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AB-2065 Redevelopment Agency of the City of Downey: plan amendment.(2009-2010)

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Amended  IN  Assembly  May 03, 2010
Amended  IN  Assembly  April 08, 2010

CALIFORNIA LEGISLATURE— 2009–2010 REGULAR SESSION

Assembly Bill
No. 2065


Introduced  by  Assembly Member Charles Calderon, De La Torre

February 18, 2010


An act to add Section 33320.6 to the Health and Safety Code, relating to redevelopment, and declaring the urgency thereof, to take effect immediately.


LEGISLATIVE COUNSEL'S DIGEST


AB 2065, as amended, Charles Calderon. Redevelopment Agency of the City of Downey: plan amendment.
The Community Redevelopment Law authorizes the establishment of redevelopment agencies in communities in order to address the effects of blight, as defined, in those communities and requires those agencies to prepare, or cause to be prepared, and approve a redevelopment plan for each project area. Existing law authorizes the legislative body to amend or modify the plan by ordinance upon the recommendation of the agency and establishes procedural requirements and restrictions related to amendment of the plan.
Section 16 of Article XVI of the California Constitution authorizes a redevelopment agency to receive funding through tax increments attributable to increases in assessed property tax valuation of property in a project area due to the redevelopment. Not less than 20% of tax increments generated from a project area are required to be used by a redevelopment agency to increase and improve the community’s supply of low- and moderate-income housing. Redevelopment agencies also are required in specified years to remit an amount of revenue for deposit in various funds for allocation to school entities.
This bill would authorize the redevelopment agency of the City of Downey to add described territory to a redevelopment project area within the city upon the adoption of an ordinance adopted by the city council that contains specified time limitations and restrictions. The bill would exempt the adoption of the amendment of the redevelopment plan to add the specified territory of the City of Downey from various requirements. The bill would authorize the agency to subordinate to bonded debt the amount required to be paid to an affected school entity upon a finding that the agency will have sufficient funds available to pay both the bonded debt payments and the required payments. The bill would provide that these provisions become operative on or after January 1, 2012, if the City of Downey finds and declares that Tesla Motors has not constructed a manufacturing operation in the described territory.
The bill would make a legislative declaration regarding the need for a special statute.
This bill would declare that it is to take effect immediately as an urgency statute.
Vote: MAJORITY2/3   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 (a) It is the intent of the Legislature to encourage and allow the redevelopment of certain property in the City of Downey for job creation and the increase of the community and region’s economic base adjacent to that property.
(b) The Legislature finds and declares that extraordinary measures are required in order to address the current economic recession and the unusually high unemployment rate. The amendment of the territory specified in this act to a project area of the City of Downey will create 1,200 new clean-tech and career-ladder jobs, encourage green technology production, and further stimulate economic revitalization in the region.

SEC. 2.

 Section 33320.6 is added to the Health and Safety Code, to read:

