SECTION 190.4. Filing Requirements for Applications for Carryforward

(a) Form. Applications must be filed on forms prescribed by the board and must contain all information and documentation required under the Act and this chapter, as applicable.

(b) Application Filing. The issuer shall submit one electronic copy or one original application for carryforward. Each application must be accompanied by the following:

(1) the application fee;

(2) the certificate regarding fees, on the form prescribed by the board;

(3) a copy of the inducement resolution or other similar official action taken by the issuer with respect to the bonds and the project which are the subject of the application, certified by an officer of the issuer; or a copy of the certified resolution of the issuer authorizing the filing of the application for carryforward designation, in either case certified with an authorized signature by an officer of the issuer, and unless the resolution authorizes the issuer to seek a carryforward designation in multiple program years, adopted within 18 months of the application date;

(4) a copy of the issuer's articles of incorporation as certified by the secretary of state of Texas and bylaws, including amendments thereto and restatements thereof, or alternatively, a certification with an authorized signature by an authorized representative of the issuer that there have been no amendments to the articles of incorporation or bylaws since the last submission of these items to the board;

(5) a copy of the issuer's certificate of continued existence from the secretary of state of Texas dated within 30 days of submission of application; an issuer's certificate of good standing is not an acceptable substitution for this requirement;

(6) a copy of the borrower's and, if the borrower is a partnership, each partner's certificate of good standing from the comptroller of public accounts of Texas, dated within 30 days of submission of application;

(7) documentation evidencing that the project meets all requirements of the elected carryforward priority classification as prescribed by Government Code 1372.063-068;

(8) a written opinion of legal counsel, addressed to the board, to the effect, that the board may rely on the representation contained in the application relating to paragraph (7) of this subsection to fulfill the requirements of the Act;

(9) a written opinion of legal counsel, addressed to the board, stating the bonds are required to be included under the state ceiling and that the issuer is legally authorized to issue bonds for projects of the same type and nature as the project which is the subject of the application. This opinion shall cite by constitutional or statutory reference the provision of the Constitution or law of the state which authorizes the bonds for the project;

(10) for a qualified residential rental project issue, an issuer shall provide a copy of an active executed earnest money contract between the borrower and the seller of the project. The borrower must provide within the close of five business days following the notification of pending designation a copy of an earnest money contract that is in full force and effect or the designation will automatically expire; and

(11) for qualified residential rental project issues where the borrower is an entity that is designated or intends to seek abatement from ad valorem taxation, that intent to seek abatement must be specified on the application for carryforward designation.

(c) Fee. The fee required by Government Code §1372.006(e) must be paid not later than the fifth business day following the date of receipt of the certificate of carryforward designation.

(d) Additional Information. The board may require additional information at any time before granting a certificate of carryforward.

(e) Closing documents. Not later than the fifth business day after the day on which the bonds are closed the issuer shall file with the board:

(1) a closing documents checklist on the form prescribed by the board;

(2) a certificate of delivery on the form prescribed by the board;

(3) a certified copy of the bond resolution authorizing the issuance of bonds, and setting forth the specific principal amount of the bond issue, and unless the resolution authorizes the issuer to seek an allocation in multiple program years, adopted within 18 months of the application date;

(4) if one is required, a copy of the approval of the local government unit or local government units, certified by a public official with the authority to certify such approval. This requirement shall not apply to any bonds for which the Code does not require such a public hearing and approval of a local government unit or local government units;

(5) other documents relating to the issuance of bonds, including a statement of the bonds':

(A) principal amount;

(B) interest rate or the formula by which the interest is calculated;

(C) maturity schedule; and

(D) purchaser or purchasers;

(6) an official statement.

(f) Reassignment of carryforward designation--Traditional carryforward can be reassigned by the issuer as described in Government Code §1372.074(a).

(g) Unutilized carryforward designation available after a project closes can be reassigned as described in Government Code §1372.074(c) and subject to the time period allowed by the Code and described in Government Code §1372.061(b).

Source Note: The provisions of this §190.4 adopted to be effective January 3, 1992, 16 TexReg 7646; amended to be effective January 11, 1993, 18 TexReg 65; amended to be effective October 8, 1997, 22 TexReg 9895; amended to be effective October 6, 1999, 24 TexReg 8566; amended to be effective February 27, 2002, 27 TexReg 1338; amended to be effective December 2, 2019, 44 TexReg 7403; amended to be effective October 13, 2021, 46 TexReg 6948; amended to be effective August 22, 2022, 47 TexReg 5000; amended to be effective October 11, 2023, 48 TexReg 5825