RDA's with Schwabish Management Kill Cities..

Ex City Manager Tom Schwab said: "My intention was to borrow it and never pay it back," Schwab said. "When the redevelopment agency expired, the debt would expire with it."Schwab said the redevelopment agency was chartered for a set number of years and then would fade into oblivion. The city would then have the option of chartering a new redevelopment agency or going on without one. With the closing out of the existing agency, any money owed to it would become a moot issue.

The Truth Debts owed to or by the RDA will transfer to the City. So the debt bonds that were sold to provide the funds that the City then spent will eventually become Debts of the City. Schwab is blowing smoke and as he does he has possibly admitted to intentional fraud.

He made representations to the bond purchasers, and to the city council that were intentional misrepresentations and apparently continues to do so.

Citizens did read the Financial Reports and called attention to the problems as they could be pulled laboriously from the intentionally obstructive financial and accounting system Schwab used to account and report the city finances. The Citizens were told by Schwab, you don't know how to read Financial Reports. Council Members did not direct him to answer the questions, or make the reports and facts clear. They all just followed along with staff recommendations.