Relating to housing finance corporations.

HB 2675 clarifies the geographic boundaries where housing finance corporations (HFCs) can operate. It requires lenders to verify HFCs comply with Local Government Code Section 394.031 before making loans, limiting HFCs to their sponsoring local government’s boundaries: city-sponsored HFCs operate within city limits, county-sponsored HFCs in unincorporated county areas, and multi-sponsored HFCs within all sponsor boundaries. To operate outside these areas, HFCs must obtain written approval from all sponsoring governments and any affected municipalities or counties. The bill does not change HFCs’ financial powers (like borrowing or issuing bonds) but ensures their activities align with local government jurisdiction. (Pending in committee as of April 2025.)