Friday, December 30, 2011

RDA one Step Closer to the END

The City of Grand Terrace will finally be forced to plan and yes implament a budget it can pay for with the taxes and revunues it is intitled to by the real economic activity within the city. The city can expect no further support of City/RDA Employee expense to be covered by the 27% raked off of RDA Funds that were redirected state funds. State funds will no longer be directed to pay the likes of Doug Jacobsen, or Jack Brown's Stater Brothers Market. State funds will no longer be used as a tool to purchase City Employee's a home or a home loan.

The abuse of the RDA system is hopefully OVER in GT and all the other cities where their councils were wanting to continue to have an RDA.

Grand Terrace City Council and City Manager error in their resistance to the adoption of a strict sustainable internal budget limiting City Expenses to only those that could be funded by General Tax Fund Revenues only and stopping their addiction to the RDA Funds. The City could and should offer all employees a pay cut equal to the loss of the funding the RDA used to provide their compensation. If the City Manager won't work for 80,000.00 per year... about half.. well there are most likely folks who will do that job, for that or less. No what we will see is the further cut back on people earning less than 40,000.00 per year.

This city's use of the RDA has been oppressive and inappropriate for years. It unfortunate that the New Members of the City Council and Mayor, failed to see the need to end the RDA dependency when they were elected. The existing City Council and City Manager demonstrated the lack of financial and political fortitude to write, implement or even share a budget that would be sustainable without an RDA. It would have been more prudent to operate on the shoe string of a budget before the shoe was removed. Then if the RDA was allowed to exist in the future, there could be true Redevelopment of Truly Blighted areas and increase Real Employment and Economic Activity in GT.

It is time for an assesment on the projections and effectiveness of the past use of RDA Funds. When you skim 27 percent off for non Redevelopment Costs, and then you finance your Bonds at a cost, you have deflated the value of the RDA Buck right from the start. Then City Council/RDA make decisions that don't impact the local economy, but favor a select few within the community.

It is time, no past time for the RDA System to end. Put the money back in the places it belongs.



December 30, 2011 10:00 AM

Calif officials seek redevelopment compromise

(AP) SACRAMENTO, Calif. — The California Supreme Court on Thursday gave Gov. Jerry Brown and state lawmakers the right to eliminate community redevelopment agencies in a crucial victory on the state budget.

But the fate of the more than 400 redevelopment agencies remains unclear as cities — and even many lawmakers — vowed to seek a legislative compromise next year that would ensure the agencies' survival.

Brown has little incentive to go along.

The court affirmed the state's authority to dissolve the agencies, calling it "a proper exercise of the legislative power vested in the Legislature by the state constitution." Doing so means more of the property taxes generated within redevelopment zones will go toward schools, law enforcement and other local services, freeing up as much as $1.7 billion in the state general fund during the current fiscal year.