The Veterans’ Farm and Home Building Fund of 1943: California’s State Benefits

In California, certain funds are made available as state benefits for veterans under the Military and Veterans Code, Division 4, Chapter 6, Article 3.5.

Section 988 Established in the State Treasury

The Veterans’ Farm and Home Building Fund of 1943 was established in the State Treasury.

All moneys deposited in the fund are subject to the provisions of this article.

Money may be withdrawn from the fund in accordance with law upon requisition of the department.

Section 988.1: Deposits and Withdrawals

The money paid by purchasers is required to be deposited in the Veterans’ Farm and Home Building Fund of 1943 and be available for the purpose of carrying out the provisions of this article.

Section 988.2: Advances to Purchasers

The department may advance to any purchaser upon their application, under policies as the department may prescribe, sums for:

1. paying taxes and assessments
2. making permanent improvements, including permanent improvements for increasing farm productivity, or keeping in good order or repair
3. painting, redecorating, or remodeling buildings, fences, or other permanent improvements on the property
4. crops on the property
5. insuring against fire or other hazards

The department may also advance moneys actually expended in so doing.

Section 988.3: Department of Finance Advances

The Department of Finance is authorized to make advances of money to the department, needed to meet contingent expenses, of not more than $50,000, as determined necessary.

The Department of Finance may also make advances of money to the department, needed to carry out specified duties, of not more than $25,000,000.

Section 988.4: Advances for Alterations and Repairs

The department may advance to a purchaser upon their application, under policies as the department may prescribe, sums for making alterations, repairs, or improvements on or in connection with the principal place of residence of the purchaser.

The department may secure that advance by issuing a deed of trust, a promissory note, or other security interest that is subordinate to any existing financing on the principal place of residence of the purchaser.

Section 988.5: Federal Law Compliance

All loans granted to be funded in accordance with federal laws governing the use of tax-exempt bonds.

Section 988.6: Veterans’ Bonds Payment Fund

A revolving special fund, known as the Veterans’ Bonds Payment Fund, was established in the State Treasury.

All moneys in this fund are used solely to pay debt service, when due on bonds issued pursuant to all veterans’ farm and home purchase bond acts pursuant to this chapter.

All moneys in this fund are continuously appropriated for this purpose.

Section 988.7: Transfer of Funds

All moneys in the California National Guard Members’ Farm and Home Building Fund of 1978, and any other account created in that fund, not needed to meet revenue bond obligations, must be deposited into the Veterans’ Farm and Home Building Fund of 1943 within 30 days after the effective date of this section.