Cal. Code Regs. tit. 25 § 7697

Current through Register 2024 Notice Reg. No. 17, April 26, 2024

Section 7697 - Residual Receipts Account

(a) The department shall establish a residual receipts account in the fund. Two percent of any allocation made to the fund shall be deposited into the account. Excess funds returned to the department pursuant to section 7684(f) shall be deposited into the account to replace the allocated funds in the account on a dollar for dollar basis. Funds so replaced shall remain in the fund available for loans pursuant to this subchapter.

(b) The department shall maintain a reserve in the account in an amount equal to two percent of all allocations to the fund for the purpose of avoiding or curing defaults pursuant to section 7693(e).

(c) When funds in the account exceed the two percent default reserve required pursuant to subdivision (b), the department may advance funds from the account for the following:

(1) payment of the cost of unforeseen capital improvements necessary to preserve fiscal integrity and maintain affordable rents; and

(2) reduction of rents of assisted units.

(d) All funds advanced pursuant to subdivision (c) shall be part of the deferred payment loan to the sponsor and subject to the same interest rate and terms of repayment.

Cal. Code Regs. Tit. 25, § 7697

1. New section filed 6-12-89 as an emergency pursuant to Health and Safety Code section 50668.5(g); operative 6-12-89 (Register 89, No. 24). A Certificate of Compliance must be transmitted to OAL within 120 days or the regulation will be repealed on 10-10-89. For history of former subchapter 8 (sections 7700-7714.5, not consecutive), see Register 85, No. 33.
2. New section refiled 10-6-89 as an emergency pursuant to Health and Safety Code section 50668.5(g) and Government Code section 11346.1(h); operative 10-10-89 (Register 89, No. 42). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 2-7-90.
3. New section refiled 2-5-90 as an emergency pursuant to Health and Safety Code section 50668.5(g) and Government Code section 11346.1(h); operative 2-7-90 (Register 90, No. 6). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 6-7-90.
4. Amendment of subsections (a)-(c) filed 3-5-90 as an emergency pursuant to Health and Safety Code section 50668.5(g); operative 3-5-90 (Register 90, No. 12). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 7-3-90.
5. Certificate of Compliance as to 2-5-90 and 3-5-90 orders transmitted to OAL 5-22-90 and filed 5-29-90 (Register 90, No. 29).

Note: Authority cited: Section 50668.5, Health and Safety Code. Reference: Section 50668.5, Health and Safety Code.

1. New section filed 6-12-89 as an emergency pursuant to Health and Safety Code section 50668.5(g); operative 6-12-89 (Register 89, No. 24). A Certificate of Compliance must be transmitted to OAL within 120 days or the regulation will be repealed on 10-10-89. For history of former subchapter 8 (sections 7700-7714.5, not consecutive), see Register 85, No. 33.
2. New section refiled 10-6-89 as an emergency pursuant to Health and Safety Code section 50668.5(g) and Government Code section 11346.1(h); operative 10-10-89 (Register 89, No. 42). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 2-7-90.
3. New section refiled 2-5-90 as an emergency pursuant to Health and Safety Code section 50668.5(g) and Government Code section 11346.1(h); operative 2-7-90 (Register 90, No. 6). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 6-7-90.
4. Amendment of subsections (a)-(c) filed 3-5-90 as an emergency pursuant to Health and Safety Code section 50668.5(g); operative 3-5-90 (Register 90, No. 12). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 7-3-90.
5. Certificate of Compliance as to 2-5-90 and 3-5-90 orders transmitted to OAL 5-22-90 and filed 5-29-90 (Register 90, No. 29).