SB 1260

Bill Subjects

Abstract

Existing law authorizes a city or county to establish infrastructure financing districts to finance specified types public facilities. Existing law requires any district that constructs dwelling units to set aside not less than 20% of those units to increase and improve the community's supply of low- and moderate-income housing available at an affordable housing cost to persons and families of low- and moderate-income. This bill would eliminate the requirement of a district that constructs dwelling units to set aside not less than 20% of those units for the purpose described above. Existing law requires the legislative body of the district, if dwelling units are proposed to be removed or destroyed in the course of private development or public works construction within the area of the district, to, among other things, cause or require the construction or rehabilitation, within 4 years of the removal or destruction, for rental or sale to persons or families of low or moderate income, an equal number of replacement dwelling units at affordable housing cost, as specified, and a number of dwelling units that is at least one unit but not less than 20% of the total dwelling units removed at affordable cost, as specified. This bill would instead require the district to dedicate no less than 25% of allocated tax increment revenues for affordable housing purposes in accordance with the applicable affordable housing provisions of the Community Redevelopment Law. This bill would require the district to ensure that the number of housing units occupied by extremely low, very low, and low-income households in the area of the district is not reduced during the effective period of the district, to ensure the replacement of dwelling units that house extremely low, very low, or low-income households within 2 years of their removal by public or private action from the area of the district, and to ensure that during the effective period of the district at least 20% of all new and substantially rehabilitated dwelling units developed are available at affordable housing cost to, and occupied by, persons and families of low or moderate income. This bill would require the district to require that housing units built remain available at affordable housing cost to, and occupied by, persons and families of low- or moderate-income households for the longest feasible time, as provided. This bill would also require the district to contract for an independent financial and performance audit every 5 years pursuant to guidelines established by the Controller, as provided. The Community Redevelopment Law authorizes the establishment of redevelopment agencies in communities to address the effects of blight, as defined. Existing law dissolved community redevelopment agencies, as of February 1, 2012, and provides for the designation of successor agencies. Senate Bill 1 of the 2013–14 Regular Session, if enacted, would authorize certain public entities of a Sustainable Communities Investment Area, as described, to form a Sustainable Communities Investment Authority (authority) to carry out the Community Redevelopment Law in a specified manner. The bill would require the authority to adopt a Sustainable Communities Investment Plan for a Sustainable Communities Investment Area, and would authorize the authority to include in that plan a provision for the receipt of tax increment funds provided that certain economic development and planning requirements are met, including, among others, a requirement in an ordinance for the replacement of dwelling units that house extremely low, very low, and low-income households, as specified. The bill would require the authority to contract for an independent financial and performance audit every 5 years, conducted according to guidelines established by the Controller. The bill would, where compliance has not been achieved, require the authority to adopt and submit to the Controller, as part of the audit, a plan to achieve compliance with the economic development and planning requirements, which includes, among other things, a means of achieving an increase in the production of housing for very low income households as required by other provisions of this bill. This bill would require the low-income housing ordinance to require the replacement of dwelling units that house extremely low, very low, and low-income households within 2 years of their removal by public or private action, and to also require, prior to the time limit on the effective period of the Sustainable Communities Investment Plan, that at least 20% of all new and substantially rehabilitated dwelling units developed in the Sustainable Communities Investment Area meet specified affordability and occupancy requirements. This bill would make the operation of its provisions contingent upon the enactment of specified bills.