Through the California Capital Access Program Americans with Disabilities Act Financing Program (CalCAP/ADA), participating lenders can now offer small businesses loans with coverage of up to $50,000 to make tenant improvements for ADA compliance. Eligible small businesses include existing businesses with 15 or fewer full-time employees, gross annual income of less than $5 million, and facilities with 10,000 square feet or less. The program deposits a premium into an established loan loss reserve account for qualifying loans for up to five years. Lenders can apply for a claim to access funds from the loan loss reserve account to recover losses in the event of a default.
To participate in the CalCAP/ADA loan program, small businesses must:
- Have their property reviewed by a Certified Access Specialist (CASp),
- Provide the CASp inspection report which has been completed in accordance with Civil Code Section 55.53,
- Have obtained cost estimate(s) that address the retrofits and alternations necessary to help the business become ADA compliant.
Once the small business applies for a loan, the CalCAP/ADA participating lender’s loan approval process includes reviewing the CASp inspection report to verify that costs covered by the loan are related to deficiencies identified in the inspection report. It is important to note that the loan need not cover the entire list of the deficiencies listed in the CASp inspection report.
Upon program enrollment, the cost of the CASp inspection report, up to five percent of the loan amount, may be reimbursed.
The CalCAP/ADA participating lender list (PDF) is available online. This list will be updated as more lenders enroll. For additional information on the financing program please visit the CalCAP/ADA webpage.