TDHCA has announced a rule action relating 10 TAC Chapter 10, Subchapter G, Section 10.802 Written Policies and Procedures, that was approved by the TDHCA Governing Board on May 7, 2026. This rule will be released for public comment and returned to the Board for final adoption.  The rule, including its preamble, is expected to be published in the Texas Register edition for May 22, 2026. The published version will constitute the official version for purposes of public comment and can be found at the following link: https://www.sos.texas.gov/texreg/index.shtml.

The purpose of this action: The Board adopted 10 TAC Chapter 10, Subchapter F Compliance Monitoring, Sec. 10.612 Tenant File Requirements and new Sec. 10.628 Verification of Occupant Legal Status for HOME, HOME ARP, and NHTF Developments at the Board meeting of April 9, 2026. These two rule sections incorporated the requirements of Section 401(a) of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA) and the U.S. Department of Housing and Urban Development (HUD) in its 2025 federal Grant Agreements into the Department's Compliance rules for certain multifamily properties.

This rule, 10 TAC Sec. 10.802, Written Policies and Procedures, outlines the policies and/or procedures of the Department (also called tenant section criteria) that are required to have written documentation at a multifamily rental Development. The Written Policies and Procedures now require amendment to include circumstances related to the implementation of Sections 10.612 and 10.628, relating to PRWORA and SAVE verifications. Revisions made address: notification to tenants or applicants; handling of verification delays that may arise from disputes or appeals or while awaiting determinations from the Department on inconclusive results from SAVE; an appeal process; and how Owners may proceed to the next applicant during delays.

The proposed rule amendments also make three other changes not related to the PRWORA implementation that include 1) clarifying the required response periods for certain Developments that are required by a LURA to have an appeal process or a Fair Lease and Grievance Procedure, 2) makes other clarifying edits, 3) addresses the means by which a property owner can effectuate a tenant leasing preference or limitation to make this process less onerous, and 4) adds ERA to the list of Programs that may have a VAWA preference without a Contract amendment.

The proposed rule action can be found on the TDHCA Public Comment Center at https://www.tdhca.texas.gov/tdhca-public-comment-center.

Written comments may be submitted to the Texas Department of Housing and Community Affairs, Brooke Boston, via email to brooke.boston@tdhca.texas.gov.

ALL COMMENTS MUST BE RECEIVED BY 5 p.m., Central Time, on June 22, 2026.