CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 1632Introduced by Assembly Member Quirk-SilvaFebruary 17, 2023 An act to amend Section 50608 of the Health and Safety Code, relating to housing. LEGISLATIVE COUNSEL'S DIGESTAB 1632, as introduced, Quirk-Silva. Affordable housing preservation: loans.Existing law requires the Department of Housing and Community Development to administer various housing programs, including the Multifamily Housing Program. Existing law creates the Housing Rehabilitation Loan Fund and continuously appropriates moneys in that fund for, among other purposes, making deferred-payment rehabilitation loans for financing all or a portion of the cost of rehabilitating existing housing to meet rehabilitation standards, as provided. Existing law authorizes the department, upon appropriation, to make loans or grants, or both loans and grants, to rehabilitate, capitalize operating subsidy reserves for, and extend the long-term affordability of department-funded housing projects that have an affordability restriction that has expired, that have an affordability restriction with a remaining term of less than 10 years, or are otherwise at risk of conversion to market-rate housing. Existing law makes the principal and accumulated interest due and payable upon completion of the term of the loan. Existing law limits the loan interest rate to 3% per annum on the unpaid principal balance. Existing law further requires that loan payments not exceed 0.42% per annum for the first 30 years of the loans term. This bill would make nonsubstantive changes to these provisions.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 50608 of the Health and Safety Code is amended to read:50608. (a) For any the loans issued pursuant to this chapter, principal and accumulated interest is due and payable upon completion of the term of the loan. The loan shall bear simple interest at the rate of 3 percent per annum on the unpaid principal balance. The department shall require annual loan payments in the minimum amount necessary to cover the costs of project monitoring. For the first 30 years of the loan term, the amount of the required loan payments shall not exceed 0.42 percent per annum. The department may, in its sole discretion, require a monitoring fee as authorized in Section 50607 in lieu of the required loan payment for a portion of or the full term of the loan.(b) All moneys received by the department in repayment of loans made pursuant to this chapter, including interest and payments in advance in lieu of future interest, shall be deposited in the Housing Rehabilitation Loan Fund established by Section 50661. Moneys deposited in that fund pursuant to this subdivision shall be used for purposes of the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(c) The department may establish maximum loan-to-value requirements for some or all of the types of projects that are eligible for funding under pursuant to this chapter.(d) The department shall establish per-unit and per-project loan limits for all project types.
CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION Assembly Bill No. 1632Introduced by Assembly Member Quirk-SilvaFebruary 17, 2023 An act to amend Section 50608 of the Health and Safety Code, relating to housing. LEGISLATIVE COUNSEL'S DIGESTAB 1632, as introduced, Quirk-Silva. Affordable housing preservation: loans.Existing law requires the Department of Housing and Community Development to administer various housing programs, including the Multifamily Housing Program. Existing law creates the Housing Rehabilitation Loan Fund and continuously appropriates moneys in that fund for, among other purposes, making deferred-payment rehabilitation loans for financing all or a portion of the cost of rehabilitating existing housing to meet rehabilitation standards, as provided. Existing law authorizes the department, upon appropriation, to make loans or grants, or both loans and grants, to rehabilitate, capitalize operating subsidy reserves for, and extend the long-term affordability of department-funded housing projects that have an affordability restriction that has expired, that have an affordability restriction with a remaining term of less than 10 years, or are otherwise at risk of conversion to market-rate housing. Existing law makes the principal and accumulated interest due and payable upon completion of the term of the loan. Existing law limits the loan interest rate to 3% per annum on the unpaid principal balance. Existing law further requires that loan payments not exceed 0.42% per annum for the first 30 years of the loans term. This bill would make nonsubstantive changes to these provisions.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: NO Local Program: NO
CALIFORNIA LEGISLATURE 20232024 REGULAR SESSION
Assembly Bill
No. 1632
Introduced by Assembly Member Quirk-SilvaFebruary 17, 2023
Introduced by Assembly Member Quirk-Silva
February 17, 2023
An act to amend Section 50608 of the Health and Safety Code, relating to housing.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 1632, as introduced, Quirk-Silva. Affordable housing preservation: loans.
