BILL NUMBER: AB 936	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JUNE 22, 2011
	AMENDED IN ASSEMBLY  MAY 2, 2011

INTRODUCED BY   Assembly Member Hueso

                        FEBRUARY 18, 2011

   An act to add Article 4.4 (commencing with Section 33354.7) to
Chapter 4 of Part 1 of Division 24 of the Health and Safety Code,
relating to redevelopment.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 936, as amended, Hueso. Redevelopment: debt 
forgiveness: public notice.   forgiveness. 
   The Community Redevelopment Law authorizes the establishment of
redevelopment agencies in communities to address the effects of
blight, as defined. Existing law requires the agencies, among other
things, to comply with public hearing and notice requirements
relating to, among other things, the adoption and amendment of
redevelopment plans, the expenditure of funds, and the financing of
projects. 
   This bill would require that, with regard to matters considered by
a local legislative body, any matter on a meeting agenda to forgive
a loan, advance, or indebtedness of a redevelopment agency be made
public at a public meeting at least 2 weeks prior to the adoption of
any action relating to that matter. The bill would require the chief
financial official of the local legislative body to be present at the
meeting to provide information relating to the impact of that
forgiveness on the financial health of the city, county, or agency.
The bill would also prohibit the adoption of any redevelopment agency
debt forgiveness proposal from being placed on a consent calendar.
By imposing new duties on local public officials, the bill would
create a state-mandated local program.  
   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.  
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.  
   This bill would require an agency to adopt a resolution stating
its intention to forgive the repayment of a loan, advance, or
indebtedness owed by a public body to the agency prior to repayment
forgiveness, as specified. The bill would also require an agency, on
or before February 1, 2012, to adopt a resolution declaring whether
it has forgiven the repayment of a loan, advance, or indebtedness
owed by a public body during a specified period. 
   Vote: majority. Appropriation: no. Fiscal committee:  yes
  no  . State-mandated local program:  yes
  no  .


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

  SECTION 1.  Article 4.4 (commencing with Section 33354.7) is added
to Chapter 4 of Part 1 of Division 24 of the Health and Safety Code,
to read: 

      Article 4.4.  Debt Forgiveness Matters


   33354.7.  With regard to matters considered by a local legislative
body, any matter on a meeting agenda to forgive a loan, advance, or
indebtedness of a redevelopment agency shall be made public at a
public meeting at least two weeks prior to the adoption of any action
relating to that matter.
   33354.8.  The chief financial officer at the public meeting
described in Section 33354.7 shall be present to provide information
at the public meeting as to the potential impact of forgiveness of
that loan, advance, or indebtedness on the financial health of the
city, county, or agency.
   33354.9.  The adoption of any redevelopment agency debt
forgiveness proposal to which this article applies shall not be
placed on a consent calendar.
   SEC. 2.  If the Commission on State Mandates determines that this
act contains 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.  

      Article 4.4.  Forgiveness of Debts and Loan


   33354.7.  (a) Before an agency forgives a public body for the
repayment, wholly or partially, of a loan, advance, or indebtedness
that is owed by a public body to the agency, the agency shall adopt a
resolution that states its intention to forgive the repayment.
   (b) The resolution shall specify all of the following:
   (1) The name of the public body.
   (2) The amount of the proposed forgiveness.
   (3) The terms of the loan, advance, or indebtedness.
   (4) The fiscal effect of the proposed forgiveness on the public
body.
   (5) The fiscal effect of the proposed forgiveness on the agency.
   (6) The date on which the agency intends to act on the proposed
forgiveness which shall be no less than 15 days after the adoption of
the resolution.
   (c) The adoption of the resolution and the action that forgives
repayment shall not be placed on the agency's consent calendar, but
shall be adopted by a recorded roll call vote.
   33354.8.  (a) On or before February 1, 2012, an agency shall adopt
a resolution that declares whether or not it has forgiven, during
the period of time commencing January 1, 2010 through December 31,
2011, the repayment, wholly or partially, of a loan, advance, or
indebtedness that has been owed by a public body to the agency.
   (b) The resolution shall specify all of the following:
   (1) The name of the public body.
   (2) The amount of the forgiveness.
   (3) The terms of the loan, advance, or indebtedness.
   (4) The fiscal effect of the proposed forgiveness on the public
body.
   (5) The fiscal effect of the proposed forgiveness on the agency.
   (c) No less than 10 days after the adoption of the resolution, the
agency shall transmit a copy of the resolution to the legislative
body and the Controller.