Times: Contra Costa agencies raise red flags in redevelopment reviews
— by Jeffrey Wisniewski — 8 March 2011 — 1 comment below »
The redevelopment agencies in Pittsburg and Hercules were among those that raised “red flags” in a report issued Monday by the state controller’s office about 18 agencies statewide. [...]
In Hercules, the report noted that by the agency’s own projections, its revenue will not be sufficient to service its bond debt from 2010-11 on.
Ineligible charges noted in the Hercules review included $38,400 paid to a lobbyist out of redevelopment funds, $9,600 of it from the housing fund. Hercules also charged the housing fund $19,200 for code enforcement, according to the report.
It is pretty much a fact that redevelopment agencies will be eliminated. Hercules’ corrupted agency is a perfect example of why they should, no matter how truly unfortunate it may be. (Hopefully the “successor agencies” — however they come together — continue to pursue the redevelopment of blighted areas.)
In my opinion it is a good move by the state if redevelopment agencies are in fact eliminated. Redevelopment should be a product of private enterprise which would be the result of the effects of a free market system. Government is not the answer to all problems.