Existing law requires the Department of Housing and Community Development to administer various housing programs, including the Multifamily Housing Program. Existing law creates the Housing Rehabilitation Loan Fund and continuously appropriates moneys in that fund for, among other purposes, making deferred-payment rehabilitation loans for financing all or a portion of the cost of rehabilitating existing housing to meet rehabilitation standards, as provided. Existing law authorizes the department, upon appropriation, to make loans or grants, or both loans and grants, to rehabilitate, capitalize operating subsidy reserves for, and extend the long-term affordability of department-funded housing projects that have an affordability restriction that has expired, that have an affordability restriction with a remaining term of less than 10 years, or are otherwise at risk of conversion to market-rate housing. Existing law makes the principal and accumulated interest due and payable upon completion of the term of the loan. Existing law limits the loan interest rate to 3% per annum on the unpaid principal balance. Existing law further requires that loan payments not exceed 0.42% per annum for the first 30 years of the loans term. This bill would make nonsubstantive changes to these provisions.
Existing law requires the Department of Housing and Community Development to administer various housing programs, including the Multifamily Housing Program. Existing law creates the Housing Rehabilitation Loan Fund and continuously appropriates moneys in that fund for, among other purposes, making deferred-payment rehabilitation loans for financing all or a portion of the cost of rehabilitating existing housing to meet rehabilitation standards, as provided.
Existing law authorizes the department, upon appropriation, to make loans or grants, or both loans and grants, to rehabilitate, capitalize operating subsidy reserves for, and extend the long-term affordability of department-funded housing projects that have an affordability restriction that has expired, that have an affordability restriction with a remaining term of less than 10 years, or are otherwise at risk of conversion to market-rate housing. Existing law makes the principal and accumulated interest due and payable upon completion of the term of the loan. Existing law limits the loan interest rate to 3% per annum on the unpaid principal balance. Existing law further requires that loan payments not exceed 0.42% per annum for the first 30 years of the loans term.
This bill would make nonsubstantive changes to these provisions.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 50608 of the Health and Safety Code is amended to read:50608. (a) For any the loans issued pursuant to this chapter, principal and accumulated interest is due and payable upon completion of the term of the loan. The loan shall bear simple interest at the rate of 3 percent per annum on the unpaid principal balance. The department shall require annual loan payments in the minimum amount necessary to cover the costs of project monitoring. For the first 30 years of the loan term, the amount of the required loan payments shall not exceed 0.42 percent per annum. The department may, in its sole discretion, require a monitoring fee as authorized in Section 50607 in lieu of the required loan payment for a portion of or the full term of the loan.(b) All moneys received by the department in repayment of loans made pursuant to this chapter, including interest and payments in advance in lieu of future interest, shall be deposited in the Housing Rehabilitation Loan Fund established by Section 50661. Moneys deposited in that fund pursuant to this subdivision shall be used for purposes of the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(c) The department may establish maximum loan-to-value requirements for some or all of the types of projects that are eligible for funding under pursuant to this chapter.(d) The department shall establish per-unit and per-project loan limits for all project types.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 50608 of the Health and Safety Code is amended to read:50608. (a) For any the loans issued pursuant to this chapter, principal and accumulated interest is due and payable upon completion of the term of the loan. The loan shall bear simple interest at the rate of 3 percent per annum on the unpaid principal balance. The department shall require annual loan payments in the minimum amount necessary to cover the costs of project monitoring. For the first 30 years of the loan term, the amount of the required loan payments shall not exceed 0.42 percent per annum. The department may, in its sole discretion, require a monitoring fee as authorized in Section 50607 in lieu of the required loan payment for a portion of or the full term of the loan.(b) All moneys received by the department in repayment of loans made pursuant to this chapter, including interest and payments in advance in lieu of future interest, shall be deposited in the Housing Rehabilitation Loan Fund established by Section 50661. Moneys deposited in that fund pursuant to this subdivision shall be used for purposes of the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(c) The department may establish maximum loan-to-value requirements for some or all of the types of projects that are eligible for funding under pursuant to this chapter.(d) The department shall establish per-unit and per-project loan limits for all project types.
