Politics, government and public life for Southern California

Report: Sequestration could mean $115M loss for Los Angeles

Los Angeles City Hall

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The city of Los Angeles could take a $115 million hit if the federal government moves ahead with severe spending cuts in March.

The city of Los Angeles could experience a $115 million financial hit if Congress fails to reach a financial agreement that would avert sequestration this spring. 

About $92 million of that would come from housing and housing assistance programs. Another $23 million would disappear from community development and public safety programs. This week’s Congressional action pushed sequestration – automatic spending cuts – to March 1.

“The impacts of sequestration to the city are very much a possibility if Congress fails to act on a plan to reduce the deficit by $1.2 trillion over 10 years by March 1, 2013,” City Administrative Officer Miguel Santana wrote in a report to Mayor Antonio Villaraigosa and the Los Angeles City Council.

The specific programs he listed in the report include:

  • Section 8 Housing
  • Community Development Block Grants
  • Community Oriented Policing Services
  • Byrne Justice Assistance Grants