The cheapest path to bankruptcy is the fastest

A revolt by city officials against Gov. Jerry Brown's proposal to abolish municipal redevelopment agencies is rapidly spreading across the state.

Over the last several days, officials in Long Beach, Pasadena, Palm Springs and numerous other cities have hastily called special meetings to discuss transferring billions of dollars from their redevelopment agencies to city control to keep the money out of the state's reach.

The move is an attempted end-run around Brown's proposal to scrap redevelopment and allow school districts, counties and the state to take the billions in property tax dollars the agencies now collect to improve blighted areas. Brown predicted that the move would save the state $1.7 billion in the next fiscal year and send much more money back to school districts and counties in years to come. The redevelopment agencies take in about $5 billion each year. LA Times

HT AntiPlanner

Spend the funds before they are claimed in bankruptcy.