budget

SACRAMENTO — Bolstering Republican calls for deeper spending cuts, state Controller Kathleen Connell warned Wednesday that disappointing revenues are paving the way for the state’s budget gap to swell to nearly $27 billion.

Connell’s warning came as talks over a new spending blueprint, already more than eight weeks overdue, appeared stalled in the Assembly. Democrats want $4.2 billion in new revenue to help close a budget gap that has been projected at $23.6 billion, but Republicans seek deeper spending cuts to eliminate the need for tax hikes and to diminish future shortfalls.

Connell said June and July revenues are running $434 million below projections by Gov. Gray Davis’ administration, and the state would take in $2.9 billion less than anticipated during the current fiscal year if the trend continues.

Even after a budget is adopted for 2002-03, the imbalance between revenue and expenditures is expected to continue. Connell projects a $12-billion shortfall next year, and she said the situation warrants a midyear review of the spending plan lawmakers approve this year.

Anita Gore, a spokeswoman for the state Department of Finance, had no comment on Connell’s revised revenue forecast. Gore said her department would not revise its revenue estimates until January.

Connell said her office is preparing a plan for the state to borrow as much as $12 billion to avert a cash crunch that will materialize in November if the current standoff drags into the fall. She warned, however, that securing the short-term borrowing would not free her to make certain payments without a budget in place.

State payments for abortion services provided after Sunday as well as payments owed to 21 regional centers that help connect the developmentally disabled to services–ranging from transportation to residential care–will cease without legislative intervention until a budget is approved and signed by Davis.

Abortion rights advocates disagreed Wednesday with Connell’s interpretation of the law.

Connell has already stopped paying elected officials, legislative staff and hundreds of vendors who provide goods and services to the state. Assembly Republicans urged Democrats Wednesday to hear a bill that would allow emergency appropriations to be made for the developmentally disabled, vendors and others.

As the Palisades fire raged, then-Los Angeles Fire Department Chief Kristin Crowley went on a television blitz, calling out city leadership for systematically underfunding her agency.

The LAFD, she said, didn’t have enough firefighters, based at enough fire stations, to quench the wind-driven flames that were tearing through the hills.

“We need more. This is no longer sustainable,” she said in one interview Jan. 10.

Nearly a year after the fire destroyed much of the Palisades, LAFD officials continue to highlight financial concerns, with Crowley’s successor requesting a 15% budget increase and the firefighters union proposing a sales tax that could bring in an extra $300 million per year.

A Jan. 9 aerial view of neighborhoods destroyed by the Palisades fire.

(Robert Gauthier / Los Angeles Times)

But the LAFD’s hyper-focus on money obscures its leaders’ failures in managing the resources they had, beginning with a decision to leave the scene of a New Year’s Day fire despite signs it hadn’t been fully extinguished.

Days later, that fire reignited into the Palisades fire, which killed 12 people and destroyed thousands of homes. Despite forecasts of catastrophically high winds, LAFD officials didn’t pre-deploy engines in the area or increase manpower by ordering a previous shift of firefighters to stay on duty.

As the flames spread, the firefighting response was disorganized and chaotic, with the LAFD’s own after-action report describing major failures by high-ranking commanders in communication, staffing and basic wildland firefighting knowledge.

City leaders have highlighted changes they have made since the fire, including appointing 30-year LAFD veteran Jaime Moore as chief and drafting new protocols for staffing on high hazard weather days.

But the question remains: Is Los Angeles prepared for the next major wildfire? Some city officials and fire experts don’t think so, pointing to an LAFD that hasn’t evolved with the times and an incomplete review of how the Palisades fire started.

Moore, who was appointed chief last month, declined to comment.

Mayor Karen Bass said in an interview earlier this month that the city is “on the path to be completely ready” for a major wildfire, with the LAFD now taking a more proactive approach to weather warnings.

“The Fire Department has been way more aggressive, has done pre-deployment, has been very visible, alerts going out early, trying to be very, very aggressive,” she said.

But Genethia Hudley Hayes, president of the Board of Fire Commissioners, said that the LAFD is still unprepared and that there hasn’t been enough time to make the necessary changes. She cited the LAFD’s technology, which she said is about two decades behind.

“I am not confident there would be a different result” if a similar disaster strikes, she said.

City Councilmember Traci Park, whose district includes Pacific Palisades and who has advocated for more Fire Department funding, agreed with Hudley Hayes.

