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Charter Amendment: Los Angeles City Ethics Commission Reform

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Charter Amendment: Los Angeles City Ethics Commission Reform

Los Angeles voters will consider the package on November 5 Ethics reforms designed to combat corruption at City Hall. This follows a series of political scandals in recent years, including 2022 audio leak which exposed how elected officials can manipulate the redistricting process to stay in power.

Supporters call it the first significant reform of the Ethics Commission in its 20-year history. Critics who say the package doesn’t go far enough say the council rejected key proposals after opposition from lobbyists.

Official title on the ballot: The Authority of the City Ethics Commission and the Amendment to the Operational Independence Charter

You are asked: Should the City Charter be amended to establish a minimum annual budget for the City Ethics Commission; increase the Commission’s authority over spending and hiring decisions; allow the Commission to retain outside legal counsel in limited circumstances; impose additional qualification requirements for Commission members; require the City Council to hold a public hearing on Commission applications; and increase penalties for violating city ordinances?

WHAT YOUR VOICE MEANS

  • A “yes” vote means: You don’t want people who do business with the city or have any financial interest in city operations to serve on the Ethics Commission. Elected officials will not be able to appoint any relatives or major campaign donors. Anyone who violates the city’s ethics rules will face triple the maximum fine of $15,000 for each violation.

  • A “no” vote means:The city charter will not change and the commission’s current rules will remain in effect.

Understanding the measure

In May, council members unanimously directed the city attorney to draft ballot language for the package, which requires voter approval because it includes a series of changes to the city charter. Some supporters called the changes “long overdue.” But others expressed disappointment with what they see as watered-down changes.

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The final version rejected a proposal that would have allowed the commission to take its recommendations directly to voters if they were rejected by council members.

The council also rejected a proposal to expand the Ethics Commission from five to seven members. Under that proposal, the additional two members would be appointed by the panel itself. Currently, all members are appointed by elected officials.

The story behind it

The ethics reform package is a consequence of a series of scandals at city hall which shocked public confidence in elected city officials:

Former council members Mitch Englander, Jose Huizar and Mark Ridley-Thomas were found guilty of federal corruption charges. Councilman Curren Price faced state corruption charges, and Councilman John Lee denied accusations that he accepted illegal gifts from developers.

During this same period, LA became a national news item when some members were caught making racist and offensive remarks in a secret conversation in which they plotted how to maintain their power by redistricting. The scandal led to the formation of the Ad Hoc Committee on Governance Reform, which proposed ethics reforms.

How will it work?

Under the new rules, the Ethics Commission will have an annual budget of $6.5 million to help oversee and enforce city lobbying, ethics and campaign finance rules. Fines for ethics code violations will increase from $5,000 to $15,000. Officials will no longer be able to appoint family members or major donors.

The council also voted to establish a 13-member commission to consider other changes to the city charter, including expanding the size of the City Council.

Other changes include:

  • Ordering the City Council to consider all of the commission’s recommendations within 180 days.
  • Allowing the Ethics Committee to control its own budget without requiring council approval of specific expenditures.
  • Allowing the commission to hire outside counsel.

The Commission may also impose multiple penalties for multiple violations or hold the perpetrator liable for an amount three times the amount of the illegal or misreported transaction, whichever is higher.

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What do people who support this say?

City Council Speaker Paul Krekorian, who led the ethics reforms as chairman of the Select Committee on City Management, called it “a significant step forward in building greater independence and effectiveness for the Ethics Commission.”

What do people who oppose this say?

Some advocates accused council members of bowing to interest groups that opposed significant reforms.

“The Los Angeles City Council had a chance to turn the tide of corruption at City Hall and begin a new era in which Los Angeles residents could trust their local elected officials,” said Jonathan Mehta Stein, executive director of California Common Cause. “Instead, they chose to maintain a broken, shameful status quo.”

Potential financial impact

Stay tuned for campaign finance updates as we approach the election.

Further reading

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