BILL ANALYSIS                                                                                                                                                                                                    �






           SENATE TRANSPORTATION & HOUSING COMMITTEE       BILL NO: ab 2753
          SENATOR MARK DESAULNIER, CHAIRMAN              AUTHOR:  asm H&CD
                                                         VERSION: 6/17/14
          Analysis by:  Mark Stivers                     FISCAL:  yes
          Hearing date:  June 24, 2014



          SUBJECT:

          Housing omnibus bill

          DESCRIPTION:

          This bill makes technical and non-controversial changes to  
          various sections of the law dealing with housing.  

          ANALYSIS:

          By combining multiple matters into one bill, the Legislature can  
          make minor changes to law in the most cost-effective manner.

           This bill  includes the following provisions:

          1.Extra Credit Teacher Home Purchase (ECTHP) Program [Section  
            5].   The California Housing Finance Agency administers the  
            ECTHP Program to provide down payment assistance to teachers,  
            administrators, classified employees, and staff working in  
            high-priority schools who are first-time homebuyers.  Current  
            law requires a borrower to repay the loan upon sale.  Federal  
            Housing Administration (FHA) regulations provide that FHA  
            loans must be assumable, which means that ECTHP loans cannot  
            be coupled with FHA loans.  Last year, AB 984 (Chau), Chapter  
            82, Statutes of 2013, changed the repayment requirement for  
            CalHFA's other down payment assistance program to be  
            compatible with FHA financing.  This bill likewise changes the  
            repayment requirement for the ECTHP Program to make it  
            compatible with FHA financing. 

          2.Carbon monoxide detectors in hotels and motels [Section 4].   
            Current law requires existing hotel and motel units with  
            fuel-burning appliances or attached garages to install carbon  
            monoxide detectors on or before January 1, 2016.  To  
            facilitate compliance with the requirement, current law also  
            requires the Department of Housing and Community Development  
            (HCD), on or before July 1, 2014, to submit to the Building  




          AB 2753 (ASM H&CD)                                     Page 2

                                                                       


            Standards Commission (BSC) for adoption building standards for  
            the installation of carbon monoxide detectors in hotel and  
            motel units.  However, the BSC will not adopt the next  
            California Building Code until 2016, and this code will not  
            take effect until January 1, 2017.  In order to consolidate  
            these building standards with the normal building standards  
            revision process, this bill provides HCD with one more year to  
            submit the proposed building standards for the installation of  
            carbon monoxide detectors in hotel and motel dwelling units  
            and gives existing hotel and motel dwelling owners until  
            January 1, 2017, to equip units with carbon monoxide  
            detectors.  

          3.Correcting cross-references and numbering errors [Sections 1,  
            2, and 3].  This bill also corrects a number of statutory  
            cross-references and numbering errors.  
          
          COMMENTS:

           Purpose of the bill  .  The Assembly Housing and Community  
          Development Committee is authoring this bill as a means of  
          combining multiple, non-controversial changes to statutes into  
          one bill, so that the Legislature can make minor amendments in a  
          cost-effective manner.  There is no known opposition to any item  
          in this bill, and if concerns arise that cannot be resolved, the  
          provision of concern will be deleted from this bill.

          Assembly Votes:

               Floor:    73-0
               Appr: 17-0
               H&CD:   7-0

          POSITIONS:  (Communicated to the committee before noon on  
          Wednesday,                                             June 18,  
          2014.)

               SUPPORT:  None received.

               OPPOSED:  None received.