BILL NUMBER: AB 2551AMENDED BILL TEXT AMENDED IN SENATE JUNE 21, 2012 AMENDED IN ASSEMBLY MARCH 29, 2012 INTRODUCED BY Assembly Member Hueso (Coauthor: Senator Vargas) FEBRUARY 24, 2012 An act to add Section 53395.26 to the Government Code, relating to localplanning.government . LEGISLATIVE COUNSEL'S DIGEST AB 2551, as amended, Hueso. Infrastructure financing districts: renewable energy zones. Existing law authorizes counties and cities to form infrastructure financing districts, in accordance with a prescribed procedure, and requires that a district finance only public capital facilities of communitywide significance, as specified. Existing law authorizes a legislative body, by ordinance, to adopt an infrastructure financing plan and create the district with the full force and effect of law, if 2/3 of the registered voters within the territory of the proposed district are in favor of creating the district. This bill would authorize a legislative body to establish an infrastructure financing district in a renewable energy zone area, as defined, for the purpose of promoting renewable energy projects. The bill would exempt the creation of the district from the voter-approval requirement. Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 53395.26 is added to the Government Code , to read: 53395.26. (a) This section shall apply only to a city that created and approved a renewable energy infrastructure area. (b) For purposes of this section, the following terms shall have the following meanings: (1) "Renewable energy infrastructure area" means an area that contains a proposed development project or projects that would generate in total more than 10 megawatts of electricity using an eligible renewable energy resource, as defined in Article 16 (commencing with Section 399.11) of Part 1 of the Public Utilities Code, that is intended to be used for commercial renewable energy production. (2) "Commercial renewable energy production" means that the project has an executed power purchase agreement for the sale of the electricity from an eligible renewable energy resource to a California retail seller, as defined by subdivision (j) of Section 399.12 of the Public Utilities Code, or a local publicly owned electric utility, as defined by Section 224.3 of the Public Utilities Code. (c) Property tax increment collected from a district created pursuant to this section shall be used only within the boundaries of that district. (d) In determining whether an area constitutes a renewable energy infrastructure area, the legislative body may consider areas that are not contiguous and may aggregate the total megawatts of several areas. (e) The legislative body of a city may use the provisions of this chapter to form an infrastructure financing district in renewable energy infrastructure areas for the purpose of promoting renewable energy projects. (f) The creation of an infrastructure financing district pursuant to this section shall be exempt from the voter-approval requirement in Section 53395.23. The legislative body shall comply with all other applicable requirements of this chapter relating to the financing of the infrastructure financing district. (g) Notwithstanding any other law, This section is not intended to interfere with, or prevent the exercise of, the existing authority of an agency or department to carry out its programs, projects, or responsibilities to identify, review, approve, deny, or implement any mitigation requirements, and this section shall not be construed as a limitation on mitigation requirements for the project, or a limitation on compliance with requirements under the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code) or any other provision of law.SECTION 1.Section 53395.26 is added to the Government Code, to read: 53395.26. (a) This section shall apply only to a city that contains within its jurisdiction a renewable energy zone. To the extent of any conflict, the provisions of this section shall prevail over any other provision of law. (b) For purposes of this section, "renewable energy zone" means an area that is characterized by the proposed development of more than 10 megawatts of renewable energy projects, including, but not limited to, solar, wind, and geothermal projects, as determined by the legislative body. In determining whether an area constitutes a renewable energy zone, the legislative body may consider zones that are not contiguous and may aggregate the total megawatts of several areas. (c) The legislative body of a city may use the provisions of this chapter to form an infrastructure financing district in renewable energy zone areas for the purpose of promoting renewable energy projects. (d) The creation of an infrastructure financing district shall be exempt from the voter-approval requirement in Section 53395.23. The legislative body shall comply with all other applicable requirements of this chapter relating to the financing of the infrastructure financing district.