For the city, the problem was quite different. L.A. was quickly falling behind other cities in converting its taxi fleet to hybrids. There was another problem for the city as well: Putting the taxi franchise out to bid would take time and cost money.
Once again, Ek supplied a solution that worked for the politicians as well as for his client.
John Ek
PHOTO BY TED SOQUI
Solar panel eyesore, courtesy of John Ek
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The taxi companies agreed to "green" the taxi fleet. In exchange, they would get a five-year extension. There would be no bidding.
All Ek needed was a councilman to champion that solution. Enter Cardenas again. In June, he pushed to adopt the taxi companies' plan, even though he doesn't serve on the Transportation Committee, which has jurisdiction over the issue.
Two groups were not at the bargaining table: environmentalists and labor activists.
The environmentalists called the plan "greenwashing" and said the taxi companies were left to police themselves on the conversion to hybrids.
"They didn't provide too many details of the actual greening plan," says Adrian Martinez, a lobbyist with the Natural Resources Defense Council. "It seems like if you just mention hybrids, that's good enough."
Meanwhile, the L.A. Taxi Workers Alliance, a pro-labor organization, was pushing for a different system that would give greater power to drivers. Those arguments were enough to persuade Mayor Antonio Villaraigosa to offer only a compromise two-year extension, during which the city could study a new system.
But it got nowhere with the council, which voted unanimously for the cab companies' plan.
"John Ek and his likes showed the power they have at City Hall," says Hamid Khan, co-founder of the Taxi Workers Alliance.
After that deal came the taxi-dispatching contract at LAX. Authorized Taxicab Supervision, which is a partnership of the nine cab companies, has had the dispatching contract for 20 years.
In 2007, Controller Laura Chick issued a scathing audit of Authorized Taxicab, finding that cash payments to the partnership's board members had been documented improperly. She also described many other concerns and recommended the contract be put out to bid.
It was, and Authorized Taxicab won.
One of the losing bidders, Gateway, took a page out of Host's playbook and alleged the selection process was flawed. But this time, Ek was on the other side. Gateway's allegations went nowhere.
The contract proposal went for approval by the City Council's Trade, Commerce and Tourism Committee, which is chaired by Hahn. Bill Rouse, Yellow Cab's general manager, testified that Authorized Taxicab had cleaned up its act in the wake of the controller's audit. Ek sat at his side throughout the hearing. Gateway's protest was barely mentioned. Hahn and Bill Rosendahl voted to give the company a 10-year extension.
The week before the hearing, Rouse gave $1,000 to Hahn's congressional campaign. Ek gave $5,000.
Ek had won again, and observers were taking note.
Ed Roski hired Ek in January to help lure the NFL to the City of Industry. AEG was making waves with its rival proposal for a downtown stadium. Roski needed Ek to help present his case.
"He's well respected by the council," says John Semcken, vice president of Majestic Realty, Roski's firm. "They trust him. They know he's not going to lead them astray."
Publicly, Majestic officials have said they won't do anything to try to stop AEG's project. But privately, it's a different story.
Ek raised concerns about the AEG proposal by giving council members a five-page list of 44 questions, which L.A. Weekly has obtained.
Any doubts about Ek's clout were erased shortly after he distributed his list to council members. Councilman Rosendahl issued his own list of questions about the AEG proposal — and his list bore a striking resemblance to Ek's. In fact, many questions are taken verbatim.
Majestic: "Will the stadium developer agree to never sell/refinance the project until the bonds are paid off?"
Rosendahl: "Will the developer agree to never sell/refinance the project until the bonds are paid off?"
Majestic: "The L.A. Auto Show controls the entire convention center nearly the whole month of November; will we have football or the L.A. Auto Show?"
Rosendahl: "The L.A. Auto Show occupies the entire Convention Center nearly the whole month of November, which is football season. How will the two coexist?"
Majestic: "Given the passing of Prop. 26, would a 'ticket tax' require voter approval?"
Rosendahl: "Does the new Proposition 26 require that the proposed ticket tax be approved by voters?"
Those are fine questions, deserving of answers. But that was even finer lobbying.
(Rosendahl's spokesman, Tony Arranaga, denied that the councilman had drawn upon Majestic's questions. "We have not spoken with Majestic," Arranaga said.)
Once again, both parties' interests had been served. Majestic got to pose a bunch of hostile questions about a rival stadium, without seeming to interfere with AEG. And Rosendahl got to be an aggressive defender of the public purse. Times columnist Steve Lopez praised his "inquiring mind." Rosendahl never had to acknowledge that his research was provided by Majestic's lobbyist.
But what can you expect? Over the last couple of years, City Hall lost 2,400 veteran employees to early retirement. Council offices tend to be staffed by 20-somethings who can't hope to know the issues as well as experienced lobbyists do.