The Brief

The Los Angeles City Council voted 13-1 on Tuesday to put a measure on the November ballot that will ask voters whether homes affected by the Palisades Fire should be exempt from the city’s controversial “mansion tax.”

If passed, the exemption would apply to the sale of homes damaged or destroyed by the fire. The exemption would last until early 2030, five years from the date of the fire.

This could potentially reduce the tax’s revenue up to 6% — or $32 million each year — according to a May 2026 report from the L.A. Housing Department.

How the ‘mansion tax’ works 

The “mansion tax,” officially called Measure ULA, is a tiered tax on real estate selling for $5.4 million or more. The tax, which was passed by voters in 2022, funds programs such as rental assistance, eviction defense and affordable housing construction in the city.

The measure has fierce defenders, as well as staunch critics. A statewide ballot measure sought to kill the tax before it was pulled by supporters earlier this year in exchange for a legislative deal in Sacramento.

State and local lawmakers have considered reducing the tax or exempting newly constructed apartment buildings. Their ideas have been guided by economic studies that found the tax was slowing down housing development in the city. So far, none of those reforms have mustered enough support to pass.

Where council members stand

Councilmember Eunisses Hernandez, whose district includes Highland Park, Chinatown and Westlake, previously spoke against the measure’s scope at a City Council meeting on July 1.

“Any exemption should only be for homeowners whose primary residence was destroyed, and people who genuinely need help rebuilding, not LLCs, investors or people with a portfolio of properties,” Hernandez said. “We had the opportunity to write those protections into this ordinance, and we didn’t.”

Hernandez criticized her colleagues for shooting down the post-fire eviction protections she proposed after tenants living in her district lost work as gardeners and nannies in the Pacific Palisades.

“When wealthy property owners need relief, we’re willing to bend over backwards,” she said. “But when working class people and tenants need protection, suddenly our hands are tied and the political will is not there.”

Councilmember Traci Park, who represents the Pacific Palisades, voiced support for the measure at the same meeting.

“Putting this tax on these folks who are trying to recover and reckoning with the fact that some of them just aren’t coming home, is just unspeakably cruel,” Park said. “It’s an exemption that applies in very narrow circumstances to original owners and first transactions for five years, only for residential properties. This is the least we can do as this community continues to recover.”

In Tuesday’s meeting, Hernandez cast the lone vote against placing the measure on the November ballot. Thirteen council members supported the move. Councilmember Curren Price was not present for the vote.

What happens next 

L.A. voters will have the final say on whether Palisades homeowners will be exempt from the tax. The proposal needs a simple majority of support from voters in the upcoming November general election to pass.

How to keep tabs on the L.A. City Council

The L.A. City Council tends to meet Tuesdays, Wednesdays, and Fridays. Meetings typically start at 10 a.m.

Here’s how you can follow along:

• Attend in person: The council typically meets at City Hall, Council Chambers, 200 N. Spring St., Los Angeles
• Watch the live broadcast
• Here’s how to submit a comment or contact the council

It’s a tumultuous time for healthcare. Federal and state budget cuts are changing the rules for public benefits. Most people with Medi-Cal won’t be affected, but it may be confusing to figure out whether your benefits will change.

Are you on Medi-Cal, or is someone in your family worried about the cuts?

Tell us about your health coverage, and we'll share advice, information and updates.

The two most important things to do: Update your contact information with your county benefits office, and keep an eye out for any letters mailed from the county or state.

You can update your information by calling your local county office or online with a BenefitsCal account.

Here are the key changes, what they mean, and where to get help.

Changes for immigrants

Non-citizens — undocumented immigrants, refugees, asylum seekers, and people with pending immigration cases — are the group most affected, even those with a green card. The state has an immigration status chart to help you check whether these changes apply to you. If they do, you’ll get a letter.

