fundraising

Good morning, and welcome to L.A. on the Record — our City Hall newsletter. It’s David Zahniser, with an assist from Gavin J. Quinton, giving you the latest on city and county government.

Deputy Atty. Gen. Marissa Roy did big numbers in the June 2 primary election, coming in first place in the race for city attorney and knocking City Atty. Hydee Feldstein Soto out of the running entirely.

Roy secured 43% of the vote in round one. Now that she’s in a head-to-head contest against Deputy Dist. Atty. John McKinney, she’s well ahead in fundraising as well.

Campaign spending reports for the Nov. 3 runoff, filed over the last few days, show that Roy’s campaign collected nearly $74,000 during the fundraising period that ended June 30. By comparison, McKinney collected just $3,000, according to his own contribution report.

“I plan to be a City Attorney for the people, and I’m proud to have a campaign supported by the people. If your campaign isn’t, then I think it’s fair to ask who it is for,” Roy said in a statement.

The race is one of three downballot contests where the candidate who came in first on June 2 is also well ahead in the scramble for campaign contributions. Things were similarly lopsided in council races in South L.A. and the San Fernando Valley.

McKinney, who received nearly 29% of the vote in the primary, said his campaign will have plenty of resources to “educate voters that Marissa Roy is a bad fit for Los Angeles.”

“The recent financial disclosure reflects just one week of activity,” he said in a statement. “Since the June 30th [fundraising] deadline, we’ve raised more than $65,000 from more than 80 individual donors and have nearly 15 fundraising events scheduled.”

Several of the donors who gave to Roy occupy the left end of the political spectrum, such as Loraine Lundquist, who ran for City Council twice in the San Fernando Valley, losing both times to Councilmember John Lee. Roy also picked up a donation from airport commissioner Victor Narro, project director for the UCLA Labor Center.

Roy received $1,800 from attorney Carol Sobel, who has sued the city many times on behalf of various clients over policing and its treatment of the homeless population. Another $1,800 came from Genie Harrison, who is representing former fire chief Kristin Crowley in her lawsuit over her ouster.

McKinney, who works for Dist. Atty. Nathan Hochman, is likely to have his own big-money support in the coming weeks. During the primary, an array of well-financed allies, including Airbnb, spent a combined $3.2 million on efforts to elect him.

In South L.A., Ugarte ramps up his fundraising

The fundraising was also lopsided in the race to replace City Councilmember Curren Price, a veteran lawmaker who is stepping down after 13 years in a district stretching from the Convention Center south to 95th Street.

Former Price aide Jose Ugarte collected about $35,000 for the runoff, much of it from other city workers, particularly council aides, records show.

Community organizer Estuardo Mazariegos took in about $5,400, pulling in donations from the progressive L.A. Forward Action Fund and from Lundquist, the former council candidate.

A number of elected officials have lined up behind Ugarte, who garnered 39% of the vote in the primary. He received $1,000 apiece from State Assemblymembers Mark Gonzalez (D-Los Angeles), Mike Fong (D-Alhambra) and José Luis Solache (D-Lynwood), according to his filing. Ugarte also received $1,000 each from former Councilmember David Ryu and from the Hollywood Chamber of Commerce.

Records show that Ugarte received $1,000 from the Los Angeles Police Protective League, the union that represents rank-and-file police officers, but then returned the contribution. Ugarte does not accept donations from the police union, his campaign strategist said.

“I support Mayor Bass’s efforts to increase staffing, strengthen community policing, and improve transparency and accountability. I also want to see more officers on foot patrols and bike patrols in our neighborhoods,” Ugarte said in a statement. “Returning this contribution does not change or influence my views on these priorities.”

In the Valley, Gaspar pulls in a big haul

In the race to replace Councilmember Bob Blumenfield in the west San Fernando Valley, businessman Tim Gaspar is proving to be a fundraising powerhouse.

Gaspar reported more than $180,000 in donations to his runoff campaign through June 30, compared with about $31,000 for Barri Worth Girvan, an aide to County Supervisor Lindsey Horvath, according to her filing.

“After finishing with the most votes in the primary, our campaign is grateful for the outpouring of support from business owners, neighbors, and friends across the West Valley,” Gaspar said in a statement.

Gaspar received 46% of the vote in the primary, compared with more than 42% for Worth Girvan.

In an interview, Worth Girvan said she’s not troubled by the fundraising gap. During the primary, backers of Gaspar spent about $1.4 million on independent expenditures supporting his election bid.

“We still came within 4 percentage points,” she said. “To me, it’s always been about the voters, so that’s what I’m focused on.”

Worth Girvan picked up donations from longtime Democrats, including Gonzlaez, the state Assembly member, former state Assembly Speaker Anthony Rendon and Ryu, the former City Council member. She told The Times her fundraising picked up significantly after the June 30 fundraising deadline, bringing her total haul to more than $100,000.

