BILL NUMBER: SB 93	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Kehoe

                        JANUARY 22, 2009

   An act to amend Section 33445 of the Health and Safety Code,
relating to redevelopment.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 93, as introduced, Kehoe. Redevelopment: payment for land or
buildings.
   The Community Redevelopment Law requires a redevelopment agency to
make specified findings if the agency pays all or a part of the
value of the land for and the cost of the installation and
construction of any building, facility, structure, or other
improvement that is publicly owned either within or without the
project area. These determinations by the agency and the local
legislative body are final and conclusive. An agency is authorized to
enter into a contract with the community or other public corporation
when the value of the land or the cost of the installation and
construction of the building, facility, structure, or other
improvement, or both, has been, or will be, paid or provided for
initially by the community or other public corporation, and the
agency agrees to reimburse, the community or other public
corporation. An agency may contract with the community when the land
has been or will be acquired by, or the cost of the installation and
construction of the building, facility, structure, or other
improvement has been paid by, a parking authority, joint powers
entity, or other public corporation to provide a building, facility,
structure, or other improvement that has been or will be leased to
the community.
   This bill would require a redevelopment agency to make specified
findings, based on substantial evidence in the record, if the agency
pays all or a part of the value of the land for and the cost of the
installation and construction of any building, facility, structure,
or other improvement that is publicly owned either within or without
the project area. These findings would not be final and conclusive.
An agency would no longer be authorized to enter into a contract with
a public corporation other than the community for the value of the
land or the cost of the installation and construction of the
building, facility, structure, or other improvement, or both. The
bill would provide that an agency may contract with the community
prior to January 1, 2009, when the land has been or will be acquired
by, or the cost of the installation and construction of the building,
facility, structure, or other improvement has been paid by, a
parking authority, joint powers entity, or other public corporation
to provide a building, facility, structure, or other improvement that
has been or will be leased to the community.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 33445 of the Health and Safety Code is amended
to read:
   33445.  (a) Notwithstanding Section 33440, an agency may, with the
consent of the legislative body, pay all or a part of the value of
the land for and the cost of the installation and construction of any
building, facility, structure, or other improvement that is publicly
owned either within or without the project area, if the legislative
body  determines   finds, based on substantial
evidence in the record,  all of the following: 
   (1) That the buildings, facilities, structures, or other
improvements are of benefit to the project area or the immediate
neighborhood in which the project is located, regardless of whether
the improvement is within another project area, or in the case of a
project area in which substantially all of the land is publicly owned
that the improvement is of benefit to an adjacent project area of
the agency.  
   (1) Significant blight remains within the project area.  

   (2) The blight cannot be eliminated without the acquisition of the
land or the installation and construction of the building, facility,
structure, or other improvement that is publicly owned. 

   (2) 
    (3)  That no other reasonable means of financing the
buildings, facilities, structures, or other improvements, are
available to the community  , including, but not limited to,
general obligation bonds, revenue bonds, special assessment bonds,
and bonds issued pursuant to the Mello-Roos Community Facilities Act
of 1982 (Chapter 2.5 (commencing with Section 53311) of Part 1 of
Division 2 of Title 5 of the Government Code)  . 
   (3) 
    (4)  That the payment of funds for the acquisition of
land or the cost of buildings, facilities, structures, or other
improvements  will assist in the elimination of one or more
blighting conditions inside the project area or provide housing for
low- or moderate-income persons, and   that are publicly
owned  is consistent with the implementation plan adopted
pursuant to Section 33490.
   (b) The  determinations by the agency and the local
legislative body pursuant to subdivision (a) shall be final and
conclusive. For redevelopment plans, and amendments to those plans
which add territory to a project, adopted after October 1, 1976,
 acquisition of  property   land 
and  the  installation or construction of each 
building,  facility  , structure, or improvement that is
publicly owned  shall be provided for in the redevelopment plan.
 A redevelopment agency 
    (c)     An agency  shall not pay for
the normal maintenance or operations of buildings, facilities,
structures, or other improvements that are publicly owned. Normal
maintenance or operations do not include the construction, expansion,
addition to, or reconstruction of, buildings, facilities,
structures, or other improvements that are publicly owned otherwise
undertaken pursuant to this section. 
   (c) 
    (d)   (1)    When the value of the
land or the cost of the installation and construction of the
building, facility, structure, or other improvement, or both, has
been, or will be, paid or provided for initially by the community
 or other public corporation  , the agency may enter
into a contract with the community  or other public
corporation under which it agrees  to reimburse the
community  or other public corporation  for all or
part of the value of the land or all or part of the cost of the
building, facility, structure, or other improvement, or both, by
periodic payments over a period of years. 
   (d) 
    (2)  The obligation of the agency under the contract
shall constitute an indebtedness of the agency for the purpose of
carrying out the redevelopment project for the project area, 
which   and the  indebtedness may be made payable
out of taxes levied in the project area and allocated to the agency
under subdivision (b) of Section 33670 or out of any other available
funds.
   (e)  In   Prior to January 1, 2009, in 
a case where the land has been or will be acquired by, or the cost of
the installation and construction of the building, facility,
structure, or other improvement has been paid by, a parking
authority, joint powers entity, or other public corporation to
provide a building, facility, structure, or other improvement that
has been or will be leased to the community, the contract may be made
with, and the reimbursement may be made payable to, the community.
   (f) With respect to the financing, acquisition, or construction of
a transportation, collection, and distribution system and related
peripheral parking facilities, in a county with a population of
4,000,000 persons or more, the agency shall, in order to exercise the
powers granted by this section, enter into an agreement with the
rapid transit district that includes the county, or a portion
thereof, in which agreement the rapid transit district shall be given
all of the following responsibilities:
   (1) To participate with the other parties to the agreement to
design, determine the location and extent of the necessary
rights-of-way for, and construct, the transportation, collection, and
distribution systems and related peripheral parking structures and
facilities.
   (2) To operate and maintain the transportation, collection, and
distribution systems and related peripheral parking structures and
facilities in accordance with the rapid transit district's
outstanding agreements and the agreement required by this paragraph.
   (g) (1) Notwithstanding any other authority granted in this
section, an agency shall not pay for, either directly or indirectly,
with tax increment funds the construction, including land
acquisition, related site clearance, and design costs, or
rehabilitation of a building that is, or that will be used as, a city
hall or county administration building.
   (2) This subdivision shall not preclude an agency from making
payments to construct, rehabilitate, or replace a city hall if an
agency does any of the following:
   (A) Allocates tax increment funds for this purpose during the
1988-89 fiscal year and each fiscal year thereafter in order to
comply with federal and state seismic safety and accessibility
standards.
   (B) Uses tax increment funds for the purpose of rehabilitating or
replacing a city hall that was seriously damaged during an earthquake
that was declared by the President of the United States to be a
natural disaster.
   (C) Uses the proceeds of bonds, notes, certificates of
participation, or other indebtedness that was issued prior to January
1, 1994, for the purpose of constructing or rehabilitating a city
hall, as evidenced by documents approved at the time of the issuance
of the indebtedness.