LOS ANGELES, CA – Los Angeles County Supervisor Hilda L. Solis, First District, released the following statement after the Board of Supervisors unanimously approved her motion on using Catalytic Development Funds (CDF) to support the request for proposals (RFP) process on the potential repurposing of the LAC+USC General Hospital and West Campus, the LAC+USC campus area west of General Hospital, for housing and mixed-use purposes:

“Over the course of my time as Supervisor for the First District, I have introduced various motions in alignment with community to move forward a collective vision for a ‘Healthy Village’ at the LAC+USC Medical Campus. From the nearly completed Restorative Care Village which will house 96 recuperative care beds and 64 crisis residential treatment beds to the realization of a new childcare center on-site, providing a range of critical public health services to our most vulnerable has been my foremost priority — and the reuse of the General Hospital and West Campus is no different. This potential project can aid in our response to the housing shortage our region is experiencing by repurposing the General Hospital and West Campus into an affordable housing and mixed-use development. We are one step closer to making that dream into reality with this motion.”

To make a clear and informed choice on how to proceed with a mission-aligned reuse of the General Hospital and West Campus as a potential affordable housing and mixed-use development, a significant amount of technical analysis and due diligence will be completed this Spring by the CEO Asset Management Branch. This research is identifying ways to leverage possible creative financing mechanisms which may accelerate the successful reuse of the General Hospital. These efforts include various tax credit programs, such as Historic Preservation Tax Credits, New Market Tax Credits, and Low-Income Housing Tax Credits. Additionally, the Federal Tax Cuts and Jobs Act of 2017 created Opportunity Zones to stimulate investment in challenged census tracts, which include the LAC+USC Medical Campus. The establishment of an Enhanced Infrastructure Financing District, obtaining other federal and state grant monies, and pursuing Public-Private Partnerships are all possible solutions to allow the General Hospital and West Campus to continue to serve as a beacon of hope. The assessment by CEO Asset Management Branch will be formalized as a feasibility study to be incorporated as an exhibit into a planned RFP for potential development of the General Hospital and West Campus.

In recognition of the significant economic development potential for the reuse of General Hospital and development of West Campus, the County’s Department of Workforce Development, Aging and Community Services (WDACS) is recommending the use of District allocated CDF for certain subject matter expertise to assist in the preparation of an RFP. CDF funds, and funds from the Capital Project fund established for the LAC+USC Medical Center Master Plan, will fund consultant services in the preparation of an RFP for the potential development of the General Hospital and West Campus sites.

The motion approved today approves the transfer of $50,000 from the LAC+USC Medical Center Master Plan project to WDACS for the preparation of the RFP for the potential development of the General Hospital and West Campus site. Additionally, it authorizes WDACS to use and allocate CDF of $150,000 for the preparation of an RFP for the potential development of the General Hospital and West Campus, report back to the Board on a biannual basis on its progress and on the timeline for confirming the use of the funds set forth above in support of the potential development of the General Hospital and West Campus site; and allocate funds in the amount not to exceed $200,000 for the execution of agreements, amendments to existing agreements and/or work orders with consultants in the preparation of an RFP for the potential development of the site.

To view the full motion, click here.