Amended IN Senate March 27, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Senate Bill No. 619Introduced by Senator Hueso(Coauthor: Senator Allen)(Coauthor: Assembly Member McCarty)February 22, 2019 An act to add and repeal Article 7 (commencing with Section 425) of Chapter 3 of Division 1 of the Financial Code, and to amend Section 12097.5 of, and to add and repeal Article 4.7 (commencing with Section 12097.10) of Chapter 1.6 of Part 2 of Division 3 of Title 2 of the Government Code, relating to economic development. promise zones.LEGISLATIVE COUNSEL'S DIGESTSB 619, as amended, Hueso. Promise Zones: credit reporting pilot program: educational services.The Consumer Credit Reporting Agencies Act and the federal Fair Credit Reporting Act provide for the regulation of consumer credit reporting agencies that collect credit-related information on consumers and report this information to subscribers and of persons who furnish that information to consumer credit reporting agencies, as provided.Existing law requires, among other things, that the Governors Office of Business and Economic Development (GO-Biz) convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs, as provided.This bill would require, as part of this annual convention, that the office assist with educational partnerships. The bill would make other nonsubstantive changes.This bill, on and after January 1, 2021, would establish a pilot program to require the owner or operator of a rental housing development located within a Promise Zone, as defined, that either consists of 50 or more units or receives financial assistance from the state to, on a monthly basis, furnish each to at least one major consumer credit reporting agency, as defined, information regarding the rental payment made by each tenant within the rental housing development who elects to participate in the pilot program, as provided. The bill would require GO-Biz the Department of Business Oversight to notify the director of each Promise Zone of the implementation of the pilot program and require the Department of Housing and Community Development Department of Business Oversight to collect and analyze data on the pilot program and submit a report to the Legislature, as provided. The bill would repeal these provisions as of January 1, 2025.This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Los Angeles, the City of Sacramento, and the City of San Diego.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Article 7 (commencing with Section 425) is added to Chapter 3 of Division 1 of the Financial Code, to read: Article 7. Promise Zone Rent Payment Reporting Pilot Program425. For purposes of this article:(a) Consumer credit reporting agency means TransUnion, Equifax, or Experian.(b) Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1) The development consists of 50 or more units.(2) The development receives financial assistance from the state.(c) Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d) Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e) Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f) Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g) Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.426. (a) (1) On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to at least one consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2). An owner or operator may authorize a third party to report the information required by this paragraph.(2) A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency.(3) An owner or operator of an eligible rental housing development, or an authorized third party, shall obtain written consent from a tenant before reporting data to a consumer credit reporting agency.(4) A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development that the owner or operator, or third party organization authorized to report on their behalf, not furnish to a consumer credit reporting agency the information described in paragraph (1).(5) Participating tenants who subsequently opted out of the pilot program may file a request to participate, pursuant to paragraph (2), six months from the date the written opt out is filed, or whatever period is required by the consumer credit reporting agencies, whichever is sooner.(b) A tenant participating in the pilot program does not forfeit any rights under Sections 1941 to 1942, inclusive, of the Civil Code. Payments made conforming to those statutes shall not constitute a late rental payment. Tenants invoking their rights under Sections 1941 to 1942, inclusive, of the Civil Code, shall notify the owner or operator of their eligible rental housing prior to the date rent is due.(c) The Department of Business Oversight shall do all of the following in connection with the pilot program:(1) Notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(2) Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(3) Submit a report to the Legislature within six months of the conclusion of the pilot program which shall contain all of the following information:(A) The number of residents who opted into the pilot program.(B) The average number of months a resident participated in the program.(C) Resident dropout and enrollment rates in the program.(D) The average change in credit score for a resident at each property.(E) Recommendations regarding program procedures including whether the program should be continued or expanded, and what, if any modifications should be made.427. This article shall remain in effect until January 1, 2025, and as of that date is repealed.SECTION 1.SEC. 2. Section 12097.5 of the Government Code is amended to read:12097.5. (a) (1) The office is hereby authorized to develop content on its internet website or through other mediums to be used for public dissemination, through outreach activities, in order to provide information and resources to inform the general public about place-based and other geographically targeted economic development programs, including, but not limited to, federal Promise Zones within California that are designated by the United States Department of Housing and Urban Development, and Opportunity Zones designated by the United States Treasury, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) The information and resources shall include, but not be limited to, how the local jurisdictions or census tracts were created, where locals and investors may get additional information, and updates regarding federal programs as that information becomes available.