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<ns0:Id>20250AB__211099INT</ns0:Id>
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<ns0:History>
<ns0:Action>
<ns0:ActionText>INTRODUCED</ns0:ActionText>
<ns0:ActionDate>2026-02-18</ns0:ActionDate>
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<ns0:SessionYear>2025</ns0:SessionYear>
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<ns0:MeasureType>AB</ns0:MeasureType>
<ns0:MeasureNum>2110</ns0:MeasureNum>
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<ns0:AuthorText authorType="LEAD_AUTHOR">Introduced by Assembly Member Johnson</ns0:AuthorText>
<ns0:Authors>
<ns0:Legislator>
<ns0:Contribution>LEAD_AUTHOR</ns0:Contribution>
<ns0:House>ASSEMBLY</ns0:House>
<ns0:Name>Johnson</ns0:Name>
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<ns0:Title> An act to amend Section 53993 of, and to add Chapter 2.8.5 (commencing with Section 53397.50) to Part 1 of Division 2 of Title 5 of, the Government Code, relating to local government finance. </ns0:Title>
<ns0:RelatingClause>local government finance</ns0:RelatingClause>
<ns0:GeneralSubject>
<ns0:Subject>Local financing: workforce housing: tax increment financing district.</ns0:Subject>
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<html:p>Existing law authorizes the creation of various infrastructure financing districts, including enhanced infrastructure financing districts for purposes of financing public capital facilities or other specified projects of communitywide significance that provide significant benefits or the surrounding community.</html:p>
<html:p>This bill would authorize the establishment of tax increment financing districts for purposes of financing the construction, rehabilitation, repair, and upgrades to workforce housing for public safety, education, health care, or manufacturing personnel. The bill would set forth requirements for membership on the district’s governing board, and would require the governing board to direct the preparation of a financing plan for the district, as provided. The bill would require the district to hold public hearings and receive written and oral
protests to the financing plan in accordance with specified procedures and would require an election to be called if between 25% and 50% of the combined number of landowners and residents in the area who are at least 18 years of age file a protest. The bill would require, if the election is to be conducted by mail ballot, the identification envelope for return of mail ballots used in landowner elections to contain a declaration, under penalty of perjury, stating that the voter is the owner of record or the authorized representative of the landowner entitled to vote, among other things. The bill would also condition formation of the district and the division of taxes, as described below, on adoption of a resolution approving the financing plan by each affected taxing entity that is proposed to be subject to division of taxes. At the conclusion of the hearings, the bill would authorize the governing board to adopt a resolution proposing adoption of the financing plan.</html:p>
<html:p>
The bill would authorize the financing plan to contain a provision for the division of taxes levied upon taxable property in the area included within the tax increment financing district, as specified, and would authorize the governing board to issue bonds, subject to approval by
<ns0:Fraction>
<ns0:Numerator>2</ns0:Numerator>
<ns0:Denominator>3</ns0:Denominator>
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of the voters voting on the proposition. The bill would authorize a district formed under these provisions to finance specified types of projects, including the construction of residential housing that meets specified occupancy and affordability criteria, the rehabilitation, repair, or upgrade of any such housing, and related planning and design work. The bill would require that the district’s finances be subject to audit by the Controller every 5 years, commencing with the date the district allocates a cumulative total of $1,000,000 in tax increment revenues.
</html:p>
<html:p> By adding to the duties of local elections officials with respect to administering the above-described provisons, and by expanding the crime of perjury, the bill would impose a state-mandated local program.</html:p>
<html:p>The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.</html:p>
<html:p>This bill would provide that with regard to certain mandates no reimbursement is required by this act for a specified reason.</html:p>
<html:p>With regard to any other mandates, this bill would provide that, if the Commission on State Mandates determines that the bill contains costs so mandated by the state, reimbursement for those costs shall be made pursuant to the statutory provisions noted above.</html:p>
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<ns0:VoteRequired>MAJORITY</ns0:VoteRequired>
<ns0:Appropriation>NO</ns0:Appropriation>
<ns0:FiscalCommittee>YES</ns0:FiscalCommittee>
<ns0:LocalProgram>YES</ns0:LocalProgram>
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<ns0:ImmediateEffect>NO</ns0:ImmediateEffect>
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<ns0:Urgency>NO</ns0:Urgency>
<ns0:TaxLevy>NO</ns0:TaxLevy>
<ns0:Election>NO</ns0:Election>
<ns0:UsualCurrentExpenses>NO</ns0:UsualCurrentExpenses>
<ns0:BudgetBill>NO</ns0:BudgetBill>
<ns0:Prop25TrailerBill>NO</ns0:Prop25TrailerBill>
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<ns0:Preamble>The people of the State of California do enact as follows:</ns0:Preamble>
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<ns0:Num>SECTION 1.</ns0:Num>
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Section 53993 of the
<ns0:DocName>Government Code</ns0:DocName>
is amended to read:
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<ns0:Num>53993.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
Notwithstanding any other law, except as provided in subdivision (b), for the purpose of any law authorizing the division of taxes levied upon taxable property, including, but not limited to, Sections 53369.30, 53396, 53397.50.18, 53398.30, 53398.75, and 62005, no revenues derived from the imposition of a property tax rate approved by the voters pursuant to subdivision (b) of Section 1 of Article XIII
<html:span class="ThinSpace"/>
A of the California Constitution and levied in addition to the property tax rate limited by subdivision (a) of Section 1 of Article XIII
<html:span class="ThinSpace"/>
A of the California Constitution shall be divided.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Subdivision (a)
shall not apply to the allocation of property taxes pursuant to Part 1.85 (commencing with Section 34170) of Division 24 of the Health and Safety Code.
