authority has contracted for the demolition of one 162 unit multifamily property.

Contractor shall acquire thirteen (13) foreclosed properties.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42) , as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01).

Thirteen (13) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract. 

Qualifying properties within the Sanchez Vela Project as identified in the application.

The Brownsville Housing Authority has contracted to purchase 13 foreclosed lots that will be used for construction of new affordable housing for sale to households at or below 50% AMI.  The Budget for this activity was adjusted in a future quarter to correspond with the obligated amount.

Contractor shall conduct the construction of thirteen (13) new housing units within the target areas utilizing the funds provided under the corresponding Contract Activity line item in Exhibit B, Budget, resulting in thirteen (13) owner-occupied units.  

 All new housing units must meet the International Residential Codes, as required by Chapter 214, Subchapter G, of the Local Government Code and all applicable energy efficiency standards established by §2306.187 of the Texas Government Code as well as energy standards as verified by a REScheck certification.  New construction single-family homes must also be compliant with the universal design features as required by §2306.514 of the Texas Government Code.

Thirteen (13) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

Qualifying properties within the Sanchez Vela Project as identified in the application.

The Brownsville Housing Authority has contracted with a builder to construct 13 new affordable housing units related to the Sanchez Vela Project for sale to households at or below 50% AMI.

At this time, the 13 redevelopments of lots owned by the Brownsville Housing Authority had not yet taken place. 

Contractor shall ensure that the amount of the Department funds expended for all eligible project-related administration activities, including the required annual program compliance and fiscal audit does not exceed the amount specified for administration in Exhibit B, Budget.

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The Brownsville Housing Authority demonstrated full obligation of NSP funds during the quarter for Administration. 

Contractor shall acquire a total of seven (7) homes or residential properties that are foreclosed or abandoned.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42), as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01).

Three (3) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract. 

Four (4) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application within the City of Irving.

The City of Irving acquired 7 foreclosed homes, 4 of which shall be rehabilitated and sold to households between 51% and 120% AMI.  Properties will be refinanced into NSP interim construction financing in order to reimburse purchase and fund rehabilitation activities.  Obligation amount reflected above should be $297,406.81.  Corrections to this error occur in Q4 2010.

Contractor shall acquire a total of seven (7) homes or residential properties that are foreclosed or abandoned.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42), as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01).

Three (3) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract. 

Four (4) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application within the City of Irving.

The City of Irving acquired 7 foreclosed homes, 3 of which shall be rehabilitated and sold to households at or below 50% AMI.  Properties will be refinanced into NSP interim construction financing in order to reimburse purchase and fund rehabilitation activities.

Contractor shall conduct seven (7) residential rehabilitations and/or reconstrucitons of housing units within the target area(s) utilizing the funds provided under the corresponding Contract Activity line item in Exhibit B, Budget, of this contract resulting in seven (7) owner-occupied homes. 

Three (3) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

Four (4) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application within the City of Irving.

The City of Irving contracted to rehabilitate 4 housing units that shall benefit households between 51% and 120% AMI.

Contractor shall conduct seven (7) residential rehabilitations and/or reconstrucitons of housing units within the target area(s) utilizing the funds provided under the corresponding Contract Activity line item in Exhibit B, Budget, of this contract resulting in seven (7) owner-occupied homes. 

Three (3) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

Four (4) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application within the City of Irving.

The City of Irving contracted to rehabilitate 3 housing units that will benefit households at or below 50% AMI.

Subrecipient will clear blighted homes on Tudor Lane in preparation for construction of new 14-unit townhome project.  Additionally, in order to meet CDBG requirement, contractor will secure future development as affordable housing.

Tudor Lane, Irving, TX

During this period $100,000 was transferred to Use D, Demolition in order for the City of Irving to demolish 3 existing 4-plexes.  This activity will result in redevelopment of the Tudor Lane Project, consisting of 14 townhomes.

Fourteen (14) new townhome units will be constructed as part of the Tudor Lane Project.  Four (4) of the units will be sold to households at or below fifty percent (50%) AMI.  Ten (10) of the units will be sold to households at fifty one percent (51%) to one hundred twenty (120%) AMI.  NSP funds provided for demolition and redevelopment.

Tudor Lane, Irving, TX

During this period funds were transferred to Use E, Redevelopment in order for the City of Irving to construct 14 townhomes in conjunction with the Tudor Lane Project.  10 of these will benefit households between 51% and 120% AMI.

Fourteen (14) new townhome units will be constructed as part of the Tudor Lane Project.  Four (4) of the units will be sold to households at or below fifty percent (50%) AMI.  Ten (10) of the units will be sold to households at fifty one percent (51%) to one hundred twenty (120%) AMI.  NSP funds provided for demolition and redevelopment.

Eligible census tract in Irving, Texas

During this period funds were transferred to Use E, Redevelopment in order for the City of Irving to construct 14 townhomes in conjunction with the Tudor Lane Project.  4 of these will benefit households at or below 50% AMI.  Obligation amount reflected above should be $625,000.00.  Corrections to this error occur in Q4 2010.

