BILL NUMBER: SB 223	CHAPTERED  07/06/99

	CHAPTER   59
	FILED WITH SECRETARY OF STATE   JULY 6, 1999
	APPROVED BY GOVERNOR   JULY 6, 1999
	PASSED THE ASSEMBLY   JUNE 16, 1999
	PASSED THE SENATE   APRIL 26, 1999
	AMENDED IN SENATE   APRIL 20, 1999
	AMENDED IN SENATE   APRIL 6, 1999

INTRODUCED BY   Senator Kelley

                        JANUARY 25, 1999

   An act to add Section 53395.9 to the Government Code, relating to
infrastructure financing.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 223, Kelley.  Infrastructure financing:  Salton Sea Authority.
   Existing law authorizes counties and cities to form infrastructure
financing districts, in accordance with a prescribed procedure, to
finance public capital facilities utilizing a method of tax increment
financing.
   This bill would authorize the Salton Sea Authority, a joint powers
authority, to utilize this law to form an infrastructure financing
district to fund the construction of, and purchasing electrical power
for, projects for the reclamation and environmental restoration of
the Salton Sea.


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


  SECTION 1.  (a) The Salton Sea is California's largest body of
water and a critical link in the Pacific Fly-Way, providing at least
an interim habitat for more than half of the bird species found in
the United States.
   (b) The Salton Sea helps support the agricultural and tourism
economies of the Imperial and Coachella Valleys, with the Salton Sea
State Park being a destination of more than 200,000 visitors per
year; in past years the park ranked second statewide in the number of
visitors per annum.
   (c) The Salton Sea's economic and environmental assets are at
extreme peril as evidenced by the efforts of federal, state, local,
and tribal governments to restore the sea to a sound and viable
ecosystem.
   (d) Section 53395 of the Government Code authorizes local
governments to establish infrastructure finance districts to fund
major capital improvements.
   (e) Granting the Salton Sea Authority permission to form an
infrastructure finance district will facilitate the authority's
ability to engage in the restoration of the Salton Sea without
creating a new municipality surrounding the sea.
   (f) No new taxes, fees, or assessments are attendant to the
creation of an infrastructure finance district, although the creation
of that district requires a vote by the citizens or property owners
affected, or both.
   (g) Taxing entities within the geographical boundaries of the
infrastructure finance district are neither obligated nor mandated to
participate, but they may do so on a voluntary basis.  However,
there is a clear need to proceed as rapidly as possible toward the
goal of restoring the Salton Sea to a state of ecological well-being.
  Accordingly, this measure is a logical and necessary step to
achieve the result.
  SEC. 2.  Section 53395.9 is added to the Government Code, to read:

   53395.9.  (a) The Salton Sea Authority, a joint powers authority
formed by the County of Imperial, the County of Riverside, the
Coachella Valley Water District, and the Imperial Irrigation
District, may use the provisions of this chapter to form an
infrastructure financing district for the purpose of funding the
construction of, and purchasing electrical power for, projects for
the reclamation and environmental restoration of the Salton Sea.  To
the extent of any conflict, the provisions of this section shall
prevail over any other provision of law.  Any district formed
pursuant to this section shall be known as "The Salton Sea
Infrastructure Financing District."
   (b) For purposes of this chapter, the Salton Sea Authority is a
"city."
   (c) The Salton Sea Infrastructure Financing District may exist for
up to 40 years from the date of its formation.
   (d) No public funds accruing to the Salton Sea Authority pursuant
to this section shall be utilized for purposes of treating or making
potable, agricultural tailwaters flowing into the Salton Sea.