2012 Legislative Year in Review, continued
Losing redevelopment devastated many communities, but cities accepted the court’s decision and prepared to move on. The League worked on AB 1585 with Assembly Speaker John Pérez on cleanup to AB 1X 26 to address local implementation issues, which included preserving the remaining affordable housing funds and requiring the repayment of city-agency loans. However, after the measure passed the Assembly in March with an urgency clause and bipartisan support, it did not receive a hearing in that form in the Senate. The dissolution of redevelopment agencies also meant closing the doors of CRA and dissolving its staff of 13, who had for years served as chief representatives and information conduits. The League stepped in to fill the void, and its general counsel convened a working group of city attorneys and redevelopment specialists that meets weekly to compare notes on various pending legal actions and activities of DOF. In addition, the League hosted several webinars to provide information and guidance, where possible, to successor agencies. The League also retained CRA’s former lobbyist to assist with redevelopmentrelated lobbying efforts. After the Senate failed to hear AB 1585, the redevelopment issue was folded into the budget process. In conjunction with the governor’s “May Revise,” DOF released redevelopment trailer bill language aimed primarily at improving the state’s leverage over successor agencies. The League testified against this proposal and submitted alternative language to legislators to expand due process and promote equitable resolution of outstanding disputes, repay city-agency loans, and allow for the use of unexpended bond funds and other provisions. DOF staff and representatives of Senate and Assembly Democratic leaders began meeting privately to draft language. The result of these discussions was disappointing when AB 1484 was released on June 25. Despite severe time constraints, the League reviewed the language, identified
Promoting and defending cities’ local authority is the cornerstone principle of the League. “Local control” means local democracy in its purest form; this core tenet unites all cities.
problems and drafted proposed amendments. Cities’ greatest concerns included the policy and constitutional issues raised by the clawback provisions and unrealistic deadlines for successor agencies to make payments (including a provision for billing the agencies on July 9 and imposing penalties for payments not made by July 11). It was also unclear whether the “benefits” — such as loan repayment and expenditure of unspent bond proceeds — would actually be realized. The Senate Budget Committee convened for an evening session on June 26. Legis-
lators raised concerns and said that they would not vote for the bill without specific changes. The bill was then put over. After some overnight arm-twisting by the governor, the principled statements and objections made the evening before vanished the next morning. The bill was approved without change and signed into law on June 27. Without viable legislative recourse, the League filed litigation against the state on Sept. 24 over various aspects of AB 1484, including the clawback mechanisms that could divert local sales or property tax.
Budgets getting hammered? Your fire department can help. Fire Recovery USA supports fire departments with proven systems that create efficiencies and revenues to protect your community. Fire Recovery USA provides: • IPad and Mobile Business Cost Recovery • Emergency Response Cost Recovery • Subscription EMS/First Responder Programs • Revolutionary Self-Inspection Programs, including Cost Recovery Fire Recovery USA is the leading cost recovery company for fire departments. Simply unsurpassed. For more information, visit info@firerecoveryusa.com or call (888) 640-7222. FIREHOUSE Software and FH Inspector are registered trademarks of Xerox Corporation.
12
League of California Cities
www.cacities.org