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(1) An interlocal entity may create a fee structure under this chapter that permits:
(a) a home owner or residential tenant to file for a fee credit for a fee charged by the interlocal entity, if the credit is based on:
(i) the home owner's annual income; or
(ii) the residential tenant's annual income; or
(b) an owner of federally subsidized housing to file for a credit for a fee charged by the interlocal entity.
(2) If an interlocal entity permits a person to file for a fee credit under Subsection (1)(a), the interlocal entity shall make the credit available to: