THIS JUST IN TO LADAILYBLOG.COM: Rumor that the City lost it's summary judgment claim against DWP today and the case will move to trial. If confirmed, that means DWP has collected $63 million from ratepayers to be held in limbo for as long as the City can keep the case going in court, plus an additional $3 million per month. [Maybe Daily News or LA Times can follow up on this with their paid staff?]
DWP says they need a rate increase for infrastructure upgrades and to avoid service disruptions? Sounds like they need $63 million plus set aside. And sounds like the City is needs to try and wrestle the money away from DWP and into the City's General Fund. (The City is desperate as hell. I'm sure they were more than hoping for a summary judgement to throw that $63 million into the General Fund.
So far the courts are holding fast for ratepayer.
As it is, they gotta sell off land, start writing more tickets, create new taxes, hike fees...anything they can think of. I'm sure a "district occupancy fee" can't be too far behind: A fee if you have more than one foot inside any of the fifteen districts of LA City. (Anything but cut back on their own fraud, waste and abuse.)
SEE TOP COMMENT IN COMMENT SECTION FOR BACKGROUND ON THIS DWP/LA CITY LAWSUIT
More to come...LADailyBlog.com
UPDATE: Daily News must have caught my breaking news alert...Click here for full coverage.
"The fact the judge is going to hear this is a confirmation (the city) used a sneaky backdoor way to raise taxes," said Kris Vosburgh, executive director of the Howard Jarvis Taxpayers Association. If the city thinks it needs more money, it should go before voters with a ballot." [HELL YEAH!]
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