L.A. council agrees to give up some special funds

The Los Angeles City Council voted Thursday to give up $12 million that would normally pay for pet projects in their districts and instead use it to replenish the city’s emergency reserve. The city's credit rating has been downgraded in recent days in part because officials plan to tap that reserve to counter the city's $212-million budget shortfall.

With the city facing up to 4,000 job cuts, Mayor Antonio Villaraigosa asked council members last month to loan the reserve as much as $40 million from their discretionary accounts, which they have used for projects such as crosswalks, pocket parks, street repair, graffiti removal and, on occasion, their staff salary accounts.

Council members agreed that each of their 15 offices could determine which accounts to draw money from to reach their $800,000 share of the total. City officials expect most of the money to come from a fund replenished with tax revenue from redevelopment areas. The money is currently earmarked for economic development projects in the council districts that encompass those redevelopment areas.

Councilman Greig Smith said Thursday’s action was a first step and that budget analysts would continue to scour the accounts to identify other money that may be available to help cover this year’s gap. For some of the accounts, such as one for mitigation measures around the Sunshine Canyon landfill, there are legal restrictions limiting how money can be used.

-- Maeve Reston at Los Angeles City Hall

RELATED:

Villaraigosa sets sights on City Council's pet project funds

Comments

[Julian B Duron]

Time for a pay cut of the Elected 15 + 1 This 20% personal salary cut and then Mayors office and Council office staff budgets reduce staff by 20%.
Done the math on 93 present positions for Mayor's Office and 108 present postions for Council Offices. 10 million dollars easy. Little price to pay for such a bang job so far with City Budget. No one else was driving this crashed train wreck! No more whining about back seat drivers. (unions) Lead by example start with your shortcomings while in office.

[Anonymous]

Councilman Greig Smith has been using the Sunshine Canyon Landfill money to go to Europe each year to study "alternative landfill strategies". How about investigating that. What has he learned and what are the results and how are those technologies being utilized by the City of LA. How has the city benefited from his trips, a question that should be asked of all politicians who use such moneys for their fun trips.

[Two Cents]

Julian...right on! The City Council has a total of over 300 staff members between the 15 Council members, each Council members office gets 8 city vehicles, and our Council members are the highest paid of any in the nation. They want to take money out of employees pay, but not give up any of their perks, pet projects, special funds, etc. And the Mayor is so proud of himself for his 16% salary cut...well, that would be nice if HE lived in the same world as most City employees...you know, the one where we pay our own rent/mortgatge, our own car payments, pay for our own gas, meals, etc. Yes, he took a 16% pay cut, but he gave up no perks, so I don't think it made too much of a dent in his wallet...just my opinion.

[Judd Thomas]

Thank you Julian, I couldn't have said it better myself.

[West Valley Dave]

"Some of their discretionary funds"? "Loan the reserve as much as $40 million from their discretionary accounts"?

These funds should be completely taken away from these idiots. These funds are just used for paying back favors by giving supporters trinkets whether it involves sidewalks, certificates of appreciation or anything else. A certificate doesn't do the city any good. These buffoons have driven the city into the dirt and its time for them to feel the hurt just like the rest of us.

[TAM]

Our so called leaders need to lead by example, but they do not. The city council needs a pay cut like everyone else has taken. The city council only cares citizens when they are up re election or trying to get elected to another office.

[jay]

I agree with Julian-

Doesn't it make you proud to know your council person was willing to loan the city 25% of their slush fund.

Rosendahl, what you gonna do with the rest of your money?? Why not put the bums who live on our street into motels?????

Jay in Venice

[Mike]

I think before any money is turned over we need to see just how much is really in these so called slush funds. We hear the figure of 25 million. Maybe its more like 50 or 100 million. Their should be a full audit of how much really is their and where it came from and what the running balance is.

Second question. Is it then worth throwing the peoples good money after bad. This is not going to solve the real budget problem. Its only going to kick the can down the road.