Bill Text: CA AB229 | 2013-2014 | Regular Session | Chaptered


Bill Title: Local government: infrastructure and revitalization financing districts.

Spectrum: Moderate Partisan Bill (Democrat 10-2)

Status: (Passed) 2014-09-29 - Chaptered by Secretary of State - Chapter 775, Statutes of 2014. [AB229 Detail]

Download: California-2013-AB229-Chaptered.html
BILL NUMBER: AB 229	CHAPTERED
	BILL TEXT

	CHAPTER  775
	FILED WITH SECRETARY OF STATE  SEPTEMBER 29, 2014
	APPROVED BY GOVERNOR  SEPTEMBER 29, 2014
	PASSED THE SENATE  AUGUST 22, 2013
	PASSED THE ASSEMBLY  AUGUST 27, 2014
	AMENDED IN SENATE  AUGUST 12, 2013
	AMENDED IN SENATE  JUNE 11, 2013
	AMENDED IN ASSEMBLY  APRIL 8, 2013

INTRODUCED BY   Assembly Member John A. Pérez
   (Coauthors: Assembly Members Atkins, Bonilla, Bonta, Cooley,
Dickinson, Gordon, Harkey, Quirk-Silva, and Wagner)
   (Coauthors: Senators DeSaulnier and Torres)

                        FEBRUARY 4, 2013

   An act to add Chapter 2.6 (commencing with Section 53369) to Part
1 of Division 2 of Title 5 of the Government Code, and to amend
Section 33459 of the Health and Safety Code, relating to local
government.



	LEGISLATIVE COUNSEL'S DIGEST


   AB 229, John A. Pérez. Local government: infrastructure and
revitalization financing districts.
   Existing law authorizes the creation by a city, county, or city
and county of an infrastructure financing district, as defined, for
the sole purpose of financing public facilities, subject to adoption
of a resolution by the legislative body and affected taxing entities
proposed to be subject to division of taxes and 2/3 voter approval.
Existing law authorizes the legislative body to, by majority vote,
initiate proceedings to issue bonds for the financing of district
projects by adopting a resolution, subject to specified procedures
and 2/3 voter approval. Existing law requires an infrastructure
financing plan to include the date on which an infrastructure
financing district will cease to exist, which may not be more than 30
years from the date on which the ordinance forming the district is
adopted. Existing law prohibits a district from including any portion
of a redevelopment project area. Existing law, the Polanco
Redevelopment Act, authorizes a redevelopment agency to take any
action that the agency determines is necessary and consistent with
state and federal laws to remedy or remove a release of hazardous
substances on, under, or from property within a project area, whether
the agency owns that property or not, subject to specified
conditions. Existing law also declares the intent of the Legislature
that the areas of the district created be substantially undeveloped,
and that the establishment of a district should not ordinarily lead
to the removal of dwelling units.
   This bill would authorize the creation by a city, county, city and
county, or joint powers authority of an infrastructure and
revitalization financing district, as defined, and the issuance of
debt with 2/3 voter approval. The bill would authorize the creation
of a district for up to 40 years and the issuance of debt with a
final maturity date of up to 30 years, as specified. The bill would
authorize a district to finance projects in redevelopment project
areas and former redevelopment project areas and former military
bases. The bill would authorize the legislative body to dedicate any
portion of its funds received from the Redevelopment Property Tax
Trust Fund to the district, if specified criteria are met. The bill
would authorize the formation of a district to finance a project or
projects on a former military base, if specified conditions are met.
   The bill would authorize a district to fund various projects,
including, among others, watershed land used for the collection and
treatment of water for urban uses, flood management, levees,
bypasses, open space, habitat restoration, brownfields restoration,
environmental mitigation, purchase of land and property for
development purposes, including commercial property, hazardous
cleanup, former military bases, and specified transportation
purposes. The bill would authorize a district to implement hazardous
cleanup pursuant to the Polanco Redevelopment Act, as specified. The
bill would impose a specified reporting requirement on districts. The
bill would state that it is the intent of the Legislature that the
establishment of a district should not ordinarily lead to the removal
of existing functional, habitable, and safe dwelling units, as
specified. The bill would define the term "public works" for purposes
of these provisions.
   This bill would incorporate additional substantive changes in
Section 33459 of the Health and Safety Code made by SB 470, to become
operative if SB 470 and this bill become effective on or before
January 1, 2014, and this bill is enacted last.


