Moving on up: Villaraigosa press secretary Matt Szabo becomes deputy chief of staff. One of his first priorities will be to tackle the city's worsening financial situation. (LAT)

Warhol art stolen: The multimillion-dollar collection includes 10 silk-screen paintings of Muhammad Ali, Chris Evert, Jack Nicklaus and O.J. Simpson. The artwork was on display in the dining room of Richard Weisman, a prominent collector. (NYT)

Prison measure passed: The CA legislature finished up the year's session with measures to reduce the prison population by 17,000 inmates. But lawmakers couldn't reach agreement on an overhaul of the state's water system. (SF Chronicle)

Firefighters honored: Memorial at Dodger Stadium this morning remembers the two L.A. County firefighters who were killed battling a wildfire in the Angeles National Forest. Around 15,000 uniformed firefighters were expected. (LAT)

Mortgage brokers arrested: They're being charged with bilking more than 70 homeowners out of nearly $1 million. The complaint accuses them of luring homeowners into refinancing schemes by falsely promising low interest rates. (LAT)

Another water main break: C'mon, enough already! This one ruptured beneath Melrose Avenue near Fairfax High. Break doesn't appear to be as serious as the others, however. Melrose is open to traffic. (LAT)

Look back at KFWB: KPCC's "Off Ramp" talks to some old-timers at the formerly all-news station that’s being turned into a "news-talk" operation. Very sad.

LA Observed on KCRW: Kevin talks about playing host to friends of friends from Paris - and picks up on how they and other tourists view Los Angeles. Available on kcrw.com or on podcast.