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COMMUNICATION FROM THE CITY ATTORNEY and ORDINANCE FIRST CONSIDERATION relative to ordering the confirmation, levy, and collection of Proposition K annual assessments for Fiscal Year (FY) 2026-27.
Official recommendation
ACKNOWLEDGE that the projects in List 5 of Attachment No. 6 contained in the L.A..For Kids Steering Committee (LAFKSC) report dated April 16, 2026, attached to the Council file, may be considered for funding after such projects are submitted for California Environmental Quality Act (CEQA) compliance and determination; and, therefore, no further action or CEQA determination is required at this time. PRESENT and ADOPT the accompanying ORDINANCE Confirming the Assessment, dated May 18, 2026, as prepared and transmitted by the City Attorney, ordering confirmation, levy, and collection of annual assessments for FY 2026-27 for the City of Los Angeles Landscaping and Lighting District No. 96-1 (District); and, approving the diagram for the District for FY 2026-27. INSTRUCT the City Engineer to record a Notice of Assessment with the Los Angeles County Recorder. APPROVE the FY 2026-27 One-Year Plan for the L.A. for Kids Program and related schedules, as set forth in Attachment Nos. 1, 2, 3, 4, and 5 of said LAKFSC report. APPROVE the FY 2026-27 allocation of administrative funds up to the following amounts within Proposition K Administration Fund No. 43M, as set forth in Attachment No. 5 of said LAFKSC report, for a total amount of $561,963: Bureau of Engineering (BOE); Amount: $214,290 Board of Public Works / Office of Accounting; Amount: $165,623 Office of the City Administrative Officer (CAO); Amount: $144,101 Office of the Chief Legislative Analyst (CLA); Amount: $37,939 INSTRUCT the Information Technology Agency (ITA) to prepare the assessment file containing the assessment levy information confirmed by the City Council for FY 2026-27 for each parcel in the Assessment District, and make it available for the BOE to verify and transmit to the County of Los Angeles. AUTHORIZE the City Engineer to negotiate and execute Proposition K, Healthy Alternatives to Smoking (HATS), and Vermont/Western Station Neighborhood Area Plan (SNAP) grant agreements with grantees that are recommended for FY 2026-27 project allocations, as detailed in Attachment No. 1 of said LAFKSC report, except for competitive projects awarded to City departments, subject to approval of the City Attorney. AUTHORIZE the Controller to: Set up accounts for the FY 2026-27 Proposition K assessment within the following Funds, pursuant to instructions to be provided by the CAO: Proposition K Projects Fund No. 43K Proposition K Maintenance Fund No. 43L Proposition K Administration Fund No. 43M Increase the FY 2026-27 appropriations for the ITA by $50,000 from Proposition K Fund No. 43K/10, Account No. 10C132 - ITA, to Fund No. 100/32, Account No. 9350 - Communication Service Request. Transfer cash from Proposition K Fund No. 43K/10, on an as-needed basis upon proper documentation from the ITA, and approval by the BOE Program Managers and the CAO. Disencumber funds within the HATS Fund No. 43G/10 and the SNAP Fund No. 45B/10 upon written instruction by the CAO. Transfer and appropriate $635,437, and any interest accrued thereon, within the HATS Fund No. 43G/10, from the cash balance available within the Fund, as follows: Account No. 10WPDI, Anderson Senior Center; Amount: $635,437 Transfer and appropriate $1,252,734, and any interest accrued thereon, within the Vermont/SNAP Parks First Trust Fund No. 45B/10 from the cash balance available within the Fund, as follows: Account No. 10YPBE, Barnsdall Art Park Restoration Project; Amount: $1,252,734 Transfer assessment revenues to the appropriate Program Funds in the approximate percentage distribution, and up to the amounts reflected below, for a Year 30 total amount of $25,000,000: Proposition K Fund No. 43K/10 – Capital Projects; Percentage Distribution: 77.51 percent; Year 30 Amount: $19,376,730 Proposition K Fund No. 43L/10 – Maintenance; Percentage Distribution: 19.35 percent; Year 30 Amount: $4,836,817 Proposition K Fund No. 43M/10 – Administration; Percentage Distribution: 