34183.1. (a) Notwithstanding paragraph (1) of subdivision (a) of Section 34183 or any other law, a successor agency and one or more taxing entities may enter into an agreement to modify the interest owed by a former redevelopment agency under a passthrough agreement that was entered into before January 1, 1994, or owed under any successive amendment of that passthrough agreement, and which is owed as interest on passthrough payments agreed to be deferred by the taxing entity under the passthrough agreement.
(b) An agreement entered into pursuant to this section shall be subject to the following:
(1) Beginning on the effective date of the agreement entered into pursuant to this section, the interest rate for any passthrough agreement as modified pursuant to this section shall be 0 percent.
(2) The term of any passthrough agreement that is modified pursuant to this section shall not exceed 40 years from the effective date of an agreement entered into pursuant to this section.
(3) An agreement entered into pursuant to this section, in addition to modifying the interest owed on deferred passthrough payments as provided in subdivision (a), may provide for the forgiveness of the entirety or a portion of the outstanding principal amount of deferred passthrough payment owed by the former redevelopment agency to a taxing entity under the passthrough agreement.
(c) A taxing entity benefiting from the resulting modification of a passthrough agreement under this section shall not be liable for, or otherwise obligated to pay, any amount under the passthrough agreement in excess of the amount provided under the passthrough agreement, as modified in accordance with this section.
(Added by Stats. 2021, Ch. 221, Sec. 2. (SB 734) Effective January 1, 2022.)