As the city of Los Angeles faces an incredible budget gap of nearly $1 billion in fiscal 2024-2025, small changes are likely to come, impacting Angelenos’ daily life.
This is something that is likely to happen in the coming months after Mayor Karen Bass promised to “not flip” to make up for the budget shortage.
Thousands of layoffs
According to Public Works Commissioner Matt Sabo, it would be “inevitable” to fire many city employees.
However, as some economists anticipate stag swelling and federal funding cuts to large democratic cities, Sabo said Ramels is keeping an eye on the fact that many Angeleno and their families feel ripple effects.
“The mayor can tell us that as long as he faces these economic headwinds, he is absolutely committed to saving as many jobs and urban services as possible, meaning that other measures need to be taken immediately to curb the increased costs that are contributing to the deficit,” Sabo said.
The city told NBC Los Angeles that the cuts in jobs would not affect the Los Angeles Police Department and the Los Angeles City Fire Department.
Mayor Bass has also asked city officials to see how to reduce contract costs as well as “structural reform” as a cost-cutting measure, Szabo added.
Higher garbage bills
The city may aim to compensate for the fiscal deficit by adjusting the city’s solid waste management program.
While city tenants are burdened with collecting solid waste through recycling, Sabo claimed that many homeowners benefit from discounted fees granted by the city’s general fund.
If cities are adjusting to collect subsidies of $200 million, these discounts offered to low-income, seniors, or people with disabilities could disappear or decrease.
Szabo said the Health Department will urge lawmakers to quickly approve changes to “achieving full cost recovery.”
Currently, single-family homes pay around $75 in Binance for garbage, and that amount could increase to $155 by 2028.
Debt payment
The City Attorney’s Office will fight more vigorously against liability claims against the city to reduce payments.
Over the past three years, liability claims will cost the city more than $300 million, Szabo said.
“The plaintiff’s lawyers are becoming rich at the expense of taxpayers and city services,” the commissioner told city council on Wednesday. “All dollars involved in paying liability in a litigation cut urban services.”
Szabo added that city lawyers are working with councillors to introduce bills to pay damages and encourage councillors to use their connections in Sacramento to support the proposal.
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