Local government: infrastructure financing districts: Reinvestment in Infrastructure for a Sustainable and Equitable California (RISE) districts: housing development: restrictive covenants.

Existing law authorizes certain local agencies to form a community revitalization authority within a community revitalization and investment area, as described, and authorizes an authority to, among other things, provide for low- and moderate-income housing and issue bonds, as provided. Existing law authorizes a community revitalization and investment plan to provide for the division of taxes within the plan area. This bill would authorize the legislative bodies of 2 or more specified local governments to jointly form a Reinvestment in Infrastructure for a Sustainable and Equitable California district (RISE district) in accordance with specified procedures. The bill would require at least one of the local governments to be a city or county within the proposed RISE district boundaries. The bill would authorize a local government that lacks the authority to levy a property tax to join a RISE district, by resolution, as specified. The bill would prohibit a RISE district from including territory within the jurisdiction of a participating local government unless the city or county where the territory is located is also a participating local government. The bill would require the Office of Planning and Research (OPR) to develop guidelines for the formation of RISE districts no later than November 30, 2026. The bill would provide for the establishment of a governing board of a RISE district with representatives of each participating local government. After the formation of a RISE district, the bill would require that district's governing board to prepare, or cause to be prepared, and adopt a RISE development plan that includes a date on which the RISE district will cease to exist, not to be more than 45 years from the date on which the issuance of bonds is approved, as specified. The bill would also require that the RISE development plan include an identification of any intended source of revenue for financing a project or projects within the boundaries of the district and an identification of any tools or authority needed to implement the RISE development plan, as provided. The bill would require the guidelines developed by OPR to require a RISE development plan to provide that at least 50% of the total funding received by the district be spent on infill supportive infrastructure, as specified, and to provide that at least 30% of the total funds received by the district be spent on residential units created within the district that are restricted to persons and families of low or moderate income, as specified. The bill would require all projects that receive funding from a RISE district to be located within 12 mile of an existing or planned major transit stop, have at least 75% of the site of the development to adjoin parcels that are developed with urban uses, or qualify as a transit project. The bill would require the RISE district to consider adoption of the RISE development plan at 3 public hearings that take place at least 30 days apart and to provide specified notice to land owners within the RISE district, as specified. The bill would require a RISE district to review the RISE development plan at least annually and make any amendments that are necessary and appropriate and would require the preparation of an annual independent financial audit. The bill would require a RISE district, every 15 years, at the public hearing held for adopting the annual report, to consider whether the requirements of these provisions continue to be met and whether the property owners and residents within the plan area wish to propose amendments to the RISE development plan, as specified. This bill would authorize a RISE district to utilize various sources of revenue for district purposes, including the division of property tax revenues, local sales and use taxes, and transient occupancy taxes. This bill would also, upon appropriation by the Legislature, require the Infrastructure and Economic Development Bank (IBank) to establish the RISE Revolving Loan Fund. The bill would provide that the purpose of the fund is to provide RISE districts with initial startup funding for projects contained within the RISE district's adopted RISE development plan. The bill would require IBank to establish the RISE District Revolving Loan Program and would require IBank to award loans to RISE districts in an amount deemed necessary to fund the initial projects of the RISE district, as provided in the district's RISE development plan, as specified. This bill would require a RISE district funded project to comply with specified wage and labor standards. The bill would require a development proponent to certify to the RISE district that certain wage and labor standards will be met, including a requirement that all construction workers be paid at least the general prevailing rate of wages, as specified. The bill would require the Labor Commissioner to enforce the obligation to pay prevailing wages. The bill would specify that these labor standards do not apply to a project that is privately financed in its entirety. By expanding the crime of perjury, the bill would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.