Housing segregation is a problem most Texas communities struggle with. Crippled by a lack of political courage and leadership no city seems to struggle more than Dallas, often with serious consequences. The Dallas Morning News (DMN) ran a front page story Sunday about a dispute between the backers of two proposed Low Income Housing Tax [...]
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The racism of New Berlin is growing in Galveston
We noted yesterday the United States Department of Justice brought suit alleging the City of New Berlin, Wisconsin had violated the Fair Housing Act by denying a developer permission to build a mixed senior, family development financed with Low Income Housing Tax Credits (LIHTC). I just read the Justice Department’s compliant in the case. The same [...]
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State Rep Riddle says she wants no low-income housing in her district
To appreciate the fair housing problem in Texas just watch this video. Back in February, at a hearing on the budget for the Texas Department of Housing and Community Affairs (TDHCA), Texas State Representative Debbie Riddle, House District 150, which comprises much of northwest Harris County (51% Anglo. per capita income $25,272, 28% renters), asked Mike [...]
Read moreLawsuit alleging race discrimination in Texas housing tax credit program clears (another) hurdle
The Federal District Court for the Northern District of Texas has ruled that the Inclusive Communities Project has legal standing to continue its lawsuit alleging the Texas Department of Housing and Community Affairs (TDHCA) is guilty of racial discrimination in the operation of the Low Income Housing Tax Credit Program. Back in 2008, we discussed [...]
Read moreTexas Lags in serving the housing needs of SSI recipients
Stephen F. Gold, an attorney who specializes in civil rights and represents only persons with disabilities, publishes an email Information Bulletin called “Steve Gold’s Treasured Bits of Information.” Last month he issued a bulletin titled Targeting Low-Income Housing Tax Credits to People on SSI? Supplemental Security Income (SSI) is a program designed to help aged, [...]
Read moreIf Not In Your Backyard, Then Where?
The Low Income Housing Tax Credit Program (LIHTC) is a federal program that supports the production of affordable multifamily housing. Most of these tax credits are awarded through a competitive allocation process administered by the Texas Department of Housing and Community Affairs (TDHCA). Developers apply for credits for a specific proposed development, TDHCA scores the [...]
Read moreTexas State Representative sentenced to prison in housing tax credit bribery case
State Representative Terri Hodge (D-Dallas) was sentenced to a year in prison today by a Dallas Federal District judge on bribery changes stemming from the Dallas Low Income Housing Tax Credit corruption trial. According to the Dallas Morning News, Hodge failed to report $74,000 in income from 2001 to 2005. Of that amount, $32,541 was from [...]
Read moreFailing Waco property facing closure
Back in 2008 we listed the eleven subsidized housing properties with the lowest physical inspection scores from HUD. One of those properties, Parkside Village of Waco, recently received another failing inspection stores and will likely be shut down by HUD. (While two other Waco properties appeared on a more recent list of two subsidized housing [...]
Read moreTDHCA: Trying to make the best of a bad LIHTC thing
One of the Recovery Act programs we’re watching is the Housing Tax Credit Exchange program, a program supporting the production of affordable multifamily housing. This program builds on the infrastructure and processes of the traditional Low Income Housing Tax Credit (LIHTC) program. In the LIHTC program, investors receive tax credits for funding the construction of [...]
Read moreRecovery Act Reporting Milestone
Last Friday was a major milestone in the extensive reporting requirements of the Recovery Act. Recovery.gov released the first round of reports by local recipients regarding the status of some 142,825 initiatives receiving recovery funds. This round of reports covered Feb. 17, 2009, through Sept. 30, 2009—the reports will be updated quarterly going forward. [...]
Read moreHousing Tax Credit Assistance Program: A second bite at the apple?
One of the TDHCA programs we are tracking with our new American Recovery and Reinvestment Act accountability initiative is the Tax Credit Assistance Program (TCAP). The website for the program explains “The current economic crisis has decreased demand for [housing] tax credits [HTCs] by investors” and “TCAP provides funding through the HOME Program to compensate [...]
Read moreWill corruption convictions bring reform to housing programs?
In the wake of the conviction of former Dallas Mayor Pro Tem Don Hill and Planning Commissioner D’Angelo Lee in the housing tax credit corruption trial, Dallas Morning News reporter Rudolph Bush writes in his City Hall Blog today… The alleged fraud revolved around minority contracting requirements and community housing development corporations. But so far, [...]
Read moreFormer Dallas Mayor Pro Tem and others guilty in housing tax credit case
The Dallas Morning News reports the federal district court jury found all of the defendants in the Dallas Low Income Housing Tax Credit corruption scandal guilty. Hill was found guilty on seven charges, including bribery and conspiracy to commit bribery. D’Angelo Lee, Hill’s appointee to the Dallas Plan Commission, was guilty on seven counts. Sheila Farrington, [...]
Read moreNew TxLIHIS initiative seeks improvements in housing tax credit program
We are pleased to announce a major new initiative at TxLIHIS. One of the largest affordable housing programs in Texas is the Low Income Housing Tax Credit Program (LIHTC). In the past year, this program has grown much larger, as much of the housing-related funding from the federal stimulus bill flows through LIHTC-related programs. These [...]
Read moreQuestions about nonprofit emerges in housing tax credit corruption trial
In an earlier post (see issue 14) I mentioned that some social services that Low Income Housing Tax Credit developers get credit for under the Texas program are less that useful to the tenants. Exchanges between Former Dallas Mayor Pro Tem Don Hill and his attorney and a federal prosecutor in Hill’s public corruption trial [...]
