37030. The Legislature finds and declares all of the following:
(a) Current justifiable needs for the acquisition of property for
environmental purposes substantially exceed state-approved bond funds
available for these purposes.
(b) The Natural Heritage Preservation Tax Credit Act of 2000
authorizes the acquisition of qualified property through donations
eligible for a credit against the personal income or bank and
corporation tax in an amount equal to 55 percent of the fair market
value of any qualified contribution.
(c) Where property owners are able to utilize this tax credit,
state acquisition costs are nearly halved.
(d) Authorizing the expenditure of bond funds to acquire property
using these tax credits will significantly expand the acquisition
power of existing bond funds.
37031. (a) For bond provisions listed in paragraphs (1) to (3),
inclusive, of subdivision (c) of Section 37032, "purpose" means
scheme and design.
(b) For bond provisions listed in paragraphs (4) to (11),
inclusive, of subdivision (c) of Section 37032, "purpose" means scope
and effect.
(c) For bond funds eligible to be used under this chapter,
pursuant to paragraph (12) of subdivision (c) of Section 37032, if
the bond act is passed by initiative, "purpose" shall be defined
pursuant to subdivision (b), but if the bond act is not passed by
initiative, "purpose" shall be defined pursuant to subdivision (a).
(d) For purposes of this chapter, "property" means property as
defined in subdivision (j) of Section 37002 that is acquired pursuant
to this division using bond funds in accordance with this chapter.
37032. (a) If a department or local government identifies property
that may be acquired pursuant to this division and determines that
the acquisition would comply with the purpose of a bond provision
listed in subdivision (c) and any applicable guidelines developed for
that bond provision by the administering agency, and all of the
requirements of this division are met and the department or local
government acquires the property pursuant to this division, the
department or local government may expend funds from the bond
provision that have been appropriated, allocated, or awarded to it,
to acquire the property using the tax credit provided by this
division.
(b) The applicable bond provisions from which a department or
local government may use bond funds to acquire property using the tax
credit provided by this division do not include grants of bond funds
distributed through a competitive process.
(c) The applicable bond provisions from which a department or
local government may expend bond funds pursuant to subdivision (a)
are the following:
(1) Section 5096.615.
(2) Subdivision (a) or (b), or paragraph (1) of subdivision (c),
of Section 5096.650.
(3) Funds under paragraph (2) of subdivision (c) of Section
5096.650 that are to be expended pursuant to paragraph (6) of
subdivision (b) of Section 31220.
(4) Section 79541 of the Water Code.
(5) Section 79542 of the Water Code.
(6) Section 79544 of the Water Code.
(7) Subdivision (e) or (f) of Section 79550 of the Water Code.
(8) Section 79565 of the Water Code.
(9) Section 79568 of the Water Code.
(10) Section 79570 of the Water Code.
(11) Section 79572 of the Water Code.
(12) Other bond funds, if the bond act specifies that its funds
may be used for the purposes of this division.
37034. (a) (1) If a department determines that property is
available for acquisition by donation, and that the acquisition of
the property would comply with the requirements of an applicable bond
provision specified in subdivision (c) of Section 37032 and any
applicable guidelines developed for that bond provision by the
administering agency, and the department believes the acquisition of
the property would comply with the requirements of this division, the
department may request the prospective donor of the property to
submit an application pursuant to Section 37010. If the prospective
donor agrees to submit that application, the department may apply for
approval of the donation pursuant to the requirements of this
division.
(2) If a local government determines that property is available
for acquisition by donation, and that the acquisition of the property
would comply with the requirements of an applicable bond provision
specified in subdivision (c) of Section 37032 and any applicable
guidelines developed for that bond provision by the administering
agency, and the local government believes that the acquisition of the
property would comply with the requirements of this division, the
local government may request the department that allocated to it the
relevant bond funds to determine whether it agrees with the local
government's determinations and beliefs made pursuant to this
paragraph. If the department agrees with the local government and
gives its approval for the acquisition with bond funds that it has
allocated to the local government, the local government may request
the prospective donor of the property to submit an application
pursuant to Section 37010. If the prospective donor agrees to submit
the application, the local government may apply for approval of the
donation pursuant to the requirements of this division.
(3) In addition to the requirements of Section 37011, the
application shall include, and shall not be accepted if it does not
include, a signed authorization by the donor, in a form and manner
mutually agreeable to the board and the Franchise Tax Board, for the
disclosure of the information necessary to make the payment as
required by subdivision (b). For purposes of subdivision (b) of
Section 1798.24 of the Civil Code, the signed authorization shall be
the donor's voluntary consent to the disclosure of the information.
