Improvement districts.

The Property and Business Improvement District Law of 1994 and the Multifamily Improvement District Law both require a management district plan for an improvement district proposed under either law to include specified information. Both laws require a city council to contract with a nonprofit corporation if the management district plan designates the nonprofit corporation to provide services to the improvement district. The Landscaping and Lighting Act of 1972 sets forth the procedures for establishing an assessment district under the act, including the preparation of reports by an engineer. This bill would prohibit the city council, the owners' association, and the nonprofit corporation, if one is designated, in the case of a district formed pursuant to the Property and Business Improvement District Law of 1994 or the Multifamily Improvement District Law, from contracting for services relating to the management or operation of the district with any individual, firm, corporation, partnership, limited liability company, association, or other organization that was previously contracted with for services relating to the formation of the district. The bill would also prohibit a local agency, in the case of an assessment district formed pursuant to the Landscaping and Lighting Act of 1972, from contracting for services relating to the management or operation of the district with any individual, firm, corporation, partnership, limited liability company, association, or other organization that was previously contracted with for services relating to the formation of the district.