The deal was first reported by Thursday's edition of newspaper El Caribe of Dominican Republic.
The deal is worth $23 million over four years with a fifth-year player's option worth $7 million, a source close to the negotiations confirmed for ESPNdeportes.com.
"I still have a lot of things to prove this year, I have to raise my level of play," Garcia told ESPNdeportes.com. "It will be different, we don't have Ron Artest anymore, and I am prepared because the team expects a lot from me."
Garcia, who had the best numbers of his career during the past season -- averages of 12.3 points, 1.6 assists, 1.2 steals and 3.3 rebounds -- recently arrived in the Dominican from a tour of China along with executives of the Kings franchise. Garcia will be entering his fourth season in the NBA.
"I am preparing real hard to show everyone, and especially Sacramento, that they made a sound investment," Garcia said. "I am confident that we are going to do a good job and that we are going to have a good season.
"Personally, I want to make it to the playoffs, I don't have goals such as scoring a lot of points or things like that, but I want to show people that we can win and that we are a good team."