Mayor Karen Bass and four City Council members on Monday traveled to Sacramento to advocate on behalf of Los Angeles for wildfire recovery aid and other potential funding to address budget concerns.
Bass, Council President Marqueece Harris-Dawson, Councilman Bob Blumenfield, Councilman Adrin Nazarian, and Councilwoman Katy Yaroslavsky, chair of the budget committee, will meet with state lawmakers Monday and return in the evening.
“We are certainly here seeking assistance -- one with our general budget, but also because of the wildfires,'' Bass told City News Service.
“This is actually the first time in recent history that the speaker nor the head of the (state) senate are from the L.A. area.,” she added.
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“They're both from the Bay Area. It's important that we're here, that we're visible and that we're clear about what Los Angeles needs to have an excellent recovery and to prepare for the next year's World Cup.”
The LA group will meet with state Senate President Pro Tempore Mike McGuire, Senate Budget Committee Chair Scott Weiner, and Sen. Maria Elena Durazo, vice chair of the L.A. County legislative delegation. Collectively, the delegation's 39 assembly members and state senators represent nearly 10 million Californians.
They will also meet with Assembly Speaker Robert Rivas and Assemblywoman Tina McKinnor, chair of the L.A. County legislative delegation.
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Bass represented California's 47th State Assembly District in 2004, and later served as the 67th speaker of the Assembly in 2008. She also represented California's 33rd Congressional District from 2011 to 2022.
The mayor touted her experience and said relationships at the state and federal level are "very important.”
While the city may not receive state aid immediately, Bass expects meetings with state lawmakers will move the needle for LA.
“You know the budget here, there will be the May revise, which happens 30 days after taxes are due,” Bass told CNS. “So, the state will have a much better picture of its economy.”
“They prepare the budget, which is due by mid-June, and so hopefully, there will be some additions in that budget that will provide resources for the city and the county,'' Bass added.
The trip to Sacramento comes a week after elected officials learned they face a nearly $1 billion gap in the next fiscal year. Bass and the City Council are already exploring potential solutions to right-size the budget – which will require tough financial decisions that could lead to thousands of layoffs and cuts to services.
City Administrative Officer Matt Szabo reported a $61 million starting gap, which will be exacerbated by $315 million in lower-than-anticipated revenue from taxes, $100 million in liability payouts that are expected to increase, $275 million needed to restore the reserve fund, $80 million related to solid waste fees, and $100 million to cover pensions for members of the Los Angeles police and fire departments.
The financial crisis can also be attributed to new labor contracts with police, civic workers and firefighters, which are expected to add another $250 million in costs in FY 2025-26.
He also continued to warn of rising legal payouts. Szabo previously reported $112 million in liability costs, and most recently projected that by the end of FY 2024-25 that expense will increase to $320 million.
In a letter, Bass said she will “deliver fundamental change in the way the city operates.” She directed the CAO to report to her with strategies to “reduce spending significantly while protecting essential services.”
“This year, we must deliver fundamental change in the way the city operates and base our budget on how the city can best serve the people of Los Angeles and to best use their scarce budget dollars,” Bass said in her statement.
According to Bass’ office, downward economic trends mean the city is projected to take in hundreds of millions of dollars less than previously projected. In addition to these trends, costs associated with the recent wildfires are also expected to add to the burden.
The mayor is expected to release her proposed budget April 21.
