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Los Angeles recovery chief Steve Soboroff raised eyebrows during a recent webinar with major Hollywood talent agencies when he suggested that immigration enforcement could potentially remove half of the workforce needed for rebuilding fire-damaged areas.

The remarks came during an online session with United Talent Agency, Creative Artists Agency, and William Morris Agency, focusing on reconstruction efforts in Pacific Palisades following the devastating Palisades Fire.

Soboroff, a developer with extensive experience in public service, was appointed by Mayor Karen Bass to spearhead the recovery initiative. This appointment has sparked some debate, as other prominent figures like developer Rick Caruso have launched independent recovery efforts.

Speaking to entertainment industry professionals, many of whom own properties in the affected Pacific Palisades area, Soboroff discussed the financial challenges ahead. He warned that insurance payouts, including those from the California FAIR plan, would likely fall short of actual reconstruction costs. “The reconstruction costs are going to be high, because the demand for commodities is going to be high, the demand for labor — whether or not half our labor gets deported before this happens — is going to be high, so we’re going to be recruiting people from around the country to come and live at Motel 6’s, like the Alaska Gold Rush, so there are subs out here, to do work.”

However, Soboroff’s claim about undocumented workers in construction appears inflated. Research indicates a significantly lower percentage, with the Pew Research Center estimating around 15% of construction workers are unauthorized immigrants, while other estimates range between 13% and 23%. Current immigration enforcement policies primarily target individuals with criminal records beyond immigration violations.

The recovery chief’s comments followed a recent community meeting with Mayor Bass, where organizers discouraged “politicizing” the fires while criticizing Immigration and Customs Enforcement. Despite this, Soboroff has expressed his willingness to collaborate with the Trump administration on reconstruction efforts.

The rebuilding project faces significant challenges, with Soboroff estimating the need for 150,000 truckloads of debris removal over six months to a year, followed by a three to five-year construction period to restore damaged homes.