Undocumented immigrants

• As of Jan. 1, immigrants over age 19 without legal status can no longer apply for Medi-Cal (children remain eligible). 
• Those already enrolled keep benefits if they renew on time. If they miss the renewal deadline and coverage ends, they have three months to reapply. After that window, they cannot sign up again. 
• Anyone who loses Medi-Cal may apply for emergency services. Those are limited to pregnancy, emergency visits and nursing home care.
• Starting Jan. 1, 2027, this group moves to “fee-for-service” Medi-Cal that limits some coverage. Doctors visits, prescriptions, and mental health treatment won’t be affected. Confirm your doctor accepts this Medi-Cal type, or find a new doctor by calling 1-800-541-5555.
• Adults ages 19-64 must also prove they are working or volunteering at least 80 hours a month. Students, people with disabilities and parents with young children are exempt from the work requirement. Starting July 1, 2027, adults lose dental coverage. Those 19-59 will also pay a $30 monthly fee.
• Children and pregnant individuals will remain eligible for Medi-Cal.

Refugees, asylum seekers, some green card holders

• Starting Jan. 1, 2027, refugees, asylum seekers, humanitarian parolees, and survivors of domestic violence or trafficking move to “fee-for-service” Medi-Cal. They will still be able to see the doctor, pick up prescriptions and see the dentist, but they will no longer have a health insurance plan. Call 1-800-541-5555 to find a new doctor if your current one does not accept it.
• Six months later, this group will lose full-scope Medi-Cal and dental benefits, keeping only pregnancy and emergency care.

Promotoras, community health workers and legal aid groups can help answer questions about this.

Adults without children

About 5 million Californians gained Medi-Cal coverage when the Obama administration expanded eligibility to childless adults and those earning slightly above the federal poverty level. Now this group faces stricter requirements in order to keep their health coverage.

Work requirements

• Beginning Jan. 1, adults 19-64 and many immigrants must prove at least 80 hours each month of working or volunteering, or half-time schooling. 
• Who’s exempt: children, seniors, pregnant people, those who are disabled or have serious health conditions or addictions, people on Medicare, those recently released from prison, American Indians and Alaska Natives populations and some former foster youth.
• The state will mail a letter if this applies to you. Most renewal packets come in a bright yellow envelope, but notices may look different. Respond quickly.

More frequent renewals

Beginning next March, the state will check Medi-Cal eligibility every six months for adults ages 19-64 and many immigrants, verifying income, work status, and other requirements. Renewal may happen automatically; if it doesn’t you will receive a letter asking for more information.

Seniors (65+) and people with disabilities

Starting July 1, 2027, seniors (65+) and people with disabilities cannot own more than $21,000 in assets, including savings accounts, cash and property other than a home and a car. For couples it’s $31,000 total. This limit also applies to non-citizens. Your county benefits office or a local legal aid group can clarify what counts; the state also has an FAQ about the new limits.

If you’re afraid of losing coverage, do these things right now

Not everyone will be affected, and some people won’t need to do anything. If you’re required to report work hours or other information, you’ll receive a notice in the mail or through the BenefitsCal online portal if you have an online account: Check both regularly.

The state doesn’t yet have a timeline for initial notices, but advocates say the best move now is simply keeping your information current. This is especially important because the rules keep changing.

“It’s so vital they watch the mail, look out for communications from the county, and are responsive to requests for information,” said Jack Dailey, director of health policy at the Legal Aid Society of San Diego.

Bukola Olusanya, regional medical director for St. John’s Community Health, talks to a patient in a mobile clinic van in Los Angeles on Feb. 6, 2026.

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Jules Hotz

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CalMatters

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If you get a notice: You should have plenty of warning before benefits are terminated – respond promptly to any notice of action.

If you get a notice that your benefits will be cancelled and you disagree with that decision, you can appeal and request a state hearing, which “allows you to temporarily freeze an adverse action and keep your benefits while your appeal is being reviewed,” says Alicia Emanuel, a staff attorney with the National Health Law Program.

If you’ve already lost coverage: You have 90 days to restore benefits without filing a new application. Submit the requested information in that window and, if you still qualify, you shouldn't see a coverage gap. After 90 days, you'll need to reapply from scratch.

Where to get free help

Promotoras — community health workers trained through groups like Vision y Compromiso — can meet you in your neighborhood, explain benefits in plain language, and help with Medi-Cal applications. Rosa Lopez, a promotora in Long Beach, said many immigrants worry about losing coverage: “I tell them you don’t have status, don’t worry. The first thing is your health.”

Community clinics often have benefits counselors on staff, and legal aid groups offer free advice for confusing letters — call the Health Consumer Alliance at (888) 804-3536, or check its website. The state also runs a helpline at (800) 541-5555 and keeps its website up-to-date.

