A key source of funds for local parks, housing and economic growth would be diverted to state coffers under a proposal Gov. Jerry Brown unveiled Monday as part of his effort to slash a $28-billion state deficit.
Brown's budget calls for the Glendale Redevelopment Agency and nearly 400 like it throughout the state to be dissolved, with most of the $5 billion they create going to the 2011-12 state budget. In Glendale last year, the two redevelopment zones raised about $39 million, officials said.
In future years, Brown would give cities a new tool to raise money for economic development by allowing them to pass new bond measures or tax increases with approval from 55% of voters.
"The state's investment in local economic development and redevelopment agencies is less critical than other activities," the governor's budget states.
Local officials disagreed.
"When the governor talks about other priorities that are higher than economic development and jobs, I'm not sure what he is talking about," City Manager Jim Starbird said.