BILL NUMBER: AB 654	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Brown

                        FEBRUARY 24, 2015

   An act relating to redevelopment.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 654, as introduced, Brown. Community redevelopment.
   Existing law dissolved redevelopment agencies and community
development agencies as of February 1, 2012, and provides for the
designation of successor agencies to wind down the affairs of the
dissolved redevelopment agencies. Existing law requires revenues
equivalent to those that would have been allocated to each
redevelopment agency, had the agency not been dissolved, to be
allocated to the Redevelopment Property Tax Trust Fund of each
successor agency for, among other things, making payments on the
principal of, and interest on, loans and moneys advanced to, or
indebtedness incurred by, the dissolved redevelopment agencies.
Existing law requires the county auditor-controller, after deducting
administrative costs, to allocate property tax revenues in each
Redevelopment Property Tax Trust Fund in a specified manner.
   This bill would state the intent of the Legislature that the use
of residual revenues, derived from an additional property tax rate
approved by the voters of a city, county, city and county, or special
district to make payments in support of capital projects and
programs related to the State Water Project, be consistent with the
use of those revenues approved by the voters of the relevant
jurisdiction.
   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.  The Legislature finds and declares all of the
following:
   (a) The California Constitution limits property-based tax levies,
with exceptions to these limits only when a local jurisdiction
obtains the approval of its voting electorate to use additional
property-based tax levies for specific purposes, in accordance with
applicable constitutional and statutory provisions.
   (b) With the enactment of Chapter 5 of the 2011-12 First
Extraordinary Session (Assembly Bill 26), the Legislature intended
that, upon dissolution of redevelopment agencies in the State of
California, property taxes that would have been allocated to
redevelopment agencies are no longer deemed tax increment.
   (c) It is important to minimize the potential erosion of property
tax residuals being returned to the local taxing entities, both in
the short and long term, while transitioning the state from detailed
review of enforceable obligations to a streamlined process.
   (d) It is appropriate to clarify and refine various provisions in
the relevant statutes to eliminate ambiguity and make the statutes
operate more successfully for all parties without rewarding
previously questionable behavior.
   (e) It is essential to maintain the expeditious wind-down of
former redevelopment agency activities while adding new incentives
for substantial compliance with the law.
   (f) It is the intent of the Legislature, in enacting this act,
that as the redevelopment agency dissolution process winds down the
use of residual revenues derived from the imposition of a property
tax rate, approved by the voters of a city, county, city and county,
or special district to make payments in support of capital projects
and programs related to the State Water Project, and levied in
addition to the property tax rate limited by subdivision (a) of
Section 1 of Article XIII A of the California Constitution, is
consistent with the use approved by the voters of a city, county,
city and county, or special district.