(b) (1) If the board gives approval, the department or local
government may acquire the property pursuant to this division.
Through the process outlined in this section, the department shall
reimburse the General Fund for the tax credit claimed pursuant to
this chapter under Section 17053.30 or 23630 of the Revenue and
Taxation Code by transferring bond funds identified under subdivision
(c) of Section 37032 to the Natural Heritage Preservation Tax Credit
Reimbursement Account, on the basis of information provided to the
department under Section 37040 regarding credit claimed for a
qualified contribution under Section 17053.30 or 23630 of the Revenue
and Taxation Code in that tax year.
(2) If a local government applies directly to the board for
acceptance of a qualified donation, the board may provide conditional
approval for the local government to acquire the property pursuant
to this division. Through the process outlined in this section, the
local government shall reimburse the General Fund for the tax credit
claimed pursuant to this chapter under Section 17053.30 or 23630 of
the Revenue and Taxation Code by transferring funds in the full
amount of the approved tax credit to the board for deposit into the
Natural Heritage Preservation Tax Credit Reimbursement Account.
(3) (A) Upon approval by the board, and prior to the time the
department, local government, or designated nonprofit organization
receives the property, the department shall encumber bond funds
identified under subdivision (c) of Section 37032 in an amount
necessary to pay for the tax credit as provided in Section 17053.30
or 23630, as applicable, of the Revenue and Taxation Code.
(B) If a local government applies directly to the board for
acceptance of a qualified donation, and the board provides
conditional approval of the qualified donation, the local government
shall have 60 days to transfer to the board the full amount of funds
necessary to reimburse the General Fund. Upon receipt of the funds
necessary to reimburse the General Fund, the board shall provide the
donor and the local government with a notice of final approval of the
tax credit. A tax credit is not approved until such time as the
donor and local government receive a final notification from the
board that sufficient funds have been received to reimburse the
General Fund for the loss of revenue associated with the tax credit.
(C) The acquisition agreement or any other document that clearly
delineates the commitment pursuant to this division shall be the only
documentation required for the department to encumber the bond funds
as required by this paragraph.
(D) Except as prohibited by the relevant bond act, notwithstanding
Section 13340 of the Government Code or any other provision of law,
the encumbrance shall be available without regard to fiscal years to
allow payments to the Natural Heritage Preservation Tax Credit
Reimbursement Account for the tax credit due the donor of the
property under Section 17053.30 or 23630, as applicable, of the
Revenue and Taxation Code.
(4) The Franchise Tax Board shall provide the board information
pursuant to subdivision (a) of Section 19560 of the Revenue and
Taxation Code on tax credits claimed. The information shall include
the tax year for which the credit was claimed. The board shall
provide the information required by Section 37040 to the relevant
department. Upon notification that a qualified tax credit has been
claimed, the department, pursuant to paragraph (1), shall transfer
bond funds in the amount of the tax credit for that tax year to the
Natural Heritage Preservation Tax Credit Reimbursement Account within
60 days of receipt of the notification. The department shall notify
the board of this transfer.
(5) The board shall forward the information it receives pursuant
to paragraph (4) to the Controller and the Department of Finance,
which shall use the information for the purpose of attributing the
budgetary impact of the credit and bond fund transfer to the
appropriate tax and fiscal year.
37035. (a) (1) If a department determines that a designated
nonprofit organization, in lieu of the department, should accept
property that the department applies to acquire pursuant to paragraph
(1) of subdivision (a) of Section 37034, and determines that the
acceptance by the designated nonprofit organization would comply with
the purpose of the applicable bond provision specified in
subdivision (c) of Section 37032, the department may, upon that
determination and upon making the determinations and having the
belief required by paragraph (1) of subdivision (a) of Section 37034,
apply to acquire the property for that designated nonprofit
organization pursuant to this division. The department shall not make
that application until the prospective donor agrees to submit an
application pursuant to Section 37010 and paragraph (3) of
subdivision (a) of Section 37034 and the designated nonprofit
organization agrees to accept the property if it is acquired pursuant
to this division.
(2) If a local government determines that a designated nonprofit
organization, in lieu of the local government, should accept property
that the local government applies to acquire pursuant to paragraph
(2) of subdivision (a) of Section 37034, and determines that the
acceptance by the designated nonprofit organization would comply with
the purpose of the applicable bond provision specified in
subdivision (c) of Section 37032, the local government may, upon that
determination and making the determinations and having the belief
required by paragraph (2) of subdivision (a) of Section 37034,
request the department that allocated to it the relevant bond funds
to determine whether it agrees with the local government's
determinations made pursuant to this paragraph. If the department
agrees with the local government, gives its approval for the
designated nonprofit organization's acceptance of the property, and
gives its approval pursuant to paragraph (2) of subdivision (a) of
Section 37034, the local government may apply to acquire the property
for that designated nonprofit organization pursuant to this
division. The local government shall not make that application until
the prospective donor agrees to submit an application pursuant to
Section 37010 and paragraph (3) of subdivision (a) of Section 37034
and the designated nonprofit organization agrees to accept the
property if it is acquired pursuant to this division.
