Government Code — Part 77 | GOV — United States — California law | Esheria

Government Code

Part 77 of 107 · provisions 15,201–15,400

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This section defines key terms used in the CalSavers retirement savings title. This section creates the CalSavers Retirement Savings Board and sets rules for how the board, program administrator, and staff must operate. This section creates the CalSavers Retirement Savings Trust, assigns the board to administer it, requires the board to split trust money into a program fund and an administrative fund, and gives the Treasurer and the board investment-related powers. It also caps administrative fund spending at 1% of the total program fund after six years from implementation and exempts certain securities from specified Corporations Code sections. The CalSavers Retirement Savings Program must include one or more payroll deduction IRA arrangements, as determined by the board. The board has broad authority over the trust, including contracts, investments, staff, insurance, cooperation, and rulemaking.

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Provisions of Government Code

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  1. 63050.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. )

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    This section creates the California Infrastructure and Economic Development Bank Fund and lets the bank and executive director manage related accounts and fund transfers, while limiting when certain fund money may be spent.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. ) ## 63050. (a) There is hereby created in the State Treasury the California Infrastructure and Economic Development Bank Fund for the purpose of implementing the objectives and provisions of this division. Within the fund there shall also be established a Sponsor Revenue Bond Account, a Participating Party Revenue Bond Account, a State Infrastructure Revolving Account, and additional accounts and subaccounts that the bank may establish from time to time. (b) Notwithstanding Section 13340 and except as provided in subdivisions (c) and (d), all moneys in the infrastructure bank fund are continuously appropriated without regard to fiscal years for the support of the bank and shall be available for expenditure for the purposes stated in this division. (c) Moneys in the infrastructure bank fund shall be available for expenditure for general administration only upon appropriation by the Legislature. This subdivision shall not limit the authority of the bank to expend funds directly related to the servicing of approved debt. Moneys in the fund shall be available for the purpose of general administration of the authority only upon appropriation by the Legislature, but not more than 5 percent of any bond proceeds administered by the authority may be expended to cover the costs of issuance, as that terminology is defined under Section 147 (G) of the Internal Revenue Code. (d) Moneys in the infrastructure bank fund shall be available for expenditure for California Transmission Accelerator financing under Article 10.5 (commencing with Section 63049.71) of Chapter 2 only upon appropriation by the Legislature. (e) Notwithstanding any other provision of this division, not more than 15 percent of the financing annually approved by the executive director that utilizes state funds from the infrastructure bank fund may be expended upon educational facilities, environmental mitigation measures, and parks and recreational facilities. (f) The executive director may transfer funds between the infrastructure bank fund and the guarantee trust fund when appropriate to accomplish the financing objectives of this division. (Amended by Stats. 2025, Ch. 119, Sec. 16. (SB 254) Effective September 19, 2025.)
  2. 63052.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. )

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    The bank may use and invest money in the infrastructure bank fund, but must keep certain money in trust for bond security and must not use it for other purposes while revenue bonds are unpaid.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. ) ## 63052. (a) The bank may pledge any or all of the moneys in the fund as security for payment of the principal of, and interest on, any particular issuance of bonds issued pursuant to this chapter. The bank may use any or all of the moneys in the fund, including the grant account, to retain or purchase for retention or sale, subordinated bonds issued by the bank, by a special purpose trust, or by a sponsor pursuant to this chapter. For these purposes, or as necessary or convenient to the accomplishment of any other purpose of the bank, the bank may divide the fund into separate accounts or subaccounts. All moneys accruing to the bank pursuant to this division from any sources shall be deposited in the fund. (b) Subject to priorities that may be created by the pledge of particular moneys in the infrastructure bank fund to secure any issuance of revenue bonds of the bank, a special purpose trust, or a sponsor, and subject further to reasonable costs that may be incurred by the bank in administering the program authorized by this division, all moneys in the infrastructure bank fund derived from any source, shall be held in trust for the security and payment of revenue bonds of the bank, a special purpose trust, or a sponsor and shall not be used or pledged for any other purpose so long as the revenue bonds are outstanding and unpaid. (c) Pursuant to any agreements with the holders of revenue bonds pledging any particular assets, revenues, or moneys, the bank may create separate accounts or subaccounts in the infrastructure bank fund to manage these assets, revenues, or moneys in the manner set forth in the agreements. (d) The bank may, from time to time, direct the Treasurer to invest moneys in the infrastructure bank fund that are not required for its current needs, including proceeds from the sale of any bonds, in any eligible securities specified in Section 16430 as the bank shall designate. The bank may direct the Treasurer to deposit moneys in interest-bearing accounts in any bank in this state or in any savings and loan association in this state. The bank may alternatively require the transfer of moneys in the infrastructure bank fund to the Surplus Money Investment Fund for investment pursuant to Article 4 (commencing with Section 16470) of Chapter 3 of Part 2 of Division 4 of Title 2. Notwithstanding Section 16305.7, all interest or other increment resulting from the investment or deposit of moneys from the infrastructure bank fund shall be deposited in the infrastructure bank fund. Moneys in the infrastructure bank fund shall not be subject to transfer to any other funds pursuant to any provision of Part 2 (commencing with Section 16300) of Division 4 of Title 2, except to the Surplus Money Investment Fund. (e) Subject to any agreement with holders of particular bonds, in furtherance of Section 51373 of the Health and Safety Code, and to the extent permitted by law, the bank may also invest moneys of the infrastructure bank fund, including, but not limited to, proceeds of any of its bonds or refunding bonds, in obligations of financial institutions as are permitted by board resolution. The bank may alternatively require the transfer of moneys in the infrastructure bank fund to the Surplus Money Investment Fund for investment pursuant to Article 4 (commencing with Section 16470) of Chapter 3 of Part 2 of Division 4 of Title 2. (f) Subject to any agreement with the holders of particular bonds, all interest or other increment resulting from the investment or deposit shall be deposited in the infrastructure bank fund, notwithstanding Section 16305.7. Moneys in the infrastructure bank fund shall not be subject to transfer to any other fund pursuant to Part 2 (commencing with Section 16300) of Division 4 of Title 2, excepting the Surplus Money Investment Fund. (g) The infrastructure bank fund shall be organized as a public enterprise fund. (h) The bank shall cause all moneys in the infrastructure bank fund that are in excess of current requirements to be invested and reinvested, from time to time. (Amended by Stats. 1995, Ch. 863, Sec. 19. Effective January 1, 1996.)
  3. 63053.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. )

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    The bank may, at its discretion, administer and distribute general obligation bond proceeds among its accounts and subaccounts.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. ) ## 63053. (a) The bank may administer and distribute among its accounts and subaccounts, at its discretion, the proceeds from any general obligation bonds issued in accordance with the State General Obligation Bond Law (Chapter 4 (commencing with Section 16720) of Part 3 of Division 4 of Title 2). (b) The assets of the infrastructure bank fund shall be available for the payment of the salaries and other expenses charged against it in accordance with this division. (Amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 20.5. Effective January 1, 1995.)
  4. 63054.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. )

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    Expenses for this division must be paid only from funds provided under the division, and the state and agency are not to take on liability or obligations beyond those funds.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. ) ## 63054. All expenses incurred in carrying out the purposes of this division shall be payable solely from funds provided pursuant to this division, and no liability or obligation shall be imposed upon the state and none shall be incurred by the agency beyond the extent to which money shall have been provided pursuant to this division. (Added by Stats. 1994, Ch. 94, Sec. 1. Effective January 1, 1995. Conditionally operative as prescribed by Sec. 17 of Ch. 94.)
  5. 63055.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. )

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    Money from certain bond proceeds in the infrastructure bank fund cannot be moved to other funds except for operating expenses, and the bank cannot use specified Housing Finance Agency-controlled money to pay certain project liabilities. The fund may borrow or receive money to create reserves, if allowed by the division and authorized by the board.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. ) ## 63055. (a) Moneys in the infrastructure bank fund received from the proceeds of bonds issued pursuant to this division may not be transferred to any other fund except as necessary to pay the expenses of operating the program authorized by this division, nor shall the bank utilize any moneys under the direction and control of the California Housing Finance Agency, including, but not limited to, moneys in the California Housing Loan Insurance Fund and the Housing Finance Fund, other than moneys in the infrastructure bank fund to satisfy liabilities arising from projects authorized by this division. (b) The infrastructure bank fund, on behalf of the bank, may borrow or receive moneys from the bank or from any federal, state, or local agency or private entity, in order to create reserves in the infrastructure bank fund as provided in this division and as authorized by resolution of the board. (Amended by Stats. 1998, Ch. 4, Sec. 19. Effective January 1, 1999.)
  6. 63056.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. )

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    The bank must prepare and review its budget by November 1 each year, submit an activities report to the Legislature for the prior fiscal year, and include fund credit and liabilities in the budget based on an audit.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 3. California Infrastructure and Economic Development Bank Fund [63050 - 63056] ( Heading of Chapter 3 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 17. ) ## 63056. (a) Notwithstanding Chapter 2 (commencing with Section 12850) of Part 2.5 of Division 3 of Title 2 and Article 2 (commencing with Section 13320) of Chapter 3 of Part 3 of Division 3 of Title 2, expenditures of the infrastructure bank fund shall not be subject to the supervision or approval of any other officer or division of state government, with the exception of the Legislature. However, the bank’s budget shall be prepared and reviewed not later than November 1 of each year and the bank shall submit to the Legislature a report of its activities for the prior fiscal year, as specified in Section 63035. (b) The bank’s budget regarding the infrastructure bank fund shall include the amount of credit and liabilities of the fund, based on an audit of the fund at the close of the prior fiscal year. The bank’s operating budget shall be subject to review and appropriation in the annual Budget Act. (Amended by Stats. 2014, Ch. 132, Sec. 7. (AB 2749) Effective January 1, 2015.)
  7. 63060.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

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    This section creates the California Infrastructure Guarantee Trust Fund and directs how money in it may be used.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63060. (a) There is hereby created in the State Treasury the California Infrastructure Guarantee Trust Fund. Notwithstanding Section 13340 and except as provided in subdivision (b), all money in the guarantee trust fund is hereby continuously appropriated to the bank without regard to fiscal years for the purpose of insuring all or a portion of the accounts and subaccounts within the infrastructure bank fund, any contracts or obligations of the bank or a sponsor, and all or a part of any series of bonds issued by the bank, by a special purpose trust, or by a sponsor pursuant to this division, and for the purpose of defraying administrative expenses incurred by the bank in operating the programs of loan and bond guarantee. All insurance premiums received by the bank for insurance, guarantees, or enhancements provided pursuant to this division shall be deposited in the guarantee trust fund. The guarantee trust fund is authorized to guarantee all or a part of any of the accounts and subaccounts within the infrastructure bank fund, any contracts or obligations of the bank, a special purpose trust, or a sponsor, and all or part of any series of bonds issued by the bank, by a special purpose trust, or by a sponsor and to authorize payment on any guarantee or enhancement of the guarantee trust fund. (b) Moneys in the infrastructure bank fund shall be available for expenditure for general administration only upon appropriation by the Legislature. This subdivision shall not limit the authority of the bank to expend funds directly related to the servicing of approved debt. (Amended by Stats. 1995, Ch. 863, Sec. 20. Effective January 1, 1996.)
  8. 63061.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

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    The guarantee trust fund cannot be supervised or approved by other state officers or divisions, except the Legislature, and the bank must prepare budgets and submit annual activity reports by November 1.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63061. Notwithstanding Chapter 2 (commencing with Section 12850) of Part 2.5 of Division 3 of Title 2 and Article 2 (commencing with Section 13320) of Chapter 3 of Part 3 of Division 3 of Title 2, expenditure of the guarantee trust fund shall not be subject to the supervision or approval of any other officer or division of state government, with the exception of the Legislature. However, the bank’s budget respecting the guarantee trust fund shall be prepared and reviewed not later than November 1 of each year and the bank shall submit to the Legislature a report of its activities for the prior fiscal year. However, the bank’s budget regarding the infrastructure bank fund shall be prepared and reviewed in accordance with Section 50913, and, not later than November 1 of each year, the agency shall submit to the Legislature a report of its activities for the prior fiscal year. The bank’s operating budget shall be subject to review and appropriation in the annual Budget Act. (Amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 23. Effective January 1, 1995.)
  9. 63062.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

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    The bank may direct how money in the guarantee trust fund is invested or moved, and must deposit all resulting interest or other increments back into the fund.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63062. (a) The bank may, from time to time, direct the Treasurer to invest moneys in the guarantee trust fund that are not required for its current needs in any eligible securities specified in Section 16430 that the bank shall designate. The bank may direct the Treasurer to invest the moneys by entering into repurchase agreements or reverse repurchase agreements, which, for purposes of this section, shall mean agreements for the purchase or sale of eligible securities pursuant to which the seller or buyer agrees to repurchase or sell back the securities on or before a specified date and for a specified amount. The bank may direct the Treasurer to invest the moneys in the subordinated securities of the bank, a special purpose trust, or a sponsor. The bank may direct the Treasurer to invest the moneys in investment agreements with corporations, financial institutions, or national associations within the United States that are rated by a nationally recognized rating service within the top three rating categories of the service. For purposes of this section, investment agreements shall mean any agreement for the investment of moneys in the guarantee trust fund whether at fixed or variable interest rates, and may include, but not be limited to, repurchase agreements, notes, uncollateralized time deposits, certificates of deposit, and the subordinated securities of the bank, a special purpose trust, or a sponsor. The bank may direct the Treasurer to deposit moneys in interest-bearing accounts in state or national banks or other financial institutions having principal offices in this state. (b) In furtherance of Section 51373 of the Health and Safety Code, and to the extent permitted by law, the bank may also invest moneys of the guarantee trust fund in obligations of financial institutions that are permitted by board resolution. The bank may alternatively require the transfer of moneys in the guarantee trust fund to the Surplus Money Investment Fund for investment pursuant to Article 4 (commencing with Section 16470) of Chapter 3 of Part 2 of Division 4 of Title 2. (c) All interest or other increment resulting from the investment or deposit shall be deposited in the guarantee trust fund, notwithstanding Section 16305.7. (d) The bank may create other accounts within the guarantee trust fund as are necessary or convenient to carry out the purposes of this article. (Amended by Stats. 1995, Ch. 863, Sec. 21. Effective January 1, 1996.)
  10. 63063.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

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    The bank must keep the guarantee reserve account at or above the required level, pay specified funds into it, and not withdraw funds below that level except to satisfy guarantee liabilities.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63063. (a) There is a guarantee reserve account in the guarantee trust fund to secure commitments under contracts to guarantee all or part of the bonds of the bank, a special purpose trust, or of a sponsor, any contracts or obligations of the bank, a special purpose trust, or of a sponsor, and all or part of the accounts or subaccounts within the infrastructure bank fund. The bank shall take all reasonable steps to ensure that the guarantee reserve account is continuously maintained at not less than the reserve account requirement established pursuant to subdivision (a) of Section 63064. The bank shall pay all of the following into the guarantee reserve account: (1) Moneys appropriated and made available by the Legislature for deposit in the account. (2) Any proceeds of bonds, including general obligation bonds, to the extent provided in the resolution, trust agreement, resolutions or trust agreements authorizing the issue thereof. (3) Any other moneys that the bank may make available for the purpose of deposit to the guarantee reserve account. (b) The bank shall not cause sums to be withdrawn from the guarantee reserve account in amounts that would reduce the moneys therein to less than the reserve account requirement, except as necessary to satisfy liabilities arising under contracts of guarantee. In the event that the loan guarantee reserve account is reduced to less than the reserve account requirement, the bank shall cease making commitments for, and contracts of, guarantees and enhancements until the guarantee reserve account has been restored to that requirement. (Amended by Stats. 1995, Ch. 863, Sec. 22. Effective January 1, 1996.)
  11. 63064.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

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    The Legislature may move money into the guarantee reserve account, set a reserve account requirement, and the bank may use appropriated funds for its purposes. If the account falls below the requirement, the executive director must immediately certify the shortfall and the chief executive officer must ask the Governor to request an appropriation.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63064. (a) The Legislature may from time to time appropriate or transfer to the guarantee reserve account from funds or accounts that are legally available, an amount or amounts as the Legislature may determine. The Legislature may establish, and from time to time increase, for the guarantee reserve account a requirement that shall be known as the “reserve account requirement.” (b) If the bank determines that the amount in the reserve account is below the reserve account requirement, the executive director shall immediately certify in writing to the Joint Legislative Budget Committee, the Speaker of the Assembly, the Senate Committee on Rules, and the Governor, the sum required to restore the reserve fund to the reserve account requirement. (c) Upon making the certification, the chief executive officer shall ask the Governor to request an appropriation, and shall use his or her best efforts to have a sum requested and appropriated. (d) Upon receiving notice that the amount in the reserve account is below the reserve account requirement, the Legislature may, at its discretion, choose to appropriate and pay to the bank for deposit into the guarantee reserve account that sum that would restore the reserve account to an amount equal to the reserve account requirement. (e) The bank may utilize any moneys that may be appropriated to the guarantee trust fund from time to time by the Legislature for effectuating its purposes, including, but not limited to, the payment of the initial expenses of administration and operation and the restoration of the reserve account to the reserve account requirement. (Added by Stats. 1994, Ch. 94, Sec. 1. Effective January 1, 1995. Conditionally operative as prescribed by Sec. 17 of Ch. 94.)
  12. 63065.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

    Verify source ↗

    The bank’s guarantee obligations are limited to money in the guarantee trust fund, and the state’s faith, credit, taxing power, and appropriations are not pledged.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63065. (a) The obligation of the bank and of the state to pay any guarantee benefit pursuant to contracts of guarantee or any other contracts or obligations of the bank, a special purpose trust, or sponsor shall be a limited obligation of the bank payable solely from amounts deposited in the guarantee trust fund that are made available therefor under the respective contracts of guarantee. The guarantee of loans or bonds under this division shall not directly or indirectly or contingently obligate the state or any political subdivision thereof to levy or to pledge any form of taxation whatever therefor, or to make any appropriation for their payment. (b) All contracts of guarantee or any other contracts or obligations of the bank, special purpose trust, or a sponsor pursuant to this division shall contain on the face thereof a statement to the following effect: “Neither the faith and credit nor the taxing power of the State of California is pledged to the payment of the principal of or interest on this contract of guarantee.” (c) Moneys in the guarantee trust fund may not be transferred to any other fund except for payment on any guarantee or enhancements or except as necessary to pay the expenses of operating the program of bond guarantee and enhancement authorized by this division, nor shall the bank utilize any moneys under the direction and control of the agency, including, but not limited to, moneys in the California Housing Loan Insurance Fund and the California Housing Finance Fund, other than moneys in the guarantee trust fund, to satisfy liabilities arising from contracts of guarantee authorized by this division. (Amended by Stats. 1995, Ch. 863, Sec. 23. Effective January 1, 1996.)
  13. 63066.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

    Verify source ↗

    The bank may charge and collect premiums, fees, and other reasonable charges for the insurance guarantees or enhancement services described here.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63066. The bank may charge and collect insurance guarantee or enhancement premiums or other fees for the insurance guarantees or enhancements described in this chapter and impose other reasonable charges and fees for services performed in connection with approval and processing of the guarantees or enhancements, or for pool assembly, loan servicing, or other services the bank may provide to a special service trust. (Amended by Stats. 1995, Ch. 863, Sec. 24. Effective January 1, 1996.)
  14. 63067.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. )

    Verify source ↗

    Some infrastructure bank fund money cannot be moved to other funds, and the bank cannot use certain agency-controlled money to pay project liabilities. The fund may borrow or receive money to create reserves if the board authorizes it.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 4. California Infrastructure Guarantee Trust Fund [63060 - 63067] ( Chapter 4 added by Stats. 1994, Ch. 94, Sec. 1. ) ## 63067. (a) Moneys in the infrastructure bank fund received from the proceeds of bonds issued pursuant to this division may not be transferred to any other fund except as necessary to pay the expenses of operating the program authorized by this division, nor shall the bank utilize any moneys under the direction and control of the agency, including, but not limited to, moneys in the California Housing Loan Insurance Fund and the Housing Finance Fund, other than moneys in the infrastructure bank fund to satisfy liabilities arising from projects authorized by this division. (b) The infrastructure bank fund, on behalf of the bank or a special purpose trust, may borrow or receive moneys from any federal, state, or local agency or private entity, in order to create reserves in the infrastructure bank fund as provided in this division and as authorized by resolution of the board. (Amended by Stats. 1995, Ch. 863, Sec. 25. Effective January 1, 1996.)
  15. 63070.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The bank may issue revenue bonds, buy certain bonds by private sale, and issue or authorize bonds for loans to sponsors for project costs.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63070. (a) The bank may, from time to time, issue its revenue bonds in a principal amount that the bank shall determine to be necessary to provide sufficient funds for its purposes, which may include, but shall not be limited to, providing funds for the payment of costs of a project, for the purchase of bonds of a special purpose trust or a sponsor, payment of interest on bonds of the bank or of a special purpose trust, establishment of reserves to secure bonds, refunding previously issued bonds or refunding bonds of the bank, special purpose trust, or a sponsor, and payment of other expenditures of the bank or special purpose trust incident to issuance of bonds or refunding bonds of the bank. (b) The bank, by private sale pursuant to a bond purchase agreement, may purchase the bonds of any local sponsor or of any special purpose trust that are issued pursuant to any other provision of applicable law, and may be secured with any funds, moneys, or revenues that are legally available. (c) The bank may also issue bonds or authorize a special purpose trust to issue bonds for the purpose of making loans to a sponsor to be used by a sponsor to pay for the cost of a project, and that loan may be secured with any funds, moneys, or revenues that are legally available, including, but not limited to, any legally available funds or moneys that are due or payable to the sponsor by reason of any grant, allocation, or appropriation of the state or agencies thereof, to the extent that the Controller shall be the custodian at any time of these funds or moneys, and any legally available funds or moneys that are or will be due or payable to any sponsor, the bank, or the state or the agencies thereof by reason of any grant, allocation, apportionment, or appropriation of the federal government or agencies thereof. (Amended by Stats. 1995, Ch. 863, Sec. 26. Effective January 1, 1996.)
  16. 63071.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    This section lets a sponsor, the bank, or a special purpose trust issue and sell certain bonds, subject to stated conditions, and caps the total outstanding amount at $15 billion.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63071. (a) Notwithstanding any other provision of law, but consistent with Sections 1 and 18 of Article XVI of the California Constitution, a sponsor may issue bonds for purchase by the bank pursuant to a bond purchase agreement. The bank may issue bonds or authorize a special purpose trust to issue bonds. These bonds may be issued pursuant to the charter of any city or any city and county that authorized the issuance of these bonds as a sponsor and may also be issued by any sponsor pursuant to the Revenue Bond Law of 1941 (Chapter 6 (commencing with Section 54300) of Division 2 of Title 5) to pay the costs and expenses pursuant to this title, subject to the following conditions: (1) With the prior approval of the bank, the sponsor may sell these bonds in any manner as it may determine, either by private sale or by means of competitive bid. (2) Notwithstanding Section 54418, the bonds may be sold at a discount at any rate as the bank and sponsor shall determine. (3) Notwithstanding Section 54402, the bonds shall bear interest at any rate and be payable at any time as the sponsor shall determine with the consent of the bank. (b) The total amount of rate reduction bonds and bonds issued to finance public development facilities that may be outstanding at any one time under this chapter shall not exceed fifteen billion dollars ($15,000,000,000). (c) Bonds for which moneys or securities have been deposited in trust, in amounts necessary to pay or redeem the principal, interest, and any redemption premium thereon, shall be deemed not to be outstanding for purposes of this section. (Amended by Stats. 2020, Ch. 10, Sec. 3. (AB 78) Effective June 29, 2020.)
  17. 63072.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

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    The bank may approve bond issuance or a special purpose trust, and the executive director may set the terms and conditions and take other necessary or desirable action.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63072. (a) The bank may give final approval for the issuance of the bonds or of the authorization of a special purpose trust upon terms it deems necessary or desirable. (b) The executive director may establish the terms and conditions for the issuance of the bonds or of the authorization of a special purpose trust and take any other action necessary or desirable for the issuance of the bonds or of a special purpose trust authorized by the bank. (c) Any action under this section shall be at the discretion of the bank. (Amended by Stats. 1995, Ch. 863, Sec. 28. Effective January 1, 1996.)
  18. 63073.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The Treasurer, Governor, or Lieutenant Governor may fulfill the public approval requirement for certain tax-exempt bond issuances.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63073. The Treasurer, the Governor, or the Lieutenant Governor is an elected representative of the state authorized to fulfill the public approval requirement of Section 147(f) of Title 26 of the Internal Revenue Code (26 U.S.C.A. Sec. 147(f)), including subsequent amendments thereto, or its successor provision, for the issuance of tax-exempt bonds issued by the bank, a special purpose trust, or a sponsor pursuant to this chapter. (Amended by Stats. 2001, Ch. 508, Sec. 3. Effective January 1, 2002.)
  19. 63074.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    This section lets the bank authorize and issue bonds for specified project combinations, and requires bond sales to be handled by the Treasurer within a set timeline.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63074. (a) Bonds may be authorized to finance a single project for a single sponsor or a participating party, a series of projects for a single sponsor or a participating party, a single project for several sponsors or participating parties, or several projects for several sponsors or participating parties. (b) Except as otherwise expressly provided by the bank, every issue of its bonds shall be payable from any revenues or other moneys of the bank available therefor and not otherwise pledged. These revenues or moneys may include the proceeds of additional bonds, subject only to any agreements with the holders of particular bonds pledging any particular revenues or moneys. Notwithstanding that the bonds may be payable from a special fund, these bonds shall be deemed to be negotiable instruments for all purposes. (c) Subject to the limitations in Section 63071, bonds may be issued in one or more series, may be issued as serial bonds or as term bonds or as a combination thereof. The bonds shall be authorized by resolution of the bank and shall, as provided by the resolution, bear the date of issuance, the time of maturity, which shall not exceed 50 years from the date of issuance, bear the rate or rates of interest, be payable at the time or times provided, be in the denominations provided, be in the form or forms provided, carry the registration privileges provided, be executed in the manner provided, be payable in lawful money of the United States, or other designated currency, at the place or places provided, and be subject to any terms of redemption provided therein. (d) Sale of the bonds of the bank or of a special purpose trust shall be coordinated by the Treasurer in accordance with Section 5702. The Treasurer shall sell the bonds within 90 days of receiving a certified copy of the resolution authorizing the sale of bonds, unless the board adopts a resolution extending the 90-day period. (e) The sale may be a public or private sale, and for any price or prices, and on any terms and conditions, as the bank determines proper, after giving due consideration to the recommendations of any special purpose trust and any sponsor to be assisted from the proceeds of the bonds. Pending preparation of definitive bonds, the Treasurer may issue interim receipts, certificates, or temporary bonds that shall be exchanged for definitive bonds. (Amended by Stats. 1995, Ch. 863, Sec. 30. Effective January 1, 1996.)
  20. 63075.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    A bond resolution or special purpose trust authorization may include specified contract provisions for securing and managing the bonds.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63075. Any resolution authorizing any bonds or the authorization of a special purpose trust or any issue of bonds of the bank or a special purpose trust may contain the following provisions, which shall be a part of the contract with the holders of the bonds to be authorized: (a) Provisions pledging the full faith and credit of the bank, or pledging all or any part of the revenues of any project, or any revenue-producing contract or contracts made by the bank with any sponsor, or any other moneys of the bank, to secure the payment of the bonds or of any particular issue of bonds, subject to those agreements with bondholders as may then exist and consistent with Sections 1 and 18 of Article XVI of the California Constitution. (b) Provisions setting out the rentals, fees, purchase payments, loan repayments, and other charges, and the amounts to be raised in each year thereby, and the use and disposition of the revenues. (c) Provisions setting aside reserves or sinking funds, or providing for the use of subordinated classes of bonds by the bank or a special purpose trust, and the regulation and disposition thereof. (d) Limitations on the issuance of additional bonds, the terms upon which additional bonds may be issued and secured, and the refunding of outstanding bonds. (e) The procedure, if any, by which the terms of any contract with bondholders may be amended or abrogated, the amount of bonds and the holders thereof that are required to give consent thereto, and the manner in which the consent may be given. (f) Limitations on the bank’s expenditures for operation and administration, or other expenses. (g) Definitions of acts or omissions to act that constitute a default in the duties of the bank to holders of its obligations, and providing the rights and remedies of the holders in the event of a default. (h) The mortgaging of any project and the site thereof for the purpose of securing the interests of the bondholders. (i) The mortgaging of land, improvements, or other assets owned by a sponsor or participating party for the purpose of securing the interests of the bondholders. (Amended by Stats. 1995, Ch. 863, Sec. 31. Effective January 1, 1996.)
  21. 63076.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    Bank officers and persons executing certain bonds are not personally liable for those bonds or the issuance of them.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63076. Neither the officers of the bank nor any person executing the bonds of the bank or a special purpose trust shall be personally liable for the bonds or be subject to any personal liability or accountability by reason of the issuance thereof. (Amended by Stats. 1995, Ch. 863, Sec. 32. Effective January 1, 1996.)
  22. 63077.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The bank, a special purpose trust, and certain sponsors or participating parties may buy their own bonds with available funds; the bank and a special purpose trust may also hold, pledge, cancel, or resell their bonds under bondholder agreements.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63077. The bank, a special purpose trust, or any sponsor or participating party may, out of any funds available therefor, purchase their respective bonds. The bank and a special purpose trust may hold, pledge, cancel, or resell their bonds, subject to and in accordance with agreements with bondholders. (Amended by Stats. 1995, Ch. 863, Sec. 33. Effective January 1, 1996.)
  23. 63078.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    This section lets bonds be secured by trust agreements and lets those agreements include pledges, assignments, mortgage provisions, and bondholder protection terms.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63078. In the discretion of the bank, a special purpose trust, or the sponsor, as the case may be, any bonds issued under this chapter may be secured by a trust agreement between the bank, a special purpose trust, or the sponsor and a corporate trustee or trustees, that may include the Treasurer or any trust company or bank having the powers of a trust company within or without the state. (a) The trust agreement or the resolution providing for the issuance of the bonds may pledge or assign any funds or assets of the bank or special purpose trust legally available for pledge or assignment, all or a portion of the revenues to be received by the bank, directly or indirectly, with respect to the project, or the proceeds of any contract or contracts, loan or loan agreements, bond or bond purchase agreements, and may convey or mortgage the project or projects, or any portion thereof, to be financed out of the proceeds of the bonds. The trust agreement or resolution providing for the issuance of the bonds may contain provisions for protecting and enforcing the rights and remedies of bondholders as may be reasonable and proper and not in violation of law, including provisions specifically authorized to be included in any resolution or resolutions of the bank or a sponsor authorizing bonds. (b) Any bank or trust company doing business under the laws of the state that may act as a depository of the proceeds of bonds or of revenues or other moneys shall furnish indemnifying bonds or pledge securities when required by the bank, a special purpose trust, or a sponsor. (c) The trust agreement may set forth the rights and remedies of the bondholders and of the trustee or trustees, and may restrict the individual right of action by bondholders. In addition, any trust agreement or resolution may contain other provisions that the bank may deem reasonable and proper for the security of the bondholders. (d) The trust agreement may provide for the pledge or assignment of funds or moneys in the custody of the Controller that are legally available to a sponsor and that are due or payable to the sponsor by reason of any grant, allocation, apportionment, or appropriation of the state or agencies thereof, and any legally available funds or moneys that are or will be due or payable, to any sponsor, the bank, the state or the agencies thereof by reason of any grant, allocation, apportionment, or appropriation of the federal government or agencies thereof. (Amended by Stats. 1995, Ch. 863, Sec. 34. Effective January 1, 1996.)
  24. 63079.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    Bonds issued under this chapter must include a disclaimer that the state’s full faith and credit and taxing power are not pledged, and the bonds may not obligate the state or its political subdivisions to tax or appropriate money for payment.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63079. (a) Bonds issued under this chapter do not constitute a debt or liability of the state or of any political subdivision thereof, other than the bank or a special purpose trust, and do not constitute a pledge of the full faith and credit of the state or any of its political subdivisions, other than the bank or special purpose trust, but are payable solely from the funds provided therefor under this chapter and shall be consistent with Sections 1 and 18 of Article XVI of the California Constitution. This subdivision shall in no way preclude bond guarantees or enhancements pursuant to this title. All the bonds shall contain on the face thereof a statement to the following effect: “Neither the full faith and credit nor the taxing power of the State of California is pledged to the payment of the principal of, or interest on, this bond.” (b) The issuance of bonds under this chapter shall not directly or indirectly or contingently obligate the state or any political subdivision thereof to levy or to pledge any form of taxation therefor or to make any appropriation for their payment. Nothing in this section shall prevent, or be construed to prevent, the bank from pledging the full faith and credit of the infrastructure bank fund to the payment of bonds or issuance of bonds authorized pursuant to this chapter. (Amended by Stats. 1995, Ch. 863, Sec. 35. Effective January 1, 1996.)
  25. 63080.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The validity of bonds issued under this chapter is not affected by proceedings about authorizing or carrying out the financed project.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63080. The validity of any bonds issued under this chapter shall not be affected by any proceedings related to the authorization or implementation of the project financed by the bonds. (Added by Stats. 1994, Ch. 94, Sec. 1. Effective January 1, 1995. Conditionally operative as prescribed by Sec. 17 of Ch. 94.)
  26. 63081.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The bank, a special purpose trust, or sometimes a sponsor may issue bonds for refunding or project costs, and escrowed proceeds may be invested and later used or returned as specified.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63081. (a) The bank or a special purpose trust may issue bonds for the purpose of refunding any bonds, notes, or other securities of the bank, a special purpose trust, or a sponsor then outstanding, including the payment of any redemption premium thereon and any interest accrued, or to accrue, on their earliest or any subsequent date of redemption, purchase, or maturity of these bonds. The bank, or a sponsor, if it deems advisable, may issue or authorize a sponsor to issue bonds for the additional purpose of paying all or any part of the cost of constructing and acquiring additions, improvements, extensions, or enlargements of any project or any portion thereof. (b) The proceeds of any bonds issued for the purpose of refunding outstanding bonds as provided in subdivision (a) may, in the discretion of the bank, be applied to the purchase or retirement at maturity or redemption of those outstanding bonds either on their earliest or any subsequent redemption date or upon the purchase or retirement at the maturity thereof and may, pending this application, be placed in escrow to be applied to the purchase or retirement at maturity or redemption of those outstanding bonds on the date or dates as may be determined by the bank. (c) Pending this use, the escrowed proceeds may be invested and reinvested by the Treasurer or a trustee in obligations of, or guaranteed by, the United States, or in certificates of deposit or time deposits secured by obligations of, or guaranteed by, the United States, maturing at the time or times appropriate to assure prompt payment, of the principal, interest, and redemption premium, if any, of the outstanding bonds to be refunded. The interest, income, and profits, if any, earned or realized on the investment may also be applied to the payment of the outstanding bonds to be refunded. After the terms of the escrow have been fully satisfied and carried out, any balance of the proceeds and interest, income, and profits, if any, earned or realized on the investments thereof, shall be returned to the agency for use in carrying out the purposes of this division. (d) The portion of the proceeds of the bonds issued for the additional purpose of paying all or any part of the cost of construction and acquiring additions, improvements, extensions, or enlargements of any project may be invested and reinvested by the Treasurer or a trustee in obligations of, or guaranteed by, the United States, or in certificates of deposit or time deposits secured by obligations of, or guaranteed by, the United States, maturing not later than the time or times when these proceeds will be needed for the purpose of paying all or any part of the cost. The interest, income, and profits, if any, earned or realized on this investment may be applied to the payment of all, or any part of, the cost or may be used by the bank in carrying out the purposes of this division. (Amended by Stats. 1995, Ch. 863, Sec. 36. Effective January 1, 1996.)
  27. 63082.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    This section says the act adds to, and does not replace, a sponsor’s existing right to issue or cause the issuance of certain bonds.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63082. Notwithstanding anything herein to the contrary, this act shall be supplemental to, and not in lieu of, the right of any sponsor to issue general obligation bonds or bonds that it is otherwise lawfully authorized to issue or cause to be issued. (Added by Stats. 1994, Ch. 94, Sec. 1. Effective January 1, 1995. Conditionally operative as prescribed by Sec. 17 of Ch. 94.)
  28. 63083.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    Bonds issued by the bank or a special purpose trust, and their transfer and income, are exempt from taxation by the state and its political subdivisions.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63083. Any and all bonds issued by the bank or a special purpose trust, their transfer and the income therefrom, shall at all times be free from taxation of every kind by the state and by all political subdivisions of the state. (Amended by Stats. 1995, Ch. 863, Sec. 37. Effective January 1, 1996.)
  29. 63084.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The bank may use financial instruments to secure revenue bonds and may make loans to support revolving loan funds for certain development corporations and nonprofits.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63084. (a) Any issue of revenue bonds by the bank may be secured and made more attractive to capital markets through financial instruments, including, but not limited to: (1) Deeds of trust on the resources, facilities, and revenues of the projects. (2) Credit enhancements, including, but not limited to, letters of credit, bond insurance, and surety bonds provided by private financial institutions. (3) Insurance and guarantees provided by the bank itself. (b) The bank may make loans to help establish and support the revolving loan funds of small business development corporations, economic development corporations, community development corporations, and nonprofit corporations. The loans may be made from any appropriate account or subaccount of the California Infrastructure and Economic Development Bank Fund and as determined by the bank. (Added by Stats. 1998, Ch. 4, Sec. 21. Effective January 1, 1999.)
  30. 63085.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The bank may obtain a private legal opinion about bond validity or tax-exempt status when it thinks doing so will improve bond salability or price.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63085. Whenever the bank deems that it will increase the salability or the price of the bonds to obtain, prior to or after sale, a legal opinion from private counsel as to the validity or tax-exempt nature of the bonds, the bank may obtain a legal opinion. Payment for legal services may be made out of the proceeds of the sale of the bonds. (Added by Stats. 1998, Ch. 4, Sec. 22. Effective January 1, 1999.)
  31. 63086.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    The bank may hire consultants, advisers, and accountants when it thinks they are needed for issuing or selling its bonds, and it may pay for those services from bond-sale proceeds.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63086. The bank may employ financial consultants, advisers, and accountants, as may be necessary in its judgment, in connection with the issuance and sale of any bonds of the bank. Payment for these services may be made out of the proceeds of the sale of the bonds. (Added by Stats. 1998, Ch. 4, Sec. 23. Effective January 1, 1999.)
  32. 63087.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    Public Contract Code Sections 10295 and 10335 to 10382 do not apply to certain bank agreements tied to the sale of authorized bonds or notes.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63087. Section 10295 and Sections 10335 to 10382, inclusive, of the Public Contract Code shall not apply to agreements entered into by the bank in connection with the sale of bonds or notes authorized under this division. (Added by Stats. 1998, Ch. 4, Sec. 24. Effective January 1, 1999.)
  33. 63087.5.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. )