(b) (1) The office shall convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs. The convention topics shall include, but not be limited to, discussions on enhanced engagement opportunities and targeted outreach to assist designated areas in their efforts to access state resources and services.(2) As part of the annual convention required by this subdivision, the office shall assist with educational partnerships.(c) As used in this section:(1) California Opportunity Zone means a census tract in this state that has been designated by the United States Treasury as an Opportunity Zone, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) California Promise Zone means a community in this state that has been designated by the United States Department of Housing and Urban Development as a Promise Zone.SEC. 2.Article 4.7 (commencing with Section 12097.10) is added to Chapter 1.6 of Part 2 of Division 3 of Title 2 of the Government Code, to read:4.7.Promise Zone Rent Payment Reporting Pilot Program12097.10.For purposes of this article:(a)Consumer credit reporting agency has the same meaning as specified in Section 1785.3 of the Civil Code.(b)Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1)The development consists of 50 or more units.(2)The development receives financial assistance from the state.(c)Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d)Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e)Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f)Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g)Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.12097.12.(a)(1)On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to each consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2).(2)A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development, and with the city in which that eligible rental housing development is located, a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency. A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development, and with the city in which that eligible rental housing development is located, that the owner or operator not furnish to a consumer credit reporting agency the information described in paragraph (1). (b)The office shall notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(c)The Department of Housing and Community Development shall do both of the following:(1)Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(2)No later than January 1, 2025, submit a report to the Legislature containing the data and analysis specified in paragraph (1) with recommendations as to whether to extend or modify the program. The report required by this paragraph shall be submitted in compliance with Section 9795.12097.14.This article shall remain in effect until January 1, 2025, and as of that date is repealed.SEC. 3. The Legislature finds and declares that, with respect to Section 2 of this act, a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances in the City of Los Angeles, the City of Sacramento, and the City of San Diego related to the designation of federal Promise Zones within each of these cities by the United States Department of Housing and Urban Development.
Amended IN Senate March 27, 2019 CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Senate Bill No. 619Introduced by Senator Hueso(Coauthor: Senator Allen)(Coauthor: Assembly Member McCarty)February 22, 2019 An act to add and repeal Article 7 (commencing with Section 425) of Chapter 3 of Division 1 of the Financial Code, and to amend Section 12097.5 of, and to add and repeal Article 4.7 (commencing with Section 12097.10) of Chapter 1.6 of Part 2 of Division 3 of Title 2 of the Government Code, relating to economic development. promise zones.LEGISLATIVE COUNSEL'S DIGESTSB 619, as amended, Hueso. Promise Zones: credit reporting pilot program: educational services.The Consumer Credit Reporting Agencies Act and the federal Fair Credit Reporting Act provide for the regulation of consumer credit reporting agencies that collect credit-related information on consumers and report this information to subscribers and of persons who furnish that information to consumer credit reporting agencies, as provided.Existing law requires, among other things, that the Governors Office of Business and Economic Development (GO-Biz) convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs, as provided.This bill would require, as part of this annual convention, that the office assist with educational partnerships. The bill would make other nonsubstantive changes.This bill, on and after January 1, 2021, would establish a pilot program to require the owner or operator of a rental housing development located within a Promise Zone, as defined, that either consists of 50 or more units or receives financial assistance from the state to, on a monthly basis, furnish each to at least one major consumer credit reporting agency, as defined, information regarding the rental payment made by each tenant within the rental housing development who elects to participate in the pilot program, as provided. The bill would require GO-Biz the Department of Business Oversight to notify the director of each Promise Zone of the implementation of the pilot program and require the Department of Housing and Community Development Department of Business Oversight to collect and analyze data on the pilot program and submit a report to the Legislature, as provided. The bill would repeal these provisions as of January 1, 2025.This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Los Angeles, the City of Sacramento, and the City of San Diego.Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO
Amended IN Senate March 27, 2019
Amended IN Senate March 27, 2019
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION
Senate Bill No. 619
Introduced by Senator Hueso(Coauthor: Senator Allen)(Coauthor: Assembly Member McCarty)February 22, 2019
Introduced by Senator Hueso(Coauthor: Senator Allen)(Coauthor: Assembly Member McCarty)
February 22, 2019
An act to add and repeal Article 7 (commencing with Section 425) of Chapter 3 of Division 1 of the Financial Code, and to amend Section 12097.5 of, and to add and repeal Article 4.7 (commencing with Section 12097.10) of Chapter 1.6 of Part 2 of Division 3 of Title 2 of the Government Code, relating to economic development. promise zones.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
SB 619, as amended, Hueso. Promise Zones: credit reporting pilot program: educational services.
