Frequently Asked Questions

What is redevelopment?
What is a redevelopment agency?
What is a project area?
What is a joint project area?
What is a joint powers authority?
What is blight?
What are the benefits of redevelopment?
Which laws govern redevelopment agencies?
What is a redevelopment plan?
What is an implementation plan?
What is tax increment?
Will my property taxes increase because of redevelopment efforts?
How are other entities that rely on property taxes affected by tax increment financing?
How is tax increment spent?
Why do redevelopment agencies have debt?
What about eminent domain?
What is the process of establishing a project area?
How do I find out if I live, work or own property inside a project area?
I am buying a home in a project area.  Can you provide assistance with the mortgage, closing costs and down payment?
I’m a consultant or contractor.  How do I add my business to your vendors’ list?  How did I bid on Redevelopment Agency projects?
I want to do some home improvements and need assistance. What help is available to me?
How can I find a property in a redevelopment project area?
Can you help me market a site in the County of San Bernardino?
Which business resources are available in the County of San Bernardino?
What is an enterprise zone?



What is redevelopment?

Redevelopment is a process used by local governments to revitalize communities and create jobs within designated areas.  Redevelopment strategically uses resources to improve the environment, economy, neighborhood character and quality of life in a community.

What is a redevelopment agency?

Redevelopment agencies are local agencies focused exclusively on increasing quality of life in redevelopment project areas by removing blight.  Redevelopment agencies administer and oversee the development of programs and projects within a project area for the life span of a project area.

What is a project area?

A project area is the specific territory where actual redevelopment activities take place.  The County of San Bernardino Redevelopment Agency only conducts activities in unincorporated areas of the County, with exception of County/City joint project areas or joint powers authority.  Cities have their own redevelopment agencies and provide administration and oversight to project areas within their jurisdictions.


What is a joint project area?

California Community Redevelopment Law allows two or more agencies within different territorial jurisdictions to conduct their redevelopment activities jointly.  For example, the County and the City of Montclair share in the responsibility of administering duties and funds in a joint project area (Mission Boulevard) that includes properties in the territorial jurisdiction of both the City and the County.

What is a joint powers authority?

A Joint Powers Authority (JPA) is an entity permitted under California law where two or more local governments can operate collectively.  A JPA has a separate Board of Directors and are given powers authorized by an agreement typically referred to as a joint powers agreement.  The term, membership, and standing orders of the Board of the JPA must be specified in the agreement.  The JPA may employ staff and establish policies independent from their participating jurisdiction. 

What is blight?

Blight is a legal term used solely for purposes of determining whether a community can qualify for redevelopment or federal funds.  Because an area is defined as “blighted” it does not mean each home or business is blighted.  Generally speaking, blighted areas are those that create serious economic or physical burdens on a community.  Such areas cannot be improved by government or private enterprise alone.  Redevelopment is usually accomplished by forming partnerships with other government agencies and private enterprise.

California law provides a detailed explanation; Sections 33000, 33030 and 33031 of the California Redevelopment Law describe the conditions which define a blighted area.

Section 33030
  • It is found and declared that there exist in many communities blighted areas which constitute physical and economic liabilities, requiring redevelopment in the interest of the health, safety and general welfare of the people of these communities and of the state.
  • A blighted area is one that contains both of the following:
  1. An area that is predominantly urbanized, as that term is defined in Section 33320.1, and is an area in which the combination of conditions set forth in Section 33031 is so prevalent and so substantial that it causes a reduction of, or lack of, proper utilization of the area to such an extent that it constitutes a serious physical and economic burden on the community which cannot reasonably be expected to be reversed or alleviated by private enterprise or governmental action, or both, without redevelopment.
  2. An area that is characterized by either of the following:
  • One or more conditions set forth in any paragraph of subdivision (a) of Section 33031 and one or more conditions set forth in any paragraph of subdivision (b) of Section 33031.
  • The condition described in paragraph (4) of subdivision (a) of Section 33031.
  • A blighted area also may be one that contains the conditions described in subdivision (b) and is, in addition, characterized by the existence of inadequate public improvements, parking facilities, or utilities.

