BILL NUMBER: AB 974 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MARCH 26, 2015
INTRODUCED BY Assembly Member Bloom
FEBRUARY 26, 2015
An act to amend Section 7150.35 Sections
34176 and 34191.4 of the Health and Safety Code, relating to
anatomical gifts. community redevelopment.
LEGISLATIVE COUNSEL'S DIGEST
AB 974, as amended, Bloom. Uniform Anatomical Gift Act.
Redevelopment dissolution: housing projects: bond
proceeds.
Existing law dissolved redevelopment agencies and community
development agencies, as of February 1, 2012, and provides for the
designation of successor agencies to wind down the affairs of the
dissolved redevelopment agencies and to, among other things, make
payments due for enforceable obligations and to perform obligations
required pursuant to any enforceable obligation. Existing law
provides for the transfer of housing assets and functions previously
performed by the dissolved redevelopment agency to one of several
specified public entities. Existing law authorizes the successor
housing entity to designate the use of, and commit, proceeds from
indebtedness that was issued for affordable housing purposes prior to
January 1, 2011, and was backed by the Low and Moderate Income
Housing Fund.
This bill would instead authorize a successor housing entity to
designate the use of, and commit, proceeds from indebtedness that was
issued for affordable housing purposes prior to June 28, 2011, and
would require the proceeds from bonds issued between January 1, 2011,
and June 28, 2011, to be used only for projects meeting certain
requirements established in this bill for projects, to be funded by
successor agencies generally, from proceeds of bonds issued during
the same period.
Existing law authorizes the Department of Finance to issue a
finding of completion to a successor agency that completes a due
diligence review and meets other requirements. Upon receiving a
finding of completion, a successor agency is authorized to expend
excess bond proceeds derived from bonds issued on or before December
31, 2010, in a manner consistent with the original bond covenants.
The bill would expand this authorization to include the
expenditure of excess bond proceeds derived from bonds issued on or
before June 28, 2011, and would require proceeds derived from bonds
issued between January 1, 2011, and June 28, 2011, to be used by
successor agencies only for projects meeting certain requirements.
The bill would additionally require the refinance of bonds issued
between January 1, 2011 and June 28, 2011, if proceeds derived from
those bonds can be used for projects meeting specified criteria, as
specified.
Existing law, the Uniform Anatomical Gift Act, regulates the
making of anatomical gifts and the disposition of donated bodies and
body parts. Existing law authorizes an individual who is between 15
and 18 years of age to, among other things, make an anatomical gift
for any specified purpose only upon the written consent of his or her
parent or guardian.
This bill would make technical, nonsubstantive changes to that
provision.
Vote: majority. Appropriation: no. Fiscal committee: no
yes . State-mandated local program: no.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 34176 of the Health
and Safety Code is amended to read:
34176. (a) (1) The city, county, or city and county that
authorized the creation of a redevelopment agency may elect to retain
the housing assets and functions previously performed by the
redevelopment agency. If a city, county, or city and county elects to
retain the authority to perform housing functions previously
performed by a redevelopment agency, all rights, powers, duties,
obligations, and housing assets, as defined in subdivision (e),
excluding any amounts on deposit in the Low and Moderate Income
Housing Fund and enforceable obligations retained by the successor
agency, shall be transferred to the city, county, or city and county.
(2) The housing successor shall submit to the Department of
Finance by August 1, 2012, a list of all housing assets that contains
an explanation of how the assets meet the criteria specified in
subdivision (e). The Department of Finance shall prescribe the format
for the submission of the list. The list shall include assets
transferred between February 1, 2012, and the date upon which the
list is created. The department shall have up to 30 days from the
date of receipt of the list to object to any of the assets or
transfers of assets identified on the list. If the Department of
Finance objects to assets on the list, the housing successor may
request a meet and confer process within five business days of
receiving the department objection. If the transferred asset is
deemed not to be a housing asset as defined in subdivision (e), it
shall be returned to the successor agency. If a housing asset has
been previously pledged to pay for bonded indebtedness, the successor
agency shall maintain control of the asset in order to pay for the
bond debt.
(3) For purposes of this section and Section 34176.1, "housing
successor" means the entity assuming the housing function of a former
redevelopment agency pursuant to this section.
