James Nash writes that California’s newest city, Jurupa Valley, population nearly 100,000, formed only two years ago, "may become the first to self-destruct in 40 years, disincorporating because Governor Jerry Brown and lawmakers stripped funds from local government to reduce prison crowding." The same fate awaits three other new Riverside County cities: Wildomar, a city of 32,000 incorporated in 2008, Eastvale and Menifee, population of 80,000, also incorporated in 2008.
If you listen to the video on Jurapa Valley's homepage, you'll hear that they blame their potential, impending dissolution solely on the last bullet listed below, but there are additional factors, including:
The video places the salvation for all four cities in SB 56: "VLF Allocations to Cities" written by state Senator Richard Roth (D-Riverside) that would have addressed inequities in the way newer cities receive VLF revenues. Sadly, the bill died in June.
Nash distinguishes disincorporation from bankruptcy by the presence of debt.
The city hasn’t issued debt and has no pension obligations, since all of its “employees” are contractors, Mayor Verne Lauritzen said.
Bonds were issued by "[a] separate government body, the Jurupa Community Services District" that will continue to operate in the event that Jurupa Valley and Eastvale disincorporate.