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TITLE 5. LOCAL AGENCIES [50001 - 57607]DIVISION 2. CITIES, COUNTIES, AND OTHER AGENCIES [53000 - 55821]PART 1. POWERS AND DUTIES COMMON TO CITIES, COUNTIES, AND OTHER AGENCIES [53000 - 54999.7]CHAPTER 2.99. Enhanced Infrastructure Financing District [53398.50 - 53398.88]ARTICLE 2. Preparation and Adoption of Infrastructure Financing Plan [53398.59 - 53398.74]

§ 53398.69

Government Code §§ 53398.50–53398.88 — Enhanced Infrastructure Financing Districts · 2026 edition · updated 2026-07-29 · California

53398.69. (a) (1) At the conclusion of the hearings pursuant to Section 53398.66, the public financing authority may adopt a resolution proposing adoption of the infrastructure financing plan, as modified, and formation of the enhanced infrastructure financing district in a manner consistent with Section 53398.68, or it may adopt a resolution abandoning the proceedings. If the proceedings are abandoned, then the public financing authority shall cease to exist by operation of this section with no further action required of the legislative body and the legislative body may not enact a resolution of intention to establish a district that includes the same geographic area within one year of the date of the resolution abandoning the proceedings.

(2) In the case of an infrastructure financing plan adopted pursuant to Section 53398.75.7, the proceedings set forth in subdivision (e) of that section shall govern the adoption of the infrastructure financing plan.

(b) The infrastructure financing plan shall take effect upon the adoption of the resolution. The infrastructure financing plan shall specify if the district shall be funded solely through the district’s share of tax increment, governmental or private loans, grants, bonds, assessments, fees, or some combination thereof. However, the public financing authority shall not issue bonds or levy assessments or fees that may be included in the infrastructure financing plan before one or more of the following:

(1) The adoption of a resolution meeting the requirements of Section 53398.77, and, if applicable, subdivision (c) of Section 53398.78, to issue bonds to finance the infrastructure financing plan.

(2) Compliance with the procedures required in subdivision (f) of Section 53398.75, to levy assessments or fees to finance the infrastructure financing plan.

(c) In addition, the district may expend up to 10 percent of any accrued tax increment in the first two years of the effective date of the enhanced infrastructure financing district on planning and dissemination of information to the residents within the district’s boundaries about the infrastructure financing plan and planned activities to be funded by the district.

(Amended by Stats. 2019, Ch. 656, Sec. 5. (AB 116) Effective January 1, 2020.)

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Contents — Government Code §§ 53398.50–53398.88 — Enhanced Infrastructure Financing Districts

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