Rent Increase Survey

Have you submitted your latest rent increase data to the rent increase survey?

California Redevelopment Association Appeals Transfer of Funds to State Schools

Late last month, the California Redevelopment Association (CRA) filed an appeal with the Third District Court of Appeal to overturn the transfer of $2.05 billion from local redevelopment agencies to the State’s K-12 education system. Tonight, the Alameda Unified School District will hold a special meeting at Kofman auditorium to discuss possible structures for a new school parcel tax.

Bill ABX4-26 was passed in July 2009 as part of the 2009-2010 State of California Budget and authorized the transfer to the school system of over two billion of local property tax revenue held by municipal redevelopment agencies. The CRA is appealing a decision in Sacramento Superior Court earlier this year that upheld the legality of the transfer. The CRA asserts that such funds are to be used exclusively to fund redevelopment projects. For example, SunCal’s failed proposal for the redevelopment of Alameda Point included $200 million of property tax subsidies provided through Alameda’s local redevelopment agency.

The CRA is asking the court to force the return of a $1.7 billion paid in May of this year to county auditors on behalf of schools statewide, and a prohibition of a second scheduled payment of $350 million in 2011. The CRA hopes that the court will rule before this second payment is made.

In Alameda tonight, the School District Board of Trustees have scheduled a public meeting, at 6:30 p.m. at the Kofman Auditorium, at 2200 Central Avenue (at Oak), to discuss alternative parcel tax structures to replace Measures A and H, which expire in 2012.

1 comment to California Redevelopment Association Appeals Transfer of Funds to State Schools

  • AUSD takes none of this into account, as its political consultants, Erwin & Muir, have apparently advised them that more parcel taxes are the only solution. They are NOT! See Al Wright’s op-ed piece, “Parcel Tax is Not the Solution,” in the 8/23 edition of the Alameda Sun. And this site is correct, that local redevelopment funding takes money away from the schools, and those developers want it back!