In an article by Joe Nelson over at the San Bernardino Sun, the City of Victorville is about to make themselves look even dumber than they do now.
The Victor Valley Economic Development Authority (VVEDA) has sued the state, alleging a new state law that dissolved California’s roughly 400 redevelopment agencies does not apply to VVEDA because it is not a redevelopment agency.
VVEDA filed the lawsuit in the state Supreme Court on Thursday challenging the applicability of Assembly Bill x1 26, known as the “Dissolution Bill,” that shuttered redevelopment agencies across California. The bill was approved by the Legislature last year and signed into law by Gov. Jerry Brown on June 28, 2011.
The law was challenged in court by the California Redevelopment Association (CRA) and the League of California Cities based on constitutional grounds. The state Supreme Court upheld the law in December.
“VVDEA is filing its lawsuit based on grounds not included not included in the CRA complaint and raises question as to the applicability of AB x1 26 to VVEDA as VVEDA is not a redevelopment agency,” said Keith Metzler, executive director of the VVEDA, in a statement today.
The lawsuit contends that VVEDA was formed as a joint powers authority under the Joint Powers Act, which is a separate and distinct provision of law from laws that govern the formation of redevelopment agencies, according to a news release disseminated by the VVEDA today.
The lawsuit also alleges that because VVEDA was formed as a reuse agency to transact business in direct response to a federal military base closure program, that AB x1 26 should be preempted by federal authority.
If Victorville suggests that the agency suing is not a redevelopment agency then the state can argue that the agency illegally collected and spent the Tax Increment under RDA Laws. To now suggest they are not an RDA is an admission of a crime. I would not be surprised if the State asks the Court to force the Agency to return ALL those funds illegally diverted to that agency but then move to charge all members of the agency Criminally of fraud and running a fraudulent Ponzi scheme using taxpayer money, because this agency was essentially a government approved Ponzi scheme.