Los Angeles City Controller Wendy Greuel's office stated on Wednesday it will soon release an audit of the Department of Water and Power's finances, an inquiry specifically aimed at statements by DWP leaders insisting the agency did not have cash on hand to come up with a promised, $73.5 million payment to the city's general coffers in spring. The City Council and the DWP argued over the money for a month or so, with the utility demanding an electricity rate hike and the council ultimately giving it one. The DWP then handed over the much-needed cash, begging the question of who's in charge here.
“The Controller wanted to take the politics out of the process and provide an independent review of the DWPs finances,” reads a statement from Greuel's office. “The Controller wanted to ensure that there is proper oversight and transparency for how the DWP spends the ratepayers money and verify the Departments claim that they could not complete the Power Revenue Transfer [of $73.5 million].”
Greuel's office also stated she would look at whether the DWP really needed that rate increase, which amounted to nearly 5 percent, in order to be able to hand over the cash.
She's expected to show us the money Thursday at 10:30 a.m.