    Verify source ↗

    This section defines “participating party” and “project” for this chapter.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 5. Revenue Bonds [63070 - 63087.5] ( Heading of Chapter 5 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 24. ) ## 63087.5. For purposes of this chapter: (a) “Participating party” includes the California FAIR Plan Association. (b) “Project” has the same meaning as defined in Section 63010, and also includes financing all or any portion of the costs of claims or to increase liquidity and the claims-paying capacity of the California FAIR Plan Association in an amount, together with necessary reserves, capitalized interest, credit or liquidity enhancement costs, or costs of issuance, that may be determined by the California FAIR Plan Association, with prior approval from the Insurance Commissioner, in a request to the bank made pursuant to Section 63049.75. (Added by Stats. 2025, Ch. 473, Sec. 2. (AB 226) Effective October 9, 2025.)
  34. 63088.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 1. Introduction [63088 - 63088.1] ( Article 1 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    This chapter may be cited as the Small Business Financial Assistance Act of 2013, and it does not apply to the bank’s other activities, powers, and duties under other chapters of the division.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 1. Introduction [63088 - 63088.1] ( Article 1 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63088. (a) This chapter shall be known, and may be cited, as the Small Business Financial Assistance Act of 2013. (b) Notwithstanding any other provision of this division, this chapter shall not apply to any other activities, powers, and duties of the bank under any of the other chapters of this division. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  35. 63088.1.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 1. Introduction [63088 - 63088.1] ( Article 1 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    The Legislature states findings supporting efforts to improve small business access to capital and related resources in California.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 1. Introduction [63088 - 63088.1] ( Article 1 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63088.1. The Legislature finds all of the following: (a) Small businesses form the core of the California economy and that it is in the interest of the state to increase opportunities for entrepreneurs, the self-employed, and microbusiness and small business owners to have better access to capital and other technical resources. (b) Unemployment in California is a matter of statewide concern requiring concerted public and private action to develop employment opportunities for the disadvantaged, unemployed persons, veterans, and youth. (c) It is necessary to direct additional capital, general management assistance, business education, and other resources to encourage the development of small business opportunities, particularly for minorities, women, and disabled persons, to alleviate unemployment. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  36. 63088.3.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 2. Definitions [63088.3- 63088.3.] ( Article 2 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    This section defines terms used in the chapter and says those definitions apply only to this chapter.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 2. Definitions [63088.3- 63088.3.] ( Article 2 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63088.3. Unless the context otherwise requires, the definitions in this section shall govern the construction of this chapter. The definitions provided in this section shall only apply to this chapter and not to any other chapter of this division. (a) “Bank” means the California Infrastructure and Economic Development Bank. (b) “Bank board” means the board of directors of the California Infrastructure and Economic Development Bank. (c) “Board of directors” means the board of directors of a corporation. (d) “California Small Business Board” means the advisory board established pursuant to Section 14004.1 of the Corporations Code for the purpose of advising on issues and programs affecting small business. (e) “California Small Business Finance Center” means the governmental unit within the bank, which is located within the Governor’s Office of Business and Economic Development, with the administrative responsibility for programs and activities authorized pursuant to Section 8684.2 of this code, Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code, and this chapter. (f) “Corporation” means any nonprofit California small business financial development corporation created pursuant to Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code, or pursuant to Chapter 1 (commencing with Section 32000) of Division 15.5 of the Financial Code. (g) “Directives and requirements” means a document adopted by the bank board setting forth policy direction as well as key rules governing a particular subject area. (h) “Executive director” means the executive director of the California Infrastructure and Economic Development Bank. (i) “Expansion fund” means the California Small Business Expansion Fund authorized pursuant to Section 63089.5. (j) “Financial company” means banking organizations, including national banks and trust companies, savings and loan associations, certified community development financial institutions, microbusiness lenders, state insurance companies, mutual insurance companies, and other public and private banking, lending, retirement, and insurance organizations. (k) “Financial institution” means regulated banking organizations, including national banks and trust companies authorized to conduct business in California and state-chartered commercial banks, trust companies, credit unions, and savings and loan associations. (l) “Financial product” means the type of financial assistance described in Section 63088.5, authorized by this chapter, or that the California Small Business Finance Center or a small business financial development corporation is otherwise authorized to provide. (m) “Loan committee” means a committee appointed by the board of directors of a corporation to determine the course of action on a loan application pursuant to this chapter. (n) “Microbusiness lender” means a microbusiness lender as defined in Section 13997.2. (o) “Program manager” means the manager of the California Small Business Finance Center as designated to this title by the executive director of the California Infrastructure and Economic Development Bank. (p) “Small business loan” means a loan to a business defined as an eligible small business as set forth in Section 121.3-10 of Part 121 of Chapter 1 of Title 13 of the Code of Federal Regulations, including those businesses organized for agricultural purposes that create or retain employment as a result of the loan unless otherwise defined by the directives and requirements. Directives and requirements shall provide guidelines as to the preferred ratio of jobs created or retained to total funds borrowed for guidance to the corporations. (q) “Trust fund” means the moneys from the expansion fund that is held in trust by a financial institution or financial company. A trust fund is not a deposit of state funds and is not subject to the requirements of Section 16506. (r) “Trustee” means the lending institution or financial company selected by the bank board to hold and invest the trust funds, or selected by a predecessor agency to the bank, if applicable. An agreement made pursuant to this chapter and the trustee shall not be construed to be a deposit of state funds. (s) “Trust fund account” means an account within the trust fund that is either allocated to a particular corporation or shared by multiple corporations for the purpose of paying loan defaults and claims on bond guarantees or other financial products and program uses provided in this chapter. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  37. 63088.5.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 3. Purpose [63088.5 - 63088.6] ( Article 3 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The bank must administer the Small Business Finance Center, and several related bodies may create, continue, or advise on small business financing programs.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 3. Purpose [63088.5 - 63088.6] ( Article 3 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63088.5. (a) There is within the Governor’s Office of Business and Economic Development the California Infrastructure and Economic Development Bank, which shall, among other things, administer the California Small Business Finance Center that administers programs to assist businesses seeking new capital resources, including, but not limited to, the Small Business Loan Guarantee Program. (b) The bank board may continue programs funded by the Small Business Expansion Fund or establish one or more programs administered by the bank directly, in conjunction with financial companies or financial institutions, in direct or indirect participation with special purpose entities established for small business finance, or under contract with small business financial development corporations. The bank board may establish any and all programs pursuant to this chapter or Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code that it determines are necessary or desirable to directly or indirectly assist small businesses obtain capital. Programs established pursuant to this chapter or Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code may include the following types of financial products: (1) Loan guarantees and other credit enhancements. (2) Direct loans and other debt instruments. (3) Disaster loan guarantees. (4) Surety bond guarantees. (c) In all of their state-funded programs, the corporations shall, to the extent practicable, be complementary to, and not competitive with, commercial lenders and other state and federal programs. (d) In carrying out this chapter the program manager, the executive director, and the bank board may call on the California Small Business Board for advice and recommendations. All actions by the California Small Business Board are advisory. (e) The California Small Business Board may also advise the Governor and the Small Business Advocate regarding issues and programs affecting California’s small business community, including, but not limited to, business innovation and expansion, export finance, state procurement, management and technical assistance, venture capital, and financial assistance. (Amended by Stats. 2020, Ch. 10, Sec. 4. (AB 78) Effective June 29, 2020.)
  38. 63088.6.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 3. Purpose [63088.5 - 63088.6] ( Article 3 added by Stats. 2013, Ch. 537, Sec. 4. )

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    Corporations must carry out small-business program activities, including outreach, collaboration, technical assistance, resource development, loan collection efforts, and becoming agents for financial institutions or agencies.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 3. Purpose [63088.5 - 63088.6] ( Article 3 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63088.6. To implement its responsibilities, a corporation shall undertake program activities that shall include, but not be limited to, the following: (a) Outreach to low-resource small businesses and microbusinesses. The corporations located in rural areas shall give priority to low-resource farmers and rural and agriculturally related businesses. (b) Collaboration with other organizations and lenders to identify and assist those businesses that are creditworthy but face impediments to accessing conventional sources because of reasons, such as low equity, inadequate collateral, unacceptable legal structure (such as a co-op or nonprofit organization), management inadequacies, and language problems. (c) To the extent possible, bringing all possible financial resources to bear on the borrower’s problems, including, but not limited to, low-interest lenders, business and industrial development corporations (BIDCOs), minority enterprise small business investment companies (MESBICs), and other financial institutions, financial companies, and grantors. (d) Technical assistance to businesses receiving loans or guarantees that will maximize the probability of loan repayment. (e) Ongoing strategies for increasing program resources through private sector involvement and nonstate funds. (f) A program for collecting and liquidating defaulted loans so that the corporations can qualify to become full-service lenders under the Small Business Administration. Corporations located in rural areas shall, in addition, try to qualify for lender status under the United States Department of Agriculture’s Rural Development and Farm Services Agency. (g) Become an agent for other financial institutions and financial companies. (h) Become an agent for other state or federal governmental agencies that need a qualified financial service provider, including, but not limited to, the State Energy Resources Conservation and Development Commission. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  39. 63089.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The bank board must adopt directives and requirements for implementing this chapter and related Corporations Code provisions.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089. The bank board shall adopt directives and requirements concerning the implementation of this chapter and pursuant to Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code. Any regulations adopted pursuant to Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code, as that chapter read on January 1, 2013, shall remain in effect until the bank board adopts directives and requirements relating to the specific policy or activity, but in no case beyond June 1, 2015. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  40. 63089.1.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The program manager must carry out several administrative duties for the chapter, including contracts, fund authorizations, oversight, liaison work, board support, and annual corporation coordination.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.1. (a) The program manager acting under the guidance of the executive director shall do all of the following: (1) Administer this chapter. (2) Enter into a contract between the bank and each corporation for services to be provided by the corporations for one or more programs or financial products under this chapter and Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code. (3) In accordance with available resources, allow the use of branch offices for the purposes of making these programs under this chapter accessible to all areas of the state. (4) Require each corporation to submit an annual written plan of operation. (5) Authorize the distribution, transfer, leverage, and withholding of moneys in the expansion fund and trust funds. (6) Authorize the investment of expansion and trust fund moneys. (7) Oversee the operations of one or more programs authorized pursuant to this chapter and by Section 8684.2. (8) Act as liaison between corporations, other state and federal agencies, lenders, and the Legislature. (9) Act as secretary to the California Small Business Board, and attend meetings of the California Small Business Board and the bank board. (b) The program manager may attend and participate at corporation meetings. The program manager or his or her designee shall be an ex officio, nonvoting representative on the board of directors and loan committees of each corporation. The program manager shall confer with the board of directors of each corporation as appropriate and necessary to carry out his or her duties, but in no case shall the program manager confer less than once each fiscal year. (c) In accordance with available resources, assist corporations in applying for public and private funding opportunities, and in obtaining program support from the business community. (Amended by Stats. 2016, Ch. 713, Sec. 1. (SB 936) Effective January 1, 2017.)
  41. 63089.2.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. )

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    Corporations must sign written agreements with the bank for program management services, and those agreements must set the basic terms for spending and administration. Corporations can appeal contract conditions within 10 days after the final proposal, and the executive director or bank board must decide within 30 days.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.2. (a) The use of state funds paid out to the trust fund and the return on those funds from investment pursuant to Section 63089.56 is conditional pursuant to Sections 63089.3 and 63089.57. Each corporation shall enter into a written signed agreement with the bank to provide program management services for one or more programs or activities of the California Small Business Finance Center authorized under Section 8684.2, this chapter, and Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code. (b) Agreements with the corporations entered into pursuant to this chapter are exempt from the requirements of Section 10295, and Sections 10335 to 10381, inclusive, of the Public Contract Code. The agreement shall, at a minimum, govern the activities in which the corporation engages, the investment of state funds and its return, and the budgeted administrative expenses the corporations may incur. (c) In the event the program manager and corporation do not reach an agreement, the corporation may appeal one or more conditions of the contract to the executive director or the bank board by providing written notice to the executive director within 10 days of the final written contract proposal from the program manager. The executive director or the bank board shall make a determination within 30 days of receiving written notice. (d) In the event that the program manager finds the corporation has violated the terms of an active agreement, the program manager may take any action under Section 63089.3 or 63089.57, or any other action as appropriate. In the event the program manager finds the corporation has substantively violated the terms of an active agreement, the corporation shall have no authority to withdraw or encumber the moneys in the trust fund or the return of those funds by the issuance of guarantees, commitments for other financial products, or by incurring expenses against the fund and its return in any manner whatsoever, and the program manager may take any action under Section 63089.3 or 63089.57, or any other action as appropriate. Any guarantee or other encumbrance made by the corporation in violation of this section shall be null and void, and the state, the bank, the expansion fund, or the trust fund will not be liable therefor. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  42. 63089.3.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The program manager may temporarily suspend a corporation’s guarantee or other financial product authority if the corporation substantially fails to comply and irreparable harm is found.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.3. (a) The program manager may temporarily suspend the guarantee authority or other financial product authority of a corporation if in the determination of the program manager a corporation has substantially failed to comply with any of the requirements in subdivision (b), causing irreparable harm to the program, the corporation’s guarantee, or any other financial products authority. The notice of temporary suspension sent to the corporation shall specify the reasons for the action. (1) As used in this section, “guarantee or any other financial products authority” means the authority to make or guarantee or administer any other financial products that encumber funds in a trust fund account, any account or subaccount under the direct control of the bank or other state entity, or the expansion fund. (2) The program manager shall make one of the determinations specified in subdivision (b) within 30 days of the effective date of the temporary suspension, unless the corporation and the program manager mutually agree to an extension. The corporation shall have the opportunity to submit written material to the program manager addressing the items stated in the temporary suspension notice. If the program manager does not make any determinations within 30 days, the temporary suspension shall be reversed. The corporation’s yearly contract shall remain in effect during the period of temporary suspension, and the corporation shall continue to receive reimbursement of necessary operating expenses. (b) Failure of a corporation to substantially comply with the following may result in the suspension or termination of a corporation: (1) Directives and requirements adopted by the bank board, for implementing the California Small Business Development Corporation Law (Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code) and this chapter. (2) Failure to meet any fiscal, audit, examination, or portfolio requirement, as contained in the directives and requirements and examination reports. (3) Failure to significantly meet any milestones or scope of work as contained in the performance contract between the corporation and the bank. (4) Any other action in the opinion of the program manager that causes irreparable harm to the corporation, the expansion fund, or the trust fund. (c) Pursuant to subdivisions (a) and (b), the program manager may take any of the following actions: (1) Terminate the temporary suspension. (2) Terminate the temporary suspension subject to the corporation’s adoption of a specified remedial action plan approved by the program manager. (3) Continue the temporary suspension of guarantee and other financial product authority until a specified time. (4) Terminate the corporation’s authority to administer specified loan guarantees or other financial products. (5) Terminate the corporation’s authority to remain a corporation authorized pursuant to the California Small Business Development Corporation Law (Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code) and this chapter. (d) The program manager shall make one of the determinations specified in subdivision (c) within 30 days of the effective date of the temporary suspension notice, unless the corporation and the program manager mutually agree to an extension. If the program manager does not make any determinations within 30 days, the temporary suspension shall be negated. The corporation’s yearly contract shall remain in effect during the period of temporary suspension, and the corporation shall continue to receive reimbursement of necessary operating expenses. (e) The actions contained in paragraphs (3) to (5), inclusive, of subdivision (c) require a finding that irreparable harm will occur unless the action is taken, and a finding that the corporation has failed to comply with the California Small Business Development Corporation Law (Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code) and this chapter. (f) In considering any action specified in subdivision (c), the program manager shall consider, along with other criteria as specified in subdivision (b), the corporation’s history and past performance. (g) If the program manager decides to take any action pursuant to paragraphs (3) to (5), inclusive, of subdivision (c), the program manager shall transfer all funds subject to the action, whether encumbered or not, in the trust fund account of the suspended or terminated corporation into either the expansion fund, or either permanently or temporarily transfer the funds to the trust fund account of another corporation or a holding account in the expansion fund or trust fund established for this purpose, unless an appeal is received from the corporation pursuant to subdivision (h). (h) If the program manager intends to transfer funds as specified in paragraph (g), the corporation shall be notified of the funds transfer 10 days before the effective date of the transfer. The corporation shall have the right to appeal the program manager’s decision to the executive director within that 10-day period by sending written notice to the executive director. Once the executive director receives notice that the action is being appealed, the program manager’s funds transfer shall be stayed. (i) The corporation shall have the opportunity to submit written material to the executive director addressing the actions and findings stated in the program manager’s determination. The executive director shall consider and make a final determination on the appeal within 30 days of receiving the appeal notice from the corporation, or such longer time as agreed to by the executive director and the corporation. The executive director may elect to take any of the actions listed in subdivision (j). The action of the program manager shall remain in effect until the executive director issues a decision. The corporation’s performance contract shall remain in effect during the appeal period, and the corporation shall continue to receive reimbursement of necessary operating expenses. (j) Pursuant to subdivision (i), the executive director may independently take action or seek the advice and recommendation of the California Small Business Board prior to taking any of the following actions: (1) Rescind the action taken by the program manager. (2) Modify the action taken by the program manager subject to the adoption by the corporation of a specified remedial action plan approved by the executive director. (3) Affirm the action taken by the program manager. (k) Following the executive director’s concurrence any action pursuant to paragraphs (3) to (5), inclusive, of subdivision (c), the program manager shall transfer all funds subject to the action, whether encumbered or not, in the trust fund account of the suspended or terminated corporation into either the expansion fund, or either permanently or temporarily transfer the funds to the trust fund account of another corporation or a holding account in the expansion fund or trust fund established for this purpose. The corporation shall be notified of the funds transfer 10 days before the effective date of the transfer. The corporation shall have the right to appeal the executive director’s decision to the bank board within that 10-day period by sending written notice to the chair of the bank board. Once the chair of the bank board receives notice that the executive director’s determination is being appealed, the program manager’s funds transfer shall be stayed. (l) The corporation shall have the opportunity to submit written material to the bank board addressing the actions and findings stated in the executive director’s determination. The bank board shall consider and make a final determination on the appeal within 30 days of receiving the appeal notice from the corporation, or such longer time as agreed to by the chair of the bank board and the corporation. The action of the executive director shall remain in effect until the bank board issues a decision. The corporation’s performance contract shall remain in effect during the appeal period, and the corporation shall continue to receive reimbursement of necessary operating expenses. (m) Pursuant to subdivision (l), the bank board may independently take action or seek the advice and recommendation of the California Small Business Board prior to taking any of the following actions: (1) Rescind the action taken by the executive director. (2) Modify the action taken by the executive director subject to the adoption by the corporation of a specified remedial action plan acceptable to the executive director. (3) Affirm the action taken by the executive director. (n) Following the bank board’s concurrence with the executive director’s determination consistent with any action pursuant to paragraphs (3) to (5), inclusive, of subdivision (c), the program manager shall transfer all funds subject to the action, whether encumbered or not, in the trust fund account of the suspended or terminated corporation into either the expansion fund, or either permanently or temporarily transfer the funds to the trust fund account of another corporation or a holding account in the expansion fund or trust fund established for this purpose. The corporation shall be notified of the funds transfer 10 days before the effective date of the transfer. (o) Notwithstanding Section 63089.56, in the event a final determination was made by the program manager, the executive director or the bank board, whichever is applicable, to temporarily transfer the funds of the corporation to the expansion fund or to the trust fund account of another corporation or a holding account in the expansion fund or trust fund established for this purpose, upon compliance with all requirements of that final determination as determined by the executive director, the transferred funds shall be returned to the corporation’s trust fund account. While the funds of a corporation’s trust fund account reside in the expansion fund, use of the principal on the funds shall be governed by the implementing directives and requirements specifying use of funds in the expansion fund. Interest on the funds moved from a corporation’s trust fund account upon temporary withdrawal shall be limited to payment of the corporation’s administrative expenses, as contained in the contract between the corporation and the bank pursuant to this chapter. (p) Following a final determination of termination of all activities of an active corporation, in order to continue its existence as a nonprofit corporation pursuant to the Nonprofit Public Benefit Corporation Law (Part 2 (commencing with Section 5110) of Division 2 of Title 1 of the Corporations Code), the corporation must amend its articles of incorporation in accordance with Chapter 8 of Part 2 of Division 2 of the Corporations Code to remove the provisions required by Section 14005 of the Corporations Code, including an amendment to remove the words “small business financial development corporation,” “small business development corporation,” or “rural or urban development corporation,” as applicable, from the corporate name and shall no longer be registered with the Secretary of State as a small business financial development corporation. A corporation shall not enjoy any of the benefits of a small business financial development corporation following suspension. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  43. 63089.4.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The bank may take several administrative and financial actions, including approving corporations, contracting for services, selecting a trustee, investing fund moneys, reviewing determinations, adopting requirements, and authorizing new programs.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 4. Administrative Structure [63089 - 63089.4] ( Article 4 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.4. The bank is authorized to: (a) Approve new corporations recommended by the program manager. (b) Enter into contracts with corporations for program management and other financial product-related services. (c) Select a financial institution or financial company to act as trustee of the trust fund as specified in this chapter. (d) Invest expansion fund and trust fund moneys as specified in this chapter. (e) Affirm, modify, or rescind the determinations of the program manager and the executive director as specified in this chapter. (f) Adopt directives and requirements as specified in this chapter. (g) Authorize new financial product programs and activities pursuant to this chapter. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  44. 63089.5.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    This section keeps the California Small Business Expansion Fund in the State Treasury and sets rules for how it may be used, how accounts may be created, and when notice must be given for nonstate fund deposits.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.5. (a) There is hereby continued in existence in the State Treasury the California Small Business Expansion Fund. All or a portion of the funds in the expansion fund may be paid out, with the approval of the Department of Finance, to a financial institution or financial company that will establish a trust fund and act as trustee of the funds. (b) The expansion fund and the trust fund shall be used for the following purposes: (1) To pay defaulted loan guarantee or surety bond losses, or other financial product defaults or losses. (2) To fund direct loans and other debt instruments. (3) To pay administrative costs of corporations. (4) To pay state support and administrative costs. (5) To pay those costs necessary to protect a real property interest in a financial product default. (c) The expansion fund and trust fund are created solely for the purpose of receiving state, federal, or local government moneys, and other public or private moneys to make loans, guarantees, and other financial products that the California Small Business Finance Center or a financial development corporation is authorized to provide or that may be provided pursuant to Article 12 (commencing with Section 63089.99). The program manager shall provide written notice to the Joint Legislative Budget Committee and to the Chief Clerk of the Assembly and the Secretary of the Senate who shall provide a copy of the notice to the relevant policy committees within 10 days of any nonstate funds being deposited in the expansion fund. The notice shall include the source, purpose, timeliness, and other relevant information as determined by the bank board. (d) (1) One or more accounts in the expansion fund and the trust fund may be created by the program manager for corporations participating in one or more programs authorized under this chapter and Section 8684.2. Each account is a legally separate account, and shall not be used to satisfy loan guarantees or other financial product obligations of another corporation except when the expansion fund or trust fund is shared by multiple corporations. (2) The program manager may create one or more holding accounts in the expansion fund or the trust fund, or in both, to accommodate the temporary or permanent transfers of funds pursuant to Section 63089.3. (e) The amount of guarantee liability outstanding at any one time shall not exceed 10 times the amount of funds on deposit in the expansion fund plus any receivables due from funds loaned from the expansion fund to another fund in state government as directed by the Department of Finance pursuant to a statute enacted by the Legislature, including each of the trust fund accounts within the trust fund. (Amended by Stats. 2022, Ch. 68, Sec. 27. (SB 193) Effective June 30, 2022.)
  45. 63089.51.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    Money in the expansion fund is continuously appropriated for this chapter, and the state or the bank is generally not liable beyond the state money allocated in that fund.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.51. (a) All money deposited in the expansion fund is hereby continuously appropriated, without regard to fiscal years, for the purposes of this chapter. (b) Except as specified in subdivision (b) of Section 63089.54, the state or the bank shall not be liable or obligated in any way beyond the state money that is allocated in the expansion fund from moneys from the General Fund appropriated for those purposes. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  46. 63089.52.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The program manager may ask the trustee to invest trust fund money in certain securities, if the executive director approves.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.52. (a) The program manager, at his or her discretion, with the approval of the executive director, may request the trustee to invest those moneys in the trust fund in any of the securities described in Section 16430. Returns from these investments shall be deposited in the expansion fund and shall be used to support the programs of this chapter. (b) Any investments made in securities described in Section 16430 shall be governed by the investment policy approved by the bank board. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  47. 63089.53.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    The state or the bank is not liable or obligated beyond the money allocated and deposited in the trust fund accounts, except as stated in subdivision (b) of Section 63089.54.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.53. Except as specified in subdivision (b) of Section 63089.54, the state or the bank shall not be liable or obligated in any way beyond the money that is allocated and deposited in the trust fund accounts. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  48. 63089.54.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    A state treasury account is created to cover certain loan guarantee losses and defaults, and its guarantee capacity is limited by Finance Director authorization with the Governor’s concurrence.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.54. (a) There is hereby created in the State Treasury the Small Business Disaster Recovery Loan Loss Reserve Account, as part of the expansion fund. This account shall be used to pay for losses resulting from loan guarantees issued pursuant to subdivision (a) of Section 63089.90 or subdivision (b) of this section, and disaster loan guarantees and other credit enhancement defaults issued prior to the effective date of this section that are in default. (b) Any lending institution that issues a loan that is guaranteed by resources in this account shall be fully reimbursed for the guaranteed portion of principal and interest that result from a loan or loans that are in default. If there are insufficient funds in this account to fully satisfy all claimants, the full faith of the resources in the General Fund are pledged to satisfy the obligations of this account. This account may only guarantee as much loan dollar value as is specifically authorized by the Director of Finance with the concurrence of the Governor. This account shall receive all moneys transferred pursuant to Section 63089.55, and any unencumbered balances transferred to the California Small Business Expansion Fund pursuant to Chapters 11 and 12 of the First Extraordinary Session of the Statutes of 1989, and Chapter 1525 of the Statutes of 1990, as of July 1, 1992. (c) The Governor may utilize this authority to prevent business insolvencies and loss of employment in an area affected by a state of emergency within the state and declared a disaster by the President of the United States, by the Administrator of the United States Small Business Administration, or by the United States Secretary of Agriculture, or declared to be in a state of emergency by the Governor of California. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  49. 63089.55.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The Director of Finance may transfer money from the Special Fund for Economic Uncertainties to the California Small Business Expansion Fund, but only with the Governor’s approval.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.55. The Director of Finance, with the approval of the Governor, may transfer moneys in the Special Fund for Economic Uncertainties to the California Small Business Expansion Fund for use as authorized by the bank board, in an amount necessary to make loan guarantees pursuant to Section 8684.2 and this chapter. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  50. 63089.56.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    This section lets the program manager move and reallocate expansion-fund money, sets approval and state-deposit conditions for trustee institutions, and creates appeal steps and deadlines for reallocation or transfer decisions.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.56. (a) The funds in the expansion fund shall be paid out to trust fund accounts by the Treasurer on funds drawn by the Controller and requisitioned by the program manager, pursuant to the purposes of this chapter. The program manager may transfer funds allocated from the expansion fund to accounts, established solely to receive the funds, in financial institutions or financial companies designated by the bank to act as trustee. The financial institutions or financial companies so designated shall be approved by the state for the receipt of state deposits. Interest earned on the trust fund accounts in financial institutions or financial companies may be utilized by the corporations or the bank pursuant to the purposes of this chapter. (b) The program manager may reallocate funds held within a corporation’s trust fund account. (1) The program manager may reallocate funds based on which corporation is most effectively using its guarantee funds. If funds are withdrawn from a less effective corporation as part of a reallocation, the program manager shall make that withdrawal only after giving consideration to that corporation’s fiscal solvency, its ability to honor loan guarantee defaults, and its ability to maintain a viable presence within the region it serves. Reallocation of funds shall occur no more frequently than once per fiscal year. Any decision made by the program manager pursuant to this subdivision may be appealed to the executive director unless otherwise specified. The executive director has the authority to repeal or modify any decision to reallocate funds. (2) The program manager may authorize a corporation to exceed the leverage ratio specified in Section 63089.5 or subdivision (a) of Section 63089.62, pending the annual reallocation of funds pursuant to this section. However, no corporation shall be permitted to exceed an outstanding guarantee liability of more than specified in subdivision (a) of Section 63089.62 after a reallocation is made. (c) Except as specified in subdivision (e), the program manager shall allocate and transfer money to trust fund accounts based on performance-based criteria. The criteria shall include, but not be limited to, the following: (1) The default record of the corporation. (2) The number and amount of loans guaranteed by a corporation. (3) The number and amount of loans made by a corporation if state funds were used to make those loans. (4) The number and amount of surety bonds guaranteed by a corporation. (5) The number and amount of other financial product activity. (6) The number of jobs created or retained due to the financial product activity. (d) The criteria specified in subdivision (c) shall not apply to a corporation that has been in existence for five years or less. If not already adopted, the bank board shall develop directives and requirements specifying the basis for transferring account funds to those corporations that have been in existence for five years or less. (e) Any decision made by the program manager pursuant to this section may be appealed to the executive director within 15 days of notice of the proposed action. The executive director may repeal or modify any reallocation and transfer decisions made by the program manager. The appealing corporation shall submit, in writing, the specific area or areas of appeal and set forth any recommendation to the executive director for consideration. The executive director shall render a final decision within five business days of receiving the written appeal. (f) Any decision made by the executive director shall be appealable in writing to the bank board within 15 days of the executive director’s decision, or such longer period as agreed to between the executive director and the corporation. The bank board shall make a final reallocation or transfer decision within 30 days of receiving the appeal, or such longer period agreed to between the executive director and the corporation. (g) In the event of an appeal under this section, all allocations or transfers of money to trust fund accounts shall be on hold pending resolution by the executive director or bank board, as applicable. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  51. 63089.57.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The state keeps a residual interest in certain trust-fund money and investment returns. If the corporation is dissolved, suspended, or terminated, the program manager must withdraw the funds and either return them to the expansion fund or move them to another trust fund account.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.57. Pursuant to this chapter and any directives and requirements adopted pursuant to this chapter, the state has residual interest in the funds deposited by the state to a trust fund account and to the return on these funds from investments. On dissolution, suspension, or termination of the corporation, these funds shall be withdrawn by the program manager from the trust fund account and returned to the expansion fund or temporarily transferred to another trust fund account. This provision shall be contained in the trust instructions to the trustee. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  52. 63089.58.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    Trust fund accounts must include specified guarantee accounts, and account assets generally cannot be used for another corporation’s obligations or to secure corporate debt.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.58. Each trust fund account shall consist of a loan guarantee account, and, upon recommendation by the program manager, a bond guarantee account or other financial product account, each of which is a legally separate account, and the assets of one account shall not be used to satisfy loan guarantees or other financial product obligations of another corporation, except when a trust fund account is designated by the program manager to be shared by multiple corporations. The amount of funds allocated to a bond guarantee account shall be pursuant to the directives and requirements. A corporation shall not use trust fund accounts to secure a corporate indebtedness. State funds deposited in the trust fund accounts, with the exception of guarantees established pursuant to this chapter, shall not be subject to liens or encumbrances of the corporation or its creditors. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  53. 63089.59.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The bank must designate the trustee for the trust fund, and the corporation may not take certain deposits without the program manager’s approval.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.59. (a) The financial institution or financial company that is to act as trustee of the trust fund shall be designated by the bank. The corporation shall not receive money on deposit to support guarantees or other financial products issued under this chapter without the approval of the program manager. (b) State funds may not be used to finance an expense incurred by a corporation in a location not approved pursuant to the contract between the bank and the corporation. The prohibition against use of state funds also applies to the location of satellite offices, and the area served from a corporation office. (c) Except as otherwise provided in this chapter, the trust fund account shall be used solely to make loans, guarantee bonds and loans, and provide other financial products approved by the corporation that meet the financial product criteria of the directives and requirements. Except as provided in subdivision (b) of Section 63089.54, the state or the bank shall not be liable or obligated in any way as a result of the allocation of state moneys to a trust fund account beyond the state moneys that are allocated and deposited in the fund pursuant to this chapter, and that are not otherwise withdrawn by the state pursuant to this chapter. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  54. 63089.60.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The program manager must recommend whether the expansion fund and trust fund accounts should be leveraged, and by how much. The guarantee liability outstanding at any time must not exceed 10 times the stated fund amount calculation.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.60. (a) The program manager shall recommend whether the expansion fund and trust fund accounts are to be leveraged, and if so, by how much. Upon the request of the corporation, the program manager’s decision may be repealed or modified by the executive director or the bank board. (b) The amount of guarantee liability outstanding at any one time shall not exceed 10 times the amount of funds on deposit in the expansion fund plus any receivables due from funds loaned from the expansion fund to another fund in state government as directed by the Department of Finance pursuant to a statute enacted by the Legislature, including each of the trust fund accounts within the trust fund. (Amended (as added by Stats. 2013, Ch. 537, Sec. 4, 1st text) by Stats. 2016, Ch. 713, Sec. 4. (SB 936) Effective January 1, 2017.)
  55. 63089.61.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    This section requires corporate guarantees and loan guarantees to be backed by specified funds or reserves, and limits how the expansion fund and trust fund accounts may be used.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.61. (a) The corporate guarantee shall be backed by funds on deposit in the corporation’s trust fund account, or by receivables due from funds loaned from the corporation’s trust fund account to another fund in state government, as directed by the Department of Finance pursuant to a statute enacted by the Legislature. (b) Loan guarantees shall be secured by a reserve of at least 10 percent to be determined by the program manager unless a higher leverage ratio for an individual corporation has been approved pursuant to subdivision (b) of Section 63089.56. (c) The expansion fund and trust fund accounts shall be used to guarantee obligations and other financial product obligations, to pay the administrative costs of the corporations, and for other uses pursuant to this chapter and Section 8684.2. (Amended (as added by Stats. 2013, Ch. 537, Sec. 4, 1st text) by Stats. 2016, Ch. 713, Sec. 6. (SB 936) Effective January 1, 2017.)
  56. 63089.62.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. )

