Health and Safety Code section 51349.2
(a)
The Legislature finds that disasters resulting in a state of emergency proclaimed by the Governor have destroyed or severely damaged large numbers of single-family homes, duplexes, and accessory dwelling units leaving many households without the resources or access to affordable financing needed to rebuild their homes and return to their communities.(b)
It is the intent of the Legislature to encourage and facilitate responsible private lending for the construction and reconstruction of owner-occupied single-family homes and multifamily homes of one to four units in disaster-impacted areas by authorizing the California Housing Finance Agency to administer a construction loan loss guarantee program and construction loan rate buydown program, and to authorize additional mortgage assistance or lending programs as may be appropriate and consistent with the purpose of this chapter. This may include, but is not limited to, a low-interest, deferred-payment subordinate loan program to facilitate access to financing. This program is intended to leverage private capital in a cost-effective manner, reduce the cost of reconstruction financing for homeowners in need, and expand access to affordable lending to enable households to reduce their costs and to rebuild more quickly.(c)
It is further the intent of the Legislature that all obligations, commitments, and guarantees issued pursuant to this act shall be obligations solely of the fund created by this act and shall not constitute a debt or liability of the state. The Legislature further intends that the fund may be supported over time through a combination of public resources, private sector participation, eligible disaster recovery funding, and other program revenues. The Legislature further intends that the structure of the program allow the agency to leverage additional private and philanthropic capital and other available disaster recovery resources to expand the capacity of the fund to support rebuilding efforts over time.(d)
It is further the intent of the Legislature that the program be implemented in a manner that prioritizes households and communities most affected by a disaster and expands access to reconstruction financing for homeowners who may otherwise face barriers obtaining affordable lending. The Legislature further intends that, in administering the program, the agency shall prioritize assistance toward households with the greatest unmet rebuilding needs.
Source:
Section 51349.2, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=HSC§ionNum=51349.2. (updated Jul. 13, 2026; accessed Aug. 3, 2026).
