California Acute Care Psychiatric Hospital Loan Fund.

The California Health Facilities Financing Authority Act authorizes the California Health Facilities Financing Authority (authority) to, among other things, make loans from the continuously appropriated California Health Facilities Financing Authority Fund to participating health institutions, as defined, for financing or refinancing the acquisition, construction, or remodeling of health facilities. Under existing law, the board of supervisors of each county may maintain in the county hospital, in any other hospital situated within or without the county, or in any other psychiatric health facility situated within or without the county, suitable facilities and nonhospital or hospital services for the detention, supervision, care, and treatment of persons who have a mental health disorder or a developmental disability, or who are alleged to be such. Existing law defines "county psychiatric hospital" as a hospital, ward, or facility provided by the county pursuant to certain provisions. This bill would establish the California Acute Care Psychiatric Hospital Loan Fund to be used by the authority to provide loans to qualifying county or city and county applicants for the purpose of building or renovating acute care psychiatric hospitals, psychiatric health facilities, or psychiatric units in general acute care hospitals, as defined. The bill would authorize the authority to establish an interest rate for loans funded by general obligation bonds, as specified, and would otherwise require that loans be provided at zero interest. The bill would require the authority to develop an application for county or city and county applicants by January 1, 2025. The bill would require initial preliminary applications for projects to be submitted to the authority by April 1, 2025, and would require the authority to approve the project based on specified criteria. The bill would provide for the return of any funds not encumbered by a loan recipient within a specified period and would require a loan recipient to maintain and operate the facility for the life of the loan. The bill would authorize the authority to charge a fee to cover the cost of administering the loan. The bill would also require the authority to provide a report to the Department of Finance and the budget and health committees of the Assembly and Senate by a specified date that would include, among other things, the number of projects that are receiving loans and their geographic distribution.