California 2017 2017-2018 Regular Session

California Assembly Bill AB1568 Amended / Bill

Filed 07/19/2017

                    Amended IN  Senate  July 19, 2017 Amended IN  Assembly  May 26, 2017 Amended IN  Assembly  May 16, 2017 Amended IN  Assembly  May 01, 2017 Amended IN  Assembly  March 28, 2017 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 1568Introduced by Assembly Member BloomFebruary 17, 2017 An act to amend Section 53398.59 of, and to add Section 53398.75.5 to, the Government Code, relating to local government.LEGISLATIVE COUNSEL'S DIGESTAB 1568, as amended, Bloom. Enhanced infrastructure financing districts. Existing law establishes procedures for the formation of infrastructure financing districts, enhanced infrastructure financing districts, infrastructure and revitalization financing districts, and community revitalization and investment authorities, as specified, to undertake various economic development projects, including financing public facilities and infrastructure, affordable housing, and economic revitalization. Existing law authorizes an infrastructure financing plan or a community revitalization and investment plan to provide for the division of taxes levied upon taxable property, if any, between the affected taxing entities, as defined, and the district or authority.This bill would enact the Neighborhood Infill Finance and Transit Improvements Act, which would authorize an infrastructure finance plan to provide, under specified circumstances, for the receipt and use, as provided, of any increase of the total receipts of local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law from one year to the next and attributable to the area of a city, county, or city and county to adopt a resolution, at any time before or after the adoption of the infrastructure refinancing plan, to allocate specified tax revenues to the district under specified circumstances. This bill would require the legislative body of a city or county establishing an enhanced infrastructure financing district that will allocate that increase, those revenues, as described, to adopt an ordinance to establish the procedure by which the city or county will calculate the projected increase in receipts of sales and use tax and the decision process by which the city or county will determine the amount of revenues that will be dedicated to the proposed district.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NO  Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 53398.59 of the Government Code is amended to read:53398.59. A legislative body of a city or county may designate one or more proposed enhanced infrastructure financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:(a) State that an enhanced infrastructure financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district, which may be accomplished by reference to a map on file in the office of the clerk of the city or in the office of the recorder of the county, as applicable.(b) State the type of public facilities and development proposed to be financed or assisted by the district in accordance with Section 53398.52.(c) State the need for the district and the goals the district proposes to achieve.(d) State that incremental property tax revenue from the city or county and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53398.68, may be used to finance these activities.(e) (1) State that any increase of the total receipts of local sales and use tax received by a city or county resulting from the imposition of a sales and use tax under a city, county, or city and county may allocate tax revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) will be allocated or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) to an enhanced infrastructure financing district pursuant to Section 53398.75.5, if applicable.(2) The legislative body of the city or county that elects to make an allocation pursuant to paragraph (1) shall adopt an ordinance to establish the following:(A) The procedure by which the city or county will calculate the projected increase in receipts of sales and use tax. revenues derived from sales and use taxes and transactions and use taxes to be allocated to the enhanced infrastructure financing district.(B) The decision process by which the city or county will determine the amount that will be dedicated to the proposed district.(f) Fix a time and place for a public hearing on the proposal.SEC. 2. Section 53398.75.5 is added to the Government Code, to read:53398.75.5. (a) This section shall be known and may be cited as the Neighborhood Infill Finance and Transit Improvements Act, or NIFTI.(b) An infrastructure financing plan may contain a provision for the receipt of any increase of the total receipts of local sales and use tax resulting from the imposition of a sales and use tax under At any time before or after the adoption of the infrastructure financing plan, a city, county, or city and county may adopt a resolution to allocate tax revenues of that entity to the district, including revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) from one year to the next and attributable to the area of the district or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) if all of the following apply:(1) The area to be financed with funds received pursuant to this section is an infill site, as defined by Section 21061.3 of the Public Resources Code.(2) The infrastructure financing plan provides for the allocation of at least 20 percent of the funds received by the district pursuant to this section to be used to finance projects meeting the requirements of paragraph (12) of subdivision (b) of Section 53398.52.(3) The infrastructure financing plan includes requirements that at least 20 percent of any new production in the area to be financed with funds received pursuant to this section be affordable housing, as follows:(A) At least 6 percent of any new production be very low income units.(B) At least 9 percent of any new production be low-income units.(C) At least 5 percent be affordable housing units for low incomes at any level, including, but not limited to, low- and very low income units.(4) The use of the revenues derived from the local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) pursuant to the infrastructure financing plan is consistent with the purposes for which that tax is imposed.(5) The boundaries of the enhanced infrastructure financing district are coterminous with the city or county that established the district.

