The department should continue its efforts to consistently monitor sponsors? use of housing bond funds by considering eliminating its process of overriding restrictions on advances for the CalHome Program.
The department reported that it established clear procedures to guide staff in evaluating circumstances in which an advance above the 25 percent limitation may be appropriate and in documenting justifications received from awardees. In cases where advances are provided, the department stated that staff will evaluate actual performance, as measured by receipt of borrower summaries, at 60-day intervals following the advance. (See 2009-406 p. 240)
Agency responses received after June 2013 are posted verbatim.