CaliforniaCalifornia Health Facilities Financing Authority Act.
What it does
The California Health Facilities Financing Authority Act authorizes the California Health Facilities Financing Authority to, among other things, make loans from the continuously appropriated California Health Facilities Financing Authority Fund to participating health institutions for financing or refinancing the acquisition, construction, or remodeling of health facilities. Under existing law, participating health institutions are specified entities authorized by state law to provide or operate a health facility and undertake the financing or refinancing of the construction or acquisition of a project or of working capital, as defined. Existing law defines "working capital" as moneys to be used by, or on behalf of, a participating health institution for specified expenses in connection with the ownership or operation of a health facility, including interest not to exceed 2 years on any loan for working capital made pursuant to these provisions.
More detail
Existing law requires a participating health institution that is a private nonprofit corporation or association and that borrows money to finance working capital to repay and discharge the loan within 24 months of the loan date.
This bill would change the definition of "working capital" to remove the 2-year cap on interest on any loan for working capital. The bill would delete the provision requiring a participating health institution that is a private nonprofit corporation or association to repay and discharge a loan for working capital within 24 months.
Existing law requires the authority to establish financial eligibility standards by studying the creditworthiness and earning capacity of each project, together with the amount of pledged revenues, debt service coverage, and basic security.
The bill would also require the authority to establish financial eligibility standards for working capital loans by studying the creditworthiness of a participating health institution, along with the amount of pledged venues, debt service coverage, and basic security. The bill would prohibit a participating health institution that is determined to be in financial distress from being deemed financially eligible.
By expanding the purpose for which the above-described continuously appropriated fund may be used, the bill would make an appropriation from that fund. The bill would make legislative findings relating to the purpose of the bill.
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Where it stands
- Introduced
- Passed Assembly
- Passed Senate
- To Governor
- Became Law
Looking ahead
No hearings or votes scheduled.
History
- 2025
- Oct 6Chaptered by Secretary of State - Chapter 377, Statutes of 2025.Latest
- Oct 6Approved by the Governor Gavin Newsom.Became Law
- Sep 11Enrolled and presented to the Governor at 4 p.m.To Governor
- Sep 4Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 78. Noes 0. Page 2910.).Major
- Vote recorded AB 627 Stefani Concurrence in Senate Amendments. Result: pass.Lower
- Sep 2In Assembly. Concurrence in Senate amendments pending.
- Vote recorded 3rd Reading AB627 Stefani et al. By Richardson. Result: pass.Upper
- Sep 2Read third time. Passed. Ordered to the Assembly. (Ayes 40. Noes 0. Page 2390.).Passed Senate
- Jul 7Read second time. Ordered to third reading.Minor
- Jul 3Read third time and amended. Ordered to second reading.Major
- Jul 3Ordered to third reading.Minor
- Jul 3From Consent Calendar.
- Jul 1Read second time. Ordered to Consent Calendar.Minor
- Jun 30From committee: Be ordered to second reading file pursuant to Senate Rule 28.8 and ordered to Consent Calendar.Minor
- Jun 12From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 9. Noes 0.) (June 11). Re-referred to Com. on APPR.Minor
- Jun 11
- Vote recorded Do pass, but first be re-referred to the Committee on [Appropriations] with the recommendation: To Consent Calendar. Result: pass.Upper
- May 14Referred to Com. on HEALTH.Minor
- May 1In Senate. Read first time. To Com. on RLS. for assignment.Minor
- Vote recorded AB 627 Stefani Consent Calendar Second Day. Result: pass.Lower
- May 1Read third time. Passed. Ordered to the Senate. (Ayes 76. Noes 0. Page 1387.)Passed Assembly
- Apr 24Read second time. Ordered to Consent Calendar.Minor
- Apr 23From committee: Do pass. To Consent Calendar. (Ayes 15. Noes 0.) (April 23).Minor
- Vote recorded Do pass. To Consent Calendar. Result: pass.Lower
- Apr 8Re-referred to Com. on APPR.Minor
- Apr 7Read second time and amended.Major
- Apr 3From committee: Amend, and do pass as amended and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 15. Noes 0.) (April 1).Major
- Apr 1
- Vote recorded Do pass as amended, and be re-referred to the Committee on [Appropriations] with recommendation: To Consent Calendar. Result: pass.Lower
- Feb 24Referred to Com. on HEALTH.Minor
- Feb 14From printer. May be heard in committee March 16.
- Feb 13Read first time. To print.Introduced