Catherine Stefani
- Democratic
- Assemblymember
- District 19
Author
The California Health Facilities Financing Authority Act authorizes the California Health Facilities Financing Authority to, among other things, make loans from the continuously appropriated California Health Facilities Financing Authority Fund to participating health institutions for financing or refinancing the acquisition, construction, or remodeling of health facilities. Under existing law, participating health institutions are specified entities authorized by state law to provide or operate a health facility and undertake the financing or refinancing of the construction or acquisition of a project or of working capital, as defined. Existing law defines "working capital" as moneys to be used by, or on behalf of, a participating health institution for specified expenses in connection with the ownership or operation of a health facility, including interest not to exceed 2 years on any loan for working capital made pursuant to these provisions. Existing law requires a participating health institution that is a private nonprofit corporation or association and that borrows money to finance working capital to repay and discharge the loan within 24 months of the loan date. This bill would change the definition of "working capital" to remove the 2-year cap on interest on any loan for working capital. The bill would delete the provision requiring a participating health institution that is a private nonprofit corporation or association to repay and discharge a loan for working capital within 24 months. Existing law requires the authority to establish financial eligibility standards by studying the creditworthiness and earning capacity of each project, together with the amount of pledged revenues, debt service coverage, and basic security. The bill would also require the authority to establish financial eligibility standards for working capital loans by studying the creditworthiness of a participating health institution, along with the amount of pledged venues, debt service coverage, and basic security. The bill would prohibit a participating health institution that is determined to be in financial distress from being deemed financially eligible. By expanding the purpose for which the above-described continuously appropriated fund may be used, the bill would make an appropriation from that fund. The bill would make legislative findings relating to the purpose of the bill.
Approved by the Governor.
Chaptered by Secretary of State - Chapter 377, Statutes of 2025.
Enrolled and presented to the Governor at 4 p.m.
Senate amendments concurred in. To Engrossing and Enrolling. (Ayes 78. Noes 0. Page 2910.).
In Assembly. Concurrence in Senate amendments pending.
Read third time. Passed. Ordered to the Assembly. (Ayes 40. Noes 0. Page 2390.).
Read second time. Ordered to third reading.
From Consent Calendar.
Read third time and amended. Ordered to second reading.
Ordered to third reading.
Read second time. Ordered to Consent Calendar.
From committee: Be ordered to second reading file pursuant to Senate Rule 28.8 and ordered to Consent Calendar.
From committee: Do pass and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 9. Noes 0.) (June 11). Re-referred to Com. on APPR.
In Senate. Read first time. To Com. on RLS. for assignment.
Read third time. Passed. Ordered to the Senate. (Ayes 76. Noes 0. Page 1387.)
Read second time. Ordered to Consent Calendar.
From committee: Do pass. To Consent Calendar. (Ayes 15. Noes 0.) (April 23).
Read second time and amended.
From committee: Amend, and do pass as amended and re-refer to Com. on APPR. with recommendation: To Consent Calendar. (Ayes 15. Noes 0.) (April 1).
From printer. May be heard in committee March 16.
Read first time. To print.
| Bill Text Versions | Format |
|---|---|
| AB627 | HTML |
| 02/13/25 - Introduced | |
| 04/07/25 - Amended Assembly | |
| 07/03/25 - Amended Senate | |
| 09/08/25 - Enrolled | |
| 10/06/25 - Chaptered |
| Document | Format |
|---|---|
| 04/01/25- Assembly Health | |
| 04/21/25- Assembly Appropriations | |
| 06/09/25- Senate Health | |
| 07/07/25- Sen. Floor Analyses | |
| 09/02/25- ASSEMBLY FLOOR ANALYSIS |
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