Gaspar picked up donations from several public safety unions, including $1,000 from the Police Protective League and $500 from a political action committee set up by the city’s port police. He received $1,000 from real estate developer Rick Caruso, who ran unsuccessfully for mayor in 2022.

State of play

— WINDS OF CHANGE: For the first time since 1963, L.A.’s 9th Council District will not have a Black representative. The race to represent that South L.A. district features two Latino candidates who immigrated to the U.S. as children, both of them undocumented at the time. Ugarte, the former council aide, was born in Oaxaca and is Mazateco, an Indigenous group native to the Mexican state. Mazariegos, a community organizer, was born in Guatemala.

— DISAPPEARING ACT: Records dealing with the activities of the Los Angeles Police Department — emails, text messages, audio recordings — have vanished from a city website devoted to the release of public information. Although the removal of such records does not violate any laws, “it’s certainly not a best practice,” one expert said.

— PERMIT PROBLEMS: A representative of Lineage, whose massive cold storage facility burned down in Boyle Heights two months ago, filed a permit this week to rebuild the company’s 491,000-square-foot warehouse to its original pre-fire condition. Bass called the filing a “slap in the face” to families in Boyle Heights and ordered her department heads to put the application on hold until the site receives extensive study.

— SCHOOLS AND SAFETY: Meanwhile, with less than two weeks left before the start of school, families in Boyle Heights and East L.A. are worried about health and safety at eight campuses located within a mile of the Lineage site, which has been beset with the stench of rotting food, rats and swarms of flies.

— ZOO COUP: Feldstein Soto may have lost her bid for a second term, but she did rack up a key court victory in the city’s battle over money for the Los Angeles Zoo. The city has been trying to claw back about $50 million raised for the facility by the Greater Los Angeles Zoo Assn., the nonprofit that helped run it until recently. GLAZA filed for Chapter 11 bankruptcy protection in June, citing “incessant litigation” from the city. This week, at the city’s request, a judge dismissed the bankruptcy filing.

— TAKING IT TO THE STREETS: L.A. is on track to repeal a city law prohibiting kids from playing baseball, basketball, soccer or other ball games out in the street. The law was passed in 1936 out of a fear that children would be struck by cars. Councilmember Bob Blumenfield says it’s time the ordinance was erased from the books.

— FIXING THEIR MISTAKE: L.A. County’s Board of Supervisors voted Tuesday to send voters a charter amendment that would reverse the repeal of Measure J, which was approved six years ago and sets aside money for alternatives to incarceration. Measure J, through a series of errors, was supplanted in 2024 by Measure G, which will increase the number of supervisors. The new measure would restore Measure J to the county charter.

— SPEAKING OF ERRORS: Last week, we mentioned a proposal to reduce the number of required council meetings from three per week down to one, saying that the idea failed to make the ballot. That was wrong! The measure will in fact go before voters in the Nov. 3 election as part of Charter Amendment EE.

QUICK HITS

• Where is Inside Safe? The mayor’s signature program to bring homeless people indoors went to Skid Row, bringing 23 people inside, according to the mayor’s team. The area is represented by Councilmember Ysabel Jurado.
• On the docket next week: After a month off, the City Council resumes its business on Tuesday.

Stay in touch

That’s it for this week! Send your questions, comments and gossip to LAontheRecord@latimes.com. Did a friend forward you this email? Sign up here to get it in your inbox every Saturday morning.

Uzbekistan’s largest-ever public market transaction has highlighted growing investor interest in the country and its economic reforms, while shifting attention to the next stage of developing its financial markets.

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The listing of the National Investment Fund of Uzbekistan, managed by Franklin Templeton, raised more money than all previous IPOs in the country combined over the past 30 years, according to Marius Dan, Central Asia CEO at Templeton Global Investments.

For investors and market operators, the transaction has drawn attention to a wider issue: how Uzbekistan develops the rules, institutions and market depth needed to support capital markets, debt financing, venture capital and private investment.

“What investors really want to know is that they’ll put their money in and that they will get their money back,” Julia Hoggett, chief executive of the London Stock Exchange, told Euronews.

Hoggett said investors usually begin by looking at a country’s fundamentals, including currency stability, inflation, economic growth, population trends and assets, before turning to the regulatory environment.

Building the infrastructure behind investment

Uzbekistan is preparing new financial legislation as it seeks to expand the range of financing available to companies and investors.

Laziz Kudratov, the country’s minister of Investment, Industry and Trade, told Euronews that legislation establishing the Tashkent International Financial Centre is expected to be signed soon.

The project would create a separate jurisdiction based on common law principles. Kudratov said the aim is to give foreign financial companies a legal environment based on international standards rather than requiring them to operate solely through local legislation.

He also said the planned jurisdiction would include 50 years of tax incentives, including exemptions from corporate income tax, value-added tax (VAT), property tax and customs duties.

