Loma Linda Deals with Loss of Millions in Redevelopment

It took little time for Loma Linda’s City Council to approve becoming the successor to their redevelopment agency and activate a Housing Authority on Tuesday.

Council members spent more time shaking their heads over the decisions that led them to the choice.

In a unanimous vote, the council agreed to create a housing authority and designating it as the agency that would control properties that originally fell under the jurisdiction of the redevelopment agency -- including the Loma Linda Civic Center.

On Dec. 29, the California Supreme Court upheld AB26, a bill approved by Governor Jerry Brown that allowes the state to dissolve redevelopment agencies. The state now has the green light to seize more than $1 billion in redevelopment agency funds from agencies across California.

The justices also struck down AB27, which would have allowed redevelopment agencies to function if they paid a portion of tax revenue to the state.

This had left Loma Linda with the options they faced Tuesday during the first council meeting of 2012. The redevelopment agencies officially cease to exist Feb. 1.

“Basically what the governor has done has basically affected our city to the tune of $1.6 million,” said Mayor pro tem Ovidiu Popescu told the crowd, indicating how much the city could lose. “That is significant for us.”

Popescu, soon to be the former chairman of Loma Linda’s Redevelopment Agency, called it a sad day for the state and the country.

“Many have stated that when the state further deteriorates, they are going to look back to this decision and point to this decision as to why the state never recovered, because this is going to affect 400 different agencies across the state,” he said.

They will still meet the needs of the community but it will be a lot more challenging, Popescu said.