Section 7231 - Regulatory Agreement(a) In order to close a loan, a recipient shall enter into a regulatory agreement with the Department with a term not less than the term of the loan. The regulatory agreement shall be recorded against the rental housing development property prior to the disbursement of any Program funds.(b) The Regulatory Agreement shall be in a form determined by the Department and shall contain, but not be limited to, the following: (1) The number, type and income level of Assisted Units pursuant to Section 7209.(2) Standards for tenant selection pursuant to Section 8305.(3) Provisions regulating the terms of the rental agreement pursuant to Section 8307.(4) Provisions related to operation of the project pursuant to Section 7234.(5) Provisions for limitation on distributions pursuant to Section 8314.(6) Description of the conditions constituting breach of the regulatory agreement and remedies available to the parties thereto.(7) Provisions governing use and operation of non-Assisted Units and common areas to the extent necessary to ensure compliance with Program requirements.(8) Provisions specifying that the regulatory agreement shall be binding on all successors and assigns of the borrower.(9) Other provisions necessary to assure compliance with the requirements of the Program.Cal. Code Regs. Tit. 25, § 7231
1. New section filed 4-2-2008; operative 5-2-2008 (Register 2008, No. 14). Note: Authority cited: Sections 50402 and 50406, Health and Safety Code. Reference: Section 50517.5, Health and Safety Code.
1. New section filed 4-2-2008; operative 5-2-2008 (Register 2008, No. 14).