| (a) Form. Applications must be filed on forms prescribed
by the board and must contain all information and documentation required
under the Act and this chapter, as applicable.
(b) Application Filing. The issuer shall submit one
electronic copy or one original application for reservation. Each
application must be accompanied by the following:
(1) the application fee;
(2) the certificate regarding fees, on the form prescribed
by the board;
(3) a copy of the inducement resolution or other similar
official action taken by the issuer with respect to the bonds and
the project which are the subject of the application, certified by
an officer of the issuer; or a copy of the certified resolution of
the issuer authorizing the filing of the application for reservation,
in either case certified with an authorized signature by an officer
of the issuer and unless the resolution authorizes the issuer to seek
an allocation in multiple program years, adopted within 18 months
of the application date;
(4) a copy of the issuer's articles of incorporation
as certified by the secretary of state of Texas and bylaws, including
amendments thereto and restatements thereof, or alternatively, a certification
with an authorized signature by an authorized representative of the
issuer that there have been no amendments to the articles of incorporation
or bylaws since the last submission of these items to the board;
(5) a copy of the issuer's certificate of continued
existence from the secretary of state of Texas dated within 30 days
of submission of application, an issuer's certificate of good standing
is not an acceptable substitution for this requirement;
(6) a copy of the borrower's and, if the borrower is
a partnership, each partner's certificate of good standing from the
comptroller of public accounts of Texas, dated within 30 days of submission
of application;
(7) a statement by the issuer, other than an issuer
of a state-voted issue or the Texas Department of Housing and Community
Affairs (TDHCA) or the Texas State Affordable Housing Corporation
(TSAHC) that the bonds are not being issued for the same stated purpose
for which the issuer has received sufficient carryforward during a
prior year or for which there exists unexpended proceeds from a prior
issue or issues of bonds issued by the same issuer, or based on the
issuer's population;
(8) if unexpended proceeds exist, including transferred
proceeds representing unexpended proceeds, from a prior issue or issues
of bonds, other than a state-voted issue or an issue by the TDHCA
or TSAHC, issued by the issuer or on behalf of the issuer, or based
on the issuer's population, for the same stated purpose for which
the bonds are the subject of this application, a statement by the
trustee as to the current amount of unexpended proceeds that exists
for each such issue. The issuer of the prior issue of bonds shall
certify to the current amount of unexpended proceeds that exists for
each issue should a trustee not administer the bond issues;
(9) if unexpended proceeds, including transferred proceeds
representing unexpended proceeds, other than prepayments exist from
a prior issue or issues of bonds, other than a state-voted issue or
an issue by TDHCA or TSAHC, issued by the issuer or on behalf of the
issuer, or based on the issuer's population, for the same stated purpose
for which the bonds are the subject of this application, a definite
and binding financial commitment agreement must accompany the application
in such form as the board finds acceptable, to expend the unexpended
proceeds by the later of 12 months after the date of receipt by the
board of an application for reservation or December 31 of the program
year for which the application is being filed. For purposes of this
paragraph, the commitment by lenders to originate and close loans
within a certain period of time shall be deemed a definite and binding
agreement to expend bond proceeds within such period of time and any
additional period of time during which such origination period may
be extended under the terms of such agreement; provided that any extension
provision may be amended, prior to the date on which the bond authorization
requirements described in subsection (c) of this section must be satisfied,
to provide that such period shall not be extended beyond the later
of 12 months after the date of receipt by the board of an application
for reservation or December 31 of the program year for which the application
is being filed. For purposes of this paragraph, issuers of qualified
student loan bonds authorized by §53B.47, Education Code, may
satisfy the requirements of Government Code §1372.028(c)(3)(F),
in lieu of a definite and binding agreement, by providing with the
application evidence as certified by the issuer that the issuer has
purchased, in each of the last three calendar years, qualified student
loans in amounts greater than or equal to the amount of the unexpended
proceeds;
(10) if unexpended proceeds exist from a prior issue
or issues of bonds, other than a state-voted issue or an issue by
the TDHCA or TSAHC, issued by the issuer or on behalf of the issuer,
or based on the issuer's population, for the same stated purpose for
which the bonds are the subject of the pending application, a written
opinion of legal counsel, addressed to the board, to the effect, that
the board may rely on the representation contained in the application
to fulfill the requirements of the Act and that the agreement referred
to in paragraph (9) of this subsection constitutes a legal and binding
obligation of the issuer, if applicable, and the other party or parties
to the agreement;
(11) a written opinion of legal counsel, addressed
to the board, stating the bonds are required to be included under
the state ceiling and that the issuer is legally authorized to issue
bonds for projects of the same type and nature as the project which
is the subject of the application. This opinion shall cite by constitutional
or statutory reference, the provision of the Constitution or law of
the state which authorizes the bonds for the project;
(12) a qualified mortgage bond issuer that submits
an application for reservation as described in §1372.032, Government
Code, shall provide a statement certifying to the most recent closing
of qualified mortgage bonds determined as provided in §190.2(c)(3)
of this title (relating to Allocation and Reservation System), and
the most recent date of a reservation received for mortgage revenue
bonds and state the government unit(s) for which the local population
was based for the issuance of bonds or for receipt of a reservation;
and for said issuers who have received an allocation of volume cap
for the purposes of issuing qualified mortgage bonds within the six
years prior to the date of application, a statement on the form prescribed
by the Board as to the utilization percentage relating to its most
recent allocation calculated in accordance with Government Code §1372.0261.
If during the previous year, a qualified mortgage bond issuer submitted
an application for reservation that has not been granted at the time
of application for the lottery, the issuer may opt to file a statement
explaining whether there are any changes in information from the application
filed the previous year in lieu of submitting a complete application.
If there are changes, the statement must specify current information.
The issuer must pay the same application fee whether filing a statement
or a complete application;
(13) for a qualified residential rental project issue,
an issuer shall provide a copy of an active executed earnest money
contract between the borrower and the seller of the project. The earnest
money contract for Tax-Exempt Bond Lottery Applications must be in
effect at the time of submission of the application to the board and
expire no earlier than December 1 of the year preceding the applicable
program year. The earnest money contract must stipulate and provide
for the borrower's option to extend the contract expiration date through
March 1 of the program year, subject only to the seller's receipt
of additional earnest money or extension fees, so that the borrower
will have site control at the time a reservation is granted. If the
borrower owns the property, evidence of ownership must be provided.
For subsequent reservations granted throughout the remainder of the
program year, the borrower must provide within the close of three
business days following the notification of pending reservation:
(A) if applicable, proof of application for Low Income
Housing Tax Credits with TDHCA; and
(B) a copy of an earnest money contract that is in
full force and effect or the reservation will automatically expire;
(14) the borrower must be specified in the application
for reservation of allocation. The borrower may be identified as a
to-be-formed entity only if the application for reservation of allocation
specifies a related entity or an entity that will be a component of
the to-be-formed entity as borrower;
(15) for qualified residential rental project issues
where the borrower is an entity or to-be-formed entity that is designated
or intends to seek abatement from ad valorem taxation, that intent
to seek abatement must be specified on the application for reservation
of allocation;
Cont'd... |