(b) If a city, county, or city and county does not elect to retain
the responsibility for performing housing functions previously
performed by a redevelopment agency, all rights, powers, assets,
duties, and obligations associated with the housing activities of the
agency, excluding enforceable obligations retained by the successor
agency and any amounts in the Low and Moderate Income Housing Fund,
shall be transferred as follows:
(1) If there is no local housing authority in the territorial
jurisdiction of the former redevelopment agency, to the Department of
Housing and Community Development.
(2) If there is one local housing authority in the territorial
jurisdiction of the former redevelopment agency, to that local
housing authority.
(3) If there is more than one local housing authority in the
territorial jurisdiction of the former redevelopment agency, to the
local housing authority selected by the city, county, or city and
county that authorized the creation of the redevelopment agency.
(c) Commencing on the operative date of this part, the housing
successor may enforce affordability covenants and perform related
activities pursuant to applicable provisions of the Community
Redevelopment Law (Part 1 (commencing with Section 33000)),
including, but not limited to, Section 33418.
(d) Except as specifically provided in Section 34191.4, any funds
transferred to the housing successor, together with any funds
generated from housing assets, as defined in subdivision (e), shall
be maintained in a separate Low and Moderate Income Housing Asset
Fund which is hereby created in the accounts of the housing
successor.
(e) For purposes of this part, "housing asset" includes all of the
following:
(1) Any real property, interest in, or restriction on the use of
real property, whether improved or not, and any personal property
provided in residences, including furniture and appliances, all
housing-related files and loan documents, office supplies, software
licenses, and mapping programs, that were acquired for low- and
moderate-income housing purposes, either by purchase or through a
loan, in whole or in part, with any source of funds.
(2) Any funds that are encumbered by an enforceable obligation to
build or acquire low- and moderate-income housing, as defined by the
Community Redevelopment Law (Part 1 (commencing with Section 33000))
unless required in the bond covenants to be used for repayment
purposes of the bond.
(3) Any loan or grant receivable, funded from the Low and Moderate
Income Housing Fund, from homebuyers, homeowners, nonprofit or
for-profit developers, and other parties that require occupancy by
persons of low or moderate income as defined by the Community
Redevelopment Law (Part 1 (commencing with Section 33000)).
(4) Any funds derived from rents or operation of properties
acquired for low- and moderate-income housing purposes by other
parties that were financed with any source of funds, including
residual receipt payments from developers, conditional grant
repayments, cost savings and proceeds from refinancing, and principal
and interest payments from homebuyers subject to enforceable income
limits.
(5) A stream of rents or other payments from housing tenants or
operators of low- and moderate-income housing financed with any
source of funds that are used to maintain, operate, and enforce the
affordability of housing or for enforceable obligations associated
with low- and moderate-income housing.
(6) (A) Repayments of loans or deferrals owed to the Low and
Moderate Income Housing Fund pursuant to subparagraph (G) of
paragraph (1) of subdivision (d) of Section 34171, which shall be
used consistent with the affordable housing requirements in the
Community Redevelopment Law (Part 1 (commencing with Section 33000)).
(B) Loan or deferral repayments shall not be made prior to the
2013-14 fiscal year. Beginning in the 2013-14 fiscal year, the
maximum repayment amount authorized each fiscal year for repayments
made pursuant to this paragraph and subdivision (b) of Section
34191.4 combined shall be equal to one-half of the increase between
the amount distributed to taxing entities pursuant to paragraph (4)
of subdivision (a) of Section 34183 in that fiscal year and the
amount distributed to taxing entities pursuant to that paragraph in
the 2012-13 base year. Loan or deferral repayments made pursuant to
this paragraph shall take priority over amounts to be repaid pursuant
to subdivision (b) of Section 34191.4.
(f) If a development includes both low- and moderate-income
housing that meets the definition of a housing asset under
subdivision (e) and other types of property use, including, but not
limited to, commercial use, governmental use, open space, and parks,
the oversight board shall consider the overall value to the community
as well as the benefit to taxing entities of keeping the entire
development intact or dividing the title and control over the
property between the housing successor and the successor agency or
other public or private agencies. The disposition of those assets may
be accomplished by a revenue-sharing arrangement as approved by the
oversight board on behalf of the affected taxing entities.
