Board backs permanent small‑business interruption fund after testimony from affected owners
March 18, 2026 | Los Angeles County, California
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The Los Angeles County Board of Supervisors voted 5‑0 on March 17 to authorize a motion by Supervisor Hilda L. Solis to create a permanent, standing small‑business interruption fund to help businesses hit by sudden economic disruptions.
Solis said the county has repeatedly stood up emergency interruption funds — 13 such funds by the Department of Economic Opportunity (DEO) in the prior 3½ years — but that each required building a new program from scratch. The proposed standing fund is intended to give DEO an always‑available mechanism to respond faster to crises such as fires, pandemic impacts and immigration enforcement operations.
Supervisor Holly J. Mitchell, co‑author of the motion, and other board members noted DEO’s recent efforts disbursing more than $5 million to 500 small businesses and urged a durable, simpler infrastructure to reach microbusinesses and immigrant‑owned operations. DEO and nonprofit partners described successes in helping businesses in Altadena and East L.A. and said a standing fund could speed assistance to entrepreneurs lacking banking access.
Members of the public — including small business owners, LEAF and microlenders — testified they had received grants or loans in prior emergency rounds and called for a permanent fund and culturally competent outreach. Rafael Carbajal, DEO director, and Kelly LoBianco described the department’s readiness to work with the board to design a program that is simple, flexible and quick to deploy.
Action taken: the board approved the motion and Solis also announced she would allocate $649,000 from her office to fund small grants to 146 previously eligible but unfunded businesses in District 1.
What’s next: DEO will work with county finance staff to develop program design options for a standing fund, including eligibility, outreach and potential sources of ongoing county and outside funding. The board asked for a report back on program design and financial sustainability.
Solis said the county has repeatedly stood up emergency interruption funds — 13 such funds by the Department of Economic Opportunity (DEO) in the prior 3½ years — but that each required building a new program from scratch. The proposed standing fund is intended to give DEO an always‑available mechanism to respond faster to crises such as fires, pandemic impacts and immigration enforcement operations.
Supervisor Holly J. Mitchell, co‑author of the motion, and other board members noted DEO’s recent efforts disbursing more than $5 million to 500 small businesses and urged a durable, simpler infrastructure to reach microbusinesses and immigrant‑owned operations. DEO and nonprofit partners described successes in helping businesses in Altadena and East L.A. and said a standing fund could speed assistance to entrepreneurs lacking banking access.
Members of the public — including small business owners, LEAF and microlenders — testified they had received grants or loans in prior emergency rounds and called for a permanent fund and culturally competent outreach. Rafael Carbajal, DEO director, and Kelly LoBianco described the department’s readiness to work with the board to design a program that is simple, flexible and quick to deploy.
Action taken: the board approved the motion and Solis also announced she would allocate $649,000 from her office to fund small grants to 146 previously eligible but unfunded businesses in District 1.
What’s next: DEO will work with county finance staff to develop program design options for a standing fund, including eligibility, outreach and potential sources of ongoing county and outside funding. The board asked for a report back on program design and financial sustainability.
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