Alhambra Public Funds Must Serve the Public Good

GUEST OPINION

Mayor Katherine Lee at the April 15 Alhambra Council meeting (Photo – Screengrab)

When it comes to the use of public funds, whether at the level of local school boards or the U.S. Congress, elected officials have a responsibility to follow both the law and ethical principles to earn and maintain the public’s trust. Taxpayer dollars must be spent solely in the public’s interest or serve a public purpose.

By Katherine Lee

Elected officials must never personally benefit from the use of public money. Article XVI, Section 6 of the California Constitution clearly states that “a public agency is prohibited from making any gift of public funds or from lending its public credit to any person.” In 1940, the California Supreme Court ruled that public funds must serve a public purpose in order not to be considered a gift.

As an elected official, I am committed to ensuring that all City funds and revenues are used exclusively for the public purpose or good and that the City receives tangible value in return. If this standard is not met, the expenditure constitutes a gift of public funds, which is prohibited.

Examples of appropriate government expenditures for public purposes include, but are not limited to, installing street lights, repairing streets, purchasing city vehicles, and paying contractors who deliver direct services to residents and the City such as trash collection.

In April 2025, I voted against a proposed contract between the City of Alhambra and the Alhambra Chamber of Commerce. The Chamber had requested reimbursement from the City of Alhambra for activities that, in my judgment, did not provide direct public services to Alhambra residents or serve a legitimate public purpose. These activities included expenses related to the Chamber’s Central Information Office, social media campaigns promoting business events for its own members and non-members alike, and organizing seminars and legislative updates that, in my view, can be perceived as campaign opportunities for politicians within the business community if they participate in these functions. The City should not pay for these activities using its public funds.

I also opposed the contract because it committed the City to make monthly payments of $12,000 to the Alhambra Chamber of Commerce for two years, regardless of when or whether services were rendered. In my view, no public funds should be disbursed to any contractor until services are delivered and proper invoices are submitted.

Katherine Lee is a Councilmember and has served as Mayor of Alhambra since February 2025.