SB 863 Summary

• Authorizes counties from January 1, 2011 through January 1, 2015 to reduce Williamson Act contract terms from 10 years to 9 years (or 20 years to 18 years) when state reimbursement payments fall below 50% of counties' actual foregone property tax revenue, with landowners allowed to choose nonrenewal instead.

• Appropriates $10,000,000 from the General Fund to the Controller for the 2010-11 fiscal year to make subvention payments to counties for agricultural land tax losses.

• Eliminates the tax increment dollar limit for the Centre City Redevelopment Project of the City of San Diego, allowing the redevelopment agency to receive unlimited tax increment revenue from that project area.

• Exempts redevelopment agencies from penalties and additional housing fund allocation requirements if they fail to make required remittances to county education funds, provided specific conditions are met including a county tax increment reduction of at least 20% and an agreement with the Department of Finance to repay amounts due.

• Declares the act an urgency statute effective immediately and provides that Chapter 391 of the Statutes of 2010 shall not become effective if this bill is enacted.