Los Angeles Mayor Karen Bass today unveiled a nearly $13 billion city budget proposal for the 2023-2024 fiscal year, which she said reflects the city’s values and invests in the needs the most critical, including homelessness, public safety and funding for a “New LA”.
“There’s a difference between spending and investing,” Bass told a news conference. “There is a difference between spending and investing. This budget makes investments to bring people together in the interior and in public safety and other areas that will generate a return in lives saved, and in terms of quality of life and better neighborhoods.
The mayor’s proposed spending plan calls for near-term stability, but at a slower-than-historic rate of growth in municipal tax revenue of just 2.4%. The general fund general budget will increase by 5.6% in part due to the transfer of $115 million from the reserve fund. Bass’ budget proposal includes reserves of 10.03%, just above the 10% target set in the city’s financial policies.
Bass stressed that his budget is “solid” and financially solvent, saying it will allow his administration to set ambitious goals for the city’s future.
The proposed budget commits an “unprecedented” $1.3 billion to address the city’s homelessness crisis. In addition, nearly $250 million will be used to expand the mayor’s Inside Safe program citywide, a plan to bring people together in tents and encampments, with the goal of housing 17,000 Angelenos the first year.
Inside Safe’s main budget areas will allocate $110 million to pay for motel fees and other interim accommodation costs; $47 million to purchase motels and hotels to reduce future program costs; $10 million earmarked for staff, including administrators and property managers, as well as administrative funding for service providers; $62 million for ongoing services such as case management, food, residential staffing and support services; and $21 million for the development of transitional and permanent housing, and the establishment of a 12-month monthly rental assistance program.
“This budget breaks new ground in financing the purchase of hotels and motels, which will reduce costs compared to renting rooms,” Bass said.
“This is long overdue and something the community considers common sense.”
She said the spending proposal would commit funds for the Los Angeles Police Department and efforts to bolster its dwindling ranks, with the goal of increasing the number of officers to 9,504. Bass said he wanted the city to support the hiring and training of new officers, and also provide funding to bring recently retired officers back to the department for up to 12 months.
His spending plan also includes about $1 million to speed up the application process for applicants to join the LAPD. The city is also developing an incentive program that will offer bonuses of up to $15,000 for new officers and lateral recruiting.
“This budget supports urgent efforts to also grow the police department to offset attrition to reach a year-end size of 2,500 (new) officers,” Bass said.
“It’s an ambitious goal, but we must be bold to reverse the downward trend in LAPD size as we work to restore the department to full size.”