Sunset Junction permit denied

Quite a stunning development - the Board of Public Works unanimously turned down festival promoters for the upcoming event after they couldn't come up with $141,000 to cover fees (they still owe $260,000 from last year). From the LAT:

[Phil Tate, a lawyer for the festival], implored city officials to keep the festival alive while allowing his client to provide a check on Thursday morning by a specific deadline. And he warned the board that the city would likely never see the $260,000 in permit fees that his client owes from last year if the festival is killed. "You'll be one of many creditors standing in line waiting to get paid," he said. "Because if this falls, the vendors, the bands, they're not just going to quietly slink off into the night and this organization is probably going to go away."

A spokesman for City Councilman Eric Garcetti, whose district includes Silver Lake, said the councilman supported the board's decision and accused festival organizers of trying to "flimflam $400,000 from the taxpayers."

Some background from City Maven:

Problems began a year ago when the city issued a permit for the event even though the estimated fees for police, sanitation and traffic crews were not paid in advance. Following the festival, the city sent organizers three invoices for $256,484. The unpaid bill was eventually forwarded to the Office of Finance, which turned it over to a collection agency, and ultimately the matter was referred to the city attorney's office. Festival organizers, however, believe they were overcharged and question why fees shot up so dramatically over the last few years.