Section 7846 - Disbursements(a) At the time of Department approval of pre-application, the Department shall reserve a sum of no more than 120% of the amount of assistance approved for a specific development for a period not to exceed one year. The Department shall disburse funds to the local finance entity or housing authority after closing of the loan and execution of the state contract or any amendment thereto, provided that all terms and conditions of the approved application are met, pursuant to the terms of the State contract.(b) Upon receipt of funds from the Department, the responsible agency shall establish an appropriate project account and, pending further disbursements by the responsible agency, shall invest the funds and remit interest thereon to the Department at the time specified by the state contract. Funds from the account shall not be disbursed for the development except as permitted by this subchapter and the state contract, development contract, or regulatory agreement.(c) With the written approval of the responsible agency the Department may disburse payments directly to the sponsor or its designee. However, the responsible agency shall ensure that all conditions precedent to such payment are to be met.Cal. Code Regs. Tit. 25, § 7846
1. Amendment filed 11-13-80 as an emergency: effective upon filing (Register 80, No. 46). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 3-13-81.
2. Certificate of Compliance transmitted to OAL 3-13-81 and filed 4-14-81 (Register 81, No. 16). Note: Authority cited: Section 50737, Health and Safety Code. Reference: Section 50737, Health and Safety Code.
1. Amendment filed 11-13-80 as an emergency: effective upon filing (Register 80, No. 46). A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 3-13-81.
2. Certificate of Compliance transmitted to OAL 3-13-81 and filed 4-14-81 (Register 81, No. 16).