Today's Law As Amended


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AB-2098 California Health Facilities Financing Authority Act: nondesignated hospitals: loan repayment.(2023-2024)



As Amends the Law Today


SECTION 1.

 Chapter 5 (commencing with Section 129400) is added to Part 6 of Division 107 of the Health and Safety Code, to read:

CHAPTER  5. Health Facility Grants and Loans
129400.
 The following definitions apply for purposes of this section:
(a) “Authority” means the California Health Facilities Financing Authority.
(b) “Nondesignated public hospital” means a public hospital as that term is defined in subdivision (l) of Section 14165.55 of the Welfare and Institutions Code, excluding those affiliated with county health systems.
129401.
 (a) The authority shall extend the repayment period as described in subdivision (b) for nondesignated public hospitals participating in the loan program authorized under Provision (1) of Item 0977-101-0001 of Section 2.00 of the Budget Act of 2022 (Chapter 45 of the Statutes of 2022) that had received a loan approval from, and entered into a loan and security agreement with, the authority.
(b) Notwithstanding Provision (1)(e) of Item 0977-101-0001 of Section 2.00 of the Budget Act of 2022 (Chapter 45 of the Statutes of 2022) and any other law to the contrary, a nondesignated public hospital participating in the loan program described in subdivision (a) that had received a loan approval from, and entered into a loan and security agreement with, the authority shall be required to begin monthly repayments on the loan 24 months after the date of that loan, and shall discharge the loan within 72 months of the date of that loan. The monthly payments shall be amortized over the term of the loan, at 0 percent interest. There shall be no prepayment penalty.
(c) Except as provided in subdivision (b), this section shall not be construed to amend or otherwise affect the requirements of, or the authorities conferred to implement, the loan program pursuant to Provision (1) of Item 0977-101-0001 of Section 2.00 of the Budget Act of 2022 (Chapter 45 of the Statutes of 2022).