33320.6.
 (a) (1) The redevelopment agency within the City of Downey may add the following territory consisting of two parcels to a redevelopment project area within the city:
(A) Those portions of Lot 2 and Lot 3 of fractional Section 10, Township 3 South, Range 12 West, in the Rancho Santa Gertrudes, together with a portion of the southwest quarter of said fractional Section 10, in the City of Downey, County of Los Angeles, State of California as recorded in book 1, page 502 of miscellaneous records, recorded in the office of the county recorder of said county, described as follows:
Beginning at a point in the northerly line of said Lot 2 in the northwest quarter of fractional Section 10, said line also being the northerly line of Stewart and Gray Road, 80 feet wide, distant thereon south 89°52'14" west 646.51 feet from the northeast corner of said Lot 2; thence on a line between said point of beginning and the southwest corner of the southeast quarter of the northeast quarter of the southwest quarter of fractional Section 10, south 00°13'16" west 1011.24 feet to the true Point of Beginning; thence south 89°48'11" west 1194.23 feet to a point in a line that is parallel with and distant southeasterly 40.00 feet, measured at right angles, from the centerline of Lakewood Boulevard, as shown on county Surveyors B Series Map No. 1147, on file in the office of the county engineer of said county; thence south 3141'38" 31°41'38" west, along said parallel line, a distance of 1437.27 feet to a point in a line that is parallel with and distant easterly 40.00 feet, measured at right angles, from the centerline of Clark Avenue as shown on said county Surveyors B Series Map No. 1147; thence south 00°03'38" west, along last said parallel line, a distance of 485.49 feet; thence north 90°00'00" east 859.79 feet to the beginning of a tangent curve concave northwesterly and having a radius of 600.00 feet; thence northeasterly along said curve through a central angle of 18°48'42", a distance of 197.00 feet to the beginning of a compound curve concave northwesterly and having a radius of 82.00 feet; thence northeasterly along said curve through a central angle of 59°12'23", a distance of 84.73 feet to the beginning of a reverse curve concave southeasterly and having a radius of 398.00 feet; thence northeasterly along said curve through a central angle of 78°01'06", a distance of 541.95 feet; thence north 90°00'00" east 321.62 feet to the beginning of a tangent curve concave southwesterly and having a radius of 418.00 feet; thence southeasterly along said curve through a central angle of 17°39'05", a distance of 128.78 feet to said line between the point of beginning and the southwest corner of the southeast quarter of the northeast quarter of the southwest quarter of fractional Section 10; thence north 00°13'16" east, along said line, a distance of 1324.18 feet to the true Point of Beginning.
Containing an area of 2,550,976 square feet, more or less.
(B) That portion of Lot 2 in the northwest quarter of fractional Section 10, Township 3 South, Range 12 West, in the Rancho Santa Gertrudes, together with a portion of the southwest quarter of said fractional Section 10, in the City of Downey, County of Los Angeles, State of California as recorded in book 1, page 502 of miscellaneous records, recorded in the office of the county recorder of said county, described as follows:
Beginning at a point in the northerly line of said Lot 2 in the northwest quarter of fractional Section 10, said line also being the northerly line of Stewart and Gray Road, 80 feet wide, distant thereon south 89°52'14" west 646.51 feet from the northeast corner of said Lot 2; thence on a line between said point of beginning and the southwest corner of the southeast quarter of the northeast quarter of the southwest quarter of fractional Section 10, south 00°13'16" west 1100.59 feet to the true Point of Beginning; thence at right angles to the easterly line of said Lot 2, said easterly line also being the centerline of Bellflower Boulevard, north 89°52'23" east 613.20 feet to a point in a line that is parallel with and distant westerly 40.00 feet, measured at right angles, from said easterly line of Lot 2; thence south 00°07'37" east, along said parallel line, a distance of 222.54 feet to the intersection of said parallel line, with a line that is parallel with and distant westerly 40.00 feet, measured at right angles, from the easterly line of said southwest quarter of said fractional Section 10; thence south 00°04'17" east, along last said parallel line, a distance of 1225.63 feet to a line that is parallel with and distant northerly 96.00 feet, measured at right angles, from the southerly line of said northeast quarter of the southwest quarter of fractional Section 10; thence south 89°51'04" west, along last said parallel line, a distance of 238.81 feet to the beginning of a tangent curve concave northeasterly and having a radius of 252.00 feet; thence northwesterly along said curve through a central angle 49°21'31", a distance of 217.09 feet to the beginning of a reverse curve concave southwesterly and having a radius of 418.00 feet; thence northwesterly along said curve through a central angle of 31°33'30", a distance of 230.23 feet to said line between the point of beginning and the southwest corner of the southeast quarter of the northeast quarter of the southwest quarter of fractional Section 10; thence north 00°13'16" east, along said line, a distance of 1234.83 feet to the true Point of Beginning.
Containing an area of 857,497 square feet, more or less.
(2) The Legislature hereby finds and conclusively determines that the area described in paragraph (1) is predominantly urbanized and blighted territory, as defined in Sections 33030 and 33031.
(3) Notwithstanding any other law, if the agency exercises the authority specified in paragraph (1), the amendment of the redevelopment plan to add the above described territory shall not be subject to the legal requirements of this chapter and shall only be subject to the procedures as provided in this section.
(b) The agency may exercise its authority pursuant to subdivision (a) upon an ordinance adopted by the city council that contains all of the following:
(1) A limitation on the number of dollars of taxes that may be divided and allocated for the added area to the redevelopment agency. The limitation shall require that the agency may only collect tax increment funds to repay the City of Downey and its general fund an amount not to exceed thirty million dollars ($30,000,000) of the tax increment funds allocated to the added territory described in paragraph (1) of subdivision (a), after allocating 20 percent of that revenue pursuant to Section 33334.2, for the purpose of reimbursing the City of Downey for rental property expenses in the added territory. Taxes shall not be divided and shall not be allocated to the redevelopment agency beyond this limitation, except by amendment of the redevelopment plan pursuant to Section 33354.6, or as necessary to comply with subdivision (a) of Section 33333.8.
(2) (A) A time limitation on the establishing of loans, advances, and indebtedness to be paid with the proceeds of property taxes received pursuant to Section 33670 to finance in whole or in part the redevelopment in the added area, which may not exceed 20 years from the effective date of the ordinance specified in subdivision (b), except by amendment of the redevelopment plan as authorized by subparagraph (B). The loans, advances, or indebtedness may be repaid over a period of time longer than the time limit as provided in this section. No loans, advances, or indebtedness to be repaid from the allocation of taxes shall be established or incurred by the agency beyond this time limitation, except as necessary to comply with subdivision (a) of Section 33333.8.
(B) The time limitation established by subparagraph (A) may be extended only by amendment of the redevelopment plan after the agency finds, based on substantial evidence, that: (i) substantial blight remains within the project area, (ii) the blight cannot be eliminated without the establishment of additional debt, and (iii) the elimination of blight cannot reasonably be accomplished by private enterprise acting alone or by the legislative body’s use of financing alternatives other than tax increment financing. However, this amended time limitation may not exceed 30 years from the effective date of the ordinance specified in subdivision (b), except as necessary to comply with subdivision (a) of Section 33333.8.
(3) A time limit, not to exceed 30 years from the effective date of the ordinance specified in subdivision (b), on the effectiveness of the redevelopment plan with respect to the added area. After the time limit on the effectiveness of the redevelopment plan, the agency shall have no authority to act pursuant to the redevelopment plan except to pay previously incurred indebtedness, comply with subdivision (a) of Section 33333.8, and enforce existing covenants or contracts.
(4) A time limit, not to exceed 45 years from the effective date of the ordinance specified in subdivision (b), with respect to the added area, to repay indebtedness with the proceeds of property taxes received pursuant to Section 33670. After the time limit established pursuant to this paragraph, an agency may not receive property taxes pursuant to Section 33670, except as necessary to comply with subdivision (a) of Section 33333.8.
(5) The limitations contained in a redevelopment plan adopted pursuant to this section shall not be applied to limit allocation of taxes to an agency to the extent required to comply with Section 33333.8. In the event of a conflict between these limitations and the obligations under Section 33333.8 the limitation established in the ordinance shall be suspended pursuant to Section 33333.8.
(6) Provide for conformity with the community’s general plan, as may be amended from time to time.
(7) The requirements of Section 33333 shall be met by conformance with the Downey Landing specific plan, as may be amended from time to time.
(8) The redevelopment agency shall make payments from the territory described in paragraph (1) of subdivision (a) to affected taxing entities as required by subdivision (a) of Section 33607.5.
(c) (1) The amendment of the redevelopment plan to add the territory described in paragraph (1) of subdivision (a) shall not be subject to the requirements of Section 33333.11.
(2) The ordinance adopted by the city council pursuant to subdivision (b) shall not be subject to referendum and shall be deemed exempt from the provisions of Sections 33450 and 33378.

