Los Angeles Times

Mayoral hopeful decries DWP rates

Mel Wilson calls out the utility as a ‘piggy bank’ for ‘underhande­d things.’

- By Dakota Smith

Following a federal corruption probe into the Department of Water and Power and the city attorney’s office, Los Angeles mayoral candidate Mel Wilson on Friday called for the utility to lower billing rates and perform a formal audit of its finances.

Wilson accused City Atty. Mike Feuer, who is also running for mayor, and Mayor Eric Garcetti of failing to protect the DWP from being used by corrupt individual­s.

“The DWP has become the piggy bank for all underhande­d things that are going on in our city,” Wilson told about two dozen supporters who gathered outside a DWP building on Van Nuys Boulevard.

Grabbing a hammer, Wilson struck a porcelain piggy bank propped up on a DWP planter; it shattered, dollar bills tumbled out, and the group cheered.

“Let’s get our money back!” Wilson yelled.

Prosecutor­s have announced four plea agreements in the federal probe of the DWP and the city attorney’s office over issues stemming from the botched 2013 rollout of a new billing system for the utility.

Prosecutor­s say the city’s legal team secretly colluded with an Ohio lawyer in an effort to quickly settle a class-action lawsuit brought by DWP customers over the new billing system, which overcharge­d hundreds of thousand of customers. The plea agreements detail the alleged bribes, kickbacks and extortion that accompanie­d the legal dealings.

The scandal could end up costing the utility hundreds of millions of dollars, and it could be years before several related lawsuits are wrapped up.

Van Nuys resident Dan Schultz, 85, carried a sign that read “We are not your piggy bank” to Friday’s protest.

“The corruption isn’t being addressed by the mayor and the City Council,” Shultz said.

Wilson, a former Metro board member who owns a real estate company in the San Fernando Valley, is the latest mayoral candidate to highlight the corruption scandal.

Entreprene­ur Ramit Varma, who is also running for mayor, earlier this month called on Feuer to resign as city attorney and abandon his run for mayor.

“In what world does someone believe they should be rewarded with greater responsibi­lity when they have failed so spectacula­rly?” Varma asked The Times. “Only one place: L.A. city government.”

Downtown business leader Jessica Lall last month said she would establish an independen­t citizens commission to oversee the DWP.

“It’s doesn’t seem that there’s much outrage at City Hall,” Lall said of the scandal. “Who is taking responsibi­lity? Who should be held accountabl­e? Who is asking the hard questions from the political side?”

A spokesman for Feuer last week said the city attorney wasn’t aware of the collusive lawsuit. Feuer also said last week that he has “continued to be not just cooperativ­e but actively assisting whenever that’s appropriat­e” when it comes to the investigat­ion.

Feuer said he acknowledg­es “any mistakes or serious errors that emerged from this office too, because that’s what leaders do.”

A DWP spokesman on Friday pointed to a utility program that recently reimbursed $285 million to financiall­y strapped customers, according to the utility.

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