Read moreOverview of the Tax Credit Exchange Program in Texas
Federal Program Highlights: Funding: 3 Billion Administering Agency: US Treasury Unused funds must be returned by 1/1/2011 Texas Program Highlights: Funding: Up to 314 Million Administering Agency: TDHCA Awards expected by 10/16/2009 The 2009 Stimulus Bill (American Recovery and Reinvestment Act of 2009) contained a provision allowing the limited exchange of tax credits granted under [...]
Read moreOverview of the Tax Credit Assistance Program (TCAP) in Texas
Here is a brief overview of the Texas Credit Assistance Program and how it is shaping up in Texas. Federal Program Highlights: Funding: 2.25 Billion Administering Agency: HUD Fund must be spent by 2/17/2012 Texas Program Highlights: Funding: 148 Million Administering Agency: TDHCA Awards expected by 12/17/2009 The 2009 Stimulus Bill (American Recovery and Reinvestment [...]
Read moreIt worked! TDHCA Tax Credit Exchange Program gets apps for 883 ELI apartments
The 2009 Stimulus Bill (American Recovery and Reinvestment Act of 2009) contained a provision allowing the limited exchange of tax credits granted under the Low- Income Housing Tax Credit (LIHTC) program for cash grants. In Texas, the Texas Department of Housing and Community Affairs (TDHCA) recently adopted a policy providing incentives for developments to increase [...]
Read moreTen principles should guide state administration of the Low Income Housing Tax Credit program
The Low Income Housing Tax Credit (LIHTC) program is the largest affordable housing production program in Texas. At the Texas Low Income Housing Information Service (TxLIHIS) we are expanding our efforts to advocate on behalf of low income families and communities in Texas concerning rules and policies of the LIHTC program. The following is a [...]
Read moreWho is to blame in the Dallas tax credit corruption scandal?
In response to a recent blog post I received the following comment from an anonymous reader… Offering a bribe to a community group is not nearly as disgusting as a sham community group insisting on a bribe in order to support a tax credit project, then funneling some of the take to the elected officials [...]
Read moreWhen the price of community support got too high, housing tax credit developer turned to FBI
It’s like a pornographic movie… the Dallas housing tax credit trial… everyone gets screwed. In today’s trial testimony the Dallas Morning News reports… Busch [federal prosecutor] plays a Feb. 16, 2005, call between [Low Income Housing Tax Credit Developer and FBI star witness Bill] Fisher and [Black State Employees Association of Texas (BSEAT) official Darren] Reagan. Fisher [...]
Read moreGovernment witness in Dallas corruption trial testifies he paid for community support for tax credit deal
Low income housing tax credit developer and star government witness in the Dallas public corruption trial Bill Fisher admitted in testimony in federal court today that he paid $55,000 to a community organization to support his application to the state for low income housing tax credits. Fisher’s testimony is reported in the Dallas Morning News’ [...]
Read moreAdvocates offer recommendations to improve the Texas Low Income Housing Tax Credit Program
The Low Income Housing Tax Credit Program is the program that produces, by far, the largest number of affordable housing units in Texas each year. The tax credits are awarded to housing developers by the Texas Department of Housing and Community Affairs (TDHCA) through a competitive process. The rules for that process are set out [...]
Read moreHooray! Today was a historic day of progress in Texas affordable housing
The Board of Directors of the Texas Department of Housing and Community Affairs approved today a plan to use the Tax Credit Exchange Program (TCEP) to provide financial incentives to low income housing tax credit (LIHTC) developers to provide 10 percent to 20 percent more apartments in their new developments for Texans with incomes at [...]
Read more$55,000 was the price for community support for affordable housing in Dallas
A document introduced into evidence today in the Dallas public corruption trial surrounding the Texas Low Income Housing Tax Credit program indicates that the going price for community support required to win approval of a tax credit development application was $55,000. At least that’s the price that was set out an unsigned 2004 agreement between [...]
Read moreTax credit apartments for extremely low income families focus in Dallas public corruption trial
A request to get the Dallas City Council to waive requirements that a portion of the apartments built by Low Income Housing Tax Credit Developer Brian Potashnik be rented to extremely low income renters surfaced this week at the center of the public corruption trial in Dallas Federal District Court. Dallas Morning News reporter Jason Trahan [...]
Read moreFBI recordings show tax credit developer and indicted local officials discussed redirecting housing bonds away from the poor
If you want to be discouraged about the way affordable housing has done in Texas all you need to do is closely followed the public corruption trial of Dallas elected officials currently going on in the federal district court. The Low Income Housing Tax Credit program in Texas is too often only about the people [...]
Read moreA culture of greed tarnishes the Texas Low Income Housing Tax Credit program
The Low Income Housing Tax Credit program in Texas is sometimes more about the developers making money building housing and less about the needs of people who need housing. Evidence of this fact can be found in the ongoing public corruption trial of housing tax credit developers and elected officials in the Dallas federal district court. [...]
Read moreLet’s take care to avoid developer windfalls in the new LIHTC program
I haven’t discussed it much yet, but there’s a lot to be said about the new Low Income Housing Tax Credit Exchange Program (TCEP) recently authorized by the federal government. One of the things that needs to be said immediately is that as the state begins to structure how it is going to operate the [...]
Read moreIt is not a proposal to build a toxic waste dump for Pete’s sake!
I came across this sign today in Austin providing a “public notice” regarding an application to build housing for the elderly. The absurdity of the extent to which state law in Texas requires notification of the public regarding proposed housing developments utilizing low income housing tax credits struck me as absurd. I have pointed out [...]
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January 18, 2012
