Redevelopment on Chopping Block: CBIA Expresses Opposition to Wholesale Elimination

California’s housing industry understands firsthand the level of anguish and difficulty brought on by the Great Recession – the now historic 30 month period from July of 2007 to December of 2009. While the state lost over 1 million jobs during this time, more than half of those losses have come from construction, real estate and mortgage finance-related firms. As slight, but nonetheless positive, signs of recovery begin to take shape, the fallout lingers in devastated state and local budgets. To help solve California’s nearly $26 billion budget shortfall, Governor Brown has offered many good ideas to get our state back on track. Unfortunately, the proposal to completely do away with local redevelopment agencies is not one of them. In addition to targeted state programmatic cuts and continued efforts to raise adequate revenues, California needs to ensure that it has a vibrant and sustained economic development plan to propel the state into the future. Redevelopment agencies can assist in meeting that need. Though not perfect by any means, RDAs offer the organizational expertise necessary in California’s urban areas to jump start the economic engine and help rebuild these “legacy” communities from the inside out by providing affordable housing options to working-class residents. Looking ahead, a prime role of redevelopment could be to better align with the state’s greenhouse gas reduction goals contained in SB 375, the landmark legislation of 2008 that rewards and encourages urban development as a way to reduce the effects of climate change. That’s why CBIA took official action last week to oppose the elimination of local redevelopment agencies. CBIA’s Governmental Affairs team, along with our allies at the League of California Cities and the California Redevelopment Association, is actively engaged in a comprehensive effort to oppose the elimination of redevelopment. California homebuilders believe in the California dream and are committed to doing our part to help the state achieve its promise. We believe that eliminating redevelopment agencies will hinder the state’s goal of providing affordable living spaces for California families. For more information, contact Jason Bryant or Richard Lyon at California Building Industry Association (CBIA)