(b) If a department or local government applies for a designated
nonprofit organization to acquire property, pursuant to subdivision
(a), the department and donor, and the local government, if
applicable, shall comply with all requirements of this division that
apply to the department and donor, and to the local government, if
applicable, when the department or local government otherwise applies
to acquire property pursuant to this division.
(c) If a local government applies for a designated nonprofit
organization to acquire and accept donated property, the local
government shall comply with all requirements of this division that
apply to the local government transferring funds to the board
necessary to reimburse the General Fund.
37036. (a) The Natural Heritage Preservation Tax Credit
Reimbursement Account is established in the General Fund to receive
moneys paid pursuant to this chapter.
(b) Moneys in the Natural Heritage Preservation Tax Credit
Reimbursement Account shall be used only to reimburse the General
Fund as determined by the departments pursuant to paragraph (1) of
subdivision (b) of Section 37034.
(c) Upon receipt of funds in the Natural Heritage Preservation Tax
Credit Reimbursement Account and notification to the Legislature,
the Controller shall transfer, within 60 days of the notification,
the balance of the Natural Heritage Preservation Tax Credit
Reimbursement Account to the General Fund.
(d) The moneys in the Natural Heritage Preservation Tax Credit
Reimbursement Account may not be loaned to another fund and may not
accrue interest.
37038. If the board is the department that receives moneys pursuant
to any of the bond provisions listed in subdivision (c) of Section
37032 and the board wishes to use those bond funds to acquire
property pursuant to this division using those bond funds, the board
shall make separate determinations regarding whether the acquisition
of that property would comply with the purpose of the applicable bond
provision and any applicable guidelines developed for that bond
provision by the administering agency, and whether the acquisition
would comply with the requirements of this division.
37040. (a) The board shall notify the Controller, the Treasurer,
and the relevant department of the information listed in subdivision
(b) after the board receives notification from the Franchise Tax
Board pursuant to Section 19560 of the Revenue and Taxation Code that
a person is claiming a tax credit under this chapter.
(b) The board shall provide all of the following information:
(1) The bond fund and specific provision of the bond act under
which the credit is being claimed.
(2) The project name, appropriation under which the credit was
encumbered, and, if applicable, the related local government.
(3) The department that will transfer the appropriate bond funds
to the Natural Heritage Preservation Tax Credit Reimbursement
Account.
(4) The amount of the tax credit for that tax year.
37042. The Legislature finds and declares that the expenditure of
bond funds pursuant to this chapter does not constitute the use of
bond proceeds or other indebtedness to pay a year-end state budget
deficit, as prohibited by subdivision (c) of Section 1.3 of Article
XVI of the California Constitution.
37030. The Legislature finds and declares all of the following:
(a) Current justifiable needs for the acquisition of property for
environmental purposes substantially exceed state-approved bond funds
available for these purposes.
(b) The Natural Heritage Preservation Tax Credit Act of 2000
authorizes the acquisition of qualified property through donations
eligible for a credit against the personal income or bank and
corporation tax in an amount equal to 55 percent of the fair market
value of any qualified contribution.
(c) Where property owners are able to utilize this tax credit,
state acquisition costs are nearly halved.
(d) Authorizing the expenditure of bond funds to acquire property
using these tax credits will significantly expand the acquisition
power of existing bond funds.
37031. (a) For bond provisions listed in paragraphs (1) to (3),
inclusive, of subdivision (c) of Section 37032, "purpose" means
scheme and design.
(b) For bond provisions listed in paragraphs (4) to (11),
inclusive, of subdivision (c) of Section 37032, "purpose" means scope
and effect.
(c) For bond funds eligible to be used under this chapter,
pursuant to paragraph (12) of subdivision (c) of Section 37032, if
the bond act is passed by initiative, "purpose" shall be defined
pursuant to subdivision (b), but if the bond act is not passed by
initiative, "purpose" shall be defined pursuant to subdivision (a).
(d) For purposes of this chapter, "property" means property as
defined in subdivision (j) of Section 37002 that is acquired pursuant
to this division using bond funds in accordance with this chapter.