(d)Notwithstanding subdivision (k) of Section 33352, the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code) shall not apply to the adoption of the amendment of the redevelopment plan to add the territory described in paragraph (1) of subdivision (a). All projects, as defined in the act, that implement the amended redevelopment plan shall be subject to the act, including, but not limited to, specific plans and rezonings.

(d) The Legislature hereby finds and determines that the prior comprehensive environmental analysis conducted and certified by the City of Downey through the Environmental Impact Report for the Downey Landing Specific Plan, dated February 2002, which encompasses the territory described in paragraph (1) of subdivision (a), is deemed to meet the requirements of subdivision (k) of Section 33352 for purposes of approving the amended plan, and no further analysis is required under the California Environmental Quality Act (Division 13 (commencing with Section 21000) of the Public Resources Code) for the purposes of adopting the expanded project area plan. All projects, as defined in the California Environmental Quality Act, that implement the amended redevelopment plan shall be subject to that act, including, but not limited to, specific plans and rezoning.
(e) Notwithstanding any other law, from the first year that the agency receives tax increment revenue and prior to incurring any bonded indebtedness, the agency administering a project area pursuant to this section may subordinate to the bonded debt the amount required to be paid to an affected school district or community college district pursuant to this section upon a finding, based upon substantial evidence, that the agency will have sufficient funds available to pay both the bonded debt payments and the payments required by this section.
(f) This section shall not be operative on or after January 1, 2012, if the City of Downey finds and declares that Tesla Motors has not constructed a manufacturing operation in the territory described in paragraph (1) of subdivision (a).

SEC. 3.

 The Legislature finds and declares that, because of the unique circumstances applicable only to the redevelopment agency of the City of Downey, a statute of general applicability cannot be enacted within the meaning of subdivision (b) of Section 16 of Article IV of the California Constitution. Therefore, this special statute is necessary.

SEC. 4.

 This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity are:
In order to provide unique and urgently needed economic stimulus and revitalization in the City of Downey and surrounding regions, it is necessary that this act take immediate effect.