A creative approach needed for redevelopment efforts

The California Supreme Court’s decision backing Governor Jerry Brown’s plan to eliminate redevelopment agencies and take control of their cash and assets, threatens the city’s ability to continue redevelopment efforts.

The decision could result in the loss of more than $20 million in bond proceeds, $19 million in annual revenue and about $20 million worth of property that is currently owned by the agency, city and the downtown economic development corporation. For the past year, the city council has taken a number of steps to safeguard their resources from the state bills that were the subject of the Supreme Court decision. However, the court’s ruling could allow the state to reverse all those actions. 

Morgan Hill’s agency has built the Aquatics Center, Outdoor Sports Center, the Community and Cultural Center and the Centennial Recreation Center, all valuable assets that add to the quality of life we enjoy here. It has also help build Butterfield Boulevard, widen West Dunne Avenue and the current construction of the south Butterfield Boulevard extension. It has also, by law, funded dozens of affordable and low-income homes for our middle class neighbors.

Sure, there have been abuses in some of the 400 or so agencies in the state, but the meat-clever approach to cutting them all is not the solution. The agency has helped Morgan Hill’s downtown. Want evidence? Visit downtown Gilroy – which has no redevelopment agency – some day, and compare that to what we have here. The next step should be to get people living downtown. No, we don’t want to look like Santana Row, but we do want to continue the revitalization efforts to create an exciting and vibrant downtown.

California Board of Equalization member Betty Yee said shortly after the court’s decision was announced that she was “disappointed” in the ruling. 

“Unfortunately, this decision could eliminate a powerful tool for creating local jobs,” Yee said in a statement. “Redevelopment has been successful at stimulating economic growth, revitalizing neighborhoods and generating tax revenues. Despite isolated abuses, redevelopment – the largest economic development program in California – has proven more effective in creating local jobs and encouraging businesses to invest in local communities than tax breaks or other tools.”

We urge our local legislators Sam Blakeslee and Bill Monning to work with city leaders to represent our interests and find a creative approach to continuing the efforts.

It’s vital to the overall financial health of the city.

Contact: Assemblyman Bill Monning at (916) 319-2027, or State Senator Sam Blakeslee at (916) 651-4015.