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Board creates small-business interruption fund options and seeks stronger penalties after Lineage warehouse fire

Los Angeles County Board of Supervisors · August 5, 2026
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Summary

Following community reports of persistent odors, fly infestations and lost revenue after the Lineage warehouse fire, the board directed departments to pursue a business-interruption fund, explore requiring high-risk businesses to contribute, and strengthen enforcement and citation authority.

Supervisor Hilda Solis brought forward a motion directing county departments to provide immediate help to small businesses hurt by the Lineage warehouse fire and a prior oil spill, to explore a durable countywide business-interruption fund and to consider higher citation fees and mitigation requirements for high‑risk industrial operations. Solis said she would use discretionary funds to seed an initial interruption fund and asked departments to assess long-term options to hold responsible parties accountable.

Kelly Lobianco, director of the Department of Economic Opportunity, reported extensive canvassing and said persistent revenue loss and workforce impacts remain; she said philanthropic grants distributed to businesses have been largely exhausted and emergency assistance averaged roughly $3,000 per business in the programs already deployed. Dr. Nicole Klick of Public Health described a door‑to‑door survey documenting ongoing odor and fly vector problems and said environmental-health inspectors are citing the facility daily. The board approved the motion and asked departments to report back with operational proposals and outreach plans.

Public commenters, many from East Los Angeles, urged quicker evacuation options or relocation assistance for residents and more aggressive enforcement. The board directed county staff to coordinate outreach and to pursue mechanisms to compel remediation and reimbursement where possible.