97.82.
(a) Notwithstanding any other provision of law, if a project is approved in a county under the Local-State Sustainable Investment Program established by Section 55850 55851 of the Government Code, for each fiscal year in which funding for the project has been approved, the county auditor
shall do both of the following:(1) Decrease the total amount of ad valorem property tax revenue that is otherwise required to be allocated to a county’s Educational Revenue Augmentation Fund by the countywide local-state sustainable investment amount.
(2) Allocate funds in the amount of the reduction described in paragraph (1) to the county’s Local-State Sustainable Investment Fund, which shall be established in the treasury of each county.
(b) The county treasurer shall transfer from the county’s Local-State Sustainable Investment Fund an amount approved pursuant to Section 55850
55851 of the Government Code into a separate account for use by an approved applicant for the purposes described in subdivision (c).
(c) An (1) Subject to paragraph (2), an applicant shall use the funds transferred by the county treasurer pursuant to this section for the following purposes: as follows:
(1)To increase
(A) At least 50 percent of the funds shall be used to increase the availability of affordable housing, meaning the predevelopment, development, acquisition, rehabilitation, and preservation of units that are affordable to households making 120 percent of area median income.
(B) Any funds not used for the purpose described in this paragraph shall be used for any of the following purposes:
(2)
(i) To increase the availability of high-quality jobs though the rehabilitation, construction, and maintenance of housing infrastructure.
(3)
(ii) To promote strong neighborhoods by supporting local community planning and engagement efforts to revitalize and restore neighborhoods, including by repairing parks and aging infrastructure.
(4)
(iii) To build public safety facilities, which shall not include correctional facilities.
(2) Notwithstanding any other provision of this section, an applicant that has taken any action, whether by the legislative body of the applicant or the electorate exercising its local initiative or referendum power, that has any of the following effects, shall use 100 percent of the funds transferred to it for housing and infrastructure that supports housing:
(A) Established or implemented any provision that:
(i) Limits the number of land use approvals or permits
necessary for the approval and construction of housing that will be issued or allocated within all or a portion of the applicant.
(ii) Acts as a cap on the number of housing units that can be approved or constructed either annually or for some other time period.
(iii) Limits the population of the applicant.
(B) Imposes a moratorium or enforces an existing moratorium on housing development, including mixed-use development, within all or a portion of the jurisdiction of the applicant, except pursuant to a zoning ordinance that complies with the requirements of Section 65858.
(C) Requires voter approval of any updates to the applicant’s
housing element to comply with Article 10.6 (commencing with Section 65580) of Chapter 3 of Division 1 of Title 7 of the Government Code, or any rezoning of sites or general plan amendment to comply with an updated housing element or Section 65863.
(D) Changes the zoning of a parcel or parcels of property to a less intensive use or reduces the intensity of land use within an existing zoning district below what was allowed under the general plan land use designation and zoning ordinances of the applicant in effect on January 1, 2018. For purposes of this subparagraph, “less intensive use” includes, but is not limited to, reductions to height, density, floor area ratio, or new or increased open space or lot size requirements, for property zoned for residential use in the applicant’s general plan or other planning document.
(E) If applicable, results in a determination by the Department of Housing and Community Development pursuant to Section 65585 of the Government Code that the applicant’s housing element is not in substantial compliance with Article 10.6 (commencing with Section 65580) of Chapter 3 of Division 1 of Title 7 of the Government Code.
(F) Violates the terms of any state housing program, including, but not limited to, those programs specified in Part 2 (commencing with Section 50400) of Division 31 of the Health and Safety Code, in which the applicant is participating.
(d) Any ad valorem property tax revenue that would have otherwise been allocated to schools had this section not been enacted shall be backfilled with moneys from the General Fund. This subdivision does
not constitute a change in, but is declaratory of existing law.
(e) This section shall not be construed to do any of the following:
(1) Reduce any allocations of excess, additional, or remaining funds that would otherwise have been allocated to county superintendents of schools, cities, counties, and cities and counties pursuant to clause (i) of subparagraph (B) of paragraph (4) of subdivision (d) of Sections 97.2 and 97.3 or Article 4 (commencing with Section 98) had this section not been enacted. The allocations otherwise required by this section shall be adjusted to comply with this paragraph.
(2) Require an increased ad valorem property tax revenue allocation or increased tax increment allocation to a community redevelopment
agency.
(3) Alter the manner in which ad valorem property tax revenue growth from fiscal year to fiscal year is otherwise determined or allocated in a county.
(4) Reduce ad valorem property tax revenue allocations required under Article 4 (commencing with Section 98).
(5) If, for the fiscal year, after complying with Section 97.68 and subparagraph (B) of paragraph (1) of subdivision (a) of Section 97.70, there is not enough ad valorem property tax revenue that is otherwise required to be allocated to a county Educational Revenue Augmentation Fund for the auditor to complete the
allocation reduction required by subdivision (a), the auditor shall additionally reduce the total amount of ad valorem property tax revenue that is otherwise required to be allocated to all school districts and community college districts in the county for that fiscal year by an amount equal to the difference between the countywide local-state sustainable investment amount and the amount of ad valorem property tax revenue that is otherwise required to be allocated to the county Educational Revenue Augmentation Fund for that fiscal year. This reduction for each school district and community college district in the county shall be the percentage share of the total reduction that is equal to the proportion that the total amount of ad valorem property tax revenue that is otherwise required to be allocated to the school district or community college district bears to the total amount of ad
valorem property tax revenue that is otherwise required to be allocated to all school districts and community college districts in a county. For purposes of this subdivision, “school districts” and “community college districts” do not include any districts that are excess tax school entities, as defined in Section 95.
(6) Any reduction in the amount of ad valorem property tax revenues deposited in the county’s Educational Revenue Augmentation Fund as a result of subdivision (a) shall be applied exclusively to reduce the amounts that are allocated from that fund to school districts and county offices of education, and shall not be applied to reduce the amounts of ad valorem property tax revenues that are otherwise required to be allocated from that fund to community college districts.
(f) The revenue allocation modifications made pursuant to subdivision (a) shall not be considered in determining, for purposes of Section 96.1, the amount of property tax revenue allocated to a jurisdiction in the prior fiscal year.
(g) For purposes of this section, the following definitions shall apply:
(1) “Applicant” means a city, a county, or a joint powers agency formed pursuant to Chapter 5 (commencing with Section 6500) of Division 7 of Title 1 of the Government Code that includes a city or county.
(2) “Countywide local-state sustainable investment amount” means the total amount of funding approved by the Department of Finance pursuant to Section 55850
55851 of the Government Code for projects within a county for a fiscal year.