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Los Angeles County faces $47.9 billion budget with mounting cuts, $4 billion AB 218 settlement and wildfire costs
Summary
County CEO Fesia Davenport told the Board of Supervisors the recommended $47.9 billion budget faces emerging risks including a $4 billion AB 218 settlement, declines in property tax growth and wildfire response costs that together may require new curtailments and bonding.
Los Angeles County’s recommended budget stands at $47.9 billion and is facing a faster‑moving series of new pressures that could force cuts or borrowing, County Chief Executive Officer Fesia Davenport told the Board of Supervisors on May 7.
Davenport said the county is already “leaner” than in prior years and that the recommended budget is nearly $1.3 billion smaller than last year’s final budget. She told the board the county has cut hundreds of positions and reduced departmental spending, but said new developments — including a $4 billion settlement under AB 218 and recent wildfire response costs — are making the fiscal picture worse.
Why this matters: the settlement and other shocks reduce the county’s flexibility to fund programs and could force tradeoffs in services or borrowing. Davenport warned that borrowing to pay the AB 218…
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