Some essential changes have been made, such as requiring firefighters to stay for an additional shift during red flag warnings, Park said. But she said that too many fire engines are out of service, there are not enough mechanics, and most important, questions about the origin of the Palisades fire remain unanswered.

In October, after federal prosecutors charged a former Palisades resident with deliberately setting the Jan. 1 Lachman fire, The Times reported that a battalion chief ordered firefighters to roll up their hoses and leave the burn area on Jan. 2, even though they had complained that the ground was still smoldering and rocks remained hot to the touch. The Times reviewed text messages among firefighters and a third party, sent in the weeks and months after the fire, describing the crew’s concerns.

The LAFD’s after-action report, released in October, only briefly mentioned the Lachman fire. Critics have flagged this as a crucial lapse in the report, which prevents the department from figuring out what went wrong and avoiding the same mistakes.

After the Times report, Bass ordered an investigation into the LAFD’s handling of the Lachman fire.

Mayor Karen Bass, right, and then-Fire Chief Kristin Crowley speak during a news conference in January. Bass ousted Crowley less than two months after the Palisades fire.

(Allen J. Schaben / Los Angeles Times)

Bass had ousted Crowley less than two months after the Palisades fire, citing the LAFD’s failure to properly deploy resources ahead of the winds and potentially have a chance to extinguish the fire before it exploded out of control, an issue that was exposed by a series of reports in The Times.

Bass also countered Crowley’s financial complaints, saying that the budget did not affect the department’s ability to fight the fire. The LAFD’s 2024-25 budget had actually increased 7% from the previous year, due in part to generous firefighter raises.

More money won’t solve bad decision-making by top officials, said Marc Eckstein, an emergency physician who served as LAFD’s medical director and commander of its emergency medical services bureau until he retired in 2021.

He said that without transparency and accountability, “the fallback is always going to be what it has been: We need more of everything — more people, more money, more fire trucks, more fire stations.”

A modern fire agency needs the flexibility to surge its staff during a disaster, he said, while also addressing day-to-day needs. Most 911 calls are for medical problems, he said, yet the LAFD functions more or less the same as it did decades ago, when structure fires were more common.

He said a panel of outside experts should have been given access to the LAFD’s records to offer an unbiased look at how the department performed leading up to and during the Palisades fire.

“And it’s a playbook. OK, how do we prevent this from happening again?” he said. “And the fact that didn’t happen is a disgrace.”

How much the department transforms after the Palisades disaster will depend, in large part, on its new chief. Moore, who joined the LAFD in 1995 and most recently was deputy chief of the Operations Valley Bureau, was chosen by Bass to lead the department over a fire chief from a major city outside California.

At stations around L.A., firefighters told Bass that they wanted an insider for the job, which she said factored into her decision.

“Given that the Fire Department was under such scrutiny, such a difficult time, morale is in the toilet, infighting that’s going on, the last thing in the world they needed, in my opinion, was somebody from the outside,” Bass told The Times.

Moore had signaled before his appointment was confirmed last month that he was troubled by the LAFD’s missteps with the Lachman fire and was going to bring in an outside organization to investigate.

But the following week, he appeared to change course, alleging that the media was trying to “smear” firefighters while saying he still planned to investigate the Lachman fire.

Moore will be in charge of implementing the 42 recommendations in the after-action report, which range from establishing better communication channels to how to defend homes where hidden embers could ignite.

The report drew the conclusion that top LAFD commanders had startlingly little knowledge about combating wildfires, including “basic suppression techniques.” It suggested that all LAFD members undergo training on key skills such as structure defense and how to draw water from swimming pools when hydrants don’t work.

In an interview with ABC7, Moore said that the LAFD has adopted about three-quarters of the recommendations and is considering creating a division specializing in wildland fires.

Members of Crew 4, the department’s new full-time wildland hand crew, practice cutting fire lines near Green Verdugo Fire Road in Sunland.

(Myung J. Chun / Los Angeles Times)

Since the Palisades fire, the LAFD has hired a 26-member wildland hand crew that uses chainsaws and other tools to chop paths through brush to stop a fire from spreading. When they aren’t battling fires, they do brush clearance throughout the city.

Earlier this month, as hand crew members practiced cutting fire lines through the brush in Sunland, the crew’s leader, Supt. Travis Humpherys, declined to say whether they would have changed the outcome of the Palisades fire.

Travis Humpherys is the Crew 4 superintendent.

(Myung J. Chun / Los Angeles Times)

But they have already “made a dramatic impact” with brush clearance and fighting wildfires, including a 20-acre fire in Burbank in June, Humpherys said.

