BILL NUMBER: SB 1112 AMENDED
BILL TEXT
AMENDED IN SENATE MARCH 22, 2010
INTRODUCED BY Senator Oropeza
FEBRUARY 17, 2010
An act to amend Section 36501 of the Government Code,
relating to local government. An act to amend Sections
33333.8 and 33333.11 of, and to add Section 33333.9 to, the Health
and Safety Code, relating to redevelopment.
LEGISLATIVE COUNSEL'S DIGEST
SB 1112, as amended, Oropeza. Local government: general
law cities. Redevelopment: plan amendment: brownfield
sites.
The Community Redevelopment Law authorizes the establishment of
redevelopment agencies in communities to address the effects of
blight in those communities. Existing law requires each agency to
prepare or cause to be prepared, and approve, a redevelopment plan
for each project area. Existing law requires that a redevelopment
plan contain specified time limitations and authorizes the extension
of time limitations under specified circumstances.
This bill would authorize an agency to extend the time limitation
on the effectiveness of a redevelopment plan and on the payment of
indebtedness and receipt of property taxes for not more than 10 years
if the agency determines, based on substantial evidence that, among
other conditions, at least 25% of the project area is a brownfield
site, as defined. The bill would require the agency to include in
certain reports specified information relating to the brownfield
site.
Existing law specifies that the government of a general law city
is vested in a city council, a city clerk, a city treasurer, a chief
of police, a fire chief, and any subordinate officers or employees
provided by law.
This bill would make a technical, nonsubstantive change to this
provision.
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. Section 33333.8 of the
Health and Safety Code is amended to read:
33333.8. (a) Every redevelopment agency shall comply with and
fulfill its obligations with regard to the provision of affordable
housing as required by this part prior to the time limit on the
effectiveness of the redevelopment plan established pursuant to
Sections 33333.2, 33333.6, 33333.9, and 33333.10, and
before the agency exceeds a limit on the number of dollars of taxes
that may be divided and allocated to the redevelopment agency if
required by Section 33333.4 or the limit on the number of dollars of
taxes in a redevelopment plan. A legislative body may not adopt an
ordinance terminating a redevelopment project area if the agency has
not complied with its affordable housing obligations. Notwithstanding
any other provision of law, this section shall apply to each
redevelopment agency and each redevelopment project area established
or merged pursuant to this part and Part 1.5 (commencing with Section
34000), including project areas authorized pursuant to this chapter
and each individual project area that is authorized pursuant to any
other provision of law.
(1) The affordable housing obligations specified in subdivision
(a) shall include all of the following:
(A) The obligation to make deposits to and expenditures from the
Low and Moderate Income Housing Fund pursuant to Sections 33334.2,
33334.3, 33334.4, 33334.6, 33487, 33492.16, and other similar and
related statutes.
(B) The obligation to eliminate project deficits pursuant to
Sections 33334.6, 33487, 33492.16, and other similar and related
statutes.
(C) The obligation to expend or transfer excess surplus funds
pursuant to Section 33334.12 and other similar and related statutes.
(D) The obligation to provide relocation assistance pursuant to
Article 9 (commencing with Section 33410), Section 7260 of the
Government Code, or other applicable relocation laws.
(E) The obligation to provide replacement housing pursuant to
subdivision (a) of Section 33413, Article 9 (commencing with Section
33410), and other similar and related statutes.
(F) The obligation to provide inclusionary housing pursuant to
Section 33413 and other similar and related statutes and ordinances.
(2) A redevelopment agency shall not adopt an ordinance
terminating a redevelopment project area if the agency has not
complied with these obligations.
(b) If, on the date of the time limit on the effectiveness of the
redevelopment plan, a redevelopment agency has not complied with
subdivision (a), the time limit on the effectiveness of the
redevelopment plan, and, if necessary, the time limit for repayment
of indebtedness, shall be suspended until the agency has complied
with subdivision (a). In addition, the agency shall receive and use
all tax increment funds that are not pledged to repay indebtedness
until the agency has fully complied with its obligations.
