California Redevelopment Agencies

Earlier this week, the Governor signed two trailer bills, ABX1 26 and ABX1 27 that essentially eliminated the State of California’s various redevelopment agencies (RDAs). The RDAs are are to be shut down permanently on October 1, 2011 unless the various government agencies that established the RDAs agree to reduced funding. This is expected to be challenged in court by the California Redevelopment Association and the League of California Cities on the grounds that these two trailer bills violate the State Constitution and Proposition 22.

My personal opinion, aside from the fact that I do some work that is paid out of RDAs, is that the redevelopment agencies have done a tremendous amount of good for the various cities and local agencies that utilize them throughout the state. Numerous blighted properties have been taken over, cleaned up, and returned to beneficial use. These uses include community benefits such as parks and public spaces, and as tax revenue generating commercial properties. This is still my opinion, but this is a major mistake and will lead to unchecked blight in neighborhoods and will slow the economic recovery even further.

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