Santa Clara Guts Redevelopment Agency To Save Stadium Development
SANTA CLARA (KCBS) - With the state poised to abolish redevelopment agencies, the city took urgent steps to protect the proposed 49ers stadium and dozens of other projects.
The Santa Clara City Council on Tuesday transferred $137 million and 170 acres of land from its redevelopment agency to other city departments, creating what Mayor Jamie Matthews called a legal firewall to protect $40 million needed for the stadium construction.
"We made sure the state can't take our funds," Matthews said.
KCBS' Mike Colgan Reports:
Governor Jerry Brown set a March 10 deadline to reach a deal on $12.5 billion in spending cuts and $14 billion in tax extensions to close the budget deficit.
Big city mayors have lobbied the governor with alternatives to preserve funding for the varied projects now paid for through redevelopment agencies.
Santa Clara essentially bankrupted its local redevelopment agency so that the state budget crisis would not be a factor in the stadium project, Mayor Matthews said.
"There's too much money involved in this project on all sides for it to be delayed," he said.
Matthews does not expect the National Football League's labor issues to hold up groundbreaking on the site near the Great America theme park, now scheduled for 2013.
(© 2011 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)
