Community Stabilization Act: Counties of Los Angeles and Ventura.

The entire article was recodified from Chapter 1.6 of Part 2 of Division 3 of Title 2 (sections 12100.85-12100.98) to Chapter 2 of Division 1 of Title 6.7 (sections 63049.80-63049.93), moving it from GO-Biz's statutory chapter to the I-Bank's chapter.

Program administration authority was transferred from the Governor's Office of Business and Economic Development (GO-Biz) to the California Infrastructure and Economic Development Bank (I-Bank). All references to 'the office' were changed to 'the bank.' The I-Bank already has statutory authority to issue bonds and make loans, which provides existing legal infrastructure for this program.

Removed two blanket requirements that previously applied to ALL qualifying investment entities: (1) being in good standing with the state and Secretary of State, and (2) having no outstanding state or federal tax liabilities or other liens. These conditions are now embedded only within the 501(c)(3) nonprofit sub-requirements (paragraphs E and F). This broadens eligibility for non-501(c)(3) entities such as registered charities, state/county instrumentalities, local public entities, limited partnerships, and LLCs, which no longer face those standalone requirements.

All internal cross-references were updated to reflect the new section numbers (e.g., references to Section 12100.87 changed to Section 63049.82). The legislative counsel's digest was expanded to describe the I-Bank's existing statutory authority under the Bergeson-Peace Infrastructure and Economic Development Bank Act.

The document was reformatted from a traditional enrolled bill layout (with page numbers like --2--, --3--, etc.) into a web page format that includes site navigation elements (skip to content, home, accessibility, FAQ, sitemap, login), a bill information sidebar showing version history and status dates, and a different text structure for the legislative counsel's digest and statutory sections.

The bill is now limited to property damaged or destroyed by the wildfires that began on January 7, 2025, in the Counties of Los Angeles and Ventura, rather than any disaster-affected area in the state covered by a gubernatorial declaration.

A new Section 3 adds a legislative finding that a special statute is necessary because of the unique need to coordinate housing rebuild efforts specifically in Los Angeles and Ventura counties, renumbering the urgency clause to Section 4.

The I-Bank must cease issuing securities on January 1, 2030, establishing a hard sunset for the program's fundraising activity.

The investment holding period was shortened from 10 years to 7 years in two places: the liquidity event deadline and the maximum property holding period after a disaster.

New Section 63049.94 requires the I-Bank to submit a final report to the Legislature, Governor, and Department of Finance by January 1, 2034, covering total properties acquired/held/sold, capital invested and distributed, and an assessment of program effectiveness in stabilizing property values.

Removed the provision stating that property shall not be occupied during the ownership period unless it is developed, leaving only the prohibition on leasing, renting, or otherwise allowing occupancy.

The bill's code placement moved from Article 9 in Chapter 1.6 of Part 2 of Division 3 of Title 2 (Sections 12100.85-12100.98) to Article 11 in Chapter 2 of Division 1 of Title 6.7 (Sections 63049.80-63049.93), placing it alongside the I-Bank's existing statutory authority rather than under GO-Biz.

The responsible entity changed from GO-Biz (Governor's Office of Business and Economic Development) to the I-Bank (California Infrastructure and Economic Development Bank). All references to 'the office' or 'GO-Biz' were replaced with 'the bank.'

A new definition was added: 'qualified investor' now means an 'insured depository institution' as defined in 12 U.S.C. Sec. 1813, restricting who can purchase the security to banks and similar federally insured financial institutions.

A new prohibition was added requiring that a qualifying investment entity shall not lease, rent, or otherwise allow occupancy of acquired property, strengthening the existing rule that property cannot be occupied unless developed.

A new priority was added stating that when a qualifying investment entity sells property, priority shall be given to ensuring the sale results in owner occupancy rather than rental or investment purchase.

Expanded qualifying investment entities from two types (501(c)(3) nonprofits and state-registered charities) to six types, adding: instrumentalities of the state or county, local public entities under Health and Safety Code Section 50079, limited partnerships with a qualifying nonprofit as general partner, and LLCs wholly owned by qualifying nonprofits or community land trusts.

Added specific sub-requirements for 501(c)(3) nonprofits: must have an IRS determination letter, must not be a private foundation, must have principal place of business in California, all board members must have primary residences in California, primary activity must be development/preservation of affordable rental or home ownership housing or small business in California, must be registered with the Attorney General's Registry of Charities and Fundraisers, and must have no outstanding state or federal tax liabilities.

Corrected the federal Community Reinvestment Act citation from '12 U.S.C. Sec. 2901 seq.' to 'Act of 1977 (12 U.S.C. Sec. 2901 et seq.)' in two places, and fixed a cross-reference in Section 12100.93(b)(2) from 'subdivision (d)' to 'subdivision (c).'