The Consumer Credit Reporting Agencies Act and the federal Fair Credit Reporting Act provide for the regulation of consumer credit reporting agencies that collect credit-related information on consumers and report this information to subscribers and of persons who furnish that information to consumer credit reporting agencies, as provided.Existing law requires, among other things, that the Governors Office of Business and Economic Development (GO-Biz) convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs, as provided.This bill would require, as part of this annual convention, that the office assist with educational partnerships. The bill would make other nonsubstantive changes.This bill, on and after January 1, 2021, would establish a pilot program to require the owner or operator of a rental housing development located within a Promise Zone, as defined, that either consists of 50 or more units or receives financial assistance from the state to, on a monthly basis, furnish each to at least one major consumer credit reporting agency, as defined, information regarding the rental payment made by each tenant within the rental housing development who elects to participate in the pilot program, as provided. The bill would require GO-Biz the Department of Business Oversight to notify the director of each Promise Zone of the implementation of the pilot program and require the Department of Housing and Community Development Department of Business Oversight to collect and analyze data on the pilot program and submit a report to the Legislature, as provided. The bill would repeal these provisions as of January 1, 2025.This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Los Angeles, the City of Sacramento, and the City of San Diego.
The Consumer Credit Reporting Agencies Act and the federal Fair Credit Reporting Act provide for the regulation of consumer credit reporting agencies that collect credit-related information on consumers and report this information to subscribers and of persons who furnish that information to consumer credit reporting agencies, as provided.
Existing law requires, among other things, that the Governors Office of Business and Economic Development (GO-Biz) convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs, as provided.
This bill would require, as part of this annual convention, that the office assist with educational partnerships. The bill would make other nonsubstantive changes.
This bill, on and after January 1, 2021, would establish a pilot program to require the owner or operator of a rental housing development located within a Promise Zone, as defined, that either consists of 50 or more units or receives financial assistance from the state to, on a monthly basis, furnish each to at least one major consumer credit reporting agency, as defined, information regarding the rental payment made by each tenant within the rental housing development who elects to participate in the pilot program, as provided. The bill would require GO-Biz the Department of Business Oversight to notify the director of each Promise Zone of the implementation of the pilot program and require the Department of Housing and Community Development Department of Business Oversight to collect and analyze data on the pilot program and submit a report to the Legislature, as provided. The bill would repeal these provisions as of January 1, 2025.
This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Los Angeles, the City of Sacramento, and the City of San Diego.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Article 7 (commencing with Section 425) is added to Chapter 3 of Division 1 of the Financial Code, to read: Article 7. Promise Zone Rent Payment Reporting Pilot Program425. For purposes of this article:(a) Consumer credit reporting agency means TransUnion, Equifax, or Experian.(b) Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1) The development consists of 50 or more units.(2) The development receives financial assistance from the state.(c) Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d) Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e) Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f) Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g) Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.426. (a) (1) On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to at least one consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2). An owner or operator may authorize a third party to report the information required by this paragraph.(2) A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency.(3) An owner or operator of an eligible rental housing development, or an authorized third party, shall obtain written consent from a tenant before reporting data to a consumer credit reporting agency.(4) A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development that the owner or operator, or third party organization authorized to report on their behalf, not furnish to a consumer credit reporting agency the information described in paragraph (1).(5) Participating tenants who subsequently opted out of the pilot program may file a request to participate, pursuant to paragraph (2), six months from the date the written opt out is filed, or whatever period is required by the consumer credit reporting agencies, whichever is sooner.(b) A tenant participating in the pilot program does not forfeit any rights under Sections 1941 to 1942, inclusive, of the Civil Code. Payments made conforming to those statutes shall not constitute a late rental payment. Tenants invoking their rights under Sections 1941 to 1942, inclusive, of the Civil Code, shall notify the owner or operator of their eligible rental housing prior to the date rent is due.(c) The Department of Business Oversight shall do all of the following in connection with the pilot program:(1) Notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(2) Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(3) Submit a report to the Legislature within six months of the conclusion of the pilot program which shall contain all of the following information:(A) The number of residents who opted into the pilot program.(B) The average number of months a resident participated in the program.(C) Resident dropout and enrollment rates in the program.(D) The average change in credit score for a resident at each property.