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

  SECTION 1.  Chapter 2.6 (commencing with Section 53369) is added to
Part 1 of Division 2 of Title 5 of the Government Code, to read:
      CHAPTER 2.6.  INFRASTRUCTURE AND REVITALIZATION FINANCING
DISTRICTS



      Article 1.  General Provisions


   53369.  It is the intent of the Legislature in enacting this
chapter to establish a long-term permanent program that provides
local governments with tools and resources for specified purposes,
including, but not limited to, public infrastructure, affordable
housing, economic development and job creation, and environmental
protection and remediation, in a manner that encourages local
cooperation and includes appropriate protections for state and local
taxpayers.
   53369.1.  Unless the context otherwise requires, the definitions
contained in this article shall govern the construction of this
chapter.
   (a) "Affected taxing entity" means any governmental taxing agency
that levied or had levied on its behalf a property tax on all or a
portion of the property located in the proposed district in the
fiscal year prior to the designation of the district, but not
including any county office of education, school district, or
community college district.
   (b) "City" means a city, county, city and county, or joint powers
authority, where that entity is acting as the military base reuse
authority established pursuant to Title 7.86 (commencing with Section
67800).
   (c) "Debt" means any binding obligation to repay a sum of money,
including obligations in the form of bonds, certificates of
participation, long-term leases, loans from government agencies, or
loans from banks, other financial institutions, private businesses,
or individuals.
   (d) "Designated official" means the city engineer or other
appropriate official designated pursuant to Section 53369.13.
   (e) (1) "District" means an infrastructure and revitalization
financing district.
   (2) An infrastructure and revitalization financing district is a
"district" within the meaning of Section 1 of Article XIII A of the
California Constitution.
   (f) "Infrastructure and revitalization financing district" means a
legally constituted governmental entity established pursuant to this
chapter for the sole purpose of financing facilities authorized by
this chapter.
   (g) "Landowner" or "owner of land" means any person shown as the
owner of land on the last equalized assessment roll or otherwise
known to be the owner of the land by the legislative body. The
legislative body does not have any obligation to obtain other
information as to the ownership of land, and its determination of
ownership shall be final and conclusive for the purposes of this
chapter. A public agency is not a landowner or owner of land for
purposes of this chapter, unless the public agency owns all of the
land to be included within the proposed district.
   (h) "Legislative body" means the city council, board of
supervisors, or joint powers authority that is acting as the military
base reuse authority established pursuant to Title 7.86 (commencing
with Section 67800).
   (i) "Project area" means a defined area within a district in which
the activities of the district share a common purpose or goal and an
overall financing plan.
   (j) "Public works" means public facilities or any other facilities
described in Section 53369.3 that are to be financed in whole or in
part by the district.
   (k) "Net available revenue" means periodic distributions to the
city from the Redevelopment Property Tax Trust Fund, created pursuant
to Section 34170.5 of the Health and Safety Code, that are available
to the city after all preexisting legal commitments and statutory
obligations funded from that revenue are made pursuant to Part 1.85
(commencing with Section 34170) of Division 24 of the Health and
Safety Code. Net available revenue shall not include any funds
deposited by the county auditor-controller into the Redevelopment
Property Tax Trust Fund or funds remaining in the Redevelopment
Property Tax Trust Fund, prior to distribution. Net available
revenues shall not include any moneys payable to a school district
that maintains kindergarten or grades 1 to 12, inclusive, or a
community college district, or the Educational Revenue Augmentation
Fund, pursuant to paragraph (4) of subdivision (a) of Section 34183
of the Health and Safety Code.
   53369.2.  (a) The revenues available pursuant to Article 3
(commencing with Section 53369.30) may be used directly for work
allowed pursuant to Section 53369.3, may be accumulated for a period
not to exceed five years to provide a fund for that work, may be
pledged to pay the principal of, and interest on, bonds issued
pursuant to Article 4 (commencing with Section 53369.40), or may be
pledged to pay the principal of, and interest on, bonds issued
pursuant to the Improvement Bond Act of 1915 (Division 10 (commencing
with Section 8500) of the Streets and Highways Code) or the
Mello-Roos Community Facilities Act of 1982 (Chapter 2.5 (commencing
with Section 53311)), the proceeds of which have been or will be used
entirely for allowable purposes of the district. The revenue of the
district may also be advanced for allowable purposes of the district
to an Integrated Financing District established pursuant to Chapter
1.5 (commencing with Section 53175), in which case the district may
be party to a reimbursement agreement established pursuant to that
chapter. The revenues of the district may also be committed to paying
for any completed facility acquired pursuant to Section 53369.3 over
a period of time, including the payment of a rate of interest not to
exceed the bond buyer index rate on the day that the agreement to
repay is entered into by the city.
   (b) The legislative body may enter into an agreement with any
affected taxing entity providing for the construction of, or
assistance in, financing facilities.
   53369.3.  (a) A district may finance (1) the purchase,
construction, expansion, improvement, seismic retrofit, or
rehabilitation of any real or other tangible property with an
estimated useful life of 15 years or longer which satisfies the
requirements of subdivision (b), (2) planning and design work that is
directly related to the purchase, construction, expansion,
improvement, rehabilitation, or seismic retrofit of that property,
and (3) the costs described in Sections 53369.6 and 53369.31. The
facilities need not be physically located within the boundaries of
the district. A district may not finance routine maintenance, repair
work, or the costs of ongoing operation or providing services of any
kind.
   (b) The district shall finance only facilities or projects of
communitywide significance, including, but not limited to, any of the
following:
   (1) Highways, interchanges, ramps and bridges, arterial streets,
parking facilities, and transit facilities.
   (2) Sewage treatment and water reclamation plants and interceptor
pipes.
   (3) Facilities and watershed lands used for the collection and
treatment of water for urban uses.
   (4) Flood management, including levees, bypasses, dams, retention
basins, and drainage channels.
   (5) Child care facilities.
   (6) Libraries.
   (7) Parks, recreational facilities, open space, and habitat
restoration.
   (8) Facilities for the transfer and disposal of solid waste,
including transfer stations and vehicles.
   (9) Brownfields restoration and other environmental mitigation.
   (10) Purchase of land and property for development purposes and
related site improvements.
   (11) Acquisition, construction, or repair of housing for rental or
purchase, including multipurpose facilities.
   (12) Acquisition, construction, or repair of commercial or
industrial structures for private use.
   (13) The repayment of the transfer of funds to a military base
