The California State Treasurer's Office manages affairs related to investments, banking, and finance. They preside over and promote the economic aspects of development, housing, health, education, community investments, small businesses, and environment.
This grant program is designed to provide low-interest rate loans specifically to non-profit small or rural health facilities located in California. The overarching goal is to support these facilities in a variety of financial needs in an efficient, timely, and cost-effective manner. The supported causes under this program include the purchase, construction, renovation, or remodeling of real property; acquisition of equipment and furnishings; undertaking feasibility studies, site tests, and surveys associated with real property; covering permit fees, architectural fees, and pre-construction costs; and refinancing existing debt under specific conditions. Loan terms vary based on the use of funds, with amounts ranging from a minimum of $25,000 to a maximum of $1.5 million, coupled with an interest rate of 2% or 3% for refinancing. Additional requirements include a gross revenue pledge, a lien on the equipment or property, a specific loan-to-value ratio, borrower's minimum contribution towards project costs, and a proforma debt service coverage. There are also specific fees associated with the application and funding process, including a non-refundable application fee and an initial fee due at closing.