(E) Recommendations regarding program procedures including whether the program should be continued or expanded, and what, if any modifications should be made.427. This article shall remain in effect until January 1, 2025, and as of that date is repealed.SECTION 1.SEC. 2. Section 12097.5 of the Government Code is amended to read:12097.5. (a) (1) The office is hereby authorized to develop content on its internet website or through other mediums to be used for public dissemination, through outreach activities, in order to provide information and resources to inform the general public about place-based and other geographically targeted economic development programs, including, but not limited to, federal Promise Zones within California that are designated by the United States Department of Housing and Urban Development, and Opportunity Zones designated by the United States Treasury, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) The information and resources shall include, but not be limited to, how the local jurisdictions or census tracts were created, where locals and investors may get additional information, and updates regarding federal programs as that information becomes available.(b) (1) The office shall convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs. The convention topics shall include, but not be limited to, discussions on enhanced engagement opportunities and targeted outreach to assist designated areas in their efforts to access state resources and services.(2) As part of the annual convention required by this subdivision, the office shall assist with educational partnerships.(c) As used in this section:(1) California Opportunity Zone means a census tract in this state that has been designated by the United States Treasury as an Opportunity Zone, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) California Promise Zone means a community in this state that has been designated by the United States Department of Housing and Urban Development as a Promise Zone.SEC. 2.Article 4.7 (commencing with Section 12097.10) is added to Chapter 1.6 of Part 2 of Division 3 of Title 2 of the Government Code, to read:4.7.Promise Zone Rent Payment Reporting Pilot Program12097.10.For purposes of this article:(a)Consumer credit reporting agency has the same meaning as specified in Section 1785.3 of the Civil Code.(b)Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1)The development consists of 50 or more units.(2)The development receives financial assistance from the state.(c)Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d)Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e)Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f)Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g)Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.12097.12.(a)(1)On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to each consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2).(2)A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development, and with the city in which that eligible rental housing development is located, a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency. A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development, and with the city in which that eligible rental housing development is located, that the owner or operator not furnish to a consumer credit reporting agency the information described in paragraph (1). (b)The office shall notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(c)The Department of Housing and Community Development shall do both of the following:(1)Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(2)No later than January 1, 2025, submit a report to the Legislature containing the data and analysis specified in paragraph (1) with recommendations as to whether to extend or modify the program. The report required by this paragraph shall be submitted in compliance with Section 9795.12097.14.This article shall remain in effect until January 1, 2025, and as of that date is repealed.SEC. 3. The Legislature finds and declares that, with respect to Section 2 of this act, a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances in the City of Los Angeles, the City of Sacramento, and the City of San Diego related to the designation of federal Promise Zones within each of these cities by the United States Department of Housing and Urban Development.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Article 7 (commencing with Section 425) is added to Chapter 3 of Division 1 of the Financial Code, to read: Article 7. Promise Zone Rent Payment Reporting Pilot Program425. For purposes of this article:(a) Consumer credit reporting agency means TransUnion, Equifax, or Experian.(b) Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1) The development consists of 50 or more units.(2) The development receives financial assistance from the state.(c) Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d) Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e) Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f) Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g) Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.426. (a) (1) On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to at least one consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2). An owner or operator may authorize a third party to report the information required by this paragraph.(2) A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency.(3) An owner or operator of an eligible rental housing development, or an authorized third party, shall obtain written consent from a tenant before reporting data to a consumer credit reporting agency.(4) A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development that the owner or operator, or third party organization authorized to report on their behalf, not furnish to a consumer credit reporting agency the information described in paragraph (1).(5) Participating tenants who subsequently opted out of the pilot program may file a request to participate, pursuant to paragraph (2), six months from the date the written opt out is filed, or whatever period is required by the consumer credit reporting agencies, whichever is sooner.(b) A tenant participating in the pilot program does not forfeit any rights under Sections 1941 to 1942, inclusive, of the Civil Code. Payments made conforming to those statutes shall not constitute a late rental payment. Tenants invoking their rights under Sections 1941 to 1942, inclusive, of the Civil Code, shall notify the owner or operator of their eligible rental housing prior to the date rent is due.(c) The Department of Business Oversight shall do all of the following in connection with the pilot program:(1) Notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(2) Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(3) Submit a report to the Legislature within six months of the conclusion of the pilot program which shall contain all of the following information:(A) The number of residents who opted into the pilot program.(B) The average number of months a resident participated in the program.(C) Resident dropout and enrollment rates in the program.(D) The average change in credit score for a resident at each property.(E) Recommendations regarding program procedures including whether the program should be continued or expanded, and what, if any modifications should be made.427. This article shall remain in effect until January 1, 2025, and as of that date is repealed.
