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Transfer of Floor Area Rights (TFAR) / Public Benefit Payment Trust Fund / Distribution of Funds

Council File 14-1411-S5

Introduced
2024-05-16
Last changed
2026-05-12
Status
open
Expires
2028-05-12
Mover
EUNISSES HERNANDEZ
Second
BOB BLUMENFIELD
Initiated by
Chief Legislative Analyst
References
Chief Legislative Analyst Report: 23-11-0577; 25-10-0892

Brief

This file addresses how Los Angeles will distribute funds accumulated in the Transfer of Floor Area Rights (TFAR) Public Benefit Payment Trust Fund. Developers pay into this fund when they transfer floor area rights to build taller or larger buildings. Introduced by the Chief Legislative Analyst and moved by Councilmember Eunisses Hernandez, the measure was approved by the Planning and Land Use Management Committee in October 2025 and adopted by Council in November 2025. Council readopted it with a 14-0-1 vote in May 2026 subject to reconsideration.

Full summary

The Transfer of Floor Area Rights program allows developers to purchase the right to exceed normal zoning floor area limits, with payments going into a dedicated trust fund for public benefits. This file governs how those accumulated funds are allocated and, over time, reprogrammed when original recipient projects or organizations can no longer use them. The most substantive action came in November 2025, when Council adopted a package of reprogramming moves approved by the Planning and Land Use Management Committee. Seven allocations from earlier rounds of TFAR distributions were reversed and redirected: $1 million originally set aside for the Casa de Rosas affordable housing project was shifted to a First Time Homebuyers Down Payment Assistance Program in Council District 9; $1 million for the 6th Street PARC project was redirected to the Plaza del Sol Crosswalk project in Council District 14; and smaller amounts previously allocated to programs including a Nonprofit Central Coordinating Agency, Eviction Defense for Tenants, the South Central United Assistance and Prevention Program, and the St. Johns Mobile Clinic were reassigned to street lighting repair, emergency rental assistance, a community grants program, and substance abuse and behavioral health services, respectively, primarily in Council Districts 1 and 9. An additional $150,000 pulled from two other programs was redirected to boost the SEA Mental Health Program in Council District 9 from $200,000 to $350,000. In May 2026, Councilmember Eunisses Hernandez, seconded by Bob Blumenfield, moved a further amendment to the original September 2024 allocation. That motion changed the implementing city department for a Small Business Support program in Council District 1 — shifting responsibility from the Economic and Workforce Development Department to the City Clerk — and authorized a $200,000 transfer from the Economic Development Trust Fund to the Council District 1 Public Benefits Trust Fund to fund the program, which is to be carried out by the PACE Business Development Center. Council adopted that amendment on May 12, 2026, by a 14-0-1 vote, subject to reconsideration. The file has moved through the Planning and Land Use Management Committee at multiple stages, with the CLA preparing reports in May 2024, August 2024, and October 2025. The file remains open, reflecting its ongoing role as the vehicle through which TFAR trust fund distributions and amendments are processed.

Activity (21)

  • 2026-05-12 Council adopted item, subject to reconsideration, pursuant to Council Rule 51.
  • 2026-05-08 City Clerk scheduled item for Council on May 12, 2026.
  • 2026-05-05 Motion referred to Council.
  • 2025-11-20 Council action final.
  • 2025-11-12 City Clerk transmitted file to Mayor. Last day for Mayor to act is November 24, 2025.
  • 2025-11-12 Council adopted item forthwith.
  • 2025-11-07 City Clerk scheduled item for Council on November 12, 2025.
  • 2025-10-28 Planning and Land Use Management Committee approved as amended .
  • 2025-10-24 Planning and Land Use Management Committee scheduled item for committee meeting on October 28, 2025.
  • 2025-10-22 Chief Legislative Analyst document(s) referred to Planning and Land Use Management Committee.
  • 2025-10-22 Document submitted by Chief Legislative Analyst, dated October 22, 2025.
  • 2024-09-17 Council action final.
  • 2024-09-13 City Clerk transmitted file to Mayor. Last day for Mayor to act is September 23, 2024.
  • 2024-09-11 Council adopted item, subject to reconsideration, pursuant to Council Rule 51.
  • 2024-09-06 City Clerk scheduled item for Council on September 11, 2024.
  • 2024-08-30 Planning and Land Use Management Committee approved item(s) .
  • 2024-08-23 Planning and Land Use Management Committee scheduled item for committee meeting on August 30, 2024.
  • 2024-08-23 Chief Legislative Analyst document(s) referred to Planning and Land Use Management Committee.
  • 2024-08-22 Document(s) submitted by Chief Legislative Analyst, as follows:Chief Legislative Analyst report 23-11-0577, dated August 14, 2024, relative to the Transfer of Floor Area Rights Public Benefit Payment Trust Fund Distribution.
  • 2024-05-16 Chief Legislative Analyst document(s) referred to Planning and Land Use Management Committee.
  • 2024-05-16 Document(s) submitted by Chief Legislative Analyst, as follows:Chief Legislative Analyst report 23-11-0577, dated May 16, 2024, relative to the Transfer of Floor Area Rights Public Benefit Payment Trust Fund Committee recommendations for the distribution of funds held in the Trust Fund.

Documents (12)

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