The government is also preparing legislation covering alternative investment structures, including venture capital, private equity and limited partner-general partner investment models.

“We are also coming up with a new law on alternative investments,” Kudratov said. “It will create a framework to protect venture capital, LP and GP investment, and private equity investment in Uzbekistan.”

Dan said the National Investment Fund listing showed that international investors were willing to participate when transactions were structured in the right way.

“The initial public offering of the National Investment Fund shows that, in the right structure, investors are very keen to participate in the capital markets of the country,” he said.

Creating a deeper market

Dan said Uzbekistan’s capital market would need more companies, greater liquidity and more foreign institutional investors in the coming years.

He said continued listings of state-owned enterprises, both within and outside the National Investment Fund’s portfolio, would be important in broadening the investment universe.

Local debt markets are also beginning to attract more attention, he said, with retail investors looking more closely at investment opportunities inside Uzbekistan.

Kudratov said reforms introduced since 2017 had changed the investment environment through tax reforms, currency liberalisation and the removal of restrictions on profit repatriation.

“Any investor can come, invest and get their revenues out of the country within one day,” he said.

For Hoggett, investor confidence also depends on a proven track record.

“You can’t change things overnight and say people need to believe it. They need the evidence to see it,” she said.

Broadening participation

The growth of local debt markets and the entry of more retail investors are early signs that Uzbekistan’s financial market is beginning to widen beyond foreign institutional capital, according to Dan.

Hoggett said public markets can play a wider role by opening investment opportunities to more participants.

“The public markets are democratising,” she said.

Hoggett added that private companies are often owned by a relatively small group of investors, while public markets allow a broader range of investors to access company growth. That wider access comes with stronger disclosure requirements for issuers.

For Uzbekistan, broader participation would mean more than attracting foreign capital. It would also involve creating opportunities for domestic investors to participate in the growth of listed companies, debt markets and other financial products.

Governance and market discipline

Governance remains central to the development of Uzbekistan’s capital markets.

Dan said several companies within the National Investment Fund’s portfolio had already introduced board-level changes, including the appointment of independent directors.

“Corporate governance is key,” he said.

He described stronger oversight of state-owned companies as part of improving their operations.

Hoggett said public markets also impose discipline on companies seeking capital.

“The first rule of doing an IPO is meet your estimates, hit what you say you’re going to do,” she said.

That requires companies to build systems, controls, accounting capacity, finance teams and planning processes, she said. Hoggett added that such structures can help companies operate at scale and grow faster.

The Washington National Opera filed a lawsuit on Thursday that demands more than $17 million from the John F. Kennedy Center for the Performing Arts. The opera company claims it is owed millions in donations that have been withheld.

The lawsuit claims that after the opera company and the Kennedy Center parted ways in January, center officials have not returned more than $17 million in gifts and donations that belong to the opera company. The lawsuit lists the federal government as a defendant because the Kennedy Center was established by Congress.

According to the suit, the opera company and the Kennedy Center had a longstanding contract in which WNO produced its operas at the Kennedy Center, which in return, provided a number of services and other support for the opera company including managing its donations.

In late 2025, after approximately 15 years of affiliation, the suit claims that the Kennedy Center stopped performing the obligations of their agreement, which included marketing, fundraising and administrative support, as well as timely reporting on the growth of the opera company’s funds. When the opera company requested the Kennedy Center remedy the issue, center officials asked to sever ties.

“Five months have now passed since the termination of the affiliation, and the Kennedy Center still has not returned the funds to WNO,” reads the suit. “To the contrary, according to the Kennedy Center’s Chief Financial Officer, the Kennedy Center has put a significant portion of WNO’s money at risk by using it to collateralize the Kennedy Center’s line of credit.”

In an emailed statement responding to the lawsuit, Roma Daravi, a spokeswoman for the Kennedy Center, told The Times that the contract between the opera house and the center financially burdened the center for more than a decade. The statement claimed that taking into account the company’s endowment, an external accounting firm calculated that the opera company had “accumulated a $72 million deficit to the center” between 2011 and 2026.

“The Center has acted transparently and in the best interests of the public throughout this process,” the statement reads. “This lawsuit is meritless, and we plan to pursue a countersuit to defend the institution.”

The legal action comes during a tumultuous time for the Kennedy Center. Last year, President Trump fired the board and appointed himself chairman of the Kennedy Center.

In December, President Trump’s name was installed on the exterior of the center the day after his handpicked board of trustees voted to change the institution’s name to the “Trump-Kennedy Center.” Last month, a federal judge ordered President Trump’s name to be removed from the exterior of the building within two weeks and a halt to the Trump administration’s planned two-year closure of the venue.

On Friday, the court-ordered deadline for removing his name sparked widespread interest and crowds gathered outside the center. A live cam was also placed near the structure.

The Times arts editor Jessica Gelt contributed to this report.