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State Supreme Court Upholds State Effort To Dissolve Local Redeveopment Agencies

Posted on Thursday, December 29, 2011 3:52pm


The State Supreme Court ruled that the state government can dissolve local redevelopment agencies, clearing the way for billions in property tax revenue to be redirected to other uses.

The governor’s plan to get money withheld by the local agencies for redevelopment projects had been fought by a number of local jurisdictions, which noted that the money provided an important revenue stream to rebuild blighted areas.

The court also struck down a compromise plan which called for the redevelopment agencies to give a percentage of their funding for the state, in order to continue to operate.

The governor says dissolving the agencies will provide more than a billion dollars in additional funding for education, and public safety.


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