Panel Votes to End Fire Dept. Contract

Admitting they were simply cutting their losses, three members of the Los Angeles City Council gave the nod Monday to ending a long-overdue, far-overspent contract intended to upgrade the Fire Department’s antiquated communications system--even though city officials remain unconvinced that the new system will work properly.

In a move aimed chiefly at avoiding litigation with Systemhouse Limited Inc., the council’s Public Safety Committee voted 3-0 to amend the company’s contract to end in April, regardless of the effectiveness of the remaining components of the system. The full council is scheduled to consider the matter next week.

Initially hired for a 30-month, $12.6-million overhaul of a communications system that has been outdated and overwhelmed since 1979, Systemhouse’s relationship with the city has now stretched seven years and the tab has ballooned to $21.2 million.

Yet, acting Fire Chief William Bamattre said Monday that it remains unclear whether Systemhouse can provide what the city needs.

“These guys are going to retire on this thing. You’re making these cats fat. This is an inside operation that smells, and we’re being snowed again,” Councilman Nate Holden told city officials at the meeting, adding that he was considering calling for a grand jury investigation.

“They brainwash you guys over and over again. You like them. They’re nice. They smile. They buy you a cup of coffee and they take the taxpayers’ money all the way to the bank,” Holden said to the Fire Department brass and other city officials who have overseen the contract.

But ultimately, Holden agreed with his colleagues, Council members Mike Feuer and Laura Chick, that there was no choice but to approve the amendment and end the city’s tortured relationship with Systemhouse.

Because the company is unable to provide everything Los Angeles needs in a high-tech system, city officials want to break the original contract, but that could leave the city vulnerable to litigation. The amendment approved Monday would resolve all legal disputes between Systemhouse and the city, but leave some work undone.