H.B. No. 618
 
 
 
 
AN ACT
  relating to the eligibility of emergency medical services personnel
  to participate in a low-interest home loan program offered by the
  state.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Sections 2306.553(a) and (b), Government Code,
  are amended to read as follows:
         (a)  The public purpose of the corporation is to perform
  activities and services that the corporation's board of directors
  determines will promote the public health, safety, and welfare
  through the provision of adequate, safe, and sanitary housing
  primarily for individuals and families of low, very low, and
  extremely low income, for professional educators under the
  professional educators home loan program as provided by Section
  2306.562, for fire fighters, corrections officers, county jailers,
  public security officers, [and] peace officers, and emergency
  medical services personnel under the fire fighter, law enforcement
  or [officer, and] security officer, and emergency medical services
  personnel home loan program as provided by Section 2306.5621, and
  for professional nursing program faculty members under the
  professional nursing program faculty member home loan program as
  provided by Section 2306.5622. The activities and services shall
  include engaging in mortgage banking activities and lending
  transactions and acquiring, holding, selling, or leasing real or
  personal property.
         (b)  The corporation's primary public purpose is to
  facilitate the provision of housing by issuing qualified 501(c)(3)
  bonds and qualified residential rental project bonds and by making
  affordable loans to individuals and families of low, very low, and
  extremely low income, to professional educators under the
  professional educators home loan program, to fire fighters,
  corrections officers, county jailers, public security officers,
  [and] peace officers, and emergency medical services personnel
  under the fire fighter, law enforcement or [officer, and] security
  officer, and emergency medical services personnel home loan
  program, and to professional nursing program faculty members under
  the professional nursing program faculty member home loan program.
  The corporation may make first lien, single family purchase money
  mortgage loans for single family homes only to individuals and
  families of low, very low, and extremely low income if the
  individual's or family's household income is not more than the
  greater of 60 percent of the median income for the state, as defined
  by the United States Department of Housing and Urban Development,
  or 60 percent of the area median family income, adjusted for family
  size, as defined by that department. The corporation may make loans
  for multifamily developments if:
               (1)  at least 40 percent of the units in a multifamily
  development are affordable to individuals and families with incomes
  at or below 60 percent of the median family income, adjusted for
  family size; or
               (2)  at least 20 percent of the units in a multifamily
  development are affordable to individuals and families with incomes
  at or below 50 percent of the median family income, adjusted for
  family size.
         SECTION 2.  Section 2306.5621, Government Code, is amended
  to read as follows:
         Sec. 2306.5621.  FIRE FIGHTER, [AND] LAW ENFORCEMENT OR
  SECURITY OFFICER, AND EMERGENCY MEDICAL SERVICES PERSONNEL HOME
  LOAN PROGRAM.  (a)  In this section:
               (1)  "Fire fighter" means a member of a fire department
  who performs a function listed in Section 419.021(3)(C), Government
  Code.
               (2)  "Home" means a dwelling in this state in which a
  fire fighter, corrections officer, county jailer, public security
  officer, [or] peace officer, or person defined as emergency medical
  services personnel under this section intends to reside as the
  borrower's [fire fighter's or the officer's or jailer's] principal
  residence.
               (3)  "Mortgage lender" has the meaning assigned by
  Section 2306.004.
               (4)  "Peace officer" has the meaning assigned by
  Section 1.07(a)(36), Penal Code.
               (5)  "Program" means the fire fighter, law enforcement
  or [officer, and] security officer, and emergency medical services
  personnel home loan program.
               (6)  "Corrections officer" means an officer employed by
  the Texas Department of Criminal Justice.
               (7)  "County jailer" has the meaning assigned by
  Section 1701.001, Occupations Code.
               (8)  "Public security officer" has the meaning assigned
  by Section 1701.001, Occupations Code.
               (9)  "Emergency medical services personnel" has the
  meaning assigned by Section 773.003, Health and Safety Code.
         (b)  The corporation shall establish a program to provide
  eligible fire fighters, corrections officers, county jailers,
  public security officers, [and] peace officers, and emergency
  medical services personnel with low-interest home mortgage loans.
         (c)  To be eligible for a loan under this section, at the time
  a person files an application for the loan, the person must:
               (1)  be a fire fighter, corrections officer, county
  jailer, public security officer, [or] peace officer, or person
  defined as emergency medical services personnel under this section;
