Los Angeles News
Los Angeles heading toward bankruptcy, says top budget analyst
LOS ANGELES (KABC) -- Los Angeles' top budget analyst has a warning for city leaders. He says the city could be headed for bankruptcy.
City Administrative Officer Miguel Santana says the city's costs are growing faster than its revenue.
His 52-page report predicts the city will run more than $300 million in the red through 2015. The report recommends a mix of cost-cutting and revenue generating steps to avoid bankruptcy. Suggestions include using money from parking meters to fund basic city services, asking voters to approve tax increases on property sales and parking lots and reducing how much the city spends on salaries, pensions, health care and workers' compensation benefits.
Santana also says the city needs to stop using one-time fixes to close budget deficits.
Mayor Antonio Villaraigosa is heeding the report. A spokesman for the mayor said it's clear that the city needs a balance between cuts in spending and an increase in revenue base. He added that the mayor's budget, due to be released April 20, will advance some of the concepts brought up in Santana's report.
City News Service contributed to this report.
budget, los angeles news
- Glendale Galleria $85K bracelet thief sought
- Colorado shooting victim dies at hospital
- Reseda shooting suspect ID'ed as Iraq war vet
- Shoppers flock to stores for last-minute gifts
- Compton chase victim remembered by loved ones
- Van Nuys arsonist suspect sought by LAFD
- HB riot suspect sentenced to 12 days in jail
- Man arrested for suspected arson in Oxnard
- US holiday travelers brace for ice and snow
- Astronauts tackle urgent spacewalking repairs
- abcnews: Army's new weapon can shoot down drones
- SUV makers unveil new efficient features
- Amy Adams talks playing sexy con artist
- OTRC: Chuck Norris spoofs Van Damme's 'Epic Split'