California Assembly Bill AB325 Amended / Bill

 BILL NUMBER: AB 325AMENDED BILL TEXT AMENDED IN ASSEMBLY MAY 13, 2015 AMENDED IN ASSEMBLY APRIL 16, 2015 INTRODUCED BY Assembly Member Wood FEBRUARY 13, 2015 An act to  amend Section 50860 of, and to  add Section 50832.2  to   to,  the Health and Safety Code, relating to economic  development.   development, and making an appropriation therefor, to take effect immediately, bill related to the budget.  LEGISLATIVE COUNSEL'S DIGEST AB 325, as amended, Wood. Community Development Block Grant Program:  Begin Equity and Growth in Neighborhoods Fund:  funds. Existing law requires the Department of Housing and Community Development to allocate funds under the federal Community Development Block Grant Program to cities and counties. Existing law requires the department to determine, and announce in the applicable Notice of Funding Availability, the maximum amount of grant funds that may be used for economic development projects and programs, housing for persons and families of low or moderate income or for purposes directly related to the provision or improvement of housing opportunities for these persons and families, and for cities and counties that apply on behalf of certain Indian tribes. Existing law requires the department to develop and use certain eligibility criteria and requirements for certain economic development fund applications. This bill would require the department, no later than 60 days after the department notifies an applicant that the department has approved the applicant's application for those grant funds, to enter into a grant agreement with the applicant. The bill would require the department, when the department enters into a grant agreement with an applicant, to provide the applicant with a complete and final list of activities the applicant must complete in order to receive a disbursement of funds pursuant to the agreement. The bill would also require the department, no later than 30 days after receiving a grantee's request for disbursement of funds, to notify the grantee that the department has approved disbursement or to provide the grantee with a complete and final list of all of the remaining activities the grantee must complete, as specified.  Existing law creates the Building Equity and Growth in Neighborhoods (BEGIN) Program and the BEGIN Fund. Moneys in the fund are made available, upon appropriation, to the department for grants to cities, counties, and cities and counties for assistance for downpayment purposes to qualifying new home buyers in those cities, counties, and cities and counties that have taken prescribed actions to remove barriers to affordable housing. Existing law appropriates moneys to the department from the BEGIN fund and specifies the periods to liquidate the encumbrances.   This bill would, notwithstanding any other law, extend the period to liquidate the encumbrances of certain appropriations from the BEGIN fund to the department until June 30, 2017, or June 30, 2018.   This bill would declare that it is to take effect immediately as a bill providing for appropriations related to the Budget Bill.  Vote: majority. Appropriation:  no  yes  . Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:  SECTION 1.   It is the intent of the Legislature to assist cities including, but not limited to, the City of Santa Rosa by extending the period to liquidate certain encumbrances associated with the Building Equity and Growth in Neighborhoods (BEGIN) Fund.   SECTION 1.  SEC. 2.  Section 50832.2 is added to the Health and Safety Code, to read: 50832.2. (a) (1) No later than 60 days after the department notifies an applicant that the department has approved the applicant' s application for funds pursuant to this chapter, the department shall enter into a grant agreement with the applicant. (2) When the department enters into a grant agreement with an applicant, the department shall provide the applicant with a complete and final list of all of the activities the applicant must complete in order to receive a disbursement of funds pursuant to the agreement. (b) No later than 30 days after the department receives a request for the disbursement of funds from a grantee, the department shall take either of the following actions: (1) Notify the grantee that the department has approved disbursement of the funds. (2) Provide the applicant with a complete and final list of all of the remaining activities the applicant must complete in order for the department to approve disbursement of the funds.  SEC. 3.   Section 50860 of the   Health and Safety Code   is amended to read:  50860. (a) The Building Equity and Growth in Neighborhoods (BEGIN) Program and the Building Equity and Growth in Neighborhoods (BEGIN) Fund are hereby created. (b) Except as otherwise provided in this chapter, moneys in the BEGIN Fund shall be made available upon appropriation by the Legislature to the department and administered by the department pursuant to the CalHome Program (Chapter 6 (commencing with Section 50650), to make grants to qualifying cities, counties, or cities and counties that provide incentives or reduce or remove regulatory barriers as set forth in this chapter. These grants shall, except as otherwise provided by this chapter, be used for downpayment assistance to qualifying first-time home buyers of low- and moderate-incomes purchasing newly constructed homes in a BEGIN project. (c) Any loan repayments shall be retained by the qualifying city, county, or city and county and reused for first-time home buyer downpayment assistance, home rehabilitation, home buyer counseling, home acquisition and rehabilitation, or self-help mortgage assistance for persons and families of low- or moderate-income, as defined in Section 50093.  (d) Notwithstanding any other law, the period to liquidate the encumbrances set forth in Items 2240-491 and 2240-102-6038 of the Budget Act of 2010 is hereby extended to June 30, 2017.   (e) Notwithstanding any other law, the periods to liquidate the encumbrances set forth in Item 2240-490 of the Budget Act of 2011 are hereby extended until June 30, 2018.   SEC. 4.   This act is a bill providing for appropriations related to the Budget Bill within the meaning of subdivision (e) of Section 12 of Article IV of the California Constitution, has been identified as related to the budget in the Budget Bill, and shall take effect immediately.