SECTION 1. Article 7 (commencing with Section 425) is added to Chapter 3 of Division 1 of the Financial Code, to read:
### SECTION 1.
Article 7. Promise Zone Rent Payment Reporting Pilot Program425. For purposes of this article:(a) Consumer credit reporting agency means TransUnion, Equifax, or Experian.(b) Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1) The development consists of 50 or more units.(2) The development receives financial assistance from the state.(c) Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d) Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e) Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f) Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g) Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.426. (a) (1) On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to at least one consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2). An owner or operator may authorize a third party to report the information required by this paragraph.(2) A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency.(3) An owner or operator of an eligible rental housing development, or an authorized third party, shall obtain written consent from a tenant before reporting data to a consumer credit reporting agency.(4) A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development that the owner or operator, or third party organization authorized to report on their behalf, not furnish to a consumer credit reporting agency the information described in paragraph (1).(5) Participating tenants who subsequently opted out of the pilot program may file a request to participate, pursuant to paragraph (2), six months from the date the written opt out is filed, or whatever period is required by the consumer credit reporting agencies, whichever is sooner.(b) A tenant participating in the pilot program does not forfeit any rights under Sections 1941 to 1942, inclusive, of the Civil Code. Payments made conforming to those statutes shall not constitute a late rental payment. Tenants invoking their rights under Sections 1941 to 1942, inclusive, of the Civil Code, shall notify the owner or operator of their eligible rental housing prior to the date rent is due.(c) The Department of Business Oversight shall do all of the following in connection with the pilot program:(1) Notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(2) Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(3) Submit a report to the Legislature within six months of the conclusion of the pilot program which shall contain all of the following information:(A) The number of residents who opted into the pilot program.(B) The average number of months a resident participated in the program.(C) Resident dropout and enrollment rates in the program.(D) The average change in credit score for a resident at each property.(E) Recommendations regarding program procedures including whether the program should be continued or expanded, and what, if any modifications should be made.427. This article shall remain in effect until January 1, 2025, and as of that date is repealed.
Article 7. Promise Zone Rent Payment Reporting Pilot Program425. For purposes of this article:(a) Consumer credit reporting agency means TransUnion, Equifax, or Experian.(b) Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1) The development consists of 50 or more units.(2) The development receives financial assistance from the state.(c) Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d) Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e) Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f) Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g) Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.426. (a) (1) On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to at least one consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2). An owner or operator may authorize a third party to report the information required by this paragraph.(2) A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency.(3) An owner or operator of an eligible rental housing development, or an authorized third party, shall obtain written consent from a tenant before reporting data to a consumer credit reporting agency.(4) A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development that the owner or operator, or third party organization authorized to report on their behalf, not furnish to a consumer credit reporting agency the information described in paragraph (1).(5) Participating tenants who subsequently opted out of the pilot program may file a request to participate, pursuant to paragraph (2), six months from the date the written opt out is filed, or whatever period is required by the consumer credit reporting agencies, whichever is sooner.(b) A tenant participating in the pilot program does not forfeit any rights under Sections 1941 to 1942, inclusive, of the Civil Code. Payments made conforming to those statutes shall not constitute a late rental payment. Tenants invoking their rights under Sections 1941 to 1942, inclusive, of the Civil Code, shall notify the owner or operator of their eligible rental housing prior to the date rent is due.(c) The Department of Business Oversight shall do all of the following in connection with the pilot program:(1) Notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(2) Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(3) Submit a report to the Legislature within six months of the conclusion of the pilot program which shall contain all of the following information:(A) The number of residents who opted into the pilot program.(B) The average number of months a resident participated in the program.(C) Resident dropout and enrollment rates in the program.(D) The average change in credit score for a resident at each property.(E) Recommendations regarding program procedures including whether the program should be continued or expanded, and what, if any modifications should be made.427. This article shall remain in effect until January 1, 2025, and as of that date is repealed.
