Controller: L.A. doesn't spend wisely on everyday items

Stuff like uniforms, copy paper, and janitorial supplies can be purchased at lower cost, according to a report by City Controller Wendy Greuel (who is running for mayor). Comparisons were made with other large jurisdictions, including Chicago, Detroit, Maricopa County in Arizona, and the state of Massachusetts. Based on a sampling of frequently bought items, Greuel's office found that the city could have saved $700,000. From press release:

Findings show the City paid more for a variety of items. For example, the City purchased specific brand items when less expensive items of similar quality were available. The City also requires delivery of purchases for many items within one or two days after receipt of the order, even if these items are not needed immediately, driving up costs. Additionally, the City purchased specific items as required by warranty, even after the warranty expired.

Much of the purchasing is overseen by the General Services Division, which clearly needs to improve its act. If this were a business, somebody's head would be on the block. But it's not a business - it's a deeply entrenched, often inefficient bureaucracy.


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Mark Lacter
Mark Lacter created the LA Biz Observed blog in 2006. He posted until the day before his death on Nov. 13, 2013.
 
Mark Lacter, business writer and editor was 59
The multi-talented Mark Lacter
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