Los Angeles is bracing for a period of fiscal uncertainty as it tackles multiple challenges simultaneously. The city’s convention center upgrade, aimed at hosting the 2028 Summer Olympics, has been delayed due to ongoing recovery efforts from the 2018 wildfires. This development signals that Los Angeles is entering a challenging phase, testing its ability to manage finances and recover from devastating natural disasters.
Councilmember Katy Yaroslavsky, newly appointed chair of the budget committee, acknowledged that the next few months will be difficult but expressed her commitment to achieving a balanced budget. To achieve this, she is exploring options such as leveraging unused city land for lease or sale, tapping into savings, and prioritizing funding streams.
However, the city’s reliance on federal assistance may become increasingly uncertain under President Donald Trump. The administration’s stance on immigration enforcement has raised concerns among city leaders, who have historically taken a sanctuary-city approach to protect immigrants and uphold public safety. Yaroslavsky emphasized the importance of respecting the federal government’s role while maintaining the city’s core values.
As Los Angeles navigates these challenges, its priorities will be influenced by multiple funding streams, including county voter-approved tax increases for homeless services. The city must also contend with the potential reduction in federal aid, which could impact homeless services, fire recovery, and Olympic planning.
Yaroslavsky rejected the notion that Los Angeles is forced to choose between capitulating to Washington or going broke, describing it as a “false choice.” Instead, she highlighted the need for a balanced approach, utilizing available resources and exploring innovative solutions to address the city’s fiscal challenges.
Source: https://smdp.com/opinion/how-will-los-angeles-balance-fire-recovery-olympics-prep-and-homelessness