CA SB1260

Eliminates the requirement that infrastructure financing districts set aside 20% of constructed dwelling units for low- and moderate-income housing.

Requires districts to dedicate at least 25% of allocated tax increment revenues for affordable housing purposes in accordance with Community Redevelopment Law provisions.

Mandates districts ensure housing units occupied by extremely low, very low, and low-income households are not reduced during the district's effective period and replaced within 2 years if removed.

Requires at least 20% of all new and substantially rehabilitated dwelling units in the district be available at affordable cost to low- and moderate-income households, with at least 40% of those units affordable to very low-income households.

Mandates districts contract for independent financial and performance audits every 5 years, with the Controller reviewing compliance plans if affordable housing requirements are not met.