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<ns0:Num>SEC. 2.</ns0:Num>
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Chapter 2.8.5 (commencing with Section 53397.50) is added to Part 1 of Division 2 of Title 5 of the
<ns0:DocName>Government Code</ns0:DocName>
, to read:
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<ns0:LawHeading id="id_8FDB94F2-503A-423C-AD52-136FA77EE970" type="CHAPTER">
<ns0:Num>2.8.5.</ns0:Num>
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<ns0:LawHeadingText>Tax Increment Financing District</ns0:LawHeadingText>
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<ns0:LawHeading id="id_2E539193-97F7-40AD-9EF9-2278C5C7E07E" type="ARTICLE">
<ns0:Num>1.</ns0:Num>
<ns0:LawHeadingVersion id="id_0B842727-A7D0-4BCF-9768-2078B5A4E36B">
<ns0:LawHeadingText>General Provisions</ns0:LawHeadingText>
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<ns0:LawSection id="id_87AA28E6-D20B-40A0-8B46-F12769DE032F">
<ns0:Num>53397.50.</ns0:Num>
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<ns0:Content>
<html:p>For purposes of this chapter, all of the following definitions shall apply:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
“Affected taxing entity” means any governmental taxing agency which levied or had levied on its behalf a property tax on all or a portion of the property located in the proposed district in the fiscal year prior to the designation of the district, but not including any county office of education, school district, or community college district. An “affected taxing entity” may include a special district if the special district is providing any portion of the funding included in the financing plan adopted pursuant to Article 2 (commencing with Section 53397.50.4). For purposes of this section, “special district” means an agency of the state formed for the performance of governmental or
proprietary functions within limited geographic boundaries, and shall not include a school district or community college district.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
“Debt” means any binding obligation to repay a sum of money, including obligations in the form of bonds, certificates of participation, long-term leases, loans from government agencies, or loans from banks, other financial institutions, private businesses, or individuals.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
“Education personnel” has the same meaning as “teacher or school district employee,” as defined in Section 53572 of the Health and Safety Code.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
“Financing plan” means a financing plan prepared and adopted pursuant to Article 2 (commencing with Section 53397.50.4).
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
“Governing board” means the governing board of the district established
pursuant to this chapter.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
“Health care personnel” means nurses and administrative staff employed at clinics and hospitals.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
“Landowner” or “owner of land” means any person shown as the owner of land on the last equalized assessment roll or otherwise known to be the owner of the land by the legislative body. The legislative body has no obligation to obtain other information as to the ownership of land, and its determination of ownership shall be final and conclusive for the purposes of this chapter. A public agency is not a landowner or owner of land for purposes of this chapter, unless the public agency owns all of the land to be included within the proposed district.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
“Lower income household” has the same meaning as in Section 50079.5 of the Health and Safety Code.
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
“Manufacturing personnel” means individuals employed in a business with the primary activity of converting or conditioning tangible personal property by changing the form, composition, quality, or character of that property either for ultimate sale at retail or for use in the manufacturing of a product that will be ultimately sold at retail. “Manufacturing” includes any improvements to tangible personal property that result in a greater service life or greater functionality than that of the original property.
</html:p>
<html:p>
(j)
<html:span class="EnSpace"/>
“Moderate income household” has the same meaning as in subdivision (g) of Section 50052.5 of the Health and Safety Code.
</html:p>
<html:p>
(k)
<html:span class="EnSpace"/>
“Public safety personnel” means firefighters, paramedics, and emergency medical technicians.
</html:p>
<html:p>
(l)
<html:span class="EnSpace"/>
“Tax increment
financing district” or “district” means a tax increment financing district formed pursuant to this chapter.
</html:p>
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<ns0:LawSection id="id_7C6D3522-1405-4E2E-960C-436D6985270E">
<ns0:Num>53397.50.1.</ns0:Num>
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<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
The governing board of a tax increment financing district shall have a membership consisting of one of the following, as appropriate:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
If the district has only one participating affected taxing entity, the governing board’s membership shall consist of three members of the legislative body of the participating entity, and two members of the public who are public safety, education, health care, or manufacturing personnel chosen by the legislative body. The legislative body may appoint one of its members to be an alternate member of the legislative body who may serve and vote in place of a member who is absent or disqualifies themselves from participating in a meeting of the authority. The appointment of the public members shall be
subject to the provisions of Sections 54970 and 54972.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
If a district has two or more participating affected taxing entities, the governing board’s membership shall consist of a majority of members from the legislative bodies of the participating entities, and a minimum of two members of the public who are public safety, education, health care, or manufacturing personnel chosen by the legislative bodies of the participating entities. A legislative body of a participating affected taxing entity may appoint one of its members to be an alternate member of the legislative body who may serve and vote in place of a member who is absent or disqualifies themselves from participating in a meeting of the authority. The appointment of the public members shall be subject to the provisions of Sections 54970 and 54972.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
If a district has more than three participating affected taxing
entities, the legislative bodies of the taxing entities may, upon agreement by all participating affected taxing entities, appoint only one member and one alternate member of their respective legislative bodies to the governing board, and a minimum of two members of the public who are public safety, education, health care, or manufacturing personnel chosen by the legislative bodies of the participating entities. The appointment of the public members shall be subject to the provisions of Sections 54970 and 54972.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
For purposes of this subdivision, “legislative body” may include a directly elected mayor of a charter city who is not a member of the city’s legislative body under the city’s adopted charter.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The legislative body shall ensure the governing board is established at the same time that it adopts a resolution of intention pursuant to Article 2 (commencing with Section
53397.50.4).
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Members of the governing board shall not receive compensation but may receive reimbursement for actual and necessary expenses incurred in the performance of official duties under this chapter.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
Members of the governing board are subject to Article 2.4 (commencing with Section 53234) of Chapter 2.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
The legislative body shall be a local public agency subject to the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950)), the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1), and the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)).
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
Notwithstanding any other law, any member of the legislative body of a participating affected taxing entity who serves as a member
of the governing board pursuant to this section may also serve as a member of the governing body of an agency or entity formed pursuant to an agreement for the joint exercise of power that the participating affected taxing entity has entered into in accordance with the Joint Exercise of Powers Act (Chapter 5 (commencing with Section 6500) of Division 7 of Title 1).