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    Corporations serving a declared emergency or disaster area must raise their loan-guarantee portfolio for loans under $100,000 so that at least 15% of guaranteed loan value is in that category, and do so within one year of the declaration. The executive director may waive or modify the rule on application if the corporation shows good faith compliance efforts and no willing local lenders.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 5. Expansion Fund and Trust Fund [63089.5 - 63089.62] ( Article 5 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.62. (a) It is the intent of the Legislature that the corporations make maximum use of their statutory authority to guarantee loans and surety bonds, and administer other financial products, including the authority to secure loans with a minimum loan loss reserve of only 10 percent, unless the program manager authorizes a higher leverage ratio for an individual corporation pursuant to subdivision (b) of Section 63089.56, so that the financing needs of small business may be met as fully as possible within the limits of corporations’ trust fund account balance. (b) Any corporation that serves an area declared to be in a state of emergency by the Governor or a disaster area by the President of the United States, the Administrator of the United States Small Business Administration, or the United States Secretary of Agriculture shall increase the portfolio of loan guarantees where the dollar amount of the loan is less than one hundred thousand dollars ($100,000), so that at least 15 percent of the dollar value of loans guaranteed by the corporation is for those loans. The corporation shall comply with this requirement within one year of the date the emergency or disaster is declared. Upon application of a corporation, the executive director may waive or modify the rule for the corporation if the corporation demonstrates that it made a good faith effort to comply and failed to locate lending institutions in the region that the corporation serves that are willing to make guaranteed loans in that amount. (Amended (as added by Stats. 2013, Ch. 537, Sec. 4, 1st text) by Stats. 2016, Ch. 713, Sec. 8. (SB 936) Effective January 1, 2017.)
  57. 63089.65.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 6. Corporations, Miscellaneous [63089.65 - 63089.67] ( Article 6 added by Stats. 2013, Ch. 537, Sec. 4. )

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    A corporation must set up one or more loan committees, and those committees must review loan or guarantee applications and act on them promptly.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 6. Corporations, Miscellaneous [63089.65 - 63089.67] ( Article 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.65. (a) A corporation shall establish one or more loan committees, each of which shall be composed of five or more persons, a majority of whom shall be experienced in banking and lending operations. (b) A loan committee shall review applications to the corporation for a loan or guarantee and shall do each of the following: (1) Determine the feasibility of the proposed transaction. The loan committee shall recommend approval of the application only upon a determination that there is a reasonable chance that the loan will be repaid. (2) On the basis of that determination, recommend to the board of directors any action that the loan committee deems appropriate under the circumstances, or, in the event that approval authority has been delegated to the loan committee by the board of directors, approve or disapprove the loan application. (c) A loan committee shall expeditiously act to accept or reject loan applications. (d) A person who has a financial interest related to a matter over which the loan committee has authority may not make, participate in making, or in any way attempt to influence that matter. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  58. 63089.66.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 6. Corporations, Miscellaneous [63089.65 - 63089.67] ( Article 6 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The corporation’s board of directors must prioritize certain job-creating and Medi-Cal-related applications, unless that task is delegated to its loan committee.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 6. Corporations, Miscellaneous [63089.65 - 63089.67] ( Article 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.66. Unless delegated to its loan committee, the corporation’s board of directors, upon a recommendation from its loan committee, shall do all of the following: (a) Emphasize consideration to applications that will increase employment of disadvantaged, disabled, or unemployed persons, or increase employment of youth residing in areas of high youth unemployment and high youth delinquency. (b) Give consideration to applications from traditional and safety-net providers of Medi-Cal services that will promote access to quality medical care for individuals enrolled in Medi-Cal managed health care networks that are contracting with or owned or operated by a county board of supervisors, a county health commission, or a county health authority organized pursuant to Section 14018.7, 14087.31, 14087.35, 14087.36, 14087.38, or 14087.9605 of the Welfare and Institutions Code. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  59. 63089.67.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 6. Corporations, Miscellaneous [63089.65 - 63089.67] ( Article 6 added by Stats. 2013, Ch. 537, Sec. 4. )

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    A corporation may charge a borrower or financial institution a loan fee or credit enhancement fee on loans it makes or guarantees.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 6. Corporations, Miscellaneous [63089.65 - 63089.67] ( Article 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.67. A corporation may charge the borrower or financial institution a loan fee or credit enhancement fee on all loans made or guaranteed by the corporation to defray the operating expenses of the corporation. The amount of the fee shall be determined by the directives and requirements. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  60. 63089.70.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 7. Loan Guarantees [63089.70 - 63089.71] ( Article 7 added by Stats. 2013, Ch. 537, Sec. 4. )

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    The Small Business Expansion Fund must continue in existence and provide loan guarantees to small businesses. A corporation may not issue a guarantee under this section unless it determines the listed conditions are met.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 7. Loan Guarantees [63089.70 - 63089.71] ( Article 7 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.70. (a) The Small Business Expansion Fund, which is hereby continued in existence, shall, among other things, provide guarantees to loans offered by financial institutions and financial companies to small businesses. (b) The Legislature finds and declares that the Small Business Loan Guarantee Program has enabled participating small businesses that do not qualify for conventional business loans or Small Business Administration loans to secure funds to expand their businesses. These small businesses would not have been able to expand their businesses in the absence of the program. The program has also provided valuable technical assistance to small businesses to ensure growth and stability. The study commissioned by former Section 14069.6 of the Corporations Code, as added by Chapter 919 of the Statutes of 1997, documented the return on investment of the program and the need for its services. The value of the program has also been recognized by the Governor through proposals contained in the May Revision to the Budget Act of 2000 for the 2000–01 fiscal year. (c) A corporation shall not issue a guarantee under this section unless it determines that the following conditions are satisfied: (1) There is a low probability that the loan being guaranteed would be granted by a financial company or financial institution under reasonable terms and conditions and the borrower has demonstrated a reasonable prospect of repayment. (2) The loan proceeds will be used exclusively in this state. (3) The loan qualifies as a small business loan or an employment incentive loan. (4) The borrower has a minimum equity interest in the business as determined by the directives and requirements. (5) As a result of the loan being guaranteed, the jobs generated or retained demonstrate reasonable conformance to any directives and requirements specifying employment criteria. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  61. 63089.71.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 7. Loan Guarantees [63089.70 - 63089.71] ( Article 7 added by Stats. 2013, Ch. 537, Sec. 4. )

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    Corporations must give high priority to loan guarantees for small business incubators, businesses that lease space in incubators, and, when possible, SBIR recipients.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 7. Loan Guarantees [63089.70 - 63089.71] ( Article 7 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.71. (a) Among other priorities, corporations shall give high priority to the issuance of loan guarantees to small business incubators and to businesses that lease space in incubators. (b) For the purposes of this section, “incubator” means a facility that allows new small businesses to increase their probability of success by sharing needed capital equipment, services, and facilities, which may include, but are not limited to, the following: (1) Reception and meeting area. (2) Secretarial services, such as collating, telephone answering, or mailhandling. (3) Accounting and bookkeeping services. (4) Research libraries. (5) Onsite financial and management counseling. (6) Parking. (7) Flexible lease arrangements for flexible space. (8) Computer or word processing facilities. (9) Day care facilities. (10) Office furniture rentals. (11) A graduation policy sometimes requiring firms to leave after three to five years in a subsidized, nurturing environment. (12) Employee training and placement services. (c) Among other priorities, corporations shall give high priority to marketing their services to Phase 1 or Phase 2 Small Business Innovation Research (SBIR) recipients and providing loan guarantees, whenever possible. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  62. 63089.80.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 8. Direct Lending and Other Debt Instruments [63089.80- 63089.80.] ( Article 8 added by Stats. 2013, Ch. 537, Sec. 4. )

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    A corporation may use funds for direct lending and related debt instruments, but only under the directives and requirements and subject to several listed conditions.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 8. Direct Lending and Other Debt Instruments [63089.80- 63089.80.] ( Article 8 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.80. (a) A corporation may utilize funds for direct lending or other debt instruments pursuant to the directives and requirements. (b) The amount of funds available for direct lending and other debt instruments shall be determined by the directives and requirements. In its capacity as a direct lender, the corporation may sell in the secondary market the guaranteed portion of each loan, if guaranteed, so as to raise additional funds for direct lending. (c) To execute the direct loan and other debt instruments authorized pursuant to this chapter, including, but not limited to, those authorized pursuant to Section 63088.5, the bank may loan trust funds to a corporation for the express purpose of lending those funds to an identified borrower. The loan authorized by the bank to the corporation shall be on terms similar to the loan between the corporation and the borrower. (d) The amount of the loan, made to the corporation by the bank, may be in excess of the amount of a loan to any individual borrower, but actual disbursements pursuant to the bank loan agreement shall be required to be supported by a loan agreement between the borrower and the corporation in an amount at least equal to the requested disbursement. The loan between the bank and the corporation shall be evidenced by a credit agreement. In the event that any loan between the corporation and borrower is not guaranteed by a governmental agency, the portion of the credit agreement attributable to that loan shall be secured by assignment of any note, executed in favor of the corporation by the borrower to the bank. The terms and conditions of the credit agreement shall be similar to the loan agreement between the corporation and the borrower, which shall be collateralized by the note between the corporation and the borrower. (e) In the absence of fraud on the part of the corporation, the liability of the corporation to repay the loan to the bank is limited to the repayment received by the corporation from the borrower, except in a case where the United States Department of Agriculture requires exposure by the corporation in rule or regulation. The corporation may use trust funds for loan repayment to the bank if the corporation has exhausted a loan loss reserve created for this purpose. Interest and principal received by the bank from the corporation shall be deposited into the same account from which the funds were originally borrowed. (f) Upon the approval of the program manager, a corporation shall be authorized to borrow trust funds from the bank for the purpose of relending those funds to small businesses. A corporation shall demonstrate to the program manager that it has the capacity to administer a direct loan program, and has procedures in place to limit the default rate for loans to startup businesses. The percentage of any trust fund account to be used for the direct lending pursuant to this subdivision shall be established in the directives and requirements. (g) A corporation shall not issue a direct loan or other debt instrument unless and until it determines that all of the following conditions are satisfied: (1) The direct loan or other debt instrument assistance would not be granted by a financial company or financial institution under reasonable terms and conditions and the borrower has demonstrated a reasonable prospect of repayment. (2) The direct loan or debt instrument proceeds will be used exclusively in this state. (3) The direct loan or debt instrument qualifies as a small business loan or employment incentive loan. (4) The borrower has a minimum equity interest in the business as determined by the directives and requirements. (5) As a result of the direct loan or other debt instrument, the jobs generated or retained demonstrate reasonable conformance to any directives and requirements specifying employment criteria. (h) The maximum direct loan or other debt instrument amount to a small business shall be set by the directives and requirements. In the absence of fraud on the part of the corporation, the repayment obligation pursuant to the loan or other debt instrument to the corporation shall be limited to the amount of funds received by the corporation for the direct loan or other debt instrument to the small business and any other funds received from the bank that are not disbursed. The corporation shall be authorized to charge a fee to the small business borrower, in an amount determined pursuant to the directives and requirements. The programs and debt instruments provided for in this article shall be available in all geographic areas of the state. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  63. 63089.90.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 9. Disaster Loan Guarantees [63089.90- 63089.90.] ( Article 9 added by Stats. 2013, Ch. 537, Sec. 4. )

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    A corporation may provide disaster loan guarantees for eligible disaster-affected recipients, but it must first verify specific borrower and loan conditions before issuing a guarantee.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 9. Disaster Loan Guarantees [63089.90- 63089.90.] ( Article 9 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.90. (a) Pursuant to Section 8684.2 and the contract between a corporation and the bank, a corporation may, in an area affected by a state of emergency within the state and declared a disaster by the President of the United States, the Administrator of the United States Small Business Administration, or the United States Secretary of Agriculture, or declared to be in a state of emergency by the Governor of California, provide loan guarantees from funds allocated in Section 63089.55 to small businesses, small farms, nurseries, and agriculture-related enterprises that have suffered actual physical damage or significant economic injury as a result of the disaster. (b) The bank board may adopt directives and requirements to implement the disaster loan guarantee program authorized by this section. Any regulations adopted under Chapter 1 (commencing with Section 14000) of Part 5 of Division 3 of Title 1 of the Corporations Code shall remain in effect until the bank adopts directives and requirements, however, these regulations shall have no effect after June 1, 2015. (c) A corporation shall not issue a disaster loan guarantee unless and until it determines that the following conditions are satisfied: (1) The borrower cannot reasonably obtain a disaster loan without some form of credit enhancement. (2) The borrower has demonstrated a reasonable prospect of repayment. (3) The guaranteed loan will be used exclusively in this state. (4) The disaster loan qualifies as a small business loan or employment incentive loan. (d) Allocations pursuant to subdivision (a) shall be deemed to be for extraordinary emergency or disaster response operations costs incurred by the issuance of disaster loan guarantees. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  64. 63089.95.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 10. Surety Bond Guarantees [63089.95 - 63089.96] ( Article 10 added by Stats. 2013, Ch. 537, Sec. 4. )

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    A corporation may provide surety-bond related guarantees and financial assistance only if the bank contract authorizes it, and it may not make or guarantee a loan unless it first finds the stated conditions are met.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 10. Surety Bond Guarantees [63089.95 - 63089.96] ( Article 10 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.95. In furtherance of the purposes set forth in Section 63088.1 of this code and Section 14001 of the Corporations Code, a corporation may do any one or more of the following activities, but only to the extent that the activities are authorized pursuant to the contract between the bank and corporation: guarantee, endorse, or act as surety on the bonds, notes, contracts, or other obligations of, or assist financially, any person, firm, corporation, or association, and may establish and regulate the terms and conditions with respect to any such guarantees or financial assistance and the charges for interest and service connected therewith, except that the corporation shall not make or guarantee any loan, unless and until it determines: (a) There is a low probability that the surety bond would be granted by a financial institution or financial company under reasonable terms or conditions, and the beneficiary has demonstrated a reasonable prospect of successful completion of the project. (b) The surety bond project coverage will be used exclusively in this state. (c) The beneficiary has a minimum equity interest in the business as determined by the directives and requirements. (d) As a result of the surety bond, the jobs generated or retained demonstrate reasonable conformance to the directives and requirements specifying employment criteria. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  65. 63089.96.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 10. Surety Bond Guarantees [63089.95 - 63089.96] ( Article 10 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    A corporation may act as a guarantor on a surety bond for a small business contractor.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 10. Surety Bond Guarantees [63089.95 - 63089.96] ( Article 10 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.96. (a) In addition to the authority granted by Section 63089.95, pursuant to the directives and requirements a corporation may act as guarantor on a surety bond for any small business contractor, including, but not limited to, women, minority, and disabled veteran contractors. (b) The provisions of subdivision (a) allowing a corporation to act as a guarantor on surety bonds may be funded through appropriate state or federal funding sources. Federal funds shall be deposited in the Federal Trust Fund in the State Treasury in accordance with Section 16360, for transfer to the expansion fund. (Added by Stats. 2013, Ch. 537, Sec. 4. (AB 1247) Effective October 4, 2013.)
  66. 63089.97.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 11. Reporting [63089.97 - 63089.98] ( Article 11 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    Each corporation must send the program manager specified data, reports, and listed documents, using the format the program manager prescribes.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 11. Reporting [63089.97 - 63089.98] ( Article 11 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.97. Each corporation shall provide to the program manager, in a format prescribed by him or her, the following data and reports: (a) A summary of all outstanding loans, bonds, and other credit enhancements to which a corporation guarantee, as authorized by this chapter, is attached, on a schedule determined by the program manager. (b) A summary of all outstanding direct loans and other debt instruments made by a corporation, as authorized by this chapter, on a schedule determined by the program manager. (c) A summary of all outstanding other financial project obligations made by a corporation, as authorized by this chapter, on a schedule determined by the program manager. (d) Statement of economic interests from each designated person pursuant to Section 87302. (e) No later than July 31 of each fiscal year, commencing January 1, 2014, each of the following documents: (1) A copy of the corporation board approved budget for the current fiscal year. (2) Projected fiscal year summary of authorized program activities including direct loans, loan guarantees, bond guarantees, and other financial product activity supported by the expansion fund. (3) A copy of the written plan of operation or strategic plan for the current fiscal year as approved by the corporations board of directors. (4) A copy of the current and valid articles of incorporation and bylaws of the corporation with noted amendments from the prior fiscal year. (f) No later than October 31 of each year commencing January 1, 2014, a copy of the corporation’s prior fiscal year audit, auditor findings, if any, and finding responses. (g) A list by city and county of the number and dollar value of all credit enhancements and debt instruments the corporation entered into, pursuant to this chapter, during the report year, and that are outstanding at the close of the fiscal year. (h) Any other statistical and other data, reports, or other information required by the directives and requirements or the program manager. (Amended by Stats. 2015, Ch. 191, Sec. 1. (AB 1537) Effective January 1, 2016.)
  67. 63089.98.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 11. Reporting [63089.97 - 63089.98] ( Article 11 added by Stats. 2013, Ch. 537, Sec. 4. )

    Verify source ↗

    The program manager must prepare an annual report, submit it to the Governor and Legislature by January 1 each year, and post it on the bank’s website.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 11. Reporting [63089.97 - 63089.98] ( Article 11 added by Stats. 2013, Ch. 537, Sec. 4. ) ## 63089.98. (a) Annually, not later than January 1 of each year commencing January 1, 2014, and notwithstanding Section 10231.5, the program manager shall prepare and submit to the Governor and the Legislature, as part of the report required by Section 63035, a report for the preceding fiscal year ending June 30, containing the expansion fund and trust fund financial product activity of each corporation, including all of the following: (1) Direct loans, guarantees, and other financial products awarded and outstanding balances. (2) Default and loss statistics. (3) Employment data. (4) Ethnicity and gender data of participating contractors and other entities, and experience of surety insurer participants in the bond guarantee program. (5) Geographic distribution by city and county of the direct loans, guarantees, and other financial products awarded and outstanding at the close of the fiscal year. (6) Significant events. (b) The program manager shall post the report on the bank’s internet website. (Amended by Stats. 2022, Ch. 427, Sec. 14. (SB 1489) Effective January 1, 2023.)
  68. 63089.99.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 12. Venture Capital Program [63089.99- 63089.99.] ( Article 12 added by Stats. 2022, Ch. 68, Sec. 28. )

    Verify source ↗

    This section establishes a venture capital program within the bank and sets out who runs it and what the bank may do.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 1. THE BERGESON-PEACE INFRASTRUCTURE AND ECONOMIC DEVELOPMENT BANK ACT [63000 - 63089.99] ( Heading of Division 1 amended (as added by Stats. 1994, Ch. 94) by Stats. 1994, Ch. 749, Sec. 1. ) ## CHAPTER 6. Small Business Financial Assistance Act of 2013 [63088 - 63089.99] ( Chapter 6 added by Stats. 2013, Ch. 537, Sec. 4. ) ## ARTICLE 12. Venture Capital Program [63089.99- 63089.99.] ( Article 12 added by Stats. 2022, Ch. 68, Sec. 28. ) ## 63089.99. (a) A venture capital program is hereby established within the bank. (b) The Governor shall appoint a deputy director who shall have direct authority over the venture capital program and serve at the pleasure of the Governor. Notwithstanding any law in this chapter, the deputy director shall act under the guidance and authority of the executive director. (c) The venture capital program shall operate pursuant to directives and requirements developed and approved by the bank board. (d) Pursuant to the venture capital program and to the extent permissible, the bank may do both of the following: (1) Acquire contract rights, or enter into contracts involving loans or bonds (including without limitation, loans and bonds with shared appreciation rights or contingent interest payments) with respect to investment funds, investment fund management companies, special purpose investment vehicles, trusts, nonprofit entities, small businesses, and other private business entities. (2) Reinvest the proceeds received by the bank from any loans or contract rights, as described in paragraph (1). (e) Any loans or contract rights made by the bank pursuant to this section shall be exempt from the usury provisions of Section 1 of Article XV of the California Constitution. This subdivision creates and authorizes exempt classes of transactions and persons pursuant to Section 1 of Article XV of the California Constitution. (f) An action to determine the validity of any resolution, agreement, or other method of financing authorized or undertaken pursuant to this section may be brought pursuant to Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the Code of Civil Procedure. (Added by Stats. 2022, Ch. 68, Sec. 28. (SB 193) Effective June 30, 2022.)
  69. 6310.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. )

    Verify source ↗

    This section creates the International Genocide Memorial Commission and sets out how its nine members are appointed, how they choose a chairperson, and how members are paid.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. ) ## 6310. (a) There is in state government the International Genocide Memorial Commission composed of nine members, as follows: (1) Two members appointed by the Speaker of the Assembly, at least one of whom shall be a Member of the Assembly. The nonlegislative member shall be a genocide survivor or a descendant of a genocide survivor. (2) Two members appointed by the Senate Committee on Rules, at least one of whom shall be a Member of the Senate. The nonlegislative member shall be a genocide survivor or a descendant of a genocide survivor. (3) Five members appointed by the Governor, one of whom shall be a member of the Governor’s staff or a Governor’s appointee in the executive branch of state government and at least four of whom shall be genocide survivors or descendants of genocide survivors. (b) The members shall elect one of their number to serve as chairperson. (c) Members of the Legislature shall serve on the commission as ex officio members without vote and shall participate in the activities of the commission to the extent that the participation is not incompatible with their legislative duties. (d) Members of the commission may select representatives to attend commission activities if they themselves are unable to attend. (e) Members of the commission shall receive no compensation but, except for the legislative members, shall receive per diem and expenses while engaged in commission activities. (Added by Stats. 2006, Ch. 849, Sec. 2. Effective January 1, 2007.)
  70. 6311.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. )

    Verify source ↗

    Construction of the memorial is authorized, but it cannot start without required approvals and the department must wait for the State Capitol Park master plan unless an exemption is sought.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. ) ## 6311. (a) The construction of a memorial to California’s genocide survivors in the Capitol Historic Region is hereby authorized. The actual construction of the memorial may not proceed without the prior approval of the Department of General Services and the Capitol Park Master Plan Group. (b) The department shall not begin construction of the memorial until the master plan of the State Capitol Park is approved and adopted by the Joint Committee on Rules. However, if the master plan of the State Capitol Park is not approved or adopted by the Joint Committee on Rules on or before January 1, 2021, the department may apply to the Joint Committee on Rules for an exemption to allow siting and construction. (c) Funds for the construction of the memorial shall be provided through private contributions. The commission may receive contributions for this purpose. (d) The department, in consultation with the International Genocide Memorial Commission, shall seek to accomplish the following goals: (1) Review the preliminary design plans to identify potential maintenance concerns. (2) Compliance with the Americans with Disabilities Act and other safety concerns. (3) Review and approval of proper California Environmental Quality Act documents prepared for work at the designated historic property. (4) Review of final construction documents to ensure that all requirements are met. (5) Preparation of the right of entry permit outlining the final area of work, final construction documents, construction plans, the contractor hired to perform the work, insurance, bonding, provisions for damage to state property, and inspection requirements. (Amended by Stats. 2016, Ch. 700, Sec. 1. (AB 2790) Effective September 27, 2016.)
  71. 6312.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. )

    Verify source ↗

    The commission may manage the memorial’s design and construction process, including scheduling, solicitation, selection, monitoring, dedication planning, and biannual progress reports to the Legislature.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. ) ## 6312. With respect to the design and construction of the memorial, the commission may do all of the following: (a) Establish a schedule for design, construction, and dedication of the memorial. (b) Implement procedures to solicit designs for the memorial and devise a selection process for the choice of the design. (c) Select individuals or organizations to provide fundraising services and to construct the memorial. (d) Review and monitor the design and construction of the memorial and establish a program for the dedication of the memorial. (e) Report to the Legislature biannually through the Joint Committee on Rules on the progress of the memorial notwithstanding Section 7550.5. (Added by Stats. 2006, Ch. 849, Sec. 2. Effective January 1, 2007.)
  72. 6313.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. )

