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AB-2385 • 2026

Local reconstruction agencies.

Local reconstruction agencies.

Taxes
Active

The official status still shows this bill as active or still awaiting another formal step.

Sponsor
Petrie-Norris
Last action
Official status
Senate - Appropriations
Effective date
Not listed

Plain English Breakdown

The official text states the agency must cease to exist by a specified date no later than 45 years from bond issuance or loan approval; it does not explicitly state this is an absolute maximum lifespan for all agencies regardless of financing, but rather ties the limit to those specific financial events.

Local Reconstruction Agencies

This law allows cities and counties to create special agencies with specific powers to coordinate rebuilding after disasters by using existing funding tools.

What This Bill Does

  • Requires disaster recovery plans to match the city or county general plan if necessary.
  • Adds intermediate recovery steps to existing short-term and long-term recovery plans.
  • Allows cities, counties, or combined entities to create a local reconstruction agency after taking certain actions following a disaster.
  • Gives these agencies power to sign contracts, sue, be sued, and accept money from public or private sources.
  • Lets the new agencies use tax division rules and issue bonds similar to climate resilience districts.
  • Requires state offices to study rebuilding needs and write model laws by January 1, 2029.

Who It Names or Affects

  • Cities, counties, city-counties, and special districts that prepare disaster recovery plans.
  • Local reconstruction agencies created under this law.
  • The Office of Land Use and Climate Innovation.
  • The Office of Emergency Services.

Terms To Know

Disaster Recovery Plan
A plan a city or county makes before a disaster to organize recovery efforts, now including intermediate steps.
Local Reconstruction Agency
An agency created by local leaders to coordinate rebuilding in areas hit by a disaster.
Climate Resilience District (CRD)
A district used to raise and allocate funding for projects that help the community handle climate risks or disasters, which can also be used for disaster recovery financing.

Limits and Unknowns

  • The local reconstruction agency must end no later than 45 years after a bond is issued or a loan is approved.
  • State offices have until January 1, 2029, to finish their assessments and guidance documents.

Bill History

  1. California Legislative Information

    Senate - Appropriations

Official Summary Text

Local reconstruction agencies.