BILL NUMBER: AB 1383	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Pavley

                        FEBRUARY 22, 2005

   An act to add and repeal Chapter 5.6 (commencing with Section
25460) of Division 15 of the Public Resources Code, relating to
energy.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 1383, as introduced, Pavley.   Solar energy: Low-Income Housing
Development Revolving Loan Program.
   (1) Existing law establishes various revolving loan programs to
provide loans for specified purposes, including recycling market
development and renewable energy resources.
   This bill would establish, until January 1, 2011, the Low-income
Housing Development Revolving Loan Program to subsidize the financing
gap for distributed solar energy systems in low-income housing
units. The bill would create the Low-income Housing Development
Revolving Loan Fund (the fund) for the purpose of providing loans for
program purposes.
   The bill would require the State Energy Resources Conservation and
Development Commission to take various actions to administer the
program, upon the appropriation of money in the fund for that purpose
in the annual Budget Act.
   (2) The bill would provide that its provisions shall only be
implemented if funding for its purposes is made available in the
annual Budget Act.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Chapter 5.6 (commencing with Section 25460) is added to
Division 15 of the Public Resources Code, to read:
      CHAPTER 5.6.  LOW-INCOME HOUSING DEVELOPMENT REVOLVING LOAN
PROGRAM

   25460.  As used in this chapter, the following terms have the
following meanings:(a) "Agency" means the state agency with which the
commission enters into a memorandum of understanding to administer
the program.
   (b) "Fund" means the Low-income Housing Development Revolving Loan
Fund created by Section 25462.
   (c) "Program" means the Low-income Housing Development Revolving
Loan Program.
   25461.  The Low-Income Housing Development Revolving Loan Program
is hereby established to subsidize the financing gap for distributed
solar energy systems in low-income housing units.
   25462.  (a) The Low-income Housing Development Revolving Loan
Program Fund is hereby created in the State Treasury for the purpose
of providing loans for purposes of the program.(b) The agency may
expend interest earnings on money in the fund for administrative
expenses incurred in carrying out the program, upon the appropriation
of money in the fund for that purpose in the annual Budget Act.
   (c) The money from any loan repayments and fees, including, but
not limited to, principal and interest repayments, fees and points,
recovery of collection costs, income earned on any asset recovered
pursuant to a loan default, and money collected through foreclosure
actions, shall be deposited in the fund.
   (d) All interest accruing on interest payments from loan
applicants shall be deposited in the fund.
   (e) The agency may expend the money in the fund to make loans to
local governing bodies, private businesses, and nonprofit entities to
subsidize the financing gap for distributed solar energy systems in
low-income housing units.
   (f) The agency shall establish and collect fees for applications
for loans authorized by this section. The application fee shall be
set at a level that is sufficient to fund the agency's cost of
processing applications for loans. In addition, the agency shall
establish a schedule of fees, or points, for loans which are entered
into by the agency, to fund the agency's administration of the
program.
   (g) The agency may expend money in the fund for the administration
of the program, upon the appropriation of money in the fund for that
purpose in the annual Budget Act.
   (h) The agency may set aside money for the purposes of paying
costs necessary to protect the state's position as a lender-creditor.
These costs shall be broadly construed to include, but not be
limited to, foreclosure expenses, auction fees, title searches,
appraisals, real estate brokerage fees, attorney fees, mortgage
payments, insurance payments, utility costs, repair costs, removal
and storage costs for repossessed equipment and inventory, and
additional expenditures to purchase a senior lien in foreclosure or
bankruptcy proceedings.
   25463.    This chapter shall remain in effect only until January
1, 2011, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2011, deletes or extends
that date.
  SEC. 2.  This act shall only be implemented if funding for its
purposes is made available in the annual Budget Act.