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<ns0:LawSection id="id_B5AB2666-2959-48D5-BF9B-E1F6A35B14CE">
<ns0:Num>53397.50.2.</ns0:Num>
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<html:p>A tax increment financing district may finance any of the following:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
Construction of residential housing, where such housing meets all of the following conditions:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
At least 80 percent of units in the housing development are reserved for public safety, education, health care, or manufacturing personnel. The remaining 20 percent may be occupied by any other tenants.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
All units are deed-restricted so that at least 70 percent of the units serve lower income households and the remaining 30 percent of the units serve moderate income households.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The project
may be single-family or multifamily housing. The project may be a mixed-use development, provided that at least 80 percent of the square footage of the project is dedicated to residential use.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
Any existing dwelling units that are proposed to be destroyed or removed in the course of construction are replaced, and persons or families in those units are relocated, consistent with the requirements of Section 53397.50.3.1.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Rehabilitation, repair, and upgrades to residential housing that meets the parameters of paragraphs (1) to (3), inclusive, of subdivision (a).
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
Planning and design work related to subdivision (a) or (b).
</html:p>
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<ns0:LawSection id="id_7ED2E507-E292-4B88-B922-40B45C899C8E">
<ns0:Num>53397.50.3.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
A tax increment financing district shall have the authority to acquire, receive, and transfer real property and to contract with developers for purposes of carrying out activities financed pursuant to this chapter.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The district shall not have the power of eminent domain.
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<ns0:LawSection id="id_C114B764-5C83-44F1-9E6D-223D4193F7BE">
<ns0:Num>53397.50.3.1.</ns0:Num>
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<html:p>If any dwelling units are proposed to be removed or destroyed in the course of construction within the area of the district that is subject to a written agreement with the district or that is financed in whole or in part by the district, then the financing plan shall contain provisions in accordance with those set forth in Section 53398.56.</html:p>
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<ns0:LawSection id="id_1E045C97-F819-427C-8246-9589C85A62C9">
<ns0:Num>53397.50.3.2.</ns0:Num>
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<html:p>The governing board may pledge any source of revenues, in addition to any property tax revenues, to pay the principal and interest on bonds approved and issued pursuant to this chapter.</html:p>
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<ns0:LawHeading id="id_F394B799-EE3B-4113-AB4F-50F293BAD3FA" type="ARTICLE">
<ns0:Num>2.</ns0:Num>
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<ns0:LawHeadingText>Preparation and Adoption of Financing Plans</ns0:LawHeadingText>
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<ns0:LawSection id="id_84A59519-46EF-449E-AF94-B47C8C4296FD">
<ns0:Num>53397.50.4.</ns0:Num>
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<html:p>A legislative body of a city, county, city and county, or joint powers authority may designate one or more tax increment financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
State that a tax increment financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
State the type of projects proposed to be financed or assisted by the district.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
State the need for the district and
the goals the district proposes to achieve.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
State that incremental property tax revenue from the city, county, city and county, or joint powers authority, and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53397.50.11, may be used to finance these activities.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
Fix a time and place for a public hearing on the proposal.
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<ns0:LawSection id="id_F1C290A2-5914-4F65-AA7D-1B563BED01C1">
<ns0:Num>53397.50.5.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
The legislative body shall direct the city, county, city and county, or joint powers authority official, as applicable, selected by the legislative body, to mail a copy of the resolution of intention to create the district to each owner of land within the district.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
As an alternative to mailing a copy of the resolution of intention pursuant to subdivision (a), the legislative body may direct the city, county, city and county, or joint powers authority official, as applicable, selected by the legislative body, to mail a single-page notice of intention to create the district to each owner of land within the district. For purposes of this section, the notice of intention shall indicate the physical location or internet website where
documents related to the district, including the resolution of intention, will be made available for public viewing or inspection. The notice of intention shall also state the date of the public hearing on the proposal and include a brief description of the types of public facilities to be financed by the district.
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<ns0:LawSection id="id_E96325E4-1A82-4CFB-8715-F96662E7F432">
<ns0:Num>53397.50.6.</ns0:Num>
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<html:p>
(a)
<html:span class="EnSpace"/>
The legislative body shall direct the city, county, city and county, or joint powers authority official, as applicable, selected by the legislative body, to mail or electronically submit a copy of the resolution to each affected taxing entity.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
After adopting the resolution pursuant to this article, the city, county, city and county, or joint powers authority shall send a copy of the resolution to the district’s governing board. The governing board shall designate and direct the city, county, or city and county engineer or other appropriate official to prepare a financing plan pursuant to Section 53397.50.7.
</html:p>
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<ns0:LawSection id="id_8D7500D9-66EA-423E-B54B-FA0C7970B09B">
<ns0:Num>53397.50.7.</ns0:Num>
<ns0:LawSectionVersion id="id_2540D4BC-ACC0-4D8D-B5B2-DB245FA8D09D">
<ns0:Content>
<html:p>After receipt of a copy of the resolution of intention to establish a district, the official designated pursuant to Section 53397.50.6 shall prepare a proposed financing plan. A plan shall be proposed for the district that shall include any project areas, if proposed, within the district. The financing plan shall be consistent with the general plan, and specific plan, if applicable, of all local jurisdictions within which the district is located and shall include all of the following:</html:p>
<html:p>
(a)
<html:span class="EnSpace"/>
A map and legal description of the proposed district, which may include all or a portion of the district designated by the legislative body in its resolution of intention.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
A description of the housing
projects and other forms of development or financial assistance that are proposed in the area of the district, including those to be provided by the private sector, those to be provided by governmental entities without assistance under this chapter, those projects to be financed with assistance from the proposed district, and those to be provided jointly. The description shall include the proposed location, timing, and costs of the development and financial assistance.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
A financing section, which shall contain all of the following information:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
A specification of the maximum portion of the incremental tax revenue of the city, county, city and county, or entities that are a part of the joint powers authority and of each affected taxing entity proposed to be committed to the district for each year during which the district will receive incremental tax revenue. The portion need
not be the same for all affected taxing entities. The portion may change over time.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
A projection of the amount of tax revenues expected to be received by the district in each year during which the district will receive tax revenues, including an estimate of the amount of tax revenues attributable to each affected taxing entity for each year.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
A plan for financing the projects to be assisted by the district, including a detailed description of any intention to incur debt.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
A limit on the total number of dollars of taxes that may be allocated to the district pursuant to the plan.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
Either of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
A date on which the district will cease to exist, by which time all
tax allocation to the district will end.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
If the district is divided into project areas, a date on which the infrastructure financing plan will cease to be in effect and all tax allocations to the district will end and a date on which the district’s authority to repay indebtedness with incremental tax revenues received under this chapter will end, not to exceed 45 years from the date the district or the applicable project area has actually received one hundred thousand dollars ($100,000) in annual incremental tax revenues under this chapter. After the time limits established under this subparagraph, a district or project area shall not receive incremental tax revenues under this chapter. If the district is divided into project areas, a separate and unique time limit shall be applicable to each project area that does not exceed 45 years from the date the district has actually received one hundred thousand dollars ($100,000) in incremental tax
revenues under this chapter from that project area.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
An analysis of the costs to the city, county, city and county, or entities that are a part of the joint powers authority of providing services to the area of the district while the area is being developed and after the area is developed. The plan shall also include an analysis of the tax, fee, charge, and other revenues expected to be received by the city, county, city and county, or entities that are part of the joint powers authority as a result of expected development in the area of the district.
