Looking ahead, RAP will face significant funding challenges with the expiration of Proposition K in 2026 and PlayLA in 2028. Simultaneously, the City is projecting a $1 billion budget deficit in FY 2026 and reduced property tax assessments resulting from the fires in January 2025 will reduce RAP’s City-Charter mandated assessment revenue.

Proposition K is property tax assessment that is expiring in 2026. Proposition K generates $25 million annually, of which $20.5 million is committed to capital projects and $4.5 million is dedicated to operations and maintenance.

Measure A assessment revenue can be used for both capital as well as operations and maintenance. The County manages and administers Measure A funding on a reimbursement basis. However, reimbursements take multiple years for the County to process.

As part of the Quimby Act, RAP collects in-lieu fees or land dedications for parks from new residential developments. Quimby funds can only be used for capital improvements or land acquisition and must be committed within five years. In 2017, an updated ordinance was passed, which created an “Early Consultation” meeting process with the City’s Planning Department. However, there are still difficulties with requiring developers to dedicate parkland. Currently, there is $200 million in uncommitted Quimby/park fees in the fund. Because of deferred maintenance throughout the park system as a result of a shrinking operating budget, Quimby/park fees are used on necessary health and safety repairs like roofs and HVAC systems. If maintenance was adequately funded, RAP could utilize Quimby/park fees for long-term capital improvements and large projects.

RAP receives funding from regional, State and Federal grants to support capital projects, and, to a lesser extent, operations and maintenance. The department has completed acquisition and capital rehabilitation projects with grant funding from State programs such as Proposition 40 (California Clean Water, Clean Air, Safe Neighborhood Parks, and Coastal Protection Act of 2002), Proposition 12 (Safe Neighborhood Parks, Clean Water, Clean Air, and Coastal Protection Bond Act of 2000), and Proposition 68 (Parks and Water Bond of 2018). Operational support has also been provided through grants like one from CAL FIRE, which funded arboriculture education and outreach initiatives.

RAP’s Partnership Division helps administer individual and organization donations to the city park system. RAP is supported by non-profits like the Los Angeles Parks Foundation. However, giving tends to be more prevalent in affluent areas of the City, and it takes a lot of staff time and energy to process donation agreements. The City has strict rules related to donor recognition which limits corporate sponsorships for signage.

As part of hosting the Olympics in 2028, LA received a commitment of $160M in funds to support youth sports and recreation through PlayLA. Youth sports and recreation are heavily subsidized by PlayLA, which makes them accessible to low-income families throughout LA. PlayLA funding will expire in 2028.

Lastly, compounded by wildfires, increased City liability expenses, and projected City budget shortfalls; the City is projecting a citywide operating deficit in FY 2026. This citywide context limits the potential for additional funds for RAP from the City and underscores the need for dedicated, long-term reliable funding for park capital and operations and maintenance.