37032. (a) If a department or local government identifies property
that may be acquired pursuant to this division and determines that
the acquisition would comply with the purpose of a bond provision
listed in subdivision (c) and any applicable guidelines developed for
that bond provision by the administering agency, and all of the
requirements of this division are met and the department or local
government acquires the property pursuant to this division, the
department or local government may expend funds from the bond
provision that have been appropriated, allocated, or awarded to it,
to acquire the property using the tax credit provided by this
division.
(b) The applicable bond provisions from which a department or
local government may use bond funds to acquire property using the tax
credit provided by this division do not include grants of bond funds
distributed through a competitive process.
(c) The applicable bond provisions from which a department or
local government may expend bond funds pursuant to subdivision (a)
are the following:
(1) Section 5096.615.
(2) Subdivision (a) or (b), or paragraph (1) of subdivision (c),
of Section 5096.650.
(3) Funds under paragraph (2) of subdivision (c) of Section
5096.650 that are to be expended pursuant to paragraph (6) of
subdivision (b) of Section 31220.
(4) Section 79541 of the Water Code.
(5) Section 79542 of the Water Code.
(6) Section 79544 of the Water Code.
(7) Subdivision (e) or (f) of Section 79550 of the Water Code.
(8) Section 79565 of the Water Code.
(9) Section 79568 of the Water Code.
(10) Section 79570 of the Water Code.
(11) Section 79572 of the Water Code.
(12) Other bond funds, if the bond act specifies that its funds
may be used for the purposes of this division.
37034. (a) (1) If a department determines that property is
available for acquisition by donation, and that the acquisition of
the property would comply with the requirements of an applicable bond
provision specified in subdivision (c) of Section 37032 and any
applicable guidelines developed for that bond provision by the
administering agency, and the department believes the acquisition of
the property would comply with the requirements of this division, the
department may request the prospective donor of the property to
submit an application pursuant to Section 37010. If the prospective
donor agrees to submit that application, the department may apply for
approval of the donation pursuant to the requirements of this
division.
(2) If a local government determines that property is available
for acquisition by donation, and that the acquisition of the property
would comply with the requirements of an applicable bond provision
specified in subdivision (c) of Section 37032 and any applicable
guidelines developed for that bond provision by the administering
agency, and the local government believes that the acquisition of the
property would comply with the requirements of this division, the
local government may request the department that allocated to it the
relevant bond funds to determine whether it agrees with the local
government's determinations and beliefs made pursuant to this
paragraph. If the department agrees with the local government and
gives its approval for the acquisition with bond funds that it has
allocated to the local government, the local government may request
the prospective donor of the property to submit an application
pursuant to Section 37010. If the prospective donor agrees to submit
the application, the local government may apply for approval of the
donation pursuant to the requirements of this division.
(3) In addition to the requirements of Section 37011, the
application shall include, and shall not be accepted if it does not
include, a signed authorization by the donor, in a form and manner
mutually agreeable to the board and the Franchise Tax Board, for the
disclosure of the information necessary to make the payment as
required by subdivision (b). For purposes of subdivision (b) of
Section 1798.24 of the Civil Code, the signed authorization shall be
the donor's voluntary consent to the disclosure of the information.
(b) (1) If the board gives approval, the department or local
government may acquire the property pursuant to this division.
Through the process outlined in this section, the department shall
reimburse the General Fund for the tax credit claimed pursuant to
this chapter under Section 17053.30 or 23630 of the Revenue and
Taxation Code by transferring bond funds identified under subdivision
(c) of Section 37032 to the Natural Heritage Preservation Tax Credit
Reimbursement Account, on the basis of information provided to the
department under Section 37040 regarding credit claimed for a
qualified contribution under Section 17053.30 or 23630 of the Revenue
and Taxation Code in that tax year.
(2) If a local government applies directly to the board for
acceptance of a qualified donation, the board may provide conditional
approval for the local government to acquire the property pursuant
to this division. Through the process outlined in this section, the
local government shall reimburse the General Fund for the tax credit
claimed pursuant to this chapter under Section 17053.30 or 23630 of
the Revenue and Taxation Code by transferring funds in the full
amount of the approved tax credit to the board for deposit into the
Natural Heritage Preservation Tax Credit Reimbursement Account.
(3) (A) Upon approval by the board, and prior to the time the
department, local government, or designated nonprofit organization
receives the property, the department shall encumber bond funds
identified under subdivision (c) of Section 37032 in an amount
necessary to pay for the tax credit as provided in Section 17053.30
or 23630, as applicable, of the Revenue and Taxation Code.
