BILL ANALYSIS Ó
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|SENATE RULES COMMITTEE | AB 697|
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THIRD READING
Bill No: AB 697
Author: V. Manuel Pérez (D), et al.
Amended: 5/4/11 in Assembly
Vote: 21
SENATE VETERANS AFFAIRS COMMITTEE : 7-0, 6/14/11
AYES: Correa, Cannella, Berryhill, Negrete McLeod, Rubio,
Runner, Lieu
NO VOTE RECORDED: Calderon
SENATE APPROPRIATIONS COMMITTEE : 9-0, 8/25/11
AYES: Kehoe, Walters, Alquist, Emmerson, Lieu, Pavley,
Price, Runner, Steinberg
ASSEMBLY FLOOR : 78-0, 5/19/11 (Consent) - See last page
for vote
SUBJECT : Veteran: acquisition of home: interest of
record
SOURCE : Author
DIGEST : This bill allows the Department of Veterans
Affairs (DVA) to acquire a home for the purpose of
refinancing an existing mortgage loan and requires the DVA
to adopt rules and regulations.
ANALYSIS : Existing law prohibits the DVA from acquiring
a home in which a veteran has an interest of record, except
in five circumstances:
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1. Where the application is for aid for the construction of
a home upon real property owned by the applicant and the
improvements to be constructed thereon have not reached
completion as evidenced by the issuance of a certificate
of occupancy; or
2. Where the veteran had no interest of record in the
property at the time of filing his/her application and
thereafter secured interim financing pending the
processing and approval of the application by DVA; or
3. Where the application is for the purchase of a
mobilehome to be situated upon real property, or an
undivided interest therein, owned by the applicant; or
4. Where the applicant is an Indian veteran and the
application is for the construction of a dwelling house
or other improvements on, or for the purchase of a
mobilehome to be sited on, trust land in which the
Indian veteran has a beneficial interest or owns an
interest of record; or
5. Where the application is for assistance to enable the
veteran to purchase his or her space, or share in a
mobilehome park, which is converted from a rental park
to a nonprofit corporate resident-owned park or
subdivision, cooperative, or condominium for
mobilehomes, in which the veteran resides in his/her
mobilehome.
FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes
Local: No
According to the Senate Appropriations Committee:
Fiscal Impact (in thousands)
Major Provisions 2011-12 2012-13
2013-14 Fund
Expansion of home -unknown, potentially
significant- Special*
loan program
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Regulations -----------minor,
absorbable--------- General
* Cal Vet Home Loan Fund
SUPPORT : (Verified 8/26/11)
American Legion-Department of California
AMVETS- Department of California
California Association of Veterans Service Officers
California State Commanders Veterans Council
United Veteran's Council of Imperial County
Vietnam Veterans of America-California State Council
ARGUMENTS IN SUPPORT : The California State Commanders
Veterans Council writes, "The members of the council fully
understand the logic of providing the 'CalVet' program the
ability to issue refinance loans for Veterans contracts
held by another bank."
The United Veteran's Council of Imperial County writes that
this bill "will not only allow for CalVet to refinance
existing home loans, but in doing so it enables eligible
veterans to stay in their homes, continue to build good
credit, and enhance their local and state economies."
ASSEMBLY FLOOR :
AYES: Achadjian, Allen, Ammiano, Atkins, Beall, Bill
Berryhill, Block, Blumenfield, Bonilla, Bradford,
Brownley, Buchanan, Butler, Charles Calderon, Campos,
Carter, Cedillo, Chesbro, Conway, Cook, Davis, Dickinson,
Donnelly, Eng, Feuer, Fletcher, Fong, Fuentes, Furutani,
Beth Gaines, Galgiani, Garrick, Gatto, Gordon, Grove,
Hagman, Halderman, Hall, Harkey, Hayashi, Roger
Hernández, Hill, Huber, Hueso, Huffman, Jeffries, Jones,
Knight, Lara, Logue, Bonnie Lowenthal, Ma, Mansoor,
Mendoza, Miller, Mitchell, Monning, Morrell, Nestande,
Nielsen, Norby, Olsen, Pan, Perea, V. Manuel Pérez,
Portantino, Silva, Skinner, Smyth, Solorio, Swanson,
Torres, Valadao, Wagner, Wieckowski, Williams, Yamada,
John A. Pérez
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NO VOTE RECORDED: Alejo, Gorell
RM:mw 8/26/11 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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