    Verify source ↗

    State money cannot be used for the chapter’s purposes; the memorial must be funded privately, and if built, the commission must maintain it with necessary funding and resources.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 4.1. International Genocide Memorial [6310 - 6313] ( Chapter 4.1 added by Stats. 2006, Ch. 849, Sec. 2. ) ## 6313. (a) No state moneys shall be expended for any of the purposes specified in this chapter. Funds for the construction of the memorial shall be provided exclusively through private contributions for this purpose. (b) If the memorial is constructed, the commission shall maintain the memorial by providing for all necessary funding and resources. (Added by Stats. 2006, Ch. 849, Sec. 2. Effective January 1, 2007.)
  73. 64100.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    This division may be cited as the California Transportation Financing Authority Act.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64100. This division shall be known and may be cited as the California Transportation Financing Authority Act. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  74. 64101.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The California Transportation Financing Authority is created in state government and is treated as a public instrumentality.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64101. The California Transportation Financing Authority is hereby created in state government. The authority constitutes a public instrumentality, and the exercise by the authority of the powers conferred by this division shall be deemed and held to be the performance of an essential public function. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  75. 64102.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    This section defines key terms used in this division.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64102. As used in this division, the following terms shall have the following meanings, unless the context clearly indicates or requires another or different meaning or intent: (a) “Authority” shall mean the California Transportation Financing Authority. (b) “Bonds” shall mean bonds, notes, debentures, commercial paper, or any other evidence of indebtedness, lease, installment, sale, or certificate of participation thereon, issued by the authority or a project sponsor pursuant to this division. (c) “Commission” shall mean the California Transportation Commission. (d) “Cost,” as applied to a project or portion of a project financed under this division, shall mean and include all or any part of the cost of construction and acquisition of all lands, structures, real or personal property rights, rights-of-way, franchises, easements, and interests acquired or used for a project, the cost of demolishing or removing any buildings or structures on land so acquired, including the cost of acquiring any lands to which those buildings or structures may be moved, the cost of all machinery and equipment, financing charges, interest prior to, during, and for a period not to exceed the later of one year or one year following completion of construction, as determined by the authority, the cost of insurance during construction, the cost of funding or financing noncapital expenses, reserves for principal and interest and for extensions, enlargements, additions, replacements, renovations, and improvements, the cost of engineering, architectural, financial, legal, and other necessary services, plans, specifications, studies, surveys, estimates, administrative expenses, and other expenses of funding or financing, that are necessary or incident to determining the feasibility of any project, or that are incident to the construction, rehabilitation, acquisition, or financing of any project. (e) “Department” shall mean the Department of Transportation. (f) “Issuer” shall mean the authority when the authority is the issuer of the bonds, and shall mean the project sponsor when the authority has authorized the project sponsor to be the issuer of the bonds. (g) “Project” shall mean and include all or a portion of the planning, design, development, finance, construction, reconstruction, rehabilitation, improvement, acquisition, lease, operation, or maintenance of highway, public street, rail, bus, or related facilities supplemental to or improvements upon existing facilities currently owned or operated by the department or other project sponsor. A rail project may consist of, or include, rolling stock. (h) “Project sponsor” shall mean either the department, a regional transportation planning agency designated pursuant to Section 29532 or 29532.1, a county transportation commission as defined in Section 130050, 130050.1, or 130050.2 of the Public Utilities Code, any other local or regional transportation entity that is designated by statute as a regional transportation agency, or a joint exercise of powers authority as defined in Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 or an agency designated pursuant to Section 66531 to submit the county transportation plan, with the consent of a transportation planning agency or a county transportation commission for the jurisdiction in which the transportation project will be developed. (i) “Working capital” means moneys to be used by, or on behalf of, a project sponsor to pay or prepay maintenance or operation expenses or any other costs that would be treated as an expense item, under generally accepted accounting principles, in connection with the ownership or operation of a project, including, but not limited to, reserves for maintenance or operation expenses, interest for a period not to exceed one year on any loan for working capital made pursuant to this division, and reserves for debt service with respect to, and any costs necessary or incidental to, that financing. (Amended by Stats. 2013, Ch. 198, Sec. 1. (AB 1070) Effective January 1, 2014.)
  76. 64103.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    This section sets the California Transportation Financing Authority’s membership, pay status, internal appointments, delegation power, and quorum rules.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64103. (a) The authority shall consist of seven members, as follows: (1) The Treasurer, who shall serve as the chair of the authority. (2) The Director of Finance. (3) The Controller. (4) The Director of Transportation. (5) The executive director of the commission. (6) A local agency representative appointed by the Senate Committee on Rules. (7) A local agency representative appointed by the Speaker of the Assembly. (b) Members of the authority shall serve without compensation, but the authority may reimburse its members for necessary expenses incurred in the discharge of their duties. (c) The Director of Finance may designate an employee of the Department of Finance to act for him or her at all meetings of the authority. (d) The director of the department may designate an employee of the department to act for him or her at all meetings of the authority. (e) The executive director of the commission may designate an employee of the commission to act for him or her at all meetings of the authority. (f) The chair of the authority shall appoint an executive director. The offices of the authority shall be located in the office of the Treasurer. The authority may, by resolution, delegate to one or more of its members or its executive director or any employee of the authority such powers and duties that it may deem proper, including, but not limited to, the power to enter into contracts on behalf of the authority. (g) Four members of the authority shall constitute a quorum. The affirmative vote of a majority of the members present at a duly constituted meeting of the authority shall be necessary for any action taken by the authority. Additionally, the authority may not take any action unless a quorum is present at the time of the vote. (Amended by Stats. 2010, Ch. 478, Sec. 4. (AB 2777) Effective January 1, 2011.)
  77. 64104.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority administers this division and has all powers reasonably necessary to carry out the powers and responsibilities given by it.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64104. The provisions of this division shall be administered by the authority, which shall have and is hereby vested with all powers reasonably necessary to carry out the powers and responsibilities expressly granted or imposed under this division. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  78. 64105.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority’s objective is to increase new capacity or improvements for the state transportation system, while supporting greenhouse gas reduction, air quality improvement, and natural resource conservation goals.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64105. The objective of the authority shall be to increase the construction of new capacity or improvements for the state transportation system in a manner that is consistent with and will help meet the state’s greenhouse gas reduction goals, air quality improvement goals, and natural resource conservation goals, through the issuance of, or the approval of the issuance of, bonds backed, in whole or in part, by the revenue streams specified in Section 64109. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  79. 64106.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The Attorney General is the authority’s legal counsel, the Treasurer is its treasurer, and the authority may hire legal counsel with the Attorney General’s approval.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64106. (a) The Attorney General shall be the legal counsel for the authority, however, with the approval of the Attorney General, the authority may employ legal counsel as in its judgment is necessary or advisable to carry out the duties and functions imposed upon it by this division, including the employment of bond counsel as may be deemed advisable in connection with the issuance and sale of bonds. (b) The Treasurer shall be the treasurer for the authority. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  80. 64107.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority may take a range of actions, including adopting bylaws and a seal, suing and being sued, accepting funds, hiring consultants, making or buying loans, securing project interests, charging costs to project sponsors, and doing what is necessary to carry out its purposes.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64107. The authority may do any of the following: (a) Adopt bylaws for the regulation of its affairs and the conduct of its business. (b) Adopt an official seal. (c) Sue and be sued in its own name. (d) Receive and accept from any agency of the United States, any agency of the state, or any municipality, county, or other political subdivision thereof, or from any individual, association, or corporation gifts, grants, or donations of moneys for achieving any of the purposes of this division. (e) Engage the services of private consultants to render professional and technical assistance and advice in carrying out the purposes of this division. (f) Receive and accept from any source loans, contributions, or grants for, or in aid of, the construction, financing, or refinancing of a project or any portion of a project in money, property, labor, or other things of value. (g) Make secured or unsecured loans to, or purchase secured or unsecured loans of, any project sponsor in connection with the financing of a project or working capital in accordance with an agreement between the authority and the project sponsor. However, no loan to finance a project shall exceed the total cost of the project, as determined by the project sponsor and approved by the authority. (h) Make secured or unsecured loans to, or purchase secured or unsecured loans of, any project sponsor in accordance with an agreement between the authority and the project sponsor to refinance indebtedness incurred by that project sponsor for the costs of projects undertaken or for projects acquired or for working capital. (i) Mortgage all or any portion of the interest of the authority in a project and the property on which that project is located, whether owned or thereafter acquired, including the granting of a security interest in any property, tangible or intangible, and to assign or pledge all or any portion of the interests of the authority in mortgages, deeds of trust, indentures of mortgage or trust, or similar instruments, notes, and security interests in property, tangible or intangible, of projects for which the authority has made loans, and the revenues therefrom, including payments or income from any thereof owned or held by the authority, for the benefit of the holders of bonds issued to finance or refinance a project or issued to refund or refinance outstanding indebtedness of project sponsors as permitted by this division. (j) Charge and equitably apportion among project sponsors, the administrative costs and expenses incurred by the authority in the exercise of its powers and duties conferred by this division. (k) Participate in all things necessary and convenient to carry out its purposes and exercise its powers. (Amended by Stats. 2013, Ch. 198, Sec. 2. (AB 1070) Effective January 1, 2014.)
  81. 64107.5.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority or issuer may obtain insurance or guarantees, enter related agreements, invest certain funds, and hire or contract for services related to bonds and projects.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64107.5. The authority or issuer may do any of the following: (a) Obtain, or aid in obtaining, from any department or agency of the United States or of the state, any private company, any insurance or guarantee as to, of, or for the payment or repayment of, interest or principal, or both, or any part thereof, on any bond, loan, lease, or obligation, or any instrument evidencing or securing the loan, lease, or obligation, made or entered into pursuant to this division; and notwithstanding any other provisions of this division, to enter into any agreement, contract, or any other instrument whatsoever with respect to that insurance or guarantee, to accept payment in the manner and form as provided therein in the event of default by a project sponsor, and to assign that insurance or guarantee as security for the issuer’s bonds. (b) Enter into any and all agreements or contracts, including agreements for liquidity and credit enhancement and interest rate swaps or hedges, execute any and all instruments, and do and perform any and all acts or things necessary, convenient, or desirable for the purposes of the issuer or to carry out any power expressly granted by this division. (c) Invest any moneys held in reserve or sinking funds or any moneys not required for immediate use or disbursement, at the discretion of the issuer, in any obligations authorized by the resolution authorizing the issuance of the bonds secured thereof or authorized by law for the investment of trust funds in the custody of the Treasurer. (d) Employ and fix the compensation of bond counsel, financial consultants, and advisers as may be necessary in its judgment in connection with the issuance and administration of any bonds and contract for engineering, architectural, accounting, or other services as may be necessary in the judgment of the issuer for the successful development of any project. (Added by Stats. 2013, Ch. 198, Sec. 3. (AB 1070) Effective January 1, 2014.)
  82. 64108.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority must fund its expenses only from money provided under this division, and it cannot create state debt or liability beyond that funding. It may borrow money for initial organization and operation during the stated start-up period, and borrowed amounts must later be allocated to project sponsors and repaid with appropriate interest.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64108. All expenses of the authority incurred in carrying out the provisions of this division shall be payable solely from funds provided pursuant to this division, and no liability shall be incurred by the authority beyond the extent to which moneys shall have been provided under this division, except that for the purposes of meeting the necessary expenses of initial organization and operation of the authority for the period commencing January 1, 2010, and continuing until the date the authority derives money from funds provided to it under the provisions of this division, the authority may borrow moneys as the authority may require. Any moneys borrowed by the authority shall subsequently be charged to and apportioned among project sponsors in an equitable manner and the moneys repaid with appropriate interest over a reasonable period of time. Under no circumstances shall the authority create any debt, liability, or obligation on the part of the State of California payable from any source whatsoever other than the moneys provided under the provisions of this division. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  83. 64109.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    A project sponsor may pledge certain revenue sources for transportation revenue bonds, and the authority must accept the pledge when a project is being financed or refinanced under this division.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64109. (a) To the extent permitted by law, in connection with any project financed or refinanced pursuant to this division, the project sponsor may pledge the following revenue sources as security for revenue bonds issued under this division: (1) Local transportation funds, including, but not limited to, fuel taxes, Article XIX B fuel sales taxes, local transportation sales taxes, other state revenues approved for this purpose by the Legislature or by initiative, and developer fees. To the extent that these revenue sources are within the control of a local agency, the revenue sources may only be pledged with approval of the governing board of the local agency. To the extent that these revenues are within the control of a state agency, the revenue sources may only be pledged with approval by the department and the commission. (2) Tolls, on facilities where not otherwise prohibited by statute, collected by a project sponsor with the approval of the authority. (b) Where the authority is issuing bonds to finance or refinance a project, the authority shall accept a project sponsor’s pledge made pursuant to subdivision (a) and pledge those revenues to the repayment of bonds issued to finance or refinance the applicable project. (Amended by Stats. 2013, Ch. 198, Sec. 4. (AB 1070) Effective January 1, 2014.)
  84. 64110.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    A project sponsor may apply for bond issuance for an approved transportation project, and the authority must ensure several financing prerequisites are met; the sponsor also has notice, comment, and reporting duties in certain cases.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64110. (a) A project sponsor may apply to the authority for bond issuance by the authority or project sponsor for a transportation project that has been approved by the department and the commission for construction. (b) The authority shall also ensure that the following requirements are met for a project to be financed or refinanced under this division to the extent these criteria have not already been met through approval of the project by the commission: (1) The project complies with all relevant statutes applicable to planning, programming, and construction of transportation improvement projects, and is contained in the constrained portion of a conforming regional transportation plan prepared pursuant to Section 65080 and identified as a project proposed to be funded under the authority provided by this division. For purposes of this subdivision, a regional transportation plan must be consistent with greenhouse gas reduction targets assigned by the State Air Resources Board, pursuant to Division 25.5 (commencing with Section 35800) of the Health and Safety Code. (2) For projects on the state highway system, the project sponsor has cooperated with the department to secure its support for the project and to ensure that the project is consistent with the needs and requirements of the state highway system. (3) The project is technically feasible in that it conforms to federal standards and meets or exceeds environmental requirements. (4) The project is financially feasible, as determined pursuant to Section 64111. (5) Performance measures have been developed for the project to enable the commission to track and report on the project’s performance to the Legislature in the commission’s annual report prepared pursuant to Section 14535. (6) The project has support in the communities adjacent to or affected by the project. To ensure that such support can be demonstrated, the project sponsor shall, at a minimum, make available for public review and comment the proposed project, including any proposed toll schedule, no less than 30 days prior to approval by the governing body with jurisdiction over the project. (7) In the case of highway projects, the project sponsor submits to the commission and to the authority a plan that demonstrates how transit service or alternative modes of transportation will be enhanced in the corridor concurrent with the operation of a toll facility for the purpose of ensuring that the corridor provides for multiple modes of transport that accommodate all users. Nothing in this section may be construed to require that toll revenues be used to finance the enhancement of transit or alternative means of transportation in the project corridor. (c) The authority shall have no power to plan projects, or to approve projects other than provided in this division. The authority shall have no power to assume any of the planning, programming, or allocation authority of the department or the commission. (d) Beginning June 30, 2011, and annually thereafter, the authority shall provide to the commission a summary of actions taken in the previous calendar year, including the number of project sponsors who sought financing through the authority, a description of each project, a summary of the sources of funding used to finance or refinance the project, and any recommendations the authority may have to improve the financing of transportation infrastructure, to be included in the commission’s annual report to the Legislature as required by Section 14535. (Amended by Stats. 2013, Ch. 198, Sec. 5. (AB 1070) Effective January 1, 2014.)
  85. 64111.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority must check that project money will cover bond debt service and project operation and maintenance before issuing or approving bonds. It may hire consultants, issue or approve bonds on certain terms, and must not force project sponsors to use or fund extra credit support.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64111. (a) Prior to issuing or approving the issuance of bonds for a project, the authority shall determine that the revenues and other moneys available for a project will be sufficient to pay debt service on the bonds and to operate and maintain the project over the life of the bonds consistent with the objective set forth in Section 64105. The authority may hire outside consultants to assist in making these determinations. (b) The authority may issue or approve the issuance of bonds to achieve any of its purposes under this division and bonds may be issued without investment grade ratings, as long as the bonds are sold only to qualified institutional buyers or accredited investors who attest upon purchase that they understand the nature of the risks of their investment. The bonds may be taxable or tax exempt and may be sold at public or private negotiated sale. The Treasurer shall serve as the agent for sale for all authority bond issues, and shall be reimbursed from bond proceeds to cover the Treasurer’s costs related to the issuance of these bonds. As used in this subdivision, “accredited investor” shall have the meaning as defined in subdivision (a) of Section 5950, and “qualified institutional buyer” shall have the meaning as defined in subdivision (h) of Section 5950. (c) A project sponsor for which the authority has granted a request that the project sponsor issue the bonds, in addition to any other powers it may have under any other law, shall have all of the powers of the authority under this division necessary or convenient for the purpose of issuing, securing, and repaying the bonds and financing or refinancing the project. (d) The issuer may arrange additional credit support for the bond issues. However, the authority may not compel project sponsors to make use of that credit enhancement, nor compel them to contribute to it by becoming part of a common credit or by providing funding for a common reserve or other enhancement mechanism. (Amended by Stats. 2013, Ch. 198, Sec. 6. (AB 1070) Effective January 1, 2014.)
  86. 64112.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority may allow a project sponsor or the department to impose and collect tolls, but only if the listed conditions are met.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64112. Notwithstanding any other law, the authority may authorize a project sponsor, or the department, to impose and collect tolls as one source of revenue to pay debt service and to operate and maintain a project under the following conditions: (a) The governing body of the project sponsor, by a majority vote of the body, or, for projects sponsored by the department, the commission, has approved the imposition of tolls on users of the project, or a majority of the voters within the jurisdiction of the project sponsor has approved a ballot measure imposing the tolls. (b) Each highway project for which tolls are imposed shall have nontolled alternative lanes available for public use in the same corridor as the proposed toll project. Nothing in this division shall allow the conversion of any existing nontolled or non-user-fee lanes into tolled or user-fee lanes, except for the conversion of high-occupancy vehicle lanes into high-occupancy toll lanes, consistent with the authorizations in Sections 149.1, 149.4, 149.5, 149.6, and 149.7 of the Streets and Highways Code. (c) For highway projects, the road segment is on the state highway system. Nothing in this division shall allow the imposition of a toll on any local street or road. (d) The approval of the tolls pursuant to subdivision (a) shall require that the tolls be set and maintained at a level expected to be sufficient to pay debt service, operations, and maintenance of the project over the life of the bonds consistent with the objective set forth in Section 64105. (e) The project’s financial pro forma shall incorporate life-cycle costs for the project, including revenues to pay for maintenance, operation, and rehabilitation. (f) Subject to any constraints in the bond documents necessary to make the bonds marketable, excess revenues from operation of the project, including toll revenues, shall be used exclusively in the corridor from which the revenue was generated to fund acquisition, construction, improvement, maintenance, or operation of high-occupancy vehicle facilities, other transportation purposes, or transit service, including, but not limited to, support for transit operations pursuant to an expenditure plan. The project sponsor, in consultation with the department, shall issue an expenditure plan that describes transportation improvements for the corridor. This expenditure plan shall include projected costs, the use of toll revenues, and a proposed completion schedule. The expenditure plan shall be updated annually. The plan and each annual update shall be made available for public review and comment for not less than 30 days prior to adoption by the governing board of the project sponsor. (g) Except for purposes of implementing congestion management mechanisms pursuant to Section 64113, tolls shall not be set to generate more revenue than the expected cost of paying debt service on the bonds, contracts entered into by the authority or the project sponsor in connection with the bonds, funding reserves, operating and maintaining the project, repair and rehabilitation of the project, and providing transportation improvements to the corridor pursuant to subdivision (f). (Amended by Stats. 2013, Ch. 198, Sec. 7. (AB 1070) Effective January 1, 2014.)
  87. 64113.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    A project sponsor for a toll project may add congestion management mechanisms.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64113. A project sponsor of a project imposing tolls may incorporate congestion management mechanisms to regulate usage and increase mobility, accessibility, and environmental benefits. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  88. 64114.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority and the commission must cooperate on project and financing approvals, work with project sponsors, and give the public at least 30 days to review and comment on the project and financing description before approval.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64114. The authority and the commission shall develop an approval process that results in project approval by the commission and financing approval by the authority in a cooperative manner that is not sequential, in order that both approvals may be delivered to a project at approximately the same time. Both agencies shall work with potential project sponsors to ensure that projects are developed and brought forward for approval in a manner consistent with the commission’s project requirements and the authority’s financing requirements. No less than 30 days prior to approving the project and its financing plan, the commission and the authority shall make available for public review and comment a description of the project and its financing. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  89. 64115.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    This section lets the issuer issue negotiable bonds and lets the Treasurer sell them, subject to stated terms and a 6% discount cap in most cases.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64115. (a) The issuer may, from time to time, issue its negotiable bonds in order to provide funds for achieving any of its purposes under this division. (b) Except as may otherwise be expressly provided by the issuer, each of its bonds shall be payable from any revenues or moneys of the issuer available therefor and not otherwise pledged, subject only to any agreements with the holders of particular bonds or notes pledging any particular revenues or moneys. Notwithstanding that those bonds may be payable from a special fund, they shall be and be deemed to be for all purposes negotiable instruments, subject only to the provisions of those bonds for registration. (c) The bonds may be issued as serial bonds or as term bonds, or the issuer, in its discretion, may issue bonds of both types. The issuance of all bonds shall be authorized by resolution and shall bear the date or dates, mature at the time or times not exceeding 40 years from their respective dates, bear interest at the rate or rates, fixed or variable, be payable at the time or times, be in the denominations, be in the form, either coupon or registered, carry the registration privileges, be executed in the manner, be payable in lawful money of the United States of America at the place or places, and be subject to the terms of redemption, as the indenture, trust agreement, or other document authorized by the resolution, or resolution itself may provide. The bonds or notes may be sold by the Treasurer at public or private negotiated sale, after giving due consideration to the recommendation of the project sponsor, for such price or prices and upon such terms and conditions as the issuer shall determine. The Treasurer may sell those bonds at a price below the par value thereof. However, the discount on any bonds so sold shall not exceed 6 percent of the par value thereof, except in the case of any bonds payable in whole or in part from moneys held under one or more outstanding resolutions or indentures. Pending preparation of the definitive bonds, the issuer may issue interim receipts or certificates or temporary bonds that shall be exchanged for those definitive bonds. (d) Any resolution or resolutions authorizing the issuance of any bonds or any issue of bonds may contain provisions, which shall be a part of the contract with the holders of the bonds to be authorized, as to pledging all or any part of the revenues of a project or any revenue-producing contract or contracts made by the issuer with any individual, partnership, corporation, or association or other body, public or private, to secure the payment of the bonds or of any particular issue of bonds. (e) Neither the members of the authority nor any person executing the bonds shall be liable personally on the bonds or be subject to any personal liability or accountability by reason of the issuance thereof. (f) The authority shall have power out of any funds available therefor to purchase its bonds or bonds issued by a project sponsor under this division. The authority may hold, pledge, cancel, or resell the bonds, subject to and in accordance with agreements with bondholders. (Amended by Stats. 2013, Ch. 198, Sec. 8. (AB 1070) Effective January 1, 2014.)
  90. 64116.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority may let bond financing be secured by a trust agreement or indenture, and those documents may include revenue pledges and other bondholder-protection terms.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64116. In the discretion of the authority, any bonds issued under this division may be secured by a trust agreement or indenture by and between the issuer and a corporate trustee or trustees, which may be the Treasurer or any trust company or bank having the powers of a trust company within or without the state. The trust agreement, indenture, or the resolution providing for the issuance of those bonds may pledge or assign the revenues to be received from a project sponsor or pursuant to any revenue-producing contract or as pledged by the issuer pursuant to Section 64109. The indenture, trust agreement, or resolution providing for the issuance of those bonds may contain provisions for protecting and enforcing the rights and remedies of the bondholders as may be reasonable and proper and not in violation of law, including, particularly, provisions as have been specifically authorized to be included in any resolution or resolutions authorizing bonds thereof. The trust agreement or indenture may set forth the rights and remedies of the bondholders and of the trustee or trustees, and may restrict the individual right of action of bondholders. In addition to the foregoing, the indenture, trust agreement, or resolution may contain other provisions as the authority or issuer may deem reasonable and proper for the security of the bondholders. (Amended by Stats. 2013, Ch. 198, Sec. 9. (AB 1070) Effective January 1, 2014.)
  91. 64117.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    Bonds issued under this division are payable only from the pledged funds and do not create state or local debt or liability.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64117. Bonds issued under this division shall not be deemed to constitute a debt or liability of the state or of any political subdivision thereof or a pledge of the faith and credit of the state or of the political subdivision, other than the issuer, but shall be payable solely from the funds herein provided. The bonds shall contain on the face thereof a statement to the effect that neither the State of California nor the issuer shall be obligated to pay the principal of, or the interest thereon, except from revenues pledged therefor by the issuer, and that neither the faith and credit nor the taxing power of the State of California or of any political subdivision thereof is pledged to the payment of the principal of or the interest on those bonds. The issuance of bonds under the provisions of this division shall not directly or indirectly or contingently obligate the state or any political subdivision thereof to levy or to pledge any form of taxation therefor or to make any appropriation for their payment. (Amended by Stats. 2013, Ch. 198, Sec. 10. (AB 1070) Effective January 1, 2014.)
  92. 64118.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    Bondholders, coupon holders, and trustees may go to court to protect and enforce their rights and to compel required duties, unless those rights are limited by a bond-resolution or trust agreement.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64118. Any holder of bonds issued under this division or any of the coupons appertaining thereto, and the trustee or trustees under any indenture or trust agreement, except to the extent the rights herein given may be restricted by any resolution authorizing the issuance of, or any indenture or trust agreement securing, the bonds, may, either at law or in equity, by suit, action, mandamus, or other proceedings, protect and enforce any and all rights under the laws of the state or granted hereunder or under the resolution or indenture or trust agreement, and may enforce and compel the performance of all duties required by this division or by the resolution, indenture, or trust agreement to be performed by the issuer or by any officer, employee, or agent thereof. (Amended by Stats. 2013, Ch. 198, Sec. 11. (AB 1070) Effective January 1, 2014.)
  93. 64119.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    Money received under this division must be treated as trust funds and used only as allowed by the division.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64119. All moneys received pursuant to this division, whether as proceeds from the sale of bonds or as revenues, shall be deemed to be trust funds to be held and applied solely as provided in this division. Until the funds are applied as provided in this division, and notwithstanding any other provision of law, the moneys may be invested in any obligations or securities authorized by resolution authorizing the issuance of the bonds or indenture or trust agreement securing the bonds. Any officer with whom, or any bank or trust company with which, the moneys are deposited shall act as trustee of the moneys and shall hold and apply the moneys for the purposes hereof, subject to any regulations adopted pursuant to this division, and the resolution authorizing the issuance of the bonds or the indenture or trust agreement securing the bonds. (Amended by Stats. 2013, Ch. 198, Sec. 12. (AB 1070) Effective January 1, 2014.)
  94. 64120.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The issuer may issue refunding bonds for outstanding bonds and may use the proceeds for purchase, redemption, retirement, escrow, or related payment purposes.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64120. (a) The issuer may provide for the issuance of bonds for the purpose of refunding any bonds or any series or issue of bonds of the issuer then outstanding, including the payment of any redemption premium thereon and any interest accrued or to accrue to the date of redemption, purchase, or maturity of the bonds. (b) The proceeds of any bonds issued for the purpose of refunding of outstanding bonds may, in the discretion of the issuer, be applied to the purchase, redemption prior to maturity, or retirement at maturity of any outstanding bonds on their earliest redemption date or dates, upon their purchase or maturity, or paid to a third person to assume the issuer’s obligation to make the payments, and may, pending that application, be placed in escrow to be applied to the purchase, retirement at maturity, or redemption on the date or dates determined by the issuer. (c) Any proceeds placed in escrow may, pending their use, be invested and reinvested in obligations or securities authorized by resolutions of the issuer, payable or maturing at the time or times as are appropriate to ensure the prompt payment of the principal, interest, and redemption premium, if any, of the outstanding bonds to be refunded at maturity or redemption of the bonds to be refunded either at their earliest redemption date or dates or any subsequent redemption date or dates or for payment of interest on the refunding bonds on or prior to the final date of redemption or payment of the bonds to be refunded. After the terms of the escrow have been fully satisfied and carried out, any balance of the proceeds and interest, income, and profits, if any, earned or realized on the investments thereof may be returned to the issuer for use by the issuer. (d) All of the refunding bonds are subject to this division in the same manner and to the same extent as other bonds issued pursuant to this division. (Amended by Stats. 2013, Ch. 198, Sec. 13. (AB 1070) Effective January 1, 2014.)
  95. 64121.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    Bonds issued under this division are treated as permissible investments for certain financial and fiduciary actors, and they may also be deposited with and received by state or municipal officers or agencies when the law allows deposit of state obligations.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64121. Bonds issued under this division are hereby made securities in which all banks, bankers, savings banks, trust companies and other persons carrying on a banking business, all insurance companies, insurance associations and other persons carrying on an insurance business, and all administrators, executors, guardians, trustees and other fiduciaries, and all other persons whatsoever who now are or may hereafter be authorized to invest in bonds or other obligations of the state, may properly and legally invest any funds, including capital belonging to them or within their control; and the bonds, notes, or other securities or obligations are hereby made securities that may properly and legally be deposited with and received by any state or municipal officers or agency of the state for any purpose for which the deposit of bonds or other obligations of the state is now or may hereafter be authorized by law. (Amended by Stats. 2013, Ch. 198, Sec. 14. (AB 1070) Effective January 1, 2014.)
  96. 64122.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    Bonds issued under this division, their transfer, and related income are exempt from taxation by the state and local political subdivisions.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64122. Any bonds issued under this division, their transfer, and the income therefrom shall at all times be free from taxation of every kind by the state and by all political subdivisions in the state. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  97. 64123.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    California pledges not to interfere with specified bondholder and contract rights until the bonds are paid off and the contracts are fully performed.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64123. The State of California does pledge to and agree with the holders of the bonds issued pursuant to this division, and with those parties who may enter into contracts with the authority or a project sponsor pursuant to this division, that the state will not limit, alter, or restrict the rights hereby vested in the authority or a project sponsor to finance or refinance projects and to authorize the imposition and collection of tolls and to fulfill the terms of any agreements made with the holders of bonds authorized by this division, and with the parties who may enter into contracts with the authority or a project sponsor pursuant to this division, or in any way impair the rights or remedies of the holders of those bonds or those parties until the bonds, together with interest thereon, are fully paid and discharged and the contracts are fully performed on the part of the authority or a project sponsor. The authority, and the project sponsor, as a public body, corporate and politic, shall have the right to include the pledge herein made in its bonds and contracts. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  98. 64124.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    A pledge of specified payment-related assets made under this division is valid and binding when made, and the lien attaches immediately without further action.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64124. A pledge by or to the issuer of revenues, moneys, accounts, accounts receivable, contract rights, and other rights to payment of whatever kind made by or to the issuer pursuant to the authority granted in this division shall be valid and binding from the time the pledge is made for the benefit of pledges and successors thereto. The revenues, moneys, accounts, accounts receivable, contract rights, and other rights to payment of whatever kind pledged by or to the issuer or its assignees shall immediately be subject to the lien of the pledge without physical delivery or further act. The lien of the pledge shall be valid and binding against all parties, irrespective of whether the parties have notice of the claim. The indenture, trust agreement, resolution, or another instrument by which the pledge is created need not be recorded. (Amended by Stats. 2013, Ch. 198, Sec. 15. (AB 1070) Effective January 1, 2014.)
  99. 64125.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    Project financing instruments must ensure enough revenue to cover bond payments, required reserves, and the authority’s administrative costs, and the issuer must pledge project revenues for those purposes.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64125. Each lease agreement, note, mortgage, or other instrument evidencing the obligations of a project sponsor shall provide that the rents or principal, interest, and other charges payable by the project sponsor shall be sufficient at all times, (a) to pay the principal of, sinking fund payments, if any, the premium, if any, and the interest on outstanding bonds issued in respect of such project as the same shall become due and payable, (b) to create and maintain reserves which may, but need not, be required or provided for in the resolution relating to the bonds, and (c) to pay its share of the administrative costs and expenses of the authority. The issuer shall pledge the revenues derived, and to be derived, from a project or from a project sponsor for the purposes specified in (a), (b), and (c) of the preceding sentence and additional bonds may be issued which may rank on a parity with other bonds relating to the project to the extent and on the terms and conditions provided in the bond resolution. (Amended by Stats. 2013, Ch. 198, Sec. 16. (AB 1070) Effective January 1, 2014.)
  100. 64126.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    After the bonds are fully paid off or proper provision is made, and the other required conditions are satisfied, the authority must promptly release and transfer its remaining interests in the project or pledged securities to the project sponsor or sponsors.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64126. When the principal of and interest on bonds issued by the authority to finance the cost of a project or working capital or to refinance outstanding indebtedness of one or more project sponsors, including any refunding bonds issued to refund and refinance those bonds, have been fully paid and retired or when adequate provision has been made to fully pay and retire those bonds, and all other conditions of the resolution, the lease, the trust indenture and any mortgage or deed of trust, security interest, or any other instrument or instruments authorizing and securing the bonds have been satisfied and the lien of the mortgage, deed of trust, or security interest has been released in accordance with the provisions thereof, the authority shall promptly do all things and execute those releases, release deeds, reassignments, deeds, and conveyances necessary and required to convey or release any rights, title, and interest of the authority in the project so financed or refinanced, or securities or instruments pledged or transferred to secure the bonds, to the project sponsor or sponsors. (Amended by Stats. 2013, Ch. 198, Sec. 17. (AB 1070) Effective January 1, 2014.)
  101. 64127.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    A project sponsor must give the authority documentation before bond approval showing the project has complied with Division 13 of the Public Resources Code, or is not a project under that division.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64127. (a) This division shall be deemed to provide a complete, additional, and alternative method for doing the things authorized by this code, and shall be regarded as supplemental and additional to powers conferred by other laws. The issuance of bonds and refunding bonds and the financing or refinancing of projects or the imposition and collection of tolls under this division need not comply with any other law applicable to the issuance of bonds or the collection of tolls, including, but not limited to, Division 13 (commencing with Section 21000) of the Public Resources Code. (b) Except as provided in subdivision (a), the financing of a project pursuant to this division shall not exempt a project from any requirement of law that is otherwise applicable to the project, and the project sponsor shall provide documentation, before the authority approves the issuance of bonds for the project, that the project has complied with Division 13 (commencing with Section 21000) of the Public Resources Code, or is not a project under that division. (Amended by Stats. 2013, Ch. 198, Sec. 18. (AB 1070) Effective January 1, 2014.)
  102. 64128.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    If this division conflicts with another general statute or special act, this division controls.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64128. To the extent that the provisions of this division are inconsistent with any other provisions of any general statute or special act or parts thereof, the provisions of this division shall be deemed controlling. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  103. 64129.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The authority’s net earnings, after amounts needed to retire its obligations or carry out this division’s purposes, may benefit only the state or the authority.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64129. Any net earnings of the authority beyond that necessary for retirement of any obligations issued by the authority or to implement the purposes of this division may inure to the benefit only of the state or the authority. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  104. 64130.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    If the authority is dissolved, its property passes to a Legislature-created successor authority that meets the stated federal-tax qualification; otherwise, the property passes to the state.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64130. Upon dissolution of the authority, title to all property owned by the authority shall vest in the successor authority created by the Legislature, if any, if the successor authority qualifies under Section 103 of the federal Internal Revenue Code of 1954, as amended, and the regulations promulgated thereunder, as an authority entitled to issue obligations on behalf of the State of California the interest on which is exempt from federal income taxation. If no successor authority is so created, title to the property shall vest in the state. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  105. 64131.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    This section says the division should not be read to limit authority to develop and finance high-occupancy toll lanes or to limit any agency’s existing bond-issuing authority.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64131. Nothing in this division is intended to limit the authority to develop and finance high-occupancy toll lanes pursuant to Section 149.4, 149.5, 149.6, or 149.7 of the Streets and Highways Code, or to limit the ability of any agency that has existing authority to issue bonds. (Added by Stats. 2009, Ch. 474, Sec. 1. (AB 798) Effective January 1, 2010.)
  106. 64132.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. )

    Verify source ↗

    The Authority’s fund is created in the State Treasury, must be continuously appropriated for this division, and is controlled by rules that keep its money in the fund and protect it for bond security.