reuse authority pursuant to Section 67851 that occurred on or after
the creation of the district.
   (c) Any district that constructs dwelling units shall set aside
not less than 20 percent of those units to increase and improve the
community's supply of low- and moderate-income housing available at
an affordable housing cost, as defined by Section 50052.5 of the
Health and Safety Code, or at an affordable rent, as defined by
Section 50053 of the Health and Safety Code, to persons and families
of low and moderate income, as defined in Section 50093 of the Health
and Safety Code.
   (d) A district may utilize any powers under the Polanco
Redevelopment Act (Article 12.5 (commencing with Section 33459) of
Chapter 4 of Part 1 of Division 24 of the Health and Safety Code),
and finance any action necessary to implement that act.
   (e) A district may finance any project that implements a
sustainable communities strategy prepared pursuant to Section 65080.
   53369.4.  (a) A city may form a district to finance a project or
projects on a former military base pursuant to the requirements set
forth in this chapter.
   (b) A district formed under this section may finance a project
pursuant to this section or Section 53369.3 only if the project is
consistent with the authority reuse plan and is approved by the
military base reuse authority, if applicable.
   53369.5.  (a) A district may finance only the facilities or
services authorized in this chapter. The additional facilities or
services may not supplant facilities or services already available
within that territory when the district was created, except if those
facilities or services are essentially nonfunctional, obsolete,
hazardous, or in need of upgrading or rehabilitation. The additional
facilities or services may supplement those facilities and services
as needed to serve new developments.
   (b) A district may include areas that are not contiguous. A
district may be divided into project areas, each of which may be
subject to distinct limitations established under this chapter. The
legislative body may, at any time, add territory to a district or
amend the infrastructure financing plan for the district by
conducting the same procedures for the formation of a district or
approval of bonds, if applicable, as provided pursuant to this
chapter.
   (c) Any district may finance any project or portion of a project
that is located in, or overlaps with, any redevelopment project area
or former redevelopment project area or former military base,
inclusively referred to as "overlapping." In the case of overlapping,
the successor agency to the former redevelopment agency shall
receive a finding of completion, as described in Section 34179.7 of
the Health and Safety Code, prior to the district financing any
project or portion of a project in the overlapping area.
   (d) Notwithstanding subdivision (c), any debt or obligation of a
district shall be subordinate to an enforceable obligation of a
former redevelopment agency, as defined in Section 34171 of the
Health and Safety Code. For purposes of this chapter, the division of
taxes allocated to the district pursuant to subdivision (b) of
Section 53369.30 shall not include any taxes required to be deposited
by the county auditor-controller into the Redevelopment Property Tax
Trust Fund created pursuant to subdivision (b) of Section 34170.5 of
the Health and Safety Code.
   (e) The legislative body of the city forming the district may
choose to dedicate any portion of its net available revenue to the
district through the financing plan described in Section 53369.14.
   53369.6.  It is the intent of the Legislature that the
establishment of a district should not ordinarily lead to the removal
of existing functional, habitable, and safe dwelling units. If,
however, any dwelling units are proposed to be removed or destroyed
in the course of private development or facilities construction
within the area of the district, the legislative body shall do all of
the following:
   (a) Within four years of the removal or destruction, cause or
require the construction or rehabilitation, for rental or sale to
persons or families of low or moderate income, of an equal number of
replacement dwelling units at affordable housing cost, as defined in
Section 50052.5 of the Health and Safety Code, or affordable rent, as
defined in Section 50053 of the Health and Safety Code, within the
territory of the district if the dwelling units removed were
inhabited by persons or families of low or moderate income, as
defined in Section 50093 of the Health and Safety Code.
   (b) Within four years of the removal or destruction, cause or
require the construction or rehabilitation, for rental or sale to
persons of low or moderate income, a number of dwelling units which
is at least one unit but not less than 20 percent of the total
dwelling units removed at affordable housing cost, as defined in
Section 50052.5 of the Health and Safety Code, or affordable rent, as
defined in Section 50053 of the Health and Safety Code, within the
territory of the district if the dwelling units removed or destroyed
were not inhabited by persons of low or moderate income, as defined
in Section 50093 of the Health and Safety Code.
   (c) In the case of dwelling units located on a former military
base that are destroyed or removed in connection with a base reuse
plan, replacement dwelling units required by subdivision (a) or (b)
may be located anywhere within the territory of the former military
base consistent with the base reuse plan, local general plan, and
infrastructure financing plan, as applicable.
   (d) Provide relocation assistance and make all the payments
required by Chapter 16 (commencing with Section 7260) of Division 7
of Title 1, to persons displaced by any public or private development
occurring within the territory of the district. This displacement
shall be deemed to be the result of public action.
   (e) Ensure that removal or destruction of any dwelling units
occupied by persons or families of low or moderate income not take
place unless and until there are suitable housing units, at
comparable cost to the units from which the persons or families were
displaced, available and ready for occupancy by the residents of the
units at the time of their displacement. The housing units shall be
suitable to the needs of these displaced persons or families and
shall be decent, safe, sanitary, and otherwise standard dwellings.
   53369.7.  Any action or proceeding to attack, review, set aside,
void, or annul the creation of a district, adoption of an
infrastructure financing plan, including a division of taxes
thereunder, or an election pursuant to this chapter shall be
commenced within 30 days after the enactment of the ordinance
creating the district pursuant to Section 53369.23. Consistent with
the time limitations of this section, such an action or proceeding
with respect to a division of taxes under this chapter may be brought
pursuant to Chapter 9 (commencing with Section 860) of Title 10 of
Part 2 of the Code of Civil Procedure, except that Section 869 of the
Code of Civil Procedure shall not apply.
   53369.8.  An action to determine the validity of the issuance of
bonds pursuant to this chapter may be brought pursuant to Chapter 9
(commencing with Section 860) of Title 10 of Part 2 of the Code of
Civil Procedure. However, notwithstanding the time limits specified
in Section 860 of the Code of Civil Procedure, the action shall be
commenced within 30 days after adoption of the resolution pursuant to
Section 53369.44 providing for issuance of the bonds if the action
is brought by an interested person pursuant to Section 863 of the
Code of Civil Procedure. Any appeal from a judgment in that action or
proceeding shall be commenced within 30 days after entry of
judgment.