Article 7. Promise Zone Rent Payment Reporting Pilot Program
Article 7. Promise Zone Rent Payment Reporting Pilot Program
425. For purposes of this article:(a) Consumer credit reporting agency means TransUnion, Equifax, or Experian.(b) Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:(1) The development consists of 50 or more units.(2) The development receives financial assistance from the state.(c) Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.(d) Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.(e) Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.(f) Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.(g) Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.
425. For purposes of this article:
(a) Consumer credit reporting agency means TransUnion, Equifax, or Experian.
(b) Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:
(1) The development consists of 50 or more units.
(2) The development receives financial assistance from the state.
(c) Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.
(d) Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.
(e) Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.
(f) Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.
(g) Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.
426. (a) (1) On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to at least one consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2). An owner or operator may authorize a third party to report the information required by this paragraph.(2) A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency.(3) An owner or operator of an eligible rental housing development, or an authorized third party, shall obtain written consent from a tenant before reporting data to a consumer credit reporting agency.(4) A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development that the owner or operator, or third party organization authorized to report on their behalf, not furnish to a consumer credit reporting agency the information described in paragraph (1).(5) Participating tenants who subsequently opted out of the pilot program may file a request to participate, pursuant to paragraph (2), six months from the date the written opt out is filed, or whatever period is required by the consumer credit reporting agencies, whichever is sooner.(b) A tenant participating in the pilot program does not forfeit any rights under Sections 1941 to 1942, inclusive, of the Civil Code. Payments made conforming to those statutes shall not constitute a late rental payment. Tenants invoking their rights under Sections 1941 to 1942, inclusive, of the Civil Code, shall notify the owner or operator of their eligible rental housing prior to the date rent is due.(c) The Department of Business Oversight shall do all of the following in connection with the pilot program:(1) Notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.(2) Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.(3) Submit a report to the Legislature within six months of the conclusion of the pilot program which shall contain all of the following information:(A) The number of residents who opted into the pilot program.(B) The average number of months a resident participated in the program.(C) Resident dropout and enrollment rates in the program.(D) The average change in credit score for a resident at each property.(E) Recommendations regarding program procedures including whether the program should be continued or expanded, and what, if any modifications should be made.
426. (a) (1) On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to at least one consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2). An owner or operator may authorize a third party to report the information required by this paragraph.
(2) A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency.
(3) An owner or operator of an eligible rental housing development, or an authorized third party, shall obtain written consent from a tenant before reporting data to a consumer credit reporting agency.
(4) A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development that the owner or operator, or third party organization authorized to report on their behalf, not furnish to a consumer credit reporting agency the information described in paragraph (1).
(5) Participating tenants who subsequently opted out of the pilot program may file a request to participate, pursuant to paragraph (2), six months from the date the written opt out is filed, or whatever period is required by the consumer credit reporting agencies, whichever is sooner.
(b) A tenant participating in the pilot program does not forfeit any rights under Sections 1941 to 1942, inclusive, of the Civil Code. Payments made conforming to those statutes shall not constitute a late rental payment. Tenants invoking their rights under Sections 1941 to 1942, inclusive, of the Civil Code, shall notify the owner or operator of their eligible rental housing prior to the date rent is due.
(c) The Department of Business Oversight shall do all of the following in connection with the pilot program:
(1) Notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.
(2) Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.
(3) Submit a report to the Legislature within six months of the conclusion of the pilot program which shall contain all of the following information:
(A) The number of residents who opted into the pilot program.
(B) The average number of months a resident participated in the program.
(C) Resident dropout and enrollment rates in the program.
(D) The average change in credit score for a resident at each property.
(E) Recommendations regarding program procedures including whether the program should be continued or expanded, and what, if any modifications should be made.
