BILL NUMBER: AB 1231 INTRODUCED
BILL TEXT
INTRODUCED BY Assembly Member Garcia
FEBRUARY 23, 2007
An act to add Chapter 8.7 (commencing with Section 50720) to Part
2 of Division 31 of the Health and Safety Code, relating to housing.
LEGISLATIVE COUNSEL'S DIGEST
AB 1231, as introduced, Garcia. Infill development: incentive
grants.
Existing law, the Housing and Emergency Shelter Trust Fund Act of
2006, authorizes the issuance of bonds in the amount of
$2,850,000,000 pursuant to the State General Obligation Bond Law.
Proceeds from the sale of these bonds are required to be used to
finance various existing housing programs, capital outlay related to
infill development, brownfield cleanup that promotes infill
development, and housing-related parks. The act establishes the
Housing and Emergency Shelter Trust Fund of 2006 in the State
Treasury, requires the sum of $850,000,000 to be deposited in the
Regional Planning, Housing, and Infill Incentive Account, which the
act establishes in the fund, and makes the money in the account
available, upon appropriation, for infill incentive grants for
capital outlay related to infill housing development and other
related infill development, and for brownfield cleanup that promotes
infill housing development and other related infill development
consistent with regional and local plans, subject to the conditions
and criteria that the Legislature may provide in statute.
This bill would require the Department of Housing and Community
Development to use funds allocated from the Regional Planning,
Housing, and Infill Incentive Account to make infrastructure grants
for construction or acquisition of capital assets to qualifying
cities, counties, and cities and counties. The bill would require the
grants to be used for infrastructure that is directly related to,
and integral to facilitating the development of, identified infill
housing projects. The bill would require the department to issue
periodic Notices of Funding Availability specifying per-project
limits and the competitive criteria upon which projects shall be
selected. The bill would require projects to conform to certain
criteria in order to be eligible for funding.
Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Chapter 8.7 (commencing with Section 50720) is added to
Part 2 of Division 31 of the Health and Safety Code, to read:
CHAPTER 8.7. REGIONAL PLANNING, HOUSING, AND INFILL INCENTIVE
ACCOUNT
50720. (a) The department shall use funds allocated pursuant to
subdivision (b) of Section 53545 to make infrastructure grants for
construction or acquisition of capital assets, as set forth in
Section 16727 of the Government Code, to qualifying cities, counties,
and cities and counties. The grants shall be used for infrastructure
that is directly related to, and integral to facilitating the
development of, identified infill housing projects. Funds may be used
for any purpose specified in subdivision (b) of Section 53545,
subject to the restrictions contained in that subdivision. The
department shall issue periodic Notices of Funding Availability
specifying per-project limits and the competitive criteria upon which
projects shall be selected. In order to be eligible for funding,
projects shall conform to all of the following:
(1) Be consistent with the adopted General Plan of the applicant
city, county, or city and county. The adopted General Plan shall
include an adopted housing element that the department has found,
pursuant to Section 65585 of the Government Code, to be in
substantial compliance with the requirements of Article 10.6
(commencing with Section 65580) of Chapter 3 of Division 1 of Title 7
of the Government Code.
(2) Be located in a city, county, or city and county that has met
or exceeded housing production thresholds established by the
department in consultation with the Department of Finance.
(3) Be included in, and be consistent with, the zoning or specific
plan and any of the following additional plans applicable to the
subject area or site:
(A) A project area redevelopment plan.
(B) A regional blueprint plan.
(C) A capital improvement plan.
(D) A regional transportation plan or a transportation corridor
plan.
(4) For any of the plans identified in paragraph (1) or (3) that
is subject to the California Environmental Quality Act (Division 13
(commencing with Section 21000) of the Public Resources Code), the
notice of determination pursuant to the California Environmental
Quality Act shall have been completed and the statutory period for
challenges shall have expired. Both the infrastructure project for
which funding is applied for, and the housing project to be
facilitated, shall be identified with sufficient specificity to be
considered to have complied with the California Environmental Quality
Act.
(5) Be an integral part of infrastructure needs that are required
to allow an infill housing project to proceed to completion in a
timely manner, including, but not limited to, brownfield cleanup.
(b) For the purposes of this program, a qualifying infill project
shall be located within an urbanized area or within an urban cluster
on a site that has been previously developed for urban uses, or a
vacant site where the properties adjoining at least two sides of the
project site are, or previously have been, developed for urban uses.
For the purposes of this program, an urbanized area or an urban
cluster is as defined by the United States Census Bureau.
(c) In its review and rating of applications, the department shall
consider factors that include, but are not limited to, all of the
following:
(1) The number of housing units to be created.
(2) The depth and duration of the affordability of the housing.
(3) The creation of housing in job-rich areas.
(4) The proximity of housing to access to mass transit, parks,
social services, and other amenities.
(5) The applicant's previous performance in meeting its regional
housing need allocation.
(d) To the extent feasible, the project selection process shall
ensure a reasonable geographic distribution of funds.
(e) Funds awarded pursuant to this chapter shall supplement, but
shall not supplant, other available funding.
(f) (1) If the housing identified in the grant application is not
produced within five years after the date of completion of the
infrastructure project funded through this program, all funds
allocated under the grant shall be reimbursed by the applicant to the
Regional Planning, Housing, and Infill Incentive Account.
(2) The department may grant one five-year extension to the
deadline imposed under paragraph (1) if it determines that the
inability to complete the required housing was related to
unanticipated market forces beyond the control of the applicant.
50722. The department shall adopt guidelines for the operation of
the program, and may administer the program under those guidelines
for 24 months after the date of adoption of the guidelines, during
which time the guidelines shall not be subject to the requirements of
Chapter 3.5 (commencing with Section 11340) of Part 1 of Title 2 of
the Government Code.