Contractor shall ensure that the amount of the Department funds expended for all eligible project-related administration activities, including the required annual program compliance and fiscal audit does not exceed the amount specified for administration in Exhibit B, Budget.

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The City of Irving continued to administer NSP within program requirements.  Obligation amount reflected above should be $100,000.00.  Corrections to this error occur in Q4 2010.

Contractor shall acquire ten (10) homes or residential properties that are foreclosed or abandoned.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42), as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01). 

Ten (10) of the units shall benefit households at or below fifty percent (50%) of current AMI at the time of homebuyer contract.

Eligible neighborhoods identified in the application within the City of Laredo

City of Laredo demonstrated full obligation of NSP funds during this quarter for Purchase and Rehab.  Obligation amount reflected above should be $1,650,184.00.  Corrections to this error occur in Q1 2011.

Contractor shall conduct ten (10) residential rehabilitations and/or reconstructions of housing units within the target areas utilizing the funds provided under the corresponding activity line item in Exhibit B, Budget, resulting in ten (10) owner occupied homes. 

Rehabliitated homes (the entire unit) must be brought up to, at a minimum, Housing Quality Standards as well as local building codes and zoning ordinances.  If homes are to be rehabilitated in areas where there are no applicable local building codes, then the homes must be brought up to, at a minimum, Texas Minimum Construction Standards (TMCS).

Ten (10) of the units shall benefit households at or below fifty percent (50%) of current AMI at the time of homebuyer contract.

Eligible neighborhoods identified in the application within the City of Laredo

City of Laredo demonstrated full obligation of NSP funds during the quarter for Purchase and Rehab.

Contractor shall conduct the demolition of twenty-one (21) blighted properties to result in an area-wide benefit in the identified target areas.  Properties must meet NSP and local definitions of blight, and present a danger to public health, safety and welfare. 

These activities shall benefit forty-six thousand three hundred seventy-four (46,374) persons of which thirty-nine thousand one hundred seventy-two (39,172) persons or eighty-four percent (84%) are at or below one-hundred twenty percent (120%) of the current AMI.  

Eligible neighborhoods identified in the application within the City of Laredo

City of Laredo demonstrated full obligation of NSP funds during the quarter for Demolition.  Obligation amount reflected above should be $76,400.00.  Corrections to this error occur in Q4 2010 and Q1 2011.

Contractor shall ensure that the amount of the Department funds expended for all eligible project-related administration activities, including the required annual program compliance and fiscal audit does not exceed the amount specified for administration in Exhibit B, Budget.

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The City of Laredo has continued to administer their NSP program within requirements.  The drawdown and expenditure amounts for this quarter should reflect $0.  TDHCA is working with the Fort Worth field office to come to a resolution of an apparent DRGR discrepancy.

Contractor shall acquire one (1) home or residential property that is foreclosed or abandoned.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42), as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01). 

One (1) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application.

Affordable Homes of South Texas, Inc. demonstrated full obligation of NSP funds during the quarter.  Additionally, 1 unit was acquired and rehab started during this quarter.

Contractor shall acquire one (1) home and twenty (20) vacant lots that are foreclosed or abandoned.  Contractor shall carry out all acquisition of needed real property, easements, and/or rights-of-way in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. Sec. 4601 et seq.) and HUD implementing regulations (24 C.F.R. Part 42), as modified by the Neighborhood Stabilization Program under the Housing and Economic Recovery Act, 2008 (FR-5255-N-01).

Twetny-one (21) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

At the Obligation deadline, Contractor had shifted plans to better meet community priorities and purchased vacant foreclosed properties.  In later quarterls, this setaside total in Residential Rehab/Reconstruction was eliminated and funding shifted to Redevelopment.

Qualifying neighborhoods identified in the application.

Affordable Homes of South Texas, Inc. demonstrated full obligation of NSP funds during the quarter.

Budget and obligation were reduced in Q4 2011 to reflect contract amendment.

Contractor shall conduct one (1) residential rehabilitations and/or reconstructions of housing units within the target areas utilizing the funds provided under the corresponding Contract Activity line item in Exhibit B, Budget, resulting in one (1) owner occupied home.  

Rehabilitated homes (the entire unit) must be brought up to, at a minimum, Housing Quality Standards as well as local building codes and zoning ordinances.  If homes are to be rehabilitated in areas where there are no applicable local building codes, then the homes must be brought up to, at a minimum, Texas Minimum Construction Standards (TMCS). 

One (1) of the activities shall benefit households that are fifty-one percent (51%) to one hundred twenty percent (120%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application.

Affordable Homes of South Texas, Inc. demonstrated full obligation of NSP funds during the quarter for the rehabilitation of 1 residential unit to benefit a homebuyer with income from 51% to 120% AMI.  The drawdown and expenditure amounts for this quarter should reflect $0.  TDHCA is working with the Fort Worth field office to come to a resolution of an apparent DRGR discrepancy.