2007 California Health and Safety Code Article 7. Small Facility Loan Guarantee For Developmental Disability Programs

CA Codes (hsc:129275-129295)

129275.  This article shall be known and may be cited as the Small
Facility Loan Guarantee for Developmental Disability Programs.



129280.  It is the intent of the Legislature in enacting this
article to encourage the development of facilities for
community-based programs that assist developmentally disabled clients
living in any institutional setting, including state and local
inpatient hospitals, skilled nursing homes, intermediate care
facilities, and community care facilities to move to more independent
living arrangements.  It is further the intent of the Legislature to
encourage local programs to seek funding for facility development
from private sources and with the assistance provided pursuant to
this chapter.
   To achieve this purpose in determining eligibility for loan
insurance pursuant to this chapter, the following special provisions
apply to facilities approved by area developmental disabilities
boards and meeting the intentions of this article:
   (a) Facilities shall not require approval pursuant to Section
129295 by the statewide system of health facility planning, the area
health planning agency, or the Health Advisory Council, for the
issuance of loan insurance, unless specifically required for the
facilities by the facility category of licensure.
   (b) Notwithstanding subdivision (i) of Section 129050, any loan of
under three hundred thousand dollars (0,000) for a nonprofit
corporation as well as a political subdivision may be fully insured
equal to the total construction cost.
   (c) Facilities shall not require approval pursuant to Section
129020 by the statewide system of health facility planning, the area
health planning agency, or the Health Advisory Council, for the
issuance of loan insurance, until the director of the office and the
Director of the Department of Developmental Services determine that
the state plan developed pursuant to Section 129020 adequately and
comprehensively addresses the need for community developmental
services facilities and that finding is reported to the appropriate
policy committees of the Legislature.



129285.  (a) Loans of under three hundred thousand dollars
(0,000) for any single facility for six or fewer developmentally
disabled shall have priority for obtaining loan insurance.
   (b) The total amount of loans that may be insured pursuant to this
article shall not exceed fifteen million dollars (,000,000).




129290.  If any provision of this article or the application thereof
to any person or circumstances is held invalid, that invalidity
shall not affect other provisions or applications of this article
that can be given effect without the invalid provision or
application, and to this end the provisions of this article are
severable.



129295.  The office shall establish a pilot program under this
article of insuring loans to nonprofit borrowers that are not
licensed to operate the facilities for which the loans are insured.
The number of facilities for which loans are insured under this
section shall not exceed 30 and the aggregate amount of loans insured
under this section shall not exceed six million dollars
(,000,000), that may be in addition to the maximum loan insurance
amount otherwise authorized by subdivision (b) of Section 129285.
Construction of all projects assisted under this section shall be
commenced on or before January 1, 1990.
   The office may delay processing or decline acceptance of loan
guarantee applications under this section if the volume of
applications becomes too large for existing staff to process in a
timely manner or if risks associated with the pilot program are
determined by the office to be unreasonable.