California Supreme Court Hears Arguments on the Future of Redevelopment

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The Supreme Court heard oral arguments yesterday in California Redevelopment Assn. v. Matosantos, the action filed by the California Redevelopment Association, League of California Cities and others challenging the constitutionality of AB1X 26 and AB1X 27. Based upon their questions it appeared that the Justices were satisfied that ABX1 26, the bill abolishing redevelopment agencies, passes constitutional muster. However, ABX1 27, the bill allowing for their reinstatement by the making of “voluntary” payments, seemed to be on much shakier grounds. The question then becomes: are the two so inexorably intertwined that they must stand or fall together, or is 27 severable from 26? The future of redevelopment in California may depend on how the Justices answer this question.

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