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Redevelopment Funds May Be Diverted Under Brown

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On the heels of last year's redevelopment shuffle, Mercury News reports that "a budget proposal that Gov. Jerry Brown is widely rumored to be weighing may end subsidized redevelopment statewide to free up more tax money for schools and other programs....The roughly $5.5 billion in annual property tax revenue diverted to redevelopment agencies throughout the state could go a long way toward solving Brown's headache.

City and redevelopment officials around the state have reacted with disbelief that the governor would contemplate such an idea, saying it would deprive them of a vital tool for attracting businesses amid an economic crisis.

But critics, including school and county officials, say the idea is welcome and overdue. They argue that although redevelopment has its merits, local leaders have overused it to subsidize questionable private development at the expense of basic public services."
· Jerry Brown's talk of ending redevelopment sparks fears, cheers around California [Mercury News]