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State Controller’s Report Faults Redevelopment Agencies for Missed School Payments

An audit of 18 California redevelopment agencies release last week by California State Controller John Chiang found that five of the 18 agencies failed to make $33.6 million in required payments to schools within their redevelopment areas. The missed payments mean that the State of California has to increase the amount it pays out to local school districts.

This publication has raised questions in the past about whether or not payments to Alameda Unified School District reported by Alameda’s redevelopment agency, the Community Improvement Commission of the City of Alameda, were received and recorded properly by the District; the District never provided a full response to our queries.

In a statement regarding the audit report, Controller Chiang said, regarding the redevelopment mechanism, “The lack of accountability and transparency is a breeding ground for waste, abuse, and impropriety. In whatever form local redevelopment takes in the future, the level of oversight and openness must be consistent with the amount of public dollars entrusted to their care.”

The full report is available online from the State Controller’s website.

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