Los Angeles County staff canvass a small business in unincorporated East Los Angeles. (Photo – J. Miguel Arcega)
The Los Angeles County Board of Supervisors has approved a motion by Board Chair and First District Supervisor Hilda L. Solis to provide financial assistance to small businesses affected by the Lineage Logistics fire while expanding efforts to address the incident’s economic and public health impacts.
By News Desk
The June 17, 2026, fire broke out at a 500,000-square-foot cold storage facility owned by Lineage Inc. on South Los Palos Street in Boyle Heights. The blaze spread ash into surrounding communities and has fueled ongoing concerns about odors, flies and other conditions affecting nearby neighborhoods. Although the facility is within the City of Los Angeles, county officials said the impacts have been felt throughout unincorporated East Los Angeles and surrounding communities.
According to a survey by the Los Angeles County Department of Economic Opportunity, 71 of 88 small businesses in affected commercial corridors reported revenue losses following the fire. Business owners cited reduced customer traffic, property damage, temporary closures and workforce disruptions as major challenges. The findings aligned with reports gathered through county outreach efforts and Community Resource Centers.
“Over the past several weeks, I have spoken directly with businesses impacted by the Lineage fire and heard firsthand about the thousands of dollars in losses they have suffered,” Solis said. “These businesses are still struggling to recover and should not be left to shoulder the financial burden of a disaster they did not cause. Lineage has not provided any support to help them recover, which is why I am directing my discretionary funds to provide critical assistance while strengthening our tools to hold companies accountable when their actions harm our communities.”
The approved motion directs the Department of Economic Opportunity to establish a Small Business Interruption Fund within 45 days using First District Catalytic Development Funds. The program will assist businesses affected by the Lineage fire and future proclaimed emergencies within the First District.
County officials also directed the department to report back within 60 days on how the Countywide Business Interruption Fund, established in March 2026, could provide additional assistance and to identify options for creating a sustainable funding source.
“The Department of Economic Opportunity has been on the ground conducting outreach to small businesses and workers in the communities impacted by the Lineage Logistics fire, assessing business impacts, and connecting businesses with technical assistance and recovery resources,” said Kelly LoBianco, director of the Los Angeles County Department of Economic Opportunity. “We are grateful to the Los Angeles County Board of Supervisors and Board Chair Hilda L. Solis for their leadership in advancing critical financial assistance for affected small businesses. This investment will help businesses recover from lost revenue, stabilize operations, preserve jobs, and continue serving as anchors of their local communities.”
The motion also directs the Los Angeles County Department of Public Health, in consultation with County Counsel, to review its citation and fee structure and recommend increased penalties for public health violations that significantly affect public and environmental health.
The review follows enforcement actions against Lineage related to ongoing public health concerns, including unsanitary conditions and pest control violations at the facility. Since July 23, the Department of Public Health has issued six citations carrying a $500 daily fine until the violations are corrected. Beginning July 30, each violation has been cited separately, allowing fines of up to $2,000 per day until the issues are resolved.
In addition, county departments have been directed to identify ways to strengthen emergency preparedness and develop recommendations for community health and safety plans for high-risk facilities located near homes, schools and health care facilities.
Since the fire, the Department of Economic Opportunity has continued outreach efforts to assess business needs and connect owners with recovery resources. As additional relief funding becomes available, the department said it will continue helping affected businesses access available assistance.
Business owners seeking support can contact the county’s Office of Small Business at (844) 432-4900 or by email at osb@opportunity.lacounty.gov.
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