Lawyers for the California Legislature have informed Gov. Jerry Brown that his plan to eliminate the state’s redevelopment agencies (RDAs) fails to pass legal muster because the state cannot reimburse itself with local property taxes.
The governor has sought to eliminate the RDAs in an effort to slash $1.7 billion from the state’s $15.4 billion budget shortfall.
Gov. Brown’s team, however, stands by their proposal.
“The administration’s opinion remains unchanged,” Department of Finance spokesman H.D. Palmer said. “We think this proposal crafted in such a way we think it will withstand any legal challenge.”
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