Local finance: public investment authorities.

Existing law establishes enhanced infrastructure financing districts to finance public capital facilities or other specified projects of communitywide significance. Existing law provides for the membership of the governing body of the district, referred to as the public financing authority. If a district has only one participating affected taxing entity, existing law requires the public financing authority's membership to consist of 3 members of the legislative body and 2 members of the public chosen by the legislative body. If a district has 2 or more participating affected taxing entities, existing law requires the public financing authority's membership to consist of a majority of members from the legislative bodies of the participating entities, and a minimum of 2 members of the public chosen by the legislative bodies of the participating entities. This bill would authorize the legislative bodies, as defined, to appoint an alternate member to the public financing authority who may serve and vote in place of a member who is absent or disqualifies themselves from participating in a meeting of the authority. If a district has more than 3 participating affected taxing entities, the bill would authorize the legislative bodies of the taxing entities to, upon agreement, appoint only one member of their respective legislative bodies, and one alternate member, in addition to the public members. Existing law authorizes the legislative body of a city or a county to designate a proposed enhanced infrastructure financing district by adopting a resolution of intention to establish the proposed district which, among other things, is required to state that an enhanced infrastructure financing district is proposed and describe the boundaries of the proposed district. Existing law requires the public financing authority to direct the preparation of and adopt an infrastructure financing plan consistent with the general plan and consisting of, among other things, a financing section including a plan for financing the public facilities, a limit on the total number of dollars of taxes that may be allocated to the district pursuant to the plan, and a date, not more than 45 years from the date on which the issuance of the bonds is approved for the plan on which the district will cease to exist, by which time all tax allocation to the district will end. Existing law provides that the infrastructure plan together with any report required by the California Environmental Quality Act be sent to each landowner within the proposed district, the public financing authority, the planning commission, and the legislative body. Existing law requires the public financing authority of an enhanced infrastructure financing district to hold 3 public hearings on a proposed infrastructure financing plan, as provided, requires mailed notice to each landowner, each resident, and each taxing entity, as specified, and requires the infrastructure financing plan to be adopted by ordinance in specified circumstances. Existing law requires the public financing authority to review the infrastructure financing plan at least annually and make any amendments that are necessary and appropriate. Existing law specifies the division of taxes used to finance an enhanced infrastructure financing district. This bill would authorize the legislative body to identify within the district certain areas to be referred to as project areas, and would require the resolution to form the district to state any project area proposed within the district. Where the district is divided into project areas, the bill would authorize the financing section of the infrastructure financing plan to provide a date on which the infrastructure financing plan will cease to be in effect and all tax allocations to the district will end, and a date on which the district's authority to repay indebtedness with incremental tax revenues will end, as provided, and would require separate and unique time limits applicable to each project area. The bill would require the infrastructure financing plan to be consistent with the specific plan, if applicable. The bill would require the legislative body to include any project areas, if proposed, in the infrastructure financing plan. The bill would authorize an alternative procedure to the mailed notice requirements and would authorize the infrastructure financing plan to be adopted by resolution rather than by ordinance. The bill would specify vote thresholds, notice, and public hearing requirements for amendment of the infrastructure financing plan. The bill would specify the division of taxes for a taxing entity approving an infrastructure financing plan after the district formation, as provided. Existing law establishes community revitalization and investment authority to carry out a community revitalization plan within a community revitalization and investment area. Existing law authorizes a city, county, or city and county to adopt a resolution creating an authority consisting of 3 members of the legislative body of the city, county, or city and county that created the authority and 2 public members. Existing law authorizes a city, county, city and county, and special district, as defined, to create an authority by entering into a joint powers agreement, consisting of a majority of members from the legislative bodies of the public agencies that created the authority and a minimum of 2 public members. This bill would authorize the legislative bodies, as defined, to appoint an alternate member to the community revitalization and investment authority who may serve and vote in place of a member who is absent or disqualifies themselves from participating in a meeting of the authority. If an authority has more than 3 participating affected taxing entities, the bill would authorize the legislative bodies of the taxing entities to, upon agreement, appoint only one member of their respective legislative bodies, and one alternate member, in addition to the public members. Existing law provides that an authority may carry out a community revitalization plan within a community revitalization and investment area and requires that at least 80% of the land calculated by census tracts, census block groups, as defined, or a combination of both meet certain requirements. Under existing law, alternatively, an authority may carry out a community revitalization plan within a community revitalization and investment area if the area meets other specified conditions. This bill would lower that percentage to 70% and would permit, as an alternative, a plan to be carried out in an area that has certain sites identified in the inventory of land in a city or county's housing element that are suitable for residential development, as specified, and that has accepted a metropolitan planning organization's determination of the sustainable communities strategy or the alternative planning strategy. The bill would make various conforming changes. Existing law requires an authority to adopt a community revitalization and investment plan that may include a provision for the receipt of tax increment funds if the plan consists of certain required provisions, including a provision that the repayment of all of the authority's debts and obligations, fulfillment of all of the authority's housing obligations, and dissolution must occur in no more than 45 years, at which time no further taxes shall be allocated to the authority. Existing law requires the authority to review the plan at least annually and to make amendments that are necessary and appropriate according to specified procedures. This bill would revise these provisions to require the community revitalization and investment plan to include project areas and require that dissolution occur in no more than 45 years from the date upon which the issuance of debt is approved for a plan, or approved for a project area, as specified. The bill would authorize, if the plan is divided into multiple project areas, the plan to provide a date on which the plan will cease to be in effect and all tax allocations to the district will end and a date on which the district's authority to repay indebtedness with incremental tax revenues will end, as provided, and would authorize separate and unique time limits applicable to each project area. The bill would specify vote thresholds, notice, and public hearing requirements for amendment of the plan. Existing law requires the authority to hold a protest proceeding every 10 years to consider whether the property owners and residents within the plan area wish to present oral or written protests against the authority. This bill would revise that provision to require the authority to, every 15 years, conduct a public hearing to consider whether property owners and residents within the plan area wish to propose amendments to the plan, and conduct a protest proceeding against the authority undertaking new projects, as provided. This bill would incorporate additional changes to Section 53398.51.1 of the Government Code proposed by AB 336 to be operative only if this bill and AB 336 are enacted and this bill is enacted last.