Moore’s requested budget of more than $1 billion for the coming year — a 15% increase over this year’s budget — includes money for a second wildland hand crew, as well as nearly 200 additional firefighter recruits and helitanker services to attack fires from the air. That amount could be pared down during the months-long city budgeting process, as the City Council and the mayor find ways to balance the overall budget amid financial headwinds.

Meanwhile, United Firefighters of Los Angeles City Local 112 is charting an ambitious course to reduce the department’s dependency on the city budget, pushing for a ballot measure that, if approved by voters in November 2026, would raise nearly $10 billion by 2050 through a half-cent sales tax. But after the LAFD’s failures in the Palisades fire, some voters may be reluctant to entrust its leaders with more money.

“It’s hard to believe that we are fully prepared for the next major emergency,” Doug Coates, the union’s acting president, said in a statement. “We desperately need more firefighters and paramedics, more trucks, engines, and ambulances and more wildfire resources and neighborhood fire stations.”

E. Randol Schoenberg, whose family lost four homes in the fire, including his in Malibu — along with documents that belonged to his grandfather, the composer Arnold Schoenberg — said he would be happy to pay more taxes for more services.

But Schoenberg, an attorney who is representing Palisades fire victims in a lawsuit against the city and the state, said he expects the LAFD to honestly examine its mistakes.

“If they don’t really grapple with the issues of how this happened, then no matter how much money we throw at it, it’s going to happen again,” he said.

Times staff writer David Zahniser contributed to this report.

A POPULAR Spanish beach city is set to get new flights from the UK.

Valencia is known for its vibrant culture and being the birthplace of paella, and soon the city will get new Wizz Air flights from London Gatwick Airport.

The new flights will be daily and launch on March 29, next year.

Return flights will cost from £40 per person.

Wizz Air also recently announced that there will be a route between London Luton Airport and Valencia, starting in March next year as well.

This route will operate five times a week.

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It takes just under three hours to get to Valencia, which experiences high temperatures of 17C during the winter months and 300 days of sunshine a year.

The city features a charming old town – also known as Ciutat Vella – home to Gothic architecture including the cathedral where you can climb the bell tower and the Silk Exchange – a UNESCO World Heritage site.

For history lovers, there is also St. Nicholas Church, which is often dubbed as Valencia’s ‘Sistine Chapel’ due to its Baroque frescoes.

Visitors note the ornate ceilings inside and the light show that takes place, called ‘The Light of Saint Nicholas’, which highlights the numerous Baroque frescoes.

It costs €15 (£13.15) per person to visit.

Head to El Carmen too, to see medieval walls and experience a vibrant nightlife.

Of course, there are pretty beaches too, such as beaches Malvarrosa, which is the best-known beach in the city and has lots of deck chairs for hire, kiosks selling drinks and inviting waters.

For a bite to eat, make sure to visit Mercado Central, which is Europe‘s largest fresh produce market.

Visitors can pick up a variety of produce or grab a takeaway, including fresh oysters and raw shrimp with lemon juice and chilli.

One recent visitor said: “Everything was fresh and very tasty.

“We did a little shopping for vegetables and meats and drank Aqua di Valencia at two different stands, before finishing with empanadas and a roll with jamon and queso.

“The market itself is very large, with interesting architecture both inside and outside.”

Other top foodie destinations in the city include Fum De Llum, where diners can try the tasting menu for €28 (£24.53) with citrus-marinated tuna tartare, Iberian pork shoulder and a number of homemade desserts.

One visitor said: “As I walked in, I was instantly greeted by a delicious aroma that filled the air, creating a wonderful atmosphere for my experience.

“The generous portions only enhanced my enjoyment, and it was clear that the ingredients were fresh.

“Each bite was packed with authentic flavours that transported me to a special place.

“I left feeling thoroughly satisfied and pleased with my choice, eagerly anticipating the next opportunity to indulge in such a delightful meal.”

And if you happen to be in the city on March 19, you’ll get to see Las Fallas – a festival where giant cardboard sculptures are burned.

In 2026, Las Fallas will celebrate its 10th anniversary and will last 19 days.

The festival dates back to the 18th century when carpenters used to burn pieces of wood.

Next year, the city will also be hosting Gay Games from June 27 to July 4.

In total, there will be more than 3,000 people involved in the games across 37 events.

And later in 2026, the Sorolla Museum at the Palace of Communications will open.

The new museum will feature more than 220 works by the famous Valencia painter, Joaquin Sorolla.