(B) If a local government applies directly to the board for
acceptance of a qualified donation, and the board provides
conditional approval of the qualified donation, the local government
shall have 60 days to transfer to the board the full amount of funds
necessary to reimburse the General Fund. Upon receipt of the funds
necessary to reimburse the General Fund, the board shall provide the
donor and the local government with a notice of final approval of the
tax credit. A tax credit is not approved until such time as the
donor and local government receive a final notification from the
board that sufficient funds have been received to reimburse the
General Fund for the loss of revenue associated with the tax credit.
(C) The acquisition agreement or any other document that clearly
delineates the commitment pursuant to this division shall be the only
documentation required for the department to encumber the bond funds
as required by this paragraph.
(D) Except as prohibited by the relevant bond act, notwithstanding
Section 13340 of the Government Code or any other provision of law,
the encumbrance shall be available without regard to fiscal years to
allow payments to the Natural Heritage Preservation Tax Credit
Reimbursement Account for the tax credit due the donor of the
property under Section 17053.30 or 23630, as applicable, of the
Revenue and Taxation Code.
(4) The Franchise Tax Board shall provide the board information
pursuant to subdivision (a) of Section 19560 of the Revenue and
Taxation Code on tax credits claimed. The information shall include
the tax year for which the credit was claimed. The board shall
provide the information required by Section 37040 to the relevant
department. Upon notification that a qualified tax credit has been
claimed, the department, pursuant to paragraph (1), shall transfer
bond funds in the amount of the tax credit for that tax year to the
Natural Heritage Preservation Tax Credit Reimbursement Account within
60 days of receipt of the notification. The department shall notify
the board of this transfer.
(5) The board shall forward the information it receives pursuant
to paragraph (4) to the Controller and the Department of Finance,
which shall use the information for the purpose of attributing the
budgetary impact of the credit and bond fund transfer to the
appropriate tax and fiscal year.
37035. (a) (1) If a department determines that a designated
nonprofit organization, in lieu of the department, should accept
property that the department applies to acquire pursuant to paragraph
(1) of subdivision (a) of Section 37034, and determines that the
acceptance by the designated nonprofit organization would comply with
the purpose of the applicable bond provision specified in
subdivision (c) of Section 37032, the department may, upon that
determination and upon making the determinations and having the
belief required by paragraph (1) of subdivision (a) of Section 37034,
apply to acquire the property for that designated nonprofit
organization pursuant to this division. The department shall not make
that application until the prospective donor agrees to submit an
application pursuant to Section 37010 and paragraph (3) of
subdivision (a) of Section 37034 and the designated nonprofit
organization agrees to accept the property if it is acquired pursuant
to this division.
(2) If a local government determines that a designated nonprofit
organization, in lieu of the local government, should accept property
that the local government applies to acquire pursuant to paragraph
(2) of subdivision (a) of Section 37034, and determines that the
acceptance by the designated nonprofit organization would comply with
the purpose of the applicable bond provision specified in
subdivision (c) of Section 37032, the local government may, upon that
determination and making the determinations and having the belief
required by paragraph (2) of subdivision (a) of Section 37034,
request the department that allocated to it the relevant bond funds
to determine whether it agrees with the local government's
determinations made pursuant to this paragraph. If the department
agrees with the local government, gives its approval for the
designated nonprofit organization's acceptance of the property, and
gives its approval pursuant to paragraph (2) of subdivision (a) of
Section 37034, the local government may apply to acquire the property
for that designated nonprofit organization pursuant to this
division. The local government shall not make that application until
the prospective donor agrees to submit an application pursuant to
Section 37010 and paragraph (3) of subdivision (a) of Section 37034
and the designated nonprofit organization agrees to accept the
property if it is acquired pursuant to this division.
(b) If a department or local government applies for a designated
nonprofit organization to acquire property, pursuant to subdivision
(a), the department and donor, and the local government, if
applicable, shall comply with all requirements of this division that
apply to the department and donor, and to the local government, if
applicable, when the department or local government otherwise applies
to acquire property pursuant to this division.
(c) If a local government applies for a designated nonprofit
organization to acquire and accept donated property, the local
government shall comply with all requirements of this division that
apply to the local government transferring funds to the board
necessary to reimburse the General Fund.
37036. (a) The Natural Heritage Preservation Tax Credit
Reimbursement Account is established in the General Fund to receive
moneys paid pursuant to this chapter.
(b) Moneys in the Natural Heritage Preservation Tax Credit
Reimbursement Account shall be used only to reimburse the General
Fund as determined by the departments pursuant to paragraph (1) of
subdivision (b) of Section 37034.
(c) Upon receipt of funds in the Natural Heritage Preservation Tax
Credit Reimbursement Account and notification to the Legislature,
the Controller shall transfer, within 60 days of the notification,
the balance of the Natural Heritage Preservation Tax Credit
Reimbursement Account to the General Fund.
