July 2, 2013: The County of Los Angeles has been ordered by the 2nd District Court of Appeal to pay an undisclosed amount to the Los Angeles Unified School District (LAUSD) in redevelopment area property tax revenues that the county had "inaccurately withheld for years," according to Christina Villacorte of the LA Daily News. LAUSD financial policy director John Walsh told the Daily News that "it's a multi-million-dollar decision."
...Under state law, the county is required to give LAUSD a share of the increase in property tax revenues [pass-through payments] resulting from redevelopment projects...
LAUSD accused the county of ...not factoring in the portion of property tax revenues diverted into the Educational Revenue Augmentation Fund.
"... our share of the pass-through pie was incorrectly reduced because the county didn't take into account all of the money," Walsh said.
The appeals court agreed, and explained that its decision means, "The resulting increase in LAUSD's property tax allocation base will cause a corresponding increase in LAUSD's pass-through payments."
Walsh said he expects [the] payments will "basically be doubled." ...other school districts, including Long Beach and the community college districts, have similar pending lawsuits...
According to state law, LAUSD can only spend on the money on facilities and maintenance costs.