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
An analysis of the projected fiscal impact of the district and the associated development upon each affected taxing entity.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
If any dwelling units within the territory of the district are proposed to be removed or destroyed in the course of public works
construction within the area of the district or private development within the area of the district that is subject to a written agreement with the district or that is financed in whole or in part by the district, a plan providing for replacement of those units and relocation of those persons or families consistent with the requirements of Section 53397.50.3.1.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
The goals the district proposes to achieve for each project financed.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_F06A0192-99CD-4A68-B5BB-A47000EA46CC">
<ns0:Num>53397.50.8.</ns0:Num>
<ns0:LawSectionVersion id="id_98D6F414-7A88-456A-B232-1FAB95838483">
<ns0:Content>
<html:p>The financing plan shall be sent to each owner of land within the proposed district and to each affected taxing entity together with any report required by the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code) that pertains to the proposed development project or projects and shall be made available for public inspection. The report shall also be sent to the governing board, the planning commissions of affected cities, counties, and cities and counties, and the legislative bodies of all affected local government entities.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_4089F158-D98B-4EBC-BB48-3558E44185C4">
<ns0:Num>53397.50.9.</ns0:Num>
<ns0:LawSectionVersion id="id_F328C10D-B285-4B7A-A494-0565ACE611AA">
<ns0:Content>
<html:p>The designated official shall consult with each affected taxing entity, and, at the request of any affected taxing entity, shall meet with representatives of an affected taxing entity. Any affected taxing entity may suggest revisions to the plan.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_48AC7ABE-EDAE-42B7-943C-0D0B1C84652A">
<ns0:Num>53397.50.10.</ns0:Num>
<ns0:LawSectionVersion id="id_D812F3CB-0268-4355-ABB0-425F2FF49303">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
The draft financing plan shall be made available to the public and to each landowner within the area on a designated internet website and at a meeting held at least 30 days before the first public hearing. The purposes of the meeting shall be to allow the staff of the governing board to present the draft financing plan, answer questions about the financing plan, and consider comments about the financing plan.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
(A)
<html:span class="EnSpace"/>
The governing board shall consider adoption of the financing plan at two public hearings that shall take place at least 30 days apart.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
In addition to the notice given to landowners and affected taxing
entities, the governing board shall post notice of each meeting or public hearing required by this section in an easily identifiable and accessible location on the district’s internet website and shall mail a written notice of the meeting or public hearing to each landowner, each resident, and each taxing entity at least 10 days before the meeting or public hearing.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
At the first public hearing, the governing board shall consider any written and oral comments and take action to modify or reject the financing plan.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
If the financing plan is not rejected at the first public hearing, then the governing board shall conduct a protest proceeding at the second public hearing to consider whether the landowners and residents within the financing plan area wish to present oral or written protests against the adoption of the financing plan.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The notices required in subparagraph (B) of paragraph (1) of subdivision (b) shall do all of the following, as applicable:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Describe specifically the boundaries of the proposed area.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Describe the purpose of the financing plan.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
State the day, hour, and place when and where any and all persons having any comments on the proposed financing plan may appear to provide written or oral comments to the governing board.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
Notice of the first public hearing shall include a summary of the financing plan and shall identify a location accessible to the public where the financing plan proposed to be presented at the first public hearing can be reviewed.
</html:p>
<html:p>
(E)
<html:span class="EnSpace"/>
Notice of the second public hearing to consider any written or oral protests shall contain a copy of the financing plan, and shall inform the landowner and resident of their right to submit an oral or written protest before the close of the public hearing. The protest may state that the landowner or resident objects to the governing board taking action to implement the financing plan.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
At the second public hearing, the governing board shall consider all written and oral protests received before the close of the public hearing along with the recommendations, if any, of affected taxing entities, and shall terminate the proceedings or adopt the financing plan subject to confirmation by the voters at an election called for that purpose. The governing board shall terminate the proceedings if there is a majority protest. A majority protest exists if protests have been filed
representing over 50 percent of the combined number of landowners and residents in the area who are at least 18 years of age. An election shall be called if between 25 percent and 50 percent of the combined number of landowners and residents in the area who are at least 18 years of age file a protest.
</html:p>
<html:p>
(d)
<html:span class="EnSpace"/>
An election required pursuant to paragraph (2) of subdivision (c) shall be held within 90 days of the public hearing and may be held by mail-in ballot. The governing board shall adopt, at a duly noticed public hearing, procedures for this election.
</html:p>
<html:p>
(e)
<html:span class="EnSpace"/>
If a majority of the landowners and residents vote against the financing plan, then the governing board shall not take any further action to implement the proposed financing plan. The governing board shall not propose a new or revised financing plan to the affected landowners and residents for at least one year following the date
of an election in which the financing plan was rejected.
</html:p>
<html:p>
(f)
<html:span class="EnSpace"/>
At the hour set in the notices required by subparagraph (B) of paragraph (1) of subdivision (b), the governing board shall consider all written and oral comments.
</html:p>
<html:p>
(g)
<html:span class="EnSpace"/>
If less than 25 percent of the combined number of landowners and residents in the area who are at least 18 years of age file a protest, the governing board may adopt the financing plan at the conclusion of the second public hearing by resolution. The resolution adopting the financing plan shall be subject to referendum as prescribed by law.
</html:p>
<html:p>
(h)
<html:span class="EnSpace"/>
The governing board shall consider and adopt an amendment or amendments to a financing plan in accordance with the provisions of this section.
