HB 4307 modifies Section 303.0421 of the Local Government Code to impose stricter requirements on multifamily residential developments that seek tax exemptions under public facility corporation (PFC) financing. The bill mandates that developments must reserve at least 10% of units for lower-income housing and 40% for moderate-income housing to qualify for tax exemptions. It also introduces a public notice requirement, requiring PFCs to notify the presiding officer of each taxing unit at least 30 days before approving new or acquired multifamily residential developments. For existing multifamily developments acquired by PFCs, the bill requires that at least 15% of the acquisition cost be spent on renovations within three years, or at least 25% of units must be set aside for lower-income housing. Additionally, a professional underwriting assessment must be conducted to ensure the development would not be feasible without PFC participation. The assessment must be publicly posted on the corporation’s website. The bill also strengthens audit and compliance requirements, requiring annual audits for all multifamily developments claiming tax exemptions, with findings made publicly available. If an audit finds noncompliance, PFCs will have 60 days to resolve the issue, after which the property may lose its tax exemption if violations persist.