Bill Text: CA SB663 | 2013-2014 | Regular Session | Amended
Bill Title: Local government: redevelopment: revenues from property tax override rates.
Spectrum: Partisan Bill (Democrat 9-0)
Status: (Engrossed - Dead) 2014-08-14 - Set, second hearing. Held under submission. [SB663 Detail]
Download: California-2013-SB663-Amended.html
BILL NUMBER: SB 663 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY JUNE 30, 2014
AMENDED IN ASSEMBLY JUNE 18, 2014
AMENDED IN SENATE JANUARY 27, 2014
AMENDED IN SENATE JANUARY 21, 2014
AMENDED IN SENATE JANUARY 6, 2014
AMENDED IN SENATE APRIL 2, 2013
INTRODUCED BY Senator Lara
( Principal coauthors:
Assembly Members Garcia and Hall )
( Coauthor: Senator
Hernandez )
( Coauthors: Assembly Members
Bocanegra, Bradford, Chau,
Holden, and Rendon )
FEBRUARY 22, 2013
An act to amend Sections 33670, 34172, and 34183 of the Health and
Safety Code, and to add Section 95.5 95.6
to the Revenue and Taxation Code, relating to local government
, and declaring the urgency thereof, to take effect immediately
.
LEGISLATIVE COUNSEL'S DIGEST
SB 663, as amended, Lara. Local government: redevelopment:
revenues from property tax override rates.
Existing law dissolved redevelopment agencies and community
development agencies as of February 1, 2012, and provides for the
designation of successor agencies to wind down the affairs of the
dissolved redevelopment agencies. Existing law requires revenues
equivalent to those that would have been allocated to each
redevelopment agency, had the agency not been dissolved, to be
allocated to the Redevelopment Property Tax Trust Fund of each
successor agency for making payments on the principal of and interest
on loans, and moneys advanced to or indebtedness incurred by the
dissolved redevelopment agencies. Existing law requires, from
February 1, 2012, to July 1, 2012, inclusive, and for each fiscal
year thereafter, the county auditor-controller, after deducting
administrative costs, to allocate property tax revenues in each
Redevelopment Property Tax Trust Fund in a specified manner.
This bill, for the 2014-15 fiscal year and each fiscal year
thereafter, would prohibit any revenues derived from the imposition
of a property tax rate, approved by the voters of a city, county, or
city and county to make payments in support of pension programs and
levied in addition to the general property tax rate, from being
allocated to a Redevelopment Property Tax Trust Fund and would,
instead, require these revenues be allocated to, and when collected
to be paid into, the fund of the city, county, or city and county
whose voters approved the tax unless, following a written request
with each Recognized Obligation Payment Schedule cycle from the
successor agency to the city, county, or city and county whose voters
approved the tax, the city, county, or city and county authorizes
the use of the revenues by the successor agency to pay any
enforceable obligation, as specified. The bill would require any
revenues derived from the imposition of a property tax rate as so
described that have been pledged as security for the payment of any
indebtedness obligation to be allocated to the successor agency to
pay that indebtedness obligation, as specified. The bill would
require all allocations of revenues derived from the imposition of a
property tax rate as so described made by any county
auditor-controller prior to July 1, 2014, to be deemed correct, and
would prohibit any city, county, city and county, county
auditor-controller, successor agency, or affected taxing entity from
being subject to any claim, as specified.
By adding to the duties of local government officials, this bill
would impose a state-mandated local program.
The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
This bill would declare that it is to take effect immediately as
an urgency statute.
Vote: majority 2/3 . Appropriation:
no. Fiscal committee: yes. State-mandated local program: yes.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. (a) The Legislature finds and declares all of the
following:
(1) The California Constitution limits property-based tax levies,
with exceptions to these limits only when a local jurisdiction
obtains the approval of its voting electorate to use additional
property-based tax levies for specific purposes approved by the
voting electorate, in accordance with applicable constitutional and
statutory provisions.
(2) With the enactment of Chapter 5 of the 2011-12 First
Extraordinary Session (Assembly Bill 26), the Legislature intended
that, upon dissolution of redevelopment agencies in the State of
California, property taxes that would have been allocated to
redevelopment agencies are no longer deemed tax increment. Instead,
those taxes are deemed property tax revenues and are to be allocated
first to successor agencies to make payments on the indebtedness
incurred by the dissolved redevelopment agencies, with remaining
balances allocated in accordance with applicable constitutional and
statutory provisions.