    ## Government Code - GOV ## TITLE 6.7. INFRASTRUCTURE FINANCE [63000 - 64132] ( Title 6.7 added by Stats. 1994, Ch. 94, Sec. 1. ) ## DIVISION 3. CALIFORNIA TRANSPORTATION FINANCING AUTHORITY [64100 - 64132] ( Division 3 added by Stats. 2009, Ch. 474, Sec. 1. ) ## 64132. (a) The California Transportation Financing Authority Fund is hereby created and continued in existence in the State Treasury, to be administered by the authority. Notwithstanding Section 13340 of the Government Code, all moneys in the funds shall be continuously appropriated without regard to fiscal year for the purposes of this division. The authority may pledge any or all of the moneys in the fund as security for payment of the principal of, and interest on, any particular bonds issued by the authority, or any particular secured or unsecured loan made pursuant to subdivision (g) or (h) of Section 64107, and, for that purpose or as necessary or convenient to the accomplishment of any other purpose of the authority, may divide the fund into separate accounts. All moneys accruing to the authority pursuant to this part from whatever source shall be deposited in the fund. (b) Subject to the priorities that may be created by the pledge of particular moneys in the fund to secure any bonds issued by the authority, and subject further to the costs of loans provided by the authority pursuant to subdivisions (g) and (h) of Section 64107, and subject further to any reasonable costs that may be incurred by the authority in administering the program authorized by this division, all moneys in the fund derived from any source shall be held in trust for the security and payment of bonds issued by the authority and shall not be used or pledged for any other purpose so long as the bonds are outstanding and unpaid. However, nothing in this section shall limit the power of the authority to make loans with the proceeds of bonds in accordance with the terms of the resolution authorizing the same. (c) Pursuant to any agreements with the holders of particular bonds pledging any particular assets, revenues, or moneys, the authority may create separate accounts in the fund to manage assets, revenues, or moneys in the manner set forth in the agreements. (d) The authority may, from time to time, direct the Treasurer to invest moneys in the fund that are not required for its current needs, including proceeds from the sale of any bonds, in the eligible securities specified in Section 16430 as the agency shall designate. The authority may direct the Treasurer to deposit moneys in interest-bearing accounts in state or national banks or other financial institutions having principal offices in this state. The authority may alternatively require the transfer of moneys in the fund to the Surplus Money Investment Fund for investment pursuant to Article 4 (commencing with Section 16470) of Chapter 3 of Part 2 of Division 4 of Title 2. All interest or other increment resulting from an investment or deposit shall be deposited in the fund, notwithstanding Section 16305.7. Moneys in the fund shall not be subject to transfer to any other fund pursuant to any provision of Part 2 (commencing with Section 16300) of Division 4 of Title 2, excepting the Surplus Money Investment Fund. (Amended by Stats. 2013, Ch. 198, Sec. 19. (AB 1070) Effective January 1, 2014.)
  107. 64500.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. )

    Verify source ↗

    This title may be cited as the San Francisco Bay Area Regional Housing Finance Act.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64500. This title shall be known, and may be cited, as the San Francisco Bay Area Regional Housing Finance Act. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  108. 64501.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. )

    Verify source ↗

    This section states legislative findings about the San Francisco Bay Area housing crisis and the need for regional funding and coordination.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64501. The Legislature finds and declares the following: (a) The San Francisco Bay area is facing the most significant housing crisis in the region’s history, as countless residents are facing insurmountable housing costs, spend hours driving every day, are one paycheck away from an eviction, or experience homelessness. (b) The San Francisco Bay area faces this crisis because, as a region, it has failed to produce enough housing at all income levels, preserve affordable housing, protect existing residents from displacement, provide adequate housing at all income levels in close proximity to jobs, and address the housing issue regionally. (c) The housing crisis in the San Francisco Bay area is regional in nature and too great to be addressed individually by the region’s 101 cities and 9 counties. (d) However, the current process is anything but regional; instead each city and county is each responsible for their own decisions around housing. (e) The San Francisco Bay area faces an annual funding shortfall of two billion five hundred million dollars ($2,500,000,000) in its efforts to address the affordable housing crisis. (f) Regional funding is necessary to help address the housing crisis in the San Francisco Bay area by reducing the severe imbalance between jobs and housing and delivering resources and technical assistance at a regional scale, including: (1) Providing critically needed funding to affordable housing projects across the San Francisco Bay area. (2) Providing staff support to local jurisdictions that require capacity or technical assistance to expedite the preservation and production of housing. (3) Funding tenant services, such as emergency rental assistance and access to counsel, thereby complementing this cost and responsibility of local jurisdictions. (4) Monitoring and reporting on progress at a regional scale. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  109. 64502.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    This section defines several terms used in the title, including affordable housing, Authority, Board, Executive board, income-household categories, and San Francisco Bay area.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64502. For purposes of this title: (a) “Affordable housing” is defined as housing that is restricted by recorded document to provide the housing at an affordable housing cost, as defined in Section 50052.5 of the Health and Safety Code, or an affordable rent, as defined in Section 50053 of the Health and Safety Code, as applicable. (b) “Authority” means the Bay Area Housing Finance Authority established pursuant to Section 64510. (c) “Board” means the governing board of the Bay Area Housing Finance Authority. (d) “Executive board” means the executive board of the Association of Bay Area Governments. (e) “Extremely low income households” has the same meaning as the term is defined in Section 50106 of the Health and Safety Code. (f) “Lower income households” has the same meaning as that term is defined in Section 50079.5 of the Health and Safety Code. (g) “Low- or moderate-income households” has the same meaning as “persons and families of low or moderate income,” as defined in Section 50093 of the Health and Safety Code. (h) “San Francisco Bay area” means the entire area within the territorial boundaries of the Counties of Alameda, Contra Costa, Marin, Napa, San Mateo, Santa Clara, Solano, and Sonoma, and the City and County of San Francisco. (i) “Very low income households” has the same meaning as the term is defined in Section 50105 of the Health and Safety Code. (Amended by Stats. 2023, Ch. 758, Sec. 1. (AB 1319) Effective January 1, 2024.)
  110. 64503.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The section says a regional financing mechanism for affordable housing production, preservation, and tenant protections in the San Francisco Bay area is a matter of statewide concern, and the title applies to all cities in the area, including charter cities.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64500 - 64503] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64503. The Legislature finds and declares that providing a regional financing mechanism for affordable housing production, preservation, and tenant protections in the San Francisco Bay area, as described in this section and Section 64501, is a matter of statewide concern and is not a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Therefore, this title applies to all cities within the San Francisco Bay area, including charter cities. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  111. 64510.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The Bay Area Housing Finance Authority is created, governed by the Metropolitan Transportation Commission’s board, kept separate from that commission, and staffed by existing commission staff.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64510. (a) (1) The Bay Area Housing Finance Authority is hereby established with jurisdiction extending throughout the San Francisco Bay area. (2) The authority shall be governed by the same board that governs the Metropolitan Transportation Commission. The authority shall be a separate legal entity from the Metropolitan Transportation Commission. (b) The formation and jurisdictional boundaries of the authority are not subject to the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 (Division 3 (commencing with Section 56000) of Title 5). (c) The authority’s purpose is to raise, administer, and allocate funding and provide technical assistance at a regional level for tenant protection, affordable housing preservation, and new affordable housing production. (d) The authority shall be staffed by the existing staff of the Metropolitan Transportation Commission or any successor agency, with the understanding that additional staff with expertise in affordable housing finance will be needed to administer the funding authorized in this chapter. (e) It is the intent of the Legislature that the powers granted to the authority and the executive board under this title shall be transferred to a future regional agency if an agency, under one governing board, is established to replace the Metropolitan Transportation Commission and the Association of Bay Area Governments and integrate regional transportation and housing funding and policy decisions within the San Francisco Bay area, subsequent to a robust public engagement process at the regional level. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  112. 64511.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The executive board must review certain plans and projects, the boards must create an advisory committee, and the authority must run public participation processes, including meetings and notice access.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64511. (a) (1) The executive board shall review and approve the regional expenditure plan required pursuant to paragraph (5) of subdivision (d) of Section 64650 and projects authorized by this chapter before review, approval, and allocation by the authority. (2) (A) The executive board and the authority board shall form an advisory committee composed of at least 9 and no more than 11 representatives with knowledge and experience in the areas of affordable housing finance, construction workforce, and development, tenant protection, and housing preservation. The advisory committee shall assist in the development of funding guidelines and the overall implementation of the program. (B) Consistent with the provisions of this chapter, the advisory committee shall provide consultation and make recommendations to the executive board and the authority board. The advisory committee will meet as necessary to fulfill their roles and responsibilities. (b) (1) A member of the authority board may receive a per diem for each board meeting that the member attends. The authority board shall set the amount of that per diem for a member’s attendance, but that amount shall not exceed one hundred dollars ($100) per meeting. A member shall not receive a payment for more than two meetings in a calendar month. (2) A member may waive a payment of per diem authorized by this subdivision. (c) (1) Five years after the voters approve an initial ballot measure pursuant to Section 64521, the authority and the executive board shall review the implementation of the measure. The review shall include the following: (A) An analysis of the expenditures to date. (B) The number of affordable housing units produced and preserved at different household income levels. (C) The tenant protection services provided, and the roles of the executive board and the authority. (2) The executive board and the authority board may, upon mutual concurrence, as a part of the review described in this subdivision elect to transfer or delegate a responsibility authorized in this title to the executive board or the authority, as applicable, except for the provisions of Article 3 (commencing with Section 64630) of Chapter 2 of Part 2. (d) (1) Members of the authority board are subject to Article 2.4 (commencing with Section 53234) of Chapter 2 of Part 1 of Division 2 of Title 5. (2) The authority shall be subject to the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5), the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1), and the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)). (e) In addition to the requirements under subdivision (d), the authority shall engage in public participation processes, which shall include the following: (1) Outreach efforts to encourage the active participation of a broad range of stakeholder groups in the planning process, including, but not limited to, affordable housing and homelessness advocates, nonprofit developers, neighborhood and community groups, environmental advocates, equity organizations, home builder representatives, and business organizations. (2) Holding at least one public meeting regarding any relevant plan or proposals being considered by the authority. The authority shall hold any such meeting at a time and a location convenient for members of the public. The authority shall place each plan or proposal under consideration on a meeting agenda of the authority board for discussion at least 30 days before the authority board takes action. (3) A process for enabling members of the public to provide a single request to receive authority notices, information, and updates. (Amended by Stats. 2024, Ch. 80, Sec. 71. (SB 1525) Effective January 1, 2025.)
  113. 64512.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    A member of the authority board must exercise independent judgment for the interests of residents, property owners, and the public.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64512. A member of the authority board shall exercise independent judgment on behalf of the interests of the residents, the property owners, and the public in furthering the intent and purposes of this title. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  114. 64513.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority board must hold its first meeting in the San Francisco Bay area, at a time and place fixed by the chair, and later meetings at times and places the board decides.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64513. (a) The authority board shall hold its first meeting at a time and place within the San Francisco Bay area fixed by the chair of the authority board. (b) After the first meeting described in subdivision (a), the authority board shall hold meetings at times and places determined by the authority board. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  115. 64514.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority board may make and enforce rules and regulations for governing the authority, preserving order, and handling business, and may act by resolution when exercising the authority’s powers and duties.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. The Bay Area Housing Finance Authority and Governing Board [64510 - 64514] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64514. (a) The authority board may make and enforce rules and regulations necessary for governing the authority, the preservation of order, and the transaction of business. (b) In exercising the powers and duties conferred on the authority by this title, the authority board may act by resolution. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  116. 64520.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority may take listed actions to finance and support housing programs, subject to specified conditions.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64520. In implementing this title, the authority may do all of the following: (a) Subject to the approval of the executive board, place one measure per election on the ballot to raise revenue and allocate funds throughout the San Francisco Bay area, as provided in Part 2 (commencing with Section 64600). (b) Apply for and receive grants or loans from public and private entities. (c) Solicit and accept gifts, fees, grants, loans, and other allocations from public and private entities. (d) Deposit or invest moneys of the authority in banks or financial institutions, as provided in Chapter 4 (commencing with Section 53600) of Part 1 of Division 2 of Title 5, including the investment of any money that is not required for the immediate necessities of the authority, as determined by the authority. (e) Sue and be sued, except as otherwise provided by law, in all actions and proceedings, in all courts and tribunals of competent jurisdiction. (f) Engage counsel and other professional services. (g) Enter into and perform all necessary contracts. (h) Enter into joint powers agreements pursuant to the Joint Exercise of Powers Act (Chapter 5 (commencing with Section 6500) of Division 7 of Title 1). (i) Hire staff, define their qualifications and duties, and provide a schedule of compensation for the performance of their duties. (j) Utilize staff employed by the Metropolitan Transportation Commission. (k) Allocate and deploy capital and generated fees or income in the form of grants, loans, equity, interest rate subsidies, and other financing tools to the cities, counties, other public agencies within the San Francisco Bay area, private affordable housing developers, and nonprofit corporations organized pursuant to Section 501(c)(3) of the Internal Revenue Code to finance affordable housing development, preserve and enhance existing affordable housing, and fund tenant protection programs, pursuant to this title, in accordance with applicable constitutional requirements. (l) Establish and modify the terms of potential capital investments deployed by the authority, including waiving or forgiving interest or principal payments. (m) Collect data on housing production and monitor progress on meeting regional and state housing goals. (n) Provide support and technical assistance to local governments in relation to producing and preserving affordable housing and providing tenant protections. (o) Provide public information about the authority’s housing programs and policies. (p) Incur and issue bonds and other indebtedness, and otherwise incur liabilities or obligations in accordance with Article 3 (commencing with Section 64630) of Chapter 2 of Part 2, and issue mortgage revenue bonds pursuant to Part 5 (commencing with Section 52000) of Division 31 of the Health and Safety Code. (q) Acquire, hold, develop, operate, and dispose of real property, including residential real property. (r) (1) Create one or more California limited liability companies of which the authority is the sole member and exercise any of the powers granted to the authority by this title through those limited liability companies. (2) Any limited liability company created pursuant to paragraph (1) shall be subject to the to the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5), the California Public Records Act (Division 10 (commencing with Section 7920.000) of Title 1), and the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)). (s) Any other implied powers necessary or incidental to carry out the intent and purposes of this title. (Amended by Stats. 2023, Ch. 758, Sec. 3. (AB 1319) Effective January 1, 2024.)
  117. 64521.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    This section sets procedures for placing a Bay Area Housing Finance Authority revenue measure on county ballots, including election consolidation, required filings, ballot materials, translations, and cost reimbursement.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64521. (a) Subject to the initial approval of the executive board, if the authority proposes a measure pursuant to Part 2 (commencing with Section 64600) that will generate revenues and that requires voter approval pursuant to the California Constitution, the board of supervisors of the county or counties in which the authority has determined to place the measure on the ballot shall call a special election on the measure. The special election shall be consolidated with the next regularly scheduled statewide election and the measure shall be submitted to the voters in the appropriate counties, consistent with the requirements of Articles XIII A, XIII C, and XIII, or Article XVI of the California Constitution, as applicable. (b) (1) For the purpose of placement of a measure on the ballot, the authority is a district, as defined in Section 317 of the Elections Code. Except as otherwise provided in this section, a measure proposed by the authority that requires voter approval shall be submitted to the voters of the counties, as determined by the authority, in accordance with the provisions of the Elections Code applicable to districts, including the provisions of Chapter 4 (commencing with Section 9300) of Division 9 of the Elections Code. (2) Because the authority has no revenues as of the operative date of this section, the appropriations limit for the authority shall be originally established based on receipts from the initial measure that would generate revenues for the authority pursuant to subdivision (a), and that establishment of an appropriations limit shall not be deemed a change in an appropriations limit for purposes of Section 4 of Article XIII B of the California Constitution. (c) The authority shall file with the board of supervisors of each county in which the measure shall appear on the ballot a resolution of the authority board requesting consolidation and setting forth the exact form of the ballot question, in accordance with Section 10403 of the Elections Code. (d) Notwithstanding Section 9313 of the Elections Code, the legal counsel for the authority shall prepare an impartial analysis of the measure. The impartial analysis prepared by the legal counsel for the authority shall be subject to review and revision by the county counsel of the county that contains the largest population, as determined by the most recent federal decennial census, among those counties in which the measure will be submitted to the voters. (e) (1) Each county included in the measure shall use the election materials provided by the authority, including the exact ballot question, impartial analysis, and full text of the ballot measure for inclusion in the voter information pamphlet. The text of the ballot measure shall include, but is not limited to, all of the following: (A) A description of the purpose and goals of the measure. (B) A description of the categories of eligible expenditures to be funded. (C) An estimate of the number of affordable housing units to be built or preserved by household income category served, and a description of any specific projects planned to be funded. (D) An estimate of minimum funding levels to be provided to different expenditure categories by county. (E) An overview of decisionmaking and oversight provisions applicable to the funds. (2) If two or more counties included in the measure are required to prepare a translation of ballot materials into the same language other than English, the county that contains the largest population, as determined by the most recent federal decennial census, among those counties that are required to prepare a translation of ballot materials into the same language other than English shall prepare the translation, or authorize the authority to prepare the translation, and that translation shall be used by the other county or counties, as applicable. (f) Notwithstanding Section 13116 of the Elections Code, the elections officials of the counties where the measure proposed by the authority is placed on the ballot shall mutually agree to use the same letter designation for the measure. (g) The county clerk of each county shall report the results of the special election to the authority. If two-thirds of all voters voting on the question at the special election vote affirmatively, or a different approval threshold required by the California Constitution at the time the election is achieved, the measure shall take effect in the counties in which the measure appeared on the ballot within the timeframe specified in the measure. (h) (1) Notwithstanding Section 10520 of the Elections Code, for any election at which the authority proposes a measure pursuant to subdivision (a) of Section 64520 that would generate revenues, the authority shall reimburse each county in which that measure appears on the ballot only for the incremental costs incurred by the county elections official related to submitting the measure to the voters with proceeds from the measure, or if the measure fails, with any eligible funds transferred to the authority from the Association of Bay Area Governments or the Metropolitan Transportation Commission or other public or private entity. (2) For purposes of this subdivision, “incremental costs” include all of the following: (A) The cost to prepare, review, and revise the impartial analysis of the measure that is required by subdivision (d). (B) The cost to prepare a translation of ballot materials into a language other than English by any county, as described in subdivision (e). (C) The additional costs that exceed the costs incurred for other election races or ballot measures, if any, appearing on the same ballot in each county in which the measure appears on the ballot, including both of the following: (i) The printing and mailing of ballot materials. (ii) The canvass of the vote regarding the measure pursuant to Division 15 (commencing with Section 15000) of the Elections Code. (Amended by Stats. 2023, Ch. 758, Sec. 4. (AB 1319) Effective January 1, 2024.)
  118. 64522.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The executive board and the authority are prohibited from regulating or enforcing local land use decisions and from acquiring property by eminent domain.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64522. The executive board and the authority shall not do either of the following: (a) Regulate or enforce local land use decisions. (b) Acquire property by eminent domain. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  119. 64523.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority’s specified funding and technical-assistance actions are exempt from CEQA if they are consistent with the authority’s purpose.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Powers of the Bay Area Housing Finance Authority [64520 - 64523] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64523. Actions taken by the authority to raise, administer, or allocate funding for tenant protection, affordable housing preservation, or new affordable housing production, or to provide technical assistance consistent with the authority’s purpose shall be exempt from the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code). (Added by Stats. 2023, Ch. 758, Sec. 5. (AB 1319) Effective January 1, 2024.)
  120. 64530.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64530 - 64531] ( Chapter 4 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority board must arrange regular audits, keep accounting records, and report accounting transactions under GAAP, including reporting to the Controller.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64530 - 64531] ( Chapter 4 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64530. The authority board shall provide for regular audits of the authority’s accounts and records and shall maintain accounting records and shall report accounting transactions in accordance with generally accepted accounting principles adopted by the Governmental Accounting Standards Board of the Financial Accounting Foundation for both public reporting purposes and for reporting of activities to the Controller. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  121. 64531.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64530 - 64531] ( Chapter 4 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority board must provide annual financial reports and make copies available to the public.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 1. Formation of the Bay Area Housing Finance Authority and General Powers [64500 - 64531] ( Part 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64530 - 64531] ( Chapter 4 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64531. The authority board shall provide for annual financial reports. The authority board shall make copies of the annual financial reports available to the public. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  122. 64600.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64600- 64600.] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority may raise and allocate new revenue, but only with prior approval from the executive board.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 1. General Provisions [64600- 64600.] ( Chapter 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64600. The authority, subject to prior approval by the executive board, may raise and allocate new revenue through both of the following funding mechanisms: (a) (1) Special taxes, subject to voter approval, as provided in Article 1 (commencing with Section 64610) of Chapter 2, as follows: (A) A parcel tax, as provided in Section 64610. (B) A gross receipts business license tax, as provided in Section 64611. (C) A special business tax, as provided in Section 64612. (2) A commercial linkage fee, as provided in Article 2 (commencing with Section 64620) of Chapter 2. (b) Any funding mechanism or combination of funding mechanisms authorized pursuant to paragraph (1) that requires voter approval pursuant to the California Constitution or this part may be placed on the ballot in all or a subset of the nine counties in the San Francisco Bay area, but in no case shall it be placed on the ballot in fewer than four counties. A measure placed on the ballot in a subset of those nine counties shall apply only in those counties in which the measure was submitted to the voters. (c) It is the intent of the Legislature that the funding measures authorized by this subdivision distribute the responsibility for addressing the affordable housing needs of the region across commercial developers, businesses above a certain size, taxpayers, and property owners within the region. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  123. 64610.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority may impose a parcel tax in the San Francisco Bay area if the stated conditions are met, and it must give notice of any parcel tax imposed.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64610. (a) Subject to Section 4 of Article XIII A of the California Constitution, and approval by the executive board before the authority takes action to approve the placement of a measure on the ballot, the authority may impose, by resolution, a parcel tax within the San Francisco Bay area pursuant to the procedures established in Article 3.5 (commencing with Section 50075) of Chapter 1 of Part 1 of Division 1 of Title 5, Section 64521, and any other applicable procedures provided by law. (b) For purposes of this section, “parcel tax” means a special tax imposed upon a parcel of real property at a rate that is determined without regard to that property’s value and that applies uniformly to all taxpayers or all real property within the jurisdiction of the local government. “Parcel tax” does not include a tax imposed on a particular class of property or taxpayers. (c) The authority shall provide notice of any parcel tax imposed pursuant to this section in the manner specified in Section 54930. (d) The parcel tax shall be collected in the same manner as ordinary ad valorem property taxes are collected and shall be subject to the same penalties and the same procedure, sale, and lien priority in case of delinquency as is provided for ad valorem taxes. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  124. 64611.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority may adopt a gross-receipts special tax for lawful business in the San Francisco Bay area, but it needs executive board approval before moving the measure to the ballot.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64611. (a) (1) The authority may impose, subject to approval by the executive board before the authority takes action to approve the placement of a measure on the ballot, by resolution, a special tax, measured by gross receipts, for the privilege of engaging in any kind of lawful business transacted in the San Francisco Bay area pursuant to the procedures established in Article 3.5 (commencing with Section 50075) of Chapter 1 of Part 1 of Division 1 of Title 5, Section 64521, and any other applicable procedures provided by law. (2) The resolution imposing a special tax pursuant to this subdivision may provide for the following: (A) Variable rates based on the business sector of each person subject to the tax. (B) Exemptions for small businesses. (C) Collection of the tax by suit or otherwise. (b) If the authority levies a special tax pursuant to subdivision (a) upon a business operating both within and outside the authority’s taxing jurisdiction, the authority shall levy the tax so that the measure of tax fairly reflects that proportion of the taxed activity actually carried on within the taxing jurisdiction. (c) A special tax levied pursuant to subdivision (a) shall not apply to any nonprofit organization that is exempted from taxes by Chapter 4 (commencing with Section 23701) of Part 11 of Division 2 of the Revenue and Taxation Code or Subchapter F (commencing with Section 501) of Chapter 1 of Subtitle A of the Internal Revenue Code of 1986, or the successor of either, or to any minister, clergyman, Christian Science practitioner, rabbi, or leader of any religious organization that has been granted an exemption from federal income tax by the United States Commissioner of Internal Revenue as an organization described in Section 501(c)(3) of the Internal Revenue Code or a successor to that section. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  125. 64612.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority may impose a special employee-based tax in the San Francisco Bay area, but only with executive board approval and by resolution, and the tax must be fairly apportioned for businesses operating inside and outside the taxing jurisdiction.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64612. (a) (1) The authority may impose, subject to approval by the executive board before the authority takes action to approve the placement of a measure on the ballot, by resolution, a special tax measured by the number of employees employed by the taxpayer for the privilege of engaging in any kind of lawful business activity transacted in the San Francisco Bay area pursuant to the procedures established in Article 3.5 (commencing with Section 50075) of Chapter 1 of Part 1 of Division 1 of Title 5, Section 64521, and any other applicable procedures provided by law. (2) The resolution imposing a special tax pursuant to this subdivision may provide for collection of the tax by suit or otherwise. (b) If the authority levies a special tax pursuant to subdivision (a) upon a business operating both within and outside the authority’s taxing jurisdiction, the authority shall levy the tax so that the measure of tax fairly reflects that proportion of the taxed activity actually carried on within the taxing jurisdiction. (c) A special tax levied pursuant to subdivision (a) shall not apply to any nonprofit organization that is exempted from taxes by Chapter 4 (commencing with Section 23701) of Part 11 of Division 2 of the Revenue and Taxation Code or Subchapter F (commencing with Section 501) of Chapter 1 of Subtitle A of the Internal Revenue Code of 1986, or the successor of either, or to any minister, clergyman, Christian Science practitioner, rabbi, or leader of any religious organization that has been granted an exemption from federal income tax by the United States Commissioner of Internal Revenue as an organization described in Section 501(c)(3) of the Internal Revenue Code or a successor to that section. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  126. 64613.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    County tax collectors must collect the tax revenue, each county levying the tax must prepare a tax return, and each county must create collection policies and procedures.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64613. (a) Taxes levied pursuant to Section 64611 and Section 64612 shall be collected in the following manner: (1) County tax collectors shall be responsible for collecting the tax revenue. (2) Each county levying the tax shall prepare a tax return. (3) Each county shall create policies and procedures necessary to collect tax revenue, including, but not limited to, policies that achieve both of the following: (A) Ensure adequate enforcement of taxes levied pursuant to Section 64611 and Section 64612. (B) Provide subjects of a tax with an opportunity to appeal the amount of tax owed. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  127. 64614.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Special taxes under this article must be handled through a separate county fund, and the county must periodically transfer certain regional-project money to the authority.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 1. Special Taxes [64610 - 64614] ( Article 1 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64614. All special taxes levied pursuant to this article shall be administered in the following manner: (a) Taxes collected shall be deposited in a separate fund, which shall be established in the treasury of each county and used only as prescribed by this section. (b) The county shall transfer moneys intended for regional projects pursuant to Section 64650 from the fund to the authority periodically as promptly as feasible. The transmittals shall be made at least twice in each calendar quarter. (c) The county may deduct incremental costs associated with administering any taxes approved pursuant to this article from the portion transferred to the authority pursuant to subdivision (b). (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  128. 64620.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    This section defines “commercial development project,” “commercial linkage fee,” and “underlying land use jurisdiction.”

