HB 366 — Municipal permitting requirements

90R1007 DRS-D By: Garcia Hernandez H.B. No. 366 relating to municipal permitting requirements for certain development projects supported with low income housing tax credit allocations.

SECTION 1. Subchapter Z, Chapter 214, Local Government Code, is amended by adding Section 214.9041 to read as follows: Sec. 214.9041. EXPEDITED REVIEW OF BUILDING PERMITS IN CERTAIN MUNICIPALITIES; AFFORDABLE HOUSING PROJECTS. (a) This section applies only to a municipality with a population of more than 100,000. (b) In this section, "affordable housing project" means a housing development project that has received an allocation of low income housing tax credits under Subchapter DD, Chapter 2306, Government Code. (c) An application for a building permit for an affordable housing project submitted to a municipality for review must be granted or denied by the municipality in no more than 50 percent of the time allotted by the municipality to grant or deny any residential building permit application. (d) If the municipality has adopted an accelerated residential building permit review process, an applicant for a building permit for an affordable housing project shall be allowed to submit the application for review under the accelerated process. (e) This section applies only to the process to obtain a municipal building permit authorized or required under this chapter. Nothing in this section may be construed to affect municipal zoning.

SECTION 2. Section 214.9041, Local Government Code, as added by this Act, applies only to an application for a building permit submitted on or after the effective date of this Act.

SECTION 3. This Act takes effect September 1, 2027.