De Leon, a Democrat whose district includes Vernon, wrote in a letter to city administrator Mark Whitworth that he was recommending a series of policy changes and independent oversight as an alternative to shutting down the city altogether.
“We have the opportunity to transform what has been a local government embarrassment into a model city,” De Leon wrote.
De Leon's stance marks a challenge to the disincorporation bill, AB 46, proposed by Assembly Speaker John Perez (D-Los Angeles).
The bill, which Perez has made his focus for months, would dissolve Vernon’s municipal government and make it an unincorporated part of Los Angeles County. Perez has also called for the creation of a new special district to take over Vernon’s electric utility and fire department.
The industrial city just south of downtown Los Angeles is home to 1,800 businesses but only about 100 residents. Nearly all the residents live in homes or apartments owned by the city and many have close ties to city leaders.
Last year, The Times reported that five top city officials had earned more than $500,000 in annual compensation, including Eric T. Fresch, a former city administrator who made as much as $1.65 million in 2008. Three other city leaders have been convicted on public corruption charges in the last six years.
Perez has argued that Vernon has been operated as a “private fiefdom” and that disincorporation is the only way to permanently root out corruption.
His legislation received overwhelming support in the state Assembly, passing on a 62-7 vote. But it was fiercely opposed by Vernon city officials, local businesses and labor leaders, and once it reached the state Senate it faced greater scrutiny.
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