Support for LAist comes from
Local and national news, NPR, things to do, food recommendations and guides to Los Angeles, Orange County and the Inland Empire
Stay Connected
Listen

Share This

News

LA Council Members Want To Restrict Contributions From Big Developers

The $1 billion Metropolis project in downtown Los Angeles is funded by Greenland, a Chinese state-owned real estate behemoth. (Photo by Ben Bergman/KPCC )
()

Congress has cut federal funding for public media — a $3.4 million loss for LAist. We count on readers like you to protect our nonprofit newsroom. Become a monthly member and sustain local journalism.

Los Angeles residents may wonder why this isn't already prohibited, but a handful of council members on Tuesday proposed a ban on campaign contributions from real estate developers of significant projects.

Developers covered by the proposed restrictions include those whose projects would add or construct more than 4,000 square feet of residential floor area or 15,000 square feet of commercial space.

The council members also want to look for ways to restrict developers from making contributions to favored causes supported by officials, donations known as "behested payments."

In August 2017, KPCC investigated millions of dollars in behested payments raised by Mayor Eric Garcetti from individuals, businesses and foundations. In recent years, some of the contributors won large contracts and crucial city approvals for their projects.

Support for LAist comes from

Garcetti at the time had set a city record in using the little-known and minimally regulated behested payments to largely benefit the Mayor's Fund of Los Angeles, a charity he helped start after his election in 2013.

Councilman David Ryu authored the new motion calling for the restrictions on developers' campaign contributions and behested payments, a move backed by council members Paul Koretz, Mike Bonin, Paul Krekorian, Nury Martinez and Joe Buscaino and seconded by Council President Herb Wesson. The motion seeks to ban contributions from certain developers from the time of their planning applications until 12 months after they are finally resolved.

This motion is the second of its kind. A previous motion from early 2017 expired over the recent council recess. Ryu's office hopes the latest motion, which for the first time calls for steps banning behested payments from developers, will move more quickly.

"What it does is it limits the perception that there is this pay-to-play style of politics at City Hall," said Estevan Montemayor, Ryu's deputy chief of staff. Montemayor said Ryu has pushed for the reform measure since he was elected, but it ran into delays.

"This is our first opportunity to reintroduce the idea," Montemayor said.

The proposal calls on the chief legislative analyst and L.A. Ethics Commission staff to report back on ways the city could restrict behested payments.

The council proposal comes the same week that a Federal Bureau of Investigation search warrant emerged showing the agency's ongoing corruption probe reaches deep into city departments and City Hall.

Support for LAist comes from

Initial details about the investigation suggested a focus on Councilman Jose Huizar, whose Boyle Heights home and City Hall office were searched by FBI agents in November. But the search warrant revealed the federal investigation extends to other elected officials and their staff.

Federal agents also may be investigating the role of Chinese investment in the development of high-profile projects, particularly in downtown Los Angeles.

The Ryu motion will first be reviewed by the council's Rules Committee and requires approval by the full council before it could take effect.

Mary Plummer contributed to this report.

As Editor-in-Chief of our newsroom, I’m extremely proud of the work our top-notch journalists are doing here at LAist. We’re doing more hard-hitting watchdog journalism than ever before — powerful reporting on the economy, elections, climate and the homelessness crisis that is making a difference in your lives. At the same time, it’s never been more difficult to maintain a paywall-free, independent news source that informs, inspires, and engages everyone.

Simply put, we cannot do this essential work without your help. Federal funding for public media has been clawed back by Congress and that means LAist has lost $3.4 million in federal funding over the next two years. So we’re asking for your help. LAist has been there for you and we’re asking you to be here for us.

We rely on donations from readers like you to stay independent, which keeps our nonprofit newsroom strong and accountable to you.

No matter where you stand on the political spectrum, press freedom is at the core of keeping our nation free and fair. And as the landscape of free press changes, LAist will remain a voice you know and trust, but the amount of reader support we receive will help determine how strong of a newsroom we are going forward to cover the important news from our community.

Please take action today to support your trusted source for local news with a donation that makes sense for your budget.

Thank you for your generous support and believing in independent news.

Chip in now to fund your local journalism
A row of graphics payment types: Visa, MasterCard, Apple Pay and PayPal, and  below a lock with Secure Payment text to the right
(
LAist
)

Trending on LAist