LOS ANGELES, CA — Today, the Los Angeles City Council’s Budget and Finance Committee voted unanimously to advance its recommendations for the City’s FY 2026-27 budget following weeks of public hearings, department-by-department review, and extensive analysis by the Chief Legislative Analyst (CLA).
The committee’s recommendations strengthen the City’s fiscal position while preserving key priorities and programs included in Mayor Karen Bass’ proposed budget, including investments in public safety, homelessness services, and neighborhood infrastructure.
“This revised budget reflects weeks of careful work and difficult decisions to prioritize investments amidst modest revenue growth,” said Budget and Finance Committee Chair Katy Yaroslavsky. “We are facing significant fiscal uncertainty, rising costs, and serious threats on the November ballot to future City revenues. Despite those challenges, the Budget and Finance committee worked collaboratively and responsibly to protect core services, preserve key priorities in the Mayor’s budget, and strengthen the City’s financial position.”
The committee’s recommendations increase the City’s Reserve Fund from 5% last fiscal year to 6% and increase total reserves to approximately 9%, helping prepare the City for continued economic uncertainty and potential revenue volatility.
The recommendations also make additional investments to address City liabilities and improve compliance with the City’s financial policies while continuing support for programs that directly impact neighborhoods across Los Angeles.
Key actions approved by the committee include:
Funding to allow the Police and Fire Departments to continue hiring sworn personnel to keep pace with attrition while protecting civilian positions.
Additional investments in homelessness services, including interim housing, outreach, and programs focused on improving conditions in public spaces.
Expanded funding for capital repairs, deferred maintenance, graffiti abatement, tree trimming, and improvements to streets and sidewalks.
Investments to reduce liability exposure and strengthen the City’s long-term financial position.
Funding for the expansion of the Unarmed Model of Crisis Response program into additional police divisions.
In her remarks, Yaroslavsky thanked Mayor Bass, Chief Legislative Analyst Sharon Tso and the CLA team, the City Administrative Officer, and members of the Budget and Finance Committee and their respective staffs for navigating a difficult fiscal environment with discipline and collaboration.
The committee’s recommendations will now move to the full City Council for consideration.
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