Skip to main content
  1. News
  2. Politics
  3. Government

City of LA stimulus funding of $111 million has created only 55 jobs

On Thursday Los Angeles City Controller Wendy Greuel released a 40-page report on how federal stimulus funds have been spent in the City of Los Angeles. Last year the United States Congress approved the American Recovery and Reinvestment Act (ARRA) that set aside $800 billion for stimulus funds, $594 million of which has been allocated to the City of Los Angeles primarily for job creation and job preservation. As of now the City of Los Angeles has received $111 million in stimulus funding.


The audit states that the Los Angeles Department of Public Works (DPW) spent $70 million for 14 jobs, which in actuality cost taxpayers $1.5 million per job. The Los Angeles Department of Transportation (LADOT) spent $40 million for nine jobs costing taxpayers $4.4 million per job. The amount of time government officials have taken to secure government contracts has slowed the entire hiring process. The Department of Public Works and the Department of Transportation all together have established or saved 55 jobs, but by the end of the funding process aim to establish or save 264 jobs. Some of the existing employment contracts took over seven months to be approved.


Wendy Greuel strongly disapproves of the city’s slow job creation and blames the issue on the city’s usual bureaucratic issues. According to Greuel, “I’m disappointed that we’ve only created or retained 55 jobs after receiving $111 million. With our local unemployment rate over 12 percent we need to do a better job cutting red tape [in reference to bureaucratic problems] and putting Angelenos back to work.”

Comments

  • Brian74 3 years ago

    How many jobs actually created?? The LA Controller appears not to deviate from jobs "created OR SAVED OR PRESERVED OR RETAINED". Where exactly did the money go??

Advertisement

News

  • Baseball Hall of Fame
    The Baseball Hall of Fame in Cooperstown welcomes six new inductees
    Video
    Video
  • 2012 do-over
    If we were to re-do the 2012 election, a new poll suggests Romney would win
    Politics
  • Boko Haram
    Boko Haram kidnaps the wife of the vice prime minister of Cameroon
    World News
  • Ceasefire breaks
    Israel's Benjamin Netanyahu claims Hamas broke another brief ceasefire
    Gaza
  • Close call with CME
    Scientists tell how Earth survived a giant solar flare back in 2012
    Space
  • Comic-Con
    What's going on at Comic-Con? Get all the latest updates here
    Comic-Con