Today's Law As Amended

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AB-750 Economic development: cities.(2013-2014)



SECTION 1.

 Article 3.75 (commencing with Section 37450) is added to Chapter 5 of Part 2 of Division 3 of Title 4 of the Government Code, to read:

Article  3.75. Economic Development
37450.
 (a) Notwithstanding any other law, the disposition of real property by a city shall not constitute a gift of public funds under Section 6 of Article XVI of the California Constitution, and shall constitute an action taken for a public purpose, provided that the legislative body of the city disposing of the real property is presented with, or presents, substantial evidence of both of the following:
(1) (A) That the disposition of the property will stimulate job creation and economic development within the boundaries of the city.
(B) For purposes of this section, “disposition” means the sale, lease, transfer, or exchange of real property, or any combination thereof.
(2) That the amount of private benefit provided will not outweigh the amount of public benefit received through the sale, lease, or disposition.
(b) The disposition of real property pursuant to this section shall be in compliance with the California Constitution and other applicable law relating to the sale, lease, or disposition of real property.
37452.
 Notwithstanding any other law, a city may provide compensation to a private party,
and that compensation shall not constitute a gift of public funds under Section 6 of Article XVI of the California Constitution, and shall constitute an action taken for a public purpose, provided that the legislative body of the city is presented with, or presents, substantial evidence of both of the following:
(a) The compensation provided to a private party under this section will stimulate economic development within the municipal boundaries of the city.
(b) The private benefit provided will not outweigh the amount of public benefit received through the provision of compensation to a private party pursuant to this section.
SEC. 2.
 If any provision of this act or the application thereof to any person or circumstance is held invalid, the invalidity shall not affect other provisions or applications of this act which can be given effect without the invalid provision or application and to this end, the provisions of this act are severable.
SEC. 3.
 The Legislature finds and declares that responsible use of public funds and encouragement of economic growth are issues of statewide concern and do not constitute a municipal affair as that term is used in Section 5 of Article XI of the California Constitution. Accordingly, it is the intent of the Legislature that Section 1 applies to every city in this state, including charter cities.