Simi Valley council approves joining statewide SCIP financing program

The Simi Valley City Council voted unanimously Tuesday to adopt Resolution No. 2025-09 authorizing the city to join the California Statewide Communities Development Authority and allow property owners access to the Statewide Community Infrastructure Program (SCIP). The resolution permits CSCDA to accept applications and, if requested by property owners, form assessment or community facilities districts to finance public infrastructure related to development.

City staff told the council the action does not obligate the city to fund projects or to assume liability; CSCDA would administer district formation, bond issuance and ongoing administration if a property owner chooses to use SCIP. "Participation in SCIP is entirely voluntary," staff said during the public hearing, and any specific project would still need to go through the city's review and approval processes.

The council heard questions from members about other financing options and consumer protections. CSCDA managing director James Hamill said SCIP provides pooled assessment and community facilities district financing intended to lower costs for smaller projects that otherwise could not afford the up-front costs of large bond financings. He described the program as a way for smaller-scale residential developers to access long-term, tax-exempt capital by placing an assessment or special tax obligation on benefited property parcels.

Councilmember Elaine Litzler asked whether there were disadvantages for the city; staff replied the city retains review authority and is protected from liability because the agency (CSCDA) issues and administers the bonds. Litzler also asked about homeowner transparency; Mr. Hamill said disclosure documents and title reports must show any assessment or special tax, and CSCDA requires developers to highlight the obligation to homebuyers as a condition of participation.

Councilmembers also discussed how assessments appear on property tax bills and whether the program could compress the city's future tax-rate flexibility. Staff said typical local practice keeps tax rates below maximum thresholds so that there is room for other future assessments.

No members of the public spoke on the item. Following the hearing, a motion to adopt the resolution passed unanimously.

The resolution allows property owners within Simi Valley to apply to CSCDA for SCIP financing; no specific projects were before the council. Any prospective uses would return to city staff for project-level review and approvals.