(d) The moneys in the Natural Heritage Preservation Tax Credit
Reimbursement Account may not be loaned to another fund and may not
accrue interest.
37038. If the board is the department that receives moneys pursuant
to any of the bond provisions listed in subdivision (c) of Section
37032 and the board wishes to use those bond funds to acquire
property pursuant to this division using those bond funds, the board
shall make separate determinations regarding whether the acquisition
of that property would comply with the purpose of the applicable bond
provision and any applicable guidelines developed for that bond
provision by the administering agency, and whether the acquisition
would comply with the requirements of this division.
37040. (a) The board shall notify the Controller, the Treasurer,
and the relevant department of the information listed in subdivision
(b) after the board receives notification from the Franchise Tax
Board pursuant to Section 19560 of the Revenue and Taxation Code that
a person is claiming a tax credit under this chapter.
(b) The board shall provide all of the following information:
(1) The bond fund and specific provision of the bond act under
which the credit is being claimed.
(2) The project name, appropriation under which the credit was
encumbered, and, if applicable, the related local government.
(3) The department that will transfer the appropriate bond funds
to the Natural Heritage Preservation Tax Credit Reimbursement
Account.
(4) The amount of the tax credit for that tax year.
37042. The Legislature finds and declares that the expenditure of
bond funds pursuant to this chapter does not constitute the use of
bond proceeds or other indebtedness to pay a year-end state budget
deficit, as prohibited by subdivision (c) of Section 1.3 of Article
XVI of the California Constitution.
37030. The Legislature finds and declares all of the following:
(a) Current justifiable needs for the acquisition of property for
environmental purposes substantially exceed state-approved bond funds
available for these purposes.
(b) The Natural Heritage Preservation Tax Credit Act of 2000
authorizes the acquisition of qualified property through donations
eligible for a credit against the personal income or bank and
corporation tax in an amount equal to 55 percent of the fair market
value of any qualified contribution.
(c) Where property owners are able to utilize this tax credit,
state acquisition costs are nearly halved.
(d) Authorizing the expenditure of bond funds to acquire property
using these tax credits will significantly expand the acquisition
power of existing bond funds.
37031. (a) For bond provisions listed in paragraphs (1) to (3),
inclusive, of subdivision (c) of Section 37032, "purpose" means
scheme and design.
(b) For bond provisions listed in paragraphs (4) to (11),
inclusive, of subdivision (c) of Section 37032, "purpose" means scope
and effect.
(c) For bond funds eligible to be used under this chapter,
pursuant to paragraph (12) of subdivision (c) of Section 37032, if
the bond act is passed by initiative, "purpose" shall be defined
pursuant to subdivision (b), but if the bond act is not passed by
initiative, "purpose" shall be defined pursuant to subdivision (a).
(d) For purposes of this chapter, "property" means property as
defined in subdivision (j) of Section 37002 that is acquired pursuant
to this division using bond funds in accordance with this chapter.
37032. (a) If a department or local government identifies property
that may be acquired pursuant to this division and determines that
the acquisition would comply with the purpose of a bond provision
listed in subdivision (c) and any applicable guidelines developed for
that bond provision by the administering agency, and all of the
requirements of this division are met and the department or local
government acquires the property pursuant to this division, the
department or local government may expend funds from the bond
provision that have been appropriated, allocated, or awarded to it,
to acquire the property using the tax credit provided by this
division.
(b) The applicable bond provisions from which a department or
local government may use bond funds to acquire property using the tax
credit provided by this division do not include grants of bond funds
distributed through a competitive process.
(c) The applicable bond provisions from which a department or
local government may expend bond funds pursuant to subdivision (a)
are the following:
(1) Section 5096.615.
(2) Subdivision (a) or (b), or paragraph (1) of subdivision (c),
of Section 5096.650.
(3) Funds under paragraph (2) of subdivision (c) of Section
5096.650 that are to be expended pursuant to paragraph (6) of
subdivision (b) of Section 31220.
(4) Section 79541 of the Water Code.
(5) Section 79542 of the Water Code.
(6) Section 79544 of the Water Code.
(7) Subdivision (e) or (f) of Section 79550 of the Water Code.
(8) Section 79565 of the Water Code.
(9) Section 79568 of the Water Code.
(10) Section 79570 of the Water Code.
(11) Section 79572 of the Water Code.
(12) Other bond funds, if the bond act specifies that its funds
may be used for the purposes of this division.