(g) (1) (A) The housing successor may designate the use of and
commit indebtedness obligation proceeds that remain after the
satisfaction of enforceable obligations that have been approved in a
Recognized Obligation Payment Schedule and that are consistent with
the indebtedness obligation covenants. The proceeds shall be derived
from indebtedness obligations that were issued for the purposes of
affordable housing prior to January 1, 2011, and were backed
by the Low and Moderate Income Housing Fund June 28,
2011. Bond proceeds from bonds issued between January 1, 2011, and
June 28, 2011, shall only be used for projects that meet the criteria
set forth in subparagraphs (A) and (B) of paragraph (3) of
subdivision (c) of Section 34191.4 . Enforceable obligations
may be satisfied by the creation of reserves for the projects that
are the subject of the enforceable obligation that are consistent
with the contractual obligations for those projects, or by expending
funds to complete the projects.
(B) The housing successor shall provide notice to the successor
agency of any designations of use or commitments of funds specified
in subparagraph (A) that it wishes to make at least 20 days before
the deadline for submission of the Recognized Obligation Payment
Schedule to the oversight board. Commitments and designations shall
not be valid and binding on any party until they are included in an
approved and valid Recognized Obligation Payment Schedule. The review
of these designations and commitments by the successor agency,
oversight board, and Department of Finance shall be limited to a
determination that the designations and commitments are consistent
with bond covenants and that there are sufficient funds available.
(2) Funds shall be used and committed in a manner consistent with
the purposes of the Low and Moderate Income Housing Asset Fund.
Notwithstanding any other law, the successor agency shall retain and
expend the excess housing obligation proceeds at the discretion of
the housing successor, provided that the successor agency ensures
that the proceeds are expended in a manner consistent with the
indebtedness obligation covenants and with any requirements relating
to the tax status of those obligations. The amount expended shall not
exceed the amount of indebtedness obligation proceeds available and
such expenditure shall constitute the creation of excess housing
proceeds expenditures to be paid from the excess proceeds. Excess
housing proceeds expenditures shall be listed separately on the
Recognized Obligation Payment Schedule submitted by the successor
agency.
(h) This section shall not be construed to provide any stream of
tax increment financing.
SEC. 2. Section 34191.4 of the Health
and Safety Code is amended to read:
34191.4. The following provisions shall apply to any successor
agency that has been issued a finding of completion by the Department
of Finance:
(a) All real property and interests in real property identified in
subparagraph (C) of paragraph (5) of subdivision (c) of Section
34179.5 shall be transferred to the Community Redevelopment Property
Trust Fund of the successor agency upon approval by the Department of
Finance of the long-range property management plan submitted by the
successor agency pursuant to subdivision (b) of Section 34191.5
unless that property is subject to the requirements of any existing
enforceable obligation.
(b) (1) Notwithstanding subdivision (d) of Section 34171, upon
application by the successor agency and approval by the oversight
board, loan agreements entered into between the redevelopment agency
and the city, county, or city and county that created the
redevelopment agency shall be deemed to be enforceable obligations
provided that the oversight board makes a finding that the loan was
for legitimate redevelopment purposes.
(2) If the oversight board finds that the loan is an enforceable
obligation, the accumulated interest on the remaining principal
amount of the loan shall be recalculated from origination at the
interest rate earned by funds deposited into the Local Agency
Investment Fund. The loan shall be repaid to the city, county, or
city and county in accordance with a defined schedule over a
reasonable term of years at an interest rate not to exceed the
interest rate earned by funds deposited into the Local Agency
Investment Fund. The annual loan repayments provided for in the
recognized obligation payment schedules shall be subject to all of
the following limitations:
(A) Loan repayments shall not be made prior to the 2013-14 fiscal
year. Beginning in the 2013-14 fiscal year, the maximum repayment
amount authorized each fiscal year for repayments made pursuant to
this subdivision and paragraph (7) (6)
of subdivision (e) of Section 34176 combined shall be equal to
one-half of the increase between the amount distributed to the taxing
entities pursuant to paragraph (4) of subdivision (a) of Section
34183 in that fiscal year and the amount distributed to taxing
entities pursuant to that paragraph in the 2012-13 base year,
provided, however, that calculation of the amount distributed to
taxing entities during the 2012-13 base year shall not include any
amounts distributed to taxing entities pursuant to the due diligence
review process established in Sections 34179.5 to 34179.8, inclusive.
