BADMOUTH L.A.? THEN PAY! CITY-FUNDED PROGRAM REQUIRES LOYALTY OATH FOR ARTISTS.

Byline: Beth Barrett Staff Writer

A publicly funded Hollywood beautification project demanded as a condition for bonuses that mural artists sign ``loyalty oaths'' promising they would not criticize the organization, the city's Community Redevelopment Agency or their officials, the Daily News learned Thursday.

The oath was part of a waiver the Hollywood Beautification Team asked several artists to sign in order to obtain their bonuses worth several thousand dollars for painting murals on Hollywood Boulevard storefront security doors. In two cases, the waiver included language that would have required the artists to pay $15,000 in penalties if they criticized the organizations or officials.

The controversy has dragged on for months despite the CRA's criticism of the use of these oaths, and it has finally reached the point where three of the artists decided to go public.

In all, about 40 murals were painted on roll-down steel doors, in a project known as the ``Night Gallery,'' to make the boulevard more attractive after hours.

The use of the controversial tactic by a group funded by the city through the CRA raises serious constitutional questions since it was acting as part of the government, said USC law professor Erwin Chemerinsky.

``In this function, they were performing a public function because they were disbursing public funds,'' he said.

The CRA gave a $92,000 grant to the nonprofit group for completion of the murals but not for the bonuses, which the agency doesn't give out, spokeswoman Kiara Harris said.

Although the CRA had limited involvement in the grant's disbursement, the agency's officials thought they had reached agreement with artists in the dispute last June, and they didn't learn of the loyalty-waiver language until October.

The deal fell apart, though it was uncertain what part the waiver played. In November, a CRA official noted that ``additional language'' had been added by the nonprofit to the waiver the CRA previously negotiated with it.

The Hollywood Beautification Team and its attorney said the waivers - some of which carry fines of up to $15,000 per breach - were necessary to thwart a heated letter-writing campaign to city officials by some artists who were trying to get more money from the organization.

The HBT declined to pay the amount the artists sought but agreed to pay a lesser amount if they stopped their campaign, said the nonprofit's attorney, Brian H. Cole.

Preston Craig, 51, of Van Nuys, who has led the protest, said when he received the waiver he called other artists but some were so desperate for the money that they signed.

``It's blackmail,'' Craig said. ``If the city is so concerned about the budget and money, how come it's not policing these organizations better?''

That waiver ``wasn't ringing right,'' said Jennifer Snoeyink, a scenic artist living in the Beverly-Fairfax area. ``I worked in the film industry and I know well enough (that) after you've completed the job it's not right for an employer to ask you to sign a waiver to release your funds.''

Todd Swerdloff, a Valley Village artist, said he didn't think it was worth risking the liability in penalties for the $1,100 he was offered in bonuses.

HBT's waiver states in part that the artist is ``not to publicly or privately disparage the reputation of HBT, the Community Redevelopment Agency of the city of Los Angeles, or any of their respective officers, directors or employees.''

Cole, the nonprofit's attorney, said the artists were paid in full for the work they did, and that it was proper for them to sign a release in order to retain the bonuses.

He said a couple of the waivers, including Craig's, carried tougher breach penalties because they had hired a lawyer.

``This is a cut-and-dried contract dispute,'' Cole said.

Sharyn Romano, the nonprofit's CEO, said the bonuses were meant as a ``nice'' gesture that a few artists turned into a vehicle for harassing the agency for more money, necessitating the waiver.

``It was a little window of exploitation,'' she said. ``It was a little thing for some greedy people. I'm stunned, dismayed and discouraged that somebody is being exploitive.''

Romano said the artists were paid all their wages from an $80,000 Community Redevelopment Agency grant.

The additional $10,800 supplemental grant from the agency allowed the nonprofit to give the bonuses.

``I'm sorry I ever offered additional funds,'' Romano said.

The beautification project started in 2002 has expanded throughout the city, including Canoga Park and Van Nuys. It does graffiti abatement, tree plantings, and other community cleanup, as well as work with schoolchildren on murals.

Beth Barrett, [phone]

beth.barrett(at)dailynews.com

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Photo:

(color) Artist Preston Craig painted this mural of actress Ann-Margret on the security awning of a shop in Hollywood.

John McCoy/Staff Photographer