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BUDGET 2024 2025

Mayor Bass Proposes Budget To Continue Urgent Progress on Homelessness, Safety and Livability

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Proposed Budget Breaks Away from Budgets of the Past, Focuses on Critical Hiring and Puts City Family over Empty Desks

LOS ANGELES – Los Angeles Mayor Karen Bass released her proposed budget today to continue her work to move Los Angeles forward. The budget lays out investments to continue urgently housing Angelenos and work to make Los Angeles safer and more livable for all. This year's process has uncovered a clear need for a reset of the City’s budgeting process – one that is honest, transparent and squarely focused on serving Angelenos. Watch this morning’s press conference here and read the budget summary released today here

“I am releasing a proposed budget today that makes investments to continue the urgent work we began together last year to bring thousands of unhoused people inside, make Los Angeles safer and continue delivering critical services for Angelenos,” said Mayor Bass. “In the coming year, we will face challenging times, and this budget serves as a “reset” toward prioritizing core city services and a more honest, transparent and focused budget process to build on the foundation of a new Los Angeles that we established together.”

This budget will continue to hire for critical positions including sanitation, street services, police officers, firefighters and others, while eliminating vacancies that in many cases have been on the books for years, thereby prioritizing actual service delivery over empty desks.

This budget is fiscally prudent in that it replenishes the City’s cash reserves with new revenue and ensures the City remains prepared to weather uncertainties in the year ahead. 

Key budget highlights include: 

  • HOMELESSNESS – In 2023, thousands more Angelenos came inside than the year before. This budget continues to respond to the homeless emergency and funds efforts to reduce homelessness. We must continue to break new ground with new strategies and deliver more services and housing to bring more people inside from tents, cars and RVs. We must continue our new efforts to prevent Angelenos from losing their homes and ending up on the streets. This budget allocates a total of $950 million to continue responding to the homeless emergency and funds efforts to reduce homelessness. This is a decrease from the previous year’s allocation but in no way indicates a decrease in urgency. The funding is lower in part because of the winding down of Proposition HHH, a voter approved bond measure that has been fully allocated to projects. Mayor Bass made clear during the press conference today that services are being delivered in partnership with the County and that an MOU is currently being delivered, further reducing the projected costs associated with confronting the crisis this year. The emergency and urgency continues. Two key goals that are supported by this budget proposal are lowering the cost of housing and developing a stronger model for delivering the services necessary to make sure Angelenos move from the streets and never return. 

  • SAFETY – With a record number of applicants applying to the police academy following a new contract for those who protect us every day, this budget focuses on recruitment and retention of police officers. It also maintains our staffing goals for the department, allowing full police academy classes. We are continuing our expanded approach to supporting the safety of our communities by focusing on preventing crime and interrupting the cycles of violence. The budget maintains the current level of investments which have strengthened gang prevention and community violence intervention programs. The budget also funds the hiring of firefighters. The vast majority of calls LAFD responds to are medical in nature. The budget continues the Emergency Appointment Paramedic Program to hire paramedics to respond to these urgent calls. The wellbeing of our firefighters and first responders is paramount. Funding is provided to support equity and inclusions in staffing to promote an inclusive workplace. 

  • CITY SERVICES – A world class city deserves world class services. This will not happen without investing in livable wages for city workers. In addition to first responders, there will also be a significant investment in other members of the City family and hiring for critical positions will continue. This ensures that quality critical services – from sanitation, pothole repairs to park maintenance to community beautification and traffic safety – are delivered to Angelenos in every corner of the City. Vacant positions do not fill potholes, sweep streets or staff parks – and too many of these positions have been there for years because of flawed budgeting that does not reflect how departments should actually operate. That being said, the proposed budget still includes more than 5,000 vacant positions that remain on the books. To further improve the delivery of services, this budget will invest in modernization of the MyLA311 system to better meet the needs of Angelenos. By investing in system enhancements, departments will be better able to respond to calls for service, and residents will be better informed about when services will be delivered.

  • CLIMATE – We are working toward more sustainable and resilient city operations and infrastructure to protect the environment and build a greener Los Angeles. The budget continues to prioritize investments toward fighting climate change, including transportation electrification, water recycling and treatment, and organics recycling. The Mayor has announced a new climate cabinet, new climate plans at key City departments, stakeholder engagement, and action on climate justice. Together, we are advancing our work to make Los Angeles a 100% clean energy city by 2035.

  • CREATING OPPORTUNITY – The budget continues investments to create more opportunities for young people, families and vulnerable Angelenos with an eye toward helping Angelenos tap into the economic opportunities that the upcoming world events like the 2028 Games will bring to the region. We are working toward making it easier for Los Angeles businesses to open, thrive and expand. Departments will be continuing their work to improve customer service thereby saving time and cutting down costs for small business owners through implementation of Executive Directive 4.

  • RESPONSIBLE AND TRANSPARENT GOVERNMENT – Mayor Bass understands the importance of responsible budgeting and protective reserves having navigated California through the most difficult economic decline since the Great Depression. Last year, the Mayor and City Council made preparations for unexpected impacts and this year’s budget proposal prepares the City for unexpected economic impacts as well. This budget is fiscally prudent in that it replenishes the City’s cash reserves with new revenue and ensures the City remains prepared to weather uncertainties in the year ahead. The City Charter requires a 2.75% emergency reserve and the City Financial Policy dictates a 2.25% contingency reserve, combining for a 5% cumulative reserve. Despite this difficult forecast, and after closing deficits in the 23-24 fiscal year brought on by less-than-expected revenues and unexpected costs, this budget maintains a 7.91% cumulative reserve of General Fund receipts and preserves the Budget Stabilization Fund. The budget also invests in increased ethical governance.

As a part of the budget released today, the Mayor sent a letter to City Council outlining the path ahead as well as summary points regarding the budget. Read the letter here.

The Mayor also released a budget summary document, read that here. Read the full budget here.

The budget will next be considered by the City Council’s Budget, Finance and Innovation Committee.