One more thing worth knowing: Medi-Cal eligibility isn't just one door — there are several ways to qualify, based on conditions such as income, age, disability, or pregnancy. Before the state can terminate your benefits under one category, it must check whether you still qualify through any of the others. “It's a really critical protection because sometimes an individual is in fact eligible through a different pathway,” Emanuel said. And by law, Medi-Cal must provide free language assistance for people with limited English proficiency.

This article was originally published on CalMatters and was republished under the Creative Commons Attribution-NonCommercial-NoDerivatives license.

The Los Angeles Unified School Board planned to vote on firing former Superintendent Alberto Carvalho before he abruptly resigned in June, accusing him of “unprofessional conduct” and “unsatisfactory performance,” according to newly-released documents.

The letters – released to LAist in response to a public records request – show the district accused Carvalho of more than a dozen violations of district policy and in some cases, state law. The documents also show his legal representation contested the allegations, calling the school board’s letter a “political hit job.”

Carvalho had been on administrative leave since February after federal agents raided his home and office. He resigned in late June, days before the board planned to vote on his termination.

The Los Angeles Times first reported that Carvalho was threatened with dismissal on June 27, but the full extent of the allegations against Carvalho was not public at the time.

The school board’s allegations

In the letter, Board President Scott Schmerelson outlined a series of allegations, accusing Carvalho of failing to disclose outside income from his consulting work and gifts.Those perks allegedly included tickets to Dodgers games and travel expenses to speaking engagements in Washington, D.C. paid by outside vendors.

Schmerelson also wrote that an ongoing investigation found Carvalho allegedly bypassed district information technology policy, including by asking district staff to allow him access to Telegram, a messaging app the district considered to be “a high cyber risk.”

The letter also alleged Carvalho asked his district-provided driver to perform personal work.

The letter informed Carvalho that the district allegedly found he had the driver “drop off your wife at LAX on multiple occasions, drive you and a female District employee after hours to restaurants and other social outings, and her home on approximately a dozen occasions.”

How Carvalho’s legal team responded

Lawyers with Holland and Knight, which is representing Carvalho, issued a 12-page rebuttal to the district’s claims and called the planned termination “retaliatory.”

Carvalho’s attorneys wrote that the externally funded meetings, travel and other perks were public and often discussed with the district’s general counsel.

The use of a district car and driver is included in Carvalho’s contract, along with a provision for use for non-district business.

“Based on his contract and guidance from the LAUSD General Counsel – and in a heightened threat environment facing public officials like Mr. Carvalho – he understood that he was authorized to use the automobile and driver after work hours,” the letter from his lawyer read.

The response also highlighted Carvalho’s recent contract renewal, unanimously approved by the board in September 2025.

Several parts of Holland and Knight’s response were redacted. An LAUSD employee said the redactions were made to avoid invasion of privacy and because, in some cases, the public interest was better served by withholding information.

“Yesterday’s release of LAUSD’s investigation report confirms, once again, that Alberto Carvalho has broken no laws,” Carvalho’s lawyers said in a statement sent to LAist Tuesday. “While the District’s letter purports to recite other ‘issues of concern,’ it does so in an incomplete and misleading manner – as we set forth in our response to the District.”

LAUSD declined to answer additional questions about the letters or whether an investigation into Carvalho’s former employment is ongoing.

Failed AI chatbot company’s alleged role 

The board’s allegations included Carvalho’s interaction with the tech company AllHere, the now-failed company that contracted with the district to provide an AI chatbot. The board accused Carvalho of accepting $4,633.37 worth of travel and lodging from AllHere to speak at a conference, as well as attending dinner events during the contract procurement process. Federal prosecutors have charged AllHere’s CEO with defrauding investors.

The letter also mentions trips funded by district vendors to Washington D.C. paid for by tele-mental-health provider Hazel Health, to Arizona to speak at an AI-focused event paid for by ed tech company Carnegie Learning, and a trip to Denver for an education roundtable funded by LEGO’s education division.

On the day of the FBI raids, agents also searched the home of a woman in South Florida who was associated with AllHere. Federal authorities said that search was linked to the searches of Carvalho’s home and office in L.A., but have not connected the investigation to AllHere.

Carvalho’s lawyers said in their rebuttal that the district’s prior inquiries into AllHere “cleared Mr. Carvalho of any misconduct.”

