Los Angeles Faces Financial Strain as Liability Claims Reach Nearly Half a Billion Dollars
Los Angeles Faces Fiscal Strain as Liability Claims Soar to $472 Million in Three Years
KNX News – Los Angeles has dished out a hefty sum of nearly $472 million in the past three years to cover liability claims, according to a report by City Controller Kenneth Mejia. The biggest chunk of this money went towards addressing issues within the police, sanitation, and street services departments. Mejia, aiming to shed light on where the money goes, launched a website detailing the payouts from fiscal years 2020-2023, highlighting concerns about financial transparency.
The Los Angeles Police Department tops the list with approximately $125.2 million in liability claims, followed closely by Los Angeles Sanitation & Environment with $93.7 million and Street Services with $88.4 million. Other departments like transportation, fire, and recreation and parks also incurred significant costs due to liability claims. These claims, as explained by Mejia’s office, arise when the city fails to meet its responsibilities or when its officials or employees cause harm, leading to financial burdens on the city’s General Fund.
$472 Million in Liability Claims Over the Past Three Years- L.A City Paid Out! (PHOTO: X.com)
Liability Claim Breakdown Reveals Financial Strain on Los Angeles’ General Fund
Breaking down the types of claims dangerous conditions accounted for the largest portion at $145.5 million followed by traffic collisions at $88.8 million and civil rights or excessive use of force at $67.3 million. These payouts, crucially are not deducted from the budgets of the responsible departments but are drawn from the city’s General Fund, impacting resources meant for providing services to Angelenos. Mejia’s report aims to aid both the community and decision-makers in understanding these financial dynamics to mitigate risks and avoid future liabilities.