Section 33031
  • This subdivision describes physical conditions that cause blight:
  1. Buildings in which it is unsafe or unhealthy for persons to live or work.  These conditions can be caused by serious building code violations, dilapidation and deterioration, defective design or physical construction, faulty or inadequate utilities, or other similar factors.
  2. Factors that prevent or substantially hinder the economically viable use or capacity of buildings or lots.  This condition can be caused by a substandard design, inadequate size given present standards and market conditions, lack of parking, or other similar factors.
  3. Adjacent or nearby uses that are incompatible with each other and which prevents the economic development of those parcels or other portions of the project area.
  4. The existence of subdivided lots of irregular form and shape and inadequate size for proper usefulness and development that are in multiple ownership.
  • This subsection describes economic conditions that cause blight:
  1. Depreciated or stagnant property values or impaired investments, including, but not necessarily limited to, those properties containing hazardous wastes that require the use of agency authority specified in Article 12.5 (commencing with Section 33459).
  2. Abnormally high business vacancies, abnormally low lease rates, high turnover rates, abandoned buildings, or excessive vacant lots within an area developed for urban use and served by utilities.
  3. A lack of necessary commercial facilities that are normally found in neighborhoods, including grocery stores, drug stores, and banks and other lending institutions.
  4. Residential overcrowding or an excess of bars, liquor stores, or other businesses that cater exclusively to adults, which has led to problems of public safety and welfare.
  5. A high crime rate that constitutes a serious threat to the public safety and welfare.


What are the benefits of redevelopment?

Through redevelopment, a project area receives financial investment and focused attention from a team of redevelopment professionals. Through this focused attention, the trend of deterioration is reversed, jobs are created, the business climate is revitalized and the housing stock is expanded and rehabilitated. Private enterprise and citizens become more willing to invest and participate as the area is transformed.


Which laws govern redevelopment agencies?

The California Community Redevelopment Law (CRL), contained in the California Health and Safety Code beginning with Section 33000 et seq., provides the authority and implementation provisions for a redevelopment agency.  

Section 34000 of the California Health and Safety Code and subsequent sections outline special provisions and guidelines for redevelopment after federally declared disasters; these guidelines are known as the Community Redevelopment Disaster Project Law.  The Cedar Glen Disaster Recovery Project Area, formed after the 2003 Old Fire, is the County of San Bernardino’s only project area formed under the Community Redevelopment Disaster Project Law.

In 1952, California voters adopted Article XVI, Section 16 of the California Constitution, providing for tax increment financing. Redevelopment activities also must follow other local, state, and federal laws.

What is a redevelopment plan?

A redevelopment plan is the framework for a project.  The plan provides the redevelopment agency with powers to make infrastructure improvements, use tax increment financing, buy and sell land within the area covered by the plan (the project area), and take other actions. Each project area has its own redevelopment plan.


What is an implementation plan?

An implementation plan is a required report that must be updated every five years.  The report:
  1. Enables redevelopment agencies to document the link between eliminating blight and the agency’s proposed actions.
  2. Documents the program of actions that a redevelopment agency has engaged in during the past five years and describes how such programs helped alleviate blight.
  3. Prescribes specific goals and objectives of the agency for the next five years. These goals and objectives relate to capital projects and affordable housing.


What is tax increment?

California’s redevelopment agencies obtain funds through "tax increment financing." On the date the County approves a redevelopment plan, the properties within the boundaries of the plan has a certain total property tax value (referred to as “assessed value”). If this total assessed value goes up, most of the taxes that are derived from the increase in that assessed value go to the redevelopment agency.  The remaining portion is distributed to school districts, fire departments, and other local entities; this portion is referred to as “pass-throughs”.  

Total assessed valuation can increase as a result of a change in ownership of a property, newly-added building space (additions or new buildings), and other improvements to property. This extra property tax generated is the "increment."  Property taxes within a redevelopment project area are governed by the same laws that limit property tax increases outside of the area.

Usually, the flow of tax increment revenues to the agency will not be sufficient to finance the full scope of redevelopment activities and development projects. Therefore, agencies issue bonds. These bonds are not a debt of the County or the property owners in the project area, and are repaid solely from tax increment revenues. Tax increment monies can be used only in the same project which generates them.


How is tax increment spent?

Under the State’s tax increment rules, the Agency must spend its tax increment according to a plan, referred to as a Redevelopment Plan.  The Redevelopment Plan sets the basic goals and objectives of the Agency, which often include description of the types of expenditures and programs the Agency can fund.  Though often broad and flexible, typical actions include rehabilitation of roads, storm drains, wastewater, and water infrastructure and the construction of new facilities.  There is one absolute requirement with regard to the expenditure of tax increment funds:  20 percent of the revenue must be spent on affordable housing.  

Tax increment is only generated within a distinct geographic area.  Although there are some exceptions, tax increment funds are mandated to be spent within the same redevelopment area which generated them.


Will my property taxes increase because of redevelopment efforts?

