How to Create a Community Revitalization and Investment Authority (CRIA)

Government Code 62000 et. seq.

  1. Municipality (City/County)
  2. Legal counsel
  3. Economic advisor

Evaluate CRIA Feasibility

  1. Define/refine boundaries that meet eligibility criteria
  2. Project property tax increment from participating taxing entities
  3. Evaluate bonding/financing capacity
  4. Identify eligible projects and programs

 

  1. At least 60% of area meets 3 of 4 blighting conditions or has annual median income less than 80% of state, county, or citywide annual median income;
  2. Census tracts/block groups within disadvantaged community;
  3. Former military base principally characterized by deteriorated or inadequate infrastructure and structures; or
  4. Sites identified pursuant to a Sustainable Communities Strategy or Alternative Planning Strategy Planning zoned to allow transit priority projects, or sites identified for housing in a local city/county’s housing element (These sites can be non-contiguous with other eligible CRIA areas).

  1. Focus on areas with significant growth potential
  2. Establish boundaries that maximize acreage and revenues

  1. Electeds
  2. Other taxing entities (negotiate MOU to form JPA)
  3. Stakeholders (property owners and residents)

 

  1. Explore projects that entice taxing entity participation (i.e. large capital improvements)
  2. Educate stakeholders – not a new tax, not a lien on property
  3. Identify property owners who will advocate for formation

  1. Select Board members
  2. If multiple taxing entities, adopt resolution approving MOU to form JPA
  3. Adopt resolution(s) consenting to CRIA and property tax contribution rate
  4. Transmit consenting resolution to county auditor-controller

Prepare Community Revitalization and Investment Plan

  1. Boundary map and legal description
  2. Determination of eligibility
  3. Goals and objectives
  4. Projects and programs
  5. Time limits to establish and repay debt

 

  1. Provide comprehensive list of projects and programs
  2. Consider Housing Element and General Plan projects
  3. TI limits should provide large buffer to minimize amendments

Community Meeting

  1. Notice of informational meeting to property owners and residents (via mail and authority website post at least 10 days prior to meeting)
  2. As an alternative to providing mailed notices prior to the informational hearing and each public hearing, the authority may instead send a comprehensive notice, containing more detailed information, including the dates of the public hearings, at least 40 days prior to the informational hearing
  3. Specified newspaper notices are required prior to the first and second public hearings
  4. Draft Plan made available to public and each property owner at an informational meeting at least 30 days prior to Notice of 1st public hearing
  5. At this informational meeting, staff shall present plan, answer questions and consider comments.
  6. Document and review comments

  1. Notice 1st Public Hearing (mail notice can be consolidated with initial PFA information meeting above, but still requires 4 weeks of newspaper noticing)
  2. Hold 1st Public Hearing at least 30 days after information meeting – No action
  3. Notice 2nd Public Hearing (mail notice can be consolidated with initial PFA information meeting above, but still requires 1 newspaper notice 10 days in advance)
  4. Hold 2nd and final Public Hearing (at least 30 days after 1st hearing) – Consider all protests and proceed as follows:
    1. If majority protests, terminate CRIA proceedings
    2. If between 25% and 50% protest, then notice and hold Protest Election
    3. If less than 25% protest, the PFA may adopt the IFP at the close of the hearing
  5. If Protest Election is held and majority votes against formation, then proceedings terminate. If majority does not vote against formation, the PFA may adopt the plan and form the CRIA

  1. Newspaper notice of 1st public hearing published once a week for four weeks. The Authority shall consider and written and oral comments and take action to modify or reject the plan.
  2. Newspaper notice of 2nd public hearing published at least 10 days prior to hearings
  3. Notice of all hearings mailed to affected property owners and residents and posted on authority website and at least 10 days prior to hearing
  4. Public Hearings held at least 30 days apart

  1. Authority Board Adopts Plan via Resolution
  2. Transmit Statement of CRIA Formation to State and County Agencies

 

THE OVERALL ADOPTION PROCESS TYPICALLY TAKES 12-18 MONTHS, HOWEVER, EVERY COMMUNITY WILL BE DIFFERENT BASED ON LOCAL POLITICAL CONSIDERATIONS AND RESOURCES

Learn more about these tools at https://caled.org/project-development-finance-pdf-division/

Click here for a PDF version of the above chart.