LA City Council makes push for control of utility as answer to budget crisis

LA City Council makes push for control of utility

LOS ANGELES — The Los Angeles City Council has moved to take control of a municipal utility that has refused to hand over $73 million to ease the city’s financial tailspin.

The council on Wednesday approved motions that would wrest control of the Department of Water and Power from the mayor.

The council wants a ballot measure giving it power to remove the DWP general manager and commissioners, who are appointed by the mayor.

The council also wants voters to decide if it can control rate increases and the DWP budget.

Mayor Antonio Villaraigosa later suggested the DWP could transfer $20 million.

Meanwhile, the city controller announced an audit to verify the DWP claim that it cannot afford to make the $73 million transfer.

The financial crisis has led Villaraigosa to call for closing all city departments — except those that make money or protect public safety — two days a week

THIS IS A BREAKING NEWS UPDATE. Check back soon for further information. AP’s earlier story is below.

LOS ANGELES (AP) — The Los Angeles City Council has moved to take control of the utility whose refusal to hand over $73 million has sent the city into a financial tailspin.

The council on Wednesday approved a series of motions that would wrest control of the Department of Water and Power away from the mayor.

The council wants a ballot measure to seek power to remove the department’s general manager and commissioners. The council also wants voters to decide if it can control rate increases and the department’s budget.

The city controller announced an audit of the department’s finances to verify its claim that it cannot make the $73 million transfer.

Mayor Antonio Villaraigosa is pushing to close many city services two days a week because of the financial crisis.