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1972 – 50 years of service to the commercial industrial retail real estate industry – 2022.


May 6, 2011

The battle for elimination of California Redevelopment flared up again this week. The Governor’s proposal for complete elimination of this funding was met with stiff resistance by a broad coalition of local agencies, labor, business, affordable housing advocates, and even some environmentalists. Unable to get the votes for elimination in either Chamber, stakeholders have been working to design a change in law that would “mend” but not “end” the program.

To that end, SB 286 by Senator Rod Wright (D-Los Angeles) has been amended to include a comprehensive package of redevelopment reform measures proposed by the CA Redevelopment Association members. The bill was heard in committee this week, but held for further review.

The reform measures include adding specificity to the types of information needed for making findings of blight; limit the percentage of total land area of a jurisdiction which may be included in project areas; exclude the schools share of property taxes in new project areas formed after January 1, 2012; prohibit uses of tax increment for specific purposes such as golf courses and professional sports facilities without voter approval; add new requirements to five-year implementation plans and require agencies to focus activities on state priorities such as job creation, cleaning up contaminated property, basic infrastructure needs, and affordable housing; provide for more public oversight; require development of performance indicators to measure agency success; require performance audits of agencies by the State Auditor and provide funds for those reviews; and specifically prohibit the use of tax increment for non-redevelopment, non-agency operating costs.

We strongly support the Redevelopment program in California and will actively work with CRA and Senator Wright to push for reform – and continuation – of Redevelopment in California. If you want to express your support for this measure, click here to contact legislators directly by using the CAPWIZ tool on the CRA website.

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