DWP COMMISSIONER QUITS LELAND WONG RESIGNS POWERFUL POST AMID FUND-RAISING ALLEGATIONS.

Byline: Beth Barrett and Rick Orlov Staff Writers

Efforts to ban city commissioners from political fund raising gained new momentum Wednesday after powerful Commissioner Leland Wong resigned amid allegations he improperly used his employer's money to sponsor campaign fund-raisers and give politicians gifts.

Wong, 46, resigned Tuesday as vice president of the Department of Water and Power Commission and from his private-sector job as Kaiser Permanente's director of government and community relations in Southern California. He could not be reached for comment Wednesday.

Councilwoman Cindy Miscikowski, who has led the effort to ban commissioners' fund-raising activities, said the issues surrounding Wong provide a real-life example of why reforms are crucial.

``This totally adds credibility that these commissioners are movers and shakers, and shows an inside ballgame. That's not what we want in the best of citizen commissioners,'' Miscikowski said.

``Whether it is the perception, the appearance of something wrong, or something more serious, this shows the potential problems.''

Ethics Commissioner Bill Boyarsky, a retired journalist, said the Wong case undermines arguments by opponents of the ban.

``The people who are opposed to the ban say, Give us the evidence, we can't do it on perceptions, we need evidence. Any disclosure like that is going to be evidence. It's a matter of building a counter to people saying, What's the revelation?''

Mayor James Hahn said he hadn't talked to Wong, who previously served on the Airport Commission for Hahn and former Mayor Richard Riordan, and on other commissions dating back to former Mayor Tom Bradley.

The mayor also said he remains opposed to the proposed ban because it would create ``different rules for different classes of people,'' but he does favor greater disclosure by appointees.

Hahn recently ended the much-criticized practice of commissioners sitting on contract review panels before a final vote.

Boyarsky said Hahn has more to lose by a ban than most elected officials because he relies so heavily on the contributions raised by commissioners he's appointed to high-profile boards.

``He's built a whole operation,'' Boyarsky said.

Since June, at least three commissioners - Airport Commission President Ted Stein, Planning Commissioner Mitchell Menzer and Recreation and Parks President Mike Roos - have hosted or participated in fund-raisers for the mayor.

Kaiser spokesman Jim Anderson said Wong was asked to resign after company compliance officers and lawyers investigating an unrelated complaint in late October determined Wong had used staff to help organize at least three political fund-raisers in violation of company policy and laws governing nonprofit organizations.

He declined to identify the candidates.

Wong also gave several thousand dollars worth of sporting and other tickets to elected officials that exceeded the annual $100-per-person limit for companies that have a business relationship with the city. Kaiser has a health care agreement with the city.

``As an organization we reached a point where we felt he'd clearly gone over the line enough we had to make this decision to seek his resignation,'' Anderson said.

He said Kaiser's policies comply with state law that prohibits the nonprofit from engaging in political fund-raising activities, and that employees were expected to follow city guidelines on political donations.

``This is a sad time for us, because Leland did so many good things for the community and for Kaiser Permanente. We regret the mistakes that were made ... and we're taking aggressive action to prevent similar mistakes in the future,'' said Richard Cordova, president of Kaiser Permanente's Southern California Region.

Wong's resignation caught the city's power structure by surprise.

DWP President Dominic Rubalcava - also a prolific political fund-raiser - said he'd heard no complaints about Wong and had no indication he would be stepping down.

The development came as the City Council is about to open hearings on a proposal to ban commissioners from fund raising. On Tuesday, the Ethics Commission endorsed - but did not act - in favor of the ban.

Bob Stern, president of the Center for Governmental Studies, a nonpartisan, nonprofit organization in Los Angeles, said the issues surrounding Wong underscore the potential for abuse in the current system.

``It puts more pressure on everyone to do something,'' Stern said. ``Commissioners should really be there for their expertise, not their fund-raising prowess.''

Councilwoman Wendy Greuel, who chairs the Audit Committee that will be holding hearings on the proposed fund-raising ban, said a prohibition would go a long way in ending the perception of L.A. as a place where doing business business with the city is tied to political contributions.

``Banning fund raising by commissioners would limit some of the potential problems and help improve the public perception of how business gets done in the city,'' she said.

Beth Barrett, [phone]

beth.barrett(at)dailynews.com

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