Statute · California Health and Safety Code

Cal. Health & Safety Code § 129051 — Insurable Loans and Applications Therefor

Cal. Health & Safety Code § 129051

Type
Statute
Source
California Health and Safety Code
Jurisdiction
California
Date
2021-07-27
Current through
Nov 2, 2026 (California Legislative Counsel)

(a) The department shall develop and implement a system for assessing the relative financial risk of the applicant. The system shall include, but is not limited to, an assessment of the applicant’s financial strength, credit history, security for the loan, cash-flow, and ability to repay the debt.

Citator

Cal. Health & Safety Code § 129051 — Insurable Loans and Applications Therefor is in force in the current edition of the Code, and nothing recorded condemns it.

(a)  The department shall develop and implement a system for assessing the relative financial risk of the applicant. The system shall include, but is not limited to, an assessment of the applicant’s financial strength, credit history, security for the loan, cash-flow, and ability to repay the debt.

(b)  The department shall establish a maximum acceptable level of financial risk for the projects it insures. The department may only approve a project if its risk level is below the established maximum, except as provided in subdivision (c).

(c)  The department may approve a project with a level of insurance risk that exceeds the established maximum if the department determines that the project meets a significant community need or will be a sole community provider.