10 CCR s 5902

Cal. Admin. Code tit. 10, s 5902

CALIFORNIA CODE OF REGULATIONS
TITLE 10. INVESTMENT
CHAPTER 7.95. TRADE AND COMMERCE AGENCY: REPAIR UNDERGROUND STORAGE TANK
LOAN PROGRAM
This database is current through 01/05/07, Register 2007, No. 1.
s 5902. Loan Terms.

(a) In addition to the Loan terms established by Government Code section
15399.14, each Loan Agreement shall include the following terms and
conditions:

(1) A description of security and collateral for the Loan and
conditions pertaining thereto, as determined by the Office, and
agreed to by the Applicant.

(2) A provision that the Borrower shall pay late charges in the
event of a default.

(3) An affirmative covenant by the Borrower that it shall
continuously comply with any applicable federal, state, or local
requirement, including requirements for operating Underground
Storage Tanks throughout the term of the Loan.

(4) An agreement that all work funded with Loan proceeds shall be
performed by a licensed contractor as defined in title 10,
California Code of Regulations, section 5250(i).

(b) Disbursements shall be in stages, and each stage shall require
conditions precedent to disbursement. The stages, and conditions precedent
to disbursement for each stage, are as follows:

(1) If the Borrower is removing the Project Tank, disbursement is
conditioned on:

(A) Providing to the Office an executed contract for removal by a
licensed contractor with costs consistent with the Project budget
contained in the Loan Agreement; and

(B) A valid Permit issued by the Local Agency authorizing removal
of the Project Tank.

(2) If the Borrower is upgrading the Project Tank, disbursement is
conditioned on:

(A) An executed contract for upgrading the Tank by a licensed
contractor with costs consistent with the Project budget contained
in the Loan Agreement;

(B) A valid Permit issued by the Local Agency authorizing removal
of the Project Tank if removal is part of the Project; and

(C) A copy of the Local Agency authority to close the Tank site if
closure is part of the Project.

(3) If the Project is Tank replacement, disbursement is conditioned
on providing to the Office:

(A) An executed contract for removal of the old Tank and placement
of a new Tank by a licensed contractor with costs consistent with
Project budget contained in the Loan Agreement;

(B) A valid Permit issued by the Local Agency authorizing removal
and replacement of the Tank; and

(C) A copy of the Local Agency authority to close the Tank site if
closure is part of the Project.

(4) If the Project is to take Corrective Action; disbursement is
conditioned on providing to the Office:

(A) An executed contract for Corrective Action by a licensed
contractor with costs consistent with Project budget contained in
the Loan Agreement; and

(B) A valid Permit issued by the Local Agency for the Project.

Note: Authority cited: Section 15399.16, Government Code.
Reference: Section 15399.14, Government Code.

HISTORY

1. New section filed 2-8-90 as an emergency; operative 2-8-90 (Register
90,
No. 7). A Certificate of Compliance must be transmitted to OAL within 180
days or emergency language will be repealed by operation of law on 8-7-90.

2. Repealed by operation of Government Code section 11346.1(g) (Register
91, No. 13).

3. New section filed 2-25-91 as an emergency; operative 2-25-91 (Register
91,
No. 13). A Certificate of Compliance must be transmitted to OAL by 8-26-91
or emergency language will be repealed by operation of law on the
following
day.

4. Certificate of Compliance as to 2-25-91 order including amendment of
subsection (b) transmitted to OAL 5-24-91 and filed 6-24-91 (Register 91,
No. 40).

10 CCR s 5902, 10 CA ADC s 5902
1CAC

10 CA ADC s 5902

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