Redevelopment Agency (RDA)

A Redevelopment Agency (RDA) (called the Revitalization Agency in Mountain View) was a governmental agency, typically focused on a particular geographic area that meets specific legal criteria for being blighted. Cities often issued tax-exempt bonds backed by the real estate tax increment to pay for capital improvements, land acquisition, and on-going services in the RDA district. RDAs passed a portion of the tax increase through to local taxing agencies within the district, but, important in terms of affordable housing, 20% of the tax increment funds had to be used for affordable housing (often called the RDA set-aside). In 2011, legislation was passed dissolving the 400 RDAs throughout California, partly due to abuses on the part of some RDAs, but mainly because Gov. Brown wanted all these increment funds to be paid to other taxing entities rather than to RDAs. RDA funds were an important source of financing affordable housing in Mountain View.

Synonyms:
Revitalization Agency
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