16110-16113

GOVERNMENT CODE
SECTION 16110-16113




16110.  It is the purpose of this chapter to provide special
supplemental subventions to certain cities, multicounty special
districts, and redevelopment agencies which, without these
subventions, would lose substantial revenue because of the repeal of
the former personal property tax subvention programs.



16111.  (a) Out of the amount appropriated to the Controller from
the General Fund, the Controller shall allocate to each city,
multicounty special district, and redevelopment agency an amount in
accordance with the terms and conditions set forth in this section.
   (b) For each city the Controller shall determine the amount of
personal property tax subvention payments which would have been
received by the city in the 1983-84 fiscal year, but for the
operation of Section 100.7 of the Revenue and Taxation Code.
   (1) For the 1984-85 fiscal year, the Controller shall allocate to
each city an amount which is 50 percent of the amount determined
pursuant to this subdivision.
   (2) For the 1985-86 fiscal year, the Controller shall allocate to
each city an amount which is 40 percent of the amount determined
pursuant to this subdivision.
   (3) For the 1986-87 fiscal year, the Controller shall allocate to
each city an amount which is 30 percent of the amount determined
pursuant to this subdivision.
   (4) For the 1987-88 fiscal year, the Controller shall allocate to
each city an amount which is 20 percent of the amount determined
pursuant to this subdivision.
   (5) For the 1988-89 fiscal year, the Controller shall allocate to
each city an amount which is 10 percent of the amount determined
pursuant to this subdivision.
   (6) For the 1989-90 fiscal year, and each fiscal year thereafter,
the Controller shall not allocate any funds to a city pursuant to
this subdivision.
   (c) Upon, and only upon, application by a multicounty special
district or redevelopment agency, the Controller shall determine the
loss occasioned by the repeal of the former personal property tax
subvention program, as follows:
   (1) The Controller shall determine the amount of personal property
tax subventions which would have been received by the district or
redevelopment agency in the 1983-84 fiscal year, but for the
operation of Section 100.7 of the Revenue and Taxation Code.
   (2) The Controller shall determine the amount of revenue received
by the district or redevelopment agency pursuant to Section 75.70 of
the Revenue and Taxation Code for the current fiscal year.
   (3) If the amount determined pursuant to paragraph (2) is less
than the amount determined pursuant to paragraph (1), then the
Controller shall allocate to the district or redevelopment agency an
amount equal to the difference between the amounts determined
pursuant to paragraphs (1) and (2).
   (4) The Controller shall make no allocation to a district for that
fiscal year in which the amount determined pursuant to paragraph (2)
is greater than or equal to the amount determined pursuant to
paragraph (1).
   (5) The Controller shall make no allocation to a redevelopment
agency for that fiscal year in which the amount determined pursuant
to paragraph (2) is greater than or equal to the amount determined
pursuant to paragraph (1) or for any fiscal year thereafter, except
as provided in this paragraph. In any fiscal year after a fiscal year
in which the amount determined pursuant to paragraph (2) is greater
than or equal to the amount determined pursuant to paragraph (1), the
Controller shall allocate to the redevelopment agency the amount
determined pursuant to paragraph (3) less any amount by which the
amount determined pursuant to paragraph (2) is greater than the
amount determined pursuant to paragraph (1) in any previous fiscal
year.


16111.5.  (a) From the amount appropriated specifically for the
purposes of this section, for the 1984-85 fiscal year only, the
Controller shall allocate to each nonenterprise special district an
amount in accordance with the terms and conditions set forth in this
section.
   (b) Upon, and only upon, application by a nonenterprise special
district, the Controller shall determine the loss occasioned by the
repeal of the former personal property tax subvention program, as
follows:
   (1) The Controller shall determine the amount of personal property
tax subventions which would have been received by the nonenterprise
special district in the 1983-84 fiscal year, but for the operation of
Section 100.7 of the Revenue and Taxation Code.
   (2) The Controller shall determine the amount of revenue received
by the nonenterprise special district pursuant to Section 75.70 of
the Revenue and Taxation Code for the 1984-85 fiscal year.
   (3) If the amount determined pursuant to paragraph (2) is less
than the amount determined pursuant to paragraph (1), then the
Controller shall allocate to the nonenterprise special district an
amount equal to the difference between the amounts determined
pursuant to paragraphs (1) and (2).
   (4) The Controller shall make no allocation to a nonenterprise
special district if the amount determined pursuant to paragraph (2)
is greater than or equal to the amount determined pursuant to
paragraph (1).
   (c) If the amount appropriated specifically for the purpose of
this section is not sufficient to pay all the claims made pursuant to
this section, the Controller shall reduce the allocations on a pro
rata basis.
   (d) As used in this section, "nonenterprise special district"
means a special district which is not engaged in an enterprise
activity, as reported in the most recent Controller's Annual Report
on Financial Transactions of Special Districts. "Nonenterprise
special district" may include the nonenterprise activities of a
special district which is also engaged in enterprise activities.
"Nonenterprise special district" does not include a multicounty
special district as defined pursuant to Section 16113.




