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State high court considers future of redevelopment agencies

November 10, 2011

The California Supreme Court appeared inclined Thursday to uphold a state law that abolished municipal redevelopment agencies but did not give a clear indication of whether the agencies could be allowed to continue operations as long as they turned over some of their money to pay for other services.

During a hearing, the state high court examined a lawsuit filed by redevelopment agencies seeking to overturn two laws passed earlier this year as a way to close the state’s budget gap.

One law abolished city and county redevelopment agencies, which are allowed to take property taxes that would otherwise go to schools and counties and use the money instead to partner with private developers to revitalize blighted neighborhoods.

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-- Maura Dolan, Los Angeles Times

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