(3) It is the intent of the Legislature in enacting this act to do
all of the following:
(A) If a redevelopment agency had previously pledged revenues
derived from the imposition of a property tax rate, approved by the
voters of a city, county, or city and county to make payments in
support of pension programs and levied in addition to the property
tax rate limited by subdivision (a) of Section 1 of Article XIII A of
the California Constitution, to pay a portion of the debt service
due on indebtedness incurred by the former redevelopment agency on an
approved recognized obligation payment schedule, then the successor
agency shall continue to pledge those revenues, in a commensurate
rate going forward. For example, if revenues derived from a pension
tax rate approved by the voters of a city, county, or city and county
were pledged to pay up to 25 percent of the annual debt service for
the indebtedness approved in a recognized obligation payment
schedule, the successor agency shall continue to pay up to 25 percent
of the annual debt service on the indebtedness until maturity. Any
and all excess pledged revenues derived from the pension property tax
rate that are not necessary to pay the debt service on the
indebtedness shall be allocated and paid to the city, county, or city
and county whose voters approved the pension property tax rate.
(B) Ensure that the use of revenues derived from the imposition of
a property tax rate approved by the voters of a city, county, or
city and county, to make payments in support of pension programs and
levied in addition to the property tax rate limited by subdivision
(a) of Section 1 of Article XIII A of the California Constitution, is
consistent with the use approved by the voters of a city, county, or
city and county, once revenues from such property tax rates are not
needed to pay approved indebtedness of a former redevelopment agency.
(C) Implement the allocation and distribution of voter-approved,
property-based tax revenues for pension programs under the
redevelopment dissolution process in a manner that would have been
consistent with the allocation and distribution of those revenues had
redevelopment agencies not been dissolved, in accordance with
applicable constitutional provisions.
(4) Further, it is the intent of the Legislature that this act not
affect any property tax allocations that occurred prior to July 1,
2014.
SEC. 2. Section 33670 of the Health and Safety Code is amended to
read:
33670. Any redevelopment plan may contain a provision that taxes,
if any, levied upon taxable property in a redevelopment project each
year by or for the benefit of the State of California, any city,
county, city and county, district, or other public corporation
(hereinafter sometimes called "taxing agencies") after the effective
date of the ordinance approving the redevelopment plan, shall be
divided as follows:
(a) That portion of the taxes which would be produced by the rate
upon which the tax is levied each year by or for each of the taxing
agencies upon the total sum of the assessed value of the taxable
property in the redevelopment project as shown upon the assessment
roll used in connection with the taxation of that property by the
taxing agency, last equalized prior to the effective date of the
ordinance, shall be allocated to and when collected shall be paid to
the respective taxing agencies as taxes by or for the taxing agencies
on all other property are paid (for the purpose of allocating taxes
levied by or for any taxing agency or agencies which did not include
the territory in a redevelopment project on the effective date of the
ordinance but to which that territory has been annexed or otherwise
included after that effective date, the assessment roll of the county
last equalized on the effective date of the ordinance shall be used
in determining the assessed valuation of the taxable property in the
project on the effective date).
(b) Except as provided in subdivision (e) or in Section 33492.15,
that portion of the levied taxes each year in excess of that amount
shall be allocated to and when collected shall be paid into a special
fund of the redevelopment agency to pay the principal of and
interest on loans, moneys advanced to, or indebtedness (whether
funded, refunded, assumed, or otherwise) incurred by the
redevelopment agency to finance or refinance, in whole or in part,
the redevelopment project. Unless and until the total assessed
valuation of the taxable property in a redevelopment project exceeds
the total assessed value of the taxable property in that project as
shown by the last equalized assessment roll referred to in
subdivision (a), all of the taxes levied and collected upon the
taxable property in the redevelopment project shall be paid to the
respective taxing agencies. When the loans, advances, and
indebtedness, if any, and interest thereon, have been paid, all
moneys thereafter received from taxes upon the taxable property in
the redevelopment project shall be paid to the respective taxing
agencies as taxes on all other property are paid.
