Part 5.
TEXAS VETERANS LAND BOARD
Chapter 175.
GENERAL RULES OF THE VETERANS LAND BOARD
The Veterans Land Board of the State of Texas (the "Board") adopts
the repeal of Title 40, Part 5, Chapter 175 of the Texas Administrative Code, §175.5
(relating to Appraisal of Land) of the General Rules of the Veterans Land
Board and simultaneously adopts the new §175.5 (relating to Appraisal
of Land) without changes to the text as published in the May 18, 2001 issue
of the
Texas Register
(26 TexReg 3614).
The adopted new rule provides that property evaluations be prepared by
appraisers approved by the Board, requires that written notice be provided
to the seller and the Board when the loan applicant cancels a transaction
because of the appraisal, has deleted the mandatory requirement that the Board's
representative meet a loan applicant on the property to be purchased, permits
the applicant to require the appraiser to inspect the property with the applicant,
allows the Board to adopt resolutions that establish procedures relating to
inspection of property by the loan applicant or the applicant's representative,
establishes procedures for requesting re-appraisals, and allows the chairman
or executive secretary to waive requirements related to re-appraisals.
The Board expects the new rule to reduce the time needed to approve loan
applications by eliminating the requirement that every loan applicant schedule
an appointment to personally meet with the appraiser to inspect the property.
The adopted new rule protects the best interests of the Veterans Land Program
by describing procedures for personal inspections by the loan applicant, including
the requirements for requesting a re-appraisal.
No comments regarding the repeal and proposed new rule were received.
40 TAC §175.5
The repeal of this section is adopted under the Natural Resources
Code, Title 7, Chapter 161, §161.063 and §161.284, which provides
authorization for the Board to adopt rules for the Program which it considers
necessary and advisable and to adopt rules relating to appraisals.
Natural Resources Code §161.212 and §161.284 are affected by
this adopted action.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on July 23, 2001.
TRD-200104225
Larry R. Soward
Chief Clerk, General Land Office
Texas Veterans Land Board
Effective date: August 12, 2001
Proposal publication date: May 18, 2001
For further information, please call: (512) 305-9129
40 TAC §175.5
The new section is adopted under the Natural Resources Code,
Title 7, Chapter 161, §161.063 and §161.284, which provides authorization
for the Board to adopt rules for the Program which it considers necessary
and advisable and to adopt rules relating to appraisals.
Natural Resources Code §161.212 and §161.284 are affected by
this adopted action.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed
with the Office of the Secretary of State on July 23, 2001.
TRD-200104226
Larry R. Soward
Chief Clerk, General Land Office
Texas Veterans Land Board
Effective date: August 12, 2001
Proposal publication date: May 18, 2001
For further information, please call: (512) 305-9129
40 TAC §§175.9, 175.12, 175.14 - 175.16, 175.19
The Veterans Land Board of the State of Texas (the "Board")
adopts the amendments to Title 40, Part 5, Chapter 175 of the Texas Administrative
Code, §§175.9 (relating to "Death of a Purchaser"), 175.12 (relating
to "Severances"), 175.14 (relating to "Mineral Leases"), 175.15 (relating
to "Approval of Easements"), 175.16 (relating to "Payment in Full"), and 175.19
(relating to "Subdivision Loan Processing") of the General Rules of the Veterans
Land Board without changes to the text as published in the April 27, 2001,
issue of the
Texas Register
(26 TexReg 3200).
These adopted amendments have deleted references to fee amounts in the
above listed sections, corrected a prescribed form that referenced years beginning
with "19__," corrected some punctuation errors, and eliminated some procedures
relating to appraisals of subdivisions. These amendments are being adopted
concurrently with the adopted repeals of, and adoption of new rules for, §175.17
(relating to "Fees and Deposits") of the General Rules of the Veterans Land
Board and §177.9 (relating to "Fees, Expenses, and Interest") of the
Veterans Housing Assistance Program.
The existing rules prior to these amendments contained fees that are charged
by the Board. The amounts of these fees were found in several different rules.
The adopted amendments delete the specific fee amounts from all these rules.
Concurrently published adopted repeals and adopted new rules for §175.17
of the General Rules of the Veterans Land Board and §177.9 of the rules
for The Veterans Housing Assistance Program will specify fee amounts respectively
for the Veterans Land Program (the "Program") and the Veterans Housing Assistance
Program.
The amendments were a necessary first step to protecting the best interests
of the Program by allowing the Board to list all fees in one rule for the
Program and in one rule for the Veterans Housing Assistance Program.
No comments were received regarding the proposed amendments.
The amendments to the sections are adopted under the Natural
Resources Code, Title 7, Chapter 161, §§161.063, 161.069, and 161.070,
which provides authorization for the Board to adopt rules for the Program
which it considers necessary and advisable, and to set fees charged by the
Board.
Natural Resources Code §§161.069 and 161.070 are affected by
this adopted action.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on July 23, 2001.