There are also hotels for all budgets, including the adults-only Axel Hotel Valencia, which has city views and a spa and costs from £106 per night.

Alternatively, you could stay at the Vincci Mercat, which is less than 100 metres from Mercado Central, from £125 a night.

For more inspiration on where to travel to in Spain, these are five of the best Spanish foodie destinations with direct UK flights and cheap holiday packages.

Plus, a couple has been to Benidorm over 100 times – they go back for Christmas for Chinese buffets and unlimited drinks for £16.

NEW YORK — For one Wisconsin couple, the loss of government-sponsored health subsidies next year means choosing a lower-quality insurance plan with a higher deductible. For a Michigan family, it means going without insurance altogether.

For a single mom in Nevada, the spiking costs mean fewer Christmas gifts this year. She is stretching her budget already while she waits to see if the Republican-led Congress will act.

Less than three weeks remain until the expiration of COVID-era enhanced tax credits that have helped millions of Americans pay their monthly fees for Affordable Care Act coverage for the last four years.

The Senate on Thursday rejected two proposals to address the problem, and an emerging healthcare package from House Republicans does not include an extension, all but guaranteeing that many Americans will see much higher insurance costs in 2026.

Here are a few of their stories.

Spending more for less

Chad Bruns comes from a family of savers. That came in handy when the 58-year-old military veteran had to leave his firefighting career early because of arm and back injuries incurred on the job.

He and his wife, Kelley, 60, both retirees, cut their own firewood to reduce their electricity costs in their home in Sawyer County, Wis. They rarely eat out and say they buy groceries only when they are on sale.

But to the extent that they have always been frugal, they will be forced to be even more so now, Bruns said. That is because their coverage under the health law enacted under former President Obama is, because of congressional inaction, getting more expensive — and for worse coverage.

This year, the Brunses were paying $2 per month for a top-tier gold-level plan with less than a $4,000 deductible. Their income was low enough to help them qualify for a lot of financial assistance.

But in 2026, that same plan is rising to an unattainable $1,600 per month, forcing them to downgrade to a bronze plan with a $15,000 deductible.

Kelley Bruns said she is concerned that if something happens to their health in the next year, they could go bankrupt. While their monthly fees are low at about $25, their new out-of-pocket maximum at $21,000 amounts to nearly half their joint income.

“We have to pray that we don’t have to have surgery or don’t have to have some medical procedure done that we’re not aware of,” she said. “It would be very devastating.”

Forgoing insurance

Dave Roof’s family of four has been on ACA insurance since the program started in 2014. Back then, the accessibility of insurance on the marketplace helped him feel comfortable taking the leap to start a small music production and performance company in his hometown of Grand Blanc, Mich. His wife, Kristin, is also self-employed as a top seller on Etsy.

Their coverage has worked for them so far, even when emergencies come up, such as an ATV accident their 21-year-old daughter had last year.

But now, with the expiration of Obamacare subsidies that kept their premiums down, the 53-year-old Roof said their $500-per-month insurance plan is jumping to at least $700 a month, along with spiking deductibles and out-of-pocket costs.

With their joint income of about $75,000 a year, that increase is not manageable, he said. So, they are planning to go without health insurance next year, paying cash for prescriptions, checkups and anything else that arises.

Roof said his family is already living cheaply and has not taken a vacation together since 2021. As it is, they do not save money or add it to their retirement accounts. So even though forgoing insurance is stressful, it is what they must do.

“The fear and anxiety that it’s going to put on my wife and I is really hard to measure,” Roof said. “But we can’t pay for what we can’t pay for.”

Single mom’s straining budget

If you ask Katelin Provost, the American middle class has gone from experiencing a squeeze to a “full suffocation.”

The 37-year-old social worker in Henderson, Nev., counts herself in that category. As a single mom, she already keeps a tight budget to cover housing, groceries and daycare for her 4-year-old daughter.

Next year, that is going to be even tougher.

The monthly fee on her plan is going up from $85 to nearly $750. She decided she is going to pay that higher cost for January and reevaluate afterward, depending on whether lawmakers extend the subsidies, which as of now appears unlikely. She hopes they will.

If Congress does not act, she will drop herself off the health insurance and keep it only for her daughter because she cannot afford the higher fee for the two of them over the long term.

The strain of one month alone is enough to have an impact.

“I’m going to have to reprioritize the next couple of months to rebalance that budget,” Provost said. “Christmas will be much smaller.”