      Article 2.  Preparation and Adoption of Infrastructure
Revitalization Financing District Plans


   53369.10.  A legislative body of a city may designate one or more
proposed infrastructure revitalization financing districts pursuant
to this chapter. Proceedings for the establishment of a district
shall be instituted by the adoption of a resolution of intention to
establish the proposed district and shall do all of the following:
   (a) State that an infrastructure revitalization financing district
is proposed to be established under the terms of this chapter and
describe the boundaries of the proposed district and any project area
proposed within the district, which may be accomplished by reference
to a map on file in the office of the clerk of the city.
   (b) State the type of facilities proposed to be financed by the
district. The district may only finance facilities authorized by
Section 53369.3.
   (c) State that incremental property tax revenue from the city and
some or all affected taxing entities within the district may be used
to finance these facilities.
   (d) State that net available revenue from the city may be used to
finance these facilities and state the maximum portion of the net
available revenue to be committed to the district for each year
during which the district will receive these revenues.
   (e) Fix a time and place for a public hearing on the proposal.
   53369.11.  The legislative body shall cause a copy of the
resolution of intention to create the district to be mailed to each
owner of land within the district.
   53369.12.  The legislative body shall cause a copy of the
resolution to be mailed to each affected taxing entity.
   53369.13.  After adopting the resolution pursuant to Section
53369.10, the legislative body shall designate and direct the city
engineer or other appropriate official to prepare an infrastructure
plan pursuant to Section 53369.14.
   53369.14.  After receipt of a copy of the resolution of intention
to establish a district, the official designated pursuant to Section
53369.13 shall prepare a proposed infrastructure financing plan. The
infrastructure financing plan shall be consistent with the general
plan of the city within which the district is located and shall
include all of the following:
   (a) A map and legal description of the proposed district, which
may include all or a portion of the district designated by the
legislative body in its resolution of intention.
   (b) A description of the facilities required to serve the
development proposed in the area of the district including those to
be provided by the private sector, those to be provided by
governmental entities without assistance under this chapter, those
improvements and facilities to be financed with assistance from the
proposed district, and those to be provided jointly. The description
shall include the proposed location, timing, and costs of the
improvements and facilities.
   (c) A finding that the facilities are of communitywide
significance.
   (d) A financing section, which shall contain all of the following
information:
   (1) A specification of the maximum portion of the incremental tax
revenue of the city and of each affected taxing entity proposed to be
committed to the district for each year during which the district
will receive incremental tax revenue. The portion need not be the
same for all affected taxing entities. The portion may change over
time.
   (2) A projection of the amount of tax revenues expected to be
received by the district in each year during which the district will
receive tax revenues, including an estimate of the amount of tax
revenues attributable to each affected taxing entity proposed to be
committed to the district for each year. If applicable, the plan
shall also include a specification of the maximum portion of the net
available revenue of the city proposed to be committed to the
district for each year during which the district will receive
revenue. The portion may vary over time.
   (3) A plan for financing the facilities to be assisted by the
district, including a detailed description of any intention to incur
debt.
   (4) A limit on the total number of dollars of taxes that may be
allocated to the district pursuant to the plan.
   (5) A date on which the district shall cease to exist, by which
time all tax allocation, including any allocation of net available
revenue, to the district will end. The date shall not be more than 40
years from the date on which the ordinance forming the district is
adopted pursuant to Section 53369.23, or a later date, if specified
by the ordinance, on which the allocation of tax increment will
begin. The district may issue debt with a final maturity date of up
to 30 years from the date of issuance of each debt issue, subject to
the time limit on tax allocation to the district.
   (6) An analysis of the costs to the city of providing facilities
and services to the area of the district while the area is being
developed and after the area is developed. The plan shall also
include an analysis of the tax, fee, charge, and other revenues
expected to be received by the city as a result of expected
development in the area of the district.
   (7) An analysis of the projected fiscal impact of the district and
the associated development upon each affected taxing entity that is
proposed to participate in financing the district.
   (8) A plan for financing any potential costs that may be incurred
by reimbursing a developer of a project that is both located entirely
within the boundaries of that district and qualifies for the Transit
Priority Project Program, pursuant to Section 65470, including any
permit and affordable housing expenses related to the project.
   (e) If any dwelling units occupied by persons or families of low
