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File #: 439    Version: 1 Name:
Type: Consent Proposed Rule Status: Agenda Ready
File created: 11/6/2023 In control: Governing Board
On agenda: 12/7/2023 Final action:
Title: Presentation, discussion, and possible action on an order proposing amendments to 10 TAC Chapter 2, Enforcement, Subchapter A General, Subchapter C Administrative Penalties, and Subchapter D, Debarment from Participation in Programs Administered by the Department, and directing their publication for public comment in the Texas Register
Sponsors: Brooke Boston
Attachments: 1. Ch2EnforceACD2023PropPostRuleAttach
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title

Presentation, discussion, and possible action on an order proposing amendments to 10 TAC Chapter 2, Enforcement, Subchapter A General, Subchapter C Administrative Penalties, and Subchapter D, Debarment from Participation in Programs Administered by the Department, and directing their publication for public comment in the Texas Register

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RECOMMENDED ACTION

recommendation

WHEREAS, pursuant to Tex. Gov’t Code §2306.053, the Texas Department of Housing and Community Affairs (the Department) is authorized to adopt rules governing the administration of the Department and its programs;

WHEREAS, the current rule relating to the requirements for Enforcement is in need of revisions to ensure that reference to the new inspection protocol of National Standards for Physical Inspections of Real Estate (NSPIRE), and revisions for consistency with no longer having the Executive Award Review and Advisory Committee, are included in the rule;

WHEREAS, further rule revisions are needed to clarify intent in areas that have caused confusion, amend the administrative penalty matrix as it relates to accessibility noncompliance, and add debarment criteria for failing to correct Events of Noncompliance prior to LURA expiration and for refusing to correct a physical violation after the rule becomes effective; and

WHEREAS, such proposed amendments will be published in the Texas Register for public comment from December 22, 2023, to January 22, 2024, and subsequently returned to the Board for final adoption;

NOW, therefore, it is hereby

RESOLVED, that the Executive Director and his designees be and each of them are hereby authorized, empowered, and directed, for and on behalf of the Department, to cause the proposed action, together with the preamble in the form presented to this meeting, to be published in the Texas Register for public comment and, in connection, as they may deem necessary to effectuate the forgoing, including the preparation and requested revisions to the preamble.

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BACKGROUND

Tex. Gov’t Code §2306.053 provides for the Department to administer federal housing, community affairs, and community development programs. As it relates to Department programs, Chapter 2 governs how enforcement of programmatic requirements are handled.

The National Standards for the Physical Inspection of Real Estate (NSPIRE) is the new Housing and Urban Development (HUD) physical inspection standard protocol designed to reduce health and safety hazards in a home. NSPIRE was recently integrated into the Department’s Compliance rules and replaces the Uniform Physical Condition Standards (UPCS) previously used by the Department. References to UPCS will be retained for a period, however NSPIRE is being added to be sure that all types of inspections would be covered. The amendment to the rule adds what the score cut-off must be if the most recent inspection was performed with NSPIRE.

The rule amendment also makes revisions to bring this rule into consistency with changes recently made to Chapter 1, Subchapter C, relating to Previous Participation reviews and removal to references of the now defunct Executive Award Review and Advisory Committee. It will also clarify intent in areas that have caused confusion, and amend the administrative penalty matrix to add an optional daily penalty component for unresolved accessibility noncompliance. Finally, the amendment adds new debarment criteria for failing to correct Events of Noncompliance prior to the expiration of a Land Use Restriction Agreement, and for refusing to correct a physical violation after the rule becomes effective.

Behind the proposed preamble for the proposed rule action is the rule shown in its blackline form reflecting changes to the rule.

Upon Board approval, the proposed section of the rule will be posted to the Department’s website and published in the Texas Register. Public comment will be accepted from December 22, 2023, through January 22, 2024. After consideration for public comment, the amendment will be brought before the Board at its February 2024 Board meeting, for final approval and subsequently published in the Texas Register for adoption.