As the city grapples with a roughly $1 billion deficit and state aid unlikely to come, the City Council Thursday will consider a menu of changes to Mayor Karen Bass’ proposed $13.9 billion budget for fiscal year 2025-26, which some elected officials have said would close the gap while preserving core services and reduce planned layoffs.
The five-member Budget and Finance Committee reviewed the spending plan and advanced recommendations to prioritize funds and dramatically reduce the number of layoffs initially proposed in part to address the deficit.
Under Bass’ original proposal released in April, she called for 1,647 layoffs and the elimination of 1,053 vacant positions. The $1 billion deficit is a result of overspending, costly liability payouts, lower tax revenues, labor contracts and fire recovery, among other challenges.
After weeks of discussions with department heads and crunching numbers, Councilwoman Katy Yaroslavsky, chair of the budget committee, said their revisions would reduce layoffs by more than half.
The committee curtailed new spending while ensuring enough funds remained available to hold over current — or in some cases expand — some city services.
Among the recommendations is a call to reduce sworn hiring in the Los Angeles Police Department to 240 recruits in six classes of 40 from a proposed 480 recruits in 12 classes of 40, which would result in a savings of $13.31 million. City officials expect to restore about 133 or more LAPD civilian positions, of 403 jobs on the chopping block. Those restorations include specialized positions for investigations.
Committee members also recommended not to allocate additional dollars for a new homelessness unit within the Los Angeles Fire Department. Overall, the fire department is poised to see a $46.7 million increase to its operational budget next fiscal year compared to the 2024-25 fiscal year. LAFD would also receive nearly $80 million in what is known as MICLA funds for helicopters and maintenance of fire vehicles and apparatus.
The Department of Animal Services would receive $5 million from the unappropriated balance fund for the restoration of 62 positions and to ensure current service levels remain in the next fiscal year across all six city-operated animal shelters.
While elected officials noted some layoffs are inevitable, the proposal would restore funding and position authority for the following departments:
— 22 positions in the Information Technology Agency;
— 77 positions in the Department of General Services for building maintenance, custodial services, fleet services and building decarbonization;
— 108 positions in the Department of City Planning;
— 63 positions in the Bureau of Sanitation, and funding for five days of CARE/CARE+ services to all Council Districts, and another 43 positions in the bureau to address illegal dumping;
— 67 positions in the Bureau of Engineering;
— 122 positions in the Department of Transportation, including 75 traffic officers; and
— 130 positions in the Department of Recreation and Parks
Additionally, Bass called for the consolidation of the aging, economic and workforce development and youth development departments into community investment for families — a move the committee recommended should be approached in a more gradual manner.
Once the City Council formally votes and revises the budget, it will head back to Bass for her consideration.
The city is expected to finalize its budget by the end of the month, but has until the start of the next fiscal year in July to do so.