Plain English Breakdown
The official text confirms waivers are based on a combination of factors but does not detail specific thresholds or frequency limits.
AB-2626: Housing Program Financing Changes
This law allows the Department of Housing and Community Development to waive certain loan payments if monitoring costs are low or a project cannot afford them.
What This Bill Does
- Allows the department to waive residual receipts on housing loans.
- Permits waiving minimum annual loan payments used for project monitoring required under regulatory agreements.
- Requires waivers to be based on the department's actual costs and the project's ability to pay.
Who It Names or Affects
- The Department of Housing and Community Development
- Housing projects that receive deferred payment loans from the state
Terms To Know
- Residual receipts
- Payments required under a regulatory agreement, which may be waived by the department.
- Deferred payment loans
- Financial assistance provided to pay for eligible costs of developing specified types of housing projects.
Limits and Unknowns
- The bill does not specify how often waivers can be given.
- It is unclear if this change applies to all existing loans or only new ones, as the text refers generally to 'existing law' programs without specifying a start date for these changes.