 Amended IN  Senate  July 19, 2017 Amended IN  Assembly  May 26, 2017 Amended IN  Assembly  May 16, 2017 Amended IN  Assembly  May 01, 2017 Amended IN  Assembly  March 28, 2017 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 1568Introduced by Assembly Member BloomFebruary 17, 2017 An act to amend Section 53398.59 of, and to add Section 53398.75.5 to, the Government Code, relating to local government.LEGISLATIVE COUNSEL'S DIGESTAB 1568, as amended, Bloom. Enhanced infrastructure financing districts. Existing law establishes procedures for the formation of infrastructure financing districts, enhanced infrastructure financing districts, infrastructure and revitalization financing districts, and community revitalization and investment authorities, as specified, to undertake various economic development projects, including financing public facilities and infrastructure, affordable housing, and economic revitalization. Existing law authorizes an infrastructure financing plan or a community revitalization and investment plan to provide for the division of taxes levied upon taxable property, if any, between the affected taxing entities, as defined, and the district or authority.This bill would enact the Neighborhood Infill Finance and Transit Improvements Act, which would authorize an infrastructure finance plan to provide, under specified circumstances, for the receipt and use, as provided, of any increase of the total receipts of local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law from one year to the next and attributable to the area of a city, county, or city and county to adopt a resolution, at any time before or after the adoption of the infrastructure refinancing plan, to allocate specified tax revenues to the district under specified circumstances. This bill would require the legislative body of a city or county establishing an enhanced infrastructure financing district that will allocate that increase, those revenues, as described, to adopt an ordinance to establish the procedure by which the city or county will calculate the projected increase in receipts of sales and use tax and the decision process by which the city or county will determine the amount of revenues that will be dedicated to the proposed district.Digest Key Vote: MAJORITY  Appropriation: NO  Fiscal Committee: NO  Local Program: NO 

 Amended IN  Senate  July 19, 2017 Amended IN  Assembly  May 26, 2017 Amended IN  Assembly  May 16, 2017 Amended IN  Assembly  May 01, 2017 Amended IN  Assembly  March 28, 2017

Amended IN  Senate  July 19, 2017
Amended IN  Assembly  May 26, 2017
Amended IN  Assembly  May 16, 2017
Amended IN  Assembly  May 01, 2017
Amended IN  Assembly  March 28, 2017

 CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION

Assembly Bill No. 1568

Introduced by Assembly Member BloomFebruary 17, 2017

Introduced by Assembly Member Bloom
February 17, 2017

 An act to amend Section 53398.59 of, and to add Section 53398.75.5 to, the Government Code, relating to local government.

LEGISLATIVE COUNSEL'S DIGEST

## LEGISLATIVE COUNSEL'S DIGEST

AB 1568, as amended, Bloom. Enhanced infrastructure financing districts. 

Existing law establishes procedures for the formation of infrastructure financing districts, enhanced infrastructure financing districts, infrastructure and revitalization financing districts, and community revitalization and investment authorities, as specified, to undertake various economic development projects, including financing public facilities and infrastructure, affordable housing, and economic revitalization. Existing law authorizes an infrastructure financing plan or a community revitalization and investment plan to provide for the division of taxes levied upon taxable property, if any, between the affected taxing entities, as defined, and the district or authority.This bill would enact the Neighborhood Infill Finance and Transit Improvements Act, which would authorize an infrastructure finance plan to provide, under specified circumstances, for the receipt and use, as provided, of any increase of the total receipts of local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law from one year to the next and attributable to the area of a city, county, or city and county to adopt a resolution, at any time before or after the adoption of the infrastructure refinancing plan, to allocate specified tax revenues to the district under specified circumstances. This bill would require the legislative body of a city or county establishing an enhanced infrastructure financing district that will allocate that increase, those revenues, as described, to adopt an ordinance to establish the procedure by which the city or county will calculate the projected increase in receipts of sales and use tax and the decision process by which the city or county will determine the amount of revenues that will be dedicated to the proposed district.

Existing law establishes procedures for the formation of infrastructure financing districts, enhanced infrastructure financing districts, infrastructure and revitalization financing districts, and community revitalization and investment authorities, as specified, to undertake various economic development projects, including financing public facilities and infrastructure, affordable housing, and economic revitalization. Existing law authorizes an infrastructure financing plan or a community revitalization and investment plan to provide for the division of taxes levied upon taxable property, if any, between the affected taxing entities, as defined, and the district or authority.

