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Redevelopment to State: Hands off the Cash or We'll Sue

With billions of dollars on the line, capital projects still unfinished, and, for some, bankruptcy on the table, it's no wonder that many California cities won't let redevelopment go down without a(nother) fight. Municipalities from Pasadena to El Cerrito as well as some private parties have filed 80+ lawsuits in Sacramento, primarily against the State Department of Finance, in the hopes of hanging onto some of the cash previously earmarked for "redevelopment projects" ranging from affordable housing to sports stadiums to Oakland Mayor Jean Quan's salary. The DoF has formally threatened to hold property and sales tax revenue of some 40 cities hostage if they refuse to pay up. Whether or not it has the right to do so is one of several battles being fought in the courts right now. We're taking bets on whether Oakland, already due to return some $30M in redevelopment funds, will be next to throw its hat in the ring of this legal circus. - Laura Tepper
· California, cities in next round of redevelopment fight [Contra Costa Times]
· Previous coverage of Redevelopment [Curbed SF]