LA controller pushes for greater independence, power to audit programs by other elected city officials

The Los Angeles city controller is making a series of proposals to the city’s Charter Reform Commission to strengthen the powers of his office, including one that would guarantee the controller’s right to conduct performance audits of programs run by other elected officials.

Controller Kenneth Mejia made six recommendations in all to the commission, which was established last year to examine possible changes to the charter, the city’s constitution. It will make recommendations to the City Council.

The role of the independently elected controller in city governance is one of the central questions it's considering. Mejia, who has sought to expand the bounds of the office, has at times been frustrated with the controller’s lack of power.

The proposal to allow the controller to conduct performance audits of programs run by elected officials follows Mayor Karen Bass’ refusal to allow Mejia to audit Inside Safe, her signature program to provide unhoused people shelter.

After learning of the dispute, U.S. District Judge David O. Carter ordered an independent audit of Inside Safe, which found major flaws with the program, including that the city was unable to track exactly how much it spent on homelessness.

“We tried to provide a performance audit but we weren't able to get cooperation,” Mejia told LAist.

Mejia said that’s why there’s a need to enshrine his power to conduct audits on other elected officials in the charter.

“We need that in there so we don't have to go through all the bureaucratic hurdles and opposition all the time,” he said.

Mejia noted the judge’s audit cost the city nearly $2.8 million.

In order to make changes to the charter, the City Council would have to place the recommendations on the ballot and the public would have to vote on them.

Controller's powers

There are differing opinions within city government on what the current charter says in regards to the controller’s powers.

According to the city charter, the controller’s powers include conducting “performance audits of all departments and may conduct performance audits of City programs.”

But city attorney officials say their understanding of the charter is that it doesn’t allow the controller to audit the performance of a mayoral program unless the mayor consents.

A spokesperson for Bass declined to comment on the issue, saying only that the mayor is looking forward to reviewing the recommendations of the Charter Reform Commission.

The chair of the 13-member Charter Commission, Raymond Meza, said he is still considering the proposal and wants to hear other members of the panel weigh in. But he noted the leaders who led the last overhaul of the city charter in 1999 testified before his panel that their intent was to give the controller the power to conduct audits of other elected officials.

“That to me made a very strong case that the controller does have the authority and if that’s not how it's being interpreted right now, then we should clarify that,” Meza said.

Former Controller Ron Galperin, who served from 2013 to 2022, said he was frustrated at the inability to undertake an audit of a program under another elected official. At the same time, he said such an audit could be used for political purposes.

“Imagine you would have a city controller who wants to run against the mayor and then doing an audit of them simultaneously,” Galperin told LAist. “That would create some questions.”

He said he supports expanding the ability of the controller to conduct audits of other elected officials’ programs.

Addressing public corruption

Major corruption scandals have rocked City Hall in recent years, involving current and former City Council members, as well as other public officials. Federal and local investigations have uncovered schemes involving bribery, fraud and "pay-to-play" politics.

Jack Humphreville with the Neighborhood Council Budget Advocates said you need only mention the name Jose Huizar to know the controller needs more auditing authority. Huizar is the former City Council member serving a 13-year federal prison sentence for public corruption.

“They’re not above reproach,” Humphreville said of the city’s elected officials. He added that he believes fraud, waste and abuse remain a problem at City Hall.

“We need a strong independent watchdog,” he said

Mejia proposed a range of other changes at the Controller’s Office that he said will strengthen its independence and effectiveness.

One would be to create an independent budget for the office.

Mejia proposed that the controller receive an annual appropriation from the City Council in an amount not less than a fixed percentage of the general fund.

“We need to be able to do our job freely from budget cuts or retaliation,” said Mejia. He noted his office lost 27 positions in the latest budget.

The reductions came as the city was facing a $1 billion budget deficit and nearly every department lost positions.

“We were in a budget deficit, but definitely the proportionality on hitting the Controllers Office, it wiped out all my positions that were vacant that we were trying to fill,” he said. “Other elected officials didn’t get a hit like we did.”

Designating the controller as CFO

Under Mejia’s proposal, the controller’s expenses and budget requests would not be subject to approval by any other city office or position when the controller operates within its budget. In addition, the controller would not be subject to hiring freezes when it operates within its budget.

Pomona College Professor of Politics Sara Sadhwani said an independent budget could stop the mayor and City Council from “meddling” in the controller’s audits.

“Kenneth Mejia comes from a further left political ideology that could potentially run counter to that of the mayor or council president, who are closely aligned,” Sadhwani said.

She said for the charter commission, the question is about independence of the Controller’s Office “regardless of who is sitting in that elected position.”

Another proposal from Mejia would be to designate the controller as the city’s chief financial officer, consolidating functions now dispersed among the mayor, the City Council, the City Administrative Officer, the Office of Finance and the controller.

The controller already performs many of the traditional CFO functions, including accounting, financial analysis, forecasting and establishing internal financial controls, according to Mejia.

Certain CFO functions, such as the control over the treasury and debt issuance, would be added.

Mejia argued appointing the controller CFO would increase transparency and accountability amid ongoing financial challenges.

“There’s no one steering the ship of the city financially, and that's what the CFO would be doing,” Mejia said. “We’d be the ones who would be responsible,”

“At the end of the day, the mayor and City Council would still make the budget and finance decisions,” he added.

Mejia made three other recommendations, including that the controller has the necessary experience and qualifications, that the controller may hire outside counsel when there is a conflict of interest with the city attorney, and that its fraud, wast, and abuse function be incorporated into the charter.

The composition of the 13-member commission includes appointees from Bass, City Council President Marqueece Harris-Dawson and Council President Pro Tempore Bob Blumenfield.

The commission is scheduled to submit its recommendations to the City Council in early 2026, with a formal deadline of April 2. Those proposals could be placed on the November 2026 ballot for voters to consider.