Department of Commerce.  The Department of Commerce (Commerce) administers many of the state's housing and homelessness programs.  These programs include providing funding and support to local governments and nonprofit organizations who provide housing, services and subsidies in local communities.

Document Recording Fees.  The state and local Affordable Housing and Homeless Programs receive funding from a $183 surcharge collected by each county auditor when certain documents are recorded.  Of the $183 surcharge, 30 percent is retained by the county and the remainder is distributed to the state Affordable Housing for All Account, Landlord Mitigation Program Account, and Home Security Fund Account.

Home Security Fund Account.  Fifty-four and one tenth percent of the surcharge is distributed to the Home Security Fund Account.  Up to 10 percent may be used for program administration and technical assistance.  At least 90 percent is used for homelessness assistance grant programs.

Affordable Housing for All Account. Thirteen and one tenth percent of the surcharge is distributed to the Affordable Housing for All Account.  Up to 10 percent may be used for program administration and technical assistance.  At least 90 percent must be used for: 

• grants for building operations and maintenance costs of housing projects, or units with housing projects that are in the state's Housing Trust Fund portfolio, are affordable to extremely low-income household, and require a supplement to rent income to cover ongoing operating expenses; and
• grants to support the building operations, maintenance, and supportive services costs for permanent supportive housing projects, or units within housing projects, that have received public capital funding.

The Joint Legislative Audit and Review Committee. The Joint Legislative Audit and Review Committee (JLARC) is a legislative committee consisting of nonpartisan staff that conducts research, audits, and reviews.  The legislative auditor oversees the work and can make recommendations to agencies and the Legislature.

Tenant Assistance Program.  A Tenant Assistance Program (TAP) is created in Commerce to provide grants to public housing authorities (PHAs) for the purpose of providing tenant assistance payments (payments) for eligible renters.  The payments may not exceed the lesser of $400 or the amount necessary to reduce an eligible renter's monthly household costs—including rent, fees, and utilities—to no more than 30 percent of household income.  An eligible renter may receive payments for up to 12 consecutive months.  Only one eligible renter per household may receive payments.

Eligible renters must:

• have a household income at or below 80 percent of the area median income adjusted for household size;
• spend more than 30 percent of their income on housing costs;
• be able to reduce their housing costs below 30 percent of their income with a $400 monthly payment; and
• recertify their income on a monthly basis to the appropriate PHA. 

A renter who provides false documentation must repay any payments received and is no longer eligible for participation in TAP.

A PHA must prioritize providing payments to an eligible renter who:

• has a household income at or below 60 percent of the area median income adjusted for household size; or
• receives supplemental security income.

By July 30, 2026, Commerce must submit an annual report to the Legislature on TAP.  The report must include:

• the total number of renter households served by TAP;
• the total dollar amount of payments;
• average number of months a renter household received payments; and
• any recommendations for changes to TAP.

A landlord may not discriminate against renters receiving payments.  TAP expires June 30, 2032.

Document Recording Fees.  The document recording fees distributions are changed from July 1, 2025 through June 30, 2032 as follows:

• 39.1 percent must be deposited into the Home Security Fund;
• 8.1 percent must be deposited into the Affordable Housing For All Account; and
• 20 percent must be deposited into the TAP Account.

The TAP Account is created.  Moneys in the TAP Account may only be spent after appropriation.  Expenditures from the TAP Account may only be used to provide grants to PHAs for the purpose of providing payments.  The TAP Account expires December 31, 2032.

Joint Legislative Audit and Review Committee.  JLARC must review the efficacy of TAP and its impacts on housing stability and report its findings to the appropriate committees of the Legislature with a recommendation on whether TAP should be continued, amended, or repealed by December 1, 2031.