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64620. As used in this article: (a) “Commercial development project” means any project involving the issuance of a permit by an underlying land use jurisdiction for construction, not including remodeling of an existing property, that is undertaken within the San Francisco Bay area for the development of land for commercial use, but does not include any project involving solely a permit to operate. (b) “Commercial linkage fee” means a monetary exaction, other than a tax or special assessment, established for a broad class of projects by legislation of general applicability that is charged to an applicant in connection with the approval of a commercial development project by an underlying land use jurisdiction for the purpose of addressing the need for additional housing development necessitated by that commercial development project, as determined pursuant to the nexus study undertaken pursuant to subdivision (b) of Section 64621. (c) “Underlying land use jurisdiction” means any of the following entities, as applicable, that has jurisdiction over the approval of a commercial development project: (1) The following counties: (A) The County of Alameda. (B) The County of Contra Costa. (C) The County of Marin. (D) The County of Napa. (E) The County of San Mateo. (F) The County of Santa Clara. (G) The County of Solano. (H) The County of Sonoma. (2) A city that is located within the territorial boundaries of any of the counties specified in paragraph (1). (3) The City and County of San Francisco. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  129. 64621.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The executive board may set a commercial linkage fee for commercial development projects in the San Francisco Bay area, but only under the article’s conditions and limits.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64621. (a) (1) Subject to paragraph (4), the executive board may establish, increase, or impose a commercial linkage fee, in an amount not to exceed ten dollars ($10) per square foot, within the San Francisco Bay area by enactment of a resolution, in accordance with the requirements of this article, that is in addition to any fee, as defined in Section 66000, that is levied by an underlying land use jurisdiction. (2) The fee shall be adjusted on July 1 of each year, in accordance with the California Construction Cost Index. The annual adjustment may increase the fee to be greater than the ten-dollar ($10) maximum imposed by paragraph (1). (3) The authority board shall ratify, by resolution, any commercial linkage fee or modification to a commercial linkage fee adopted by the executive board. (4) The executive board shall not establish a commercial linkage fee pursuant to paragraph (1) until after the voters approve a parcel tax pursuant to Section 64610 or a general obligation bond pursuant to Section 64631. (5) (A) The executive board may establish, increase, or impose a commercial linkage fee pursuant to this article by a resolution that provides for a fee assessed on commercial development projects within the San Francisco Bay area. (B) A resolution establishing or revising the fee shall provide that the amount of the fee required to be paid shall be reduced by the amount that the applicant is required to pay, if any, for a commercial linkage fee for affordable housing imposed by the relevant underlying land use jurisdiction. (b) Before establishing, increasing, or imposing a commercial linkage fee, the executive board shall prepare a regional jobs and housing nexus study in order to support the necessity and amount of the fee. The study, or separate study conducted before the establishment of a commercial linkage fee, shall examine the factors listed in paragraph (5) of subdivision (d), may consider other potential consequences, and shall take into consideration the potential impact of the fee on the creation of high-paying jobs for people without four-year degrees. (c) Expenditures of proceeds from a commercial linkage fee shall be limited to affordable housing production, preservation, tenant protection, as described in subparagraphs (A) and (B) of paragraph (2) of subdivision (b) of Section 64650, and the authority’s related administrative costs. (d) In any action to establish, increase, or impose a commercial linkage fee, the executive board shall do all of the following: (1) Identify the purpose of the commercial linkage fee. (2) Determine how there is a reasonable relationship between the fee’s use and the type of commercial development project on which the fee is imposed, based on the regional nexus study prepared pursuant to subdivision (b). (3) Determine how there is a reasonable relationship between the need for housing and the type of commercial development project on which the fee is imposed, based on the regional nexus study prepared pursuant to subdivision (b). (4) Determine how there is a reasonable relationship between the amount of the fee and the cost of the housing necessitated by the commercial development project that is attributable to the development on which the fee is imposed, based on the regional nexus study prepared pursuant to subdivision (b). (5) (A) Adopt findings that, based upon the executive board’s analysis and the regional nexus study, the commercial linkage fee: (i) Would concentrate jobs near transit. (ii) Would not reduce commercial development and space for jobs, particularly in economically disadvantaged areas. (iii) Would not exacerbate intraregional job-to-housing imbalances. (iv) Would not disincentivize mixed-use development. (6) Specify the estimated administrative costs of the authority in connection with the imposition of the fee to be included in the amount of the fee. (B) The executive board shall provide analysis to support the findings and consider other potential consequences of the fee. (e) The executive board and the authority shall suspend the imposition of a commercial linkage fee after two consecutive quarters of negative gross domestic product growth within the San Francisco Bay area. The fee may be reinstated after two consecutive quarters of positive gross domestic product growth within the San Francisco Bay area. The executive board and the authority board may reinstate the fee by resolution that states the condition in the previous sentence is met but shall not be subject to subdivisions (b), (c), or (d) of this section. (Amended by Stats. 2023, Ch. 758, Sec. 6. (AB 1319) Effective January 1, 2024.)
  130. 64622.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    A commercial linkage fee under this article cannot be higher than the reasonable cost of the housing the project requires, plus related administrative costs.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64622. (a) A commercial linkage fee established, increased, or imposed pursuant to this article shall not exceed the reasonable cost of providing the housing necessitated by the commercial development project for which the commercial linkage fee is imposed, as determined in the regional nexus study pursuant to subdivision (b) of Section 64621, and the authority’s related administrative costs. (b) It is the intent of the Legislature in adding this section to codify existing constitutional and decisional law with respect to the imposition of development fees and monetary exactions on developments by local agencies. This section is declaratory of existing law and shall not be construed or interpreted as creating new law or as modifying or changing existing law. (Amended by Stats. 2023, Ch. 758, Sec. 7. (AB 1319) Effective January 1, 2024.)
  131. 64623.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Before setting or increasing a commercial linkage fee, the executive board must hold a public hearing and publish a notice for the meeting.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64623. (a) Before adopting a resolution establishing or imposing a new commercial linkage fee or approving an increase in an existing commercial linkage fee pursuant to this article, the executive board shall hold a public hearing, at which oral or written presentations can be made, as part of a regularly scheduled meeting. The executive board shall publish a notice of the time and place of the meeting, including a general explanation of the matter to be considered in accordance with Section 6062a. (b) Any costs incurred by the executive board in conducting the hearing required pursuant to subdivision (a) may be recovered as part of the commercial linkage fee that is the subject of the hearing. (Amended by Stats. 2020, Ch. 370, Sec. 162. (SB 1371) Effective January 1, 2021.)
  132. 64624.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Underlying land use jurisdictions must require payment of the commercial linkage fee, give notice to the applicant, collect and remit the fee to the authority, and stop collecting it if the fee is found invalid.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64624. (a) Except as otherwise provided in subdivision (c), if the executive board adopts a resolution or other legislative enactment establishing or imposing a new commercial linkage fee or approving an increase in an existing commercial linkage fee and the authority board adopts a resolution concurring with the establishment, imposition, or increase of the fee consistent with subdivision (a) of Section 64621, each underlying land use jurisdiction shall, as a condition of approving a commercial development project for which it receives an application for a conditional use permit or other discretionary or ministerial approval, require an applicant to pay the amount of commercial linkage fee established, imposed, or increased by the executive board and the authority board pursuant to this article. The underlying land use jurisdiction shall provide notice to the applicant that does all of the following: (1) Notifies the applicant that the executive board and the authority board have established, increased, or imposed a commercial linkage fee pursuant to this article. (2) States the amount of commercial linkage fee established, increased, or imposed by the executive board and the authority board. (3) States that the applicant may protest the commercial linkage fee, as provided in Section 64625, and notifies the applicant that the 90-day period for that protest and the 180-day period for filing an action specified in subdivision (c) of Section 64625 has begun. (b) Each underlying land use jurisdiction shall collect and, after deduction of any actual and necessary administrative costs incurred by the underlying land use jurisdiction, remit the amount of commercial linkage fee established, increased, or imposed pursuant to this article to the authority. An underlying land use jurisdiction shall remit the amounts required by this subdivision on or before the last day of the month next succeeding each calendar quarterly period. (c) If any amount of commercial linkage fee established, increased, or imposed pursuant to this article is found to be invalid pursuant to Section 64625, each underlying land use jurisdiction shall immediately cease collection of the commercial linkage fee. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  133. 64625.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    A party may protest a commercial linkage fee by paying or arranging payment, and giving written notice to the authority board and the relevant local legislative body.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64625. (a) Any party may protest the imposition of a commercial linkage fee imposed on a commercial development project by the executive board and the authority pursuant to this article as follows: (1) The party shall pay the total amount of commercial linkage fee required by the resolution enacted pursuant to Section 64621, or provide satisfactory evidence of arrangements to pay the commercial linkage fee when due, in accordance with Section 64624. (2) Serving a written notice on the authority board and the legislative body of the relevant underlying land use jurisdiction that contains all of the following information: (A) A statement that the required payment is tendered or will be tendered when due under protest. (B) A statement informing the authority board and legislative body of the underlying land use jurisdiction of the factual elements of the dispute and the legal theory forming the basis for the protest. (b) Compliance by any party with subdivision (a) shall not be the basis for an underlying land use jurisdiction to withhold approval of any map, plan, permit, zone change, license, or other form of permission, or concurrence, whether discretionary, ministerial, or otherwise, incident to, or necessary for, the commercial development project. This section does not limit the ability of an underlying land use jurisdiction to ensure compliance with all applicable provisions of law in determining whether to approve or disapprove a commercial development project. (c) (1) A protest filed pursuant to subdivision (a) shall be filed at the time of approval or conditional approval of the commercial development project or within 90 days after the date of the imposition of the commercial linkage fee to be imposed on a commercial development project. (2) Any party who files a protest pursuant to subdivision (a) may file an action to attack, review, set aside, void, or annul the imposition of the commercial linkage fee imposed on a commercial development project within 60 days after the delivery of the notice required by subdivision (a) of Section 64624. Thereafter, notwithstanding any other law, all persons shall be barred from any action or proceeding or any defense of invalidity or unreasonableness of the imposition. Any proceeding brought pursuant to this subdivision shall take precedence over all matters of the calendar of the court except criminal, probate, eminent domain, forcible entry, and unlawful detainer proceedings. (d) (1) If the court grants a judgment to a plaintiff invalidating, as enacted, all or a portion of a resolution establishing, increasing, or imposing a commercial linkage fee, the court shall direct the authority to refund the unlawful portion of the payment, plus interest at an annual rate equal to the average rate accrued by the Pooled Money Investment Account during the time elapsed since the payment occurred, or to return the unlawful portion of the exaction imposed. (2) If an action is filed within 120 days of the date at which a resolution to establish or modify a commercial linkage fee to be imposed on a commercial development project takes effect, the portion of the payment or exaction invalidated shall also be returned to any other person who, under protest pursuant to this section and under that invalid portion of that same resolution as enacted, tendered the payment or provided for or satisfied the exaction during the period from 90 days before the date of the filing of the action which invalidates the payment or exaction to the date of the entry of the judgment referenced in paragraph (1). (e) The imposition of a commercial linkage fee occurs, for the purposes of this section, when it is imposed or levied on a specific commercial development project. (Amended by Stats. 2020, Ch. 370, Sec. 163. (SB 1371) Effective January 1, 2021.)
  134. 64626.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    In certain lawsuits over a commercial linkage fee, the executive board and the authority must prove the fee does not exceed the reasonable housing cost. A party may start such an action only if the fee was directly imposed as a project-approval condition and the party asked for the supporting documents at least 30 days earlier.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64626. (a) In any judicial action or proceeding to validate, attack, review, set aside, void, or annul any resolution providing for the establishment, increase, or imposition of a commercial linkage fee pursuant to this article in which there is an issue whether the fee is a special tax within the meaning of Section 50076, the executive board and the authority shall have the burden of producing evidence to establish that the commercial linkage fee does not exceed the reasonable cost of providing the housing necessitated by the commercial development project for which the commercial linkage fee is imposed, as determined in the regional nexus study pursuant to subdivision (b) of Section 64621. (b) A party may only initiate an action or proceeding pursuant to subdivision (a) if both of the following requirements are met: (1) The commercial linkage fee was directly imposed on the party as a condition of project approval, as provided in Section 64624. (2) At least 30 days before initiating the action or proceeding, the party requests that the executive board and the authority provide a copy of the documents, including, but not limited to, the regional nexus study prepared pursuant to subdivision (b) of Section 64621, that establish that the commercial linkage fee does not exceed the reasonable cost of providing the housing necessitated by the commercial development project for which the commercial linkage fee is imposed. In accordance with subdivision (a) of Section 7922.530, the executive board and the authority may charge a fee for copying the documents requested pursuant to this paragraph. (c) For purposes of this section, costs shall be determined in accordance with fundamental fairness and consistency of method as to the allocation of costs, expenses, revenues, and other items included in the calculation. (Amended by Stats. 2021, Ch. 615, Sec. 214. (AB 474) Effective January 1, 2022. Operative January 1, 2023, pursuant to Sec. 463 of Stats. 2021, Ch. 615.)
  135. 64627.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Any person may request an audit of the commercial linkage fee, and the authority may use an independent auditor if certain conditions are met.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64627. (a) Any person may request an audit in order to determine whether any fee or charge levied by the executive board and the authority board exceeds the amount necessary to cover the reasonable cost of providing the housing necessitated by the commercial development project for which the commercial linkage fee is imposed, as determined in the regional nexus study pursuant to subdivision (b) of Section 64621 and the authority’s related administrative costs. If a person makes that request, the executive board and the authority may retain an independent auditor to conduct an audit to determine whether the commercial linkage fee is reasonable, but is not required to conduct the audit if an audit has been performed for the same fee within the previous 12 months. (b) If an audit pursuant to this section determines that the amount of any commercial linkage fee or charge does not meet the requirements of this article, the executive board and the authority board shall adjust the fee accordingly. (c) The authority shall retain an independent auditor to conduct an audit only if the person who requests the audit deposits with the authority the amount of the executive board’s and the authority’s reasonable estimate of the cost of the independent audit. At the conclusion of the audit, the authority shall reimburse unused sums, if any, or the requesting person shall pay the authority the excess of the actual cost of the audit over the sum which was deposited. (d) Any audit conducted by an independent auditor pursuant to this section shall conform to generally accepted auditing standards. (e) This section shall not be construed as granting any additional authority to any local agency to levy any fee or charge which is not otherwise authorized by another provision of law, nor shall its provisions be construed as granting authority to any local agency to levy a new fee or charge when other provisions of law specifically prohibit the levy of a fee or charge. (Amended by Stats. 2023, Ch. 758, Sec. 8. (AB 1319) Effective January 1, 2024.)
  136. 64628.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Any action by the executive board, the authority board, or an interested person under this article must be brought under Chapter 9 of the Code of Civil Procedure.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 2. Commercial Linkage Fee [64620 - 64628] ( Article 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64628. Any action by the executive board and the authority board or interested person under this article shall be brought pursuant to Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the Code of Civil Procedure. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  137. 64630.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority board may start proceedings to issue general obligation bonds by majority vote and adopting a resolution, but only after the executive board first adopts a supporting resolution.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64630. The authority board may, by majority vote, initiate proceedings to issue general obligation bonds pursuant to this chapter by adopting a resolution stating its intent to issue the bonds. The authority board shall not adopt a resolution to initiate proceedings until after the executive board has adopted a resolution in support of the issuance of the general obligation bonds. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  138. 64631.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority may issue or refund general obligation bonded debt, but must follow specified state-law requirements and the board must levy taxes to pay bond interest and principal.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64631. (a) The authority may incur or refund general obligation bonded indebtedness, secured by the levy of ad valorem property taxes, pursuant to Article XIII A of the California Constitution, and any amendment thereto, for any purpose allowed by state law or the California Constitution. (b) For purposes of incurring general obligation bonded indebtedness pursuant to this section, the authority shall comply with the requirements of Chapter 3 (commencing with Section 53400) of Part 1 of Division 2 of Title 5. (c) The board of the authority shall annually at the time of making the levy of taxes for county purposes, levy a tax for that year upon property in the authority’s jurisdiction for the interest and redemption of all outstanding bonds of the authority, as provided by Section 1 of Article XIII A of the California Constitution. The tax shall not be less than sufficient to pay the interest on the bonds as it becomes due and to provide a sinking fund for the payment of the principal payable or on before maturity and may include an allowance for an annual reserve, established for the purpose of avoiding fluctuating tax levies. The tax shall be sufficient to provide funds for the payment of the interest on the bonds as it becomes due and also any part of the principal and interest that is to become due before the proceeds of a tax levied at the time for making the next general tax levy may be made available for the payment of the principal and interest. (Amended by Stats. 2023, Ch. 758, Sec. 9. (AB 1319) Effective January 1, 2024.)
  139. 64632.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority may issue revenue bonds and must manage authority revenues and bond-related steps under this section.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64632. (a) (1) For purposes of this section, “authority revenues” includes, without limitation, revenues generated by either of the following: (A) Any special tax, fee, or charge imposed by the authority, other than ad valorem property taxes. (B) Any loan repayments, investment income, or income derived from the ownership or operation of real property. (2) (A) The authority may issue revenue bonds, payable from authority revenues, in accordance with the Revenue Bond Law of 1941 (Chapter 6 (commencing with Section 54300) of Part 1 of Division 2 of Title 5), for the purposes set forth in this title and in any resolution adopted by the authority, or measure adopted by voters, in connection with the generation of authority revenues or imposition of those special taxes, fees, or other charges. (B) For purposes of issuing revenue bonds pursuant to this section, all or any portion of the authority revenues designated by the authority, the special taxes, fees, or other charges described in subparagraph (A) shall constitute an “enterprise” within the meaning of Section 54309. (C) Any authority revenues designated pursuant to subparagraph (B) shall constitute “revenues” within the meaning of Section 54315. (3) To exercise the powers described in this section, the authority shall ensure that the text of the ballot measure prepared pursuant to Section 64521 related to voter approval of a special tax under this title notifies the voters that proceeds from the special tax may be used as payment for revenue bonds. (4) For purposes of this section, the authority shall be deemed to be a local agency within the meaning of Section 54307. Article 3 (commencing with Section 54380) of Chapter 6 of Part 1 of Division 2 of Title 5 and the limitations on the rate of interest set forth in subdivision (b) of Section 54402 do not apply to the issuance and sale of bonds pursuant to this section. Instead, the authority shall authorize the issuance of bonds by resolution at any time, and from time to time, which shall specify all of the following: (A) The purposes for which the bonds are to be issued. (B) The maximum principal amount of the bonds. (C) The maximum term for the bonds. (D) (i) The maximum rate of interest to be payable upon the bonds, which shall not exceed the maximum rate permitted for bonds of the authority by Section 53531 or any other applicable provisions of law. (ii) In the case of bonds bearing a variable interest rate, the variable rate shall not, on any day, exceed the maximum rate permitted for bonds of the authority by Section 53531 or any other applicable provisions of law. However, the variable interest rate may, on any day, exceed that maximum rate in subparagraph (A), if the interest paid on the bonds from their date of original issuance to that day does not exceed the total interest that would have been permitted if the bonds had borne interest at all times from the date of issuance to that day at the maximum rate permitted from time to time by Section 53531 or any other applicable provisions of law. (E) The maximum original issue premium or discount on the sale of the bonds. (F) The denomination or denominations of the revenue bonds, which shall not be less than five thousand dollars ($5,000). (b) The resolution may also contain any other matters authorized by this chapter or any other law. (c) The revenue bonds may be sold at public or private sale or on a negotiated sale basis and at the prices, above or below par, as determined by the authority board. (d) The revenue bonds, or each series thereof, shall be dated and numbered consecutively and shall be signed by the executive director of the authority, whose signature may be printed, lithographed, or mechanically reproduced. If any officer whose signature appears on the revenue bonds ceases to be that officer before the delivery of the bonds, the officer’s signature is as effective as if the officer had remained in office. (e) Any summary statement required to be published by the authority pursuant to Section 54522 shall be published annually, not more than nine months after the close of each fiscal year. (f) This section provides a complete, additional, and alternative method for the issuance of revenue bonds by the authority. An issuance does not need to comply with the procedures specified elsewhere in this article or other laws, but shall instead be issued in accordance with the procedures specified in this article. (g) (1) To the extent permitted by law, authority revenues shall be applied according the following priority: (A) First, to operation and maintenance of any housing project, if so required by the relevant financing documents. (B) Second, to the payment of bonds with respect to which the revenues have been pledged. (C) Third, to the payment of obligations in connection with bonds. (D) Fourth, to the payment of administrative costs. (E) Fifth, to any other purpose permitted by law and authorized by this title. (2) All moneys received by the authority shall be trust funds applied solely for purposes of this title. (Amended by Stats. 2023, Ch. 758, Sec. 10. (AB 1319) Effective January 1, 2024.)
  140. 64633.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority and anyone who signs these bonds are not personally liable for the bonds just because they were issued.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64633. (a) The authority or any person executing the bonds issued pursuant to this title shall not be personally liable on the bonds by reason of their issuance. (b) The bonds and other obligations of the authority are not a debt of any city or county, the Association of Bay Area Governments, the Metropolitan Transportation Commission or any of its affiliated entities, or of the state or of any of its political subdivisions, other than the authority, and neither a city or county nor the state or any of its political subdivisions, other than the authority, shall be liable on the bonds, and the bonds or obligations shall be payable exclusively from funds or properties of the authority, as specified in the applicable bond or other security document. Bonds issued pursuant to this title shall contain a statement to this effect on their face. (c) If the signature of any member of the authority or staff member of the authority appears on bonds issued pursuant to this title, and that individual ceases to be a member of the authority or staff member of the authority before delivery of the bonds, that member’s signature shall be as effective as if the member had remained in office. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  141. 64634.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority must hire an independent audit every two years after bonds are issued, and must send the completed audit to specified state bodies. The Bureau of State Audits may also audit the authority if the Governor or Legislature requests it.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64634. (a) Every two years after the issuance of bonds pursuant to this section, the authority shall contract for an independent financial and performance audit. The audit shall be conducted according to guidelines established by the Controller. A copy of the completed audit shall be provided to the Controller, the Director of Finance, and the Joint Legislative Budget Committee. (b) Upon the request of the Governor or the Legislature, the Bureau of State Audits may conduct a financial and performance audit of the authority. The results of any audit shall be provided to the authority board, the Controller, the Director of Finance, and the Joint Legislative Budget Committee. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  142. 64635.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Bonds issued under this article are fully negotiable.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64635. Bonds issued pursuant to this article are fully negotiable. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  143. 64636.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Challenges to the validity of certain taxes, fees, charges, bonds, or related proceedings must be started within 60 days.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 2. Revenue [64610 - 64636] ( Chapter 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## ARTICLE 3. Bonds [64630 - 64636] ( Article 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64636. Any action to determine the validity or adoption of any tax, fee, or other charge provided for in, or the validity of bonds issued pursuant to, this title, or any of the proceedings, contracts, agreements, or other arrangements or matters entered into, shall be commenced within 60 days from the date of the election or the adoption of the resolution approving such matters, as applicable, pursuant to Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the Code of Civil Procedure. After that date, the adoption of such tax, fee, or other charge, the issuance of the bonds, and all proceedings in relation thereto, shall be held valid and incontestable in every respect. (Amended by Stats. 2020, Ch. 370, Sec. 165. (SB 1371) Effective January 1, 2021.)
  144. 64650.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Expenditures [64650 - 64652] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    Revenue from this part must be used for affordable housing, tenant protection, planning, technical assistance, and supporting infrastructure, with specified approval and spending rules.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Expenditures [64650 - 64652] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64650. (a) (1) Revenue generated pursuant to this part shall be used for the construction of new affordable housing, affordable housing preservation, tenant protection programs, planning and technical assistance related to affordable housing, and for infrastructure to support housing and other purposes, as provided for in this section. (2) For purposes of this section: (A) “County housing revenue” are those funds distributed pursuant to subparagraph (A) of paragraph (1) of subdivision (d) and subparagraph (A) of paragraph (2) of subdivision (d). (B) “Regional housing revenues” are those revenues described in subparagraph (B) of paragraph (1) of subdivision (d) and subparagraph (B) of paragraph (2) of subdivision (d). (b) (1) The allocation of regional housing revenues to projects and programs shall be first approved by the executive board and subsequently by the authority. If the authority takes an action different from the executive board, the executive board must subsequently approve the action. (2) Subject to funding eligibility and adjustment pursuant to paragraph (3), the authority shall distribute regional housing revenue in the form of a grant, loan, or other financing tool pursuant to subdivision (k) of Section 64520 in a manner that achieves the following minimum shares over five-year periods commencing after revenue is approved by voters as follows: (A) (i) A minimum of two-thirds for production and preservation of affordable housing as follows: (I) A minimum of 52 percent for the production of rental housing that is restricted by recorded document to be affordable to lower income households for at least 55 years, including, but not limited to, housing serving specific populations such as veterans, seniors, people with disabilities, current or former foster youth, victims of abuse, and people experiencing or at risk of homelessness. “Eligible expenses,” for purposes of this paragraph, include, but are not limited to, development costs, as defined in Section 50065 of the Health and Safety Code. (II) A minimum of 15 percent for preservation of housing that is restricted by recorded document to be affordable to low- or moderate-income households for 55 years. Funding pursuant to this clause for preservation programs may be used to acquire, rehabilitate, and preserve existing housing units restricted for affordability, as well as housing from the private market, including residential hotels, as defined in paragraph (1) of subdivision (b) of Section 50519 of the Health and Safety Code, in order to prevent the loss of affordability. Funding provided pursuant to this clause shall be subject to both of the following conditions: (ia) Existing residents of buildings acquired for the purpose of affordable housing preservation shall not be displaced, even if the resident’s household income exceeds the moderate-income limits in Section 50093 of the Health and Safety Code. (ib) Buildings acquired for the purpose of affordable housing preservation shall achieve 100 percent occupancy by low- or moderate-income households over time through unit turnover. (ii) Funding provided pursuant to this subparagraph shall be subject to the following conditions in the event that demolition or rehabilitation of housing units is required: (I) If the housing units are occupied at the date of acquisition, the housing development shall provide at least the same number of units of equivalent number of bedrooms to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as those households in occupancy. (II) If existing residents must be relocated due to demolition or rehabilitation needs, the developer must provide relocation benefits to the occupants of those housing rental units subject to Chapter 16 (commencing with Section 7260) of Division 7 of Title 1. This subclause does not supersede any provision of a locally adopted ordinance that requires greater relocation assistance to displaced households. (III) If existing residents must be relocated due to demolition or rehabilitation needs, the developer shall provide a right of first refusal for a comparable unit available in the new or rehabilitated housing development that is affordable to the household at an affordable rent, as defined in Section 50053 of the Health and Safety Code, or an affordable housing cost, as defined in Section 50052.5 of the Health and Safety Code. (B) A minimum of 5 percent for tenant protection programs for low- and moderate-income households. However, regional housing revenues derived from a bond authorized in Section 64631 shall not be spent for these purposes unless, and only to the extent, permitted by law. The executive board and the authority board shall prioritize the use of revenue sources that are eligible for tenant protection programs in order to meet the minimum requirement of this subparagraph, or as that requirement is modified pursuant to paragraph (3), to the extent feasible. Eligible expenses provided pursuant to this paragraph may only be spent on the following: (i) Preeviction and eviction legal services, counseling, advice and consultation, training, renter education, and representation, and services to improve habitability that protect against displacement of tenants. (ii) Providing emergency rental assistance for lower income households. Rental assistance provided pursuant to this clause shall not exceed 48 months for each assisted household, except that for severely rent-burdened seniors on fixed incomes, rental assistance may be renewed for successive 48-month terms. For purposes of this clause, a “severely rent-burdened senior” is a senior that pays more than 50 percent of their pretax income on rent. (iii) Homelessness prevention services, including, but not limited to, emergency financial assistance, supportive services, and housing problem solving. (iv) Providing relocation assistance for lower income households beyond what is legally required of landlords according to local or state law. (v) Collection and tracking of information related to displacement and displacement risk, rents, and evictions in the region. (C) A maximum of 10 percent for a grant program for local governments that qualify based on criteria established in funding guidelines adopted by the executive board and the authority board, in consultation with the advisory committee. Subject to any limitations on the funding source, eligible expenditures pursuant to this subparagraph must support housing and related uses, including, but not limited to, grants for the following purposes: (i) Technical assistance, preparation, and adoption of planning documents and process improvements to accelerate and support housing production, preservation, and tenant protections. (ii) Infrastructure needs associated with increased housing production, including, but not limited to, transportation, schools, and parks. (iii) One-time uses that address homelessness, including, but not limited to, homeless shelters and infrastructure to support those shelters, and homeless prevention programs. (iv) Programs to enable low- or moderate-income households to become or remain homeowners, including, but not limited to, below market rate ownership programs, downpayment assistance programs, residential rehabilitation loan programs, and grants or loans to assist in the rehabilitation or replacement of existing mobilehomes located in a mobilehome or manufactured home community. (v) Tenant protection programs, as described in subparagraph (B). (D) Funding subject to this paragraph that is derived from a bond issued pursuant to Section 64631 shall be expended consistent with Article XIII A of the California Constitution and any amendment thereto. (3) No earlier than five years after approval of a funding measure under Chapter 2 (commencing with Section 64610) and subject to consultation with the advisory committee, the executive board and the authority board may change any of the minimum requirements in subparagraph (A) or (B) of paragraph (2) if the executive board and the authority board each adopt a finding that the region’s needs in a given category differ from those requirements. The executive board must approve the finding by a two-thirds vote, which must be subsequently approved by the authority board by a two-thirds vote. Approval of the finding shall be subject to the public participation requirements provided in subdivision (e) of Section 64511. (4) The authority shall distribute the revenues derived from a commercial linkage fee established, increased, or imposed pursuant to Article 2 (commencing with Section 64620) of Chapter 2, net of related administrative costs of the authority, to each city or county in a manner that is consistent with the regional nexus study adopted by the executive board and the authority board. A city or county that receives revenues pursuant to this paragraph shall use that revenue solely for affordable housing necessitated by a commercial development project on which the fee was imposed, as determined by the executive board and the authority board pursuant to Section 64621. (c) Except as otherwise provided in paragraph (4) of subdivision (b), the executive board and the authority board may approve funds for a project or program directly to a city, a county, a public entity, or a private project sponsor. (d) (1) The authority shall distribute funds received through the funding measures authorized in Sections 64610 and 64611 and Article 3 (commencing with Section 64630) of Chapter 2 as follows: (A) At least 80 percent of the revenue received shall be allocated to the county of origin for expenditure in that county, consistent with the county expenditure plan adopted pursuant to paragraph (6). Each county board of supervisors shall determine the appropriate entity or entities within their county to administer the funds. Counties may use up to 5 percent of these funds for administrative purposes to assist with the development and implementation of the expenditure plan in their county. (B) Up to 20 percent of the revenue received shall be collected by the authority for expenditures consistent with the regional expenditure plan adopted pursuant to paragraph (5) and for the purposes set forth in subdivision (a), and shall be eligible to be spent in any county in which the measure is in effect. (2) The authority shall distribute funds received through the funding measure authorized in Section 64612 as follows: (A) At least 50 percent of the revenue received shall be allocated to the county of origin for expenditure in the county, consistent with the county expenditure plan adopted pursuant to paragraph (6). Each county board of supervisors shall determine the appropriate entity within their county to administer the funds allocated to their county. Counties may use up to 5 percent of these funds for administrative purposes to assist with the development and implementation of the expenditure plan in their county. (B) Up to 50 percent of the revenue received shall be collected by the authority for expenditures consistent with the regional expenditure plan adopted pursuant to paragraph (5) and for the purposes set forth in subdivision (a), and shall be eligible to be spent in any county in which the measure is in effect. (3) No earlier than five years after approval of a funding measure under Chapter 2 (commencing with Section 64610), the executive board and the authority board may review and adjust the minimum requirements regarding the distribution of funds in paragraphs (1) and (2). After consultation with the advisory committee and subject to the public participation requirements of subdivision (e) of Section 64511, the executive board and the authority board may adopt a finding that it is in the best interest of the region to modify the distribution of funds and adopt a revised policy. A vote in support of modifying the distribution of funds in paragraphs (1) and (2) must be approved first by a two-thirds vote of the executive board, followed by a subsequent two-thirds vote of the authority. (4) County housing revenue may be spent on affordable housing production, affordable housing preservation, and tenant protection programs, as described in subparagraphs (A) and (B) of paragraph (2) of subdivision (b), provided that the expenditures are consistent with the county expenditure plan and the California Constitution. (A) A county, including a city and county, shall provide a direct allocation to a city in their county if it is one of the three largest cities, including a city and county, in the San Francisco Bay area, as determined by the most recent population estimate by the Department of Finance. The direct allocation shall be based on the city’s share of the county’s regional housing need allocation pursuant to Section 65584 for lower income households. A city described in this subparagraph may use up to 5 percent of its direct allocation for administrative purposes to assist with the development and implementation of its expenditure plan. (B) A county receiving funds from this chapter that does not include one of the three largest cities, including a city and county, in the region shall provide an option for a direct allocation to a city that has been allocated more than 30 percent of that county’s regional housing need allocation for lower income households during that regional housing need allocation period. The direct allocation shall be based on the city’s share of the county’s regional housing need allocation for lower income households. A city described in this subparagraph may use up to 5 percent of its direct allocation for administrative purposes to assist with the development and implementation of its expenditure plan. (C) A city that receives a direct allocation shall prepare, adopt, and transmit to the county in which it is located an expenditure plan consistent with the provisions in paragraph (6) and prioritize projects that help the city achieve its regional housing need allocation. A city receiving a direct allocation shall be subject to the same minimum shares applicable to counties in clause (i) of subparagraph (B) of paragraph (6), unless the executive board and the authority each adopt a finding, based on a thorough review and after consultation with the advisory committee, that the minimum allocation requirements are not the best use of the funds to address the city’s affordable housing needs. The executive board must approve the finding by a two-thirds vote, which must be subsequently approved by the authority board by a two-thirds vote. (5) (A) The executive board and the authority board shall, in consultation with the advisory committee, adopt a regional expenditure plan for the use of housing revenue by July 1 of each year, except the executive board and the authority board shall select the deadline to adopt the first regional expenditure plan. The regional expenditure plan may cover multiple years, as determined by the executive board and the authority board. The authority may take action on the regional expenditure plan only after it has been approved by the executive board. If the authority adopts changes to the regional expenditure plan, the changes must be subsequently approved by the executive board. (B) (i) The regional expenditure plan shall set forth the share of revenue and estimated funding amount to be spent on each of the categories established in subdivision (b), indicate the household income levels to be served within each category of expenditures, and estimate the number of affordable housing units to be built or preserved and the number of tenants to be protected. To the extent feasible, the regional expenditure plan shall include a description of any specific project or program proposed to receive funding, including the location, amount of funding, and anticipated outcomes, as well as the estimated funding level for each of the categories listed in subparagraph (A) or (B) of paragraph (2) of subdivision (b). Beginning the second year, the authority shall include a report in the regional expenditure plan that provides its allocations and expenditures to date of projects and programs funded and the extent to which the minimum targets in subparagraph (A) or (B) of paragraph (2) of subdivision (b) were achieved. (ii) (I) The regional expenditure plan shall not render projects ineligible for funding based on the presence or absence of any city, county, or city and county land use or housing policies. (II) Notwithstanding subclause (I), the authority may use project-specific conditions to prioritize projects for funding. (C) The regional expenditure plan shall include the following information for any specific project that has received an allocation of regional housing revenue during the prior year: (i) Whether the project proponent has requested a building permit for the project, and if so, the date when it was requested. (ii) Whether the project proponent is eligible to request a building permit for the project, and if so, the date when it became eligible. (iii) Whether the project proponent has obtained final approval or certification that the housing development is habitable, such as a certificate of occupancy, and if so, the date when it was obtained. (6) Each county shall adopt a county expenditure plan applicable to county housing revenue no sooner than 30 days after a draft of the plan has been placed on an agenda of the governing body for discussion. Each county shall transmit the county expenditure plan to the executive board and the authority as follows: (A) The expenditure plan shall be transmitted by July 1 of each year, except the executive board and the authority board shall select the deadline for the transmission of the first expenditure plan. The deadline for the transmission of the first expenditure plan shall provide at least 90 days for a county to prepare the expenditure plan after the election approving a tax or bond pursuant to this part is certified. An expenditure plan may cover multiple years, as determined by the county. (B) (i) To be deemed complete, the expenditure plan shall specify the proposed allocation of funds as follows: (I) The proposed share of revenues that will be allocated to the construction of new affordable housing, affordable housing preservation, and tenant protection programs. Except as provided in subclause (IV), the expenditure plan shall demonstrate that over a five-year period the county will meet the following allocations: (ia) A minimum allocation of 52 percent towards construction of new affordable housing that prioritizes projects that help achieve regional housing need allocation targets for housing affordable to extremely low income, very low income, and lower income households. (ib) A minimum allocation of 15 percent towards affordable housing preservation. (ic) A minimum allocation of 5 percent towards tenant protection programs. (id) A county expenditure plan may deviate from the minimum shares required by this clause if the executive board and the authority board each adopt a finding, based on a thorough review and after consultation with the advisory committee, that the minimum allocations are not the best use of the funds to address the county’s affordable housing needs. The executive board must adopt the finding by a two-thirds vote, which must be subsequently approved by the authority board by a two-thirds vote. (II) To the extent feasible, the plan shall include a description of any specific project or program proposed to receive funding, including the location, amount of funding, and anticipated outcomes, as well as the estimated funding level for each of the categories listed in clause (i). (III) The plan shall demonstrate the county has consulted with each city in the county, excluding cities that receive a direct allocation. (IV) Commencing with the second year, each county shall include in its expenditure plan a report on its allocations and expenditures to date of projects and programs funded and the extent to which the minimum targets in clause (i) were achieved. (ii) (I) The authority shall not impose any other conditions for a county expenditure plan to be deemed complete to allocate funds. (II) Notwithstanding subclause (I), the authority may enter into an agreement with a county or city that receives an allocation of county housing revenue to ensure that the authority or the county, city, or city and county take the actions necessary or incidental to implementing the purpose of this section. (7) If the executive board and the authority board each determine by a majority vote that a county has not submitted a complete expenditure plan pursuant to the requirements of subparagraph (B) of paragraph (6), the authority may withhold allocation of revenues to that county until the county submits a complete expenditure plan. (8) The authority shall post each completed expenditure plan on its internet website. (9) A county may request the executive board and the authority to administer all or a portion of its county housing revenue. If the executive board and the authority board agree to administer the funds, they shall develop and adopt an annual expenditure plan applicable to that portion of the funds that shall be jointly approved by the executive board and the authority board, in consultation with the county, and projects allocated according to that plan shall be subject to the same timelines described in paragraph (10). (10) After county housing revenues are committed to a specific project, they shall remain available for expenditure for three years. A county may authorize expenditures beyond three years pursuant to guidelines that shall be reviewed and adopted by the executive board and the authority board, in consultation with the advisory committee. (11) (A) Funds allocated to a city pursuant to paragraph (3) shall be committed to a specific project within five years of receipt. (B) Once committed to a specific project, funds shall remain available for expenditure for an additional five years, unless an extension is authorized pursuant to subparagraph (C). (C) If the funds have not been expended within five years of receipt as required in subparagraph (B), the city shall show that it has made adequate progress towards completing the project. If the county in which the city is located finds that adequate progress has been made, the county shall authorize an additional 24 months to grant entitlements to the remainder of the project. If the county in which the city is located does not find that adequate progress has been made, the funds shall be transferred to the county. The county shall hold the funds until the city submits a plan satisfactory to the county to move forward with the project or allocate funds to another qualified project consistent with the city’s expenditure plan. (D) For purposes of this paragraph, “adequate progress” means the project has received the land use approvals or entitlements necessary for at least 75 percent of the project’s units. (e) Before the distribution of funds each year in accordance with subdivision (d), the authority shall be entitled to up to 5 percent of the funds of any measure approved pursuant to this part for general administration and overhead. (Amended by Stats. 2024, Ch. 671, Sec. 1. (AB 598) Effective January 1, 2025.)
  145. 64651.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Expenditures [64650 - 64652] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The executive board and the authority must monitor expenditures with local jurisdictions, including a review at least every five years. They may also adopt guidelines for the funds.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Expenditures [64650 - 64652] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64651. The executive board and the authority shall monitor expenditures in coordination with local jurisdictions. At least once every five years, the monitoring shall include a review of county housing revenue expenditures and a review of revenues allocated to cities pursuant to subparagraphs (A) and (B) of paragraph (4) of subdivision (d) of Section 64650. The authority board and executive board may adopt guidelines applicable to such funds as deemed necessary to ensure they are spent in a timely manner consistent with the goals of this chapter. (Added by Stats. 2019, Ch. 598, Sec. 1. (AB 1487) Effective January 1, 2020.)
  146. 64652.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Expenditures [64650 - 64652] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. )

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    The authority must prepare and submit an annual report to the Legislature.

    ## Government Code - GOV ## TITLE 6.8. San Francisco Bay Area Regional Housing Finance [64500 - 64652] ( Title 6.8 added by Stats. 2019, Ch. 598, Sec. 1. ) ## PART 2. Financing Activities of the Bay Area Housing Finance Authority [64600 - 64652] ( Part 2 added by Stats. 2019, Ch. 598, Sec. 1. ) ## CHAPTER 3. Expenditures [64650 - 64652] ( Chapter 3 added by Stats. 2019, Ch. 598, Sec. 1. ) ## 64652. To ensure oversight and accountability, the authority shall prepare and submit an annual report to the Legislature, in conformance with Sections 9795 and 53411 on allocations and expenditures under its control, and those controlled by counties pursuant to subdivision (d) of Section 64650. The report shall include a description of projects funded and their status, the households served by income level, and the extent to which the minimum targets in paragraph (2) of subdivision (b) and paragraph (6) of subdivision (d) of Section 64650 were achieved. (Amended by Stats. 2020, Ch. 370, Sec. 167. (SB 1371) Effective January 1, 2021.)
  147. 64700.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    This title may be cited as the Los Angeles County Regional Housing Finance Act.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64700. This title shall be known, and may be cited, as the Los Angeles County Regional Housing Finance Act. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  148. 64701.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The Legislature declares that Los Angeles County is facing a severe housing crisis and that a regional agency is needed to help address it.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64701. The Legislature finds and declares the following: (a) Los Angeles County is facing the most significant housing crisis in the region’s history, as tens of thousands of residents are living in overcrowded housing, being pushed out of their homes, spending hours driving every day to and from work, one paycheck away from an eviction, or experiencing homelessness. (b) The impacts of Los Angeles County’s affordable housing crisis are disproportionately being borne by people of color, including Black, Latino, Asian and Pacific Islander Americans, and low-income residents. (c) Women of color face an even greater burden due to systemic barriers, including wage discrimination, unsafe transit options, and lack of access to affordable childcare. (d) Los Angeles County faces this crisis because, as a region, it has failed to produce enough housing at all income levels, particularly at the lowest levels of affordability, preserve affordable housing, protect existing residents from displacement, and address the housing issue throughout the county in a comprehensive fashion. (e) Housing costs have dramatically outpaced wage growth. An average two-bedroom apartment in Los Angeles County requires a household income of forty-one dollars and ninety-six cents ($41.96) per hour. (f) The housing crisis in Los Angeles County is regional in nature and existing municipality-specific programming would benefit from a regional agency that could supplement the programming with additional supports and services, especially in the context of ambitious Regional Housing Needs Assessments goals – 341,000 affordable units in the sixth cycle, which the county as a whole is on track to produce 25,000. (g) Seventy-nine percent of extremely low income households in Los Angeles County are paying more than half of their income on housing costs compared to just 3 percent of moderate-income households. (h) However, the current process is anything but regional; instead each city and the county is each responsible for their own decisions around housing financing and renter protection programs. (i) Based on the most recent regional housing needs assessment cycle, Los Angeles County faces an annual gap of 39,375 units between what is being created and what is needed to achieve the sixth cycle affordable housing countywide goals. (j) A multistakeholder countywide agency is necessary to help address the affordable housing crisis in Los Angeles County by supplementing resources and technical assistance at a regional scale, including: (1) Generating new dedicated regional funding for critical capital and other supports for affordable housing developments across Los Angeles County to supplement, rather than supplant, existing funding. (2) Providing staff support to local jurisdictions that require capacity or technical assistance to expedite the preservation and production of housing. (3) Funding renter programs and services, such as emergency rental assistance and access to counsel. (4) Assembling parcels, acquiring land, and supporting community land trusts for the purpose of building affordable housing. (5) Monitoring and reporting on progress at a regional scale. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  149. 64702.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    This section defines key terms used in Title 6.9, including “Agency,” “Board,” “Community land trust,” and “Los Angeles County.”

