BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



           ------------------------------------------------------------ 
          |SENATE RULES COMMITTEE            |                   SB 977|
          |Office of Senate Floor Analyses   |                         |
          |1020 N Street, Suite 524          |                         |
          |(916) 651-1520         Fax: (916) |                         |
          |327-4478                          |                         |
           ------------------------------------------------------------ 
           
                                         
                                    CONSENT


          Bill No:  SB 977
          Author:   Hollingsworth (R)
          Amended:  4/14/10
          Vote:     21

           
           SENATE LOCAL GOVERNMENT COMMITTEE  :  5-0, 4/19/10
          AYES:  Cox, Aanestad, Kehoe, DeSaulnier, Price


           SUBJECT  :    Redevelopment:  Redevelopment Agency of the  
          County of 
                      Riverside

           SOURCE  :     Redevelopment Agency of the County of Riverside


           DIGEST  :    This bill declares that the territorial  
          jurisdiction of the Redevelopment Agency of the County of  
          Riverside includes territory that is now within the City of  
          Menifee or the City of Wildomar if, before incorporation,  
          the Agency (1) entered a binding agreement with a third  
          party for affordable housing, and (2) acquired land or  
          spent money from its Low and Moderate Income Housing Fund.   
          This bill allows the Redevelopment Agency of the County of  
          Riverside to count the housing units that it supports  
          within Menifee and Wildomar towards its statutory  
          obligations to support affordable housing.  

           ANALYSIS  :    The Community Redevelopment Law provides that  
          a county redevelopment agency's territorial jurisdiction is  
          the county's unincorporated area.  The territorial  
          jurisdiction of a county redevelopment agency includes all  
                                                           CONTINUED





                                                                SB 977
                                                                Page  
          2

          of the unincorporated territory that was in a county's  
          redevelopment project area, even if a city subsequently  
          annexes the territory or a new city incorporates on top of  
          the county's redevelopment project area.  There are  
          procedures for counties to transfer control over their  
          project areas to the annexing city or the new city.

          This bill declares that the territorial jurisdiction of the  
          Redevelopment Agency of the County of Riverside includes  
          territory that is now within the City of Menifee or the  
          City of Wildomar if, before incorporation, the Agency (1)  
          entered a binding agreement with a third party for  
          affordable housing, and (2) acquired land or spent money  
          from its Low and Moderate Income Housing Fund.

          This bill allows the Redevelopment Agency of the County of  
          Riverside County to count the housing units that it  
          supports within Menifee and Wildomar towards its statutory  
          obligations to support affordable housing.

          This bill declares that it applies retroactively and  
          prospectively, and it contains legislative declarations to  
          support its special provisions.

           Comments  

          The Redevelopment Agency of the County of Riverside has  
          five project areas.  In 2008, the new cities of Menifee and  
          Wildomar incorporated on top of parts of the County's  
          existing project areas.  Before these incorporations,  
          however, County redevelopment officials acquired land  
          outside of their project areas and signed agreements with a  
          developer to build senior low-income apartments in Menifee  
          (Vineyards) and Wildomar (Tres Lagos).  County officials  
          approved the apartment developments before the  
          incorporations took effect.

          Because the properties are inside the new cities, but  
          outside of the County's redevelopment project areas, County  
          redevelopment officials lack the authority to continue with  
          the apartment developments.  They want a legislative  
          declaration that the County Redevelopment Agency's  
          territory still includes those properties, so that they can  
          finish the apartments.







                                                                SB 977
                                                                Page  
          3


           FISCAL EFFECT  :    Appropriation:  No   Fiscal Com.:  No    
          Local:  No

           SUPPORT  :   (Verified  4/20/10)

          Cities of Menifee and Wildomar
          County of Riverside


          AGB:mw  4/20/10   Senate Floor Analyses 

                         SUPPORT/OPPOSITION:  SEE ABOVE

                                ****  END  ****