By Jason Islas
Staff Writer

November 7, 2013 -- Officials are optimistic that Santa Monica will hold on to six vital downtown properties threatened by the dissolution of the City’s former redevelopment agency (RDA).

City Hall representatives sat down with California Department of Finance (DOF) officials Wednesday to make the case that the six parking structures formerly owned by Santa Monica’s now-defunct RDA are “government-purpose assets.”

“We had a good discussion with the DOF staff,” said Andy Agle, Santa Monica’s director of Housing and Economic Development. “They requested additional information and documents related to the parking structures.”

If the DOF agrees with Santa Monica that the six structures qualify as a government use, the City could avoid a lengthy process that might end in Santa Monica having to sell off the assets.

Joining Agle was City Manager Rod Gould and Assemblymember Richard Bloom, the city’s former mayor.

Bloom said that he was “cautiously optimistic” that, once the DOF reviewed Santa Monica’s case, “the City’s perspective would prove persuasive.”

Bloom, who represents Santa Monica in Sacramento as part of Assembly District 50, was mayor in February 2012 when State legislation dissolved California’s 400 redevelopment agencies in an effort to balance the State’s budget.

But, in addition to redirecting property taxes that once flowed directly to RDAs back to the counties, the legislation also gave Sacramento authority to review properties held by the agencies and possibly require that they be sold off.

The law made exception for properties used for governmental purposes, including parks, fire stations and roads. That’s good news for Santa Monica’s new $46 million park across the street from City Hall which is built on land the City’s former RDA bought from the RAND Corporation.

While the park is one of the properties being reviewed by the DOF, it meets the definition of governmental use.

The parking structures, however, do not. And, until the DOF makes a final determination, their ownership remains in limbo. (“For Santa Monica to Keep Vital Properties, More Obstacles Ahead,” August 23)

It shouldn’t be long before the DOF weighs in, said Agle.

“The DOF staff committed to reviewing the information and making a final determination in a timely manner,” he said.

The dissolution of RDAs has been an ongoing -- and often confusing -- process.

Recently, the City paid $57 million to end a long battle over cash assets the State said Santa Monica’s former RDA owed to the County. (“Santa Monica Will Pay $57 Million to End Battle with State Over Redevelopment Agency Funds,” October 25)