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64702. For purposes of this title: (a) “Agency” means the Los Angeles County Affordable Housing Solutions Agency established pursuant to Section 64710. (b) “Board” means the governing board of the Los Angeles County Affordable Housing Solutions Agency. (c) “Community land trust” has the same meaning as that term is defined in clause (ii) of subparagraph (C) of paragraph (11) of subdivision (a) of Section 402.1 of the Revenue and Taxation Code, as amended by the act adding this subdivision. (d) “Los Angeles County” means the entire area within the territorial boundary of the County of Los Angeles. (Amended by Stats. 2024, Ch. 580, Sec. 2. (AB 2897) Effective January 1, 2025.)
  150. 64703.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The section says this title applies to all cities in Los Angeles County, including charter cities.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64703. The Legislature finds and declares that providing a regional financing mechanism for affordable housing development, preservation, and renter protections in Los Angeles County, as described in this section and Section 64701, is a matter of statewide concern and is not a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Therefore, this title applies to all cities within Los Angeles County, including charter cities. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  151. 64704.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. )

    Verify source ↗

    The title’s provisions are severable.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64700 - 64704] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64704. The provisions of this title are severable. If any provision of this title or its application is held invalid, that invalidity shall not affect other provisions or applications that can be given effect without the invalid provision or application. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  152. 64710.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency is created and given countywide jurisdiction, but it can only act in a supplemental role where a municipality already had a similar program on January 1, 2022.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64710. (a) (1) The Los Angeles County Affordable Housing Solutions Agency is hereby established with jurisdiction extending throughout the County of Los Angeles, except that the agency shall only have jurisdiction to act in a supplemental capacity when a municipality has, as of January 1, 2022, an existing program that provides similar supports and services, and in no circumstances shall any functions of existing programs be transferred to or undertaken by the agency, nor shall the agency perform or undertake any functions related to supports and services provided to people experiencing homelessness, unless such supports and services are explicitly authorized by this chapter or are directly related to the provision of other supports and services authorized explicitly by this chapter. (2) Notwithstanding paragraph (1), the agency may transfer a portion of the revenue raised by a tax measure adopted pursuant to this title to the County of Los Angeles for programs that provide supports and services to prevent and combat homelessness. (b) The formation and jurisdictional boundaries of the agency are not subject to the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 (Division 3 (commencing with Section 56000) of Title 5). (c) The agency’s purpose is to increase the supply of affordable housing in the County of Los Angeles by providing for significantly enhanced funding and technical assistance at a regional level for renter protections, affordable housing preservation, and new affordable housing production of 100 percent affordable housing for households earning 80 percent of the appropriate area median income or below, with financing priority on the lowest levels of affordability. (d) The agency shall complement and supplement existing efforts by cities, counties, districts, and other local, regional, and state entities, related to addressing the goals described in this title. (Amended by Stats. 2024, Ch. 80, Sec. 72. (SB 1525) Effective January 1, 2025.)
  153. 64711.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    This section sets up the agency’s board structure, appointment process, public participation requirements, and per diem rules.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64711. (a) The agency shall be governed by a board of directors composed of 21 voting members and one nonvoting member, as follows: (1) Five members of the Los Angeles County Board of Supervisors. If the number of members of the Los Angeles County Board of Supervisors is increased, the agency shall, within 60 days of the increase, submit a plan to the Legislature for revising the composition of the agency. (2) (A) The mayor of the City of Los Angeles. (B) Three members appointed by the mayor of the City of Los Angeles, each of whom shall be either a member of the Los Angeles City Council or a housing expert or advocate. (C) One member who is a city council member or a housing expert or advocate appointed by the President of the Los Angeles City Council. (3) The mayor of the City of Long Beach or the vice mayor of the City of Long Beach, as determined by the mayor of the City of Long Beach. (4) (A) Five members, each of whom shall be a mayor or a member of a city council, appointed by the Los Angeles County City Selection Committee. (B) For purposes of the selection of four of the members appointed pursuant to subparagraph (A), Los Angeles County, excluding the City of Long Beach and the City of Los Angeles, shall be divided into the following four sectors: (i) The North County and San Fernando Valley sector. (ii) The Southwest Corridor sector. (iii) The San Gabriel Valley sector. (iv) The Southeast sector. (C) For purposes of the selection of one of the members appointed pursuant to subparagraph (A), one of the members shall be an at-large member who will be selected each term from one of the four sectors described in subparagraph (B), in the following order: the Southeast sector; the San Gabriel Valley sector; the Southwest Corridor sector; and the North County and San Fernando Valley sector. (D) The League of California Cities, Los Angeles County Division, shall define the sectors. Every city within a sector shall be entitled to vote to select a candidate from that sector for consideration for appointment by the Los Angeles County City Selection Committee. A city’s vote shall be weighted in the same proportion that its population bears to the total population of all cities within the sector. (E) The members appointed pursuant to subparagraph (A) shall be appointed by the Los Angeles County City Selection Committee upon an affirmative vote of its members that represent a majority of the population of all cities within the county, excluding the City of Los Angeles and the City of Long Beach. (5) (A) One at-large member from an eligible small city who is appointed by all members of the Los Angeles County City Selection Committee that are eligible for the seat, as determined by the board. (B) For purposes of this paragraph, “eligible small city” means a city in the County of Los Angeles that meets all of the following requirements: (i) The city has a population of less than 100,000, according to the most recent census, as of the date that the at-large member is selected. (ii) The city is in the top 50 percent of the most impacted cities in the County of Los Angeles, as determined by the proportion of households that are low-income and severely cost-burdened according to data from the United States Department of Housing and Urban Development’s Comprehensive Housing Affordability Strategy database, as used in the CalEnviroScreen Housing Burden tool. (iii) As of January 1, 2024, the city is in substantial compliance with housing element law. (iv) As of January 1, 2027, the city has adopted programs and policies to support low-income renters at risk of eviction. (v) The city has adopted at least one model land use standard created by the agency, or a substantially similar land use policy, by January 2027, or within two years after those land use standards are created, whichever date is later. If the agency has updated a particular model land use standard less than two years prior to the appointment, a city that has adopted the current or immediately preceding version of the model standard shall be considered a small city. (C) The board shall compile a list of cities that satisfy the definition of “eligible small city.” (6) (A) (i) The interim chair of the citizens’ oversight committee created by Section 64718. (ii) The interim chair shall be selected by the three members described in subparagraph (A) of paragraph (7) and then submitted to the full board for approval. (iii) The interim chair shall have lived or experienced homelessness or housing instability. (B) The chair of the citizens’ oversight committee created by Section 64718 after the chair is elected pursuant to Section 64718.1, at which time the chair shall replace the interim chair described in subparagraph (A). (7) (A) Until permanent expert members are selected, three members as follows: (i) One member with expertise in affordable housing production, who shall be a designee from the Southern California Association of Non Profit Housing. (ii) One member with expertise in affordable housing preservation, who shall be a designee from the Los Angeles Community Land Trust Coalition. (iii) One member with expertise in renter protection and support, who shall be a designee from the steering committee for Stay Housed L.A. County. (B) (i) The chief executive officer of the agency shall facilitate a selection process that results in three members as follows: (I) One member with clear and demonstrated expertise in affordable housing production, including, but not limited to, affordable housing project finance and development. (II) One member with clear and demonstrated expertise in affordable housing preservation, including, but not limited to, naturally occurring affordable housing, expiring affordability covenants, community land trusts, or related affordable housing preservation strategies. (III) One member with clear and demonstrated expertise in renter protection and support, including, but not limited to, experience in advocating for or enforcing tenants’ rights. (ii) (I) The chief executive officer of the agency shall create three lists, one for each subclause in clause (i), each with at least five candidates who satisfy the criteria of that subclause. (II) Members of the public shall be entitled to submit their names for consideration or to nominate other persons for consideration by the chief executive officer of the agency for inclusion in the candidates list required by subclause (I). (III) The candidates required by subclause (I) shall be subject to the agency’s conflict-of-interest policies. (iii) The members described in clause (i) shall be selected by a vote of the 15 elected members of the board described in paragraphs (1) to (4), inclusive, from the lists created pursuant to this clause. (8) The Executive Director of the Southern California Association of Governments shall be a nonvoting member. (b) The board members specified in paragraphs (1) to (4), inclusive, of subdivision (a) may each appoint an alternate member to the agency to represent, at a meeting of the agency, a regular member it has appointed, but only if the regular member cannot attend the meeting. (c) For purposes of this section, an alternate member shall be: (1) In the case of the member of the City Council of the City of Los Angeles appointed by the mayor of the City of Los Angeles, any person appointed by the mayor with the consent of the city council. If the alternate member is a member of the city council, then consent of that city council is not necessary. (2) In the case of any public members, any persons designated by the appointing member so long as that person is a resident of Los Angeles County. (d) The board shall designate a chair, vice chair, and second vice chair, as well as establish guidelines for designation process and the term of each office. (e) (1) A member of the board may receive a per diem for each board meeting that the member attends. The board shall set the amount of that per diem for a member’s attendance, but that amount shall not exceed one hundred dollars ($100) per meeting. A member shall not receive a payment for more than two meetings in a calendar month. (2) A board member may waive a payment of per diem authorized by this subdivision. (3) Out-of-state travel and conference travel shall be compensated by the board member’s home city or county. (f) In addition to the requirements imposed pursuant to subdivision (g), the agency shall engage in public participation processes, which shall include the following: (1) Outreach efforts to encourage the active participation of a broad range of stakeholder groups in the planning process, including, but not limited to, affordable housing and homelessness advocates, nonprofit developers, neighborhood and community groups, environmental advocates, equity organizations, home builder representatives, and business organizations. (2) The agency shall require proactive community engagement related to any project or development funded by the agency, in advance of any public meeting or notice of impending action, with a focus on residents of an impacted building and immediately adjacent residents. The agency shall give public notice, through posting on the internet, of any plans or projects funded directly by the agency or by any eligible jurisdiction, at least 30 days in advance of that action. The agency staff may hold a public meeting where deemed appropriate, at a time and a location convenient for members of the public for any project that receives funding from the agency either through the agency itself or a local jurisdiction. The board may choose to hold a public meeting to discuss a project or development when appropriate. (3) A process for enabling members of the public to provide an annual written request to receive agency notices, information, and updates. (g) (1) Members of the board are subject to Article 2.4 (commencing with Section 53234) of Chapter 2 of Part 1 of Division 2 of Title 5. (2) The agency shall be subject to the Ralph M. Brown Act (Chapter 9 (commencing with Section 54950) of Part 1 of Division 2 of Title 5), the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1), and the Political Reform Act of 1974 (Title 9 (commencing with Section 81000)). (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  154. 64711.1.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    A person appointed by the mayor of Los Angeles may serve up to 60 days without city council consent if that person is not a city council member.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64711.1. Notwithstanding subdivision (c) of Section 64711, if a member appointed by the mayor of the City of Los Angeles is not a member of the city council of that city, the person appointed may serve for 60 days without consent of the city council. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  155. 64711.2.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Every board member is subject to Article 2 of Chapter 7 of Title 9, starting with Section 87200.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64711.2. Every member of the board is subject to Article 2 (commencing with Section 87200) of Chapter 7 of Title 9. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  156. 64711.3.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Board members generally serve four-year terms, may be removed by the appointing entities, and non-elected members can be reappointed only once.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64711.3. (a) Except as provided in subdivision (b), each member of the board shall serve a term of four years or until a successor is appointed and qualified. A member may be removed at the pleasure of the appointing entities described in subdivision (a) of Section 64711. A member that is not an elected official shall only be reappointed for one additional term. (b) The membership of any member serving on the agency as a result of holding another public office shall terminate when the member ceases holding the other public office. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  157. 64711.4.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must appoint a full-time chief executive officer, and the agency must appoint a general counsel, inspector general, and board secretary.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64711.4. (a) The board shall appoint a full-time chief executive officer who shall act for the agency under its direction and perform those duties delegated by the agency. (b) The chief executive officer shall be appointed to a renewable term of four years and shall be removed from office only upon the occurrence of one or both of the following: (1) A two-thirds majority of the members of the board votes for removal. (2) The board determines that the chief executive officer has violated a federal or state law, regulation, local ordinance, or policy or practice of the agency, relative to ethical practices, including, but not limited to, the acceptance of gifts or contributions. (c) The agency shall appoint a general counsel, inspector general, and board secretary. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  158. 64711.5.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must appoint an inspector general for a four-year renewable term, and the inspector general must report quarterly on agency expenditures at a noticed public hearing.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64711.5. (a) The board shall appoint an inspector general to a renewable term of office of four years. The inspector general shall be removed from office by a two-thirds vote of the members of the board if the board determines that the inspector general has violated a federal or state law or regulation, a local ordinance, or a policy or practice of the agency, relative to ethical practices, including, but not limited to, acceptance of gifts or contributions. (b) The inspector general shall, at a noticed public hearing of the agency, report quarterly on the expenditures of the agency for travel, meals and refreshments, private club dues, membership fees and other charges, and any other expenditures specified by the agency. (c) Any investigatory file compiled by the inspector general is an investigatory file compiled by a local law enforcement agency subject to disclosure pursuant to Article 1 (commencing with Section 7923.600) of Chapter 1 of Part 5 of Division 10 of Title 1. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  159. 64712.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may organize itself, and the board may delegate powers and duties to an organizational unit or the chief executive officer.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64712. (a) The agency may determine its organizational structure, which may include, but is not limited to, the establishment of departments, divisions, subsidiary units, or similar entities. Any department, division, subsidiary unit, or similar entity established by the agency shall be referred to in this chapter as an “organizational unit.” (b) The board may delegate to an organizational unit or to its chief executive officer any powers and duties it deems appropriate. Powers and duties that may be delegated to an organizational unit include, but are not limited to, the following: (1) Approval of contracts up to authority limits established by the board, except that final approval of labor contracts shall require board approval. (2) Hearing and resolving bid protests. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  160. 64713.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Board members must be appointed by April 1, 2023, and the agency has no powers, duties, or responsibilities until that date.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64713. The members of the board shall be appointed by April 1, 2023. The agency shall have no powers, duties, or responsibilities until April 1, 2023. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  161. 64714.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    A board member must use independent judgment for the interests of Los Angeles County residents, property owners, and the public when carrying out this title.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64714. A member of the board shall exercise independent judgment on behalf of the interests of the residents, the property owners, and the public of Los Angeles County in furthering the intent and purposes of this title. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  162. 64715.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must hold its first meeting in Los Angeles County at a time and place fixed by the county clerk, and later meetings are held at times and places the board تعیینs.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64715. (a) The board shall hold its first meeting at a time and place within Los Angeles County fixed by the Los Angeles County Clerk, as a ministerial duty. (b) After the first meeting described in subdivision (a), the board shall hold meetings at times and places determined by the board. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  163. 64716.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board may adopt and enforce rules and regulations to govern itself, maintain order, and conduct business, including creating an executive committee and other committees as needed.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64716. (a) The board may make and enforce rules and regulations necessary for governing the board, the preservation of order, and the transaction of business, including by establishing an executive committee and other committees as necessary. (b) In exercising the powers and duties conferred on the agency by this title, the board may act by ordinance, resolution, or minute action. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  164. 64717.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must review the measure after five years and prepare annual expenditure plans with required details; it may change certain minimum requirements later if specific conditions are met.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64717. (a) Five years after the voters approve an initial ballot measure proposed pursuant to Section 64721, the board shall review the implementation of the measure. The review shall include the following: (1) An analysis of the expenditures to date. (2) The number of affordable housing units produced and preserved at different household income levels. (3) The tenant protection services provided, and the role of the agency. (b) No earlier than five years after approval of a funding measure under Chapter 2 (commencing with Section 64810) and subject to consultation with the agreement of the citizens’ oversight committee by a two-thirds vote, the board may change any of the minimum requirements in subdivision (d) of Section 64830 if the board adopts a finding that both allocated funding has been unspent in a given category across multiple years and the region’s needs in a given category differ from those requirements. The board is required to approve the finding by a two-thirds vote. Approval of the finding shall be subject to the public participation requirements provided in subdivision (f) of Section 64711. (c) (1) The board shall, after the citizens’ oversight committee approves the annual expenditure plan, adopt the annual expenditure plan for the use of housing revenue by July 1 of each year, except the board shall select the deadline to adopt the first annual expenditure plan. To support long-term planning, the annual expenditure plan may cover multiple years, as determined by the board. In the event any of the planned annual expenditures do not correspond to actual expenditures that meet the minimum annual expenditure requirements set forth in this chapter, the board shall ensure subsequent expenditure plans account for previous underspending so that the average spending over at least a three-year budget period achieves the minimum annual expenditure set forth in this chapter. (2) The annual expenditure plan shall set forth the share of revenue and estimated funding amount to be spent on each of the categories established in subdivision (d) of Section 64830, indicate the household income levels to be served within each category of expenditures, and estimate the number of affordable housing units to be built or preserved and the number of tenants to be protected. To the extent feasible, the annual expenditure plan shall include a description of any specific project or program proposed to receive funding, including the location, amount of funding, and anticipated outcomes. If a tax measure is adopted pursuant to subdivision (a) of Section 64720 and the agency transfers a portion of the revenue raised by such measure to the County of Los Angeles for programs that provide supports and services to prevent and combat homelessness, the portion of revenue transferred shall be excluded from the annual expenditure plan. (Amended by Stats. 2023, Ch. 730, Sec. 2. (AB 1607) Effective January 1, 2024.)
  165. 64718.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must form a citizens’ oversight committee and the committee must meet, advise, and report as set out here.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64718. (a) The board shall form a citizens’ oversight committee that adheres to the guiding principles of ensuring that the region produce enough housing at all income levels, particularly at the lowest levels of affordability, while preserving affordable housing, and protecting residents from displacement. The committee shall be composed of 11 voting members and 1 nonvoting member with knowledge and experience in the areas of affordable housing finance and development, or tenant protection, or housing preservation. The citizens’ oversight committee shall meet as necessary and provide substantial assistance in the development of funding guidelines and the overall implementation of agency programs. The committee shall have a vote to approve the annual organizational expenditure plan prior to approval by the board pursuant to subdivision (c) of Section 64717. The committee shall report directly to the board and the public. Consistent with the provisions of this chapter, the committee shall provide consultation and make recommendations to the board. The committee shall meet as often as is necessary to fulfill its roles and responsibilities. (b) Committee members shall carry out the responsibilities laid out in this section and play a valuable and constructive role in the ongoing improvement and enhancement of the agency. Committee members will offer their unique knowledge and experience in the areas of affordable housing finance and development, tenant protection, and housing preservation. The committee members shall meet the following requirements: (1) All members shall reside in Los Angeles County. (2) All members shall be subject to conflict-of-interest provisions. No person currently serving as an elected or appointed city, county, special district, state, or federal public officeholder, or currently employed by a city or county agency, shall be eligible for membership on the committee. (3) In addition to all conflict-of-interest provisions all members shall be required to divest of any investments from which their participation on the committee may further their personal or institutional financial interests. (c) A person may apply to the Office of the Inspector General to become a member of the committee. The Office of the Inspector General shall select the members of the committee by a date set by the board. The committee shall have at least one member representing each of the following professions or areas of expertise, except as provided in subdivision (d): (1) A person with experience in the field of municipal or public finance and budgeting with a minimum of five years of relevant experience in that field. (2) A person with experience in senior-level decisionmaking in affordable housing development, preservation, and operations and with a minimum of five years of relevant experience in that field. (3) A person with experience in housing finance and with a minimum of five years of experience in that field. (4) A person with experience in tenant rights organizing or advocacy and with a minimum of five years of experience in that field. (5) A person with experience in housing seniors or people with disabilities and with a minimum of five years of experience in that field. (6) A person with experience as a legal expert advancing or enforcing fair housing policies on behalf of a community-based organization and with a minimum of five years of experience in that field. (7) A person with experience in the management of large-scale housing construction projects and associated labor practices and with a minimum of five years of experience in that field. (8) A person with a minimum of five years of lived experience as a low- or moderate-income tenant who has experienced being homeless for a minimum of one year. (9) A person with a minimum of five years of lived experience as a low- or moderate-income tenant or who has experienced being homeless for a minimum of one year. (10) A recognized representative of employees at the Los Angeles Homeless Services Authority. (11) A person with experience in managing, forming, serving, or operating community land trusts or community development corporations and with a minimum of five years of experience in that field. (12) A young person between 18 and 24 years of age with demonstrated lived experience of homelessness, experience as a low- or moderate-income tenant, or demonstrated experience as an organizer or advocate for tenant rights with community based organizations, who shall be a nonvoting member. (d) If, after making a good faith effort to select individuals who meet the requirements of subdivision (c), the Office of the Inspector General is unable to identify individuals who meet the requirements of subdivision (c), then no more than two members from one or more of the remaining areas of expertise may be selected, except in the case of paragraphs (8) and (9) of subdivision (c), which positions shall remain vacant until filled. (e) A committee member may be removed from their position if a majority of the committee members votes for removal upon finding that the committee member has violated a federal or state law, a regulation, a local ordinance, or a policy or practice of the agency, relative to ethical practices. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  166. 64718.1.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Members of the citizens’ oversight committee are bound by conflict-of-interest rules, term limits, stipend rules, and meeting-based leadership elections.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64718.1. (a) The members of the citizens’ oversight committee shall be subject to the agency’s conflict-of-interest policies. The members shall have no legal action pending against the agency and are prohibited from acting in any commercial activity directly or indirectly involving the agency, such as being a consultant to the agency or to any party with pending legal actions against the agency during their committee tenure. Committee members shall not have direct commercial interest or employment with any public or private entity that receives funds authorized by this title. (b) The committee members shall receive a reasonable stipend as compensation, which shall be set by the Office of the Inspector General and shall be subject to board approval. A member may choose to waive this stipend in its entirety. Each member of the committee shall serve for a term of five years, and until a successor is appointed, except that initial appointments may be staggered with terms of three years as proposed by the Inspector General. (c) A committee member shall serve no more than two terms on the committee. (d) Any member may, at any time, resign from the committee upon written notice delivered to the agency. Acceptance of any public office, the filing of intent to seek public office, including a filing under Section 85200, or change of residence to outside Los Angeles County shall constitute a member’s automatic resignation. (e) The members shall elect a chair and vice chair at the first meeting of the citizens’ oversight committee. The chair and vice chair shall each serve a renewable one-year term for as long as the chair or vice chair is eligible to serve on the commission. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  167. 64718.2.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The committee must meet at least quarterly and carry out several oversight tasks, including audits, reports, hearings, and periodic reviews.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. The Los Angeles County Affordable Housing Solutions Agency and Governing Board [64710 - 64718.2] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64718.2. The committee shall, at a minimum, meet on a quarterly basis to carry out its responsibilities and is hereby charged with the following responsibilities: (a) The committee shall have the annual responsibility to consider and approve the annual expenditure plan pursuant to subdivision (c) of Section 64717 as a precondition to approval by the full board of directors. (b) Each recipient of revenue under this title shall contract for an annual audit, to be completed within six months after the end of the fiscal year being audited, for the purpose of determining compliance by the recipient with the provisions of this title relating to the receipt and expenditure of revenues during the fiscal year. The audit shall be required by any contract between the agency and any recipient. The board may establish standards for these audits, and the committee may provide input on the standards for recipients that are not public agencies. Audits of public agencies shall comply with generally applicable standards. The committee shall review the results of the audits, prepare an annual report on the audits, and hold an annual public hearing to report on the results of the audits. (c) The agency, led by the Office of the Inspector General and in partnership with the citizens’ oversight committee, shall conduct a comprehensive review of all projects and programs implemented under the expenditure plan every five years. The review shall evaluate project and program performance and make recommendations to improve plan performance, based on current practices, best practices, and organizational changes that could improve coordination. (d) The agency shall establish an internet website dedicated to demonstrating compliance with this title. The internet website shall include the agency’s periodic financial reports and its current adopted plans required by this title. All audit reports, findings, and recommendations shall be made accessible to the public on the internet website prior to the public hearing and upon request. (e) The committee may review all of the following, in its discretion: (1) For each agency area of focus, the efficiency and effectiveness of the agency’s use of funds. (2) For local direct allocations of funding pursuant to Section 64830.5, the program revenues and uses for each local jurisdiction. (3) The percentage of the expenditure plan expenditures compared to project milestone completion. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  168. 64720.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may use several powers to carry out this title, including placing funding measures on the ballot, seeking grants, issuing debt and bonds, hiring staff, acquiring and disposing of land, and allocating financing for affordable housing.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64720. In implementing this title, the agency may do all of the following: (a) Place on the ballot in Los Angeles County, including all of its incorporated cities, funding measures, in accordance with applicable constitutional and statutory requirements, to raise and allocate funds to Los Angeles County, the cities in Los Angeles County, and other public agencies and affordable housing projects within its jurisdiction for purposes of preserving and enhancing existing housing, funding renter protection programs, and financing new construction of housing developments that are 100 percent affordable to households earning 80 percent of the relevant area median income or below, with a priority on the lowest levels of affordability. (b) Apply for and receive grants from federal and state agencies. (c) Incur and issue indebtedness and assess fees on the purchaser of any debt issuance and agency loan products for reinvestment of those fees and loan repayments in affordable housing production and preservation in accordance with applicable constitutional requirements. (d) Incur debt and issue bonds and otherwise incur liabilities or obligations in accordance with Article 2 (commencing with Section 64820) of Chapter 2 of Part 2, and in accordance with applicable constitutional requirements. (e) Solicit and accept gifts, fees, grants, and other allocations from public and private entities. (f) Deposit or invest moneys of the agency in banks or financial institutions in the state. (g) Sue and be sued, except as otherwise provided by law, in all actions and proceedings, in all courts and tribunals of competent jurisdiction. (h) Engage counsel and other professional services. (i) Enter into and perform all necessary contracts. (j) Enter into joint powers agreements pursuant to the Joint Exercise of Powers Act (Chapter 5 (commencing with Section 6500) of Division 7 of Title 1). (k) Hire staff, define their qualifications and duties, and provide a schedule of compensation for the performance of their duties. (l) Land bank, assemble parcels, and lease, purchase, or otherwise acquire land for housing development. Sell or dispose of land or assets consistent with the agency’s purpose and eligible activities or where a parcel under the agency’s control is deemed to be inappropriate for housing development. (m) Collect data on housing production and monitor progress on meeting regional and state housing goals. (n) Provide support and technical assistance to local governments in relation to producing and preserving affordable housing. (o) Provide public information about the agency’s housing programs and policies. (p) Act in compliance with the Marks-Roos Local Bond Pooling Act of 1985 (Article 4 (commencing with Section 6584) of Chapter 5 of Division 7 of Title 1). (q) Allocate and deploy capital and generated fees or income in the form of grants, loans, equity, interest rate subsidies, and other financing tools to the cities and other public agencies within the Los Angeles County area, and private affordable housing developers to finance affordable housing development, preserve and enhance existing affordable housing, and fund tenant protection programs, pursuant to this title, in accordance with applicable constitutional requirements. (r) Collaborate with staff employed by the Los Angeles Metropolitan Transportation Authority with shared planning and services. (s) Any other express or implied powers necessary to carry out the intent and purposes of this title. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  169. 64720.3.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency is exempt from Division 13 of the Public Resources Code for certain financing and property-related actions.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64720.3. Both of the following shall be exempt from Division 13 (commencing with Section 21000) of the Public Resources Code: (a) Any action taken by the agency to finance, fund, or issue grants, loans, or bonds. (b) Any action taken by the agency to purchase or lease real property for the purpose of any of the following: (1) The preservation of existing housing that involves negligible or no expansion of use. (2) The development of residential housing for persons and families of low or moderate income, as defined in Section 50093 of the Health and Safety Code. (3) The provision of technical assistance to local jurisdictions to promote affordable housing, including, but not limited to, drafting model affordable housing land use ordinances and policies and providing staff support to local jurisdictions. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  170. 64720.5.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Projects funded or financed by the agency are treated as public work and must pay prevailing wages. Projects with 40 or more units can receive agency funding only if all construction and rehabilitation is covered by the specified project labor agreement, or by a negotiated countywide project labor agreement in the stated exception.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64720.5. (a) Any construction or rehabilitation project receiving funding or financing from the agency, a measure proposed by the agency pursuant to subdivision (a) of Section 64720, or a joint powers authority of which the agency is a member, including, but not limited to, a project with under 40 units, shall constitute a public work for which prevailing wages shall be paid for purposes of Chapter 1 (commencing with Section 1720) of Part 7 of Division 2 of the Labor Code. (b) A project with 40 units or greater is eligible to receive funding or financing from the agency, a measure proposed by the agency pursuant to subdivision (a) of Section 64720, or a joint powers authority of which the agency is a member, only if all construction and rehabilitation is subject to the City of Los Angeles Department of Public Works PLA. For purposes of this subdivision and subdivision (c), the number of units means the maximum number of units authorized in an entitlement granted by the land use permitting authority for the development project, regardless of whether construction or rehabilitation proceeds in phases or ownership is divided. (c) Notwithstanding subdivision (b), if a specific countywide project labor agreement is negotiated with mutual agreement between the Los Angeles/Orange Counties Building and Construction Trades Council and the Southern California Association of Nonprofit Housing and approved by the agency, then a project with 40 units or greater is eligible to receive funding or financing from the agency, a measure proposed by the agency pursuant to subdivision (a) of Section 64720, or a joint powers authority of which the agency is a member, only if all construction and rehabilitation is subject to the specific countywide project labor agreement rather than the Department of Public Works PLA. (d) For purposes of this section, “project labor agreement” has the same meaning as in paragraph (1) of subdivision (b) of Section 2500 of the Public Contract Code. (e) For purposes of this section, “Department of Public Works PLA” means the City of Los Angeles Department of Public Works Project Labor Agreement 2020-2030 with Los Angeles/Orange Counties Building and Construction Trades Council, effective August 25, 2021. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  171. 64721.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    This section requires special-election and ballot-processing steps for revenue-generating measures proposed by the agency or a qualified voter initiative.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64721. (a) If the agency or a qualified voter initiative proposes a measure pursuant to subdivision (a) of Section 64720 that will generate revenues, the Los Angeles County Board of Supervisors shall call a special election on the measure. The special election shall be consolidated with a statewide election and the measure shall be submitted to the voters of Los Angeles County. (b) (1) For the purpose of placement of a measure on the ballot, the agency is a district, as defined in Section 317 of the Elections Code. Except as otherwise provided in this section, a measure proposed by the agency or by a qualified voter initiative that requires voter approval shall be submitted to the voters of Los Angeles County, as determined by the agency, in accordance with the provisions of the Elections Code applicable to districts, including the provisions of Chapter 4 (commencing with Section 9300) of Division 9 of the Elections Code. (2) Because the agency has no revenues as of the operative date of this section, the appropriations limit for the agency shall be originally established based on receipts from the initial measure that would generate revenues for the agency as described in subdivision (a), and that establishment of an appropriations limit shall not be deemed a change in an appropriations limit for purposes of Section 4 of Article XIII B of the California Constitution. (c) (1) Notwithstanding Section 10520 of the Elections Code, for any election at which the agency or a qualified voter initiative proposes a measure pursuant to subdivision (a) of Section 64720 that would generate revenues, the agency shall reimburse Los Angeles County for the incremental costs incurred by the county elections official related to submitting the measure to the voters with any eligible funds transferred to the agency. (2) For purposes of this subdivision, “incremental costs” include all of the following: (A) The cost to prepare, review, and revise the impartial analysis of the measure. (B) The cost to prepare a translation of ballot materials into a language other than English by the county. (C) The additional costs that exceed the costs incurred for other election races or ballot measures, if any, appearing on the same ballot in Los Angeles County, including both of the following: (i) The printing and mailing of ballot materials. (ii) The canvass of the vote regarding the measure pursuant to Division 15 (commencing with Section 15000) of the Elections Code. (d) Notwithstanding Section 9313 of the Elections Code, the legal counsel for the board shall prepare an impartial analysis of the measure. The impartial analysis prepared by the legal counsel for the board shall be subject to review and revision by the county counsel. (e) The summary of the annual expenditure plan shall be prepared by the board and include all of the following: (1) A description of the purpose and goals of the measure. (2) A description of the categories of eligible expenditures to be funded. (3) An estimate of the number of affordable housing units to be built or preserved by household income category served, and a description of any specific projects planned to be funded. (4) An estimate of minimum funding levels to be provided to different expenditure categories. (5) An overview of decisionmaking and oversight provisions applicable to the funds. (f) The county elections official for Los Angeles County shall serve as the elections official of the agency for purposes of administering the ballot measure process and any election for the purposes set forth in this chapter. In the alternative, the board, at its discretion, may appoint an elections official to administer any election for the purposes set forth in this chapter. If the board appoints an elections official, the board may authorize that elections official to retain the services of the elections official of Los Angeles County to administer the ballot measure process and any election, and the elections official of Los Angeles County shall perform those services. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  172. 64722.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board and the agency may not regulate or enforce local land use decisions or acquire property by eminent domain.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Powers of the Los Angeles County Affordable Housing Solutions Agency [64720 - 64722] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64722. The board and the agency shall not do either of the following: (a) Regulate or enforce local land use decisions. (b) Acquire property by eminent domain. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  173. 64730.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64730 - 64731] ( Chapter 4 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must arrange annual audits, keep accounting records, and report accounting transactions using GASB-adopted generally accepted accounting principles.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64730 - 64731] ( Chapter 4 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64730. The board shall provide for annual audits of the agency’s general administration, accounts, and records, shall maintain accounting records, and shall report accounting transactions in accordance with generally accepted accounting principles adopted by the Governmental Accounting Standards Board of the Financial Accounting Foundation for both public reporting purposes and for reporting of activities to the Controller. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  174. 64731.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64730 - 64731] ( Chapter 4 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must provide for annual financial reports and make copies of those reports available to the public.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 1. Formation of the Los Angeles County Affordable Housing Solutions Agency and General Powers [64700 - 64731] ( Part 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 4. Financial Provisions [64730 - 64731] ( Chapter 4 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64731. The board shall provide for annual financial reports. The board shall make copies of the annual financial reports available to the public. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  175. 64800.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64800- 64800.] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may raise and allocate new revenue through specified funding mechanisms, either directly or through qualified voter initiative.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 1. General Provisions [64800- 64800.] ( Chapter 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64800. (a) The agency, either directly or through qualified voter initiative, may raise and allocate new revenue through all of the following funding mechanisms: (1) Special taxes, subject to voter approval, as provided in Article 1 (commencing with Section 64810) of Chapter 2, as follows: (A) A parcel tax, as provided in Section 64810. (B) A gross receipts business license tax, as provided in Section 64811. (C) A documentary transfer tax, as provided in Section 64813. (2) The issuance of bonds, as provided in Article 2 (commencing with Section 64820) of Chapter 2, in accordance with applicable constitutional requirements. (b) It is the intent of the Legislature that the funding measures authorized by this subdivision distribute the responsibility for addressing the affordable housing needs of the region across commercial developers, taxpayers, and property owners within the region. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  176. 64810.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may impose a parcel tax in Los Angeles County, and it must give notice and collect the tax under the same collection, penalty, interest, and delinquency procedures that apply to the referenced property taxes.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64810. (a) Subject to Section 4 of Article XIII A of the California Constitution and subject to approval by the board before the agency takes action to approve the placement of a measure on the ballot, the agency may impose, by resolution or by ordinance, a parcel tax within Los Angeles County pursuant to the procedures established in Article 3.5 (commencing with Section 50075) of Chapter 1 of Part 1 of Division 1 of Title 5, Section 64721, and any other procedures applicable by law. (b) For purposes of this section, “parcel tax” means a special tax imposed upon a parcel of real property at a rate that is determined without regard to that property’s value. (c) The agency shall provide notice of any parcel tax imposed pursuant to this section in the manner specified in Section 54930. (d) Thereafter, the tax shall be collected at the same time, and in the same manner, as the ad valorem taxes on real property authorized by Section 1 of Article XIII A of the California Constitution are collected, and shall be subject to the same penalties and interest and to the same procedure under foreclosure and sale in case of delinquency as provided for those taxes. All laws applicable to the levy, collection, and enforcement of the ad valorem taxes on real property authorized by Section 1 of Article XIII A of the California Constitution are hereby made applicable to the special assessment taxes. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  177. 64811.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may impose a gross-receipts special tax on lawful business in Los Angeles County, subject to approval and other legal procedures.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64811. (a) (1) Subject to Section 4 of Article XIII A of the California Constitution and subject to approval by the board before the agency takes action to approve the placement of a measure on the ballot, the agency may impose, by resolution or by ordinance, or via action by the designated elections official, a special tax, measured by gross receipts, for the privilege of engaging in any kind of lawful business transacted in the Los Angeles County area pursuant to the procedures established in Article 3.5 (commencing with Section 50075) of Chapter 1 of Part 1 of Division 1 of Title 5, Section 64721, and any other applicable procedures provided by law. (2) The resolution imposing a special tax pursuant to this subdivision may provide for the following: (A) Variable rates based on the business sector of each person subject to the tax. (B) Exemptions for small businesses. (C) Collection of the tax by suit or otherwise. (b) If the agency levies a special tax pursuant to subdivision (a) upon a business operating both within and outside the agency’s taxing jurisdiction, the agency shall levy the tax so that the measure of tax fairly reflects that proportion of the taxed activity actually carried on within the taxing jurisdiction. (c) A special tax levied pursuant to subdivision (a) shall not apply to any nonprofit organization that is exempted from taxes by Chapter 4 (commencing with Section 23701) of Part 11 of Division 2 of the Revenue and Taxation Code or Subchapter F (commencing with Section 501) of Chapter 1 of Subtitle A of the Internal Revenue Code of 1986, or the successor of either, or to any minister, clergyperson, Christian Science practitioner, rabbi, or leader of any religious organization that has been granted an exemption from federal income tax by the United States Commissioner of Internal Revenue as an organization described in Section 501(c)(3) of the Internal Revenue Code or a successor to that section. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  178. 64811.5.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Special taxes authorized by this article may also be imposed by qualified voter initiative.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64811.5. The special taxes authorized in this article may also be imposed by qualified voter initiative. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  179. 64812.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The county tax collector must collect tax revenue, and the county must create policies and procedures to collect it.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64812. Taxes levied pursuant to Section 64811 shall be collected in the following manner: (a) The county tax collector shall be responsible for collecting the tax revenue. (b) The county shall create policies and procedures necessary to collect tax revenue, including, but not limited to, policies that achieve both of the following: (1) Ensure adequate enforcement of taxes levied pursuant to Section 64811. (2) Provide subjects of a tax with an opportunity to appeal the amount of tax owed. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  180. 64813.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The designated elections official or the board may place a special documentary transfer tax measure on the ballot for voter approval, subject to a constitutional condition.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64813. Subject to Section 4 of Article XIII A of the California Constitution, either the designated elections official or the board may act by resolution or by ordinance to place a measure on the ballot seeking voter approval of a special documentary transfer tax pursuant to Part 6.7 (commencing with Section 11901) of Division 2 of the Revenue and Taxation Code, provided, however, that the agency’s tax shall be in addition to any city or county tax under that part and not subject to the limit provided in Section 11911 of the Revenue and Taxation Code. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  181. 64814.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Special taxes collected under this article must be put into a separate county fund, and the county must transfer money for regional projects to the agency at least twice each calendar quarter, as promptly as feasible.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 1. Special Taxes [64810 - 64814] ( Article 1 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64814. All special taxes levied pursuant to this article shall be administered in the following manner: (a) Taxes collected shall be deposited in a separate fund, which shall be established in the treasury of the county and used only as prescribed by this title. (b) The county shall transfer moneys intended for regional projects pursuant to Section 64830 from the fund to the agency periodically as promptly as feasible. The transmittals shall be made at least twice in each calendar quarter. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  182. 64820.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board may start proceedings to issue bonds if it approves the action by majority vote and adopts a resolution or ordinance stating that intent.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64820. The board may, by majority vote, initiate proceedings to issue bonds pursuant to this chapter by adopting a resolution or ordinance stating its intent to issue the bonds. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  183. 64821.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may levy ad valorem property taxes to secure debt if two-thirds of voters approve it, and it must follow Chapter 3 requirements when incurring bonded indebtedness under this section.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64821. (a) The agency, with approval of two-thirds of the voters, may levy ad valorem property taxes to secure debt pursuant to paragraph (2) of subdivision (b) of Section 1 of Article XIII A of the California Constitution. (b) For purposes of incurring bonded indebtedness pursuant to this section, the agency shall comply with the requirements of Chapter 3 (commencing with Section 53400) of Part 1 of Division 2 of Title 5. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  184. 64822.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may issue revenue bonds backed by agency revenues, but it must follow specified conditions and disclose to voters that special tax proceeds may pay the bonds.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64822. (a) (1) For purposes of this section, “agency revenues” includes, without limitation, revenues generated by any special tax, fee, or charge imposed by the agency, other than ad valorem property taxes. (2) The agency may issue revenue bonds, payable from agency revenues allocated in paragraph (1) of subdivision (d) of Section 64830, in accordance with the Revenue Bond Law of 1941 (Chapter 6 (commencing with Section 54300) of Part 1 of Division 2 of Title 5), for the purposes set forth in this title and in any resolution adopted by the board, or measure adopted by voters, in connection with the generation of agency revenues or imposition of those special taxes, fees, or other charges. For purposes of issuing revenue bonds pursuant to this section, the special taxes, fees, or other charges described in the previous sentence shall constitute an “enterprise” within the meaning of Section 54309. (3) To exercise the powers described in this section, the agency shall ensure that any annual expenditure plan summary prepared pursuant to Section 64721 related to voter approval of a special tax under this title notifies the voters that proceeds from the special tax may be used as payment for revenue bonds. (4) For purposes of this section, the agency shall be deemed to be a local agency within the meaning of Section 54307. Article 3 (commencing with Section 54380) of Chapter 6 of Part 1 of Division 2 of Title 5 does not apply to the issuance and sale of bonds pursuant to this section. Instead, the agency shall authorize the issuance of bonds by resolution at any time, and from time to time, which shall specify all of the following: (A) The purposes for which the bonds are to be issued. (B) The maximum principal amount of the bonds. (C) The maximum term for the bonds. (D) (i) The maximum rate of interest to be payable upon the bonds, which shall not exceed the maximum rate permitted for bonds of the agency by Section 53531 or any other applicable provisions of law. (ii) In the case of bonds bearing a variable interest rate, the variable rate shall not, on any day, exceed the maximum rate permitted for bonds of the agency by Section 53531 or any other applicable provisions of law. However, the variable interest rate may, on any day, exceed that maximum rate in clause (i), if the interest paid on the bonds from their date of original issuance to that day does not exceed the total interest that would have been permitted if the bonds had borne interest at all times from the date of issuance to that day at the maximum rate permitted from time to time by Section 53531 or any other applicable provisions of law. (E) The maximum original issue premium or discount on the sale of the bonds. (F) The denomination or denominations of the revenue bonds, which shall not be less than five thousand dollars ($5,000). (b) The resolution may also contain any other matters authorized by this chapter or any other law. (c) The revenue bonds may be sold at public or private sale or on a negotiated sale basis and at the prices, above or below par, as determined by the board. (d) The revenue bonds, or each series thereof, shall be dated and numbered consecutively and shall be signed by the executive director of the agency, whose signature may be printed, lithographed, or mechanically reproduced. If any officer whose signature appears on the revenue bonds ceases to be that officer before the delivery of the bonds, the officer’s signature is as effective as if the officer had remained in office. (e) This section provides a complete, additional, and alternative method for the issuance of revenue bonds by the agency. An issuance does not need to comply with the procedures specified in other laws, but shall, if bonds are issued pursuant to this article, be issued in accordance with this article. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  185. 64822.5.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may issue mortgage revenue bonds, as allowed by the Health and Safety Code and other applicable law.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64822.5. The agency may issue mortgage revenue bonds pursuant to Part 5 (commencing with Section 52000) of Division 31 of the Health and Safety Code, and other applicable law. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  186. 64822.7.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency may issue private activity bonds if it does so under the cited federal laws.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64822.7. The agency may issue private activity bonds pursuant to the Tax Reform Act of 1986 (Public Law 99-514) and Sections 1112 and 1401 of the American Recovery and Reinvestment Act of 2009, as it read prior to repeal (26 U.S.C. Secs. 54a and 1400U-1). (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  187. 64823.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    This section limits liability for agency bonds and requires a statement on the bonds saying they are not debts of other public entities. It also preserves the effectiveness of certain signatures even if the signer later leaves office.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64823. (a) The agency or any person executing the bonds issued pursuant to this title shall not be personally liable on the bonds by reason of their issuance. (b) The bonds and other obligations of the agency are not a debt of any city or Los Angeles County, or any of its affiliated entities, or of the state or of any of its political subdivisions, other than the agency, and neither a city or county nor the state or any of its political subdivisions, other than the agency, shall be liable on the bonds, and the bonds or obligations shall be payable exclusively from funds or properties of the agency, as specified in the applicable bond or other debt instrument. Bonds issued pursuant to this title shall contain a statement to this effect on their face. (c) If the signature of any member of the agency or staff member of the agency appears on bonds issued pursuant to this title, and that individual ceases to be a member of the agency or staff member of the agency before delivery of the bonds, that member’s signature shall be as effective as if the member had remained in office. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  188. 64824.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency must arrange an independent financial and performance audit every two years after bonds are issued, and the audit must follow Controller guidelines.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64824. (a) Every two years after the issuance of bonds pursuant to this section, the agency shall contract for an independent financial and performance audit. The audit shall be conducted according to guidelines established by the Controller. A copy of the completed audit shall be provided to the Controller, the Director of Finance, and the Joint Legislative Budget Committee. (b) Upon the request of the Governor or the Legislature, the Bureau of State Audits may conduct a financial and performance audit of the agency. The results of any audit shall be provided to the board, the Controller, the Director of Finance, and the Joint Legislative Budget Committee. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  189. 64825.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Bonds issued under this article are fully negotiable.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64825. Bonds issued pursuant to this article are fully negotiable. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  190. 64826.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. )

