Texas Department of Housing & Community Affairs - Building Homes and Strengthening Communities

Multifamily Bond Program

Teresa Morales
Director of Multifamily Bonds
512-475-3344

Jon Galvan
Multifamily Bond Program Specialist
512-475-3963

Street: 221 East 11th Street, Austin, TX 78701
Mail: PO Box 13941, Austin, TX 78711-3941
Phone: 512-475-3344

 

 

 

General Information

The Department is a conduit issuer for the State of Texas with authority to issue tax-exempt and taxable Multifamily Housing Revenue Bonds statewide. The bonds are used to fund loans to for-profit and nonprofit developers for the acquisition and rehabilitation or new construction of affordable rental developments. The Multifamily Bond Program is coupled with the Non-competitive (4%) Housing Tax Credit program when the bonds finance at least 50% of the cost of the land and buildings in the Development. For more information on these programs, visit the FAQs page. The information contained below is applicable only if TDHCA is serving as the bond issuer. If utilizing a local issuer, applicants should contact the specific issuer regarding any pre-application requirements they have.

The first step in the process is the submission of a Pre-Inducement Questionnaire, followed by the Bond Pre-application. Bond pre-applications are accepted on a monthly basis and are reviewed by staff in preparation for an Inducement Resolution to be adopted by the Department’s Governing Board. Following Board adoption of the Inducement is the submission of an application for Private Activity Bond volume cap from the Texas Bond Review Board. Once a Certificate of Reservation has been issued, an applicant will have 180 days to close which includes submission of the housing tax credit application and drafting of bond documents to be considered by the Board with the adoption of the final bond resolution.

As part of the process, applicants are required to select a trustee from the Department’s approved list and will need to engage the trustee directly.

A sample Schedule of Fees for costs of issuance relating to TDHCA bond transactions is available here.

2020 Schedule of Fees (DOC)

Apply for Funds

Visit the Apply for Funds page for the Bond Pre-Application, Uniform Multifamily Application, and supplemental program materials needed to complete your pre-application and full application, along with deadlines for submission. Visit the NOFAs and Rules page for the Qualified Allocation Plan and Multifamily Revenue Bond Rules detailing scoring, eligibility, threshold, and other requirements and current NOFAs relating to the Department’s Direct Loan program.

Additional Guidance and Resources

For information regarding TEFRA public hearings for current transactions, public comment information and additional information on affordable housing, please visit the Community Information page. For discussion forums and recent announcements, please visit the Announcements & Forums page. For a list of upcoming events and trainings, please review the Events Calendar. For information pertaining to Multifamily Bond Compliance and Disclosure, please visit the Bond Finance page.

For information pertaining to Multifamily Bond Compliance and Disclosure, please visit the Bond Finance page.

Bond Application Status Logs

For current 4% HTC and Bond Application Status Logs visit the 4% Housing Tax Credits page. The Status Logs include a list of all TDHCA-Issued bond transactions, as well as those 4% HTC applications with local issuers.

Post Award Guidance

Upon Board approval, the Department will issue a Determination Notice (i.e. 42(m) letter) relating to the award of the 4% Housing Tax Credits that must be returned with all documents as required therein within 30 days. Once the final bond resolution is adopted, the required approval will be obtained from the Texas Bond Review Board and Texas Attorney General, both of which must be obtained prior to closing. Visit Asset Management for due dates and items pertaining to Owner Transfer information, Amendment requests, Extensions and Cost Certification. Visit the Compliance page for monitoring rules, Annual Owner's Compliance Report information, and the Income and Rent tool.

The Department, as Issuer, has implemented written post-issuance tax compliance procedures regarding federal tax compliance that include provisions to ensure that all nonqualified bonds are remediated according to the requirements under the Code and Regulations and to monitor the requirements of section 148 of the Code. A copy of the Department’s current post-issuance tax compliance procedures is available here.

Post-Issuance Compliance Procedures (PDF)

Multifamily Bonds Reissuance Process

Owners who wish to refund or re-structure tax-exempt bonds that were previously issued by the Department will need to contact the Department regarding documents needed to evaluate the request. Owners are encouraged to contact the Department well in advance to begin discussions of the process and timeframes necessary to accomplish a refunding or re-issuance.

Municipal Advisor IRMA Notice

For information pertaining to the independent registered municipal advisor exemption under the United States Securities and Exchange Commission ("SEC") Municipal Advisor Rule, please visit the Bond Finance page.