SLS 10RS-1853 REENGROSSED Page 1 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Regular Session, 2010 SENATE BILL NO. 747 BY SENATOR JACKSON FUNDS/FUNDING. Provides that applicants for Road Home grants who were denied because of unresolved succession/heirship issues be given a grant subject to a covenant restriction filed against the property. (gov sig) AN ACT1 To enact R.S. 40:600.66(C), (D) and (E) and R.S. 49:220.10, relative to housing needs in2 declared disaster areas as a result of hurricanes Katrina and Rita; to provide with3 respect to Road Home Program applicants whose claims were denied because of4 unresolved succession and inheritance issues; to provide certain terms, conditions,5 and procedures; to provide relative to disbursal of certain funding; to provide for an6 effective date; and to provide for related matters.7 Be it enacted by the Legislature of Louisiana:8 Section 1. R.S. 40:600.66(C), (D) and (E) are hereby enacted to read as follows: 9 §600.66. Powers and responsibilities of the Road Home Corporation and the10 Louisiana Land Trust11 * * *12 C. (1) Notwithstanding any other provision of law to the contrary, those13 Road Home applicants whose claims were denied because of unresolved14 succession or inheritance issues shall be awarded a Road Home grant, together15 with a covenant restriction filed against the property to reserve the rights of the16 Road Home Corporation, or its successor in interest, for any claims arising in17 SB NO. 747 SLS 10RS-1853 REENGROSSED Page 2 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. favor of the Road Home Corporation against the applicant subsequent to the1 awarding of the grant. The covenant restriction shall be satisfied and removed2 upon the occurrence of either of the following:3 (a) The signing of a judgment of possession in favor of the Road Home4 grant recipient subject to the covenant restriction.5 (b) The sale or transfer of the property subject to the covenant6 restriction by the Road Home grant recipient in which the purchaser, heir, or7 beneficiary receiving the property executes a mortgage in favor of the Road8 Home Corporation, or secures a mortgage from a third party and repays the9 Road Home Corporation the amount of the Road Home grant received for the10 property.11 (2) The Road Home Corporation, or its successor in interest, is12 authorized to investigate annually the ownership status of property subject to13 the provisions of Paragraph (1) of this Subsection, in order to protect its14 financial interest in the property improved with funds from the Road Home15 grant program.16 D. Road Home funding for those applicants listed in Subsection C of this17 Section shall only be dispensed in accordance with revised program rules for the18 Road Home Program, as reflected in a duly amended Action Plan approved by19 the United States Department of Housing and Urban Development. In the event20 that the United States Department of Housing and Urban Development does not21 approve such amended Action Plan authorizing the use of funds in accordance22 with the provisions of Subsection C of this Section and of R.S. 49:220.10, those23 provisions shall be with effect.24 E. Nothing in either Subsection C of this Section or of R.S. 49:220.1025 shall be deemed to create any right or cause of action.26 Section 2. R.S. 49:220.10 is hereby enacted to read as follows:27 § 220.10. Claims of certain Road Home Program applicants28 A. Notwithstanding any other provision of law to the contrary, those29 SB NO. 747 SLS 10RS-1853 REENGROSSED Page 3 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. Road Home applicants whose claims were denied because of unresolved1 succession or inheritance issues shall be awarded a Road Home grant, together2 with a covenant restriction filed against the property to reserve the rights of the3 Road Home Corporation, or its successor in interest, for any claims arising in4 favor of the Road Home Corporation against the applicant subsequent to the5 awarding of the grant. The covenant restriction shall be satisfied and removed6 upon the occurrence of either of the following:7 (1) The signing of a judgment of possession in favor of the Road Home8 grant recipient subject to the covenant restriction.9 (2) The sale or transfer of the property subject to the covenant10 restriction by the Road Home grant recipient in which the purchaser, heir, or11 beneficiary receiving the property executes a mortgage in favor of the Road12 Home Corporation, or secures a mortgage from a third party and repays the13 Road Home Corporation the amount of the Road Home grant received for the14 property.15 B. The Road Home Corporation, or its successor in interest, is16 authorized to investigate annually the ownership status of property subject to17 the provisions of Subsection A of this Section, in order to protect its financial18 interest in the property improved with funds from the Road Home grant19 program.20 Section 3. This Act shall become effective upon signature by the governor or, if not21 signed by the governor, upon expiration of the time for bills to become law without signature22 by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If23 vetoed by the governor and subsequently approved by the legislature, this Act shall become24 effective on the day following such approval.25 SB NO. 747 SLS 10RS-1853 REENGROSSED Page 4 of 4 Coding: Words which are struck through are deletions from existing law; words in boldface type and underscored are additions. The original instrument was prepared by Thomas F. Wade. The following digest, which does not constitute a part of the legislative instrument, was prepared by Ann S. Brown. DIGEST Jackson (SB 747) Proposed law provides for those Road Home applicants whose claims were denied because of unresolved succession or inheritance issues, and provides for the awarding of a Road Home grant, together with a covenant restriction filed against the property to reserve the rights of the Road Home Corporation, or its successor in interest, for any claims arising in favor of the Road Home Corporation against the applicant subsequent to the awarding of the grant. Provides that the covenant restriction shall be satisfied and removed upon the occurrence of either of the following: (1)The signing of a judgment of possession in favor of the Road Home grant recipient subject to the covenant restriction. (2) The sale or transfer of the property subject to the covenant restriction by the Road Home grant recipient in which the purchaser, heir, or beneficiary receiving the property executes a mortgage in favor of the Road Home Corporation, or secures a mortgage from a third party and repays the Road Home Corporation the amount of the Road Home grant received for the property. Proposed law further provides that the Road Home Corporation, or its successor in interest, is authorized to investigate annually the ownership status of property subject to the provisions of proposed law, in order to protect its financial interest in the property improved with funds from the Road Home grant program. Proposed law provides that the disbursal of such funds shall be in accordance with the revised program rules for the Road Home program, as reflected in a duly amended Action Plan approved by the United States Dept. of Housing & Urban Development. Further provides that if the Action Plan is not approved, certain provisions of proposed law shall be with effect. Proposed law also specifies that nothing in proposed law shall be deemed to create any right or cause of action. Effective upon signature of the governor or lapse of time for gubernatorial action. (Adds R.S. 40:600.66(C), (D), and (E) and R.S. 49:220.10) Summary of Amendments Adopted by Senate Senate Floor Amendments to engrossed bill. 1. Adds the provision which provides for the terms, conditions, and procedures regarding the disbursal of such funds. 2. Specifies that nothing in the provisions of proposed law shall be deemed to create any right or cause of action. 3. Technical amendments.