Bill > SB1170

This bill expands the ability of nonprofit housing developers to participate in joint powers agreements, which are contracts between two or more public agencies to jointly exercise common powers. Specifically, it allows nonprofit housing developers to enter into these agreements with public agencies for the purpose of "risk pooling," meaning they can collectively manage and share potential financial risks. The bill also clarifies that when a nonprofit housing developer is part of such an agreement, the agreement must ensure that no participating public agency is held responsible for the underlying debts or liabilities of the agreement, and that public agencies are protected from those debts. Furthermore, any revenue generated by a joint powers agreement involving nonprofit housing developers for risk pooling must be used solely for operational expenses and to provide support services like technical assistance, education, and safety engineering to members, aiming to reduce risks and improve their overall capacity. This builds upon existing law that allows various entities, including mutual water companies and public agencies, to engage in joint powers agreements for risk pooling and insurance purposes.

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260SB1170