3.14 percent; Year 30 Amount: $786,459 TRANSFER $15.0 million between departments and funds as specified in Attachment No. 14 of said LAFKSC report. INSTRUCT the City Engineer, CAO, CLA, and Board of Public Works, Office of Accounting to submit journal voucher requests supported by documentation of work order charges for program administrative and project construction management staffing costs to the CAO. INSTRUCT the General Services Department (GSD) and Department of Recreation and Parks (RAP) to submit expenditure reports to the BOE and the CAO on a monthly basis. AUTHORIZE the City Engineer to make technical corrections to the City Engineer’s Report, included as Attachment No. 8 of said LAFKSC report, to reflect the intent of those transactions. AUTHORIZE the CAO to make funding adjustments and prepare technical adjustments as needed to fully commit annual assessment funds and carry out the intent of this Council action; and, AUTHORIZE the Controller to implement those technical adjustments. AUTHORIZE the Controller, pursuant to instructions to be provided by the CAO, to revert residual funds within Proposition K Funds to the originating Proposition K project accounts for projects completed by the GSD and RAP as part of ongoing project closeout activities. Fiscal Impact Statement: The LAFKSC reports that adoption of an Ordinance and Resolution of Intention to Levy the Proposition K: L.A. for Kids Assessment for FY 2026-27 indicates the Council's intention to levy assessments totaling $25.0 million to acquire and construct park and recreational and cultural facilities serving youth. The assessment can only be used for capital improvements, acquisition of land, Proposition K Program administration and maintenance of completed projects. The operating cost for Proposition K projects completed in future years will be funded by the annual operating budget adopted for City departments and with independent funding for projects operated by external entities. For FY 2026-27, $5.7 million in General Fund reimbursements are anticipated for program administration ($0.79 million) and maintenance ($4.9 million) as identified in said LAFKSC report findings, Section 3 of said LAFKSC report. The RAP reports an annual fiscal impact of $3.2 million once active Proposition K projects, currently in various stages of development, become operational over future years. This includes $1.2 million for maintenance and $2.0 million for operations, as detailed in Attachment Nos. 3 and 4 of said LAFKSC report. The fiscal impact for completed projects will be partially offset by Proposition K maintenance funding. However, this annual offset will no longer be available once the Proposition K program concludes on June 30, 2027. In FY 2025-26, the RAP will receive an award of $4.3 million for current year maintenance awards, as detailed in Attachment 7 of said LAFKSC report. Financial Policies Statement: The LAFKSC reports that the recommended actions in said report comply with the City's Financial Policies as one-time revenues are being used for one-time projects. Community Impact Statement: None submitted (Arts, Parks, Libraries, and Community Enrichment Committee report to be submitted in Council. If public hearing is not held in Committee, an opportunity for public comment will be provided.) (Please visit www.lacouncilfile.com for background documents.) (Pursuant to Council action of April 29, 2026) Proof of Publication 5-6-26 and 5-13-26 Final Ordinance of Intention No. 188919 dated 06-04-2026 Proof of Publication dated 06-04-2026 Notice of Public Hearing_05-06-26 Attested Resolution of Intention_05-05-26 Speaker Card(s)_04-29-2026 Council Action - Mayor Concurrence dated 4-29-26 Report from Proposition K - L.A. For Kids Steering Committee report dated 4-16-26 Attachment to Report dated 4-08-26 - Draft Ordinance Report from City Attorney dated 4-08-26 Council Action dated 1-23-26 Speaker Card(s)_01-21-2026 Speaker Card(s)_01-13-2026 Report from Arts, Parks, Libraries, and Community Enrichment Committee_01-13-26 Report from LA for Kids Steering Committee dated 12-11-25 Report from City Attorney dated 5-18-26 Attachment to Report dated 5-18-26 - Draft Ordinance