This Action Plan will be used by the Texas Department of Housing and Community Affairs (TDHCA) in partnership with the Office of Rural Community Affairs (ORCA) 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

The Texas Department of Housing and Community Affairs (TDHCA) and the Texas Department of Rural Affairs have continued to collaborate to administer the Neighborhood Stabilization Program for the State of Texas. 

During the quarter, Texas NSP subrecipients executed contracts for 59 of the original 61 awards.  NSP funds represented by the un-executed contracts were re-distributed to subrecipients requesting additional funds, that were in compliance with contract terms.  One new contract was executed with a joint applicant for one of the returned awards.

Site visits and intensive technical assistance efforts continued through the quarter, to assist subrecipients in obligating funds to comply with HUD definitions and Texas NSP conditions.  A number of subrecipients requested and received amendments to their Texas NSP contracts, in order to better serve their communities.  Environmental tiered reviews were completed for subrecipients as applicable.

            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.

141 properties under contract,environmental reviews submitted

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.

Properties identified for Demolition, environmental reviews submitted

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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Administrative draw request paid

Acquisition/Disposition

            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.

2 properties under contract, environmental cleared

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). 

Twenty (20) 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 Fort Worth.

evaluation for required rehabilitation underway

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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            Contractor shall conduct the demolition of a one hundred fifty-six (156) 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.

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.

Property has been identified and a contract for demolition executed, environmental has been cleared.

Acquisition/Disposition

            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).

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

15 foreclosed lots under contract, environmental cleared

New Construction (permanent housing)

            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 neighborhoods identified in the application within the City of Brownsville.

Properties for construction have been identified, environmental cleared

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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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 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.

6 properties under contract, environmental review underway

Residential Rehabilitation/Reconstruction

            Contractor shall conduct a total of seven (7)  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 twenty-two (22) 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). 

Reconstructed homes 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.

Three (3) 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.

evaluation for required rehabilitation underway

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.

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

Acquisition/Disposition

            Contractor shall acquire seventeen (17) 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).

Eligible neighborhoods identified in the application within the City of Laredo

13 properties under contract, enviromental cleared

Residential Rehabilitation/Reconstruction

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

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

Eligible neighborhoods identified in the application within the City of Laredo

evaluation for required rehabilitation underway

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

Properties identified for demolition, environmental cleared, procurement underway

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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Acquisition/Disposition

            Contractor shall acquire six (6) 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).

Six (6) 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.

60 foreclosed lots under contract, environmental cleared

Acquisition/Disposition

            Contractor shall acquire twelve (12) 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).

Six (6) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application.

property under contract, environmental cleared

Contractor shall acquire, hold and dispose of ten (10) 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).

Qualifying neighborhoods identified in the application.

15 properties under contract, environmental cleared

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.

Qualifying neighborhoods identified in the application.

            Contractor shall conduct the demolition of eleven (11) blighted properties to result in an area-wide benefit in the identified target area(s).  Properties must meet NSP and local definitions of blight, and present a danger to public health, safety and welfare.

Qualifying neighborhoods identified in the application in the City of Galveston.

Property identification underway, environmental underway

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.

Qualifying neighborhoods identified in the application in the City of Galveston.

Acquisition/Disposition

            Contractor shall acquire fourteen (14) 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).

Qualifying neighborhoods identified in the application within the City of El Paso

broad environmental cleared, activities underway

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.

Qualifying neighborhoods identified in the application within the City of El Paso

Acquisition/Disposition

            Contractor shall acquire two (2) 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).

Qualifying neighborhoods identified in the application in the City of San Benito.

3 properties under contract, environmental cleared

Residential Rehabilitation/Reconstruction

            Contractor shall conduct two (2) 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 two (2) 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). 

Reconstructed homes 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.

Qualifying neighborhoods identified in the application in the City of San Benito.

Evaluation for required rehabilitation underway

Acquisition/Disposition

            Contractor shall acquire two (2) foreclosed and/or abandoned, demolished or vacant 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).

Two (2) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application in the City of San Benito.

Property identification underway, broad environmental cleared

New Construction (permanent housing)

            Contractor shall conduct the construction of two (2) new housing units within the target areas utilizing the funds provided under corresponding Contract Activity line item in Exhibit B, Budget, resulting in two (2) owner-occupied homes.    

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.

Two (2) of the activities shall benefit households at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application in the City of San Benito.

Construction planning underway

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.

Qualifying neighborhoods identified in the application in the City of San Benito.

Contractor shall acquire, hold and dispose of one (1) 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 the identified target area(s). 

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

Qualifying neighborhood identified in the application

1 property under contract, environmental cleared

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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Acquisition/Disposition

            Contractor shall acquire three (3) foreclosed and/or abandoned, demolished or vacant 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).

Three (3) 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 in the Dallas area.

4 properties under contract, environmental cleared

New Construction (permanent housing)

            Contractor shall conduct the construction of nine (9) new 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 nine (9) new owner-occupied homes.

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.

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. 

Five (5) of the activities shall benefit households that are at or below fifty percent (50%) of the current AMI at the time of homebuyer contract.

Qualifying neighborhoods identified in the application in the Dallas area.

redevelopment planning underway