The future of redevelopment money became a bit more clearly defined as the State Assembly approved a bill that clarifies redevelopment’s ultimate wind down. And although the issue won’t be settled until the Senate votes on the urgency measure later, it was a step forward in the wind down.
The new guidelines grant local governments and successor agencies the ability to spend as much as $1.4 billion over the next four years. However, if the money isn’t spent, it will be lost. The bill, which was introduced by Speaker Perez, was passed overwhelmingly in the Assembly on a 56-7 vote. Several Republicans spoke out against the measure; voicing concerns that the new bill will take too much money from schools and other services.
Redevelopment, long used by local governments as a way to enhance business opportunities, promote growth, and build affordable housing, ended early this year after Governor Brown shut down the agencies as part of a one-time budget fix. Attempts to save the agencies failed before the supreme court, and cities have been scrambling to prepare themselves to act as successor agencies.
From the Associated Press:
The state Assembly passed a bill Monday aimed at helping cities cope with the elimination of redevelopment agencies.
It would give local governments some of the responsibilities formerly held by community redevelopment agencies and clarify how the agencies should be dissolved.
Gov. Jerry Brown eliminated about 400 redevelopment agencies last year run by cities and counties.
Read the full article here.