Volume 1-2026

Kosmont Financial Services

Public Finance that Supports the California Dream

Education • Housing • Infrastructure

WELCOME TO KOSMONT'S
"TIF TALK"

TIF TALK is our place to share updates on Tax Increment Financing (TIF) Districts and the evolving business of TIF.

TIF districts come in different shapes and sizes, large and small, single-jurisdiction and multi-jurisdiction, climate-oriented, infrastructure-focused, and frequently centered on economic development.

At Kosmont, we often refer to these districts as Value Capture Districts (VCDs) because they use the growth in taxes generated by private investment...to fund public priorities.

TIF TALK UPDATES

Everybody's Talking About

the New TIFs in Town!

Norwalk EIFD - Fully Formed November 2025

The City of Norwalk and County of Los Angeles formed California’s 10th multi-jurisdictional EIFD — and the fifth such partnership in Los Angeles County. The district will fund affordable housing, roadway and streetscape improvements, parks and open space, and first/last mile transit connectivity.

👉 Learn more

LA County Santa Monica Mountains DRD - Underway

Los Angeles County is advancing a Disaster Recovery District (DRD) under SB 782 to support wildfire recovery in the unincorporated Santa Monica Mountains following the Palisades Fire. The district is designed to accelerate infrastructure rebuilding and long-term recovery efforts.

👉 Learn more

Altadena Wildfire Recovery District - Implementation Ongoing

Following the Eaton Fire, Los Angeles County continues implementation of the Altadena Wildfire Recovery Infrastructure Financing District to support rebuilding and infrastructure investment.

👉 Learn more

Santa Cruz EIFD - Fully Formed February 2026

The City of Santa Cruz established its EIFD last month as the first in Santa Cruz County. The district will fund affordable housing, housing-supportive infrastructure, climate resilience investment, and other public amenities.

👉 Learn more

Lakewood EIFD - Fully Formed November 2024

The City of Lakewood and County of Los Angeles have partnered in the Lakewood EIFD to facilitate revitalization of the aging Lakewood Center Mall and other Housing Element opportunity sites along the City's primary corridors.

👉 Learn more

TIF BITS

What's Happening in the World of TIF?

Friends of Value Capture (FOVC)

SB 79 + TIF

SB 79 has raised important questions about local land use control. At the same time, TIF tools such as EIFDs and CRDs may provide cities and counties with a way to capture value from transit-oriented development and reinvest it into locally prioritized infrastructure and community amenities.

TIF can also serve as a practical framework for structuring discussions between jurisdictions and SB 79 developers.

Opportunity Zones 2.0 + TIF

As of July 2025, the federal Opportunity Zone (OZ) incentive program is permanent, with expanded eligibility for rural areas and enhanced tax incentives for qualifying investments.

Governors are expected to nominate new zones in July 2026, with designations taking effect in 2027, creating a timely opportunity for cities and counties to advocate for areas that may benefit from future designation.

Layering Opportunity Zones with TIF districts can help attract private investment while capturing long-term value for locally prioritized infrastructure and community amenities.

FOVC! - Friends of Value Capture

Reach out to Kosmont to discuss these complementary strategies.

Watch the recent OZ 2.0 webinar by the California Association for Local Economic Development (CALED): https://caled.org/opportunity-zones-2-0/

Kosmont Korner

The City of Mountain House has closed on three Special Tax Bond issues to be used to finance major in-tract infrastructure to support ongoing housing construction; enabling the City to continue its growth and provide infrastructure and community amenities quickly and efficiently.

CITY OF MOUNTAIN HOUSE

COMMUNITY FACILITIES DISTRICT NO. 2024-1 (PUBLIC FACILITIES AND SERVICES)

SPECIAL TAX BONDS, SERIES 2025

$8,750,000 Improvement Area No. 6

$6,000,000 Improvement Area No. 7

$5,805,000 Improvement Area No. 8

The City of Santa Fe Springs, a vital hub in the LA region’s industrial market, recently closed a $31.81 million financing to fund the repair and resurfacing of key industrial roads and arterial streets, along with the rehabilitation of potholes and curbsides throughout the City.

CITY OF SANTA FE SPRINGS

PUBLIC FINANCING AUTHORITY

2025 SPECIAL PARCEL TAX REVENUE BONDS

(SANTA FE SPRINGS ROAD IMPROVEMENTS)

$31,810,000

And finally...a hearty congratulations to our friends at Westside Neighborhood School (WNS) on the award of their building permit! New school occupancy expected in June 2026.

WNS issued $90 million in Education Revenue Bonds in 2024 to acquire and improve its recently purchased building in the Playa Del Rey neighborhood of Los Angeles. The approved building permit means transformation of this industrial property into a school can bring WNS one step closer to the realization of its dream to own its facilities...a dream decades in the making!