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
A separate
notice of the first public hearing shall also be published not less than once per week for four successive weeks before the first public hearing in a newspaper of general circulation published in the county or counties in which the area lies. The notice shall state that the district will be used to finance housing developments, briefly describe the development or developments, briefly describe the proposed financial arrangements, including the proposed commitment of incremental tax revenue, describe the boundaries of the proposed district, and state the day, hour, and place when and where any persons having any objections to the proposed financing plan, or the regularity of any of the prior proceedings, may appear before the governing board and object to the adoption of the proposed plan by the legislative body.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
A separate notice of the second public hearing shall also be published not less than 10 days before the second public hearing in a
newspaper of general circulation in the county or counties in which the area lies. The notice shall include the same information as described in paragraph (1).
</html:p>
<html:p>
(j)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
The governing board shall review the financing plan at least annually and make any amendments that are necessary and appropriate, and shall require the preparation of an annual independent financial audit paid for from revenues of the district.
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Amendments to an approved financing plan, including proposals to finance additional housing developments or to add a participating taxing entity and its representatives as members of the governing board after the date of district formation, may be approved by a majority vote of the governing board at a public hearing held following the provision of a 30-day mailed notice describing the proposed changes to all property owners, residents, and affected
taxing entities.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Amendments that propose any of the following shall be adopted in accordance with all notices and hearing requirements for the affected landowners and residents within the proposed additional territory applicable to an initial proposed financing plan:
</html:p>
<html:p>
(i)
<html:span class="EnSpace"/>
Addition of new territory to a district.
</html:p>
<html:p>
(ii)
<html:span class="EnSpace"/>
Increase of the limit of the total number of dollars in local taxes allocated to the plan, except where the increase is a result of an affected taxing entity agreeing to participate in the existing district and the plan is amended pursuant to subparagraph (A).
</html:p>
<html:p>
(iii)
<html:span class="EnSpace"/>
Approval of a development that was not proposed to be financed or assisted by the district in the approved plan.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The governing board shall adopt an annual report within seven months of the close of each fiscal year, after holding a public hearing. Written copies of the draft report shall be made available to the public 30 days before the public hearing. The legislative body shall cause the draft report to be posted in an easily identifiable and accessible location on the district’s internet website and shall mail a written notice of the availability of the draft report on the internet website to each owner of land and each resident within the area covered by the financing plan and to each taxing entity that has adopted a resolution pursuant to this chapter.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
The annual report shall contain all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
A description of the projects undertaken in the fiscal year, including any rehabilitation of structures, and a comparison of the progress expected to be made
on those projects compared to the actual progress.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
A chart comparing the actual revenues and expenses, including administrative costs, of the district to the budgeted revenues and expenses.
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
The amount of tax increment revenues received.
</html:p>
<html:p>
(D)
<html:span class="EnSpace"/>
An assessment of the status regarding completion of the district’s projects.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
If the governing board fails to provide the annual report required by paragraph (3), the district shall not spend any funds received pursuant to a resolution adopted pursuant to this chapter until the governing board has provided the report.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_930D1DE8-7A9D-4A4F-B837-346648486A34">
<ns0:Num>53397.50.11.</ns0:Num>
<ns0:LawSectionVersion id="id_03B88083-56D1-409D-A758-98DA19BC35DB">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
The governing board shall not adopt a resolution proposing formation of a district and providing for the division of taxes of any affected taxing entity unless a resolution approving the plan has been adopted by the governing body of each affected taxing entity that is proposed to be subject to division of taxes and has been filed with the legislative body at or before the time of the hearing.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
Nothing in this section shall be construed to prevent the governing board from amending its financing plan and adopting a resolution proposing formation of the financing district without allocation of the tax revenues of any affected taxing entity that has not approved the infrastructure financing plan by resolution of the governing body
of the affected taxing entity.
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
At any time after the date of district formation, an affected taxing entity may choose to approve the plan and participate in the division of taxes used to finance the activities of a district, by adopting a resolution of the governing body.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
If, after the date of district formation, an affected taxing entity adopts a resolution approving the plan and to participate in the division of taxes used to finance a district, the division of taxes shall be based upon the last equalized assessment roll that is used for the district pursuant to paragraph (2) of subdivision (a) of Section 53397.50.18.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_6A942265-A722-44BF-889E-F796DF278CF2">
<ns0:Num>53397.50.12.</ns0:Num>
<ns0:LawSectionVersion id="id_A6B5EE84-5B54-48AE-B98C-BB846C61FDC2">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
At the conclusion of the hearings pursuant to Section 53397.50.10, the governing board may adopt a resolution proposing adoption of the financing plan, as modified, and formation of the district in a manner consistent with Section 53397.50.11, or it may adopt a resolution abandoning the proceedings. If the proceedings are abandoned, then the district shall cease to exist by operation of this section with no further action required of the governing board, and the governing board shall not enact a resolution of intention to establish a district that includes the same geographic area within one year of the date of the resolution abandoning the proceedings.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The financing plan shall take effect upon the adoption of the resolution.
The financing plan shall specify if the district shall be funded solely through the district’s share of tax increment, governmental or private loans, grants, bonds, assessments, fees, or some combination thereof. However, the district shall not issue bonds before the adoption of a resolution meeting the requirements of Article 4 (commencing with Section 53397.50.20) to issue bonds to finance the financing plan.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_113AFE06-699B-4EC0-9BF0-B72E073F01FD">
<ns0:Num>53397.50.13.</ns0:Num>
<ns0:LawSectionVersion id="id_8D1A0FC2-9B8C-4ACD-BE91-AA830307E94F">
<ns0:Content>
<html:p>Except as otherwise provided in this chapter, the provisions of law regulating elections of the local agency that calls an election pursuant to this chapter, insofar as they may be applicable, shall govern all elections conducted pursuant to this chapter.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_B23451FC-CEF6-488E-859E-698229D701CA">
<ns0:Num>53397.50.14.</ns0:Num>
<ns0:LawSectionVersion id="id_F7F1ABA5-0B9D-4A64-954B-2CA12EAB0865">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
If the election is to be conducted by mail ballot, the election official conducting the election shall provide ballots and election materials consistent with subdivision (d) of Section 53326 and Section 53327, together with all supplies and instructions necessary for the use and return of the ballot.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
The identification envelope for return of mail ballots used in landowner elections shall contain the following:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
The name of the landowner.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The address of the landowner.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
A declaration, under penalty of perjury, stating that the
voter is the owner of record or the authorized representative of the landowner entitled to vote and is the person whose name appears on the identification envelope.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
The printed name and signature of the voter.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
The address of the voter.
