According to the city’s agenda, Santa Monica city leaders were asked to declare a fiscal emergency due to the city’s ongoing budget crisis.
A staff report on Tuesday’s city council agenda cited some challenges, including legal expenses related to the infamous alleged sexual abuser, who works for the city.
The city has paid more than $229 million in settlements Eric Uller’s sexual abuseformer Santa Monica police dispatcher. The report said the city faces additional abuse claims from more than 180 claimants.
Uller Work with boys and girls in an after-school program at a nonprofit organization. According to the Los Angeles County Sheriff’s 2018 report, several former Santa Monica employees told detectives they reported Uller’s misconduct, the Times reported.
The report says Santa Monica’s services are also suffering. During the 19th pandemic, city leaders cut the city’s budget and canceled hundreds of positions. Urban services have not yet returned to pandemic levels and several capital projects are still without funding.
The report notes that Santa Monica’s recently approved fiscal year 2025-2026 is expected to spend $484.3 million, but revenue is $473.5 million.
The report also cites latest and proposed changes from the federal government, including tariffs and mass deportations, which could impact local and national economies.
Santa Monica public information manager Lauren Howland declined to comment on Tuesday’s agenda item.
While discussing the crisis at a meeting in March, city leaders spoke on the future of the city with clear and terrible conditions.
“I’m afraid we’re worried about the bankruptcy, and I’m worried we’re thinking a little bit here,” according to the Santa Monica surveillance man. “Unless the Council takes very bold action, we’re not right.”
In April, Santa Monica concluded negotiations with Olympic organizers to host beach volleyball during the 2028 Olympics.
one Research released in October It was found that being a venue city would result in a net loss of $1.45 million in Santa Monica. Still, Santa Monica could make $10 million in profits from the Olympic-generated tourism industry.
Los Angeles is also struggling to increase legal spending, reduce urban services, and higher spending, partly due to employee pay raises.
