Neighborhood Housing Services seeks county backing to buy tax-delinquent lots, requests $15,000 grant match

Neighborhood Housing Services of Dimmit County urged the Dimmit County Commissioners Court on Tuesday to support an interlocal process under Texas Tax Code section 34.051 that would let community-development corporations have a streamlined path to acquire tax-delinquent lots inside city limits and asked the court for a $15,000 county contribution to match a $10,000 Texas Foundations Fund (TFF) grant for small home repairs.

The request matters because the proposed route would let Neighborhood Housing Services (NHS) approach cities and, if the cities agree, receive county cooperation to transfer properties outside the public auction process in order to repurpose them for affordable housing or home repair work.

"We were able to get the bowling field last year for summer flag football and had great success; this is the same effort but for housing," said Mr. Coates, a representative of Neighborhood Housing Services of Dimmit County, describing both the resale bids NHS has already filed and the broader plan to work with cities to acquire long-delinquent tax parcels. "This is to repurpose tax-delinquent land to build low-income homes and to assist families in the colonias."

County counsel/staff (Mister Arce) told the court that the statutory route NHS described — cited in the meeting as Texas Tax Code section 34.051 — creates two tracks: the longstanding auction/strike-off process and a separate path coordinated with cities that can give nonprofit community development corporations a right of first refusal within city limits. "If it's blessed by all the entities, it leaves the city in the driver's seat to vote to decide for properties in their city limits," Mister Arce said. He added the county would still be involved in coordinating with school districts and other taxing entities when required.

Several commissioners pressed for more detail and said they wanted time for review before granting any preference that could restrict public bidding. One commissioner asked that the court run the proposal through the county's audit and legal review before authorizing transfers: "We cannot just give it away in any shape or form," the commissioner said, and asked staff to provide the statutory text and interlocal agreement language before the court takes formal action.

Mr. Coates also asked the court to commit county funds as a local match if NHS wins a TFF grant administered by the Texas State Affordable Housing Corporation. The TFF grant application would be for $10,000; NHS requested a $15,000 local contribution from the county that, if awarded, NHS said would be combined to provide roughly $2,500 in repairs for 10 homes (10 repairs at $2,500 each), prioritizing elderly residents, individuals with disabilities and families in colonias. NHS said it plans to use local contractors, volunteers and donated materials when possible.

Commissioners said they could not legally commit new appropriation dollars on the spot because the county's budget has been set; several suggested the court provide a letter of support and consider a budget amendment or line-item in the next budget cycle if the grant is awarded. The court ultimately voted to table any funding decision; the motion to table the NHS funding request was moved and seconded and carried without recorded opposition.

The court also considered several property resale and public resell requests tied to tax-delinquent accounts. A private resale for property account number 13472 was presented as a full minimum bid; the court approved that private resale during the meeting. Several additional properties were discussed for public resell with bids submitted; staff advised the court that placing those properties on a public courthouse sale would allow NHS or any other bidder to submit the current bids as a starting point and that the public would still have the opportunity to outbid them.

No interlocal agreement was approved at this meeting. Commissioners asked NHS to take its proposal to affected cities first, to supply the court with the exact statutory text, and to return with letters of support or commitments from municipal partners before the court considers changing its process or committing county funds.

Votes at the meeting on NHS-related items included approval of the private resale for account 13472 and a separate vote to table the requested $15,000 county contribution pending budget review and receipt of additional documentation and municipal support.

The NHS representative said he will continue pursuing the TFF application and will provide the court the grant documents, colonia qualification language and any city support letters he obtains.