On Tuesday, after the release of the letters, they went on to say that “[a]fter thoroughly investigating, LAUSD found no evidence that Alberto violated federal law regarding his interactions with AllHere or any other vendor.”

What are public officials required to disclose?  

California requires public officials to report outside income, gifts and investments, in part so that the public can evaluate officials' decision-making against their financial interests. Officials must submit this document, called a Form 700, annually.

The letter said Carvalho did not file his most recent Form 700 by the April 1, 2026 deadline.

Carvalho was a nationally recognized educator before and during his tenure as LAUSD superintendent. The announcement of his LAUSD appointment included references to his service on the boards of several national education organizations.

The letter lists two dozen examples of payments for consulting work, travel and gifts Carvalho allegedly failed to disclose on the Form 700 between 2022 and 2024. They include tickets to a Dodgers Game provided by the California Credit Union, consulting calls with educational technology companies and travel paid for by publishing and media company Scholastic.

Carvalho’s legal representation said he “never intentionally concealed any income or gifts on his Form 700 filings.”

“The events and travel referenced in the allegations were entirely consistent with Mr.

Carvalho’s duties as leader of the nation’s second-largest school district,” the letter said.

For example, the letter noted Carvalho’s attendance of the 2022 and 2024 “Rookie of the Year” teacher awards ceremonies at Dodger Stadium were publicized and that other LAUSD board members also participated in the event.

The letter noted that many of the alleged payments date back several years.

“If the Board had any concerns regarding his disclosure obligations, there was ample opportunity to communicate such concerns to the Superintendent, and to correct them if needed,” the letter read. “That never happened.”

Carvalho’s lawyers said that the former superintendent notified both the district and the state commission that oversees Form 700 filings that federal agents seized the documents, devices and records he needed to complete the forms.

The deadly and destructive Eaton Fire was caused by Southern California Edison equipment, according to two reports released Tuesday by the L.A. County Fire Department. The determination is in line with theories shared by the utility itself several months after the fire ignited in January last year.

The L.A. County Fire Department’s arson unit, with assistance from the state’s Cal Fire, was tasked with leading the investigation into the cause of the fire over the last 18 months.

Investigators ultimately determined that arcing electrical lines near an Edison transmission tower in Eaton Canyon “ejected hot metal particles” that fell into dry vegetation at the tower’s base. Twelve seconds later, what became the Eaton Fire ignited.

“The cause of this fire is ELECTRICAL in nature,” investigators concluded.

At least 19 people died and close to 10,000 homes and businesses were destroyed in the fire that began Jan. 7, 2025, and wasn’t fully contained until Jan. 31.

An Edison spokesperson said the company is “currently reviewing” the report, but declined to share if it planned to dispute the findings.

“ We have taken the potential role in the start of the fire very seriously from the beginning,” said spokesperson Scott Johnson. “ As we've previously said, Southern California Edison believes it is likely that its equipment was associated with the ignition of the Eaton Fire.”

Johnson pointed to the company’s compensation program, which has offered more than $775 million in claims to more than 4,000 applicants.

L.A. County Supervisor Kathryn Barger, who represents Altadena, the unincorporated community that experienced the majority of the fire’s destruction and where all of the deaths occurred, said the report brings more “insight and answers.”

“While the report does not close this chapter, I hope it brings greater clarity and a measure of closure to those who have endured so much,” Barger said in a statement.

But for many Eaton Fire survivors, including Zaire Calvin, the report brings little closure.

“ I'm very angry about the fact that this has already been known, and that Edison still hasn't accepted responsibility,” said Calvin, whose sister, Evelyn McClendon, died in the fire and who lost his home and multiple family homes.

“ Edison cares about their record profits,” he added. “Edison cares about their money. So again, it just goes back to when is Edison gonna care about the actual people who are in the community?”

The L.A. County Fire Department report comes just days after Southern California Edison shared its latest quarterly earnings, logging $669 million in net income, up $193 million from the year before. The year the Eaton Fire sparked, the utility’s parent company, Edison International, made record profits of $4.5 billion. Also in 2025, CEO Pedro Pizarro received a 20% pay raise.

The long-awaited investigation from the county Fire Department has also been a subject of discussion at trial hearings for the lawsuits against the utility. Edison lawyers have argued that without an official cause of the fire, a trial date cannot be set.

