State Effort to Abolish Redevelopment Agencies Jeopardizes Orange County Great Park
Irvine, Calif., officials are wondering how the redevelopment of the former Marine Corps Air Station El Toro will be funded after the California Supreme Court’s recent ruling upholding the governor’s plan to abolish the state’s 400 redevelopment agencies.
Construction of the 1,300-acre Orange County Great Park is heavily dependent on the tax increment financing that redevelopment agencies are set up to provide, reported the Voice of Orange County. City staff last year estimated that eliminating redevelopment agencies would cost the project $1.4 billion or more in tax increment revenue.
State lawmakers from the county are searching for a fix, but so far a solution is not certain. One option is to pass legislation extending the Feb. 1 deadline for cities to dissolve their redevelopment agencies as part of an approach to replace the agencies with a new funding mechanism.
“I think we’re OK, and how we proceed with what tools and at what pace is a conversation that will continue to unfold,” Beth Krom, chairwoman of the Great Park’s board and an Irvine City Council member, told the paper.