In summary the City General Fund would benefit without increasing the debt limit of the RDA. (Writer bases findings on Council packet for March 9, 2010 Meeting.)Revenues going to the RDA without Amendment 6 decrease while city general funds increase. So the problem of borrowing between entities would not be necessary.
The only incentive for leaving the city general fund with very limited funds is to be able to spend hard-earned tax dollars on private commercial enterprise such as the Town Center.
Staff states the city is in a dire state because we have one outdated shopping center. We have a Stater Bros just down the street in Colton.
Staff states private enterprise cannot invest in Grand Terrace without RDA Agency help. Look at the empty K-mart down the hill; if private enterprise needs government help it is not a viable project.
Another example down the hill is the large former Albertson's Supermarket; it is now a Big Lot's and the pharmacy that was there is vacant-and long before the "Great Recession."
Staff state we have only one medical facility--an urgent care-- and we need more. Most of us lucky enough to still have jobs or able to pay for health care must travel to our provider, such as Kaiser- who has more than enough new facilities currently built or being built.
My next posting will be on the debt. Staff states that the City does not incur any debt. The Agency does, I thought the City Coucil was the governing board for the City and RDA because the entities are the same really. The RDA encompasses the entire City.
To qualify for debt you must prove you have a predictable stream if tax revenue to cover the debt. If the City and other local government give up tax revenues to go into the RDA Bank of Banana Republics--who pays--of course the taxpayer.
