50870.
(a) The Central Valley Infrastructure Grant Program is hereby established in the department for the purpose of furthering economic development in rural small cities in the central San Joaquin Valley through developing and repairing necessary public infrastructure. Priority for funding shall be given to infrastructure projects such as streets, water, sewer, utilities, or telecommunication projects, or other necessary public infrastructure to facilitate business development, retention, or expansion.(b) Money appropriated pursuant to Item 2240-101-0001 of Section 2.00 in the Budget Act of 2001 shall be used exclusively to provide for grants, not to exceed the sum of four hundred thousand dollars ($400,000) each, to rural small cities with a median income of 80 percent or less of the state median income, within the Counties of Fresno, Kings, Kern, Tulare, Madera, Merced, Stanislaus, and San Joaquin.
(c) Grants administered pursuant to this section shall be used solely for projects qualifying for funding under this chapter.
(d) Grants shall be administered beginning September 1, 2001.
(e) For purposes of this section, “small city” means a city with a population of less than 100,000, or an unincorporated community with a population of less than 20,000, based on the estimated 2000 figures of the Demographic Research Unit of the Department of Finance.
(f) Notwithstanding any other provision of this chapter, not more than 15 percent of the financing may be expended for educational facilities, environmental mitigation measures, and parks and recreational facilities.
(g) For projects located in unincorporated communities, the contracting entity shall be the county in which the community is located. No county may receive more than one grant. As a condition of receiving funds, the grantee jurisdiction shall have an adopted housing element that the Department of Housing and Community Development has determined, pursuant to Section 65585 of the Government Code, to be in substantial compliance with the requirements of Article 10.6 (commencing with Section 65580) of Chapter 3 of Division 1 of Title 7 of the Government Code.
(h) The program shall be operated through guidelines that shall include competitive criteria, determined by the department, which shall include, but not be limited to, project benefits, leverage of state funds, median income that is 80 percent or less of the state median income, unemployment levels, and other appropriate indicators of need. In addition, the guidelines shall ensure, to the extent feasible, a reasonable geographic distribution of funds. The guidelines shall not be subject to the requirements of Chapter 3.5 (commencing with Section 11340) of Part 2 of Title 2 of the Government Code.