Friday, December 30, 2011

Redevelopment ruling "worst outcome"


One moral to this story:  Careful what you "hope" for in court.  Will the Legislature change the outcome? 

Justice rules
From The Daily Journal/Bill Silverfarb, 12/30/11. "Yesterday’s ruling on redevelopment agencies by the California Supreme Court signifies “the death” of RDA in the state unless the Legislature repeals the laws that led to their demise or enacts new ones, League of California Cities President Mike Kasperzak told the Daily Journal. Kasperzak, who is also the vice mayor of Mountain View, said the Legislature’s intent was never to eliminate the agencies as a way to help solve the state’s $13 billion structural deficit.

 The court ruling approved the disbandment of 400 RDAs across the state by upholding Assembly Bill X1 26. The court, however, did not uphold ABX1 27, a bill Gov. Jerry Brown signed earlier this year that would have allowed agencies to remain in operation as long as they made a payments to the state, which city officials often characterized as “ransom.” The California Redevelopment Association and League of California Cities sued the state over the legislation and had hoped the court would rule on both bills as a “package,” Kasperzak said.  

The ruling essentially kills redevelopment agencies unless the Legislature takes action, Kasperzak said. The agencies officially dissolved Oct. 26 but yesterday’s court ruling extends the deadline by four months, allowing for the agencies to “wind down.” The ruling jeopardizes a city’s ability to construct affordable housing or to transform blighted areas. The state Supreme Court’s ruling yesterday was the “worst possible outcome” for the city of San Mateo, said City Attorney Shawn Mason."  Full article. 

Posted by Kathy Meeh