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
The date of signing and place of execution of the declaration pursuant to paragraph (3).
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
A notice that the envelope contains an official ballot and is to be opened only by the canvassing board.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_BC150BFA-A7AF-464A-BAB9-7CB7C95A16BD">
<ns0:Num>53397.50.15.</ns0:Num>
<ns0:LawSectionVersion id="id_EB634657-D7FE-47BF-941F-A9993AE68912">
<ns0:Content>
<html:p>
(a)
<html:span class="EnSpace"/>
As an alternative to mailing documents pursuant to Section 53397.50.8 and Section 53398.66, the designated official may mail a notice to each landowner, resident, and affected taxing entity at least 40 days before the meeting held pursuant to subdivision (a) of Section 53397.50.10. This notice shall include all of the following, as applicable:
</html:p>
<html:p>
(1)
<html:span class="EnSpace"/>
A summary of the plan, including all required information listed in paragraph (1) of subdivision (c) of Section 53397.50.10.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
The internet website where the applicable documents, including those described in Section 53397.50.8, will be made available for public viewing or inspection.
</html:p>
<html:p>
(3)
<html:span class="EnSpace"/>
A designated contact person to receive and process any requests for a mailed or electronically mailed packet of all materials.
</html:p>
<html:p>
(4)
<html:span class="EnSpace"/>
The location, date, and time of the meeting and two scheduled public hearings held in accordance with Section 53397.50.10.
</html:p>
<html:p>
(5)
<html:span class="EnSpace"/>
A description of the actions that may be taken at the meeting and each of the public hearings described in paragraph (4).
</html:p>
<html:p>
(6)
<html:span class="EnSpace"/>
A description of the schedule, information, and process for accessing any amendments to the plan in accordance with paragraph (1) of subdivision (j) of Section 53397.50.10.
</html:p>
<html:p>
(7)
<html:span class="EnSpace"/>
A description of the schedule, information, and process for accessing annual reports in accordance with paragraph (2) of subdivision (j)
of Section 53397.50.10.
</html:p>
<html:p>
(b)
<html:span class="EnSpace"/>
(1)
<html:span class="EnSpace"/>
If the first or second public hearing on the plan occurs at the location, date, and time listed in the mailed notice described in subdivision (a), then the public financing authority shall be deemed to comply with the 10-day mailed notice requirement pursuant to subdivision (b) of Section 53397.50.10.
</html:p>
<html:p>
(2)
<html:span class="EnSpace"/>
If the first or second public hearing is rescheduled for a later date than listed in the mailed notice described in subdivision (a), due to unanticipated circumstances, the designated official shall do all of the following:
</html:p>
<html:p>
(A)
<html:span class="EnSpace"/>
Publish notice of the rescheduled date and time of the first or second public hearing, at least 10 days before the meeting, in a newspaper in accordance with subdivision (i) of Section 53397.50.10.
</html:p>
<html:p>
(B)
<html:span class="EnSpace"/>
Post, at least 10 days before the rescheduled meeting, notice of the rescheduled date and time of the first or second public hearing on the internet website described in paragraph (2) of subdivision (a).
</html:p>
<html:p>
(C)
<html:span class="EnSpace"/>
Email, at least 10 days before the rescheduled meeting, notification of the rescheduled date and time of the first or second public hearing to the email contact list assembled and maintained in accordance with subdivision (c).
</html:p>
<html:p>
(c)
<html:span class="EnSpace"/>
The designated contact person described in paragraph (3) of subdivision (a) shall assemble and maintain an email contact list of all landowners, residents, and other interested parties who have expressed interest in receiving information and materials.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_294FD312-3753-42C5-86E3-7C4472B4471C">
<ns0:Num>53397.50.16.</ns0:Num>
<ns0:LawSectionVersion id="id_D87E0EA6-9C9B-4981-93AE-CDB52BCE1A6B">
<ns0:Content>
<html:p>Except for the notices described in subdivision (i) of Section 53397.50.10, a notice required by this chapter shall be provided in English and in all other languages spoken jointly by 20 percent or more of the population in the jurisdiction of the county of the proposed district that speaks English less than “very well” and jointly speaks a language other than English according to data from the most recent American Community Survey or data from an equally reliable source.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_8ADFEA50-43ED-40FC-B570-0852AF9F541F">
<ns0:Num>53397.50.17.</ns0:Num>
<ns0:LawSectionVersion id="id_4047B2BE-C49D-47D0-8663-51571339EE22">
<ns0:Content>
<html:p>This section implements and fulfills the intent of this chapter and of Article XIII B of the California Constitution. The allocation and payment to a district of the portion of taxes specified in Section 53397.50.18 for the purpose of paying principal of, or interest on, loans, advances, or indebtedness incurred by the district pursuant to this chapter, shall not be deemed the receipt by a district of proceeds of taxes levied by or on behalf of the district within the meaning or for the purposes of Article XIII B of the California Constitution, nor shall that portion of taxes be deemed receipt of proceeds of taxes by, or an appropriation subject to limitation of, any other public body within the meaning or for purposes of Article XIII B of the California Constitution or any statutory provision enacted in implementation of
Article XIII B of the California Constitution.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
</ns0:LawHeading>
<ns0:LawHeading id="id_0E4DD574-1ADC-4DA6-A709-FE78E31C01A9" type="ARTICLE">
<ns0:Num>3.</ns0:Num>
<ns0:LawHeadingVersion id="id_F0A44529-6F86-40AC-A0CB-66C3A3CDDDCA">
<ns0:LawHeadingText>Division of Taxes</ns0:LawHeadingText>
</ns0:LawHeadingVersion>
<ns0:LawSection id="id_0A0A8E6A-D46D-4853-80EA-E252CD2FD936">
<ns0:Num>53397.50.18.</ns0:Num>
<ns0:LawSectionVersion id="id_771F4082-C1F1-45E9-B603-EB6F6B833A8C">
<ns0:Content>
<html:p>
(a)
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Any financing plan may contain a provision that taxes, if any, levied upon taxable property in the area included within the tax increment financing district each year by or for the benefit of the State of California, or any affected taxing entity after the effective date of the ordinance adopted pursuant to Section 53397.50.12 to create the district, shall be divided, subject to the provisions of Section 53397.50.3.2, as follows:
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<html:p>
(1)
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That portion of the taxes that would be produced by the rate upon which the tax is levied each year by or for each of the affected taxing entities upon the total sum of the assessed value of the taxable property in the district as shown upon the assessment roll used in connection with the taxation of
the property by the affected taxing entity, last equalized prior to the effective date of the resolution adopted pursuant to Section 53397.50.12 to create the district, shall be allocated to, and when collected shall be paid to, the respective affected taxing entities as taxes by or for the affected taxing entities on all other property are paid.
