Auburn, Calif.- Proceeds from the sale of bonds by the former Placer County Redevelopment Agency that had been put on hold by the state Department of Finance (DOF) have been released to the county.
The Placer County Successor Agency, which is closing down the Redevelopment Agency’s business, received notice from DOF that approximately $11 million in bond proceeds that had been put on hold for the past two years are now available for two county projects.
State law that disbanded all Redevelopment Agencies allowed DOF to hold these funds from being expended until Placer County could prove that no further monies were owed the state by the former Agency.
These bond proceeds are critical to the highway improvement programs in both Kings Beach and Highway 49 in Auburn. Approximately $10 million will be for use in the Kings Beach Commercial Core Improvement Project, which will revitalize a 1.1-mile section of State Route 28 through Kings Beach. Additionally, about $1 million is now freed for use in the Highway 49 improvement project in Auburn.
“The Department of Finance did finally bless our bond fund proceeds,” said Fifth District Supervisor Jennifer Montgomery. “We’ll be getting just shy of $10 million from the dissolution of the Redevelopment Agency and that’s really good news for the Commercial Core Improvement Project.”
The bonds were sold in 2006 and the county has been making payments on them. The DOF conducted three separate audits of the former Redevelopment Agency’s financial dealings before issuing a “finding of completion” that shows all monies owed to the state have been repaid.