News of the Week

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PUBLIC ZOO: The plan to privatize operations of the Los Angeles Zoo has collapsed, officials with the non-profit Greater Los Angeles Zoo Association announced. Negotiations between the association and the city broke off over the amount of autonomy a private non-profit operator would have in running the zoo. The association, with the backing of Mayor Antonio Villaraigosa, has long pushed privatizing zoo operations as a way to stave off annual budget cuts that have increasingly chipped away at the zoo’s operations.

STADIUM OK: The Los Angeles City Council approved agreements with Anschutz Entertainment Group to build a football stadium in downtown and replace the West Hall of the Convention Center. The vote clears the way for the National Football League to consider placing a team in Los Angeles or for an owner to move a team to the city, which has been without professional football since 1994.

DESERT WATER: Cadiz Inc., an L.A. company trying to pump and sell groundwater out of a remote Mojave Desert aquifer, cleared another hurdle when the San Bernardino County Board of Supervisors approved its plan. The supervisors voted to approve Cadiz’s plan to pump 50,000 acre-feet of water a year out of the aquifer as long as the company monitors the impact of the water withdrawals on the surrounding desert and wildlife. Cadiz plans to pump the water out of the aquifer and send it to about 400,000 households. In July, the Santa Margarita Water District in South Orange County certified the project’s environmental impact report.

POT SHOPS: The Los Angeles City Council has voted to repeal a ban on medical marijuana storefront dispensaries. The council enacted the ban in July after complaints from residents and law enforcement officials that many of the estimated 500 to 1,000 dispensaries in the city were becoming magnets for crime. Medical marijuana advocacy groups submitted 49,000 signatures to the city – nearly twice the required amount – to ask voters to overturn the ban. The council faced two options: repeal the ban or proceed with a citywide vote. The council voted 9-2 in favor of the repeal.

SHOOTING DOWN: Fewer days were spent filming movies and TV projects on the streets of Los Angeles during the third quarter, compared with the same period a year ago. Permitted production days for feature films fell 21 percent in the quarter and TV production days fell 1.4 percent. Production days for commercials fell 5.3 percent, while other shoots such as music videos were up 4.9 percent, according to FilmL.A. Inc., which tracks local film shoots.

STEEL SALE: Reliance Steel & Aluminum Co. acquired oil and gas industry supplier Sunbelt Steel Texas LLC for an undisclosed amount. Sunbelt, based in Houston, distributes alloy steel bar, heavy-wall tubing and similar products. L.A.-based Reliance, which is the largest metals service center company in North America, said the deal will help it serve a wider variety of energy industry customers. Sunbelt, which was privately held, had net sales of $48 million last year.

MEDICAL BUY: IPC the Hospitalist Co., a manager of hospital-based physician practices, has acquired Elder Medical Services in upstate New York. IPC of North Hollywood has acquired nine practices in New England and the Pacific Northwest over the last year. The Elder acquisition marks the company’s first entry into New York state. Elder is composed of doctors and nurse practitioners who work at nursing homes and assisted-living facilities in Syracuse and Buffalo taking care of patients after they have been discharged from hospitals. The practice will add about 70,000 postacute patient encounters per year.

HOME PRICES: Despite several years of falling home prices, housing still remains out of reach for many middle-income residents in Los Angeles, according to a report by the Los Angeles Business Council. Among the findings: The average one-bedroom rental price of nearly $1,800 a month is one-third more than what the median household can afford. And the median income earner can only afford a house worth about $200,000, well below the August county median price of $350,000.

BUILDING AUDIT: Los Angeles City Controller Wendy Greuel announced an investigation of billing practices at the city’s Department of Building and Safety after an audit by her office found overcharging as well as undercharging. Greuel, who is running for mayor of Los Angeles, said her office’s audit found that the Building and Safety Department arbitrarily charged for permit fees. Building and Safety General Manager Robert “Bud” Ovrom said he did not believe these billing problems were pervasive.

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