37034. (a) (1) If a department determines that property is
available for acquisition by donation, and that the acquisition of
the property would comply with the requirements of an applicable bond
provision specified in subdivision (c) of Section 37032 and any
applicable guidelines developed for that bond provision by the
administering agency, and the department believes the acquisition of
the property would comply with the requirements of this division, the
department may request the prospective donor of the property to
submit an application pursuant to Section 37010. If the prospective
donor agrees to submit that application, the department may apply for
approval of the donation pursuant to the requirements of this
division.
(2) If a local government determines that property is available
for acquisition by donation, and that the acquisition of the property
would comply with the requirements of an applicable bond provision
specified in subdivision (c) of Section 37032 and any applicable
guidelines developed for that bond provision by the administering
agency, and the local government believes that the acquisition of the
property would comply with the requirements of this division, the
local government may request the department that allocated to it the
relevant bond funds to determine whether it agrees with the local
government's determinations and beliefs made pursuant to this
paragraph. If the department agrees with the local government and
gives its approval for the acquisition with bond funds that it has
allocated to the local government, the local government may request
the prospective donor of the property to submit an application
pursuant to Section 37010. If the prospective donor agrees to submit
the application, the local government may apply for approval of the
donation pursuant to the requirements of this division.
(3) In addition to the requirements of Section 37011, the
application shall include, and shall not be accepted if it does not
include, a signed authorization by the donor, in a form and manner
mutually agreeable to the board and the Franchise Tax Board, for the
disclosure of the information necessary to make the payment as
required by subdivision (b). For purposes of subdivision (b) of
Section 1798.24 of the Civil Code, the signed authorization shall be
the donor's voluntary consent to the disclosure of the information.
(b) (1) If the board gives approval, the department or local
government may acquire the property pursuant to this division.
Through the process outlined in this section, the department shall
reimburse the General Fund for the tax credit claimed pursuant to
this chapter under Section 17053.30 or 23630 of the Revenue and
Taxation Code by transferring bond funds identified under subdivision
(c) of Section 37032 to the Natural Heritage Preservation Tax Credit
Reimbursement Account, on the basis of information provided to the
department under Section 37040 regarding credit claimed for a
qualified contribution under Section 17053.30 or 23630 of the Revenue
and Taxation Code in that tax year.
(2) If a local government applies directly to the board for
acceptance of a qualified donation, the board may provide conditional
approval for the local government to acquire the property pursuant
to this division. Through the process outlined in this section, the
local government shall reimburse the General Fund for the tax credit
claimed pursuant to this chapter under Section 17053.30 or 23630 of
the Revenue and Taxation Code by transferring funds in the full
amount of the approved tax credit to the board for deposit into the
Natural Heritage Preservation Tax Credit Reimbursement Account.
(3) (A) Upon approval by the board, and prior to the time the
department, local government, or designated nonprofit organization
receives the property, the department shall encumber bond funds
identified under subdivision (c) of Section 37032 in an amount
necessary to pay for the tax credit as provided in Section 17053.30
or 23630, as applicable, of the Revenue and Taxation Code.
(B) If a local government applies directly to the board for
acceptance of a qualified donation, and the board provides
conditional approval of the qualified donation, the local government
shall have 60 days to transfer to the board the full amount of funds
necessary to reimburse the General Fund. Upon receipt of the funds
necessary to reimburse the General Fund, the board shall provide the
donor and the local government with a notice of final approval of the
tax credit. A tax credit is not approved until such time as the
donor and local government receive a final notification from the
board that sufficient funds have been received to reimburse the
General Fund for the loss of revenue associated with the tax credit.
(C) The acquisition agreement or any other document that clearly
delineates the commitment pursuant to this division shall be the only
documentation required for the department to encumber the bond funds
as required by this paragraph.
(D) Except as prohibited by the relevant bond act, notwithstanding
Section 13340 of the Government Code or any other provision of law,
the encumbrance shall be available without regard to fiscal years to
allow payments to the Natural Heritage Preservation Tax Credit
Reimbursement Account for the tax credit due the donor of the
property under Section 17053.30 or 23630, as applicable, of the
Revenue and Taxation Code.
(4) The Franchise Tax Board shall provide the board information
pursuant to subdivision (a) of Section 19560 of the Revenue and
Taxation Code on tax credits claimed. The information shall include
the tax year for which the credit was claimed. The board shall
provide the information required by Section 37040 to the relevant
department. Upon notification that a qualified tax credit has been
claimed, the department, pursuant to paragraph (1), shall transfer
bond funds in the amount of the tax credit for that tax year to the
Natural Heritage Preservation Tax Credit Reimbursement Account within
60 days of receipt of the notification. The department shall notify
the board of this transfer.
