Report: Labor costs impacting L.A. budget

LOS ANGELES (KABC) -- There's new evidence that labor costs are impacting Los Angeles' budget. A new report shows the city opened up a $63.7 million budget deficit in the first quarter of this fiscal year.

The report attributes the deficit to projected spending for civilian salary accounts, sworn firefighters and police officers overtime pay, and department expense accounts.

The projected deficit for the upcoming fiscal year is $318 million, $143 million of which represents pension costs.

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