Redevelopment Successor Agency Dissolution

Successor Agency Request to Dissolve

Health and Safety Code (HSC) section 34187 states to formally dissolve a Successor Agency (Agency), the Agency shall submit to the Oversight Board (OB) a request to dissolve, with a copy of the request to the County Auditor-Controller (CAC) within 30 days once the following three conditions have been met:


  • All of the enforceable obligations on the Recognized Obligation Payment Schedule (ROPS) have been retired or paid off
  • All real property has been disposed of pursuant to HSC section 34181 or 34191.4
  • All outstanding litigation has been resolved


Approval Process The OB shall approve the request within 30 days and submit the request to the Department of Finance (Finance).  Finance will approve or deny the request within 30 days. 


Dissolution Final Steps


Within 100 days of receipt of Finance’s dissolution approval notification, the Agency shall dispose of all remaining assets as directed by the OB and submit the sale proceeds to the CAC for distribution to the affected taxing entities, then notify the OB of these Agency’s actions.


Upon receipt of the notification, the OB is to verify the following:

  • All obligations have been retired or paid off
  • All outstanding litigation has been resolved
  • All remaining assets have been disposed of with any proceeds remitted to the CAC for distribution to the affected taxing entities

Within 14 days of verification, the OB is to adopt a final resolution of dissolution for the Agency, to be effective immediately.  This resolution is to be submitted to the sponsoring entity, the CAC, the State Controller’s Office, and Finance by electronic means.

The above procedures do not apply to an Agency specifically recognized as dissolved by Finance prior to October 1, 2015.


Dissolved Agency

Once all enforceable obligations have been retired or paid off, all passthrough payment obligations or any passthrough agreement between a RDA and a taxing entity that was entered into prior to January 1, 1994, shall cease, and no property tax shall be allocated to the Redevelopment Property Tax Trust Fund for the Agency. 



Webpage last updated July 22, 2016

Department of Finance Seal
Governor Gavin Newsom
Finance Director Keely Bosler

    Organizational Change

    Effective July 1, 2016, the Local Government Unit within the California State Department of Finance (Finance) will merge with Finance's Office of State Audits and Evaluations. This is an organizational change only and will not impact Finance's statutory duties in carrying out the redevelopment agency (RDA) dissolution statutes. All previously established processes, RDA webpage, and RAD App will remain unchanged.