UN4LA News - June 2025
A monthly newsletter published by United Neighborhoods for Los Angeles.
UN4LA's mission is to bring communities together to plan for a sustainable future. Growth must be shaped by community engagement, not developer dollars.
L.A. CITY HALL FACES SERIOUS BUDGET CHALLENGES
The City of LA continues to face serious budget challenges according to the year-end financial status report from the City Administrative Officer (CAO). The CAO's report points out that:
Revenues are below projections and there are still downside risks to several economically sensitive revenue sources.
City Hall has overspent by about $300 million, and needs to find solutions to cover the gap.
The Reserve Fund balance is down to 3.28 percent, and will drop further if the city continues to rely on reserves to make up for overspending.
While the report says that City Hall has made some progress in addressing these issues, it warns that:
"[T]he pathway to structural balance and healthy reserves will require ongoing fiscal discipline. In addition, the City will likely have more difficult decisions in the year
ahead as we continue to face the challenging tasks of rebuilding after the windstorm and wildfire events that devastated our Pacific Palisades community and larger Los Angeles region, allocating resources to prepare for the 2028 Olympics and navigating the impacts from chaotic and rapid shifts in federal domestic, trade, and funding policies."
2024-25 Budget, Year-End Financial Status Report
SB 79 PASSES STATE SENATE
In an extremely tight vote, the California State Senate has approved SB 79. State Senator Scott Wiener, the bill's author, claims that the bill will increase the production of housing near transit and so increase transit ridership. In reality, transit-oriented development efforts in California have failed at both the state and local level, with transit ridership suffering steady decline over the past decade.
Opponents of the bill point out that SB 79 undermines local housing elements, and forces cities to approve projects near transit stops without considering the community's context or requiring environmental review. The bill now heads to the State Assembly.
League of California Cities Opposes SB 79
GOVERNOR STEPS IN TO PUSH FOR PASSAGE OF SB 607
Senator Wiener has also put forward another bill, SB 607, which would effectively gut the California Environmental Quality Act (CEQA). The bill would do away with the "fair argument" standard that cities must currently use when evaluating what level of environmental review was required for a project. SB 607 would instead allow unelected bureaucrats to evaluate the need for environmental review based on their own assessment of project impacts. Since they would not be required to use the "fair argument" standard in evaluating impacts, there would be no grounds to challenge their decision.
After the bill ran into trouble in the State Senate, Gov. Gavin Newsom has said he favors attaching the bill to the State's Budget Revision, which the Legislature must approve.
Newsom Unveils Proposal to Cut Red Tape and Fast-Track Housing and Development
Critics of the bill warn that SB 607 would shut the public out of the environmental review process and could do serious damage to California's environment.
Take Action as the Legislature Weighs a CEQA Rollback Bill Like No Other
L.A.’S AMBITIOUS PLANS FOR USING RECYCLED WASTEWATER
As the impacts of climate change become more pronounced, the LA area's water resources continue to decline. Because of this, both the Metropolitan Water District (MWD) and the City of LA are embarking on projects to expand recycling of the wastewater produced by the region.
The MWD has released the Draft Environmental Impact Report (DEIR) for their regional water recycling project, which would be adjacent to an existing facility in Carson. Public comments on the DEIR are due by July 14. The MWD will also be holding community meetings.
At the same time, the LA Department of Water & Power (LADWP) and LA Department of Sanitation (LASAN) are working together on a plan to convert the existing Hyperion Water Reclamation Plant into a massive water purification facility that would treat the City of LA's wastewater for potable reuse. The public is invited to attend a community meeting on Saturday, June 7 at 10:00 am. You can register for the meeting here.
Hyperion Water Recycling Meeting
The question isn't really whether or not LA's water agencies should recycle wastewater for potable reuse. Given the projected decline in our water resources, they have no choice. The real questions are: 1) How much will these projects cost ratepayers? and 2) Will they really deliver the amount of water they promise?
As LA Plans to Recycle More Water, Officials Want to Hear from You
CITY OF L.A. CHARTER REFORM COMMISSION APPOINTMENTS
Mayor Karen Bass and the LA City Council continue to make appointments to the LA City Charter Reform Commission. This process is very important, as the Charter is the foundational document for the City of LA, determining the structure of its government and how it functions. The Commission's job is to review the existing Charter and develop recommendations for amendments and revisions for consideration by the City Council and Mayor. The Commission is required to seek input from a wide variety of individuals and organizations. Any amendments or revisions to the City Charter must be approved by the city's voters.
LA Moves Closer to Finalizing Charter Reform Commission
Charter Reform Commission Ordinance
8850 SUNSET PROJECT FALLS INTO FORECLOSURE
The backers of the massive 8850 Sunset project, recently approved by the West Hollywood City Council, are unable to meet their debt obligations and foreclosure proceedings have been set in motion. The controversial project, located in the heart of the Sunset Strip, included an 11-story hotel and residential building with a restaurant, commercial uses and nightclub spaces. The residential portion was comprised of 62 market-rate units and 16 income-restricted units.
8850 Sunset-Viper Room Project Falls into Foreclosure