AB 2031, as amended, Bonta. Local government: affordable housing: financing.
Existing law requires, from February 1, 2012, to July 1, 2012, inclusive, and for each fiscal year thereafter, the county auditor-controller in each county to allocate property tax revenues in the county’s Redevelopment Property Tax Trust Fund, established to receive revenues equivalent to those that would have been allocated to former redevelopment agencies had those agencies not been dissolved, towards the payment of enforceable obligations and among entities that include, among others, a city and the county or the city and county.
This bill would authorize a city or county
begin delete that formed a redevelopment agency and became the successor agency that received a finding of completion from the Department of Financeend delete to reject its allocations of property tax revenues begin delete from the trust fund.end delete The bill would direct those rejected property tax revenues to an affordable housing special beneficiary district, established as a temporary and distinct local governmental entity for the purposes of receiving a rejected distribution of property tax proceeds and promoting affordable housing by providing financing assistance within its boundaries. The bill would require a beneficiary district to be governed by a 5-member board and comply with specified open meeting and
public record laws. The bill would require a beneficiary district to cease to exist on the 90th calendar day after the date the county auditor-controller makes the final transfer of the distribution of property tax revenues to the beneficiary district, and prohibit a beneficiary district from undertaking any obligation that requires its action past that date. The bill would transfer any funds and public records of a beneficiary district remaining after the date the beneficiary district ceases to exist to the city or county that rejected the of property tax revenues thereafter directed to that district, as specified.
Vote: majority. Appropriation: no. Fiscal committee: no. State-mandated local program: no.
The people of the State of California do enact as follows:
Part 1.87 (commencing with Section 34191.30)
2is added to Division 24 of the Health and Safety Code, to read:
For purposes of this part, the following definitions
9(a) “Affordable housing” means a dwelling available for
10purchase or lease by persons and families who qualify as low or
11moderate income, as defined in Section
begin delete 50093 of the Health and very low income households, as defined in
12Safety Code,end delete
begin delete 50105 of the Health and Safety Code,end delete
14low income households, as defined in Section
begin delete 50106 of the Health
15and Safety Code.end delete
P3 1(b) “Beneficiary district” is an affordable housing special
2beneficiary district established pursuant to this part that exists for
3a limited duration as a distinct local governmental entity for the
4purposes of receiving rejected distributions of property tax revenues
5and providing financing assistance to promote affordable housing
6within its boundaries.
7(c) “Distributions of property tax revenues” means all property
8tax revenues a city or county would be entitled to receive pursuant
begin delete 1.85.end delete
(a) Commencing when a successor
begin delete entityend delete receives a finding of completion
13pursuant to Section 34179.7, there exists, within the same
14geographical boundaries of the jurisdiction of that successor
begin delete agency,end delete an affordable housing special beneficiary district.
16(b) (1) A beneficiary district ceases to exist on the 90th calendar
17day after the date the county auditor-controller makes the final
18transfer of distributed property tax revenues to the beneficiary
19district. On and after the date a beneficiary district ceases to exist,
20the beneficiary district shall not have the authority to conduct any
21business, including, but not limited to, taking any action or making
22any payment, and any funds of the beneficiary district shall
23 automatically transfer to the city or county that rejected its
24distributions of property tax revenues pursuant to Section 34191.45
25that were thereafter directed to the district.
26(2) Notwithstanding Section 34191.40, the terms of the members
27of the board of a beneficiary district shall expire on the date the
28beneficiary district ceases to exist.
29(3) Any legal right of the beneficiary district on or after the date
30the beneficiary district ceases to exist, including, but not limited
31to, the right to repayment pursuant to a loan made by the
32beneficiary district, is the right of the city or county that rejected
33its distributions of property tax revenues pursuant to Section
3434191.45 that was thereafter directed to the district.
(a) A beneficiary district shall be governed by a
36board composed of the following five members:
37(1) Three members of the city council, if a city formed the
begin delete agency and became the successor agency that
39received the finding of completion pursuant to Section 34179.7,end delete
40 or three members of the board of supervisors, if a county
P4 1formed the redevelopment
begin delete agency and became the successor agency The three members shall be appointed by the
2that received the finding of completion pursuant to Section
4city council or board of supervisors, as applicable.
5(2) The treasurer of the city or county that formed the
begin delete agency and became the successor agency that
7 received the finding of completion pursuant to Section 34179.7.end delete
9(3) One member of the public who lives within the boundaries
10of the beneficiary district who is appointed by the city council or
11county board of supervisors of the city or county that formed the
begin delete agency and became the successor agency that has
13received a finding of completion pursuant to Section 34179.7.end delete
15(b) The board shall elect one of its members as the chairperson.
member shall serve a term of four years from the date
17of his or her appointment. Vacancies on the board shall be filled
18by the appointing authority for a new four-year term. A member
19may be reappointed.
20(d) Each member shall serve without compensation.
Notwithstanding any other law, a city or county
begin delete that formed a redevelopment agency and became the successor may by ordinance or resolution reject its distributions of
23agency that received the finding of completion pursuant to Section
25property tax revenues
begin delete from the trust fund.end delete
27 Except as provided in subdivision (b) of Section 34191.35, on and
28after the date that a city or county rejects its distributions of
29property tax revenues, the city or county shall not have any claim
30to, or control over, the distributions of property tax revenues it
31may have otherwise received pursuant to Part
begin delete 1.85,end delete and the county
33auditor-controller shall transfer all of that distribution of property
34tax revenues to the beneficiary district.
(a) A beneficiary district shall only promote the
5development of affordable housing within its boundaries.
6(b) A beneficiary district may promote the development of
7affordable housing by doing any of the following:
8(1) Issuing bonds to be repaid from the property tax revenues
9directed to the district.
10(2) Providing financial assistance for the development of
11affordable housing, including, but not limited to, providing loans,
12grants, and other financial incentives and support.
13(3) Taking other actions the board determines will promote the
14 financing of the development of affordable housing within its
16(c) A beneficiary district shall not undertake any obligation that
17requires an action after the date it will cease to exist, including,
18but not limited to, issuing a bond that requires any repayment of
19the bond obligation after the date the beneficiary district will cease
begin delete(1)end delete begin delete end deleteA beneficiary district shall comply with the
22Ralph M. Brown Act (Chapter 9 (commencing with Section 54950)
23of Part 1 of Division 2 of Title 5 of the Government Code) and the
24California Public Records Act (Chapter 3.5 (commencing with
25Section 6250) of Division 7 of Title 1 of the Government Code).
27 When a beneficiary district ceases to exist pursuant to
28subdivision (b) of Section 34191.35, a public record of the
29beneficiary district shall be the property of the city or county that
30rejected its distribution of property tax
begin delete proceedsend delete pursuant
31to Section 34191.45.