(c) In any redevelopment project in which taxes have been divided
pursuant to this section prior to 1968, located within any county
with total assessed valuation subject to general property taxes for
the 1967-68 fiscal year between two billion dollars ($2,000,000,000)
and two billion one hundred million dollars ($2,100,000,000), if the
total assessed valuation of taxable property within the redevelopment
project for the 1967-68 fiscal year was reduced, the total sum of
the assessed value of taxable property used as the basis for
apportionment of taxes under subdivision (a) shall be reduced by 10
percent for the 1968-69 fiscal year and fiscal years thereafter.
(d) For the purposes of this section, taxes shall not include
taxes from the supplemental assessment roll levied pursuant to
Chapter 3.5 (commencing with Section 75) of Part 0.5 of Division 1 of
the Revenue and Taxation Code for the 1983-84 fiscal year.
(e) That portion of the taxes in excess of the amount identified
in subdivision (a) which are attributable to a tax rate levied by a
taxing agency for the purpose of producing revenues in an amount
sufficient to make annual repayments of the principal of, and the
interest on, any bonded indebtedness for the acquisition or
improvement of real property shall be allocated to, and when
collected shall be paid into, the fund of that taxing agency. This
subdivision shall only apply to taxes levied to repay bonded
indebtedness approved by the voters of the taxing agency on or after
January 1, 1989.
(f) (1) That portion of the taxes in excess of the amount
identified in subdivision (a) which are attributable to revenues
derived from the imposition of a property tax rate, approved by the
voters of a city, county, or city and county to make payments in
support of pension programs and levied in addition to the property
tax rate limited by subdivision (a) of Section 1 of Article XIII A of
the California Constitution, shall not be allocated to the
Redevelopment Property Tax Trust Fund established pursuant to
subdivision (b) of Section 34170.5 but shall be allocated to, and
when collected shall be paid into, the fund of the city, county, or
city and county whose voters approved the tax unless, following a
written request with each Recognized Obligation Payment Schedule
cycle from the successor agency, as defined in subdivision (j) of
Section 34171, to the city, county, or city and county whose voters
approved the tax, the city, county, or city and county authorizes the
use of the revenues from the fund of the city, county, or city and
county by the successor agency to pay any enforceable obligation, as
defined in subdivision (d) of Section 34171, on an approved
Recognized Obligation Payment Schedule pursuant to subdivisions (l)
and (m) of Section 34177 and subdivision (h) of Section 34179.
(2) Subject to the approval of the city, county, or city and
county as provided for in paragraph (1), the amounts necessary to pay
approved enforceable obligations shall be allocated to the successor
agency pursuant to paragraph (2) of subdivision (a) of Section
34183, from revenues derived from the imposition of a property tax
rate, approved by the voters of a city, county, or city and county to
make payments in support of pension programs and levied in addition
to the property tax rate limited by subdivision (a) of Section 1 of
Article XIII A of the California Constitution, but only after all
other moneys deposited in the successor agency's Redevelopment
Property Tax Trust Fund established pursuant to subdivision (b) of
Section 34170.5 have been exhausted.
(3) Any revenues derived from the imposition of a property tax
rate, approved by the voters of a city, county, or city and county to
make payments in support of pension programs, known as a pension tax
rate, and levied in addition to the property tax rate limited by
subdivision (a) of Section 1 of Article XIII A of the California
Constitution, that have been pledged as security for the payment of
any indebtedness obligation, as defined in subdivision (e) of Section
34171, shall be allocated to the successor agency, after all other
moneys deposited in the successor agency's Redevelopment Property Tax
Trust Fund established pursuant to subdivision (b) of Section
34170.5 have been exhausted, in the amount necessary to pay that
indebtedness obligation for an applicable Recognized Obligation
Payment Schedule cycle, until such time as that indebtedness
obligation has been completely paid off. Any and all excess pledged
revenues derived from the pension property tax rate that are not
necessary to pay the debt service on the indebtedness shall be
allocated and paid to the city, county, or city and county whose
voters approved the pension property tax rate.
SEC. 3. Section 34172 of the Health and Safety Code is amended to
read:
34172. (a) (1) All redevelopment agencies and redevelopment
agency components of community development agencies created under
Part 1 (commencing with Section 33000), Part 1.5 (commencing with
Section 34000), Part 1.6 (commencing with Section 34050), and Part
1.7 (commencing with Section 34100) that were in existence on the
effective date of this part are hereby dissolved and shall no longer
exist as a public body, corporate or politic. Nothing in this part
dissolves or otherwise affects the authority of a community
redevelopment commission, other than in its authority to act as a
redevelopment agency, in its capacity as a housing authority or for
any other community development purpose of the jurisdiction in which
it operates. For those other nonredevelopment purposes, the community
development commission derives its authority solely from federal or
local laws, or from state laws other than the Community Redevelopment
Law (Part 1 (commencing with Section 33000)).