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<html:p>
(2)
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That portion of the levied taxes each year specified in the adopted financing plan for the city, county, city and county, or joint powers authority, and each affected taxing entity that has agreed to participate in excess of the amount specified in paragraph (1) shall be allocated to, and when collected shall be paid into a special fund of, the district for all lawful purposes of the district. Unless and until the total assessed valuation of the taxable property in a district exceeds the total assessed value of the taxable property in the district as shown by the last equalized assessment roll
referred to in paragraph (1), all of the taxes levied and collected upon the taxable property in the district shall be paid to the respective affected taxing entities. When the district ceases to exist pursuant to the adopted financing plan, all moneys thereafter received from taxes upon the taxable property in the district shall be paid to the respective affected taxing entities as taxes on all other property are paid.
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<html:p>
(b)
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Notwithstanding subdivision (a), where any district boundaries overlap with the boundaries of any former redevelopment project area, any debt or obligation of a district shall be subordinate to any and all enforceable obligations of the former redevelopment agency, as approved by the Oversight Board and the Department of Finance. For the purposes of this chapter, the division of taxes allocated to the district pursuant to subdivision (a) of this section shall not include any taxes required to be deposited by the county
auditor-controller into the Redevelopment Property Tax Trust Fund created pursuant to subdivision (b) of Section 34170.5 of the Health and Safety Code.
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<html:p>
(c)
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(1)
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That portion of any ad valorem property tax revenue annually allocated to a city, county, or city and county pursuant to Section 97.70 of the Revenue and Taxation Code that is specified in the adopted financing plan for the city, county, or city and county that has agreed to participate pursuant to Section 53397.50.11, and that corresponds to the increase in the assessed valuation of taxable property shall be allocated to, and, when collected, shall be apportioned to, a special fund of the district for all lawful purposes of the district.
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<html:p>
(2)
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When the district ceases to exist pursuant to the adopted financing plan, the revenues described in this subdivision shall be allocated to, and, when collected,
shall be apportioned to, the respective city, county, or city and county.
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<html:p>
(d)
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(1)
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The legislative body of the city, county, city and county, or entities that are a part of the joint powers authority forming the district may choose to dedicate any portion of its net available revenue to the district through the financing plan.
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(2)
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For the purposes of this subdivision, “net available revenue” means periodic distributions to the city, county, city and county, or entities that are a part of the joint powers authority from the Redevelopment Property Tax Trust Fund, created pursuant to Section 34170.5 of the Health and Safety Code, that are available to the city, county, city and county, or entities that are a part of the joint powers authority after all preexisting legal commitments and statutory obligations funded from that revenue are made pursuant to Part 1.85
(commencing with Section 34170) of Division 24 of the Health and Safety Code. “Net available revenue” shall not include any funds deposited by the county auditor-controller into the Redevelopment Property Tax Trust Fund or funds remaining in the Redevelopment Property Tax Trust Fund prior to distribution. “Net available revenues” shall not include any moneys payable to a school district that maintains kindergarten and grades 1 to 12, inclusive, community college districts, county office of education, or to the Educational Revenue Augmentation Fund, pursuant to paragraph (4) of subdivision (a) of Section 34183 of the Health and Safety Code.
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</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_0E2483A3-201D-4B23-AD82-8F120693F563">
<ns0:Num>53397.50.19.</ns0:Num>
<ns0:LawSectionVersion id="id_C0260670-D034-4C84-8CF9-ACEB34F55882">
<ns0:Content>
<html:p>All costs incurred by a county in connection with the division of taxes pursuant to Section 53397.50.18 for a district shall be paid by that district.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
</ns0:LawHeading>
<ns0:LawHeading id="id_36E4ACEB-DB4A-491C-9B7C-DD0181C9E7A7" type="ARTICLE">
<ns0:Num>4.</ns0:Num>
<ns0:LawHeadingVersion id="id_C77B4938-9203-444A-AAC5-EB33FB73B0BE">
<ns0:LawHeadingText>Issuance of Bonds</ns0:LawHeadingText>
</ns0:LawHeadingVersion>
<ns0:LawSection id="id_1101C3C7-CD7A-4D09-AF6E-DC54B83E8179">
<ns0:Num>53397.50.20.</ns0:Num>
<ns0:LawSectionVersion id="id_38F30246-C565-4B64-A1F0-669FE732C092">
<ns0:Content>
<html:p>
(a)
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The governing board may, by majority vote, initiate proceedings to issue bonds pursuant to this chapter by adopting a resolution stating its intent to issue the bonds.
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(b)
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The resolution shall contain all of the following information:
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<html:p>
(1)
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A description of the projects to be financed with the proceeds of the proposed bond issue.
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(2)
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The estimated cost of the projects, the estimated cost of preparing and issuing the bonds, and the principal amount of the proposed bond issuance.
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(3)
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The maximum interest rate and discount on the proposed bond
issuance.
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(4)
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The date of the election on the proposed bond issuance and the manner of holding the election.
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(5)
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A determination of the amount of tax revenue available or estimated to be available, for the payment of the principal of, and interest on, the bonds.
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(6)
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A finding that the amount necessary to pay the principal of, and interest on, the proposed bond issuance will be less than, or equal to, the amount determined pursuant to paragraph (5).
