Summary
Budget and Finance Committee meeting summary
Los AngelesFeb 17, 20264 min read
At a glance
Quick context to catch up fast.
The Committee approved motions to study raising the small business tax exemption and to transfer funds to cover Los Angeles Fire Department salary shortfalls. It concurred with other committees to accept a Proposition 47 grant and to pursue a parks aquatic grant, noted a CAO report on Series 2026-A social bonds for Proposition HHH, approved a cannabis business tax amnesty recommendation as amended, and approved a proposed contract with FAST Enterprises for an integrated tax system. The Committee also approved several City Attorney and legal items and actions related to pending lawsuits and fund escheatment.
Projects mentioned
Browse all related coverage for the main local project pages tied to this summary.
Committees mentioned
Open the committee coverage hubs tied to this summary.
Topics discussed
LaborBudget & TaxPublic SafetyCommerceHousingUtilities
Was this summary helpful?
Your feedback helps us prioritize what to improve next.
What this means
The Committee voted to pursue studies and funding moves that could affect small business taxes and fire department payroll stability, and it supported city applications for state and philanthropic grant programs that fund recovery services and pool programs. It approved a tax amnesty step for cannabis businesses so those businesses may resolve past tax obligations, and it cleared a contract for new tax software that will change how the city manages tax collection. Several legal and litigation-related items were also approved, which mostly concern ongoing lawsuits and administrative actions.
Key decisions
Follow the major takeaways from this briefing.
- Approved motion to study feasibility and fiscal impacts of raising the small business tax exemption threshold.
- Approved transfer of funds to address shortfalls in Los Angeles Fire Department sworn and civilian salary accounts.
- Concurred with Economic Development and Jobs Committee to accept Proposition 47 Pathways to Healing and Recovery Program grant.
- Noted and filed City Administrative Officer report on actual costs for General Obligation Bonds, Series 2026-A (Taxable) (Social Bonds) issued for Proposition HHH projects.
- Concurred with Arts, Parks, Libraries, and Community Enrichment Committee to submit/accept Kaiser Permanente Operation Splash Program grant application for 2026–2027, if awarded.
- Approved Recommendation No. 1 of the Government Operations Committee report to implement a business tax amnesty program for cannabis businesses, as amended.
- Approved City Clerk report to escheat idle funds in the Panorama City Business Improvement District Fund No. 51D.
- Approved City Attorney request to increase contract ceiling for Kendall Brill & Kelly, LLP for legal services related to the Hyperion Water Reclamation Plant sewage discharge incident.
- Approved City Attorney report regarding payment of costs of suit in Friends of Westwanda Drive litigation.
- Approved City Administrative Officer report (as amended) to contract with FAST Enterprises, LLC for an integrated tax solution and implementation services.
- Approved multiple litigation-related items (various closed-session matters) in open session, authorizing continued legal handling as described.
Timeline & follow-ups
Action items flagged by the community.
No follow-ups have been shared yet. Add one in the community board below.
Meeting information
Details and records from this meeting.
Budget and Finance Committee
Feb 17, 2026, 10:00 PMBudget and Finance Committee, Tuesday, February 17, 2026 - 2:00 PM, JOHN FERRARO COUNCIL CHAMBER, ROOM 340, CITY HALLcompleted
Agenda
- 25-1474 Motion (Rodriguez – Blumenfield) relative to the feasibility and fiscal impact of raising the small business exemption threshold, and business tax practices of other cities. Community Impact Statement: None submitted25-1474Decision: ITEM(S)
- 26-0131 Motion (Lee – Yaroslavsky) relative to a transfer of funds to address shortfalls in various Los Angeles Fire Department sworn and civilian salary accounts. Community Impact Statement: None submitted26-0131Decision: ITEM(S)
- 20-0021-S2 City Administrative Officer and Mayor reports relative to the acceptance of a grant award from the California Board of State and Community Corrections for implementation of the Cohort 5 Proposition 47 Pathways to Healing and Recovery Program. (This item is referred to the Economic Development and Jobs Committee and the Budget and Finance Committee. The Economic Development and Jobs Committee approved the item on February 3, 2026.) Fiscal Impact Statement: Yes Financial Policies Statement: Yes Community Impact Statement: None submitted20-0021-S2Decision: ITEM(S)
- 25-1431 City Administrative Officer report relative to actual cost information for the General Obligation Bonds, Series 2026-A (Taxable) (Social Bonds), issued to fund Proposition HHH projects. Fiscal Impact Statement: Yes Financial Policies Statement: Yes Debt Impact Statement: Yes Community Impact Statement: None submitted25-1431Decision: ITEM(S)