(2) A community in which an agency has been dissolved under this
section may not create a new agency pursuant to Part 1 (commencing
with Section 33000), Part 1.5 (commencing with Section 34000), Part
1.6 (commencing with Section 34050), or Part 1.7 (commencing with
Section 34100). However, a community in which the agency has been
dissolved and the successor entity has paid off all of the former
agency's enforceable obligations may create a new agency pursuant to
Part 1 (commencing with Section 33000), Part 1.5 (commencing with
Section 34000), Part 1.6 (commencing with Section 34050), or Part 1.7
(commencing with Section 34100), subject to the tax increment
provisions contained in Chapter 3.5 (commencing with Section 34194.5)
of Part 1.9 (commencing with Section 34192).
(b) All authority to transact business or exercise powers
previously granted under the Community Redevelopment Law (Part 1
(commencing with Section 33000)) is hereby withdrawn from the former
redevelopment agencies.
(c) Solely for purposes of Section 16 of Article XVI of the
California Constitution, the Redevelopment Property Tax Trust Fund
shall be deemed to be a special fund of the dissolved redevelopment
agency to pay the principal of and interest on loans, moneys advanced
to, or indebtedness, whether funded, refunded, assumed, or otherwise
incurred by the redevelopment agency to finance or refinance, in
whole or in part, the redevelopment projects of each redevelopment
agency dissolved pursuant to this part.
(d) Except as provided in subdivision (c) of Section 34183,
revenues equivalent to those that would have been allocated pursuant
to subdivision (b) of Section 16 of Article XVI of the California
Constitution shall be allocated to the Redevelopment Property Tax
Trust Fund of each successor agency for making payments on the
principal of and interest on loans, and moneys advanced to or
indebtedness incurred by the dissolved redevelopment agencies.
Amounts in excess of those necessary to pay obligations of the former
redevelopment agency shall be deemed to be property tax revenues
within the meaning of subdivision (a) of Section 1 of Article XIII A
of the California Constitution.
SEC. 4. Section 34183 of the Health and Safety Code is amended to
read:
34183. (a) Notwithstanding any other law, from February 1, 2012,
to July 1, 2012, and for each fiscal year thereafter, the county
auditor-controller shall, after deducting administrative costs
allowed under Section 34182 and Section 95.3 of the Revenue and
Taxation Code and revenues allocated pursuant to subdivision (c),
allocate moneys in each Redevelopment Property Tax Trust Fund as
follows:
(1) Subject to any prior deductions required by subdivision (b),
first, the county auditor-controller shall remit from the
Redevelopment Property Tax Trust Fund to each local agency and school
entity an amount of property tax revenues in an amount equal to that
which would have been received under Section 33401, 33492.140,
33607, 33607.5, 33607.7, or 33676, as those sections read on January
1, 2011, or pursuant to any passthrough agreement between a
redevelopment agency and a taxing entity that was entered into prior
to January 1, 1994, that would be in force during that fiscal year,
had the redevelopment agency existed at that time. The amount of the
payments made pursuant to this paragraph shall be calculated solely
on the basis of passthrough payment obligations, existing prior to
the effective date of this part and continuing as obligations of
successor entities, shall occur no later than May 16, 2012, and no
later than June 1, 2012, and each January 2 and June 1 thereafter.
Notwithstanding subdivision (e) of Section 33670, that portion of the
taxes in excess of the amount identified in subdivision (a) of
Section 33670, which are attributable to a tax rate levied by a
taxing entity for the purpose of producing revenues in an amount
sufficient to make annual repayments of the principal of, and the
interest on, any bonded indebtedness for the acquisition or
improvement of real property shall be allocated to, and when
collected shall be paid into, the fund of that taxing entity. The
amount of passthrough payments computed pursuant to this section,
including any passthrough agreements, shall be computed as though the
requirement to set aside funds for the Low and Moderate Income
Housing Fund was still in effect.
(2) Second, on June 1, 2012, and each January 2 and June 1
thereafter, to each successor agency for payments listed in its
Recognized Obligation Payment Schedule for the six-month fiscal
period beginning January 1, 2012, and July 1, 2012, and each January
2 and June 1 thereafter, in the following order of priority:
(A) Debt service payments scheduled to be made for tax allocation
bonds.
