Council Preview: Firefighters’ Cuts and Redevelopment Money

The Millbrae City Council will gather for a special meeting tonight to discuss approving compensation cuts for firefighters and vote on restructuring the Redevelopment Agency to comply with the state legislature.

Firefighters’ Cuts

The council will vote on a proposed agreement to reduce firefighters’ compensation by 5 percent. City staff expects Millbrae will save about $140,000 per year.

, the city also slashed firefighters’ benefits by 4.3 percent by reducing paid vacation time.

Redevelopment Agency

The state legislature, in an effort to combat the budget deficit, passed two assembly bills in June aimed at cities’ redevelopment agencies.

Cities will either be forced to completely dismantle redevelopment agencies or pay substantial amounts to the county and school districts to preserve them. 

Redevelopment agencies were established in 1945 to enable a city or county to fund projects that combat urban blight.

Tonight, the City Council will decide whether to suspend all new redevelopment activities, although it will still be liable for any pending debt, or keep the agency alive through payment installments.

If it chooses the second option, it will liable for a $1.85 million payment to the State of California this year and $435,845 next year.

The Millbrae Redevelopment Agency currently has $7.56 million in assets. 

The California Redevelopment Association and the League of California Cities intend to combat the assembly bills, and a future California Supreme Court decision may alter Millbrae’s resolution tonight.