This bill would enact the Neighborhood Infill Finance and Transit Improvements Act, which would authorize an infrastructure finance plan to provide, under specified circumstances, for the receipt and use, as provided, of any increase of the total receipts of local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law from one year to the next and attributable to the area of a city, county, or city and county to adopt a resolution, at any time before or after the adoption of the infrastructure refinancing plan, to allocate specified tax revenues to the district under specified circumstances. This bill would require the legislative body of a city or county establishing an enhanced infrastructure financing district that will allocate that increase, those revenues, as described, to adopt an ordinance to establish the procedure by which the city or county will calculate the projected increase in receipts of sales and use tax and the decision process by which the city or county will determine the amount of revenues that will be dedicated to the proposed district.

## Digest Key

## Bill Text

The people of the State of California do enact as follows:SECTION 1. Section 53398.59 of the Government Code is amended to read:53398.59. A legislative body of a city or county may designate one or more proposed enhanced infrastructure financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:(a) State that an enhanced infrastructure financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district, which may be accomplished by reference to a map on file in the office of the clerk of the city or in the office of the recorder of the county, as applicable.(b) State the type of public facilities and development proposed to be financed or assisted by the district in accordance with Section 53398.52.(c) State the need for the district and the goals the district proposes to achieve.(d) State that incremental property tax revenue from the city or county and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53398.68, may be used to finance these activities.(e) (1) State that any increase of the total receipts of local sales and use tax received by a city or county resulting from the imposition of a sales and use tax under a city, county, or city and county may allocate tax revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) will be allocated or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) to an enhanced infrastructure financing district pursuant to Section 53398.75.5, if applicable.(2) The legislative body of the city or county that elects to make an allocation pursuant to paragraph (1) shall adopt an ordinance to establish the following:(A) The procedure by which the city or county will calculate the projected increase in receipts of sales and use tax. revenues derived from sales and use taxes and transactions and use taxes to be allocated to the enhanced infrastructure financing district.(B) The decision process by which the city or county will determine the amount that will be dedicated to the proposed district.(f) Fix a time and place for a public hearing on the proposal.SEC. 2. Section 53398.75.5 is added to the Government Code, to read:53398.75.5. (a) This section shall be known and may be cited as the Neighborhood Infill Finance and Transit Improvements Act, or NIFTI.(b) An infrastructure financing plan may contain a provision for the receipt of any increase of the total receipts of local sales and use tax resulting from the imposition of a sales and use tax under At any time before or after the adoption of the infrastructure financing plan, a city, county, or city and county may adopt a resolution to allocate tax revenues of that entity to the district, including revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) from one year to the next and attributable to the area of the district or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) if all of the following apply:(1) The area to be financed with funds received pursuant to this section is an infill site, as defined by Section 21061.3 of the Public Resources Code.(2) The infrastructure financing plan provides for the allocation of at least 20 percent of the funds received by the district pursuant to this section to be used to finance projects meeting the requirements of paragraph (12) of subdivision (b) of Section 53398.52.(3) The infrastructure financing plan includes requirements that at least 20 percent of any new production in the area to be financed with funds received pursuant to this section be affordable housing, as follows:(A) At least 6 percent of any new production be very low income units.(B) At least 9 percent of any new production be low-income units.(C) At least 5 percent be affordable housing units for low incomes at any level, including, but not limited to, low- and very low income units.(4) The use of the revenues derived from the local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) pursuant to the infrastructure financing plan is consistent with the purposes for which that tax is imposed.(5) The boundaries of the enhanced infrastructure financing district are coterminous with the city or county that established the district.

The people of the State of California do enact as follows:

## The people of the State of California do enact as follows:

SECTION 1. Section 53398.59 of the Government Code is amended to read:53398.59. A legislative body of a city or county may designate one or more proposed enhanced infrastructure financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:(a) State that an enhanced infrastructure financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district, which may be accomplished by reference to a map on file in the office of the clerk of the city or in the office of the recorder of the county, as applicable.(b) State the type of public facilities and development proposed to be financed or assisted by the district in accordance with Section 53398.52.(c) State the need for the district and the goals the district proposes to achieve.(d) State that incremental property tax revenue from the city or county and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53398.68, may be used to finance these activities.(e) (1) State that any increase of the total receipts of local sales and use tax received by a city or county resulting from the imposition of a sales and use tax under a city, county, or city and county may allocate tax revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) will be allocated or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) to an enhanced infrastructure financing district pursuant to Section 53398.75.5, if applicable.(2) The legislative body of the city or county that elects to make an allocation pursuant to paragraph (1) shall adopt an ordinance to establish the following:(A) The procedure by which the city or county will calculate the projected increase in receipts of sales and use tax. revenues derived from sales and use taxes and transactions and use taxes to be allocated to the enhanced infrastructure financing district.(B) The decision process by which the city or county will determine the amount that will be dedicated to the proposed district.(f) Fix a time and place for a public hearing on the proposal.

