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LA City Council sends back financial report on cost of safe streets measure

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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.

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“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.

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“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.

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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.

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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.

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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.”

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Finance

SixCap Healthcare Finance Appoints Carroll as Senior Relationship Manager

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SixCap Healthcare Finance Appoints Carroll as Senior Relationship Manager

SixCap Healthcare Finance added Dan Carroll as senior relationship manager, reporting to the company’s co-founder and chief investment officer, Dan Whitwer.

Carroll brings more than 20 years of commercial finance, portfolio management and healthcare asset-based lending experience to SixCap. Throughout his career, he has managed complex healthcare lending relationships, led portfolio management teams, overseen loan closings and partnered closely with borrowers to support growth while maintaining disciplined credit management.

Most recently, Carroll held leadership positions at Siena, CNH Finance and Triumph Healthcare Finance, building extensive expertise in healthcare lending, credit analysis, loan structuring, risk management and client relationship management.

In his new role, Carroll will oversee borrower relationships across SixCap’s growing healthcare portfolio, working closely with clients to provide proactive portfolio management, responsive service and financing solutions that evolve alongside their businesses.

“We’re thrilled to welcome Dan to the SixCap team,” Whitwer said. “I’ve had the privilege of working alongside Dan and have seen firsthand the integrity, experience and thoughtful approach he brings to every client relationship. He understands healthcare, he understands asset-based lending and, most importantly, he understands the value of building lasting partnerships. As our portfolio continues to grow, Dan’s leadership and commitment to exceptional client service make him a tremendous addition to our team.”

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Big financing steps forward for The 78, Foundry Park projects

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Big financing steps forward for The 78, Foundry Park projects

Two of Chicago’s most pivotal but challenging undeveloped sites — Foundry Park on the North Side and the vacant South Loop parcel known as The 78 — moved forward in a big way Wednesday before the City Council adjourned for a summer recess.

Mayor Brandon Johnson introduced a $201.6 million tax increment financing subsidy for JDL Development’s scaled back vision for North Side industrial land along the Chicago River that once was supposed to be home to the Lincoln Yards megaproject.

And despite a slew of concerns from Council members, the full Council approved a $425 million TIF for The 78, a reference to Chicago’s unofficial 78th community area. The subsidy will bankroll public improvements needed for the South Loop development, anchored by a $750 million soccer stadium privately financed by Chicago Fire billionaire owner Joe Mansueto.

Downtown Ald. Bill Conway (34th), whose adjacent TIF is being raided to help The 78, again refused to go along with the $250.1 million piece of the infrastructure package that will primarily be used to build a 1,200-space parking garage. The $216 million garage will serve as the “podium” for an open-air plaza and future high-rise development on the air rights above the garage.

Referring to the Bears’ long-running stadium saga, Conway said Wednesday he appreciates the Fire “not trying to move to Hammond, Indiana, and become the Hammond Sparks.” But he said he “cannot look the taxpayers in the eye and tell them” he supported spending “$250 million to build a stadium parking garage and plaza.”

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Finance Chair Pat Dowell, whose 3rd Ward includes The 78, has argued that the podium “brings the site to grade at Roosevelt Road” and is the key to “unlocking the site from the isolation that has stalled every previous development proposal.”

Deputy Planning Commissioner Jeff Cohen made that same point Wednesday, with a new wrinkle.

“The idea here is to incorporate that garage into the podium,” Cohen said. “It’s addressing a design and development plan that allows for all of the land within The 78 to be open for investment, rather than having to have either temporary or permanent surface parking lots to accommodate the car traffic.”

An artist’s rendering of the planned Chicago Fire soccer stadium at The 78 in the South Loop.

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The $201.6 million subsidy proposed for Foundry Park pales by comparison to the $1.3 billion that former Mayor Rahm Emanuel once proposed for Lincoln Yards. That massive subsidy became a political lightning rod, with the avalanche of criticism led by the Chicago Teachers Union and then-union organizer Brandon Johnson.

The $201.6 million subsidy that Johnson introduced at Wednesday’s Council meeting is more likely to be criticized for being too little.

It will support just over 25% of the $800 million worth of roads, bridges, utilities and mass transit improvements that 2nd Ward Ald. Brian Hopkins has said were mandated as part of the Lincoln Yards plan.