(c) If, on the date of the time limit on the repayment of
indebtedness, the agency has not complied with subdivision (a), the
time limit on the repayment of indebtedness shall be suspended until
the agency has complied with subdivision (a). In addition, the agency
shall receive and use tax increment funds until the agency has fully
complied with its obligations.
(d) If, on the date of the time limit on the repayment of
indebtedness, the agency has complied with its obligations under
subdivision (a) and has moneys remaining in the Low and Moderate
Income Housing Fund, the agency shall transfer the remaining moneys
to a low and moderate income housing fund or account for a different
project area within the agency's jurisdiction, if one exists, or if a
different project area does not exist, the agency shall either
transfer the remaining moneys to a special fund of the community or
to the community or county housing authority. The community,
community housing authority, or county housing authority to which the
remaining moneys are transferred shall utilize the moneys for the
purposes of, and subject to the same restrictions that are applicable
to, the redevelopment agency under this part.
(e) If a redevelopment plan provides a limit on the total amount
of tax increment funds that may be received by a redevelopment agency
for any project area, and if that limit is reached prior to the
agency complying with its obligations pursuant to subdivision (a),
that limit is suspended until the agency has complied with
subdivision (a) and the agency shall receive and use tax increment
funds until the agency has fully complied with its obligations.
(f) If an agency fails to comply with its obligations pursuant to
this section, any person may seek judicial relief. The court shall
require the agency to take all steps necessary to comply with those
obligations, including, as necessary, the adoption of ordinances, to
incur debt, to obtain tax increments, to expend tax increments, and
to enter into contracts as necessary to meet its housing obligations
under this part.
SEC. 2. Section 33333.9 is added to the
Health and Safety Code , to read:
33333.9. (a) (1) Notwithstanding the time limits in subdivisions
(a) and (b) of Section 33333.6, an agency that adopted a
redevelopment plan on or before December 31, 1993, may, pursuant to
this section, amend the plan to extend the time limit on the
effectiveness of the plan for up to 10 additional years beyond the
limit allowed by subdivision (a) of Section 33333.6.
(2) In addition, the agency may, pursuant to this section, amend
the plan to extend the time limit on the payment of indebtedness and
receipt of property taxes to be not more than 10 years from the
termination of the effectiveness of the redevelopment plan as that
time limit has been amended pursuant to paragraph (1).
(b) A redevelopment plan for a project area may be amended
pursuant to subdivision (a) only after the agency determines, based
on substantial evidence, that all of the following conditions exist:
(1) At least 25 percent of the property within the project area is
a brownfield site.
(2) The redevelopment plan for the project area will expire within
five years of the date of the determination.
(3) The presence of the brownfield site adds significant costs and
time to the ability of the agency to eliminate blight according to
the redevelopment plan.
(4) Significant blight will remain in the project area at the time
of the redevelopment plan effectiveness date limit unless that
effectiveness date limit is extended.
(5) None of the brownfield sites included in the calculation for
paragraph (1) of this section was contaminated through actions of the
agency.
(c) As used in this section the following terms shall have the
following meanings:
(1) "Blight" has the same meaning as that term is given in Section
33030.
(2) "Brownfield site" means real property, the expansion,
redevelopment, or reuse of which may be complicated by the presence
or potential presence of a hazardous substance, pollutant, or
contaminant.
(3) (A) "Project area" may mean any independently adopted subarea
with its own time effectiveness limits where a redevelopment plan has
been amended over time to add new territory.
(B) For purposes of this section, significant blight can exist in
a project area even though it is not prevalent in a project area. The
report submitted to the legislative body pursuant to Section 33352
shall identify on a map the portion of the project area in which
significant blight remains and the locations of the brownfield site.
(4) "Significant" means important and of a magnitude to warrant
agency assistance.
SEC. 3. Section 33333.11 of the Health
and Safety Code is amended to read:
33333.11. (a) In order to adopt an amendment pursuant to
Section 33333.9 or Section 33333.10, the redevelopment agency
shall also comply with the procedures in this section.
