Committee approves T‑FAR sale over convention center; debate over where public-benefit payments should go

A City Council committee on Tuesday voted to approve a transfer-of-development-rights transaction that sells air rights above the convention center and sets associated public‑benefit payments, the committee chair announced.

The planning department told the committee the project uses the city's T‑FAR process and identifies a T4 payment of $1,370,905 and a public‑benefits payment of $11,000,462. Planning staff said at least 50% of the public‑benefit payment would be placed in a public‑benefits trust and the remainder would be paid to the Los Angeles Housing Department trust as described in the planning report.

The vote followed questions about whether those funds should be spent citywide, limited to a one‑mile radius of the project or directed to Council District 14, where a council office had requested the money be reserved for district uses. Kevin Aconidia, director of planning for Councilmember Jurado, told the committee the T‑FAR program and the calculation of payments are prescribed by municipal procedures and that staff had previously managed T‑FAR receipts under a citywide trust. “There is a committee of city staff who recommends how to spend these dollars,” Aconidia said during his presentation.

Committee members debated that staff recommendation. One member argued the funds should be earmarked to help planning and modernization of the convention center — a city facility that will require significant general‑fund investment — rather than be used only for district or general affordable‑housing purposes. That member described directing some portion to convention‑center planning as a way to reduce future general‑fund pressure.

Chair Blumenfield said the committee's action approves the planning report, the T‑FAR sale and the staff recommendations on allocation of payments. The committee recorded votes in favor from Blumenfield, Councilmember Hot, Councilmember Nazarian and Councilmember Roman; Councilmember Lee was absent.

Discussion focused on two practical points: (1) under the municipal rules, roughly half of the payment is routed through the public‑benefits trust that spends within a defined radius (often one mile) of the project site, and (2) a discretionary committee of city staff can recommend recipients for the remaining direct payment. Staff confirmed the city has flexibility about which entities may receive the direct payment under the ordinance that implements the T‑FAR program, and that a district office's request to direct the payment to a district trust had been received and considered by the committee.

The committee approved the planning report and related actions for the item. The committee also discussed but did not adopt a unilateral redirection of all funds to the convention center; members instead approved the staff recommendation while noting options for a targeted convention‑center planning fund could be forwarded to the full council.

The committee recorded the final vote as in favor and the item was approved.