CA SB563

Removes requirements that enhanced infrastructure financing districts be within one-half mile of major transit stops and have boundaries coterminous with the city or county establishing them.

Requires 20 percent of district funds for homelessness prevention programs or affordable housing within one-half mile of transit stops for households below 60 percent of area median income, and another 20 percent for households below 30 percent of area median income or permanent supportive housing.

Prohibits projects receiving district financing from demolishing residential units unless the project creates at least as many units or provides relocation assistance and right of first refusal to displaced occupants.

Requires projects receiving district financing to use a skilled and trained workforce, with penalties of $10,000 per month for developers failing to provide monthly compliance reports and $200 per day for workers violating workforce requirements.

Establishes state matching fund program through the Department of Housing and Community Development for districts formed by cities and counties, with annual disbursements up to one-half the local contribution, and adds compliance requirements including housing elements in substantial compliance with state law and restrictions on growth limitations.