Connect with us

Bay Area

Councilmember Ramachandran Votes Against Oakland’s FY 24-25 Budget

OAKLAND – Oakland City Councilmember Janani Ramachandran (District 4) voted against passage of the City’s mid-cycle budget, which the Oakland City Council approved today by a 5-3 vote. This budget was balanced in part through the inclusion of anticipated proceeds from the sale of the Oakland Coliseum to the African American Sports & Entertainment Group (AASEG) despite the deal not yet being finalized and a Land Sale Agreement not yet being executed – a decision Councilmember Ramachandran believes could be devastating to Oakland’s future fiscal stability.

Published

on

Oakland City Councilmember Janani Ramachandran.
Oakland City Councilmember Janani Ramachandran.

Proposal Includes Oakland Coliseum Sale Funds Not Yet Received by the City

OAKLAND – Oakland City Councilmember Janani Ramachandran (District 4) voted against passage of the City’s mid-cycle budget, which the Oakland City Council approved today by a 5-3 vote. This budget was balanced in part through the inclusion of anticipated proceeds from the sale of the Oakland Coliseum to the African American Sports & Entertainment Group (AASEG) despite the deal not yet being finalized and a Land Sale Agreement not yet being executed – a decision Councilmember Ramachandran believes could be devastating to Oakland’s future fiscal stability.

Under the budget passed by a majority of Council today, the Coliseum sale deal must be finalized and the City of Oakland must receive the first $15 million payment from the Coliseum sale by September 1st. If these sale proceeds do not reach the city by then, a contingency plan would be triggered, which would pose drastic cuts to vital City services – including reducing Oakland’s budgeted police force to 600 officers, temporarily closing five fire stations, and halting all City contracts.

“I am not only deeply disappointed but frankly shocked by the wildly irresponsible choice made today by the Oakland City Council to close this budget deficit with money we do not yet have,” said Councilmember Ramachandran. “With the sale of the Coliseum nowhere near being finalized, incorporating $63 million into this year’s budget from a future Coliseum sale is an ill-considered risk.”

Whether or not the Coliseum sale goes through, the incorporation of these funds into the FY 24-25 is expected to have negative financial implications for Oakland, including a decline in the City’s AA+ bond rating, which in turn would threatening $200 million in scheduled capital projects – including those providing desperately-needed affordable housing for Oakland residents. In addition, Oakland would still face an estimated $100 million budget gap in next year’s biennial budget that will have to be closed through even more severe cuts or potentially layoffs.

“Our Finance Department was crystal clear on the risks of incorporating Coliseum sale proceeds into our budget,” Councilmember Ramachandran said. “Proceeds from this sale should have never been incorporated into this budget by the Mayor and City Administrator given how uncertain the close of the Coliseum deal has been.”

While not supportive of balancing the budget with proceeds from the Coliseum, Councilmember Ramachandran has supported the sale of the Coliseum to AASEG and last month voted in favor of the deal between the two parties.

Mayor Sheng Thao originally proposed a mid-cycle budget for the City Council’s review on May 24, 2024 – significantly later than previous mayoral budgets in Oakland and giving Council just over a month to review the proposal, have questions answered, and file amendments. In addition, an “alternative” proposal that excluded Coliseum sale proceeds was only presented to Council and the public on June 25th – a few days before the budget vote.

“This situation could have been avoided if Council had received budget proposals that did not include Coliseum sale proceeds from the Mayor and City Administrator in a timely fashion rather than releasing it at the 11th hour,” Councilmember Ramachandran said. “This year’s budget process has been an insult to the residents of Oakland, and it’s our residents who now will have to bear the consequences of today’s failure of leadership.”

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Activism

Oakland Post: Week of December 25 – 31, 2024

The printed Weekly Edition of the Oakland Post: Week of December 25 – 31, 2024

Published

on

To enlarge your view of this issue, use the slider, magnifying glass icon or full page icon in the lower right corner of the browser window.

Continue Reading

Bay Area

Glydways Breaking Ground on 14-Acre Demonstration Facility at Hilltop Mall

Glydways has been testing its technology at CCTA’s GoMentum Station in Concord for several years. The company plans to install an ambitious 28-mile Autonomous Transit Network in East Contra Costa County. The new Richmond facility will be strategically positioned near that project, according to Glydways.

Published

on

Image of planned Richmond facility courtesy of Glydways.
Image of planned Richmond facility courtesy of Glydways.

The Richmond Standard

Glydways, developer of microtransit systems using autonomous, small-scale vehicles, is breaking ground on a 14-acre Development and Demonstration Facility at the former Hilltop Mall property in Richmond, the Contra Costa Transportation Authority (CCTA) reported on social media.

Glydways, which released a statement announcing the project Monday, is using the site while the mall property undergoes a larger redevelopment.