TRD-200104227
Larry R. Soward
Chief Clerk, General Land Office
Texas Veterans Land Board
Effective date: August 12, 2001
Proposal publication date: April 27, 2001
For further information, please call: (512) 305-9129
The Veterans Land Board of the State of Texas (the "Board") adopts
the repeal and new §175.17 (relating to Fees and Deposits) of the General
Rules of the Veterans Land Board, Title 40, Part 5, Chapter 175 of the Texas
Administrative Code without changes to the text as published in the April
27, 2001, issue of the
Texas Register
(26
TexReg 3203).
The proposed repeal and substitution are being adopted concurrently with
amendments to Title 40, Part 5, Chapter 175 of the Texas Administrative Code, §§175.9
(relating to Death of a Purchaser), 175.12 (relating to Severances), 175.14
(relating to Mineral Leases), 175.15 (relating to Approval of Easements),
175.16 (relating to Payment in Full), 175.19 (relating to Subdivision Loan
Processing) and 177.9 (relating to Fees, Expenses, and Interest) of the General
Rules of the Veterans Land Board. The foregoing amendments remove references
to the amounts of all fees charged by the Board from all existing rules.
By adopting the repeal of §175.17 and adopting a new rule in its place,
the Board is able to describe in a single rule all fees it charges in the
Veterans Land Program. The adopted rule changes the existing fees as follows:
(1) It authorizes the Board to adopt by resolution, from time-to-time, a schedule
describing all services for which it charges a fee; (2) It authorizes the
chairman or executive secretary of the Board to waive the collection of any
fee, on a case by case basis, if it serves the best interests of the program;
(3) It establishes maximum amounts for fees the Board can set by resolution.
These maximum amounts are described in the rule. In order to set any fee in
a greater amount, the Board must propose an amendment to the rule; and (4)
It changes the appraisal fee from $120 to an amount not to exceed $250 and
the reappraisal fee from $120 to an amount not to exceed $100. The service
fee for contracts is changed from $70 to an amount not to exceed $75. The
returned check fee is changed from $15 to $25. The $25 application fee; the
$25 forfeited land bid fee; the $375 administrative cost and application processing
fee; and the reinstatement fee are all eliminated. All other existing fees
are limited to an amount not to exceed $75 each.
All of the adopted new rules protect the best interests of the Programs
by allowing the Board to list all fees in one rule for each loan program and
set the amount of individual fees, expenses, and interest rates by resolution.
This allows the Board to operate the Program in a manner that is responsive
to the needs of veterans as market conditions change over time.
No comments were received regarding the repeal and proposed new section.
40 TAC §175.17
The repeal of the section is adopted under the Natural Resources
Code, Title, 7, Chapter 161, §§161.063, 161.069, and 161.070 which
authorize the Board to set fees and adopt rules for the Programs which it
considers necessary and advisable.
Natural Resources Code §§161.069 and 161.070 are affected by
this adopted action.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on July 23, 2001.
TRD-200104228
Larry R. Soward
Chief Clerk, General Land Office
Texas Veterans Land Board
Effective date: August 12, 2001
Proposal publication date: April 27, 2001
For further information, please call: (512) 305-9129
40 TAC §175.17
The new section is adopted under the Natural Resources Code,
Title 7, Chapter 161, §§161.063, 161.069, and 161.070 which authorize
the Board to set fees and adopt rules for the Programs which it considers
necessary and advisable.
Natural Resources Code §§161.069 and 161.070 are affected by
this adopted action.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed
with the Office of the Secretary of State on July 23, 2001.
TRD-200104229
Larry R. Soward
Chief Clerk, General Land Office
Texas Veterans Land Board
Effective date: August 12, 2001
Proposal publication date: April 27, 2001
For further information, please call: (512) 305-9129
40 TAC §175.20
The Veterans Land Board of the State of Texas (the "Board")
adopts the amendments to Title 40, Part 5, Chapter 175 of the Texas Administrative
Code, §175.20 (relating to Delinquencies and Forfeiture Procedures) of
the General Rules of the Veterans Land Board without changes to the text as
published in the May 18, 2001, issue of the
Texas
Register
(26 TexReg 3616).
These adopted amendments have changed the term "penalty interest" to "delinquent
interest," changed the term "reinstatement fee" to "reinstatement penalty,"
defined the term "reinstatement penalty," allow the Board to restore the eligibility
of a person to participate in the Board's loan programs, allows the Board
Chairman to restore in certain instances the eligibility of a person to participate
in the Board's loan programs, provide for a usury savings clause, and provide
that Board land contracts are subject to the constitution, statutes, and Board
rules as they may from time to time be amended. The adopted amendments have
changed the term "penalty interest" to "delinquent interest" because the term
"delinquent interest" more accurately describes the interest charged as a
result of delinquent payments.