427. This article shall remain in effect until January 1, 2025, and as of that date is repealed.
427. This article shall remain in effect until January 1, 2025, and as of that date is repealed.
SECTION 1.SEC. 2. Section 12097.5 of the Government Code is amended to read:12097.5. (a) (1) The office is hereby authorized to develop content on its internet website or through other mediums to be used for public dissemination, through outreach activities, in order to provide information and resources to inform the general public about place-based and other geographically targeted economic development programs, including, but not limited to, federal Promise Zones within California that are designated by the United States Department of Housing and Urban Development, and Opportunity Zones designated by the United States Treasury, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) The information and resources shall include, but not be limited to, how the local jurisdictions or census tracts were created, where locals and investors may get additional information, and updates regarding federal programs as that information becomes available.(b) (1) The office shall convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs. The convention topics shall include, but not be limited to, discussions on enhanced engagement opportunities and targeted outreach to assist designated areas in their efforts to access state resources and services.(2) As part of the annual convention required by this subdivision, the office shall assist with educational partnerships.(c) As used in this section:(1) California Opportunity Zone means a census tract in this state that has been designated by the United States Treasury as an Opportunity Zone, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) California Promise Zone means a community in this state that has been designated by the United States Department of Housing and Urban Development as a Promise Zone.
SECTION 1.SEC. 2. Section 12097.5 of the Government Code is amended to read:
### SECTION 1.SEC. 2.
12097.5. (a) (1) The office is hereby authorized to develop content on its internet website or through other mediums to be used for public dissemination, through outreach activities, in order to provide information and resources to inform the general public about place-based and other geographically targeted economic development programs, including, but not limited to, federal Promise Zones within California that are designated by the United States Department of Housing and Urban Development, and Opportunity Zones designated by the United States Treasury, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) The information and resources shall include, but not be limited to, how the local jurisdictions or census tracts were created, where locals and investors may get additional information, and updates regarding federal programs as that information becomes available.(b) (1) The office shall convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs. The convention topics shall include, but not be limited to, discussions on enhanced engagement opportunities and targeted outreach to assist designated areas in their efforts to access state resources and services.(2) As part of the annual convention required by this subdivision, the office shall assist with educational partnerships.(c) As used in this section:(1) California Opportunity Zone means a census tract in this state that has been designated by the United States Treasury as an Opportunity Zone, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) California Promise Zone means a community in this state that has been designated by the United States Department of Housing and Urban Development as a Promise Zone.
12097.5. (a) (1) The office is hereby authorized to develop content on its internet website or through other mediums to be used for public dissemination, through outreach activities, in order to provide information and resources to inform the general public about place-based and other geographically targeted economic development programs, including, but not limited to, federal Promise Zones within California that are designated by the United States Department of Housing and Urban Development, and Opportunity Zones designated by the United States Treasury, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) The information and resources shall include, but not be limited to, how the local jurisdictions or census tracts were created, where locals and investors may get additional information, and updates regarding federal programs as that information becomes available.(b) (1) The office shall convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs. The convention topics shall include, but not be limited to, discussions on enhanced engagement opportunities and targeted outreach to assist designated areas in their efforts to access state resources and services.(2) As part of the annual convention required by this subdivision, the office shall assist with educational partnerships.(c) As used in this section:(1) California Opportunity Zone means a census tract in this state that has been designated by the United States Treasury as an Opportunity Zone, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) California Promise Zone means a community in this state that has been designated by the United States Department of Housing and Urban Development as a Promise Zone.
12097.5. (a) (1) The office is hereby authorized to develop content on its internet website or through other mediums to be used for public dissemination, through outreach activities, in order to provide information and resources to inform the general public about place-based and other geographically targeted economic development programs, including, but not limited to, federal Promise Zones within California that are designated by the United States Department of Housing and Urban Development, and Opportunity Zones designated by the United States Treasury, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) The information and resources shall include, but not be limited to, how the local jurisdictions or census tracts were created, where locals and investors may get additional information, and updates regarding federal programs as that information becomes available.(b) (1) The office shall convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs. The convention topics shall include, but not be limited to, discussions on enhanced engagement opportunities and targeted outreach to assist designated areas in their efforts to access state resources and services.(2) As part of the annual convention required by this subdivision, the office shall assist with educational partnerships.(c) As used in this section:(1) California Opportunity Zone means a census tract in this state that has been designated by the United States Treasury as an Opportunity Zone, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.(2) California Promise Zone means a community in this state that has been designated by the United States Department of Housing and Urban Development as a Promise Zone.
12097.5. (a) (1) The office is hereby authorized to develop content on its internet website or through other mediums to be used for public dissemination, through outreach activities, in order to provide information and resources to inform the general public about place-based and other geographically targeted economic development programs, including, but not limited to, federal Promise Zones within California that are designated by the United States Department of Housing and Urban Development, and Opportunity Zones designated by the United States Treasury, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.