(B) Payments scheduled to be made on revenue bonds, but only to
the extent the revenues pledged for them are insufficient to make the
payments and only if the agency's tax increment revenues were also
pledged for the repayment of the bonds.
(C) Payments scheduled for other debts and obligations listed in
the Recognized Obligation Payment Schedule that are required to be
paid from former tax increment revenue.
(3) Third, on June 1, 2012, and each January 2 and June 1
thereafter, to each successor agency for the administrative cost
allowance, as defined in Section 34171, for administrative costs set
forth in an approved administrative budget for those payments
required to be paid from former tax increment revenues.
(4) Fourth, on June 1, 2012, and each January 2 and June 1
thereafter, any moneys remaining in the Redevelopment Property Tax
Trust Fund after the payments and transfers authorized by paragraphs
(1) to (3), inclusive, shall be distributed to local agencies and
school entities in accordance with Section 34188.
(b) If the successor agency reports, no later than April 1, 2012,
and May 1, 2012, and each December 1 and May 1 thereafter, to the
county auditor-controller that the total amount available to the
successor agency from the Redevelopment Property Tax Trust Fund
allocation to that successor agency's Redevelopment Obligation
Retirement Fund, from other funds transferred from each redevelopment
agency, and from funds that have or will become available through
asset sales and all redevelopment operations, are insufficient to
fund the payments required by paragraphs (1) to (3), inclusive, of
subdivision (a) in the next six-month fiscal period, the county
auditor-controller shall notify the Controller and the Department of
Finance no later than 10 days from the date of that notification. The
county auditor-controller shall verify whether the successor agency
will have sufficient funds from which to service debts according to
the Recognized Obligation Payment Schedule and shall report the
findings to the Controller. If the Controller concurs that there are
insufficient funds to pay required debt service, the amount of the
deficiency shall be deducted first from the amount remaining to be
distributed to taxing entities pursuant to paragraph (4) of
subdivision (a), and if that amount is exhausted, from amounts
available for distribution for administrative costs in paragraph (3)
of subdivision (a). If an agency, pursuant to the provisions of
Section 33492.15, 33492.72, 33607.5, 33671.5, 33681.15, or 33688 or
as expressly provided in a passthrough agreement entered into
pursuant to Section 33401, made passthrough payment obligations
subordinate to debt service payments required for enforceable
obligations, funds for servicing bond debt may be deducted from the
amounts for passthrough payments under paragraph (1) of subdivision
(a), as provided in those sections, but only to the extent that the
amounts remaining to be distributed to taxing entities pursuant to
paragraph (4) of subdivision (a) and the amounts available for
distribution for administrative costs in paragraph (3) of subdivision
(a) have all been exhausted.
(c) (1) (A) Notwithstanding any other law, for the 2014-15 fiscal
year and each fiscal year thereafter, any revenues derived from the
imposition of a property tax rate, approved by the voters of a city,
county, or city and county to make payments in support of pension
programs and levied in addition to the property tax rate limited by
subdivision (a) of Section 1 of Article XIII A of the California
Constitution, shall not be allocated to each Redevelopment Property
Tax Trust Fund and shall instead be allocated to, and when collected
shall be paid into, the fund of the city, county, or city and county
whose voters approved the tax unless, following a written request
with each Recognized Obligation Payment Schedule cycle from the
successor agency to the city, county, or city and county whose voters
approved the tax, the city, county, or city and county authorizes
the use of the revenues from the fund of the city, county, or city
and county by the successor agency to pay any enforceable obligation,
as defined in subdivision (d) of Section 34171, on an approved
Recognized Obligation Payment Schedule pursuant to subdivisions (l)
and (m) of Section 34177 and subdivision (h) of Section 34179.
(B) Subject to the approval of the city, county, or city and
county as provided for in paragraph (1), the amounts necessary to pay
approved enforceable obligations shall be allocated to the successor
agency pursuant to paragraph (2) of subdivision (a), from revenues
derived from the imposition of a property tax rate, approved by the
voters of the city, county, or city and county to make payments in
support of pension programs and levied in addition to the property
tax rate limited by subdivision (a) of Section 1 of Article XIII A of
the California Constitution, but only after all other moneys
deposited in the successor agency's Redevelopment Property Tax Trust
Fund have been exhausted.
