Probe of Transfer of Airport Funds Urged

Stepping up his bitter cross-country feud with Mayor Richard Riordan, a Virginia congressman called on the U.S. Transportation Department inspector general Wednesday to investigate Los Angeles’ transfer of $31 million in airport funds to the city treasury.

Frank Wolf (R-Va.), chairman of the House Transportation Appropriations Subcommittee, also sent a letter to Transportation Secretary Federico Pena urging him to “act swiftly to stop the blatant illegal actions of the city of Los Angeles.”

Wolf recently won approval for legislation permitting federal funds to be withheld from the Los Angeles subway construction project if the inspector general finds that the city has illegally diverted airport money.

Federal law prohibits the use of airport funds for nonaviation purposes, but there is a dispute about whether old loans, such as those in Los Angeles, should fall in that category.

Wolf also urged City Councilman Richard Alatorre to stop the transfer. Although Wolf made no mention of it, Alatorre is counting on federal funds for an extension of the subway to his Eastside district.

Larry Zarian, chairman of the Metropolitan Transportation Authority board, wrote Wolf last week expressing “our frustration at being at the center of this controversy, particularly since we have no power to determine the outcome.”