Section 34080 Of Chapter 2. Natural Disaster Emergency Shelter Program From California Health And Safety Code >> Division 24. >> Part 1.6. >> Chapter 2.
34080
. The parties to a deposit guarantee or grant contract shall
be the local agency or organization, the tenant, and the rental
property owner. The terms of the contract shall include all of the
following:
(a) The owner of the rental property shall agree to allow the
security deposit to be paid over a specified number of months as an
addition to the regular rental payment, rather than as a lump-sum
payment.
(b) Upon execution of the agreement, the local agency or
organization shall encumber or reserve in a special fund as a
guarantee of the contract, an amount equal to no less than 80 percent
of the outstanding balance of the security deposit owed by the
tenant to the landlord.
(c) The tenant shall agree to a payment schedule of a specified
number of months in which time the total amount of the required
deposit shall be paid to the property owner.
(d) At any time during the operation of the guarantee, the
property owner shall make all claims first against amounts of the
security deposit actually paid by the tenant and secondarily against
the guarantee. At no time during or after the tenancy may the
property owner make claims against the guarantee in excess of that
amount agreed to as the guarantee.
(e) If a deduction from the guarantee fund is required, it may be
accomplished only to the extent permitted by the contract and in the
manner provided by law, including notice to the local agency or
organization. The tenant shall have no direct use of guarantee funds,
including funds which may be referred to as "last month's rent."
The department shall make available to local agencies and
organizations receiving deposit guarantee or grant contracts forms
deemed necessary for the contracts and the determination of
eligibility. However, local agencies and organizations may develop
and use their own forms as long as the forms meet the requirements of
the deposit guarantee and grant program.