State Supreme Court Agrees To Hear Redevelopment Petition

By Staff Reports

(Victor Valley)–The California Supreme Court announced Thursday that it had agreed to take California Redevelopment Assn. v. Matosantos (S194861), the petition challenging the constitutionality of the recent budget bills (AB 1x 26 & 27) that eliminate redevelopment agencies unless they agree to make a “ransom” payment to fund State obligations. The California Supreme Court also granted the stay requested by the California Redevelopment Association and League of California Cities. The stay, in effect, prevents redevelopment agencies from being forced to make the payments until the Court rules on the merits of the case.

“We’re very gratified that the California Supreme Court has agreed to take our case, issued the stay we requested to preserve the status quo, and that it is moving forward on an expedited basis,” said Chris McKenzie, executive director, League of California Cities. “The redevelopment bills are unconstitutional, violating Proposition 22 and other provisions of the state constitution. We look forward to presenting our case to the Court very soon. We’re confident the State Supreme Court will ultimately strike down this unconstitutional legislation that ignores the voters’ will and that will destroy local economies.”

State Supreme Court Also Issues Partial Stay Which Prevents Redevelopment Agencies from Having to Make Payments Until Supreme Court Resolves Case

The court established an expedited briefing schedule designed to facilitate oral argument as early as possible in 2011, and a decision before Jan. 15, 2012, the date when redevelopment agencies are required to make their first payment.

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