Loan or deferral repayments made pursuant to this subdivision shall
be second in priority to amounts to be repaid pursuant to paragraph
(7) (6) of subdivision (e)
of Section 34176.
(B) Repayments received by the city, county, or city and county
that formed the redevelopment agency shall first be used to retire
any outstanding amounts borrowed and owed to the Low and Moderate
Income Housing Fund of the former redevelopment agency for purposes
of the Supplemental Educational Revenue Augmentation Fund and shall
be distributed to the Low and Moderate Income Housing Asset Fund
established by subdivision (d) of Section 34176.
(C) Twenty percent of any loan repayment shall be deducted from
the loan repayment amount and shall be transferred to the Low and
Moderate Income Housing Asset Fund, after all outstanding loans from
the Low and Moderate Income Housing Fund for purposes of the
Supplemental Educational Revenue Augmentation Fund have been paid.
(c) (1) Bond proceeds derived from bonds issued on or before
December 31, 2010 June 28, 2011 , shall
be used for the purposes for which the bonds were sold.
(2) (A) Notwithstanding
Section 34177.3 or any other conflicting provision of law, bond
proceeds in excess of the amounts needed to satisfy approved
enforceable obligations shall thereafter be expended in a manner
consistent with the original bond covenants. Enforceable obligations
may be satisfied by the creation of reserves for projects that are
the subject of the enforceable obligation and that are consistent
with the contractual obligations for those projects, or by expending
funds to complete the projects. An expenditure made pursuant to this
paragraph shall constitute the creation of excess bond proceeds
obligations to be paid from the excess proceeds. Excess bond proceeds
obligations shall be listed separately on the Recognized Obligation
Payment Schedule submitted by the successor agency.
(3) (A) Bond proceeds derived from bonds issued between January 1,
2011, and June 28, 2011, shall only be used for projects which meet
the following criteria, as determined by a resolution issued by the
oversight board:
(i) The project shall be consistent with the applicable regional
sustainable communities strategy or alternative planning strategy
adopted pursuant to Section 65080 of the Government Code that the
State Air Resources Board has determined would, if implemented,
achieve the greenhouse gas emission reduction targets established by
the board or, if a sustainable communities strategy is not required
for a region by law, a regional transportation plan that includes
programs and policies to reduce greenhouse gas emissions.
(ii) Two or more significant planning or implementation actions
shall have occurred on or before December 31, 2010. The term
"significant planning and implementation actions" means any of the
following:
(I) An action approved by the governing body of the city, county,
city and county, the board of the former redevelopment agency, or the
planning commission directly related to the planning or
implementation of the project.
(II) The project is included within an approved city, county, city
and county, or redevelopment agency planning document, including,
but not limited to, a redevelopment agency five-year implementation
plan, capital improvement plan, master plan, or other planning
document.
(III) The expenditure by the city, county, city and county, or
project sponsor, of more than twenty-five thousand dollars ($25,000)
on planning-related activities for the project within one fiscal
year, or fifty thousand dollars ($50,000) in total, over multiple
fiscal years.
(iii) Documentation dated on or before December 31, 2010, shall be
provided indicating the intention to finance all or a portion of the
project with the future issuance of long-term debt, or documentation
showing that the issuance of long-term redevelopment agency debt was
being planned on or before December 31, 2010.
(iv) Each construction contract over one hundred thousand dollars
($100,000) shall include a provision that prevailing wage will be
paid by the contractor and all of that contractor's subcontractors.
(v) For each construction contract over two hundred fifty thousand
dollars ($250,000), the successor agency shall require prospective
contractors to submit a standardized questionnaire and financial
statements as part of their bid package, to establish the contractor'
s financial ability and experience in performing large construction
projects.
(B) Any city, county, or city and county that funded an eligible
project, meeting the criteria listed in clauses (i) to (iii),
inclusive, of subparagraph (A) with funds other than redevelopment
funds, between June 28, 2011, and the effective date of the act
adding this paragraph, shall be eligible to be reimbursed utilizing
2011 bond proceeds, if the project meets the purpose for which the
bonds were issued.