(5) The board shall forward the information it receives pursuant
to paragraph (4) to the Controller and the Department of Finance,
which shall use the information for the purpose of attributing the
budgetary impact of the credit and bond fund transfer to the
appropriate tax and fiscal year.
37035. (a) (1) If a department determines that a designated
nonprofit organization, in lieu of the department, should accept
property that the department applies to acquire pursuant to paragraph
(1) of subdivision (a) of Section 37034, and determines that the
acceptance by the designated nonprofit organization would comply with
the purpose of the applicable bond provision specified in
subdivision (c) of Section 37032, the department may, upon that
determination and upon making the determinations and having the
belief required by paragraph (1) of subdivision (a) of Section 37034,
apply to acquire the property for that designated nonprofit
organization pursuant to this division. The department shall not make
that application until the prospective donor agrees to submit an
application pursuant to Section 37010 and paragraph (3) of
subdivision (a) of Section 37034 and the designated nonprofit
organization agrees to accept the property if it is acquired pursuant
to this division.
(2) If a local government determines that a designated nonprofit
organization, in lieu of the local government, should accept property
that the local government applies to acquire pursuant to paragraph
(2) of subdivision (a) of Section 37034, and determines that the
acceptance by the designated nonprofit organization would comply with
the purpose of the applicable bond provision specified in
subdivision (c) of Section 37032, the local government may, upon that
determination and making the determinations and having the belief
required by paragraph (2) of subdivision (a) of Section 37034,
request the department that allocated to it the relevant bond funds
to determine whether it agrees with the local government's
determinations made pursuant to this paragraph. If the department
agrees with the local government, gives its approval for the
designated nonprofit organization's acceptance of the property, and
gives its approval pursuant to paragraph (2) of subdivision (a) of
Section 37034, the local government may apply to acquire the property
for that designated nonprofit organization pursuant to this
division. The local government shall not make that application until
the prospective donor agrees to submit an application pursuant to
Section 37010 and paragraph (3) of subdivision (a) of Section 37034
and the designated nonprofit organization agrees to accept the
property if it is acquired pursuant to this division.
(b) If a department or local government applies for a designated
nonprofit organization to acquire property, pursuant to subdivision
(a), the department and donor, and the local government, if
applicable, shall comply with all requirements of this division that
apply to the department and donor, and to the local government, if
applicable, when the department or local government otherwise applies
to acquire property pursuant to this division.
(c) If a local government applies for a designated nonprofit
organization to acquire and accept donated property, the local
government shall comply with all requirements of this division that
apply to the local government transferring funds to the board
necessary to reimburse the General Fund.
37036. (a) The Natural Heritage Preservation Tax Credit
Reimbursement Account is established in the General Fund to receive
moneys paid pursuant to this chapter.
(b) Moneys in the Natural Heritage Preservation Tax Credit
Reimbursement Account shall be used only to reimburse the General
Fund as determined by the departments pursuant to paragraph (1) of
subdivision (b) of Section 37034.
(c) Upon receipt of funds in the Natural Heritage Preservation Tax
Credit Reimbursement Account and notification to the Legislature,
the Controller shall transfer, within 60 days of the notification,
the balance of the Natural Heritage Preservation Tax Credit
Reimbursement Account to the General Fund.
(d) The moneys in the Natural Heritage Preservation Tax Credit
Reimbursement Account may not be loaned to another fund and may not
accrue interest.
37038. If the board is the department that receives moneys pursuant
to any of the bond provisions listed in subdivision (c) of Section
37032 and the board wishes to use those bond funds to acquire
property pursuant to this division using those bond funds, the board
shall make separate determinations regarding whether the acquisition
of that property would comply with the purpose of the applicable bond
provision and any applicable guidelines developed for that bond
provision by the administering agency, and whether the acquisition
would comply with the requirements of this division.
37040. (a) The board shall notify the Controller, the Treasurer,
and the relevant department of the information listed in subdivision
(b) after the board receives notification from the Franchise Tax
Board pursuant to Section 19560 of the Revenue and Taxation Code that
a person is claiming a tax credit under this chapter.
(b) The board shall provide all of the following information:
(1) The bond fund and specific provision of the bond act under
which the credit is being claimed.
(2) The project name, appropriation under which the credit was
encumbered, and, if applicable, the related local government.
(3) The department that will transfer the appropriate bond funds
to the Natural Heritage Preservation Tax Credit Reimbursement
Account.
(4) The amount of the tax credit for that tax year.
37042. The Legislature finds and declares that the expenditure of
bond funds pursuant to this chapter does not constitute the use of
bond proceeds or other indebtedness to pay a year-end state budget
deficit, as prohibited by subdivision (c) of Section 1.3 of Article
XVI of the California Constitution.