               (2)  reside in this state; and
               (3)  have an income of not more than 115 percent of area
  median family income, adjusted for family size, or the maximum
  amount permitted by Section 143(f), Internal Revenue Code of 1986,
  whichever is greater.
         (d)  The corporation may contract with other agencies of the
  state or with private entities to determine whether applicants
  qualify as fire fighters, corrections officers, county jailers,
  public security officers, [or] peace officers, or emergency medical
  services personnel under this section or otherwise to administer
  all or part of this section.
         (e)  The board of directors of the corporation may set and
  collect from each applicant any fees the board considers reasonable
  and necessary to cover the expenses of administering the program.
         (f)  The board of directors of the corporation shall adopt
  rules governing:
               (1)  the administration of the program;
               (2)  the making of loans under the program;
               (3)  the criteria for approving mortgage lenders;
               (4)  the use of insurance on the loans and the homes
  financed under the program, as considered appropriate by the board
  to provide additional security for the loans;
               (5)  the verification of occupancy of the home by the
  fire fighter, corrections officer, county jailer, public security
  officer, [or] peace officer, or person defined as emergency medical
  services personnel as the borrower's [fire fighter's or the
  officer's or jailer's] principal residence; and
               (6)  the terms of any contract made with any mortgage
  lender for processing, originating, servicing, or administering
  the loans.
         (g)  The corporation shall ensure that a loan under this
  section is structured in a way that complies with any requirements
  associated with the source of the funds used for the loan.
         (h)  In addition to funds set aside for the program under
  Section 1372.0222, the corporation may solicit and accept funding
  for the program from the following sources:
               (1)  gifts and grants for the purposes of this section;
               (2)  available money in the housing trust fund
  established under Section 2306.201, to the extent available to the
  corporation;
               (3)  federal block grants that may be used for the
  purposes of this section, to the extent available to the
  corporation;
               (4)  other state or federal programs that provide money
  that may be used for the purposes of this section; and
               (5)  amounts received by the corporation in repayment
  of loans made under this section.
         (h-1)  To fund home mortgage loans for eligible fire
  fighters, corrections officers, county jailers, public security
  officers, [and] peace officers, and emergency medical services
  personnel under this section, the corporation may use any proceeds
  received from the sale of bonds, notes, or other obligations issued
  under the [fire fighter and police officer] home loan program
  provided by this section [as that program existed immediately
  before amendment of this section by the 79th Legislature, Regular
  Session, 2005], regardless of any amendments to the eligibility
  standards for loans made under the [fire fighter and police officer
  home loan] program and regardless of when the corporation received
  the proceeds from those bonds, notes, or other obligations issued
  under the [that] program.
         (i)  This section expires September 1, 2014.
         SECTION 3.  Section 1372.0222, Government Code, is amended
  to read as follows:
         Sec. 1372.0222.  DEDICATION OF PORTION OF STATE CEILING FOR
  FIRE FIGHTER, [AND] LAW ENFORCEMENT OR SECURITY OFFICER, AND
  EMERGENCY MEDICAL SERVICES PERSONNEL HOME LOAN PROGRAM.  Until
  August 1, out of that portion of the state ceiling that is available
  exclusively for reservations by issuers of qualified mortgage bonds
  under Section 1372.022, $25 million shall be allotted each year and
  made available exclusively to the Texas State Affordable Housing
  Corporation for the purpose of issuing qualified mortgage bonds in
  connection with the fire fighter, law enforcement or [officer, and]
  security officer, and emergency medical services personnel home
  loan program established under Section 2306.5621.
         SECTION 4.  This Act takes effect immediately if it receives
  a vote of two-thirds of all the members elected to each house, as
  provided by Section 39, Article III, Texas Constitution. If this
  Act does not receive the vote necessary for immediate effect, this
  Act takes effect on the 91st day after the last day of the
  legislative session.
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
 
         I certify that H.B. No. 618 was passed by the House on March
  22, 2007, by the following vote:  Yeas 146, Nays 0, 1 present, not
  voting.
 
  ______________________________
  Chief Clerk of the House   
 
 
         I certify that H.B. No. 618 was passed by the Senate on May
  22, 2007, by the following vote:  Yeas 31, Nays 0.
 
  ______________________________
  Secretary of the Senate    
  APPROVED:  _____________________
                     Date          
   
            _____________________
                   Governor