§ 7157. Protection of Program Funds.
25 CA ADC § 7157Barclays Official California Code of Regulations
25 CCR § 7157
§ 7157. Protection of Program Funds.
(a) In order to protect the Program Funds awarded to a Grantee, the Grantee shall provide the Program Funds in the form of a loan evidenced by a promissory note the repayment of which shall be secured either by a deed of trust recorded against the title to the real property or a security interest in the manufactured home being assisted with Program Funds. The promissory note shall contain a special provision that repayment shall be made to the Department in the event that the Grantee is no longer in operation.
(1) The Grantee and the housing developer borrower shall enter into a development loan agreement setting forth the terms and conditions for closing and disbursing the Program Funds which shall include, but not be limited to, requirements for title insurance for the deed of trust, and the borrower's responsibilities and obligations with respect to hazardous substance detection, disclosure, and remediation.
Credits
Note: Authority cited: Section 50406(n), Health and Safety Code. Reference: Sections 50843.5 and 53545.9(c), Health and Safety Code.
History
1. New section filed 12-5-2008; operative 12-5-2008 pursuant to Government Code section 11343.4 (Register 2008, No. 49).
This database is current through 6/21/24 Register 2024, No. 25.
Cal. Admin. Code tit. 25, § 7157, 25 CA ADC § 7157
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