or moderate income are proposed to be removed or destroyed in the
course of private development or facilities construction within the
area of the district, a plan providing for replacement of those units
and relocation of those persons or families consistent with the
requirements of Section 53369.6.
   53369.15.  The infrastructure financing plan shall be sent to each
owner of land within the proposed district and to each affected
taxing entity together with any report required by the California
Environmental Quality Act (Division 13 (commencing with Section
21000) of the Public Resources Code) that pertains to the proposed
facilities or the proposed development project for which the
facilities are needed, and shall be made available for public
inspection. The report shall also be sent to the planning commission
and the legislative body.
   53369.16.  The designated official shall consult with each
affected taxing entity, and, at the request of any affected taxing
entity, shall meet with representatives of an affected taxing entity.
Any affected taxing entity may suggest revisions to the plan.
   53369.17.  The legislative body shall conduct a public hearing
prior to adopting the proposed infrastructure financing plan. The
public hearing shall be called no sooner than 60 days after the plan
has been sent to each affected taxing entity. In addition to the
notice given to landowners and affected taxing entities pursuant to
Sections 53369.11 and 53369.12, notice of the public hearing shall be
given by publication not less than once a week for four successive
weeks in a newspaper of general circulation published in the city in
which the proposed district is located. The notice shall state that
the district will be used to finance public works, briefly describe
the public works, briefly describe the proposed financial
arrangements, including the proposed commitment of incremental tax
revenue, describe the boundaries of the proposed district and state
the day, hour, and place when and where any persons having any
objections to the proposed infrastructure financing plan, or the
regularity of any of the prior proceedings, may appear before the
legislative body and object to the adoption of the proposed plan by
the legislative body.
   53369.18.  At the hour set in the required notices, the
legislative body shall proceed to hear and pass upon all written and
oral objections. The hearing may be continued from time to time. The
legislative body shall consider the recommendations, if any, of
affected taxing entities, and all evidence and testimony for and
against the adoption of the plan. The legislative body may modify the
plan by eliminating or reducing the size and cost of proposed public
works, by reducing the amount of proposed debt, or by reducing the
portion, amount, or duration of incremental tax revenues to be
committed to the district.
   53369.19.  (a) The legislative body shall not enact a resolution
proposing formation of a district and providing for the division of
taxes of any affected taxing entity pursuant to Article 3 (commencing
with Section 53369.30), unless a resolution approving the plan has
been adopted by the governing body of each affected taxing entity
which is proposed to be subject to division of taxes pursuant to
Article 3 (commencing with Section 53369.30) has been filed with the
legislative body at or prior to the time of the hearing.
   (b) In the case of an affected taxing entity that is a special
district that provides fire protection services and where the county
board of supervisors is the governing authority or has appointed
itself as the governing board of the district, the plan shall be
adopted by a separate resolution approved by the district's governing
authority or governing board.
   (c) This section shall not be construed to prevent the legislative
body from amending its infrastructure financing plan and adopting a
resolution proposing formation of the infrastructure revitalization
financing district without allocation of the tax revenues of any
affected taxing entity which has not approved the infrastructure
financing plan by resolution of the governing body of the affected
taxing entity.
   53369.20.  (a) At the conclusion of the hearing, the legislative
body may adopt a resolution proposing adoption of the infrastructure
financing plan, as modified, and formation of the infrastructure
revitalization financing district in a manner consistent with Section
53369.19, or it may abandon the proceedings. If the legislative body
adopts a resolution proposing formation of the district, it shall
then submit the proposal to create the district to the qualified
electors of the proposed district in the next general election or in
a special election to be held, notwithstanding any other requirement,
including any requirement that elections be held on specified dates,
contained in the Elections Code, at least 90 days, but not more than
180 days, following the adoption of the resolution of formation. The
legislative body shall provide the resolution of formation, a
certified map of sufficient scale and clarity to show the boundaries
of the district, and a sufficient description to allow the election
official to determine the boundaries of the district to the official
conducting the election within three business days after the adoption
of the resolution of formation. The assessor's parcel
                            numbers for the land within the district
shall be included if it is a landowner election or the district does
not conform to an existing district's boundaries and if requested by
the official conducting the election. If the election is to be held
less than 125 days following the adoption of the resolution of
formation, the concurrence of the election official conducting the