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<html:p>
(c)
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The clerk of the governing board shall publish the adopted resolution once per day for at least seven successive days in a newspaper published in the jurisdiction of each city, county, or city and county within the jurisdiction of the district at least six days per week, or at least once per week for two
successive weeks in a newspaper published in the jurisdictions of each city, county, or city and county within the jurisdiction of the district less than six days per week. If there are no newspapers meeting these criteria, the resolution shall be posted in three public places within the jurisdictions of each city, county, or city and county within the jurisdiction of the district for two succeeding weeks.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_615ADB6B-D67A-4629-BAAF-7DBCAB7CE600">
<ns0:Num>53397.50.21.</ns0:Num>
<ns0:LawSectionVersion id="id_117DA455-2151-4EAE-A571-8DC6DC7DFCF9">
<ns0:Content>
<html:p>
(a)
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The governing board shall submit the proposal to issue the bonds to the voters who reside within the district. The election shall be conducted in the same manner as the election to create the district and the two elections may be consolidated.
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<html:p>
(b)
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The bonds may be issued if two-thirds of the voters voting on the proposition vote in favor of issuing the bonds.
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<html:p>
(c)
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If the voters approve the issuance of the bonds as provided by subdivision (a), the governing board shall proceed with the issuance of the bonds by adopting a resolution that provides for all of the following:
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<html:p>
(1)
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The issuance of the bonds in one
or more series.
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<html:p>
(2)
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The principal amount of the bonds, which shall be consistent with the amount specified in Section 53397.50.20.
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(3)
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The date the bonds will bear.
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(4)
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The date of maturity of the bonds.
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(5)
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The denomination of the bonds.
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<html:p>
(6)
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The form of the bonds.
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<html:p>
(7)
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The manner of execution of the bonds.
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(8)
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The medium of payment in which the bonds are payable.
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(9)
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The place or manner of payment and any requirements for registration of the bonds.
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(10)
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The terms of call or redemption, with or without premium.
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<html:p>
(d)
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If any proposition submitted to the voters pursuant to this chapter is defeated by the voters, the governing board shall not submit, or cause to be submitted, a similar proposition to the voters for at least one year after the first election.
</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_6D48D3C7-2A63-4336-9BC5-F5E749A0C553">
<ns0:Num>53397.50.22.</ns0:Num>
<ns0:LawSectionVersion id="id_8D35E399-4935-4804-B079-04D3BBEDC9C4">
<ns0:Content>
<html:p>The governing board may, by majority vote, provide for refunding of bonds issued pursuant to this chapter. However, refunding bonds shall not be issued if the total net interest cost to maturity on the refunding bonds plus the principal amount of the refunding bonds exceeds the total net interest cost to maturity on the bonds to be refunded. The governing board shall not extend the time to maturity of the bonds.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_57118B1B-03CB-4FF7-8B87-7788B3EE91EE">
<ns0:Num>53397.50.23.</ns0:Num>
<ns0:LawSectionVersion id="id_61700F92-1384-4D7A-AFF2-61942032D999">
<ns0:Content>
<html:p>The governing board or any person executing the bonds shall not be personally liable on the bonds by reason of their issuance. The bonds and other obligations of a district issued pursuant to this chapter are not a debt of the city, county, city and county, joint powers authority, or state or of any of its political subdivisions, other than the district, and none of those entities, other than the district, shall be liable on the bonds and the bonds or obligations shall be payable exclusively from funds or properties of the district. The bonds shall contain a statement to this effect on their face. The bonds do not constitute an indebtedness within the meaning of any constitutional or statutory debt limitation.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
<ns0:LawSection id="id_5B6F85BF-10A9-430C-BC26-AD9A41F9C4F3">
<ns0:Num>53397.50.24.</ns0:Num>
<ns0:LawSectionVersion id="id_FD9CAA4B-DA54-4376-8187-AE9707456202">
<ns0:Content>
<html:p>If any member of the governing board whose signature appears on bonds ceases to be a member of the governing board before delivery of the bonds, their signature is as effective as if they had remained in office. Bonds issued pursuant to this chapter are fully negotiable.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
</ns0:LawHeading>
<ns0:LawHeading id="id_69FB0E1D-B5A2-4862-9591-2286908998DF" type="ARTICLE">
<ns0:Num>5.</ns0:Num>
<ns0:LawHeadingVersion id="id_C1EDA9F2-2406-4FEC-886C-4EE7F22FAD80">
<ns0:LawHeadingText>Accountability and Transparency</ns0:LawHeadingText>
</ns0:LawHeadingVersion>
<ns0:LawSection id="id_12D8D7D6-BF12-463F-91E3-F982074A65BD">
<ns0:Num>53397.50.25.</ns0:Num>
<ns0:LawSectionVersion id="id_B59CCD47-3F5D-4EDC-AF3D-F4E5C6196A98">
<ns0:Content>
<html:p>The district’s finances shall be subject to audit by the Controller every five years, commencing with the date the district allocates a cumulative total of one million dollars ($1,000,000) in tax increment revenues.</html:p>
</ns0:Content>
</ns0:LawSectionVersion>
</ns0:LawSection>
</ns0:LawHeading>
</ns0:LawHeading>
</ns0:Fragment>
</ns0:BillSection>
<ns0:BillSection id="id_98638DDF-C27A-462B-93A2-2BCA272BAC19">
<ns0:Num>SEC. 3.</ns0:Num>
<ns0:Content>
<html:p>
No reimbursement is required by this act pursuant to Section 6 of Article XIII
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B of the California Constitution for certain costs that may be incurred by a local agency or school district because, in that regard, this act creates a new crime or infraction, eliminates a crime or infraction, or changes the penalty for a crime or infraction, within the meaning of Section 17556 of the Government Code, or changes the definition of a crime within the meaning of Section 6 of Article XIII
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B of the California Constitution.
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<html:p>However, if the Commission on State Mandates determines that this act contains other costs mandated by the state, reimbursement to local agencies and school districts for those costs shall
be made pursuant to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of the Government Code.</html:p>
</ns0:Content>
</ns0:BillSection>
</ns0:Bill>
</ns0:MeasureDoc>