Compare Versions


Bill PDF |Add To My Favorites |Track Bill | print page

SB-5 Infrastructure financing districts: allocation of taxes: agricultural land exclusion.(2025-2026)



Current Version: 12/02/24 - Introduced

Compare Versions information image


SB5:v99#DOCUMENT


CALIFORNIA LEGISLATURE— 2025–2026 REGULAR SESSION

Senate Bill
No. 5

Introduced by Senator Cabaldon

December 02, 2024

An act to amend Section 53396 of, and to add Section 53396.1 to, the Government Code, relating to local government.


LEGISLATIVE COUNSEL'S DIGEST


SB 5, as introduced, Cabaldon. Infrastructure financing districts: allocation of taxes: agricultural land exclusion.
Existing law, the California Land Conservation Act of 1965, otherwise known as the Williamson Act, authorizes a city or county to enter into contracts with owners of agricultural land to preserve the land for agricultural use, as specified, in return for reduced property tax assessments. The act also authorizes a landowner of specified agricultural land to petition the city or county to cancel the Williamson Act contract in order to designate the land as a farmland security zone, whereby the land is eligible for a specified property tax valuation and taxed at a reduced rate for specified special taxes.
Existing law authorizes the legislative body of a city or a county to establish an enhanced infrastructure financing district, with a governing body referred to as the public financing authority, to finance public capital facilities or other specified projects of communitywide significance. Existing law requires the public financing authority to prepare and adopt a proposed infrastructure financing plan, as specified. Existing law authorizes the plan to require a certain portion of specified taxes levied upon property within the district to be allocated to the district each year, as specified.
This bill would exclude the taxes levied upon a parcel of land enrolled in or subject to a Williamson Act contract or a farmland security zone contract, as specified, from the above-described allocation to the district.
Vote: MAJORITY   Appropriation: NO   Fiscal Committee: NO   Local Program: NO  

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


SECTION 1.

 Section 53396 of the Government Code is amended to read:

53396.
 Any infrastructure financing plan may contain a provision that taxes, taxes other than those specified in Section 53396.1, if any, levied upon taxable property in the area included within the infrastructure financing district each year by or for the benefit of the State of California, or any affected taxing entity after the effective date of the ordinance adopted pursuant to Section 53395.23 to create the district, shall be divided, subject to the provisions of Section 53993, as follows:
(a) That portion of the taxes which would be produced by the rate upon which the tax is levied each year by or for each of the affected taxing entities upon the total sum of the assessed value of the taxable property in the district as shown upon the assessment roll used in connection with the taxation of the property by the affected taxing entity, last equalized prior to the effective date of the ordinance adopted pursuant to Section 53395.23 to create the district, shall be allocated to, and when collected shall be paid to, the respective affected taxing entities as taxes by or for the affected taxing entities on all other property are paid.
(b) That portion of the levied taxes each year specified in the adopted infrastructure financing plan for the city or county and each affected taxing entity which has agreed to participate pursuant to Section 53395.19 in excess of the amount specified in subdivision (a) shall be allocated to, and when collected shall be paid into a special fund of, the district for all lawful purposes of the district. Unless and until the total assessed valuation of the taxable property in a district exceeds the total assessed value of the taxable property in the district as shown by the last equalized assessment roll referred to in subdivision (a), all of the taxes levied and collected upon the taxable property in the district shall be paid to the respective affected taxing entities. When the district ceases to exist pursuant to the adopted infrastructure financing plan, all moneys thereafter received from taxes upon the taxable property in the district shall be paid to the respective affected taxing entities as taxes on all other property are paid.

SEC. 2.

 Section 53396.1 is added to the Government Code, to read:

53396.1.
 Taxes authorized to be divided and allocated pursuant to Section 53396 shall not include taxes levied upon any of the following:
(a) A parcel of land enrolled in a Williamson Act contract.
(b) A parcel of land enrolled in a farmland security zone contract, pursuant to Article 7 (commencing with Section 51296) of Chapter 7.
(c) A parcel of land subject to a Williamson Act contract or a farmland security zone contract that has been canceled or nonrenewed, until the next equalized assessment roll made after both of the following:
(1) Cancellation or nonrenewal of the Williamson Act contract or the farmland security zone contract.
(2) Rezoning of the parcel for residential, commercial, industrial, or other uses.