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Foundry Park developer Jim Letchinger acknowledged that there is “other infrastructure that the neighborhood would like to see done that is not possible right now.”

But Letchinger added it’s a start that includes the long-promised extension of the popular 606 Trail. “If you don’t start with something that’s achievable, you can’t achieve anything.”

“We have a plan to actually start building and creating revenue right away in conjunction with building our infrastructure … A lot of parks. Massive riverwalk. Ten acres of public open space. Very usable, very engaging,” Letchinger said Wednesday.

“As we continue to build, since we’re not using anywhere near all the increment that we’re creating, the other increment can go toward other projects that the neighborhood would like to see — whether it’s to build a bridge or fixing Elston Avenue, or anything else that they’re anxious about,” he said.

Public improvements promised to residents, but not covered by the $201.6 million subsidy, include another bridge crossing the Chicago River and a realignment of Elston Avenue, which Letchinger called a positive move in the long run, but a “massive undertaking” complicated by cost and property control.

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“No private developer can realign Elston. It’s impossible. The city is the only one that can do that, and they’re working on it. There’s plans for it. But it will take a very long time,” Lechtinger said.

Ald. Scott Waguespack (32nd) said there is “one bridge that a lot of people still want,” but it goes through private properties owned by Ozinga Ready Mix Concrete and several other owners.

“The city would have to do it as a taking [of property], and that would be in the hundreds of millions of dollars. So they took that off the table because … that bridge wasn’t necessary at this time,” Waguespack told the Chicago Sun-Times.

Letchinger’s plan for roughly 34 vacant acres of the site calls for up to 3,737 residences, 20% of them designated as affordable to comply with the city’s set-aside rules. The new design includes low- to mid-rise buildings, some for offices, grouped near open space and riverfront access. Buildings would get ground-floor retail, and one is slated as a boutique hotel.

The project’s reduced density has drawn praise from residents. And Waguespack said he’s satisfied with the reduced public subsidy.

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“In the future if there’s more needed, we could go back and do it. But this is much more grounded in a realistic infrastructure project that will still satisfy all the needs of connecting the neighborhoods,” Waguespack said.

Hopkins said he views the scaled-down subsidy and the infrastructure projects as “wholly inadequate” and a broken promise to Lincoln Park and Bucktown residents.

“Lincoln Yards provided for two bridges with the possibility of a third. Foundry Park has zero,” Hopkins said. “I don’t want to move on a vague verbal promise that we might consider adding a bridge later. The time to add it is now while the redevelopment agreement is still pending. And the fact that it was omitted is tragic. Also, the [Elston-Armitage] intersection redesign and the new Metra station seems to have fallen by the wayside.”

Also at Wednesday’s meeting, Johnson proposed a tax break for Chicago’s booming film and television industries — by reducing the 15% personal property lease transaction tax to 11%.

The tax has been raised twice in recent years and was the biggest piece of the revenue package that helped balance the $16.7 billion budget for 2026. It has exceeded revenue projections by $40.3 million through June 30, allowing Johnson to offer the break in hopes of attracting more film and TV productions to Chicago.

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The City Council also followed a trail blazed by Gov. JB Pritzker and his counterparts in six other states by prohibiting present and former city employees — and elected officials — from using insider information to bet on prediction markets. Apps including Kalshi and Polymarket are used to place bets on everything from election winners and the number of candidates entering a specific race for office, to budgetary and foreign policy decisions by elected officials.

Championed by Ald. Timmy Knudsen (43rd), the ordinance prohibits current or former city officials, appointees and employees from using “confidential information or any non-public information, including the identity of the subject of an investigation” to either participate in prediction markets or “assist any other person” placing those bets.

The Council also confirmed Johnson’s appointment of Dr. Garth Walker as the city’s public health commissioner.

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Finance

The average cost of fertility treatments and how to plan for them

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The average cost of fertility treatments and how to plan for them

Covering the cost of fertility treatment can feel like yet another hurdle in a process that is already physically and emotionally draining. Not only do you have to go through the testing and medical procedures involved, you can also end up paying tens or even hundreds of thousands of dollars.

For families who want to have kids or women who want to afford themselves a little more time, though, this can feel like a price well worth paying. But the process may necessitate some financial planning. Research can also go a long way, as insurance companies increasingly offer coverage.

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