Council to Consider Participation in Alternate Redevelopment Program

The Fountain Valley City Council will consider an ordinance at its meeting Tuesday night that would opt the city into a state program created as an alternative to city redevelopment programs.

The program is part of the two-bill budget signed by Gov. Jerry Brown last month. The first bill, ABX1 26, calls for the elimination of redevelopment agencies by Oct. 1, allowing only for payment of the agencies' outstanding debts and the fulfillment of any contractual obligations. Any remaining money is to be distributed to schools, counties and special districts.

The second bill, ABX1 27 creates an alternative for cities that want to save their existing revelopment agencies from elimination. Should Fountain Valley adopt an ordinance by Nov. 1, it can opt in to the program, which would allow the city to keep its redevelopment agency—and money—as long as it makes payments to the state and to school, fire and transit districts.

Should Tuesday night's ordinance be adopted, the state's Department of Finance will calculate the amount of the city's financial obligations under the program and notify city officials by Aug. 1.