Finance
LA City Council sends back financial report on cost of safe streets measure
LOS ANGELES (CNS) — The City Council Friday asked its staff to perform further financial analysis of how the passage of a street safety measure on the March ballot would impact the municipal budget and existing programs that do similar work.
Matt Szabo, the city’s administrative officer, provided the council with an updated report on the implementation costs related to the Healthy Streets LA ballot measure, a resident-led initiative that would require the city to install street modifications described in its Mobility Plan 2035 whenever street improvements are made to at least one-eighth of a mile of roadway.
The Mobility Plan 2035, a 20-year city planning document for improving L.A. streets and promoting other modes of transportation such as walking, biking, or other transit options, was adopted by the City Council nine years ago. But since then, the city has only implemented 5% of the plan — with some staff from the Department of Transportation calling it “aspirational.”
According to Szabo, Measure HLA would cost the city $3.1 billion over 10 years, which is an additional $600 million from his original estimate in November 2023. He noted that, if approved by voters, the measure would become effective roughly five weeks after the election.
The report came before the council as a “note and file,” meaning it required no real action from the council. But several city council members criticized the report for not providing an accurate financial analysis and failing to provide a complete picture of what Measure HLA means for the city.
“I have some real concerns about some of the multipliers we’re using in terms of the costs,” said Councilman Bob Blumenfield, who chairs the council’s Budget, Finance and Innovation Committee.
He added, “I feel like I need to mention that when you talk about multiplier, you also need to talk about both sides of the equation as well.”
The city of Los Angeles has a “serious” traffic safety problem, he said. In 2023, traffic violence took the lives of 336 Angelenos and over the past five years more than 1,500 residents have been seriously injured annually.
“While we can’t put a price on a life, certainly traffic violence affects all of us,” Blumenfield said. “Just less than 24 hours ago, there was a women killed in my district walking across Ventura Boulevard at an unmarked crosswalk, which we intend to ultimately mark.”
He also pointed out that the U.S. Department of Transportation has reported that the value of human life at $11.6 million dollars, and the value of a traffic-related injury is $210,000. The economic cost of traffic deaths and injuries in Los Angeles is more than $4 billion a year, he said.
“When we talk about the cost of traffic safety measures, we should also keep that in mind in terms of the enormous cost that we have right now of not putting in critical traffic safety measures.”
Szabo said the measure would not provide any financial resources to the city to implement the plan, meaning city officials would have to work with existing pools of funding to meet its requirements.
The estimates were conservative, he said, not including escalators. He highlighted mobility plan components — the bicycle lane network, which is 376 miles of planned bike lanes; the bicycle enhanced network, 238 miles of protected bike lanes or bike paths; and pedestrian enhanced districts, and 1,120 miles of sidewalks, that are required to be in good repair and ADA compliant.
It’s estimated that it would cost $670 million to fully establish the bike lane network, $420 million for the bicycle enhanced network and $2 billion for sidewalk repairs.
“There a are number of other priorities, a number of programs, that will have to compete for the same dollars that will be required to implement the mobility plan,” Szabo said.
Streets for All, the organization that led efforts on the ballot measure, has criticized the CAO’s numbers, stating that it would actually cost $286 million over 10 years to implement pedestrian enhanced districts and bike networks.
While Blumenfield stated he did not support Measure HLA because of the possible legal issue attached to it — voters would be able to sue the city if it fails to adhere to the measure — he said aspects of the report conflated prices. He said he would dig into a few areas such as the cost of street resurfacing, implementing American Disability Act compliant curb ramps, street repaving costs, and sidewalk repairs.
He noted that the city is already legally required to make certain modifications to streets that are listed in the mobility plan, mainly ADA requirements.
Szabo noted that costs would increase if the improvements took more than 10 years, ending in 2035, since “costs go up every year.”
Szabo also raised concerns over a backlog of sidewalk repairs, of about 7,700 requests, at some 3,500 to 4,000 locations across the city, costing nearly $900 million over five years to eliminate.