- 26-0055 Board of Recreation and Park Commissioners report relative to authorizing the Department of Recreation and Parks to submit a two-year grant application and accept the Kaiser Permanente Operation Splash Program grant for 2026 and 2027, if awarded, to support aquatic programming. (This item is referred to the Arts, Parks, Libraries, and Community Enrichment Committee and Budget and Finance Committee. The Arts, Parks, Libraries, and Community Enrichment Committee approved the item on January 27, 2026.) Fiscal Impact Statement: Yes Community Impact Statement: None submitted26-0055Decision: ITEM(S)
- 25-0600-S125 Office of Finance report relative to the implementation of a business tax amnesty program for cannabis businesses. (This item is referred to the Government Operations Committee and Budget and Finance Committee. The Government Operations Committe approved the item as amended on February 3, 2026.) Fiscal Impact Statement: No Community Impact Statement: None submitted.25-0600-S125Decision: ITEM(S)
- 08-3292-S1 CD 6 City Clerk report relative to the escheatment of idle funds in the Panorama City Business Improvement District, Fund No. 51D. Fiscal Impact Statement: Yes Community Impact Statement: None submitted08-3292-S1Decision: ITEM(S)
- 21-1188-S12 City Attorney report relative to a proposed amendment to Contract No. C-144882 with Kendall Brill & Kelly, LLP to increase the contract ceiling for legal services related to the July 11, 2021 sewage discharge incident at the Hyperion Water Reclamation Plant. [The Committee may recess to Closed Session, pursuant to Government Code Section 54956.9(d)(2) and (e)(2), to confer with its legal counsel to discuss the need for additional funding for representation regarding exposure to litigation in the above-entitled matter.] Fiscal Impact Statement: No Community Impact Statement: None submitted21-1188-S12Decision: ITEM(S)
- 18-0916-S1 CD 5 City Attorney report relative to a request for payment of costs of suit, pursuant to the ruling in the case entitled Friends of Westwanda Drive v. City of Los Angeles et al. , Los Angeles Superior Court Case No. 20STCP03490. (This matter is regarding a challenge of building permits issued for a single-family home construction project located at 10034 Westwanda Drive. Fiscal Impact Statement: No Community Impact Statement: None submitted18-0916-S1Decision: ITEM(S)
- 26-0189 City Administrative Officer report relative to a proposed contract with FAST Enterprises, LLC for integrated tax solution and associated implementation services. Fiscal Impact Statement: Yes Financial Policies Statement: Yes Community Impact Statement: None submitted TIME LIMIT FILE - APRIL 13, 2026 (LAST DAY FOR COUNCIL ACTION - MARCH 27, 2026)26-0189Decision: ITEM(S)
- 26-0176 The Committee may recess to Closed Session, pursuant to Government Code Section 54956.9(d)(1), to confer with its legal counsel relative to the case entitled Movses Sisoyan v. City of Los Angeles, et al. , Los Angeles Superior Court Case No. 25VECV02580. (This matter arises from a vehicle versus vehicle traffic accident on November 13, 2024, at the intersection of Hayvenhurst Avenue and Nordhoff Street, in North Hills, California.)26-0176Decision: ITEM(S)
- 26-0177 The Committee may recess to Closed Session, pursuant to Government Code Section 54956.9(d)(1), to confer with its legal counsel relative to the cases entitled Richard Guzman, et al. v. City of Los Angeles , United States District Court (USDC) Case No. 2:23-cv-08689-FLA-Ex; and Margret Hill, et al. v. City of Los Angeles , USDC Case No. 2:24-cv-03484-FLA-Ex. (This matter arises from claims by former employees of the Los Angeles Police Department that the City failed to timely pay their banked compensatory time at the termination of their employment in violation of the Fair Labor Standards Act.)26-0177Decision: ITEM(S)
- 26-0178 The Committee may recess to Closed Session, pursuant to Government Code Section 54956.9(d)(1), to confer with its legal counsel relative to the case entitled Maria Guadalupe Ramirez v. City of Los Angeles, et al. , Los Angeles Superior Court Case No. 23STCV18398. (This matter arises from a trip and fall incident that occurred on September 3, 2022, near 243 East 52nd Street, in the City of Los Angeles.)26-0178Decision: ITEM(S)
- 26-0179 The Committee may recess to Closed Session, pursuant to Government Code Section 54956.9(d)(1), to confer with its legal counsel relative to the case entitled Yolanda White v. City of Los Angeles, et al. , Los Angeles Superior Court Case No. 22STCV06414. (This matter arises from a September 15, 2021, incident involving a trip and fall located at 3711 Beethoven Street, in the City of Los Angeles.)26-0179Decision: ITEM(S)
- 26-0180 The Committee may recess to Closed Session, pursuant to Government Code Section 54956.9(d)(1), to confer with its legal counsel relative to the case entitled Hilda Combs v. City of Los Angeles, et al. , Los Angeles Superior Court Case No. 22STCV32710. (This matter arises from an incident on March 30, 2022, located at North Grand Avenue and Temple Street, where the incident occurred.)26-0180Decision: ITEM(S)
- 26-0036 The Committee shall recess to Closed Session, pursuant to Government Code Section 54956.9(d)(4), to confer with its legal counsel relative to the case entitled Golden Entropy Inc. (This matter arises from a Business License Tax assessment.)26-0036Decision: ITEM(S)
Recent documents
Fresh records from this municipality.
Civic leadership
Know who to contact about the decisions that matter.