Los Angeles City Controller Wendy Greuel issued a new warning today about the city\u2019s finances, saying the City Council would incur huge risks if it tries to patch a nearly $200-million budget gap by using the city’s emergency reserve fund.
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<\/br>In a letter to Mayor Antonio Villaraigosa and the council, Greuel said a decision to deplete the reserve \u2013 which currently stands at $189 million — would make it difficult for the city to borrow money to pay its ongoing bills. By dramatically shrinking the reserve fund, the city could wind up \u201cincreasing the cost of borrowing, or, worse yet, jeopardizing our ability to obtain the loan in the first place,\u201d Greuel wrote.
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<\/br>The city issues Tax Revenue Anticipation Notes twice a year to ensure that it has enough cash to cover ongoing expenses.
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<\/br>The controller\u2019s letter went out hours before the council went behind closed doors to discuss negotiations with various employee unions. On the table is a proposal\u00a0 to eliminate 1,000 jobs by July 1, part of a larger effort to balance the budget.
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<\/br>The Coalition of L.A. City Unions, which represents roughly 22,000 workers, said in a letter today that the council does not have the authority to seek new concessions. City Administrative Officer Miguel Santana, the top budget adviser, disagreed.
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<\/br>— David Zahniser at Los Angeles City Hall<\/p>\n","protected":false},"excerpt":{"rendered":"
Los Angeles City Controller Wendy Greuel issued a new warning today about the city\u2019s finances, saying the City Council would incur huge risks if it tries to patch a nearly $200-million budget gap by using the city’s emergency reserve fund.In a letter to Mayor Antonio Villaraigosa and the council, Greuel said a decision to deplete […]<\/p>\n","protected":false},"author":4678,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"class_list":["post-233695","post","type-post","status-publish","format-standard","hentry","category-news"],"_links":{"self":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/233695","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/users\/4678"}],"replies":[{"embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/comments?post=233695"}],"version-history":[{"count":0,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/posts\/233695\/revisions"}],"wp:attachment":[{"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/media?parent=233695"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/categories?post=233695"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mereja.media\/index\/wp-json\/wp\/v2\/tags?post=233695"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}