No.  Tax increment does not change the amount of taxes that a property owner is required to pay.  The redevelopment agency does not have the authority to set tax rates or levy property taxes. Property tax rates on properties within a redevelopment project area are governed by the same laws as properties outside redevelopment project areas.
Until a property is improved or sold, assessed value and tax rates on redevelopment areas are governed by Proposition 13.

When redevelopment activities are successful, the property values within and around the redevelopment project area increase over time due to the sale of property, or the rehabilitation and new construction of buildings. Thus, property tax increment revenues are the result of the increase in property values, not an increase in tax rates.

How are other entities that rely on property taxes affected by tax increment financing?

Taxing entities such as the county general fund, school districts and special districts that serve the project area continue to receive all the tax revenues they were receiving the year the redevelopment project was formed. Taxing entities also receive a portion of the incremental increase in property tax revenues from a redevelopment project area that increase over time as a percentage of the total tax increment (pass-through).

Why do redevelopment agencies have debt?

When California voters approved a constitutional amendment in the early 1950s, the amendment added a requirement that a redevelopment agency must have debt in order to collect property tax revenue (tax increment).  Debt is broadly defined in state law to mean all of the obligations that are incurred by a redevelopment agency, whether short-term or long-term.

The requirement that redevelopment agencies must have debt ensures that redevelopment agencies have the resources necessary to engage in redevelopment activities even though their annual tax increment may be small.  Issuing bonds backed by future tax increment puts redevelopment agencies in a position of debt, but also gives them a lump sum of money to work with instead of just annual infusions of tax increment.  This enables the Agency to finance projects that otherwise could not be afforded.

Annually, each redevelopment agency prepares a statement listing all of its current and future obligations, including not only long-term bonds, but also contracts to pay rent, pay employees or to buy land. These are all considered "debt" of the agency. No other form of government is required to operate under mandatory debt.

What about eminent domain?

Not all redevelopment project areas have the authority of eminent domain.  Because eminent domain may only be used after negotiations between the agency and the private property owner fail, it is very rarely utilized. Agencies use eminent domain when the well-being of the residents or businesses in the project area is in jeopardy and there is no other means of improving the area. For example, agencies occasionally use eminent domain to condemn hazardous and dilapidated structures in distressed areas.

California Redevelopment Law requires that the agency hold public hearings on the eminent domain actions, pay the owner fair market value and provide the occupant all relocation benefits and allowances entitled by law. Acquiring property this way is typically used only as a last resort since it is generally time-consuming and costly. The time period for acquiring property through eminent domain within the project area may not exceed 12 years after the establishment of the project area.


What is the process for establishing a project area?

Creating a redevelopment area is a lengthy and complicated process. The formation of a new redevelopment area is regulated by California Community Redevelopment Law (Health and Safety Code Section 33000, et. seq.) and requires public noticing, volumes of mandated documentation and public hearings before the Planning Commission, Redevelopment Agency and County Board of Supervisors.  State law requires that physical and economic blighting exist in the project area and includes many restrictions regarding where these project areas can be created.

How do I find out if I live, work or own property inside of a project area?

Detailed information and maps for each project area can be found here.

You also can contact the Redevelopment Agency at (909) 387-9804 to speak with one of our staff members.

I am buying a home in a project area.  Can you provide assistance with the mortgage, closing costs and down payment?

The County Redevelopment Agency and Department of Community Development and Housing work together to develop and implement housing programs within unincorporated portions of County redevelopment project areas.

The Department of Community Development and Housing offers an array of homeownership assistance, including down payment and closing costs.  For specific information about these programs, click here.

How do I bid on Redevelopment Agency projects?

The Redevelopment Agency lists current Requests for Proposals/Qualifications on our webpage.

I want to do some home improvements and need assistance. What help is available to me?

The County of San Bernardino department of Community Development and Housing administers several home improvement and repair programs that can be found here.  Additionally, the RDA works with CDH to administer a home rehabilitation program for residents of Cedar Glen, which can be found here.


 [NOTE:  The RDA will have programs available in both Mission Blvd and Speedway Project Areas after the new fiscal year.]


How can I find a property in a redevelopment project area?

Check out our profiles of preferred development sites located here or submit a site search form.


Can you help me market a site in the County of San Bernardino?

Submit a site marketing form to our Economic Development Department. We will add it to our database.


Which business resources are available in the County of San Bernardino?

The County of San Bernardino offers a wide range of business resources through our Economic Development and Workforce Development Departments that can be found here.


What is an enterprise zone?

An enterprise zone is an area that has been designated by the California Technology and Trade Agency as being economically depressed. Special tax incentives are available for qualifying businesses located within an enterprise zone. Please click here for more information or visit the San Bernardino Valley Enterprise Zone.