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| Economy |
| L.A. mayor calls for temporary shutdowns of some agencies |
| 2010-04-08 |
| Los Angeles Mayor Antonio Villaraigosa called for shutting down non-essential agencies two days a week Tuesday as he and City Council members remained locked in a standoff over the intertwined issues of electricity rates and the city's worsening budget shortfall. If they're non-essential why do they have them? Villaraigosa's action topped another day of threats and name-calling at City Hall. I love it when they curse each others' moustaches. During a morning news conference, the mayor said the council had caused the latest financial crisis by engaging in the "politics of 'no' " and accused it of "the kind of demagoguery you see in the Congress." Those were "the kind of scare tactics you saw around the healthcare debate," he said. Councilman Bernard C. Parks, who chairs the Budget Committee, brushed aside the mayor's assertions and said city leaders should be focused on stabilizing city finances. "I think we have to get beyond the issues of name calling and get to the issue of financial stability of the city," Parks said. He added: "I'm not going to trade names with the mayor. He can call us whatever he wants." The latest escalation of the financial crisis began Monday when the Department of Water and Power took steps to withhold a promised $73.5-million payment to the city's depleted treasury. Villaraigosa blamed the action on the council's rejection of an electricity rate increase, which DWP officials said was necessary to cover the DWP's fluctuating fossil fuel costs and the mayor's renewable energy agenda. City Controller Wendy Greuel has warned that, without the DWP payment, Los Angeles could run out of money to pay its bills and employees within weeks. The political feud between Villaraigosa and the council -- and the threat to shut down services and stop paying employees -- flabbergasted some officials. Councilman Paul Koretz called the mayor's threat "bizarre" and warned that Villaraigosa and the council were engaging in "a crazier and crazier game of chicken." "It's absolutely a manhood contest. That's what it's been from the very beginning," said Koretz, who represents much of the Westside. The mayor directed acting City Administrative Officer Ray Ciranna to prepare to shut down parks, libraries and other general fund services starting Monday. Public safety, trash collection and revenue-generating agencies would be exempt. "I am duty bound to make sure that I'm not in a position to make people work if we don't have the cash to pay them," Villaraigosa said. Union leaders questioned whether the mayor had the authority to enact what amounts to a furlough program in which thousands of city workers would see their paychecks cut by two-fifths. "We take this absolutely seriously," said Julie Butcher, regional director for Service Employees International Union Local 721, which represents more than 10,000 city employees. "The mayor's endangering services and people's lives." As Villaraigosa was addressing the media at City Hall, a few doors away the council was voting unanimously to ask DWP board members to "honor their commitment" to hand over the promised $73.5 million. They also called on the mayor to work with board members, whom he appoints, to find the money within the DWP's cash reserves. Council members grilled interim DWP head S. David Freeman about the agency's refusal to transfer money from the utility's Power Revenue Fund. Several members noted that as recently as March 1, DWP officials promised to make the $73.5 million payment of "surplus revenue" -- which ultimately comes from ratepayers. At the time, they did not link that payment to a rate increase. The council agreed last week to allow the DWP to increase bills by 0.6 cents per kilowatt hour of electricity consumed. DWP board members rejected that, however, and said they wanted an increase of 0.7 cents per kilowatt hour instead. The council then killed that proposal. |
| Posted by:Fred |
| #16 Lesson 1 in essential services. Shut off the LA aqueduct and water system for a few days to understand what is essential and what is fluff. |
| Posted by: Alaska Paul 2010-04-08 23:32 |
| #15 shutting down non-essential agencies two days a week Or how bout shutting down non-essential agencies five days a week. |
| Posted by: DMFD 2010-04-08 19:53 |
| #14 Couldn't cut the "Department of Fancy Engraved Invitations and Attaboy Certificates", now, could they? |
| Posted by: mojo 2010-04-08 15:48 |
| #13 I'm a bit confused here...how exactly is cut backs at parks and libraries "...endangering...peoples' lives"? |
| Posted by: Chemist 2010-04-08 14:07 |
| #12 A 40 hour class in SimCity should be required for any city official. Posted by: swksvolFF They would flunk. |
| Posted by: DarthVader 2010-04-08 14:02 |
| #11 Amen P2K. A 40 hour class in SimCity should be required for any city official. |
| Posted by: swksvolFF 2010-04-08 12:31 |
| #10 The reporter doesn't say, of course, how much the mayor's renewable energy agenda is costing but it might be interesting to find out. I'd say $73.5 million for starters. More seriously: DWP rates may rise between 8% and 28% to pay for mayor's green initiatives That's on top of the extra $2000/year cost if Obama's Cap and Trade is forced through. |
| Posted by: ed 2010-04-08 11:48 |
| #9 "We take this absolutely seriously," said Julie Butcher, regional director for Service Employees International Union Local 721..." Which is the whole point of the mayor's threat. He needs the unions to slap the council into line and the way to do that is to threaten their incomes. |
| Posted by: DoDo 2010-04-08 11:34 |
| #8 The reporter doesn't say, of course, how much the mayor's renewable energy agenda is costing but it might be interesting to find out. |
| Posted by: Ebbang Uluque6305 2010-04-08 11:32 |
| #7 "We take this absolutely seriously," said Julie Butcher, regional director for Service Employees International Union Local 721…” Well Julie, perhaps you should ask the mayor about those high paying “green jobs” that will result from his renewable energy agenda. |
| Posted by: DepotGuy 2010-04-08 10:10 |
| #6 Non-essentials The big assumption is that the average city pol really understands what is essential. It's a lot like watching Congresscritters talk without knowing what the Constitution actually reads. They really don't know. Kids playing many of the City Builder series of games probably understand the basics, of what needs to be in place in sequence in order to build or sustain a community, far better than these adults. |
| Posted by: Procopius2k 2010-04-08 08:41 |
| #5 This is going to be happening a lot more across the various blue state big cities--unless, of course, Washington bails them out. |
| Posted by: JohnQC 2010-04-08 08:06 |
| #4 cut the parks and libraries while ignoring the real money sinks. They should cut both, Eric. But until they do, the world will not come to an end if parks and libraries are closed two days weekly. |
| Posted by: trailing wife 2010-04-08 06:10 |
| #3 Following a familiar pattern. Last to be looted....public utilities. Following that, power outages and garbage in the streets. Welcome to Zimbabwe democratic voters, you've earned it! |
| Posted by: Besoeker 2010-04-08 05:54 |
| #2 Boy, if it gets any worse they'll have to cut off health care, the department of education, the EPA, . . . . |
| Posted by: gorb 2010-04-08 01:35 |
| #1 It's the old gag--cut the parks and libraries while ignoring the real money sinks. |
| Posted by: Eric Jablow 2010-04-08 00:11 |