Local government: community facilities districts: financing

The law protects a financing path for infrastructure serving developments with very low-, low-, or moderate-income housing. It applies statewide, including in charter cities.

What the law does ​

• Bars a local legislative body from abandoning a qualifying district, refusing to levy its special tax, or refusing a needed bond resolution without an evidence-based finding.
• Allows those actions only if the financing would specifically harm the public interest, make the housing unaffordable, or is unnecessary for required low-income housing density on a site identified in the local housing element.
• Covers districts initiated by unanimous landowner petition and created solely to finance specified facilities serving qualifying housing projects.
• Leaves local governments free to take other actions authorized under the community facilities district law, including modifying the resolution of intention.

Who it affects ​

• Local governments and their legislative bodies considering qualifying community facilities districts.
• Developers, landowners, and residents of projects containing very low-, low-, or moderate-income housing.