2009 California Government Code - Section 15820.80-15820.86 :: Chapter 3.10. Teaching Hospital Seismic Program

15820.80.  For the purposes of this article, "Regents" means the
Regents of the University of California.

15820.81.  The Regents of the University of California may acquire,
design, construct, or renovate acute care hospital buildings, as
defined in subdivision (k) of Section 130005 of the Health and Safety
Code, on a site or sites owned by, or subject to a lease or option
to purchase held by, the regents to implement the compliance plan
developed by the regents pursuant to subdivision (b) of Section
130050 of the Health and Safety Code. The scope and costs of these
projects shall be subject to approval and administrative oversight by
the State Public Works Board, including augmentations, pursuant to
Section 13332.11 of the Government Code.

15820.82.  Project financing requests from the regents shall be
accompanied by an opinion of bond counsel to the effect that the
board's bonds issued for the project will be able to receive a
customary approving opinion as to state law and federal income tax
law. The costs of obtaining the legal opinion shall not be eligible
for reimbursement from the proceeds of the bonds.

15820.83.  The board and the regents may borrow funds for project
costs, excluding preliminary plans and working drawings, from the
Pooled Money Investment Account pursuant to Sections 16312 and 16313.
Bond proceeds may be utilized to reimburse the regents for the costs
of preliminary plans and working drawings for board approved
projects, however, the regents shall provide interim financing for
these costs. Project funds expended prior to project approval by the
board shall not be reimbursable from the proceeds of the bonds.

15820.84.  (a) The board may issue up to six hundred million dollars
($600,000,000) in revenue bonds, negotiable notes, or negotiable
bond anticipation notes pursuant to this part, to finance the
acquisition, design, or construction, including both new construction
or renovation projects, authorized in Section 15820.80. Authorized
costs for acquisition, design, construction, and construction related
costs, including augmentations pursuant to Section 13332.11, for all
projects approved for financing by the board pursuant to Section
15820.81, shall not exceed six hundred million dollars
($600,000,000). (b) This section shall become inoperative on June 30,
2010, and, as of January 1, 2011, is repealed, unless a later
enacted statute, that becomes operative on or before January 1, 2011,
deletes or extends the dates on which it becomes inoperative and is
repealed.

15820.85.  Notwithstanding Section 15820.84, the amount of revenue
bonds, negotiable notes, or negotiable bond anticipation notes to be
sold shall equal the following:
   (a) The cost of acquisition, design, construction or construction
management and supervision, and other costs related to the design and
construction of the facilities, including augmentations.
   (b) Sums necessary to pay interim financing.
   (c) In addition to the amount authorized by Section 15820.84, any
additional amount as may be authorized by the board, including, but
not limited to, the costs of financing. The costs of financing
include, but are not limited to, interest during construction of the
project, a reasonably required reserve fund, and the cost of issuance
of permanent financing.

15820.86.  (a) The board and the regents may lease any properties of
the regents to facilitate the financing authorized by this chapter
that is mutually agreed by the board and the regents. Accordingly,
the property leased between the board and the regents for the
purposes of these financings need not be the same property that is
acquired, renovated, or improved with the proceeds of the board's
bonds.
   (b) It is the intent of the Legislature that, to the greatest
degree possible, the rental paid by the regents to the board in
connection with these financings shall utilize teaching hospital
revenues of the regents, but only to the extent lawfully available to
pay that rental.