Amanda Riddle, an attorney for plaintiffs suing the utility, said that point is now moot.

“It's just one less excuse that Edison has to delay compensating the victims of the Eaton Fire,” she said.

Riddle said her team will bring the Fire Department’s report to a case management hearing later this month. Meanwhile, a trial date has been set for Jan. 25, 2027.

This story first appeared on The LA Local.

Galen Banks spent years cycling through addiction and homelessness after leaving the U.S. Navy with an other-than-honorable discharge.

On Monday, standing inside the Koreatown home where he has lived since April, Banks said rebuilding his life has also helped him reconnect with his daughter after nearly seven years without contact.

“I feel good. My mental health is going well,” Banks said. “When I was out there … I was using crack, I was stealing, I was breaking into people’s cars. I wasn’t talking to my daughter.”

Galen Banks, the first resident of a new affordable housing development for veterans in Koreatown, sits inside his apartment Monday, Aug. 3.

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Hanna Kang

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The LA Local

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Banks, 50, who is recovering from drug addiction, is the first resident of a new affordable housing development that transformed a historic Craftsman house into 19 individual units for veterans, many of whom had experienced homelessness and, like Banks, were discharged under conditions that often leave them ineligible for Veterans Affairs benefits.

Banks served aboard an aircraft carrier before he was discharged in 1998 after being caught smoking marijuana. After leaving the military, his addiction worsened, leading to a four-month prison sentence in 2009 on a drug paraphernalia conviction.

He was later transported from Folsom State Prison to Los Angeles to address an outstanding warrant, but after a court gave him credit for time served, he had no way to return to Fresno, where he was required to report for parole.

“That’s actually when my homelessness started, because I had no way to get back to Fresno,” he said. “And eventually, I ended up on Skid Row.”

More than a decade later, Banks is one of 19 veterans living in the converted Craftsman house, giving him his first stable home in years and the opportunity to begin rebuilding his life.

Los Angeles Mayor Karen Bass joined housing advocates, city officials and nonprofit partners Monday to open the $16 million development, which she said demonstrates how smaller existing properties can be converted into affordable housing.

“Affordable housing doesn’t always mean large, high-rise buildings,” Bass said. “We have to think creatively to reimagine some of the historic spaces that define our communities as we accelerate the creation of more housing.”

Los Angeles Mayor Karen Bass, center, joins city officials and others during a ribbon-cutting ceremony for a new 19-unit affordable housing development for veterans in Koreatown on Monday, Aug. 3.

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Hanna Kang

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The LA Local

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The project, developed by Holos Communities on city-owned land, preserves much of the home’s original character.

Rather than demolishing the historic Craftsman as originally planned, developers retained the facade facing the street and restored features including leaded-glass windows, high ceilings and a roof built with wood salvaged from the original home, while adding a contemporary three-story residential wing in the rear.

“It wasn’t just about historic preservation,” said Logan O’Phelan, director of operations for Holos Communities. “It also preserves resident well-being.”

O’Phelan said the building’s high windows, ceilings and porch encourage cross-ventilation and natural cooling. Retaining the house’s appearance also allows the development to resemble neighboring homes, he said, reducing the stigma sometimes associated with supportive housing.

Construction was delayed for years due to financing after Holos was awarded the site in 2019, according to O’Phelan. Ground broke in 2024. 

Residents receive intensive case management, stable housing assistance and health care connections through The People Concern. The Housing Authority of the City of Los Angeles committed 15 project-based vouchers for 20 years and expects to provide nearly $7 million in rental subsidies, according to officials.

Identifying 19 veterans took nearly a year because the development is specifically intended for people with other-than-honorable discharges, according to Lety Muro, a community development coordinator for Holos Communities.

On Monday, Bass said Los Angeles recently placed its 1,000th veteran into permanent housing through her House Our Vets initiative. 

For Banks, having his own space has allowed him to focus on what comes next. He hopes to get a service dog and work in peer support, helping veterans and people recovering from addiction navigate struggles similar to his own.

After moving into the building in April, Banks said he found the confidence to reconnect with the daughter he feared had written him off during the years he spent unhoused.

“But it was totally the opposite,” Banks said. “She said, ‘Where you been? I missed you.’ Yeah, we got a good relationship today.”