SAN JOSE (KCBS) – The city’s shrunken redevelopment agency has laid off another 14 employees because of state funding cuts, Mayor Chuck Reed said Thursday.

“The state has taken $62 million this year and another $13 million this next year in May. So it’s $75 million the state is taking out of redevelopment agency funding,” Reed said.

Reed lamented cuts to an agency responsible for much of the city’s economic development. Before the recession, San Jose had one of the largest redevelopment agency’s in the state.

This year’s layoffs affect 20 percent of the San Jose Redevelopment Agency staff.  62 of the agency’s workers were let go in 2009.

Reed said the slimmed down department’s work to revitalize struggling neighborhoods and attract new businesses would now focus on big ticket projects such as a proposed downtown baseball park.

(© 2010 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

  1. tammy says:

    It’s about time that this was done! The San Jose Redevelopement people have tried to make San Jose look like a utopian society instaed of the working class city it is. They have robbed the poor of homes that they worked all their lives to buy…and when we atre facing hard times like this a STUPID sport team can stay where they are…it’s the efforts of this elitiost organization that have cost us…so far look at all the “PRETTY” buildings they have erected…but still no’s a crock! Good riddance!