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With an $800M Deficit and Layoffs Coming, LA Mayor Bass Seeking Bailout
The Liberty Daily ^ | April 22, 2025 | Kenneth Schrupp, The Center Square

Posted on 04/22/2025 6:10:28 AM PDT by Red Badger

Los Angeles Mayor Karen Bass announced Monday the city faces a $800 million deficit, plans on laying off 1,647 staff, is seeking a state bailout and has “identified new revenue.”

Bass blamed the Trump administration and the economy for falling revenue.

“Cities like ours are going through challenging economic times across the nation,” said Bass. “Turmoil and uncertainty from Washington and a slowing economy are causing lower revenue projections.”

With 61,455 employees, 1,647 layoffs equate to a workforce reduction of 2.7%. With just over $8.3 billion paid out in payroll last year, the city pays its employees an average of $135,355 per year, or more than double the median citywide salary of $57,247 per year.

This means the announced layoffs would only cover about a quarter of the at least $800 million deficit.

During her State of the City address Monday, Bass said she is traveling to Sacramento to seek a state bailout, but if the state is either unwilling or unable to fund such a bailout amid falling sales and corporate tax revenue and employment, more layoffs could be necessary.

“The city attorney and I will be in Sacramento this week to meet with legislative leaders and advocate for resources while also working to manage the increasing liabilities,” said Bass.

City Controller Kenneth Mejia has been warning the city is “going broke” since the middle of last year — the city’s budget was in crisis even before the January fires.

Mejia says the city’s revenue for the current fiscal year is expected to come in $140 million below projections, while spending is $300 million higher than expected.

Mejia estimates revenues for the coming fiscal year will be $79 million lower than the updated projections for the current year due to dampening economic projections due to tariffs and “pullback in entertainment industry.”

“The impact of remote work, automation, artificial intelligence and online sales will continue to erode traditional sources of City tax revenue,” wrote Mejia. “Federal grants (which significantly increased under the last Administration) are expected to drop given the winding down of previous COVID recovery funds and the uncertainty regarding federal funds from the new Administration.”

Bass’s budget proposes spending $13.92 billion against $13.95 billion in revenue, including $8.06 billion assumed in general receipts revenue. Should general receipts be $7.89 billion as expected by Mejia, the city would fall well short of its budget, necessitating further cuts.

Notably, the proposed budget does not cut the number of sworn firefighters or police officers.


TOPICS: Business/Economy; Crime/Corruption; Front Page News; Government; Political Humor/Cartoons; Politics/Elections; US: California
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1 posted on 04/22/2025 6:10:28 AM PDT by Red Badger
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To: Red Badger

This is what happens when the productive base of an area leaves. With it goes the MONEY used to finance all the dead beats and bureaucrats.


2 posted on 04/22/2025 6:13:32 AM PDT by Mouton (There is a new sheriff and deputy in town to now!)
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To: Red Badger

LA burned


3 posted on 04/22/2025 6:13:52 AM PDT by bert ( (KE. NP. +12) Where is ZORRO when California so desperately needs him?)
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To: Red Badger
No bailout for you.
4 posted on 04/22/2025 6:13:58 AM PDT by BipolarBob (Never attribute malice to that which can be explained by incompetence.)
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To: Red Badger

She’s going to Sacramento to “advocate for resources”.

Apparently”advocate for resources” means, ask for money.

Interesting how they come up with creative descriptions for their actions.


5 posted on 04/22/2025 6:14:07 AM PDT by Dilbert San Diego
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To: Red Badger

Stop being a sanctuary for illegals and funding their healthcare, food and housing.


6 posted on 04/22/2025 6:14:24 AM PDT by jacknhoo (Luke 12:51; Think ye, that I am come to give peace on earth? I tell you, no; but separation.)
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To: Red Badger

Yeah. It’s Trump’s fault that this ghettopotumus is a crooked idiot....spit.


7 posted on 04/22/2025 6:15:21 AM PDT by lgjhn23 ("On the 8th day, Satan created the progressive liberal to destroy all the good that God created...")
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To: Red Badger

Well, Mayor, the ‘entertainment’ industry ain’t what it used to be, you know. Then, if you’ll recall, your ineptitude (’Systemic Ineptitude’?) and arrogance led to a fire that has caused vast numbers of the wealthiest people in the world to flee your hellhole of a city. Neither are coming back.


8 posted on 04/22/2025 6:17:34 AM PDT by drwoof
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To: Red Badger

Harboring illegals is playing musical chairs; when the music stops you’re left holding the debts and you have no one to blame but yourself.


9 posted on 04/22/2025 6:18:28 AM PDT by rottweiller_inc (Lupus urbem intravit. Fulminis ictu vultures super turrem exanimat.)
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To: Red Badger

Why not double down on all the negro worship? Perhaps that will rescue you.


10 posted on 04/22/2025 6:18:43 AM PDT by exPBRrat
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To: Red Badger

Hey LA keep for for Democrats. Things are sure to get better.


11 posted on 04/22/2025 6:18:52 AM PDT by Cautious Optimism
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To: Red Badger

She can stick it up her BASS.


12 posted on 04/22/2025 6:22:39 AM PDT by AbolishCSEU (Amount of "child" support paid is inversely proportionate to mother's actual parenting of children)
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To: Red Badger

Keep voting for the same old incompetence and corruption and this is what you get. Who is going to bail them out? The state? It sure as Hell won’t be Trump.


13 posted on 04/22/2025 6:25:20 AM PDT by Opinionated Blowhard (When the people find that they can vote themselves money, that will herald the end of the republic.)
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To: Opinionated Blowhard

The state is broke..............


14 posted on 04/22/2025 6:29:12 AM PDT by Red Badger (Homeless veterans camp in the streets while illegals are put up in 5 Star hotels....................)
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To: jacknhoo

Yep. Cooperate with ICE and do those other things. Then it can be considered.

If not, no bailout. And maybe no bailout anyway.


15 posted on 04/22/2025 6:30:25 AM PDT by rlmorel ("A people that elect corrupt politicians are not victims...but accomplices." George Orwell)
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To: Red Badger

“Bass blamed the Trump administration and the economy for falling revenue”

Typical Democratic story ... get elected on promises of creating an new Garden of Eden ... screw everything they touch up ... blame the nearest Republican and the economy they created for their failures.


16 posted on 04/22/2025 6:32:24 AM PDT by antidemoncrat ( )
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To: Red Badger

No sympathy.
I howl with laughter at this.
The left will break their own backs with their incompetence.
Not a dime of my tax money!


17 posted on 04/22/2025 6:35:26 AM PDT by bk1000 (Banned from Breitbart)
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To: Red Badger

and has “identified new revenue.”


wonder what that is.......................


18 posted on 04/22/2025 6:39:04 AM PDT by PeterPrinciple (Thinking Caps are no longer being issued, but there must be a warehouse full of them somewhere)
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To: Red Badger

All those laid off,and their voting families members, will not vote for her. When she loses more workers, they might not be able to cheat the vote and re-elect her sorry Cheshire cat grinning mug back in office.


19 posted on 04/22/2025 6:43:45 AM PDT by Getready (Wisdom is more valuable than gold and harder to find. )
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To: Red Badger

The new revenue will come from taking burned up properties using eminent domain. She will use the pretext of they are blighted and the owners haven’t cleaned them up. They can go in with bulldozers and dump trucks and scour the land then sell the prime real estate.


20 posted on 04/22/2025 6:58:18 AM PDT by webheart (Why not write out because instead of saying b/c and with instead of w/ ?)
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