The dollar amount of a "reinstatement fee" was specified in §175.17
(relating to Fees and Deposits); however, the repeal of that rule is currently
being adopted and with the simultaneously adoption of a new §175.17,
that will not provide for a "reinstatement fee." The term in the adopted amendment
to §175.20 has been changed to "reinstatement penalty" and is redefined
to provide for a penalty amount based on a percentage calculation and is intended
to discourage contract forfeitures.
Under current §175.2(d) (relating to Loan Eligibility Requirements),
a person may have only one land loan at a time as a veteran and that loan
must be paid in full before he or she may apply for an additional land loan
as a veteran. If a person's loan has been forfeited and ordered for sale (and
therefore not paid in full), the person would not be eligible to apply for
another loan. The adopted amendment to §175.20(f)(1) allows the Board
to restore the eligibility of a person to participate in the Board's loan
programs, notwithstanding §175.2, if that person is able to justify to
the Board the circumstances that led to the previous forfeiture and order
for sale and that person fulfills the conditions established by the Board
for the reinstatement of the eligibility. The adopted amendments §175.20
will in certain specified instances allow the Board Chairman, without further
approval by the Board, to restore the eligibility of a person to participate
in the Board's loan programs. Allowing the Board Chairman to restore the eligibility
in these specified instances will provide the Board more time to devote to
other Board matters and will allow for a more expeditious restoration of eligibility
in the specified instances.
While the Board does not intend to ever charge usurious interest, the adopted
amendments to §175.20 provide for a usury savings clause to help protect
the Board from the negative consequences of any unintended usurious charge.
In addition, Board contracts generally refer to the laws and rules of the
Board. The adopted amendments to §175.20 provide that all Board contracts
are subject to the laws and rules that govern the Board as such laws and rules
may from time to time be amended and are intended to make Board contracts
(at least those entered into on or after the effective date of this proposed
amendment) subject to future statutory and rule changes without the need for
contract amendments.
The adopted amendments are in the best interest of the Program for the
reasons stated above.
No comments were received regarding the proposed amendments.
The amendments to the section are adopted under the Natural Resources
Code, Title 7, Chapter 161, §§161.061, 161.063, 161.236, 161.317,
and 161.320, which authorize the Board to adopt rules for the Program that
it considers necessary and advisable, to determine the number of tracts of
land that a veteran may purchase, to impose a reinstatement penalty, and to
collect interest on delinquent payments.
Natural Resources Code §§161.236, 161.317, and 161.320 are affected
by this adopted action.
This agency hereby certifies that the adoption has been reviewed
by legal counsel and found to be a valid exercise of the agency's legal authority.
Filed with the Office of
the Secretary of State on July 23, 2001.
TRD-200104230
Larry R. Soward
Chief Clerk, General Land Office
Texas Veterans Land Board
Effective date: August 12, 2001
Proposal publication date: May 18, 2001
For further information, please call: (512) 305-9129
The Veterans Land Board of the State of Texas (the "Board") adopts
the repeal and new §177.9 (relating to Fees, Expenses, and Interest)
of the Veterans Housing Assistance Program, Title 40, Part 5, Chapter 177
of the Texas Administrative Code as published in the April 27, 2001, issue
of the
Texas Register
(26 TexReg 3204).
The repeal and new rule are adopted concurrently with amendments to Title
40, Part 5, Chapter 175 of the Texas Administrative Code, §§175.9
(relating to Death of a Purchaser), 175.12 (relating to Severances), 175.14
(relating to Mineral Leases), 175.15 (relating to Approval of Easements),
175.16 (relating to Payment in Full), 175.17 (relating to Fees and Deposits)
and 175.19 (relating to Subdivision Loan Processing). The foregoing amendments
remove references to the amounts of all fees charged by the Board from all
existing rules.
By repealing §177.9 and adopting a new rule in its place, the Board
describes in a single rule all fees that may be charged by all parties participating
in the Veterans Housing Assistance Program. The proposed rule makes the following
changes: (1) It requires all fees and interest rates changed in connection
with the Veterans Housing Assistance Program by any party to be submitted
to the Board for approval. This includes fees charged to borrowers by the
Board or by participating lending institutions and fees charged to participating
lending institutions by the administrator; (2) It permits the Board to approve
and set all fees by the adoption of resolutions from time-to-time; (3) It
limits the amounts of fees, expenses, and interest rates charged by lending
institution to those amounts collected by the institutions in the normal course
of their residential mortgage lending businesses; and (4) The administrator
shall incorporate in the Servicing Guide for the Veterans Housing Assistance
Program provisions for the maximum amounts of fees, expenses and interest
rates that participating lending institutions may charge.
All of the adopted new rules protect the interests of the Programs by allowing
the Board to list all fees in one rule for each loan program and set the amount
of individual fees, expenses, and interest rates by resolution. This allows
the Board to operate the Programs in a manner that is responsive to the needs
of veterans as market conditions change over time.
No comments were received regarding the proposed repeal and new rule.
Chapter 175.
GENERAL RULES OF THE VETERANS LAND BOARD
Chapter 177.
VETERANS HOUSING ASSISTANCE PROGRAM