Councilwoman Traci Park called HLA an “unfunded mandate” and questioned staff whether the mobility plan, as enforced by Measure HLA, if approved, would impact the city’s Pavement Preservation Program.
Park has come out against the measure alongside certain groups, including firefighter unions, who have concerns about how the measure will impact their response times to medical emergencies if traffic lanes are reduced to accommodate bike lanes or other features.
A representative from StreetsLA, also known as the Bureau of Street Services, said the measure could lead to the deterioration of streets as a result of delays to repavement and resurfacing services, and increase the city’s liability.
Council President Paul Krekorian and Councilwoman Monica Rodriguez expressed their concerns on how HLA would interact with the city’s sidewalk repair efforts and impacts to the General Fund, respectively. Szabo reiterated that sidewalk repairs are done during resurfacing efforts and performed to conform with ADA.
Councilwoman Imelda Padilla, who had concerns with HLA, zoned in on grant funding, and elicited a response from Szabo acknowledging that the departments need a coordinated office for grant work.
Both council members Eunisses Hernandez and Hugo Soto-Martinez were frustrated with the report.
Hernandez noted that the city made a $1 billion investment in the Los Angeles Police Department to cover raises, and the city needs to invest in safer streets “because we have failed to save lives.”
Krekorian also made a point that HLA may inhibit Metro transit projects or construction, so that will be another topic to look into at the committee level.
Councilwoman Nithya Raman said the mobility plan may have some intersection with existing obligations.
“I’m not quite sure how those overlap with what is required of us in the mobility plan and what additional costs we would be incurring from doing this work under the aegis of the mobility plan,” Raman said. “I think untangling that will help us have a much more straightforward discussion.”
Copyright 2024, City News Service, Inc.
Copyright © 2024 by City News Service, Inc. All Rights Reserved.
Finance
New Funding Models Needed As Global Health Faces Growing Financial Strain – Health Policy Watch
Global health is facing a funding crisis. Aid is shrinking, debt is rising, and the needs are only increasing. According to Christoph Benn of the Joep Lange Institute and Patrik Silborn of UNICEF Afghanistan, health systems will need to fundamentally rethink how they finance and sustain care.
On a recent episode of the Global Health Matters podcast, host Gary Aslanyan was joined by these two experts, who said “innovative finance” has become central to discussions on sustaining health systems.
Benn said that while the term is widely used, few agree on what it actually means. He described it as a “spectrum” of approaches, ranging from philanthropic grants and conditional funding to private-sector investment models that expect financial returns.
“It has frustrated us deeply that so many people are talking about innovative finance, but very few actually know what they’re talking about,” Benn said.
Silborn emphasised that these mechanisms should not be treated as one-size-fits-all solutions. Instead, financing models must be designed around specific problems whether that means raising new funds, improving efficiency, or linking payments to measurable outcomes.
Drawing on his experience in Rwanda, Silborn described how a results-based funding model tied disbursements directly to performance, helping the country to maintain progress against major diseases despite reduced funding.
Both experts stressed that private-sector engagement requires a clear understanding of incentives.
“Private corporations are not charities,” Benn said. They can, however, contribute through marketing partnerships, technical expertise, or investment models that align financial returns with social outcomes.
Looking ahead, Benn pointed to targeted taxes and debt swaps as among the most scalable tools. Still, both warned that innovative finance is not a substitute for public responsibility.
“It only works when it is designed to solve real problems in specific contexts,” Benn said, underscoring that strong systems and governance remain essential to any lasting solution.
Listen to the full episode >>
Read more about Global Health Matters podcasts on Health Policy Watch >>
Image Credits: Global Health Matters podcast.
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Finance
Coalition urges lawmakers to advance South Carolina Financial Freedom Act
COLUMBIA, S.C. (WCIV) — Dozens of local elected officials from across South Carolina are urging state lawmakers to pass legislation that would allow cities, counties and school districts to deposit taxpayer funds in the financial institution of their choice, including qualified credit unions.