(b) Before adopting an amendment of the plan, the agency shall
hold a public hearing on the proposed amendment. The notice of the
public hearing shall comply with Section 33452.
(c) Prior to the publication of the notice of the public hearing
on the proposed amendment, the agency shall consult with each
affected taxing agency with respect to the proposed amendment. At a
minimum, the agency shall give each affected taxing agency the
opportunity to meet with representatives of the agency for the
purpose of discussing the effect of the proposed amendment upon the
affected taxing agency and shall notify each affected taxing agency
that any written comments from the affected taxing agency will be
included in the report to the legislative body.
(d) Prior to the publication of the notice of the public hearing
on the proposed amendment, the agency shall consult with and obtain
the advice of members of a project area committee, if a project area
committee exists, and residents and community organizations and
provide to those persons and organizations, including the project
area committee, if any, the amendment prior to the agency's
submitting the amendment to the legislative body. In addition, the
preliminary report prepared pursuant to subdivision (e) shall be made
available at no cost to the project area committee, if one exists,
and residents and community organizations not later than 120 days
prior to holding a public hearing on the proposed amendment.
(e) No later than 120 days prior to holding a public hearing on
the proposed amendment, the agency shall send to each affected taxing
entity, as defined in Section 33353.2, the Department of Finance,
and the Department of Housing and Community Development, a
preliminary report that contains all of the following:
(1) A map of the project area that identifies the portion, if any,
of the project area that is no longer blighted and the portion of
the project area that is blighted and the portion of the project area
that contains necessary and essential parcels for the elimination of
the remaining blight.
(2) A description of the remaining blight.
(3) A description of the projects or programs proposed to
eliminate the remaining blight.
(4) A description of how the project or programs will improve the
conditions of blight.
(5) The reasons why the projects or programs cannot be completed
without extending the time limits on the effectiveness of the plan
and receipt of tax increment revenues.
(6) The proposed method of financing these programs or projects.
This description shall include the amount of tax increment revenues
that is projected to be generated during the period of the extension,
including amounts projected to be deposited into the Low and
Moderate Income Housing Fund and amounts to be paid to affected
taxing entities. This description shall also include sources and
amounts of moneys other than tax increment revenues that are
available to finance these projects or programs. This description
shall also include the reasons that the remaining blight cannot
reasonably be expected to be reversed or alleviated by private
enterprise or governmental action, or both, without the use of the
tax increment revenues available to the agency because of the
proposed amendment.
(7) An If the redevelopment
plan is amended pursuant to Section 33333.10, an amendment to
the agency's implementation plan that includes, but is not limited
to, the agency's housing responsibilities pursuant to Section 33490.
However, the agency shall not be required to hold a separate public
hearing on the implementation plan pursuant to subdivision (d) of
Section 33490 in addition to the public hearing on the amendment to
the redevelopment plan.
(8) A new neighborhood impact report if required by subdivision
(m) of Section 33352.
(9) A description of each bond sold by the agency to finance or
refinance the redevelopment project prior to six months before the
date of adoption of the proposed amendment, and listing for each bond
the amount of remaining principal, the annual payments, and the date
that the bond will be paid in full.
(10) If the redevelopment plan is amended pursuant to Section
33333.9, a study documenting the presence of the brownfield sites and
the locations of the sites identified on the map of the project area
required in paragraph (1).
(f) No later than 120 days prior to holding a public hearing on
the proposed amendment, the agency shall send the proposed amendment
to the planning commission. If the planning commission does not
report upon the amendment within 30 days after its submission by the
agency, the planning commission shall be deemed to have waived its
report and recommendations concerning the amendment.
(g) No later than 45 days prior to the public hearing on the
proposed amendment by the agency or the joint public hearing of the
agency and the legislative body, the agency shall notify each
affected taxing entity, the Department of Finance, the Department of
Housing and Community Development, and each individual and
organization that submitted comments on the preliminary report by
certified mail of the public hearing, the date of the public hearing,
and the proposed amendment. This notice shall be accompanied by the
report required to be prepared pursuant to subdivision (h).
