As cities wrestle with the process of dissolving their redevelopment agencies, Assembly Bill 1585 (Perez) has been advancing through the state legislature. AB 1585 is designed to clean up many of the holes and ambiguities in AB X1 26, the budget bill that mandated the dissolution of redevelopment agencies and includes the provisions for liquidating their assets.
On Wednesday, the Assembly Local Government Committee heard and passed AB 1585, which is an urgency bill. Earlier today the measure was heard and passed by the Appropriations Committee at a special meeting. It could be heard on the Assembly floor as early as Monday and then, if approved, sent to the Senate before the end of next week. The Legislature goes on a two-week recess Friday, Mar. 30.
Many supporters of the bill have hailed the bill for making the dissolution process more clear and, importantly, for expanding the definition of enforceable obligations to include the repayment of loans made by cities to former redevelopment agencies. Opponents contend that this provision, among others, goes too far. Representatives from Los Angeles and Santa Clara counties testified against AB 1585.
At a recent speech in Los Angeles, County Supervisor Zev Yaroslavsky said that the bill "carries water for redevelopment" and attempts to undermine the transfer of funds to state and county coffers. Meanwhile, it has broad support from affordable housing advocates and from local agencies.