L.A. could be ‘GOING BROKE’ after blowing past yearly liability budget in just 3 months, controller says

Los Angeles IS BROKE.  It has a large deficit. Even the City Controller, a whacked out crazy Progressive, announced it.

“In spite of L.A. having a budget of $87 million for lawsuits and settlements for the fiscal year, the city has already paid out $97 million — in just three months.

Of that $97 million, $59.4 million was for the Los Angeles Police Department alone.

The “miscellaneous” category came in second with $21.7 million, though Mejia noted the vast majority of that amount was for two specific incidents.

But the city is losing productive people and firms.  None want to be left holding the bag when the city facing what happened in New York and Detroit.  The only difference is that we are fighting with San Fran and Oakland to be the next major America city to go belly up.

L.A. could be ‘GOING BROKE’ after blowing past yearly liability budget in just 3 months, controller says

by: Cameron Kiszla, KTLA.   10/4/24  https://ktla.com/news/local-news/l-a-could-be-going-broke-after-blowing-past-yearly-liability-budget-in-just-3-months/

The city of Los Angeles is paying out lawsuit settlements at a dangerous rate, according to City Controller Kenneth Mejia.

Mejia posted to X, formerly Twitter, on Thursday to announce a “CITY OF LA GOING BROKE ALERT,” pointing to problems in the liability claims budget.

In spite of L.A. having a budget of $87 million for lawsuits and settlements for the fiscal year, the city has already paid out $97 million — in just three months.

Of that $97 million, $59.4 million was for the Los Angeles Police Department alone.

The “miscellaneous” category came in second with $21.7 million, though Mejia noted the vast majority of that amount was for two specific incidents.

“There are ~400 accounting transactions for misc. that make up the $21.7 million,” Mejia responded to a commenter. “Here are the 2 largest that make up $18M (83%).

• $10.5M: A fixture at the top of a street lamp fell on a person’s head
• $7.5M: Person lost arm after attack from an adopted animal shelter dog.”

As Mejia pointed out, the $10.5 million did not come out of the budget of the L.A. Bureau of Street Lighting, nor did Los Angeles Animal Services pay $7.5 million or police pay nearly $60 million.

“Liability claim payouts aren’t taken out of the budgets of the individual City Department that gave rise to the liability – instead, they mostly come out of the General Fund which is mainly used to fund city services and resources for Angelenos,” Mejia said.