L.A. Mayor Karen Bass signs executive order aimed at developing small businesses
Mayor Karen Bass announced her fourth executive directive on Thursday, aimed at streamlining the process of opening and operating small businesses in Los Angeles through a cross-department steering committee.
As part of the initiative, Bass created the Los Angeles Local Business Steering Committee (LABSC), composed of city department members and led by the Mayor’s Office of Business and Economic Development. In her announcement of the directive, Bass said the committee will focus on promoting the growth and creation of small businesses in L.A. by eliminating red tape and simplifying procedures to support business owners in the city.
In Los Angeles, small businesses make up 99% of the businesses opened in the city since 2022, and are responsible for 63% of net new jobs, according to data from city departments.
“Moving forward it will be easier for businesses to engage with the city, whether that is for permitting or licensing. They will be met with support, not barriers,” Bass said during her announcement of the directive. “Our goal here is to put an end to opaque bureaucracy so business owners save time and money, and are able to be successful and hire more Angelenos.”
Tasks for the LABSC include:
Assessing each city department’s fees and taxes that apply to businesses and identifying reductions.
Calculating the cost of doing business within the city and determining how small businesses are affected.
Assessing the existing processes and timelines to start a new business and developing a streamlined guide for businesses to follow city processes.
Conducting a comparative analysis of L.A.’s fees, taxes, timelines and procedures versus those of other cities that have successfully attracted businesses in recent years.
Departments involved in the LABSC include the City Planning Department, Department of Building and Safety, Department of Water and Power, Economic and Workforce Development Department, Department of Cannabis Regulation, Department of Public Works and the Fire Department, as well as the Mayor’s Office of Business and Economic Development, Office of Finance, City Administrative Officer and City Controller.
The committee will report its initial findings to Bass after three months, starting June 22.
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