The City Council, acting as the Redevelopment Agency, decided this week to delay selection of a nonprofit organization that will join the city in applying for federal funds to construct a senior citizens housing development.
City Council members Steven Gourley and Jozelle Smith asked for more information on the East Los Angeles Community Union (TELACU), the candidate recommended by city staff.
Gourley said he was troubled by newspaper reports in the last few years concerning “corruption, self-dealing and misuse of public funds” by TELACU.
Al Miller, a TELACU representative who attended the meeting, said he had been hired after the reported misdoings had occurred, and had no knowledge of them.
Jody Hall-Esser, assistant executive director of the Redevelopment Agency, said some of the charges of misconduct went back to the 1970s, and that there had been significant organizational changes since then.
Staff members recommended TELACU out of five candidates based on experience and success in securing federal funding. The facility is to be built on the 5100 block of Sepulveda Boulevard, the former Liberty Tire site.