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State taking $2 mil. from South Lake Tahoe


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sltTo the community,

The city of South Lake Tahoe/South Tahoe Redevelopment Agency will be required on May 10, 2010, to turn over $2,070,160 to the El Dorado County auditor, a required payment resulting from the state’s decision to raid $2.05 billion in local redevelopment funds as part of the 2009-10 state budget.

Instead of this locally generated tax dollars going to fund local job creation, economic growth, and community improvements, this money will now be siphoned off to help pay the bills of a State government deeply in debt with spending out of control.

This payment will be made in accordance with a ruling by Sacramento Superior Court Judge Lloyd Connelly last week which instructed local redevelopment agencies to abide by the provisions of ABX4-26 passed last year as part of the state budget. The bill allows the State of California to take $2.05 billion in redevelopment funding to use for state obligations.

The California Redevelopment Association (CRA) is appealing the Superior Court ruling to the state Court of Appeals in what will likely be a long and difficult appeal process.

Taking these funds that are generated in South Lake Tahoe at this time is tragic and irresponsible on the part of state government. These locally generated tax dollars are needed to address pressing economic development, business assistance and infrastructure needs of the city of South Lake Tahoe during this slower economic time. This decision to take local taxpayers dollars cannot stand and must be fought in the courts by all cities whose leaders pride themselves in self government and local control. The City Council in South Lake Tahoe is on record opposing this confiscation of local funds.

California Redevelopment Association (CRA) Executive Director John Shirey vowed to fight the Superior Court ruling: “We strongly disagree with Judge Connelly’s ruling which effectively says the Legislature has unlimited discretion to redirect local redevelopment funds to any purpose it wishes. Under that logic any state program could be called redevelopment. The Legislature needs to deal with its budget problems by making hard decisions using its own limited resources — not by taking away local government funds…

“Despite this ruling we continue to believe taking local redevelopment funds and using them to fund State obligations is unconstitutional. We have a strong case and feel confident the lower court ruling will be overturned by the Court of Appeal,” said Shirey.

Dave Jinkens, South Lake Tahoe city manager

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Comments

Comments (9)
  1. dogwoman says - Posted: May 10, 2010

    Saw THAT one coming a mile away.

  2. Dude says - Posted: May 10, 2010

    Like, this aggression will not stand…man

  3. David Kurtzman says - Posted: May 11, 2010

    Does anybody know what the consequences would be if the city refused to turn over the funds?

  4. Shirley says - Posted: May 11, 2010

    Calif. voters better stand up and made some positive changes in Sacramento.
    The Legislature has no idea of “living within their budget”. No one has slapped their hands, so far.

  5. doubleblack says - Posted: May 11, 2010

    So the RDA has 2 million sitting around. Interesting. Have they paid off the city for the millions they previously borrowed? Why are they sitting on two million dollars when the city is broke and could use the money?

    Mr. Kurtzman, has a good thought. To add to it, why did the city pay 850,000.00 dollars to an outside consultant to redo the general plan,when TRPA controls the show on land use. Also why is STPUD installing water meters when our community uses only 1/4 (one-quarter) of the available water from our acquifier and it can not go anyplace else in our state. The answer: because the state says so. Insane isn’t it.
    And at the same time the state funds billions of dollars for the benefit of illegal aliens. Really psychotic.

    The satin shoes are starting to pick up speed as they go downhill. That’s us folks. Enjoy what you got for as long as you have it. Remember the state is coming with bad intentions.

  6. Skibum says - Posted: May 11, 2010

    Can you say Chapter 20? That’s Chapters 7 and 13 for the city as this will leave no doubt for error.

  7. Mr. Vad says - Posted: May 11, 2010

    Send the state to go pound sand.
    Maybe they should go and cut the spending first and stop wasting billions of taxpayer’s dollars on medical and other help to illegal aliens.

  8. hardtomakealivingintahoe says - Posted: May 11, 2010

    You know it’s Bad when the state takes your tax and for the ones that should get a refund get a IOU INSTEAD.

    YOU DON’T PAY YOUR TAXES THEY SEND THE AGENT TO SERVE YOU A NOTICE.

    • More taxes are always the answer… didn’t you know? Tax people to earn money. Tax people for saving money. Tax people for spending money. Tax people that die with money. Tax people that decide to keep their money off-shore. Tax people who earn their money off-shore. Tax people who buy goods. Tax people who sell goods.
    NOW IT’S SCREW YOU, TAKE THE MONEY LET YOU GET MAD.NOTHING YOU CAN DO ABOUT IT!

  9. doubleblack says - Posted: May 11, 2010

    Are the RDA bonds going into technical default, with 2 mil going bye-bye?