AB 2945 - Reconnecting Communities Redevelopment Act

• Authorizes cities or counties to establish reconnecting communities investment agencies to finance infrastructure projects centered around highways, with formation requiring city/county resolution, public hearing, affected taxing entity consultation, and Strategic Growth Council approval based on greenhouse gas reduction goals.

• Agencies may finance reconnecting communities infrastructure (highway improvements, lids, tunnels), water facilities, childcare, libraries, parks, environmental mitigation, affordable housing, transit projects, and port infrastructure through tax increment revenues and bonds.

• Requires not less than 30% of tax increment allocated to agencies be deposited into a separate fund exclusively for increasing, improving, and preserving low- and moderate-income housing at affordable costs.

• Establishes passthrough provisions requiring agencies to pay affected taxing entities amounts equivalent to what they would have received in tax revenue, excluding school districts and the city/county that formed the agency.

• Agencies must adopt annual budgets, maintain detailed records for 15 years, submit annual audit reports to the Controller and Department of Housing and Community Development, with violations subject to $10,000 civil penalties.