As we await the outcome of Gov. Jerry Brown's state budget plan, many local jurisdictions are looking for ways to protect their redevelopment agencies (RDAs) from being dissolved. On Feb. 8, the Santa Cruz City Council approved a $53 million indebtedness contract with the city's RDA in order to protect its future projects. What is your response to the reactions of municipalities across the state to the prospect of losing their RDAs?
Under the governor’s proposal, existing redevelopment agencies (RDAs) debt would be paid, thus the City of Santa Cruz’s recent decision to incur a $53 million debt would be honored.
Many readers may be aware that local governments across the state are opposed to the governor’s proposal to eliminate state RDA funding and direct these funds to local governments in order for them to be used to fund local law enforcement, fire protection, road maintenance, libraries, and parks. However, I think it is important to point out that in exchange for the loss of state taxes, the governor would allow local governments to place tax increases dedicated to continuing local redevelopment before local voters to approve with a 55 percent majority vote.