SECTION 1. Section 50608 of the Health and Safety Code is amended to read:
### SECTION 1.
50608. (a) For any the loans issued pursuant to this chapter, principal and accumulated interest is due and payable upon completion of the term of the loan. The loan shall bear simple interest at the rate of 3 percent per annum on the unpaid principal balance. The department shall require annual loan payments in the minimum amount necessary to cover the costs of project monitoring. For the first 30 years of the loan term, the amount of the required loan payments shall not exceed 0.42 percent per annum. The department may, in its sole discretion, require a monitoring fee as authorized in Section 50607 in lieu of the required loan payment for a portion of or the full term of the loan.(b) All moneys received by the department in repayment of loans made pursuant to this chapter, including interest and payments in advance in lieu of future interest, shall be deposited in the Housing Rehabilitation Loan Fund established by Section 50661. Moneys deposited in that fund pursuant to this subdivision shall be used for purposes of the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(c) The department may establish maximum loan-to-value requirements for some or all of the types of projects that are eligible for funding under pursuant to this chapter.(d) The department shall establish per-unit and per-project loan limits for all project types.
50608. (a) For any the loans issued pursuant to this chapter, principal and accumulated interest is due and payable upon completion of the term of the loan. The loan shall bear simple interest at the rate of 3 percent per annum on the unpaid principal balance. The department shall require annual loan payments in the minimum amount necessary to cover the costs of project monitoring. For the first 30 years of the loan term, the amount of the required loan payments shall not exceed 0.42 percent per annum. The department may, in its sole discretion, require a monitoring fee as authorized in Section 50607 in lieu of the required loan payment for a portion of or the full term of the loan.(b) All moneys received by the department in repayment of loans made pursuant to this chapter, including interest and payments in advance in lieu of future interest, shall be deposited in the Housing Rehabilitation Loan Fund established by Section 50661. Moneys deposited in that fund pursuant to this subdivision shall be used for purposes of the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(c) The department may establish maximum loan-to-value requirements for some or all of the types of projects that are eligible for funding under pursuant to this chapter.(d) The department shall establish per-unit and per-project loan limits for all project types.
50608. (a) For any the loans issued pursuant to this chapter, principal and accumulated interest is due and payable upon completion of the term of the loan. The loan shall bear simple interest at the rate of 3 percent per annum on the unpaid principal balance. The department shall require annual loan payments in the minimum amount necessary to cover the costs of project monitoring. For the first 30 years of the loan term, the amount of the required loan payments shall not exceed 0.42 percent per annum. The department may, in its sole discretion, require a monitoring fee as authorized in Section 50607 in lieu of the required loan payment for a portion of or the full term of the loan.(b) All moneys received by the department in repayment of loans made pursuant to this chapter, including interest and payments in advance in lieu of future interest, shall be deposited in the Housing Rehabilitation Loan Fund established by Section 50661. Moneys deposited in that fund pursuant to this subdivision shall be used for purposes of the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).(c) The department may establish maximum loan-to-value requirements for some or all of the types of projects that are eligible for funding under pursuant to this chapter.(d) The department shall establish per-unit and per-project loan limits for all project types.
50608. (a) For any the loans issued pursuant to this chapter, principal and accumulated interest is due and payable upon completion of the term of the loan. The loan shall bear simple interest at the rate of 3 percent per annum on the unpaid principal balance. The department shall require annual loan payments in the minimum amount necessary to cover the costs of project monitoring. For the first 30 years of the loan term, the amount of the required loan payments shall not exceed 0.42 percent per annum. The department may, in its sole discretion, require a monitoring fee as authorized in Section 50607 in lieu of the required loan payment for a portion of or the full term of the loan.
(b) All moneys received by the department in repayment of loans made pursuant to this chapter, including interest and payments in advance in lieu of future interest, shall be deposited in the Housing Rehabilitation Loan Fund established by Section 50661. Moneys deposited in that fund pursuant to this subdivision shall be used for purposes of the Multifamily Housing Program (Chapter 6.7 (commencing with Section 50675)).
(c) The department may establish maximum loan-to-value requirements for some or all of the types of projects that are eligible for funding under pursuant to this chapter.
(d) The department shall establish per-unit and per-project loan limits for all project types.