PERMIT PROBLEM COULD STIFLE L.A.'S CAN-DO SPIRIT.

Byline: Ezunial Burts

THE Los Angeles economy is revved up and running after a series of stalls beginning with the recession and civil unrest at the start of the decade.

Film and television production continues at a historic pace in the Southland, The garment industry is prospering. Cutting-edge technology start-ups are experiencing meteoric growth. A survey of the real estate industry shows that nearly $1 billion will be spent on downtown development projects by the year 2000.

To a large degree, this growth has happened because of spirit and confidence, nurtured by a refreshing can-do attitude at city and county offices. Over the past four years, Mayor Richard Riordan, the City Council and the county Board of Supervisors have made it their business to bring business back to Los Angeles.

Public-private initiatives have made progress in streamlining the permit process, particularly making it easier to obtain permission to film on Los Angeles streets and encouraging communities to work together to renew deteriorating districts. In many ways, the dialogue between government and community has never been stronger.

But there is a hairline crack in the city's governing foundation. If it widens too much, it could clip the courtship, rip apart the fledgling reforms and topple our modest economic gains like a temblor along the San Andreas Fault.

The hidden fracture revealed itself recently when the City Council voted unanimously on an emergency motion to rescind a production company's permit to film at a South Central church for two days.

At issue was the company's desire to simulate gunfire in an area already too familiar with the real thing. Understandably, council members were concerned - the church stands two miles away from the flash point of the 1992 civil unrest. In an attempt to diffuse what they viewed as a potential time bomb, lawmakers decided to halt productions at the church completely, rather than bar the company only from staging the gunfight.

Was the film company disappointed? Certainly, but only temporarily. The producers paid the church for more than a day's work and quickly found an alternative location. End of story. Roll the credits.

What's so troubling about the incident is that it could happen to anyone doing business in the city: The Los Angeles City Charter gives City Council, or the council's appointed delegate, the broad authority to repeal permits if necessary to defend public health, safety or welfare.

Existing policy begs the question: Can authorities stop a building midway through construction if a neighbor complains that noise from the jackhammers is causing stress and hearing loss? Would the noise qualify as a threat to ``public health, safety or welfare?''

In the case of the television show, the producers and crew simply packed their trucks and traveled up the freeway to Sunland. What would happen to a partially-constructed high-rise?

Other questions come to mind: Can the city issue a business permit to a food manufacturing plant and rescind it later if a neighbor is allergic to the food's odor? Could authorities shut down a retail facility if one of its signs produced an annoying glare on a nearby street during rush hour? Would they close them all? Or, would they work to resolve the problem as quickly as possible and keep the business open?

The city of Los Angeles issues thousands of building and work permits and business licenses every year. There is a process by which all requests are checked: plans are reviewed, complaints are aired, assessments are made and compromises are forged. Permits are issued when applicants pass the test.

Two commissions will study the Los Angeles City Charter over the next 18 months, making recommendations on how to create a more responsive and accountable local government. If L.A. wants to strengthen its ``business-friendly'' image, it would be wise to put a lid on the Pandora's box that was uncovered when the city revoked the permit to film at the church.

It makes sense to grant someone the authority to pull permits that are being abused. But what constitutes abuse? When is an action a public threat? And, perhaps most importantly, who should have the power to give legal permits the can?

Los Angeles leaders and lawmakers know how to make it easier to do business in the city. Together, we've made great strides in improving both the perception and the reality of doing business here. Let's make sure that can-do atmosphere remains clear and unclouded.