The Palmetto Public Deposits Coalition, formed by more than 40 mayors, county council members and municipal leaders have signed a joint letter calling on the General Assembly to advance the South Carolina Financial Freedom Act, a bill that, if signed, would lift long-standing restrictions that require public entities to deposit funds exclusively in commercial banks, even though state law already allows credit unions to accept public deposits.
The coalition argues the current system limits competition and prevents local governments from seeking potentially better rates, lower fees and more responsive service.
READ MORE | Lowcountry residents feel squeeze as inflation rises 25% over five years
“Local governments should have the same financial freedom that families and businesses have — the ability to choose the financial institution that best meets their needs,” Rick Osborn, chairman of the Palmetto Public Deposits Coalition, explained. “This commonsense reform will introduce healthy competition, help stretch taxpayer dollars further, and strengthen partnerships with community-focused financial institutions that are deeply invested in South Carolina.”
The efforts also won support from the South Carolina Association of Counties and the Municipal Association of South Carolina, whose boards have formally endorsed expanding deposit options. Their backing signals broad agreement among local government officials that the law should be modernized.
In their letter to lawmakers, the coalition argued that permitting credit unions to hold public deposits would restore financial choice and improve outcomes for residents.
“This legislation is about giving local leaders more tools to serve residents effectively and make responsible financial decisions,” said Goose Creek Mayor Greg Habib, one of the signatories.
READ MORE | Treasury to hold conferences on AI regulation reductions for banks
The Financial Freedom Act would allow, but not require, public entities to deposit funds in qualified credit unions. Coalition members said the bill is not designed to favor one type of institution over another, but to encourage competition in a market currently limited to commercial banks, many of which operate outside the state.
The Palmetto Public Deposits Coalition said it will continue working with local leaders, state associations and lawmakers as the legislation moves through the current session.
Finance
FTSE 100 LIVE: Stocks muted as Trump delays strikes on Iran power plants
The FTSE 100 (^FTSE) was hovering around the flatline on Friday, while European stocks headed lower, as traders shrugged off Donald Trump’s latest pause on striking Iran’s energy infrastructure.
On Thursday night, the US president extended the deadline for Iran to open the strait of Hormuz by 10 days, meaning the new date would be 6 April. He claimed that talks were “going very well”. However, Iran denied it was “begging to make a deal”, despite Trump’s earlier claims.
It comes after Wall Street posted its biggest daily loss since the Iran war began on Thursday.
The Wall Street Journal also reported on Thursday that the US was considering sending as many as 10,000 additional troops to the Middle East.
Tony Sycamore, market analyst at IG, said Trump has extended the uncertainty gripping markets.
“While the rhetoric around de-escalation and dialogue is certainly preferable to outright conflict, the market appears to be growing increasingly numb to President Trump’s verbal reassurances. By extending the deadline, it effectively kicks the can down the road, pushing back any concrete resolution regarding the reopening of the Strait of Hormuz. This, in turn, simply extends the uncertainty weighing on markets and the broader global economy.”
Elsewhere, UK retail sales dipped by 0.4% in February, following a rise of 2.0% in January, the Office for National Statistics revealed. In the December to February quarter, sales volumes were up 0.7% compared with the previous three months.
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London’s benchmark index (^FTSE) was hovering around the flatline in early trade
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Germany’s DAX (^GDAXI) dipped 0.5% and the CAC (^FCHI) in Paris headed 0.2% into the red
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The pan-European STOXX 600 (^STOXX) was down 0.3%
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Wall Street is set for a muted start as S&P 500 futures (ES=F), Dow futures (YM=F) and Nasdaq futures (NQ=F) were all lacklustre.
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The pound was 0.1% down against the US dollar (GBPUSD=X) at 1.3311
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