Redevelopment: housing successor: Low and Moderate Income Housing Asset Fund.

Existing law dissolved redevelopment agencies and community development agencies as of February 1, 2012, and provides for the designation of successor agencies to wind down the affairs of the dissolved redevelopment agencies and to, among other things, make payments due for enforceable obligations and to perform duties required by any enforceable obligation. Existing law authorizes the city, county, or city and county that created a former redevelopment agency to elect to retain the housing assets and functions previously performed by the former redevelopment agency. Existing law requires the housing successor to maintain any funds transferred to it, together with any funds generated from housing assets in a separate Low and Moderate Income Housing Asset Fund to be used in accordance with applicable housing-related provisions of the Community Redevelopment Law, except as specified. Existing law requires the housing successor to expend funds received from the successor agency to meet its enforceable obligations, and for specified administrative and monitoring costs relating to ensuring the long-term affordability of units subject to affordability restrictions. The housing successor may then expend a specified amount per fiscal year for homeless prevention and rapid rehousing services, including specified types of services described in that provision, and must use all funds remaining thereafter for the development of affordable housing, as specified. If a housing successor has an excess surplus, the housing successor is required to encumber those funds, within 3 fiscal years, for the development of affordable housing, or to enter into an agreement to transfer the funds for transit priority projects, as specified. Existing law defines the term "excess surplus" for these purposes to mean an unencumbered amount in the housing successor's Low and Moderate Income Housing Asset Fund that exceeds the greater of $1,000,000 or the aggregate amount deposited into the fund during the housing successor's preceding 4 fiscal years, whichever is greater. This bill would expand the definition of "excess surplus" to also include, for an entity operating as a housing successor in the City of Indian Wells, the City of La Quinta, or the County of Yolo that owns and operates affordable housing that was transferred to the housing successor as a housing asset of the former redevelopment agency, an unencumbered amount in the housing successor's Low and Moderate Income Housing Asset Fund that exceeds the greater of $1,000,000 or the aggregate amount deposited into the account during the housing successor's preceding 8 fiscal years, whichever is greater. This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Indian Wells, the City of La Quinta, or the County of Yolo.