(2) The information and resources shall include, but not be limited to, how the local jurisdictions or census tracts were created, where locals and investors may get additional information, and updates regarding federal programs as that information becomes available.
(b) (1) The office shall convene, at least annually, representatives from various programs and agencies across the state and from various federal programs and agencies for the purpose of discussing how California can leverage Promise Zones and Opportunity Zones to meet state and local community and economic development needs. The convention topics shall include, but not be limited to, discussions on enhanced engagement opportunities and targeted outreach to assist designated areas in their efforts to access state resources and services.
(2) As part of the annual convention required by this subdivision, the office shall assist with educational partnerships.
(c) As used in this section:
(1) California Opportunity Zone means a census tract in this state that has been designated by the United States Treasury as an Opportunity Zone, pursuant to Sections 1400Z-1 and 1400Z-2 of the Internal Revenue Code.
(2) California Promise Zone means a community in this state that has been designated by the United States Department of Housing and Urban Development as a Promise Zone.
For purposes of this article:
(a)Consumer credit reporting agency has the same meaning as specified in Section 1785.3 of the Civil Code.
(b)Eligible rental housing development means a rental housing development that is located within a Promise Zone and for which either of the following apply:
(1)The development consists of 50 or more units.
(2)The development receives financial assistance from the state.
(c)Furnish or furnishing means that the eligible rental housing development acts as a furnisher, within the meaning of Section 660.2(c) of Title 16 of the Code of Federal Regulations.
(d)Pilot program means the process for furnishing reports of rental payments to consumer credit reporting agencies, as described in Section 12097.12.
(e)Promise Zone means the four areas in this state, located within the City of Los Angeles, the City of Sacramento, and the City of San Diego, that were designated as Promise Zones by the United States Department of Housing and Urban Development as of January 1, 2019.
(f)Rental payment means a regular payment made in exchange for the right to occupy a unit in an eligible rental housing development.
(g)Tenant means a person residing in an eligible rental housing development who is responsible for making rental payments.
(a)(1)On and after January 1, 2021, the owner or operator of each eligible rental housing development shall, on a monthly basis, furnish to each consumer credit reporting agency information regarding the rental payment made by each tenant within the eligible rental housing development who elects to participate in the pilot program in accordance with paragraph (2).
(2)A tenant may elect to participate in the pilot program by filing with the owner or operator of the eligible rental housing development, and with the city in which that eligible rental housing development is located, a written request that the information described in paragraph (1) be furnished to a consumer credit reporting agency. A tenant participating in the pilot program may, at any time, file a subsequent written request with the owner or operator of the eligible rental housing development, and with the city in which that eligible rental housing development is located, that the owner or operator not furnish to a consumer credit reporting agency the information described in paragraph (1).
(b)The office shall notify the director of each Promise Zone of the implementation of the pilot program and encourage each director to provide educational resources to tenants participating in the program that are designed to improve their knowledge of credit and financial resources.
(c)The Department of Housing and Community Development shall do both of the following:
(1)Collect and analyze data on the pilot program to assess its effectiveness in achieving the purposes of this article.
(2)No later than January 1, 2025, submit a report to the Legislature containing the data and analysis specified in paragraph (1) with recommendations as to whether to extend or modify the program. The report required by this paragraph shall be submitted in compliance with Section 9795.
This article shall remain in effect until January 1, 2025, and as of that date is repealed.
SEC. 3. The Legislature finds and declares that, with respect to Section 2 of this act, a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances in the City of Los Angeles, the City of Sacramento, and the City of San Diego related to the designation of federal Promise Zones within each of these cities by the United States Department of Housing and Urban Development.
SEC. 3. The Legislature finds and declares that, with respect to Section 2 of this act, a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances in the City of Los Angeles, the City of Sacramento, and the City of San Diego related to the designation of federal Promise Zones within each of these cities by the United States Department of Housing and Urban Development.
SEC. 3. The Legislature finds and declares that, with respect to Section 2 of this act, a special statute is necessary and that a general statute cannot be made applicable within the meaning of Section 16 of Article IV of the California Constitution because of the unique circumstances in the City of Los Angeles, the City of Sacramento, and the City of San Diego related to the designation of federal Promise Zones within each of these cities by the United States Department of Housing and Urban Development.
### SEC. 3.