SB 1024 Summary

• Modifies procedures for winding down dissolved redevelopment agencies by requiring successor agencies to conduct due diligence reviews to identify unobligated balances available for distribution to taxing entities by specified deadlines (October 1, 2012 for housing funds; December 15, 2012 for other funds).

• Authorizes the Department of Finance to issue a "finding of completion" to successor agencies that complete due diligence reviews and meet all requirements, which tolls the statute of limitations on legal challenges to redevelopment agency actions and allows limited post-completion activities.

• Establishes enforcement mechanisms including offsets of sales and use tax or property tax allocations to recover improperly transferred funds, with penalties and recovery procedures for successor agencies and local entities that fail to remit required amounts.

• Creates a Community Redevelopment Property Trust Fund and requires successor agencies to prepare long-range property management plans for disposition of real property assets, subject to Department of Finance approval.

• Appropriates up to $22 million from the General Fund to the Department of Finance for implementation costs and related activities.