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    Challenges to the validity of the listed tax, fee, charge, bonds, or related matters must be filed within 60 days; after that, they are treated as valid and incontestable.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 2. Revenue [64810 - 64826] ( Chapter 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## ARTICLE 2. Bonds [64820 - 64826] ( Article 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64826. Any action to determine the validity of any tax, fee, or other charge provided for in, or the validity of bonds issued pursuant to, this title, or any of the proceedings, contracts, agreements, or other arrangements or matters entered into, shall be commenced within 60 days from date of the election or the adoption of the resolution approving those matters, as applicable, pursuant to Chapter 9 (commencing with Section 860) of Title 10 of Part 2 of the Code of Civil Procedure. After that date, the adoption of that tax, fee, or other charge, the issuance of the bonds, and all proceedings in relation thereto, shall be held valid and incontestable in every respect. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  191. 64830.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    This section directs how the agency must spend regional housing revenue and sets percentage allocations for housing, renter support, priorities, technical assistance, and administration.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64830. (a) (1) Revenue generated pursuant to this part shall be used for the construction of new affordable housing, affordable housing preservation, tenant protection programs, planning and technical assistance related to affordable housing, and for other purposes, as provided for in this section. (2) Notwithstanding paragraph (1), the agency may transfer a portion of the revenue raised by a tax measure adopted pursuant to this title to the County of Los Angeles for programs that provide supports and services to prevent and combat homelessness. (b) (1) For purposes of this section, “regional housing revenues” are those revenues generated pursuant to Chapter 2 (commencing with Section 64810) except as provided in paragraph (2). (2) If a tax measure is adopted pursuant to this title and the agency transfers a portion of the revenue raised by the measure to the County of Los Angeles for programs that provide supports and services to prevent and combat homelessness, the portion of revenue transferred shall not be included in “regional housing revenues” or the annual programmatic budget and shall not be subject to this chapter. (c) The allocation of regional housing revenues to projects and programs shall be approved by the board. (d) Subject to funding eligibility and adjustment pursuant to subdivision (b) of Section 64717, the agency shall distribute regional housing revenue in the form of a grant, loan, or other financing tool pursuant to subdivision (q) of Section 64720 in a manner that achieves the following shares in the annual expenditure plan: (1) A minimum of 40 percent of the annual programmatic budget, excluding any bond indebtedness, shall be spent on affordable housing creation, preservation, and ownership as follows: (A) The following conditions shall apply with regard to affordable housing creation: (i) Funding pursuant to this subparagraph may be used for the following purposes, including, but not limited to, land acquisition, housing acquisition, financing, and ownership programs, including the agency serving as a single source of financing as appropriate, income assistance for extremely low income households, and project-based rental assistance contracts with no time limit that are restricted to the support of extremely low income households. (ii) Financing for any development costs associated with a project or funding grant that is for housing that is 100 percent affordable, which means restricted to any household that earns less than 80 percent of the area median income (AMI), including permanent supportive housing that includes onsite supportive services. An eligible project may also include a subset of at least 50 units, or 50 percent of the total units, whichever is greater, in a larger development that includes units targeted up to 120 percent of AMI, in which case the agency may only fund units that are designated for extremely low and very low income households, and agency funds shall not be used in connection with any unit that is income restricted due to development incentives, density bonuses, or similar programs. (I) For each of the eligible jurisdictions, as defined in paragraph (1) of subdivision (a) of Section 64830.5, 25 percent of all funded units shall be reserved for extremely low income households, as defined in Section 50106 of the Health and Safety Code, and 25 percent shall be reserved for very low income households, as defined in Section 50105 of the Health and Safety Code, over any two-year period, with regular monitoring by the citizens’ oversight committee and board of units funded and constructed during that two-year period. (II) For each project, 10 percent of the units in the project shall be reserved for extremely low income households and 10 percent of the units shall be reserved for very low income households. (B) Funding pursuant to this paragraph for affordable housing preservation programs may be used to acquire, rehabilitate, place affordability restrictions on, and preserve existing housing units, housing from the private market, and units in residential hotels as defined in paragraph (1) of subdivision (b) of Section 50519 of the Health and Safety Code for affordability, in order to prevent the loss of affordability and expand permanent affordability. Funding provided pursuant to this subparagraph shall be subject to both of the following conditions: (i) Existing residents of buildings acquired for the purpose of affordable housing preservation shall not be permanently displaced, even if the resident’s household income exceeds the moderate-income limits in Section 50093 of the Health and Safety Code. (ii) Buildings acquired for the purpose of affordable housing preservation shall achieve 100 percent occupancy by extremely low or very low income households over time through unit turnover. Grants, loans, or other financing provided to community land trusts and other similarly structured nonprofit entities to acquire, rehabilitate, and preserve existing housing units are an eligible use pursuant to this subparagraph. Programs to enable low- or moderate-income households to become or remain homeowners, including, but not limited to, below market rate ownership programs, downpayment assistance programs, residential rehabilitation loan programs, and grants or loans to assist in the rehabilitation or replacement of existing mobilehomes located in a mobilehome or manufactured home are eligible uses pursuant to this subparagraph. (C) Funding provided pursuant to this paragraph shall be subject to the following conditions in the event that demolition or rehabilitation of housing units is required: (i) (I) Any funded development or affordable housing grant on any property that includes a parcel or parcels that currently have residential uses, or within the five years preceding the grant have had residential uses that have been vacated or demolished, that are or were subject to a recorded covenant, ordinance, or law that restricts rents to levels affordable to persons and families of low or very low income, subject to any other form of rent or price control through a public entity’s valid exercise of its police power, or occupied by low- or very low income households, shall be subject to a policy requiring the replacement of all those units to be made available at affordable rent or affordable housing cost to, and occupied by, persons and families in the same or lower income category as those households in occupancy. (II) Replacement requirements shall be consistent with those set forth in paragraph (3) of subdivision (c) of Section 65915, provided that any dwelling unit that is or was, within the five-year period preceding the grant, subject to a form of rent or price control through a local government’s valid exercise of its police power and that is or was occupied by persons or families above lower income shall be replaced with units made available at affordable rent or affordable housing cost to, and occupied by, low-income persons or families. (ii) If existing residents are required to be relocated due to demolition or rehabilitation needs, the developer is required to provide relocation benefits to the occupants of those housing rental units subject to Chapter 16 (commencing with Section 7260) of Division 7 of Title 1. The developer shall comply with either the local government requirements for relocation assistance to displaced households or the policy set by the agency for relocation assistance to displaced households, whichever provides a greater benefit to the relocated or displaced households. (iii) If existing occupants who are lower income households are required to vacate their units due to demolition or rehabilitation needs, the developer shall provide a right of first refusal for a comparable unit available in the new or rehabilitated housing development that is affordable to the household at an affordable rent, as defined in Section 50053 of the Health and Safety Code, or an affordable housing cost, as defined in Section 50052.5 of the Health and Safety Code. (2) (A) At least 30 percent of the total annual programmatic budget, excluding any bond indebtedness, shall be spent on countywide renter protection and support programs. (B) These programs include any effort that helps renters of lower income households, as defined in Section 50079.5 of the Health and Safety Code. (C) Eligible uses of the funds include, but are not limited to, all of the following: (i) Preeviction and eviction legal services, counseling, advice and consultation, training, renter education and representation, and services to improve habitability that protect against displacement of tenants. (ii) Providing rental assistance for lower income households. Rental assistance shall be provided to a specific household for a reasonable amount of time not to exceed six months, and shall be paired with supportive services, such as eviction prevention and defense, to the greatest extent possible. (iii) Providing relocation assistance for lower income households beyond what is legally required of landlords according to local or state law. (3) Fifteen percent of the total annual programmatic budget shall be allocated as “annual priorities,” and these funds may be used for any eligible activity outlined in this chapter as part of the annual expenditure plan. (4) At least 5 percent of the total annual programmatic budget, excluding any bond indebtedness, shall be used for technical assistance, research, and policy development. Eligible uses for these funds include, but are not limited to, all of the following: (A) Collecting and tracking information related to displacement and displacement risk, rents, and evictions in the region. (B) Drafting model affordable housing land use ordinances that may be adopted by any jurisdiction in the County of Los Angeles. (5) Not more than 10 percent of the total annual programmatic budget, excluding any bond indebtedness, shall be used for the agencies administrative and operations expenses. (Amended by Stats. 2024, Ch. 80, Sec. 73. (SB 1525) Effective January 1, 2025.)
  192. 64830.5.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    This section sets how certain housing-related funds must be allocated among eligible Los Angeles County jurisdictions and related recipients.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64830.5. (a) (1) In this subdivision, “eligible jurisdictions” shall mean the following jurisdictions: (A) The councils of governments in Los Angeles County, excluding the jurisdictions described in subparagraphs (B) through (F), inclusive. (i) Funds, or a portion of the funds, provided to the San Gabriel Valley Council of Governments may be allocated by the council to the San Gabriel Valley Regional Housing Trust, and the trust shall use the funds pursuant to the same requirements as funding provided to the councils of governments. (ii) A council of government that creates and operates a regional housing trust that is consistent with the San Gabriel Valley Regional Housing Trust model shall be eligible to receive a direct allocation. If any regional housing trust is created that does not correspond to an existing council of government, the board shall have discretion to determine the appropriate pro rata funding allocation. (B) The City of Los Angeles. (C) The City of Long Beach. (D) The City of Glendale. (E) The unincorporated areas of Los Angeles County. (F) The City of Santa Clarita. (2) Revenue generated pursuant to this part shall be allocated according to the following geographic distribution schedule: (A) (i) Seventy percent of annual funding for the purpose of affordable housing preservation, affordable housing production, income assistance for extremely low-income households, and long-term, project-based rental assistance shall be allocated, based on the eligible jurisdiction’s pro rata lower income housing need, to the eligible jurisdictions, provided that the allocation is consistent with the eligible uses of the funding set forth in paragraph (1) of subdivision (d) of Section 64830. (ii) (I) Thirty percent of annual funding for the purpose of affordable housing preservation, affordable housing production, and long-term rental assistance, with no time limit, shall be allocated by the agency to the eligible jurisdictions consistent with the guiding principles of the agency and the eligible uses outlined in Section 64830. (II) At least 5 percent of funds allocated pursuant to subclause (I) shall be used for technical assistance grants to cities with a population under 50,000. (iii) If an eligible jurisdiction is found to be out of compliance with affordability targets at the end of a two-year period, the board may take any of the following actions: (I) Limit the funding for the jurisdiction to extremely low and very low income housing units only until compliance is reestablished. (II) Require the funding allocated to the jurisdiction to be administered by the agency instead of the jurisdiction. (III) Increase funding incentives as needed to meet project and programmatic targets. (iv) (I) Any eligible jurisdiction may receive a direct allocation of all or part of the jurisdiction’s funding described in this subparagraph if all of the following conditions are met: (ia) The jurisdiction agrees to adopt and adhere to agency financing policies and guidelines, including public engagement and notice provisions outlined in this chapter. (ib) All funded projects are in compliance with the agency’s eligible uses and affordability requirements. (ic) The jurisdiction agrees to allocate its funding within 12 months through administrative processes without being subject to additional legislative process. (id) The jurisdiction is in compliance with Affirmatively Furthering Fair Housing in California guidelines. (II) (ia) Once committed to a specific project, funds shall remain available for expenditure for an additional five years, unless an extension is authorized pursuant to sub-subclause (ib). (ib) If the funds have not been expended within five years of receipt as required in sub-subclause (ia), the jurisdiction shall show that it has made adequate progress towards completing the project. If the agency finds that the city has made adequate progress, the agency shall authorize an additional 24 months to grant entitlements to the remainder of the project. If the agency does not find that the city has made adequate progress, the funds shall be transferred to the agency. The agency shall hold the funds until the city submits a plan satisfactory to the agency to move forward with the project or allocate funds to another qualified project consistent with the jurisdiction’s expenditure plan. (ic) For purposes of this subclause, “adequate progress” means the project has received the land use approvals or entitlements necessary for at least 75 percent of the project’s units. (B) (i) Seventy percent of annual funding for the purpose of renter protections and support shall be allocated to the eligible jurisdictions, provided that the allocation is consistent with the eligible uses of the funding set forth in paragraph (2) of subdivision (d) of Section 64830. (ii) (I) Thirty percent of annual funding for the purpose of renter protections and support shall be allocated by the agency to the eligible jurisdictions consistent with the guiding principles of the agency and the eligible uses outlined in Section 64830. (II) At least 5 percent of funds allocated pursuant to subclause (I) shall be used for technical assistance grants to cities with a population under 50,000. (iii) The agency shall have the discretion to fund any programs operated by any governmental or nonprofit entity that are consistent with the eligible uses outlined for renter protections and support. Direct unrestricted allocations are not permitted to any governmental entity. (C) (i) Seventy percent of annual funding for the purpose of technical assistance, research, and policy development shall be allocated, on a per low-income renter household basis, to the eligible jurisdictions, provided that the allocation is consistent with the eligible uses of the funding set forth in paragraph (4) of subdivision (d) of Section 64830. (ii) Thirty percent of annual funding for the purpose of technical assistance, research, and policy development shall be allocated by the agency on an at-large basis consistent with the guiding principles of the agency and the eligible uses outlined in Section 64830, subject to both of the following conditions: (I) At least 5 percent of funds allocated pursuant to this clause shall be used for technical assistance grants to cities with a population under 50,000. (II) The agency shall create a list of consultants who shall be available to provide technical assistance, research, and policy development to these cities consistent with this subclause. Cities with a population under 50,000 shall be entitled to a 10 percent administrative cost reimbursement as part of this application cost. (b) Councils of governments in Los Angeles County shall be subject to the following requirements: (1) Funds allocated to a council of governments shall be administered by the agency in collaboration with the council receiving funding. (2) Each city within each council of government may have its own set aside, which shall be based on its pro rata lower income housing need. The council of government and its members may develop policies to allocate set-aside funds. (3) Funds, or a portion of the funds, provided to the San Gabriel Valley Council of Governments may be allocated by the council to the San Gabriel Valley Regional Housing Trust, and the trust shall use the funds pursuant to the same requirements to which funding provided to the councils of governments are subject pursuant to this chapter. (c) Cities receiving a direct allocation shall be subject to the following requirements: (1) The City of Los Angeles shall have its own set aside based on its pro rata lower income housing need, subject to a 50-percent limit on the category described in clause (i) of subparagraph (B) of paragraph (2) of subdivision (a). (2) The City of Long Beach shall have its own set aside based on its pro rata lower income housing need. (d) The unincorporated area of Los Angeles County shall have its own set aside, which shall be based on its pro rata lower income housing need. (e) The following factors shall be considered for at-large funding allocations: (1) Whether the allocation affirmatively furthers fair housing. (2) The allocation’s effect on displacement indicators. (3) The allocation’s effect on rent-burdened populations. (4) Whether the allocation serves populations with disabilities. (f) In this section, “pro rata lower income housing need” shall mean the jurisdiction’s share of the total lower income housing needs assessment goal for the County of Los Angeles allocated pursuant to Section 65584. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  193. 64831.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The board must monitor expenditures with local jurisdictions and review revenues allocated to cities at least every five years. The board may also adopt guidelines for those funds when needed to keep spending timely and aligned with the chapter’s goals.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64831. The board shall monitor expenditures in coordination with local jurisdictions. At least once every five years, the monitoring shall include a review of revenues allocated to cities. The board may adopt guidelines applicable to those funds as deemed necessary to ensure they are spent in a timely manner consistent with the goals of this chapter. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  194. 64832.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. )

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    The agency must prepare and submit an annual report to the Legislature about allocations and expenditures under its control, including certain county or city-controlled funds.

    ## Government Code - GOV ## TITLE 6.9. Los Angeles County Affordable Housing Solutions Agency [64700 - 64832] ( Title 6.9 added by Stats. 2022, Ch. 661, Sec. 1. ) ## PART 2. Financing Activities of the Los Angeles County Affordable Housing Solutions Agency [64800 - 64832] ( Part 2 added by Stats. 2022, Ch. 661, Sec. 1. ) ## CHAPTER 3. Expenditures [64830 - 64832] ( Chapter 3 added by Stats. 2022, Ch. 661, Sec. 1. ) ## 64832. To ensure oversight and accountability, the agency shall prepare and submit an annual report to the Legislature, in conformance with Sections 9795 and 53411 on allocations and expenditures under its control, and those controlled by the county or a city pursuant to subdivision (d) of Section 64830. The report shall include a description of projects funded and their status, the households served by income level, and the extent to which the minimum targets in subdivision (d) of Section 64830 were achieved. (Added by Stats. 2022, Ch. 661, Sec. 1. (SB 679) Effective January 1, 2023.)
  195. 6500.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 5. Joint Exercise of Powers [6500 - 6599.3] ( Chapter 5 added by Stats. 1949, Ch. 84. ) ## ARTICLE 1. Joint Powers Agreements [6500 - 6539.9.1] ( Article 1 added by Stats. 1949, Ch. 84. )

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    This section defines “public agency” for this article.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 5. Joint Exercise of Powers [6500 - 6599.3] ( Chapter 5 added by Stats. 1949, Ch. 84. ) ## ARTICLE 1. Joint Powers Agreements [6500 - 6539.9.1] ( Article 1 added by Stats. 1949, Ch. 84. ) ## 6500. As used in this article, “public agency” includes, but is not limited to, the federal government or any federal department or agency, this state, another state or any state department or agency, a county, county board of education, county superintendent of schools, city, public corporation, public district, regional transportation commission of this state or another state, a federally recognized Indian tribe, or any joint powers authority formed pursuant to this article by any of these agencies. (Amended by Stats. 2011, Ch. 266, Sec. 1. (AB 307) Effective January 1, 2012.)
  196. 6500.1.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 5. Joint Exercise of Powers [6500 - 6599.3] ( Chapter 5 added by Stats. 1949, Ch. 84. ) ## ARTICLE 1. Joint Powers Agreements [6500 - 6539.9.1] ( Article 1 added by Stats. 1949, Ch. 84. )

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    This chapter is called the Joint Exercise of Powers Act and may be cited by that name.

    ## Government Code - GOV ## TITLE 1. GENERAL [100 - 7931.000] ( Title 1 enacted by Stats. 1943, Ch. 134. ) ## DIVISION 7. MISCELLANEOUS [6000 - 7599.200] ( Division 7 enacted by Stats. 1943, Ch. 134. ) ## CHAPTER 5. Joint Exercise of Powers [6500 - 6599.3] ( Chapter 5 added by Stats. 1949, Ch. 84. ) ## ARTICLE 1. Joint Powers Agreements [6500 - 6539.9.1] ( Article 1 added by Stats. 1949, Ch. 84. ) ## 6500.1. This chapter shall be known and may be cited as the Joint Exercise of Powers Act. (Added by Stats. 2000, Ch. 506, Sec. 8. Effective January 1, 2001.)
  197. 65000.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. )

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    This section says the title may be cited as the Planning and Zoning Law.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. ) ## 65000. This title may be cited as the Planning and Zoning Law. (Amended by Stats. 1967, Ch. 123.)
  198. 65001.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. )

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    This article’s definitions and general provisions control how the title is interpreted, unless the context requires a different reading.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. ) ## 65001. The definitions and general provisions contained in this article govern the construction of this title unless the context otherwise requires. (Amended by Stats. 1956, 1st Ex. Sess., Ch. 33.)
  199. 65002.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. )

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    This section defines “street” to include many kinds of roads and related ways.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. ) ## 65002. “Street” includes street, highway, freeway, expressway, avenue, boulevard, parkway, road, lane, walk, alley, viaduct, subway, tunnel, bridge, public easement and right-of-way, and other ways. (Amended by Stats. 1965, Ch. 1880.)
  200. 65003.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. )

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    This section defines “right-of-way” to include public or private right-of-way and areas required for public use under a general or specific plan.

    ## Government Code - GOV ## TITLE 7. PLANNING AND LAND USE [65000 - 66499.58] ( Heading of Title 7 amended by Stats. 1974, Ch. 1536. ) ## DIVISION 1. PLANNING AND ZONING [65000 - 66345.4] ( Heading of Division 1 added by Stats. 1974, Ch. 1536. ) ## CHAPTER 1. General Provisions [65000 - 65010] ( Heading of Chapter 1 amended by Stats. 1956, 1st Ex. Sess., Ch. 33. ) ## 65003. “Right-of-way” means any public or private right-of-way and includes any area required for public use pursuant to any general plan or specific plan. (Amended by Stats. 1965, Ch. 1880.)

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