election shall be required. However, any time limit specified by this
section or requirement pertaining to the conduct of the election may
be waived with the unanimous consent of the qualified electors of
the proposed district and the concurrence of the election official
conducting the election.
   (b) If at least 12 persons have been registered to vote within the
territory of the proposed district for each of the 90 days preceding
the close of the hearing, the vote shall be by the registered voters
of the proposed district, who need not necessarily be the same
persons, with each voter having one vote. Otherwise, the vote shall
be by the landowners of the proposed district and each landowner who
is the owner of record at the close of the protest hearing, or the
authorized representative thereof, shall have one vote for each acre
or portion of an acre of land that he or she owns within the proposed
district. The number of votes to be voted by a particular landowner
shall be specified on the ballot provided to that landowner.
   (c) Ballots for the special election authorized by subdivision (a)
may be distributed to qualified electors by mail with return postage
prepaid or by personal service by the election official. The
official conducting the election may certify the proper mailing of
ballots by an affidavit, which shall be exclusive proof of mailing in
the absence of fraud. The voted ballots shall be returned to the
election official conducting the election not later than the hour
specified in the resolution calling the election. However, if all the
qualified voters have voted, the election shall be closed.
   53369.21.  (a) Except as otherwise provided in this chapter, laws
regulating elections of the local agency that calls an election
pursuant to this chapter, insofar as they may be applicable, shall
govern all elections conducted pursuant to this chapter. Except as
provided in subdivision (b), there shall be prepared and included in
the ballot material provided to each voter, an impartial analysis
pursuant to Section 9160 or 9280 of the Elections Code, arguments and
rebuttals, if any, pursuant to Sections 9162 to 9167, inclusive, and
9190 of the Elections Code or pursuant to Sections 9281 to 9287,
inclusive, and 9295 of the Elections Code.
   (b) If the vote is to be by the landowners of the proposed
district, analysis and arguments may be waived with the unanimous
consent of all the landowners and shall be so stated in the order for
the election.
   53369.22.  (a) If the election is to be conducted by mail ballot,
the election official conducting the election shall provide ballots
and election materials pursuant to subdivision (d) of Section 53326
and Section 53327, together with all supplies and instructions
necessary for the use and return of the ballot.
   (b) The identification envelope for return of mail ballots used in
landowner elections shall contain the following:
   (1) The name of the landowner.
   (2) The address of the landowner.
   (3) A declaration, under penalty of perjury, stating that the
voter is the owner of record or the authorized representative of the
landowner entitled to vote and is the person whose name appears on
the identification envelope.
   (4) The printed name and signature of the voter.
   (5) The address of the voter.
   (6) The date of signing and place of execution of the declaration
pursuant to paragraph (3).
   (7) A notice that the envelope contains an official ballot and is
to be opened only by the canvassing board.
   53369.23.  After the canvass of returns of any election pursuant
to Section 53369.20, the legislative body may, by ordinance, adopt
the infrastructure financing plan and create the district with full
force and effect of law, if two-thirds of the votes upon the question
of creating the district are in favor of creating the district.
   53369.24.  After the canvass of returns of any election conducted
pursuant to Section 53369.20, the legislative body shall take no
further action with respect to the proposed infrastructure
revitalization financing district for one year from the date of the
election if the question of creating the district fails to receive
approval of two-thirds of the votes cast upon the question.
   53369.25.  The legislative body may submit a proposition to
establish or change the appropriations limit, as defined by
subdivision (h) of Section 8 of Article XIII B of the California
Constitution, of a district to the qualified electors of a proposed
or established district. The proposition establishing or changing the
appropriations limit shall become effective if approved by the
qualified electors voting on the proposition and shall be adjusted
for changes in the cost of living and changes in populations, as
defined by subdivisions (b) and (c) of Section 7901, except that the
change in population may be estimated by the legislative body in the
absence of an estimate by the Department of Finance, and in
accordance with Section 1 of Article XIII B of the California
Constitution. For purposes of adjusting for changes in population,
the population of the district shall be deemed to be at least one
person during each calendar year. Any election held pursuant to this
section may be combined with any election held pursuant to Section
53369.20 in any convenient manner.
   53369.26.  No later than June 30 of each year after the adoption
of an infrastructure financing plan, the legislative body shall post
an annual report in an easily identifiable and accessible location on
the legislative body's Internet Web site. The annual report shall
contain all of the following:
   (a) A summary of the district's expenditures.
   (b) A description of the progress made toward the district's
adopted goals.
   (c) An assessment of the status regarding completion of the
district's projects.

