Relating to the areas of operation of housing finance corporations.

SB 2976 amends Texas law to clarify the geographic boundaries where housing finance corporations (HFCs) can operate. It specifically limits HFCs to the jurisdictional boundaries of their sponsoring municipality (for city-sponsored HFCs), unincorporated county areas (for county-sponsored HFCs), or a combination of both for jointly sponsored HFCs. The bill does not change HFCs' core financial powers (like borrowing or issuing bonds) but ensures their activities stay within the sponsored local government's defined areas. This directly affects HFCs created under Texas Local Government Code Sections 394.011 and 394.012.