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COVID-19 Emergency HELP Loan Program

Grantor:
State Treasurer's Office
Portal ID:
1494
Status:
Active (6 total applications submitted)
Opportunity Type:
  • Loan
Last Updated:
 | 
Categories:

Details

Purpose:

This program will provide low cost loans with more flexible terms for health facilities in the state of California that have been impacted by the COVID-19 pandemic.

Description:

Eligibility

General Requirements:

-Annual gross revenues cannot exceed $30 million as shown on the most recent audited financial statement (No revenue limit for qualifying rural health facilities and district hospitals)

-Must be a health facility as defined in the Authority's Act (Section 15432(d) of the California Government Code)

-Must be a non-profit 501(c)(3) corporation or a public health facility (e.g., District hospital) as defined in the Authority’s Act (Section 15432(e) of the California Government Code)

-Must have been in existence for at least three years, providing the same types of services

-Must provide evidence acceptable to the Authority that the health facility has been impacted by the COVID-19 pandemic and that loan proceeds will be used to address the impact

-Must demonstrate evidence of fiscal soundness and the ability to meet the terms of the proposed loan

-For construction, remodeling, renovation, and improvement projects, must show readiness to begin projects within 30 days after approval

Uses of Funds

Funds may be used for:

-Construction, remodeling, renovation, and/or improvements

-Equipment and/or furnishings

-Day-to-day operational expenses (working capital)

-Reimbursement of prior expenditures related to the COVID-19 pandemic

Funds may NOT be used for:

-Funding start-up projects

-Refinancing outstanding loans

Loan Terms

-0% fixed interest rate

-Loan maximum is $250,000

-Maximum loan maturities vary:

-Construction/remodeling/renovation/improvements – Up to 20 years

-Equipment/furnishings – The lesser of either:1) the useful life of the equipment/furnishings; 2) up to 5 years

-Working capital – Up to 15 months

-Gross revenue pledge and lien on real property and/or equipment/furnishings,whichever is applicable

-Pro forma debt service coverage ratio of at least 1.0x

-No prepayment penalties

Fees

-No application fee

-Closing fee: 1% of the loan amount, which could be deducted from the loan proceeds

Required Documentation

-Evidence of real property value, equipment/furnishings value, and/or estimates of operating expenses

-Three most recent fiscal years of audited financial statements

-Evidence that the borrower has been impacted by the COVID-19 pandemic and that loan proceeds will be used for the purpose of addressing the impact

Eligibility Requirements

Eligible Applicants:

  • Nonprofit
  • Public Agency

-Must be a health facility as defined in the Authority's Act (Section 15432(d) of the California Government Code) -Must be a non-profit 501(c)(3) corporation or a public health facility (e.g., District hospital) as defined in the Authority’s Act (Section 15432(e) of the California Government Code)

Eligible Geographies:

None.

Important Dates

The date (and time, where applicable) by which all applications must be submitted to the grantmaker. Time listed as “00:00” equates to midnight.
Ongoing
The date on which the grantor expects to announce the recipient(s) of the grant.
Ongoing
The length of time during which the grant money must be utilized.
Ongoing

Funding Details

The total projected dollar amount of the grant.
$5,000,000
A single grant opportunity may represent one or many awards. Some grantors may know in advance the exact number of awards to be given. Others may indicate a range. Some may wish to and wait until the application period closes before determining how many awards to offer; in this case, a value of “Dependent” will display.
N/A
Grant opportunities representing multiple awards may offer awards in the same amount or in varied amounts. Some may wish to wait until the application period closes before determining per-award amounts; in this case, a value of “Dependent” will display.
$0 – $250,000
Certain grants require that the recipient(s) provide a letter of intent.
No
Certain grants require that the recipient(s) be able to fully or partially match the grant award amount with another funding source.
No
The funding source allocated to fund the grant. It may be either State or Federal (or a combination of both), and be tied to a specific piece of legislation, a proposition, or a bond number.
  • Other

Funding Source Notes:

Special Fund

The manner in which the grant funding will be delivered to the awardee. Funding methods include reimbursements (where the recipient spends out-of-pocket and is reimbursed by the grantor) and advances (where the recipient spends received grant funds directly).
  • Advances & Reimbursement(s)

How to Apply

State agencies/departments recommend you read the full grant guidelines before applying.

Resources

For questions about this grant, contact:
California Health Facilities Financing Authority, 1-916-653-2799, chffa@treasurer.ca.gov

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