SECTION 1. Section 53398.59 of the Government Code is amended to read:

### SECTION 1.

53398.59. A legislative body of a city or county may designate one or more proposed enhanced infrastructure financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:(a) State that an enhanced infrastructure financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district, which may be accomplished by reference to a map on file in the office of the clerk of the city or in the office of the recorder of the county, as applicable.(b) State the type of public facilities and development proposed to be financed or assisted by the district in accordance with Section 53398.52.(c) State the need for the district and the goals the district proposes to achieve.(d) State that incremental property tax revenue from the city or county and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53398.68, may be used to finance these activities.(e) (1) State that any increase of the total receipts of local sales and use tax received by a city or county resulting from the imposition of a sales and use tax under a city, county, or city and county may allocate tax revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) will be allocated or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) to an enhanced infrastructure financing district pursuant to Section 53398.75.5, if applicable.(2) The legislative body of the city or county that elects to make an allocation pursuant to paragraph (1) shall adopt an ordinance to establish the following:(A) The procedure by which the city or county will calculate the projected increase in receipts of sales and use tax. revenues derived from sales and use taxes and transactions and use taxes to be allocated to the enhanced infrastructure financing district.(B) The decision process by which the city or county will determine the amount that will be dedicated to the proposed district.(f) Fix a time and place for a public hearing on the proposal.

53398.59. A legislative body of a city or county may designate one or more proposed enhanced infrastructure financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:(a) State that an enhanced infrastructure financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district, which may be accomplished by reference to a map on file in the office of the clerk of the city or in the office of the recorder of the county, as applicable.(b) State the type of public facilities and development proposed to be financed or assisted by the district in accordance with Section 53398.52.(c) State the need for the district and the goals the district proposes to achieve.(d) State that incremental property tax revenue from the city or county and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53398.68, may be used to finance these activities.(e) (1) State that any increase of the total receipts of local sales and use tax received by a city or county resulting from the imposition of a sales and use tax under a city, county, or city and county may allocate tax revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) will be allocated or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) to an enhanced infrastructure financing district pursuant to Section 53398.75.5, if applicable.(2) The legislative body of the city or county that elects to make an allocation pursuant to paragraph (1) shall adopt an ordinance to establish the following:(A) The procedure by which the city or county will calculate the projected increase in receipts of sales and use tax. revenues derived from sales and use taxes and transactions and use taxes to be allocated to the enhanced infrastructure financing district.(B) The decision process by which the city or county will determine the amount that will be dedicated to the proposed district.(f) Fix a time and place for a public hearing on the proposal.

53398.59. A legislative body of a city or county may designate one or more proposed enhanced infrastructure financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:(a) State that an enhanced infrastructure financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district, which may be accomplished by reference to a map on file in the office of the clerk of the city or in the office of the recorder of the county, as applicable.(b) State the type of public facilities and development proposed to be financed or assisted by the district in accordance with Section 53398.52.(c) State the need for the district and the goals the district proposes to achieve.(d) State that incremental property tax revenue from the city or county and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53398.68, may be used to finance these activities.(e) (1) State that any increase of the total receipts of local sales and use tax received by a city or county resulting from the imposition of a sales and use tax under a city, county, or city and county may allocate tax revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) will be allocated or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) to an enhanced infrastructure financing district pursuant to Section 53398.75.5, if applicable.(2) The legislative body of the city or county that elects to make an allocation pursuant to paragraph (1) shall adopt an ordinance to establish the following:(A) The procedure by which the city or county will calculate the projected increase in receipts of sales and use tax. revenues derived from sales and use taxes and transactions and use taxes to be allocated to the enhanced infrastructure financing district.(B) The decision process by which the city or county will determine the amount that will be dedicated to the proposed district.(f) Fix a time and place for a public hearing on the proposal.



