By Emilie St. John
Contributing Writer
INGLEWOOD — The City Council voted 4-0 to approve a nearly $675 million budget for fiscal year 2026-27.
According to the staff report, “general fund expenditures are projected at $279,255,514, compared with estimated general fund revenues of $248,476,650, resulting in a projected budgetary gap of $30,778,864 between expenditures and revenues.”
City Manager Luis Atwell remains optimistic about the city’s overall fiscal condition.
According to Atwell, the projected revenues represent a 4.5% increase over the previous fiscal year. The projected increase primarily reflects anticipated growth in property taxes, admissions taxes, utility users taxes, motor vehicle in-lieu revenue, other tax revenue, departmental service charges, and reimbursements for services provided in connection with sports and entertainment events.
The projected expenditures represent a 13.2% increase over the prior fiscal year’s approved budget. The increase primarily reflects negotiated wage and benefit costs, staff augmentation, and enhancements in operating programs. The increase is also attributable to nondepartmental expenditures, including adjustments to the Los Angeles County Fire Department contract, debt-service payments, and insurance premiums.”
Atwell cites an 8.6% increase in personnel costs over the last fiscal year and the contract cost for the Los Angeles County Fire Department increased 18.2%.
Public safety-related expenditures, including Police Department expenditures and the city’s contract with the Los Angeles County Fire Department, account for approximately 58.9% of the general fund, Atwell said.
Another department with a significant increase in its operating budget is the city clerk’s office. The office is still in the midst of repayment of expenses related to the 2021 special election along with expenses for this year’s November election.
Unfunded pension liabilities continue to be one of the city’s most cumbersome expenses.
The city’s unfunded pension accrued liability to the California Personal Enployees Retirement System (CalPERS) remains one of its most significant long-term financial obligations. July marked the 10th consecutive year the city has prepaid its annual CalPERS contributions, allowing the city to receive an approximately 3% discount compared with making monthly payments, Atwell told the council in a written report.
The city expects to close the deficit from its general fund reserves but notes that the “use of reserves will depend on actual revenues and expenditures during the fiscal year and may be less than the full $30,778,864 budgeted amount,” Atwell wrote.
The city is relying on two upcoming ballot measures to stabilize its finances.
The city estimates that Measure BB, if approved, would reduce general fund revenues by approximately $8 million annually, potentially increasing the currently projected $30.8 million operating deficit to approximately $38.8 million, Atwell wrote.
Measure BB on the Nov. 3 ballot will impact advertising revenue generated by the digital billboards around the Sports and Entertainment District.
Measure AT, if approved, is estimated to increase general fund revenues by approximately $45 million to $50 million annually, which could eliminate the projected deficit and produce an operating surplus of approximately $14.2 million to $19.2 million, Atwell wrote.
“If both measures were approved and their full annual effects occurred in the same fiscal year, the combined net revenue increase of approximately $37 million to $42 million could eliminate the projected deficit and produce an operating surplus of approximately $6.2 million to $11.2 million,” Atwell added.
To be in compliance with Assembly Bill 2561, the city will hold a public hearing on Oct. 13, to consider the city’s workforce vacancies and ongoing recruitment and employee retention efforts.
According to acting Human Resources Director Valeria Garcia, as of Sept. 1, the city had 744 full-time budgeted positions, of which 61 were vacant, reflecting a vacancy rate of approximately 8.20%.”
The City has six bargaining units, with the Inglewood Police Department showing 19 vacancies and 22 in the unit represented by SEIU 721.
Emilie St. John is a freelance journalist covering the areas of Carson, Compton, Inglewood and Willowbrook. Send tips to her at emiliesaintjohn@gmail.com.