(C) Any successor agency requesting the use of bond proceeds
derived from bonds issued between January 1, 2011, and June 28, 2011,
in accordance with subparagraphs (A) and (B), shall place that
request on its Recognized Obligation Payment Schedule. The successor
agency shall place each project on a separate Recognized Obligation
Payment Schedule line item. The successor agency shall detail in the
resolution adopting the Recognized Obligation Payment Schedule how
each project will meet the requirements in subparagraphs (A) and (B),
and all documentation showing how the project meets those shall be
attached to the resolution. The resolution adopting the Recognized
Obligation Payment Schedule, including the supporting documentation,
shall be forwarded to the Department of Finance for review and
approval or denial. Pursuant to subdivision (h) of Section 34179, the
Department of Finance may review and deny any action by the
oversight board.
(B)
(4) If remaining bond proceeds derived from bonds
issued on or before December 31, 2010, cannot be spent in a
manner consistent with the bond covenants pursuant to
subparagraph (A) paragraph (2), or if bond proceeds
derived from bonds issued between January 1, 2011, and June 28, 2011,
cannot be used for projects that met the requirements in
subparagraphs (A) and (B) of paragraph (3) , the proceeds shall
be used to defease the bonds or to purchase those same outstanding
bonds on the open market for cancellation. If only a portion of
the bonds proceeds will be used, the successor agency shall defease
or purchase bonds for cancellation in a manner that maximizes fiscal
savings.
(5) If bond proceeds derived from bonds issued between January 1,
2011, and June 28, 2011, can be used for projects that met the
requirements in subparagraphs (A) and (B) of paragraph (3), the
corresponding bonds shall be refinanced, when refinancing is allowed
according to the bond's indenture, to reduce debt service costs by
lowering interest rates according to the provisions set forth in
subdivision (a) of Section 34117.5.
SECTION 1. Section 7150.35 of the Health and
Safety Code is amended to read:
7150.35. (a) Except as otherwise provided in subdivision (g) and
subject to subdivision (f), in the absence of an express, contrary
indication by the donor, a person other than the donor is barred from
making, amending, or revoking an anatomical gift of a donor's body
or part if the donor made an anatomical gift of the donor's body or
part under Section 7150.20 or an amendment to an anatomical gift of
the donor's body or part under Section 7150.25.
(b) A donor's revocation of an anatomical gift of the donor's body
or part under Section 7150.25 is not a refusal and does not bar
another person specified in Section 7150.15 or 7150.40 from making an
anatomical gift of the donor's body or part under Section 7150.20 or
7150.45.
(c) If a person other than the donor makes an unrevoked anatomical
gift of the donor's body or part under Section 7150.20 or an
amendment to an anatomical gift of the donor's body or part under
Section 7150.25, another person may not make, amend, or revoke the
gift of the donor's body or part under Section 7150.45.
(d) A revocation of an anatomical gift of a donor's body or part
under Section 7150.25 by a person other than the donor does not bar
another person from making an anatomical gift of the body or part
under Section 7150.20 or 7150.45.
(e) In the absence of an express, contrary indication by the donor
or other person authorized to make an anatomical gift under Section
7150.15, an anatomical gift of a part is neither a refusal to give
another part nor a limitation on the making of an anatomical gift of
another part at a later time by the donor or another person.
(f) In the absence of an express, contrary indication by the donor
or other person authorized to make an anatomical gift under Section
7150.15, an anatomical gift of a part for one or more of the purposes
set forth in Section 7150.15 is not a limitation on the making of an
anatomical gift of the part for any of the other purposes by the
donor or any other person under Section 7150.20 or 7150.45.
(g) Notwithstanding subdivision (a), an individual who is between
15 and 18 years of age may make an anatomical gift for any purpose
authorized in this chapter, limit an anatomical gift to one or more
of those purposes, refuse to make an anatomical gift, or amend or
revoke an anatomical gift, only upon the written consent of the
parent or guardian. If a donor who is an unemancipated minor dies, a
parent of the donor who is reasonably available may revoke or amend
an anatomical gift of the donor's body or part.