53398.59. A legislative body of a city or county may designate one or more proposed enhanced infrastructure financing districts pursuant to this chapter. Proceedings for the establishment of a district shall be instituted by the adoption of a resolution of intention to establish the proposed district and shall do all of the following:

(a) State that an enhanced infrastructure financing district is proposed to be established under the terms of this chapter and describe the boundaries of the proposed district, which may be accomplished by reference to a map on file in the office of the clerk of the city or in the office of the recorder of the county, as applicable.

(b) State the type of public facilities and development proposed to be financed or assisted by the district in accordance with Section 53398.52.

(c) State the need for the district and the goals the district proposes to achieve.

(d) State that incremental property tax revenue from the city or county and some or all affected taxing entities within the district, if approved by resolution pursuant to Section 53398.68, may be used to finance these activities.

(e) (1) State that any increase of the total receipts of local sales and use tax received by a city or county resulting from the imposition of a sales and use tax under a city, county, or city and county may allocate tax revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) will be allocated or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) to an enhanced infrastructure financing district pursuant to Section 53398.75.5, if applicable.

(2) The legislative body of the city or county that elects to make an allocation pursuant to paragraph (1) shall adopt an ordinance to establish the following:

(A) The procedure by which the city or county will calculate the projected increase in receipts of sales and use tax. revenues derived from sales and use taxes and transactions and use taxes to be allocated to the enhanced infrastructure financing district.

(B) The decision process by which the city or county will determine the amount that will be dedicated to the proposed district.

(f) Fix a time and place for a public hearing on the proposal.

SEC. 2. Section 53398.75.5 is added to the Government Code, to read:53398.75.5. (a) This section shall be known and may be cited as the Neighborhood Infill Finance and Transit Improvements Act, or NIFTI.(b) An infrastructure financing plan may contain a provision for the receipt of any increase of the total receipts of local sales and use tax resulting from the imposition of a sales and use tax under At any time before or after the adoption of the infrastructure financing plan, a city, county, or city and county may adopt a resolution to allocate tax revenues of that entity to the district, including revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) from one year to the next and attributable to the area of the district or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) if all of the following apply:(1) The area to be financed with funds received pursuant to this section is an infill site, as defined by Section 21061.3 of the Public Resources Code.(2) The infrastructure financing plan provides for the allocation of at least 20 percent of the funds received by the district pursuant to this section to be used to finance projects meeting the requirements of paragraph (12) of subdivision (b) of Section 53398.52.(3) The infrastructure financing plan includes requirements that at least 20 percent of any new production in the area to be financed with funds received pursuant to this section be affordable housing, as follows:(A) At least 6 percent of any new production be very low income units.(B) At least 9 percent of any new production be low-income units.(C) At least 5 percent be affordable housing units for low incomes at any level, including, but not limited to, low- and very low income units.(4) The use of the revenues derived from the local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) pursuant to the infrastructure financing plan is consistent with the purposes for which that tax is imposed.(5) The boundaries of the enhanced infrastructure financing district are coterminous with the city or county that established the district.

SEC. 2. Section 53398.75.5 is added to the Government Code, to read:

### SEC. 2.

53398.75.5. (a) This section shall be known and may be cited as the Neighborhood Infill Finance and Transit Improvements Act, or NIFTI.(b) An infrastructure financing plan may contain a provision for the receipt of any increase of the total receipts of local sales and use tax resulting from the imposition of a sales and use tax under At any time before or after the adoption of the infrastructure financing plan, a city, county, or city and county may adopt a resolution to allocate tax revenues of that entity to the district, including revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) from one year to the next and attributable to the area of the district or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) if all of the following apply:(1) The area to be financed with funds received pursuant to this section is an infill site, as defined by Section 21061.3 of the Public Resources Code.(2) The infrastructure financing plan provides for the allocation of at least 20 percent of the funds received by the district pursuant to this section to be used to finance projects meeting the requirements of paragraph (12) of subdivision (b) of Section 53398.52.(3) The infrastructure financing plan includes requirements that at least 20 percent of any new production in the area to be financed with funds received pursuant to this section be affordable housing, as follows:(A) At least 6 percent of any new production be very low income units.(B) At least 9 percent of any new production be low-income units.(C) At least 5 percent be affordable housing units for low incomes at any level, including, but not limited to, low- and very low income units.(4) The use of the revenues derived from the local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) pursuant to the infrastructure financing plan is consistent with the purposes for which that tax is imposed.(5) The boundaries of the enhanced infrastructure financing district are coterminous with the city or county that established the district.

