Cities’ PAC Gets More Flak Than Influence in State Capitol

California cities, unhappy that they haven’t received more money from Sacramento, have come up with a new way to get the attention of state lawmakers: They formed a political action committee.

The League of California Cities plans to use local officials across the state to solicit money from, among others, companies with whom they do business. The committee would then spend the cash to go beyond what the league’s staff lobbyists are allowed--or have time--to do.

But the effort, spearheaded by city officials from Orange County, has run into trouble with the very legislators the league wants to influence.

A bill sponsored by Assemblyman Brett Granlund (R-Yucaipa) would stop the league’s foray into fund-raising by barring organizations that create new political action committees from receiving public money. To the league’s surprise, the Assembly has passed the measure and sent it to the Senate for action.

Granlund said the league’s committee is an improper way to “shake down” companies that do business with cities, as well as a potential misuse of taxpayer money. Besides, he said, “they’ve got plenty of voice in Sacramento.”

League officials, however, said they face closed doors when they try to get some of the billions of property tax dollars that the state has withheld from cities and counties since the long recession of the early 1990s. Legislators have yet to return any of that money, even with a state surplus of $4.4 billion.

The committee, called Action for Better Cities, was created to support issues and initiatives that help municipalities, said Bev Perry, the league’s Orange County division president.

“Money talks in Sacramento,” said Perry, a Brea councilwoman who has pushed for the political action committee. “We don’t have any.”

Cities, which are prohibited from spending tax dollars on candidates or initiatives, need to raise money elsewhere to lobby effectively, she said.

Perry said she sees nothing wrong with raising money from those who do business with cities. State legislators, she pointed out, raise money from those who do business with the state.

Moreover, contributions to the committee will be used strictly to speak out on issues, not to support or oppose individual politicians. The political action committee’s board of directors is putting ethical guidelines in its bylaws, board members said.

As for Granlund, league officials asserted that he is acting out of animosity stemming from last year’s session when the organization opposed the Republican’s plan to cut the state vehicle license fee, a share of which goes to cities.

Granlund acknowledged his pique at the league last year, but insisted his motives are good government, not revenge.

Among many potential problems with the committee, Granlund said, is the temptation cities would be under to let public employees raise money for the committee during work hours. And city vendors that contribute to the committee could well pass on those costs to taxpayers in the form of higher costs, he said.

“I . . . sure don’t want to see them shaking down businesspeople for financial contributions,” Granlund said.

Committee advocates said Granlund’s accusations obscure the real issues: securing adequate funding and more local control for cities. Since passage in 1978 of Proposition 13, an initiative that cut property-tax revenues for local government, cities have had to go hat in hand to the Legislature every year.

League officials said that if they defeat the Granlund bill they will consider using the committee to finance a ballot initiative that would lock in a funding formula for cities.

“Local citizens have less and less to say,” said Los Alamitos Councilman Ronald Bates, past president of the league and president of Action for Better Cities. “We become more and more pawns of the state.”

League officials said the committee is necessary to compete with other special interests for the attention of legislators.

“Legislators find out very quickly they can stiff cities with impunity,” said Jay Michael, a former lobbyist and consultant to the league’s new political action committee. “There are no political consequences. . . . If they stiff teachers or prison guards, they die.”