Section 7890 - Return on Investment(a) A sponsor which is not a nonprofit corporation or a governmental agency shall be entitled to distribute earnings in an annual amount not to exceed six percent (6%) of the sponsor's actual investment in a rental housing development, excluding unaccrued liabilities of the sponsor.(b) Notwithstanding subdivision (a), the Committee may authorize the distribution of earnings of an amount greater than six percent (6%) but not to exceed ten percent (10%) on a family rental housing development if, at the request of the Agency, it determines: (1) that without the allowance of such greater rate of return the agency would not be able to comply with the requirements of this subchapter, and(2) that such greater rate of return is reasonable taking into account of the circumstances of the rental housing development.(c) By a time to be determined by the Agency, the Agency shall report to the Department as to the amount of the sponsor's investment on which the allowable return will calculated. Such amount shall include the sponsor's actual investment in the rental housing development, other than any unaccrued liabilities of the sponsor.Cal. Code Regs. Tit. 25, § 7890
1. Amendment of subsection (a) filed 11-13-80; 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 A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 3-13-81.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 50746, Health and Safety Code.
1. Amendment of subsection (a) filed 11-13-80; 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 A Certificate of Compliance must be transmitted to OAL within 120 days or emergency language will be repealed on 3-13-81.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).