League Property and Sales Tax Clawback Litigation

The League of California Cities submitted a lawsuit for filing in the Sacramento County Superior Court challenging AB 1484, the 2012 redevelopment budget trailer bill. The lawsuit contends that AB 1484 contains unconstitutional property and sales tax claw-back and other provisions that violate the California State Constitution, including both Proposition 1 A (2004) and Prop. 22 (2010). The petition does not seek to invalidate AB 1484 in its entirety, but it is being filed to ensure that the wind-down of redevelopment agencies is executed in an orderly and constitutional fashion without jeopardizing the fiscal stability of cities as they work to faithfully implement the redevelopment dissolution legislation.

The plaintiffs are: the League of California Cities, the city of Vallejo, the Vallejo Successor Agency, and League Executive Director Chris McKenzie as the taxpayer plaintiff. The defendants are: the Department of Finance, the Board of Equalization, the State Controller and the Solano County Auditor Controller.

This page will continually be updated with information on the litigation.


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