(C) Any revenues derived from the imposition of a property tax
rate, approved by the voters of a city, county, or city and county to
make payments in support of pension programs and levied in addition
to the property tax rate limited by subdivision (a) of Section 1 of
Article XIII A of the California Constitution, that have been pledged
as security for the payment of any indebtedness obligation shall be
allocated to the successor agency, after all other moneys deposited
in the successor agency's Redevelopment Property Tax Trust Fund have
been exhausted, in the amount necessary to pay that indebtedness
obligation for an applicable Recognized Obligation Payment Schedule
cycle, until such time as that indebtedness obligation has been
completely paid off. Any and all excess pledged revenues derived from
the pension property tax rate that are not necessary to pay the debt
service on the indebtedness shall be allocated and paid to the city,
county, or city and county whose voters approved the pension
property tax rate.
(2) Notwithstanding any other law, all allocations of revenues
derived from the imposition of a property tax rate, approved by the
voters of a city, county, or city and county to make payments in
support of pension programs and levied in addition to the property
tax rate limited by subdivision (a) of Section 1 of Article XIII A of
the California Constitution, made by any county auditor-controller
prior to July 1, 2014, shall be deemed correct and shall not be
affected by this act. A city, county, city and county, county
auditor-controller, successor agency, or affected taxing entity shall
not be subject to any claim for money, damages, or reallocated
revenues based on any allocation of such revenues prior to July 1,
2014.
(d) The county treasurer may loan any funds from the county
treasury to the Redevelopment Property Tax Trust Fund of the
successor agency for the purpose of paying an item approved on the
Recognized Obligation Payment Schedule at the request of the
Department of Finance that are necessary to ensure prompt payments of
redevelopment agency debts. An enforceable obligation is created for
repayment of those loans.
(e) The Controller may recover the costs of audit and oversight
required under this part from the Redevelopment Property Tax Trust
Fund by presenting an invoice therefor to the county
auditor-controller who shall set aside sufficient funds for and
disburse the claimed amounts prior to making the next distributions
to the taxing entities pursuant to Section 34188. Subject to the
approval of the Director of Finance, the budget of the Controller may
be augmented to reflect the reimbursement, pursuant to Section 28.00
of the Budget Act.
(f) Within 10 days of each distribution of property tax, the
county auditor-controller shall provide a report to the department
regarding the distribution for each successor agency that includes
information on the total available for allocation, the passthrough
amounts and how they were calculated, the amounts distributed to
successor agencies, and the amounts distributed to taxing entities in
a manner and form specified by the department. This reporting
requirement shall also apply to distributions required under
subdivision (b) of Section 34183.5.
SEC. 5. Section 95.5 95.6 is added
to the Revenue and Taxation Code, to read:
95.5. 95.6. Notwithstanding any
other law, allocations of revenues derived from the imposition of a
property tax rate, approved by the voters of a city, county, or city
and county to make payments in support of pension programs and levied
in addition to the property tax rate limited by subdivision (a) of
Section 1 of Article XIII A of the California Constitution, shall be
made pursuant to subdivision (c) of Section 34183 of the Health and
Safety Code.
SEC. 6. No inference shall be drawn from the enactment of this act
with respect to the use, distribution, or allocation of revenues
derived from the imposition of a property tax rate, approved by the
voters of a city, county, or city and county to make payments in
support of pension programs and levied in addition to the property
tax rate limited by subdivision (a) of Section 1 of Article XIII A of
the California Constitution, made by any county auditor-controller
prior to July 1, 2014.
SEC. 7. If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.
SEC. 8. This act is an urgency statute necessary
for the immediate preservation of the public peace, health, or safety
within the meaning of Article IV of the Constitution and shall go
into immediate effect. The facts constituting the necessity are:
In order to avoid underfunded pension programs as a result of
revenues derived from the imposition of a property tax rate, approved
by the voters of a city, county, or city and county to make payments
in support of pension programs and levied in addition to the
property tax rate limited by subdivision (a) of Section 1 of Article
XIII A of the California Constitution, being allocated first to
successor agencies to make payments on the indebtedness incurred by
the dissolved redevelopment agencies, with remaining balances being
allocated in accordance with applicable constitutional and statutory
provisions, instead of being paid entirely into the fund of the city,
county, or city and county whose voters approved the tax, it is
necessary that this act take effect immediately.