53398.75.5. (a) This section shall be known and may be cited as the Neighborhood Infill Finance and Transit Improvements Act, or NIFTI.(b) An infrastructure financing plan may contain a provision for the receipt of any increase of the total receipts of local sales and use tax resulting from the imposition of a sales and use tax under At any time before or after the adoption of the infrastructure financing plan, a city, county, or city and county may adopt a resolution to allocate tax revenues of that entity to the district, including revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) from one year to the next and attributable to the area of the district or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) if all of the following apply:(1) The area to be financed with funds received pursuant to this section is an infill site, as defined by Section 21061.3 of the Public Resources Code.(2) The infrastructure financing plan provides for the allocation of at least 20 percent of the funds received by the district pursuant to this section to be used to finance projects meeting the requirements of paragraph (12) of subdivision (b) of Section 53398.52.(3) The infrastructure financing plan includes requirements that at least 20 percent of any new production in the area to be financed with funds received pursuant to this section be affordable housing, as follows:(A) At least 6 percent of any new production be very low income units.(B) At least 9 percent of any new production be low-income units.(C) At least 5 percent be affordable housing units for low incomes at any level, including, but not limited to, low- and very low income units.(4) The use of the revenues derived from the local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) pursuant to the infrastructure financing plan is consistent with the purposes for which that tax is imposed.(5) The boundaries of the enhanced infrastructure financing district are coterminous with the city or county that established the district.

53398.75.5. (a) This section shall be known and may be cited as the Neighborhood Infill Finance and Transit Improvements Act, or NIFTI.(b) An infrastructure financing plan may contain a provision for the receipt of any increase of the total receipts of local sales and use tax resulting from the imposition of a sales and use tax under At any time before or after the adoption of the infrastructure financing plan, a city, county, or city and county may adopt a resolution to allocate tax revenues of that entity to the district, including revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) from one year to the next and attributable to the area of the district or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) if all of the following apply:(1) The area to be financed with funds received pursuant to this section is an infill site, as defined by Section 21061.3 of the Public Resources Code.(2) The infrastructure financing plan provides for the allocation of at least 20 percent of the funds received by the district pursuant to this section to be used to finance projects meeting the requirements of paragraph (12) of subdivision (b) of Section 53398.52.(3) The infrastructure financing plan includes requirements that at least 20 percent of any new production in the area to be financed with funds received pursuant to this section be affordable housing, as follows:(A) At least 6 percent of any new production be very low income units.(B) At least 9 percent of any new production be low-income units.(C) At least 5 percent be affordable housing units for low incomes at any level, including, but not limited to, low- and very low income units.(4) The use of the revenues derived from the local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) pursuant to the infrastructure financing plan is consistent with the purposes for which that tax is imposed.(5) The boundaries of the enhanced infrastructure financing district are coterminous with the city or county that established the district.



53398.75.5. (a) This section shall be known and may be cited as the Neighborhood Infill Finance and Transit Improvements Act, or NIFTI.

(b) An infrastructure financing plan may contain a provision for the receipt of any increase of the total receipts of local sales and use tax resulting from the imposition of a sales and use tax under At any time before or after the adoption of the infrastructure financing plan, a city, county, or city and county may adopt a resolution to allocate tax revenues of that entity to the district, including revenues derived from local sales and use taxes imposed pursuant to the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) from one year to the next and attributable to the area of the district or transactions and use taxes imposed in accordance with the Transactions and Use Tax Law (Part 1.6 (commencing with Section 7251) of the Revenue and Taxation Code) if all of the following apply:

(1) The area to be financed with funds received pursuant to this section is an infill site, as defined by Section 21061.3 of the Public Resources Code.

(2) The infrastructure financing plan provides for the allocation of at least 20 percent of the funds received by the district pursuant to this section to be used to finance projects meeting the requirements of paragraph (12) of subdivision (b) of Section 53398.52.

(3) The infrastructure financing plan includes requirements that at least 20 percent of any new production in the area to be financed with funds received pursuant to this section be affordable housing, as follows:

(A) At least 6 percent of any new production be very low income units.

(B) At least 9 percent of any new production be low-income units.

(C) At least 5 percent be affordable housing units for low incomes at any level, including, but not limited to, low- and very low income units.

(4) The use of the revenues derived from the local sales and use tax imposed under the Bradley-Burns Uniform Local Sales and Use Tax Law (Part 1.5 (commencing with Section 7200) of Division 2 of the Revenue and Taxation Code) pursuant to the infrastructure financing plan is consistent with the purposes for which that tax is imposed.

(5) The boundaries of the enhanced infrastructure financing district are coterminous with the city or county that established the district.