BILL NUMBER: AB 2087	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 19, 2010
	AMENDED IN ASSEMBLY  APRIL 6, 2010

INTRODUCED BY   Assembly Member Torres

                        FEBRUARY 18, 2010

   An act to amend Section 987.53 of the Military and Veterans Code,
relating to veterans.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2087, as amended, Torres. Veterans' farm and home purchases:
definition: home.
   Existing law provides for farm and home purchase benefits for
qualifying veterans under the Veterans' Farm and Home Purchase Act of
1974, and subsequent acts, which are collectively referred to as the
CalVet Home Loan program. Existing law defines "home" for purposes
of this program to mean a parcel of real estate upon which there is a
dwelling house and other buildings that will suit the needs of the
purchaser and the purchaser's dependents as a place of abode, which
includes a condominium, as defined, and a mobilehome, as defined.
   This bill would expand the definition of home to include
residences with 2 to 4 units, inclusive, that satisfy specified
requirements  and that are only occupied by veterans and their
families  .
   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.  Section 987.53 of the Military and Veterans Code is
amended to read:
   987.53.  As used in this article:
   (a) "Farm" means a tract of land, which, in the opinion of the
department, is capable of producing sufficient income to provide
payment of the amortized contract installments, including principal,
interest, and taxes.
   (b) "Home" means a parcel of real estate upon which there is a
dwelling house and other buildings that will, in the opinion of the
department, suit the needs of the purchaser and the purchaser's
dependents as a place of abode. "Home" includes all of the following:

   (1) A condominium as defined in subdivision (h).
   (2) A mobilehome as defined in subdivision (k).
   (3) A residence with two to four units, inclusive, that satisfies
the requirements of Section 143(k)(7) of the Internal Revenue Code
 and that is only occupied by veterans and their families  .

   (c) "Purchaser" means a veteran or any person who has entered into
a contract of purchase of a farm or home from the department.
   (d) "Purchase price" means the price which the department pays for
any farm or home.
   (e) "Selling price" means the price for which the department sells
any farm or home.
   (f) "Initial payment" means the first payment to be made by a
purchaser to the department for a farm or home.
   (g) "Progress payment plan" means payment by the department for
improvements on real property in installments as work progresses.
   (h) "Condominium" means an estate in real property consisting of
an undivided interest in common in a portion of a parcel of real
property together with a separate interest in space in a residential
building on the real property, such as an apartment, which, in the
opinion of the department, suits the needs of the purchaser and the
purchaser's dependents as a place of abode. A condominium may
include, in addition, a separate interest in other portions of the
real property.
   (i) "Effective rate of interest" means the average rate of
interest on the unpaid balance due on a participation contract to
which the department's legal rights are subject, and the rate of
interest on the unpaid balance of the purchase price, as determined
by the department.
   (j) "Participation contract" means an obligation secured by a deed
of trust or mortgage, or other security interest established
pursuant to regulations of the department.
   (k) "Mobilehome" means either a parcel of real estate, or an
undivided interest in common in a portion of a parcel of real
property, on which is sited one or more mobilehome modules, or a site
in a mobilehome park, as defined in Section 18214 of the Health and
Safety Code, on which one or more mobilehome modules is sited or is
to be sited that will, in the opinion of the department, suit the
needs of the purchaser and the purchaser's dependents as a place of
abode and meets all requirements of local governmental jurisdictions.
However, where the mobilehome module or modules are sited on trust
land, "local governmental jurisdictions" means the tribal governing
body.
   For purposes of this subdivision, "module" means a section of a
mobilehome at least 10 feet wide and at least 40 feet long.
   (  l  ) "Indian veteran" means a veteran, as defined in
Section 980, who, in addition, either belongs to an Indian tribe,
band, group, reservation, rancheria, or community which is recognized
by the United States as eligible for services from the United States
Bureau of Indian Affairs or is an Indian beneficiary and who is
eligible under this article for purchase by the department of a home
or farm sited on trust land.
   (m) "Trust land," with respect to an Indian veteran, means land
held in trust by the United States government for individual Indians,
Indians who belong to Indian tribes, or Indian tribes.
   (n) "Allotment trust land" means land held by the United States
under the Indian General Allotment Act of 1887, as amended, (Chapter
9 (commencing with Section 331) of Title 25 of the United States
Code), in trust for an individual Indian or for two or more Indians
holding individual interests in common. It includes both trust and
restricted public domain allotments and allotments within the
boundaries of an Indian reservation.
   (o) "Tribal trust land" means land held in trust by the United
States for an Indian tribe or band.
   (p) "Tribe" means any Indian tribe, band, group, reservation,
rancheria, or community which is recognized by the United States as
eligible for services from the United States Bureau of Indian
Affairs.
   (q) "Immediate family" means the spouse of a purchaser, the
natural or adopted dependent children of the purchaser, and the
parents of the purchaser if they are dependent on the purchaser for
50 percent or more of their support.
   (r) "Indian beneficiary" means an Indian for whom land is held in
trust by the United States government.