Posted on 12/30/2011 7:28:05 AM PST by SmithL
The end of redevelopment agencies affirmed Thursday by the state Supreme Court deeply affects the East Bay.
"This will be devastating to local government," Contra Costa County Assessor Gus Kramer said. The agencies have been a major source of revitalization, jobs and budget support, and most of its cities have redevelopment. Contra Costa itself oversees five districts in unincorporated areas.
Oakland's prognosis is particularly poor. Redevelopment this year paid for 171 positions, including 17 police officers and nearly 100 other employees.
The ruling also could doom a new stadium for the A's near Jack London Square, where redevelopment funds were anticipated for buying land and relocating businesses.
"Unless there is a fix at the state level, many employees will be laid off and there will have to be a serious adjustment of many departments' budgets," said Councilwoman Jane Bruner.
Oakland Mayor Jean Quan said she expected state lawmakers to pass legislation preserving many aspects of redevelopment.
Redevelopment agencies spend money gleaned from the extra taxes generated by rising property values within their boundaries. It finances programs and projects ranging from affordable housing to transportation improvements to land purchases and even extra police.
Many agencies have significant debt, the result of borrowing against expected revenues to assemble properties and construct projects.
Contra Costa's Bay Point district, which has seen a dramatic drop in property values, no longer generates enough money to make its loan payments.
...
After accounting for the debts and obligations, the dollars that once went directly to redevelopment agencies will return to the overall property tax pool and allocated to all eligible public agencies including cities, counties, fire districts and dozens of other agencies.
(Excerpt) Read more at contracostatimes.com ...
buying land and relocating businesses.
Sounds like fantastic news for the businesses that won’t be uprooted.
Nothing on that list creates wealth.
But never back to the tax payer.
So basically it is an end run around prop 13?
the Oakland politicians are not worried. The will just raise taxes on those that have to pay them to compensate for the lost money. If the taxed cannot afford to pay them and lose their homes and business..so be it. But the voters continue to elect Democrat after Democrat to political office.
“Redevelopment this year paid for 171 positions, including 17 police officers and nearly 100 other employees. “
How interesting - they paid for 171 employees, but only had 116.
Who stole the remaining 55 salaries?
Under liberalism, moving the poor away from you is perfectly acceptable, providing it raises tax revenue.
Liberals — creators of reservations, internment camps and segregation.
Maybe I am stupid, but regarding Redevelopment agencies, how does ROBBING PETER TO PAY PAUL help anybody but Paul??
These are a total scam, they are used as slush funds for local politicians and large developers who are given money to build large boondoggles like that A’s stadium. Yet another scheme that pumps money into the pockets of politicians and the rich. Glad it got torpedoed.
Bad for Government always means good for Liberty.
If Government didn’t take away somebody’s rights they wouldn’t be able to make gifts to their supporters.
200 years of self perpetuating Government and these SOB’s think we need new laws and greater tax burdens?
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