City of Arcadia Takes Over for Redevelopment Agency

The City Council has approved a series of resolutions paving the way for the city to assume responsibility as the successor agency for the Arcadia Redevelopment Agency. This process was necessary in order to comply with a state law .

The city elected on Jan. 3 to become the successor agency in charge of winding down the redevelopment agency’s undertakings. It will not, however, serve as the successor agency in regards to low-income or senior housing projects; that job will fall to County housing authorities.

Pursuant to AB 26, a seven-member oversight board will monitor the city’s work as the successor agency.

At Tuesday’s meeting, the council approved the appointment of the mayor or his designee and the city manager or his designee as the oversight board members representing the city in its role as the successor agency. Assistant City Manager and Development Services Jason Kruckeberg said the resolution was structured without specific names to remain flexible.

Additionally, two members of the board will be appointed by the Los Angeles County Board of Supervisors. Supervisor Michael Antonovich’s office requested the city provide names as recommendations for those positions.

Council Member Roger Chandler suggested the successor agency call the meeting for the oversight committee. Kruckeberg agreed, stating it was a learning process. The oversight board must be formed by May 1, but because of the work needed to be completed by the board that could be accomplished in advance of the deadline, Mayor Gary Kovacic recommended the board convene sooner.

The council decided to add a discussion of names for the position to the agenda of its next meeting.

City Attorney Stephen Deitsch predicted that there would be at least one meeting over the next few months to get started. After it is established, Deitsch said the meetings would probably be monthly. The oversight board members would not receive any stipend for their role.

The city also repealed an ordnance to participate in the Alternative Voluntary Redevelopment Program because .

As the successor, the city adopted a resolution establishing an account with the Local Area Investment Fund for the city to invest remaining Arcadia Redevelopment Agency funds.

The city also adopted a resolution approving and adopting an initial draft of the Recognized Obligation Payment Schedule which itemized the existing financial obligations that the city will take on in its role as the Arcadia Redevelopment Agency’s successor agency. The draft still needs to go through an external audit. The payments will be distributed by the Los Angeles County Auditor-Controller and will not impact Arcadia’s general fund.