Posted on 04/21/2021

The proposal makes historic investments in COVID-19 recovery, homelessness, equity and justice.

LOS ANGELES — Mayor Eric Garcetti today proposed his budget for the 2021-2022 fiscal year, a Justice Budget that makes record-breaking investments in L.A.’s recovery from the pandemic, and lays out a bold, progressive vision for a more just, equitable, and resilient city.

The spending plan includes a billion dollars to help advance racial and economic justice across the city, nearly $800 million to confront the homelessness crisis, and around $150 million to help Angelenos recover from the economic devastation caused by COVID-19.

“This budget is more than a financial document — it’s a dynamic roadmap to a city built on justice and equity,” said Mayor Garcetti. “Our budget heeds Angelenos’ advocacy, activism, and aspirations to restore what we love best about Los Angeles, and reinvest in our services, infrastructure, racial justice, and the largest-ever single commitment to homelessness solutions in our City.”

The budget plan includes the City’s largest-ever investment to confront the homelessness crisis at $791 million, which more than doubles its current spending. The breakdown includes:

  • $362 million for 89 projects and 5,651 total housing units through Proposition HHH; 

  • Nearly $200 million for the development of affordable housing, homeless prevention, eviction defense, and other homeless services 

  • $57 million for 9 additional CARE+ teams — which now totals one per each Council District — and 11 new regional storage facilities;

  • $43 million for Project Roomkey. 

In total, with carryover state and federal funding from last year included, the City is projected to spend $955 million to confront the homelessness crisis.

“The Mayor's proposed budget provides the funds necessary to address the City's continuing homeless crisis and the needs of various communities across the city," said Councilmember Paul Krekorian, chair of the Budget and Finance Committee. "At the same time, it builds historic reserves to prepare us for further uncertainty and economic volatility during the pandemic, which is critical as we continue to grapple with its effects on local revenue and public health."

The 2021-22 budget is strengthened by $777 million in spending from the American Rescue Plan. Mayor Garcetti advocated aggressively for this funding over the past year to lift up Angelenos hit hardest by the pandemic, and this spending blueprint puts those dollars to work with $151 million going to equity and justice programs; $281 million for homeless services; $282 million to restore vital services; and $64 million for COVID response and recovery. 

Other key components of Mayor Garcetti’s budget include:

  • $75 million in the City’s COVID Emergency Fund to expand the City’s Mobile Outreach for Vaccine Equity (MOVE) program, L.A. Al Fresco, the Small Business and Restaurant Recovery Fund, and steps to help revitalize the tourism and hospitality industries;

  • $33 million to expand the City’s Gang Reduction and Youth Development program;

  • $24 million for America’s largest guaranteed basic income pilot to date; 

  • $18.7 million to fund new programs founded on a Therapeutic and Unarmed Response for Neighborhoods (TURN) and community-based approach to reimagining public safety;

  • $8.7 million to employ high-barrier young adults to clean and beautify our communities, as well as $3.5 million to train and pay 1,000 low-income high school students to home-tutor young siblings who have struggled with distance learning; 

  • $10 million to the REPAIR Innovation Fund to support racial justice, community intervention, and reconciliation work;

  • $3 million to support the Social Equity Program within the City’s Department of Cannabis Regulation and promote equitable ownership and employment within the cannabis industry.

  • Cumulative reserves of 11.3%