16112.  (a) Applications to the Controller pursuant to this chapter
shall be made in the time, format, and manner prescribed by the
Controller. Any rules or regulations adopted pursuant to this
subdivision shall not be subject to review and approval by the Office
of Administrative Law pursuant to the provisions of the
Administrative Procedure Act provided for in Chapter 3.5 (commencing
with Section 11340) of Part 1 of Division 3.
   (b) The Controller shall make payments to each nonenterprise
special district, multicounty special district, or redevelopment
agency in three installments each year. The Controller shall make one
payment on or before October 31, the second payment on or before
February 28, and the third payment on or before June 30. The
Controller shall make these payments based on claims which are based
on revenues actually received. The Controller shall pay to each city
on or before November 15 of each year the amount determined pursuant
to subdivision (b) of Section 16111.
   (c) All officers and employees of any county, city, special
district, or redevelopment agency and any state agency, board, or
commission shall furnish the Controller with any records or
information in their possession which may be necessary to assist the
Controller in carrying out the purposes and requirements of this
chapter.


16112.5.  Notwithstanding Section 16112, the Controller shall make
payments to each redevelopment agency for the 1990-91 fiscal year and
all subsequent fiscal years thereafter, pursuant to Sections 16111
and 16112.7, in two installments. The Controller shall make the first
payment on or before December 31 and the second payment on July 1.




16112.7.  Notwithstanding Sections 16111 and 16112, redevelopment
agencies shall receive state subventions for the 1990-91 fiscal year
in accordance with the following procedures:
   (a) The Department of Finance shall calculate an amount equal to
25 percent of the total amount all redevelopment agencies would
otherwise be entitled to receive in the 1990-91 fiscal year pursuant
to paragraph (3) of subdivision (c) of Section 16111.
   (b) On or before December 31, 1990, for the 1990-91 fiscal year,
the Controller shall allocate the amount calculated pursuant to
subdivision (a) to each redevelopment agency in accordance with the
percentage entitlement of the total amount that would otherwise be
allocated to that agency pursuant to paragraph (3) of subdivision (c)
of Section 16111.
   (c) The Department of Finance shall calculate an amount equal to
50 percent of the total amount all redevelopment agencies would
otherwise be entitled to receive in the 1990-91 fiscal year pursuant
to paragraph (3) of subdivision (c) of Section 16111.
   (d) On July 1, 1991, the Controller shall allocate the amount
calculated pursuant to subdivision (c) to each redevelopment agency
in accordance with the percentage entitlement of the total amount
that would otherwise be allocated to that agency pursuant to
paragraph (3) of subdivision (c) of Section 16111.
   (e) Subdivisions (a) to (d), inclusive, shall not apply to any
redevelopment agency which has stated in bond instruments and
supporting documents that the amounts received pursuant to Section
16111 are pledged as security for payment of the principal and
interest of those bonds and that the bond reserve account is
insufficient to cover the bond payments. Any redevelopment agency
within this subdivision shall, for the 1990-91 fiscal year, instead
receive two payments allocated by the Controller, with each payment
equal to 50 percent of the amount that would otherwise be allocated
to that agency pursuant to paragraph (3) of subdivision (c) of
Section 16111. The first payment pursuant to this subdivision shall
be made on or before December 31, 1990, and the second payment shall
be made on July 1, 1991. No redevelopment agency shall, on or after
the effective date of this section, pledge the amounts received
pursuant to Section 16111 as security for payment of the principal
and interest of bonds, provided, however, that the amounts received
pursuant to Section 16111 may be pledged as security for the payment
of principal of, and interest on, bonds issued to refund all or a
portion of the bonds described in the first sentence of this
subdivision if (1) the total debt service on the refunding bonds, as
calculated by an accounting firm or other verification agent selected
by the redevelopment agency, is not greater than the total debt
service on the bonds to be refunded, (2) the term of the refunding
bonds is not greater than the term of the bonds to be refunded, and
(3) the maximum amount of debt service will in no year be greater
than the maximum annual debt service on the bonds to be refunded.
   (f) Notwithstanding the prohibition contained in subdivision (e),
relating to the pledge of amounts received pursuant to Section 16111
as security for the payment of bonds, a redevelopment agency within a
city with a population of less than 20,000 which receives amounts
pursuant to Section 16111 in the 1989-90 fiscal year in excess of one
million five hundred thousand dollars ($1,500,000) but less than two
million five hundred thousand dollars ($2,500,000), may pledge
amounts received pursuant to Section 16111, which amounts shall not
be less than the amounts allocated to the agency for the 1984-85
fiscal year, as security for the payment of the principal and
interest on bonds issued prior to January 1, 1992.



16113.  As used in this chapter, "multicounty special district" has
the same meaning as that term is defined in subdivisions (c) and (d)
of Section 16271.