S. S. Community.... City of La Habra Est. 1925 Administrative Building City of La Habra*

As of the date of the dissolution of the redevelopment (February 1, 2012), all city operated redevelopment agencies, except Mission Viejo and Seal Beach, were exceeding the administrative cost limits of the 5% of the tax increment distributed related to the ROPS as authorized by AB 1X 26. Response: Agree with finding F1.

Of the agencies surveyed, only Costa Mesa and Santa Ana reported having a citizen involvement committee along the line of a Project Area Committee as authorized by Section 33385 of the Health and Safety Code. Response: Agree with finding F2.

Historically, external oversight over redevelopment has been missing or ineffective in monitoring redevelopment agency compliance and performance. The newly formed oversight boards offer a potential to improve on the record by providing critical evaluation of existing projects and management of successor agency debt Response: Disagree with finding F3. I disagree wholly with the finding because the La Habra Redevelopment Agency has annual audits done by independent auditors and had reports required by the State of California Housing and Community Development Department. The La Habra Dissolved Redevelopment Agency had zero items disallowed on their Recognized Obligation Payment Schedule after audits were done by both the Department of Finance and the Orange County Auditor Controller. The above statement is too broad a brush to paint all former redevelopment agencies as below par due to the mismanagement of other agencies. La Habra's has a record of integrity in compliance of redevelopment laws and performance utilizing those funds in the proper manner.