Swenson writes for the Associated Press.

BUDGET airlines are rarely charging their lowest advertised baggage fees, a new study has revealed.

Consumer group Which? analysed the cost of travelling with a cabin bag designed to fit in an overhead locker on a total of nearly 1,500 easyJet, Ryanair and Wizz Air flights.

These were spread across eight popular routes for each airline, and included peak and off-peak dates.

EasyJet’s website states it charges “from £5.99” for a cabin bag, but Which? said it found no price that low among the 520 flights it checked.

The cheapest price found was £23.49, and the average was £30.

Analysis of Ryanair found its lowest advertised cabin bag rate of £12 was only available for two out of 634 flights.

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And Wizz Air’s lowest stated cabin bag price at the time of the research was €15 (£13.11), but that cost was only found twice across 338 flights.

The average fees found for Ryanair and Wizz Air were £20.50 and £28.93 respectively.

Which? said it handed its findings to regulator the Advertising Standards Authority as they “deserved to be called out”.

Travelling with a bag only in the overhead lockers is “likely to be considered an essential by many passengers,” they added.

It claimed airlines’ “failure to provide transparent fees” means consumers “don’t know what they are paying” until they have gone through multiple stages of the booking process.

Rory Boland, editor of magazine Which? Travel, said: “Our research shows that the tens of millions of passengers who need to take a cabin bag will pay much more than the cheapest price advertised.

“Rather than a few pounds, prices for bags can often be more than the flight itself.

“The tactics used by these airlines deserve to be called out.

“That’s why we have shared our findings with the regulator.”

A spokesperson for easyJet said its bag options and pricing are “transparent and well understood by our customers”.

It added that they allow passengers to “pay for only what they want”.

Ryanair said in a statement that the number of flights analysed was “too small to be representative or accurate”, adding that its cabin bag prices are “transparent and optional”.

A Wizz Air spokesperson said its prices “vary by route, season and demand”, and insisted it is “fully compliant with consumer protection laws”.

In August, Ryanair said it planned to raise bonuses for staff who spot passengers attempting to take oversized bags on flights, from €1.50 (£1.31) to €2.50 (£2.18) per bag.

At the time, the airline’s chief executive Michael O’Leary said he made “absolutely no apology” for catching people “scamming the system”.

Airlines are now offering “bundled fees” to make extra money.

And here are some of our tip tricks to avoiding luggage fees as well as seat fees.

An investigation by consumer group Which? has raised questions about how available the cheapest claimed cabin bag fees advertising by budget airlines are in reality

Advertising watchdogs are investigating claims about easyJet’s cabin bag fees.

The budget airline says passengers can take a bag on board from just £5.99 each way. But researchers from consumer group Which? were unable to find the price when they searched 520 easyJet options. The cheapest it found was £23.49, and the average £30 – about five times more expensive than the lowest price claimed. And as the cabin bag fees are one way, for most passengers the cost would be doubled when returning home from their trip.

The finding prompted Which? to lodge a complaint with the Advertising Standards Authority, and it is now being investigated.

A spokesperson for easyJet said: “EasyJet’s bag options and pricing is transparent and well understood by our customers, allows them to pay for only what they want and no more and enables us to keep fares low for everyone. This year 100 million passengers are choosing to fly with us and with our customer satisfaction scores up year on year, it’s clear that customers continue to value the choices that we offer.”

Which? also looked for Ryanair’s claimed lowest cabin bag price of £12 each way, and says it only found it available twice out of 634 flights – or just 0.3% of the time. The average fee for Ryanair was £20.50, it says.

It was a similar story for Wizz Air’s 15 euro claim, that Which? found was available just twice on the 338 flights checked.

Rory Boland, Editor of Which? Travel, said: “Our research shows that the tens of millions of passengers who need to take a cabin bag will pay much more than the cheapest price advertised – rather than a few pounds, prices for bags can often be more than the flight itself. “The tactics used by these airlines deserve to be called out, that’s why we have shared our findings with the regulator.”

Ryanair hit back strongly to the claims against it, branding the Which? research “total rubbish”. A spokesperson said: “Ryanair operates over 100,000 flights each month or over 1.2million flights annually so your ‘survey’ of just 600 flights is statistically too small to be representative or accurate.”

A Wizz Air spokesperson said: “Wizz Air flies over 75 million passengers each year, so a sample of 350 flights isn’t representative of cabin bag pricing across our full network. “Given the small sample and the fact we’ve had no visibility of the data, we believe it is potentially misleading.”