Bill To Dissolve Vernon Introduced

Vernon - A bill to dissolve the corruption-plagued city of Vernon was introduced today by Assembly Speaker John Perez, D-Los Angeles, and Assemblyman Cameron Smythe, R-Santa Clarita.

Vernon's former city administrator was indicted in October in the latest scandal in the industrial city just southeast of downtown Los Angeles. The town of about 95 residents has been controlled for decades by a few families and their associates.

"Government needs to be held accountable at every level -- local, state and federal," Perez said in a speech in the Assembly chamber in Sacramento after being unanimously re-elected as speaker on the opening day of the legislative session.

"The city of Vernon, in my own district, provides another example of why this is true. For years, the entrenched leaders of that city have operated with impunity and no accountability.

"They have abused the trust of taxpayers and been bad neighbors to the cities that surround Vernon. Recent reports have shown the city operates as something close to a racket."

The bill would mandate the disincorporation of any city with fewer than 150 residents, and Vernon is the only city that fits the description. If the bill passes, Vernon would become an unincorporated area.

Vernon officials have questioned if the Legislature has the authority to dissolve the city.

Vernon City Administrator Mark Whitworth issued a statement Friday, saying disincorporation would "cost thousands of people their jobs and the state hundreds of millions in tax revenues."

Whitworth said he believed the bill violated the state Constitution and the rights granted charter cities.

"The city of Vernon intends to defend the rights of its residents, the 1,800 businesses and tens of thousands of people who earn a living in Vernon," he wrote.

Disincorporation typically requires a vote by residents.

All of Vernon's voters live in city-owned housing for which they pay below-market rent, and that is believed to influence how they vote.

Los Angeles County Supervisor Gloria Molina has signaled support for the bill.

Several Vernon officials made between $500,000 and $1 million a year since 2005, with former city attorney and city administrator Eric T. Fresch making as much as $1.65 million in 2008. The officials traveled first-class on trips to New York and Europe and stayed at luxury hotels, the Los Angeles Times reported.

Three years ago, longtime Vernon Mayor Leonis Malburg was charged with voter fraud and the city administrator was charged with public corruption.

Prosecutors said Malburg lived in a mansion in Hancock Park and lied for years about living in Vernon. He was convicted last year. Bruce Malkenhorst, the former city administrator, awaits trial on charges that he misappropriated about $60,000.

The city was founded in 1905, and its leaders, including Malburg's grandfather, faced charges of voter fraud in the 1940s.