Redeveloping Stateline is a gamble
In 2011, California eliminated all 400 redevelopment agencies in an effort to return the money they gathered to local school districts and other taxing authorities.
With the impending dissolution of Douglas County Redvelopment District No. 1, it’s worth noting that there will still be another redevelopment district at Stateline.
There is a direct connection between California’s elimination of redevelopment districts and the establishment of one in Douglas County at Lake Tahoe.
The longstanding goal of the redevelopment district in South Lake Tahoe was to create a large-scale venue designed to attract visitors.
The spread of Tribal casinos along the Sierra’s west slope have been eating into gambling profits of the Tahoe casinos for decades.
The idea is that bringing large conventions and events to Stateline year around could help staunch or even reverse that flow.
Redevelopment districts make their money based on an increase in property tax revenue over time. Agencies such as the county, the Douglas County School District and Tahoe-Douglas Fire District will receive the same tax dollars they did before the district was implemented, but won’t benefit from increases that come when the area is reassessed.
That’s how empty sagebrush became big box stores in northern Douglas County, generating an additional $2 million a year in property taxes.
Stateline is home to the largest sales and property tax generators in the county. The county is betting on its future with redevelopment. We hope that bet isn’t a longshot.