House Bill No. 5240 proposes significant revisions to the statutes governing the Department of Developmental Services (DDS), particularly in relation to community residential facilities and housing support for individuals with intellectual disabilities. The bill introduces new provisions allowing the commissioner to provide subsidies for individuals living in supervised apartments or homes that do not receive housing payments, thereby assisting with housing costs. It also clarifies definitions related to community residential facilities and updates language to reflect current practices. Notably, the bill repeals outdated language regarding loans for community residential facilities and replaces it with a streamlined process for organizations to obtain loans for property development, covering up to 100% of total costs with a cap on renovation costs set at $100,000.

Key changes include the replacement of the term "loans" with "loan" throughout the text, the introduction of documentation requirements for organizations seeking loans, and the stipulation that loan funds can only be used for specific purposes such as property purchase and renovation. The bill mandates that organizations receiving loans must be licensed or certified providers and outlines consequences for defaulting on loan agreements, including potential receivership of the facility. Additionally, it empowers the State Bond Commission to issue bonds not exceeding $6 million to support these initiatives. Overall, HB5240 aims to enhance support for individuals with intellectual disabilities while ensuring efficient funding mechanisms and full control of the loan program by DDS.

Statutes affected:
Raised Bill:
PH Joint Favorable:
File No. 40: