L.A. Department of Water Must Account for Nonprofits’ Spending
October 3, 2013 | Read Time: 1 minute
The Los Angeles Department of Water and Power has given officials two weeks to account for millions of ratepayer dollars spent by a pair of nonprofit trusts co-managed by the department and its employee union, reports the Los Angeles Times.
Los Angeles Mayor Eric Garcetti has demanded a detailed accounting of about $3-million spent by the nonprofits in fiscal 2012. Department of Water and Power managers said last month that they had few records showing how more than $40-million had been spent since 2000 by the nonprofits, which were created in the late 1990s to bolster relations between the city-owned utility and its largest employee union.
The Joint Training Institute and the Joint Safety Institute receive up to $4-million per year in ratepayer funds and have not yet disclosed more detailed financial information than what is contained in their tax returns.