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2 February 7, 2011 <br /> • It will eliminate San Leandro's sole tool for local economic development and business <br /> assistance, including the support for small businesses through the Commercial <br /> Rehabilitation Program, support of manufacturing jobs through the Industrial <br /> Competitiveness Program, support for business associations, downtown revitalization <br /> efforts, and the Farmers' Market, among other programs. <br /> • It will take away one of the few tools local governments have to comply with state <br /> requirements to plan for more compact urban development, specifically impacting San <br /> Leandro's Transit Oriented Development implementation and its ability to positively <br /> impact successful achievement of greenhouse gas reduction goals and the Climate Action <br /> Plan. <br /> • It will severely impact San Leandro's very successful program of affordable housing <br /> development. Redevelopment agencies are the second largest funder of affordable <br /> housing in California, behind only the federal government, responsible for over 98,000 <br /> units of affordable housing since 1993. In San Leandro, redevelopment funding has <br /> contributed to the completion of Broadmoor Plaza, Fuller Gardens, Casa Verde, and <br /> Estabrook Place, among others, resulting in the development of over 700 housing units. <br /> • After several years of reduced revenues and funding challenges, San Leandro has no <br /> other funding available to support economic and business development efforts that <br /> strengthen the economy, modernize aging infrastructure and generally reduce blight <br /> within the City. <br /> Passage of resolutions in opposition to this proposal has been recommended by both the <br /> California Redevelopment Association and the League of Califomia Cities. Both associations <br /> have also encouraged members to attend a State Senate Budget Subcommittee meeting on <br /> February 3 and a State Assembly Budget Subcommittee meeting on February 7. Citizens and <br /> Councilmembers are also encouraged to contact their legislators to voice their opposition to the <br /> elimination of redevelopment. <br /> Staff will continue to provide updates to the Council as new information becomes available. <br /> City Council Action(s) <br /> • On January 17, 2011, by Minute Order No 2011-003, the Council authorized the sending of a <br /> letter of opposition to the proposal to eliminate redevelopment to the Governor and local <br /> representatives. <br /> CONCLUSION <br /> Staff recommends adoption of a resolution in opposition to the proposed elimination of <br /> redevelopment agencies in California. <br /> G:1OBD1Files RDAWdministration & Budget 12011 State Budget Response \Cit}OppCouncillMemo2- 7- 11.DOC <br />