Assembly Bill No. 325

CHAPTER 397

An act to add Section 50832.2 to the Health and Safety Code, relating to economic development.

[Approved by Governor October 1, 2015. Filed with Secretary of State October 1, 2015.]

LEGISLATIVE COUNSEL’S DIGEST

AB 325, Wood. Community Development Block Grant Program.

Existing law requires the Department of Housing and Community Development to allocate funds under the federal Community Development Block Grant Program to cities and counties. Existing law requires the department to determine and announce, in the applicable Notice of Funding Availability, the maximum amount of grant funds that may be used for economic development projects and programs, housing for persons and families of low or moderate income or for purposes directly related to the provision or improvement of housing opportunities for these persons and families, and for cities and counties that apply on behalf of certain Indian tribes. Existing law requires the department to develop and use certain eligibility criteria and requirements for certain economic development fund applications.

This bill would require the department, no later than 60 days, except as specified, after the department notifies an applicant that the department has approved the applicant’s application for those grant funds, to provide a grant agreement to the applicant. The bill would require the department, when the department enters into a grant agreement with an applicant, to provide the applicant with a complete and final list of activities the applicant must complete in order to receive a disbursement of funds pursuant to the agreement. The bill would authorize the department to make changes to the final list of activities if the applicant makes changes to the original application or the federal government or the Legislature requires changes. The bill would also require the department, no later than 30 days after receiving a grantee’s request for disbursement of funds, to notify the grantee that the department has approved disbursement or to provide the grantee with a complete and final list of all of the remaining activities the grantee must complete, as specified.

The people of the State of California do enact as follows:

SECTION 1.  

Section 50832.2 is added to the Health and Safety Code, to read:

50832.2.  

(a) (1) No later than 60 days after the department notifies an applicant that the department has approved the applicant’s application for funds pursuant to this chapter, the department shall provide a grant agreement to the applicant. The 60 days’ notice requirement shall not apply if the federal government or the Legislature makes significant changes to the Community Development Block Grant Program.

(2) When the department enters into a grant agreement with an applicant, the department shall provide the applicant with a complete and final list of all of the activities the applicant must complete in order to receive a disbursement of funds pursuant to the agreement. The department may make appropriate and corresponding changes to the complete and final list of activities if the applicant makes changes to the original application or the federal government or the Legislature requires changes.

(b) No later than 30 days after the department receives a request for the disbursement of funds from a grantee, the department shall take either of the following actions:

(1) Notify the grantee that the department has approved disbursement of the funds.

(2) Provide the applicant with a complete and final list of all of the remaining activities the applicant must complete in order for the department to approve disbursement of the funds.



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