Recent Redevelopment News and Analysis

This is the fourth in a series of blog entries monitoring the proposed elimination of redevelopment agencies.

By Michael Kiely and Phillip Tate

True to their promise, the California Redevelopment Association, or CRA, and the California League of Cities, or CLC, petitioned the California Supreme Court on July 15, 2011 for a writ of mandate challenging the Legislature’s adoption of ABX1 26, providing for elimination of California redevelopment agencies (RDAs), and ABX1 27, exempting from elimination any RDA that agrees to make its share of a $1.7 billion voluntary contribution of its revenues to other local government needs.[1] The CRA also asked the Court to implement a temporary stay of ABX1 26 and 27 pending the outcome of the litigation. Separately, 10 Southern California cities and their redevelopment agencies[2] filed a complaint for declaratory and injunctive relief and a petition for a writ of mandate with the Superior Court for Sacramento County on September 26, 2011.


Continue Reading Update On Redevelopment Law: Litigation Proceeds – Uncertainty Continues

This is the third in a series of blog entries monitoring the proposed elimination of redevelopment agencies.

By Michael Kiely

Governor Jerry Brown has approved the "all cuts" 2011-2012 budget for the State of California, in the process signing the two trailer bills, ABX1 26, providing for elimination of California redevelopment agencies, called RDAs, effective October 1, 2011, and ABX1 27, exempting from elimination any RDA that agrees to make its share of a $1.7 billion voluntary contribution of its revenues to other local government needs.


Continue Reading Update On Redevelopment Law: Governor Signs Trailer Bills To End Redevelopment Agencies Unless They Make Payments – Uncertainty Continues

This is the second in a series of blog entries monitoring the proposal to eliminate redevelopment agencies.

By Michael Kiely

Yesterday, after heated and reportedly almost violent debate, both houses of the California State Legislature voted to pass ABX1 26, which would eliminate California redevelopment agencies, called RDAs, effective October 1, 2011, and ABX1 27, which would exempt from elimination any RDA that agreed to make its share of a $1.7 billion voluntary contribution of its revenues to other local government needs.


Continue Reading Update On Redevelopment Law: Legislative Two Step To Cut Redevelopment Agency Funding Goes Down With Governor’s Budget Veto

This is the first in a series of blog entries monitoring the proposal to eliminate redevelopment agencies and describing alternative public funding sources for redevelopment projects.

By Michael Kiely

After much discussion, debate and lobbying in the last three months, the fate of California’s redevelopment agencies is still uncertain. Legislative bills to eliminate the agencies, called RDAs for short, have failed by a single vote. Many political leaders are still pushing for elimination; others are now actively searching for compromise solutions that will allow RDAs to survive. What appears certain at this point is that there will be less tax increment revenue available for real estate development in redevelopment project areas. As a result, development projects in these areas, already suffering from market forces and limited debt availability, will face an even bigger challenge.


Continue Reading Update on Redevelopment Law: No News Is…No News