Redevelopment Agency V. County Of San Bernardino

The present case raises the problem of the treatment for tax purposes of property   located in a redevelopment project which, subsequent to the adoption of the redevelopment plan, is transferred for one reason or another into public ownership. Article XVI, section 16 of the California Constitution provides that the basis for calculating taxation of property located in a redevelopment project shall be "the assessment roll used in connection with the taxation of such property by [the local taxing agencies], last equalized prior to the effective date of [the ordinance adopting the redevelopment plan]."*fn1 The Constitution also provides that tax revenue collected from property in a redevelopment project may be shared by the local taxing agencies and the redevelopment agency. It is the formula for tax allocation between the taxing agencies and the redevelopment agency which the present case addresses.