(a) For purposes of this section, “infrastructural barrier” means a state highway for which high speeds, grade separation, or other design factors displaced residences or create an obstacle to connectivity, including any of the following:

1. (1) Obstacles to walking, biking, or mobility.
2. (2) Diminished access to destinations across the infrastructural barrier.
3. (3) Barriers to the economic development of the surrounding neighborhood.

(c) A relinquishment pursuant to subdivision (b) may only occur if all of the following conditions are met:

1. (1) The portion of the state highway is located within the territorial limits of the city or county entering into the agreement.
2. (2) The commission determines the relinquishment is in the best interest of the state.
3. (3) The commission holds a public hearing on the proposed relinquishment to solicit input from the public.
4. (4) The purposes of the relinquishment are for restorative economic and social justice, including, but not limited to, transit-oriented development, affordable housing for low- and moderate- income people, green space, or active transportation infrastructure.
5. (5) The infrastructural barrier shall be removed or retrofit in a manner that enhances community connectivity and that is sensitive to the context of the surrounding community. The retrofit of the infrastructural barrier may include, but is not limited to, placing a freeway cap on the infrastructural barrier or replacing the infrastructural barrier with an at-grade arterial roadway.
6. (6) Any land made available by the removal or retrofit of the infrastructural barrier shall be redeveloped for the purposes specified in paragraph (4) with a focus on implementing improvements that will benefit the populations impacted by or previously displaced by the infrastructural barrier.
7. (7) A part of the relinquished portion of the state highway shall be used for transportation purposes to ensure the continuity of traffic flow.
8. (8) The relinquishment is consistent with federal law and regulations and does not require reimbursement to the federal government of any federal funding.
9. (9) The relinquishment is consistent with Article XIX of the California Constitution.

10. (10) The city or county determines that the construction of the infrastructural barrier had a significant impact on a disadvantaged community. An impact is significant if all of the following criteria are met:

    1. (A) There was a disproportionate impact on the disadvantaged community, including, but not limited to, creating obstacles to mobility or economic development or exposing the disadvantaged community to high levels of particulate matter, noise pollution, or other public health and safety risks.
    2. (B) A causal connection exists between the construction of the infrastructural barrier and the disproportionate impact.
    3. (C) The construction lacks a substantial legitimate justification for the disproportionate impact and a reasonable nondiscriminatory alternative could not be identified.

(e) On and after the effective date of the relinquishment pursuant to this section, all of the following shall occur:

1. (1) The relinquished portion of state highway shall cease to be a state highway.
2. (2) The relinquished portion of state highway shall be ineligible for future adoption under Section 81.