      Article 3.  Division of Taxes


   53369.30.  Any infrastructure financing plan may contain a
provision that taxes, if any, levied upon taxable property in the
area included within the infrastructure revitalization financing
district each year by or for the benefit of the State of California,
or any affected taxing entity after the effective date of the
ordinance adopted pursuant to Section 53369.23 to create the
district, shall be divided as follows:
   (a) That portion of the taxes which would be produced by the rate
upon which the tax is levied each year by or for each of the affected
taxing entities upon the total sum of the assessed value of the
taxable property in the district as shown upon the assessment roll
used in connection with the taxation of the property by the affected
taxing entity, last equalized prior to the effective date of the
ordinance adopted pursuant to Section 53369.23 to create the
district, shall be allocated to, and when collected shall be paid to,
the respective affected taxing entities as taxes by or for the
affected taxing entities on all other property are paid.
   (b) That portion of the levied taxes each year specified in the
adopted infrastructure financing plan for the city and each affected
taxing entity which has agreed to participate pursuant to Section
53369.19 in excess of the amount specified in subdivision (a) shall
be allocated to, and when collected shall be paid into a special fund
of, the district for all lawful purposes of the district. Unless and
until the total assessed valuation of the taxable property in a
district exceeds the total assessed value of the taxable property in
the district as shown by the last equalized assessment roll referred
to in subdivision (a), all of the taxes levied and collected upon the
taxable property in the district shall be paid to the respective
affected taxing entities. When the district ceases to exist pursuant
to the adopted infrastructure financing plan, all moneys thereafter
received from taxes upon the taxable property in the district shall
be paid to the respective affected taxing entities as taxes on all
other property are paid.
   53369.31.  All costs incurred by a county in connection with the
division of taxes pursuant to Section 53369.30 for a district shall
be paid by that district.

      Article 4.  Tax Increment Bonds


   53369.40.  The legislative body may, by majority vote, initiate
proceedings to issue bonds pursuant to this chapter by adopting a
resolution stating its intent to issue the bonds.
   53369.41.  The resolution adopted pursuant to Section 53369.40
shall contain all of the following information:
   (a) A description of the facilities to be financed with the
proceeds of the proposed bond issue.
   (b) The estimated cost of the facilities, the estimated cost of
preparing and issuing the bonds, and the principal amount of the
proposed bond issuance.
   (c) The maximum interest rate and discount on the proposed bond
issuance.
   (d) The date of the election on the proposed bond issuance and the
manner of holding the election.
   (e) A determination of the amount of tax revenue available or
estimated to be available, for the payment of the principal of, and
interest on, the bonds.
   (f) A finding that the amount necessary to pay the principal of,
and interest on, the proposed bond issuance will be less than, or
equal to, the amount determined pursuant to subdivision (e).
   53369.42.  The clerk of the legislative body shall publish the
resolution adopted pursuant to Section 53369.40 once a day for at
least seven successive days in a newspaper published in the city or
county at least six days a week, or at least once a week for two
successive weeks in a newspaper published in the city or county less
than six days a week.
   If there are no newspapers meeting these criteria, the resolution
shall be posted in three public places within the territory of the
district for two succeeding weeks.
   53369.43.  The legislative body shall submit the proposal to issue
the bonds to the voters who reside within the district. The election
shall be conducted in the same manner as the election to create the
district pursuant to Section 53369.20 and the two elections may be
consolidated.
   53369.44.  (a) Bonds may be issued only if two-thirds of the
voters voting on the proposition vote in favor of authorizing the
issuance of the bonds.
   (b) If the voters authorize the issuance of the bonds as provided
by subdivision (a), the legislative body may subsequently proceed
with the issuance of the bonds by adopting a resolution which shall
provide for all of the following:
   (1) The issuance of the bonds in one or more series.
   (2) The principal amount of the bonds, which shall be consistent
with the amount specified in subdivision (b) of Section 53369.41.
   (3) The date the bonds will bear.
   (4) The date of maturity of the bonds.
   (5) The denomination of the bonds.
   (6) The form of the bonds.
   (7) The manner of execution of the bonds.
   (8) The medium of payment in which the bonds are payable.
   (9) The place or manner of payment and any requirements for
registration of the bonds.
   (10) The terms of call or redemption, with or without premium.
   53369.45.  If any proposition submitted to the voters pursuant to
this chapter is defeated by the voters, the legislative body shall
not submit, or cause to be submitted, a similar proposition to the
voters for at least one year after the first election.
   53369.46.  The legislative body may, by majority vote, provide for
refunding of bonds issued pursuant to this chapter. However,
refunding bonds shall not be issued if the total net interest cost to
maturity on the refunding bonds plus the principal amount of the
refunding bonds exceeds the total net interest cost to maturity on
the bonds to be refunded. The legislative body may not extend the
time to maturity of the bonds.
   53369.47.  The legislative body or any person executing the bonds
shall not be personally liable on the bonds by reason of their
issuance. The bonds and other obligations of a district issued
pursuant to this chapter are not a debt of the city, county, or state
or of any of its political subdivisions, other than the district,
and none of those entities, other than the district, shall be liable
on the bonds and the bonds or obligations shall be payable
exclusively from funds or properties of the district. The bonds shall
contain a statement to this effect on their face. The bonds do not
constitute an indebtedness within the meaning of any constitutional
or statutory debt limitation.
   53369.48.  (a) The bonds may be sold at discount not to exceed 5
percent of par at a negotiated or public sale. At least five days
prior to a public sale, notice shall be published, pursuant to
Section 6061, in a newspaper of general circulation and in a
financial newspaper published in the City and County of San Francisco
and in the City of Los Angeles. The bonds may be sold at not less
than par to the federal government at private sale without any public
advertisement.
   (b) Any negotiated sale of bonds pursuant to this section shall be
limited to bond issuances of an infrastructure and revitalization
financing district that do not exceed five million dollars
($5,000,000).
   53369.49.  If any member of the legislative body whose signature
appears on bonds ceases to be a member of the legislative body before
delivery of the bonds, his or her signature is as effective as if he
or she had remained in office. Bonds issued pursuant to this chapter
are fully negotiable.
  SEC. 2.  Section 33459 of the Health and Safety Code is amended to
read:
   33459.  For purposes of this article, the following terms shall
have the following meanings:
   (a) "Department" means the Department of Toxic Substances Control.