(h) No later than 45 days prior to the public hearing on the
proposed amendment by the agency or the joint public hearing by the
agency and the legislative body, the agency shall adopt a report to
the legislative body containing all of the following:
(1) All of the information required to be contained in the
preliminary report prepared pursuant to subdivision (e).
(2) The report and recommendation of the planning commission.
(3) A negative declaration, environmental impact report, or other
document that is required in order to comply with the California
Environmental Quality Act (Division 13 (commencing with Section
21000) of the Public Resources Code.
(4) A summary of the consultations with the affected taxing
entities. If any of the affected taxing entities, a project area
committee, if any, residents, or community organizations have
expressed written objections or concerns with the proposed amendment
as part of these consultations, the agency shall include a response
to these concerns.
(5) A summary of the consultation with residents and community
organizations, including the project area committee, if any.
(i) After receiving the recommendation of the agency on the
proposed amendment, and not sooner than 30 days after the submission
of changes to the planning commission, the legislative body shall
hold a public hearing on the proposed amendment. The notice of the
public hearing shall comply with Section 33452.
(j) As an alternative to the separate public hearing required by
subdivision (i), the agency and the legislative body, with the
consent of both, may hold a joint public hearing on the proposed
amendment. Notice of this public hearing shall comply with Section
33452. When a joint public hearing is held and the legislative body
is also the agency, the legislative body may adopt the amended plan
with no actions required of the agency. If, after the public hearing,
the legislative body determines that the amendment to the plan is
necessary or desirable, the legislative body shall adopt an ordinance
amending the ordinance adopting the plan thus amended. The ordinance
adopting the amendment shall contain findings that both (1)
significant blight remains within the project area, and (2) the
blight cannot be eliminated without the extension of the
effectiveness of the plan and receipt of tax increment revenues.
(k) If an affected taxing entity, the Department of Finance, or
the Department of Housing and Community Development believes that
significant remaining blight does not exist within the portion of the
project area designated as blighted in the report to the legislative
body regarding a proposed amendment to be adopted pursuant to
Section 33333.10, the affected taxing entity, the Department of
Finance, or the Department of Housing and Community Development may
request the Attorney General to participate in the amendment process.
The affected taxing entity, the Department of Finance, or the
Department of Housing and Community Development shall request this
participation within 21 days after receipt of the notice of the
public hearing sent pursuant to subdivision (g). The Attorney General
shall determine whether or not to participate in the amendment
process. The Attorney General may consult with and request the
assistance of departments of the state and any other persons or
groups that are interested or that have expertise in redevelopment.
The Attorney General may participate in the amendment process by
requesting additional information from the agency, conducting his or
her own review of the project area, meeting with the agency and any
affected taxing entity, submitting evidence for consideration at the
public hearing, or presenting oral evidence at the public hearing. No
later than five days prior to the public hearing on the proposed
amendment, the Attorney General shall notify each affected taxing
agency, each department that has requested the Attorney General to
review the proposed amendment, and the redevelopment agency with
regard to whether the Attorney General will participate in the
amendment process and, if so, how he or she will participate, on
their behalf.
(l) The Attorney General may bring a civil action pursuant to
Section 33501 to determine the validity of an amendment adopted
pursuant to Section 33333.10. The Department of Finance and the
Department of Housing and Community Development shall be considered
interested persons for the purposes of protecting the interests of
the state pursuant to Section 863 of the Code of Civil Procedure in
any action brought with regard to the validity of an ordinance
adopting a proposed amendment pursuant to Section 33333.10. Either
department may request the Attorney General to bring an action
pursuant to Section 33501 to determine the validity of an amendment
adopted pursuant to Section 33333.10. Actions brought pursuant to
this subdivision are in addition to any other actions that may be
brought by the Attorney General or other persons.
SECTION 1. Section 36501 of the Government Code
is amended to read:
36501. The government of a general law city is vested in:
(a) A city council of at least five members.
(b) A city clerk.
(c) A city treasurer.
(d) A chief of police.
(e) A fire chief.
(f) Any subordinate officers or employees as provided by law.