BILL NUMBER:  AB 2493
  VETOED	DATE: 09/29/2014




To the Members of the California State Assembly:

I am returning Assembly Bill 2493 without my signature.

This bill permits successor agencies and housing successors of former
redevelopment agencies to use proceeds derived from bonds issued
between January 1, 2011, and June¦28,¦2011, if the project is
consistent with a sustainable communities strategy or reduces
greenhouse gas emissions.  Expenditure of the bond proceeds would be
subject to approval by the Department of Finance (DOF).

I applaud the author's efforts to craft legislation to target
specific projects for funding from 2011 bond proceeds. Funding for
this measure, however, would come at the expense of lost property tax
dollars to cities and counties that chose not to incur debt during
this period, as well as special districts and schools. The cost to
the general fund to backfill schools could be significant, to the
tune of $500 million, at a time when the state is still recovering
from deep recession.

I recognize that the cost to local governments to defease these high
interest rate bonds is significant. Therefore, I am directing the
Department of Finance to develop a plan to address the outstanding
bond debt of these agencies.

Sincerely,



Edmund G. Brown Jr.