   (b) "Director" means the Director of Toxic Substances Control.
   (c) "Hazardous substance" means any hazardous substance as defined
in subdivision (h) of Section 25281, and any reference to hazardous
substance in the definitions referenced in this section shall be
deemed to refer to hazardous substance, as defined in this
subdivision.
   (d) "Local agency" means a single local agency that is one of the
following:
   (1) A local agency authorized pursuant to Section 25283 to
implement Chapter 6.7 (commencing with Section 25280) of, and Chapter
6.75 (commencing with Section 25299.10) of, Division 20.
   (2) A local officer who is authorized pursuant to Section 101087
to supervise a remedial action.
   (3) An infrastructure and revitalization financing district
created pursuant to Chapter 2.6 (commencing with Section 53369) or
Chapter 2.10 (commencing with Section 53399) of Part 1 of Division 2
of Title 5 of the Government Code.
   (e) "Qualified independent contractor" means an independent
contractor who is any of the following:
   (1) An engineering geologist who is certified pursuant to Section
7842 of the Business and Professions Code.
   (2) A geologist who is registered pursuant to Section 7850 of the
Business and Professions Code.
   (3) A civil engineer who is registered pursuant to Section 6762 of
the Business and Professions Code.
   (f) "Release" means any release, as defined in Section 25320.
   (g) "Remedy" or "remove" means any action to assess, evaluate,
investigate, monitor, remove, correct, clean up, or abate a release
of a hazardous substance or to develop plans for those actions.
"Remedy" includes any action set forth in Section 25322 and "remove"
includes any action set forth in Section 25323.
   (h) "Responsible party" means any person described in subdivision
(a) of Section 25323.5 of this code or subdivision (a) of Section
13304 of the Water Code.
  SEC. 3.  Section 33459 of the Health and Safety Code is amended to
read:
   33459.  For purposes of this article, the following terms shall
have the following meanings:
   (a) "Agency" includes a former redevelopment agency as defined in
Section 33003 and a city, county, or city and county.
   (b) "Department" means the Department of Toxic Substances Control.

   (c) "Director" means the Director of Toxic Substances Control.
   (d) "Hazardous substance" means any hazardous substance as defined
in subdivision (h) of Section 25281, and any reference to hazardous
substance in the definitions referenced in this section shall be
deemed to refer to hazardous substance, as defined in this
subdivision.
   (e) "Local agency" means a single local agency that is one of the
following:
   (1) A local agency authorized pursuant to Section 25283 to
implement Chapter 6.7 (commencing with Section 25280) of, and Chapter
6.75 (commencing with Section 25299.10) of, Division 20.
   (2) A local officer who is authorized pursuant to Section 101087
to supervise a remedial action.
   (3) An infrastructure and revitalization financing district
created pursuant to Chapter 2.6 (commencing with Section 53369) or
Chapter 2.10 (commencing with Section 53399) of Part 1 of Division 2
of Title 5 of the Government Code.
   (f) "Qualified independent contractor" means an independent
contractor who is any of the following:
   (1) An engineering geologist who is certified pursuant to Section
7842 of the Business and Professions Code.
   (2) A geologist who is registered pursuant to Section 7850 of the
Business and Professions Code.
   (3) A civil engineer who is registered pursuant to Section 6762 of
the Business and Professions Code.
   (g) "Release" means any release, as defined in Section 25320.
   (h) "Remedy" or "remove" means any action to assess, evaluate,
investigate, monitor, remove, correct, clean up, or abate a release
of a hazardous substance or to develop plans for those actions.
"Remedy" includes any action set forth in Section 25322 and "remove"
includes any action set forth in Section 25323.
   (i) "Responsible party" means any person described in subdivision
(a) of Section 25323.5 of this code or subdivision (a) of Section
13304 of the Water Code.
  SEC. 4.  Section 3 of this bill incorporates amendments to Section
33459 of the Health and Safety Code proposed by both this bill and
Senate Bill 470. It shall become operative only if (1) both bills are
enacted and become effective on or before January 1, 2014, (2) each
bill amends Section 33459 of the Health and Safety Code, and (3) this
bill is enacted after Senate Bill 470, in which case Section 2 of
this bill shall not become operative. 
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