The San Diego City Council agreed Monday to pay $70 million in redevelopment funds to the state as part of new budget legislation, according to the local press.
The city’s payment represents about 40% of each of its agency’s income this year, the San Diego Union-Tribune reported.
California redevelopment agencies are facing new laws that force them to either collectively pay an estimated total of $2.1 billion over the next two years or be eliminated.
The League of California Cities and the California Redevelopment Association, along with San Jose and Union City, filed suit Monday in the state Supreme Court, calling the new laws unconstitutional.
According to the paper, San Diego Mayor Jerry Sanders announced his support for the lawsuit.