BILL NUMBER: AB 1118	CHAPTERED  10/14/01

	CHAPTER  895
	FILED WITH SECRETARY OF STATE  OCTOBER 14, 2001
	APPROVED BY GOVERNOR  OCTOBER 14, 2001
	PASSED THE SENATE  SEPTEMBER 13, 2001
	PASSED THE ASSEMBLY  SEPTEMBER 13, 2001
	AMENDED IN SENATE  SEPTEMBER 10, 2001
	AMENDED IN SENATE  JUNE 13, 2001
	AMENDED IN ASSEMBLY  MAY 31, 2001
	AMENDED IN ASSEMBLY  MAY 16, 2001
	AMENDED IN ASSEMBLY  APRIL 16, 2001

INTRODUCED BY   Assembly Member Corbett
   (Coauthors:  Assembly Members Alquist, Cedillo, Chavez,
Strom-Martin, and Washington)
   (Coauthors:  Senators Alarcon, Figueroa, and Margett)

                        FEBRUARY 23, 2001

   An act to amend Section 3 of Chapter 899 of the Statutes of 1995,
relating to seismic activity, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1118, Corbett.  Seismic safety:  insurance:  tax credits:
retrofitting.
   Existing law requires the Department of Insurance to establish a
program for residential grants and loans to help pay for the
retrofitting of high-risk residential dwellings owned or occupied by
low- and moderate-income households, in order to minimize the risk of
earthquake damage to those dwellings and thereby reduce the costs of
residential earthquake insurance.  Existing law appropriates a
specified amount from the California Residential Earthquake Recovery
Fund to the Department of Insurance for the purposes of the program.
The funds are available until July 1, 2003.
   This bill would make the funds in the California Residential
Earthquake Recovery Fund available for expenditure until December 1,
2004, and would also appropriate the entire amount of funds not
previously appropriated from that fund, not to exceed $1,500,000, to
the Department of Insurance for purposes of the program.
   Appropriation:  yes.


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


  SECTION 1.  Section 3 of Chapter 899 of the Statutes of 1995, as
amended by Section 3 of Chapter 796 of the Statutes of 1999, is
amended to read:
  Sec. 3.  The sum of four million four hundred thousand dollars
($4,400,000) is appropriated from the California Residential
Earthquake Recovery Fund to the Department of Insurance for the
program established pursuant to this act.  During the second half of
the 1995-96 fiscal year, the Department of Insurance may use up to
one hundred fifty-nine thousand dollars ($159,000) for costs of
initial implementation and administration of the program.  During the
1996-97 and 1997-98 fiscal years, no more than two hundred thousand
dollars ($200,000) per fiscal year may be used by the department to
administer this program.  Thereafter, no more than two hundred
sixty-five thousand dollars ($265,000) per fiscal year may be used by
the department to administer the program.
   Money appropriated by this section shall be available for
expenditure until December 1, 2004.  On and after that date, the
program established by Chapter 899 of the Statutes of 1995 shall no
longer be operative.
  SEC. 2.  The entire amount of funds not previously appropriated,
not to exceed one million five hundred thousand dollars ($1,500,000),
is appropriated from the California Residential Earthquake Recovery
Fund to the Department of Insurance for the program established
pursuant to Chapter 899 of the Statutes of 1995.