“In the interim, Glydways will use a portion of the property to showcase its technology and conduct safety and reliability testing,” the company said.

Glydways has been testing its technology at CCTA’s GoMentum Station in Concord for several years. The company plans to install an ambitious 28-mile Autonomous Transit Network in East Contra Costa County. The new Richmond facility will be strategically positioned near that project, according to Glydways.

The new Richmond development hub will include “over a mile of dedicated test track, enabling Glydways to refine its solutions in a controlled environment while simulating real-world conditions,” the company said.

Visitors to the facility will be able to experience on-demand travel, explore the control center and visit a showroom featuring virtual reality demonstrations of Glydways projects worldwide.

The hub will also house a 13,000-square-foot maintenance and storage facility to service the growing fleet of Glydcars.

“With this new facility [at the former Hilltop Mall property], we’re giving the public a glimpse of the future, where people can experience ultra-quiet, on-demand transit—just like hailing a rideshare, but with the reliability and affordability of public transit,” said Tim Haile, executive director of CCTA.

Janet Galvez, vice president and investment officer at Prologis, owner of the Hilltop Mall property, said her company is “thrilled” to provide space for Glydways and is continuing to work with the city on future redevelopment plans for the broader mall property.

Richmond City Manager Shasa Curl added that Glydways’ presence “will not only help test new transit solutions but also activate the former Mall site while preparation and finalization of the Hilltop Horizon Specific Plan is underway.

Continue Reading

Alameda County

Last City Council Meeting of the Year Ends on Sour Note with Big Budget Cuts

In a five to one vote, with Councilmembers Carroll Fife and Janani Ramachandran excused, the council passed a plan aimed at balancing the $130 million deficit the city is facing. Noel Gallo voted against the plan, previously citing concerns over public safety cuts, while Nikki Fortunato-Bas, Treva Reid, Rebecca Kaplan, Kevin Jenkins, and Dan Kalb voted in agreement with the plan.

Published

on

Oakland City Council voted on a plan to balance the $130 million deficit at their last regular meeting of 2024. The plan reduces police spending by $25 million, temporarily closes two fire stations, and guts the cultural arts programs. iStock photo.
Oakland City Council voted on a plan to balance the $130 million deficit at their last regular meeting of 2024. The plan reduces police spending by $25 million, temporarily closes two fire stations, and guts the cultural arts programs. iStock photo.

By Magaly Muñoz

In the last lengthy Tuesday meeting of the Oakland City Council for 2024, residents expressed strong opposition to the much needed budget cuts before a change in leadership was finalized with the certification of election results.

In a five to one vote, with Councilmembers Carroll Fife and Janani Ramachandran excused, the council passed a plan aimed at balancing the $130 million deficit the city is facing. Noel Gallo voted against the plan, previously citing concerns over public safety cuts, while Nikki Fortunato-Bas, Treva Reid, Rebecca Kaplan, Kevin Jenkins, and Dan Kalb voted in agreement with the plan.

Oakland police and fire departments, the ambassador program, and city arts and culture will all see significant cuts over the course of two phases.

Phase 1 will eliminate two police academies, brown out two fire stations, eliminate the ambassador program, and reduce police overtime by nearly $25 million. These, with several other cuts across departments, aim to save the city $60 million. In addition, the council simultaneously approved to transfer restricted funds into its general purpose fund, amounting to over $40 million.

Phase 2 includes additional fire station brownouts and the elimination of 91 jobs, aiming to recover almost $16 million in order to balance the rest of the budget.

Several organizations and residents spoke out at the meeting in hopes of swaying the council to not make cuts to their programs.

East Oakland Senior Center volunteers and members, and homeless advocates, filled the plaza just outside of City Hall with rallies to show their disapproval of the new budget plan. Senior residents told the council to “remember that you’ll get old too” and that disturbing their resources will only bring problems for an already struggling community.

While city staff announced that there would not be complete cuts to senior center facilities, there would be significant reductions to staff and possibly inter-program services down the line.

Exiting council member and interim mayor Bas told the public that she is still hopeful that the one-time $125 million Coliseum sale deal will proceed in the near future so that the city would not have to continue with drastic cuts. The deal was intended to save the city for fiscal year 2024-25, but a hold up at the county level has paused any progress and therefore millions of dollars in funds Oakland desperately needs.

The Coliseum sale has been a contentious one. Residents and city leaders were originally against using the deal as a way to balance the budget, citing doubts about the sellers, the African American Sports and Entertainment Group’s (AASEG), ability to complete the deal. Council members Reid, Ramachandran, and Gallo have called several emergency meetings to understand where the first installments of the sale are, with little to no answers.

Bas added that as the new Alameda County Supervisor for D5, a position she starts in a few weeks, she will do everything in her power to push the Coliseum sale along.

The city is also considering a sales tax measure to put on the special election ballot on April 15, 2025, which will also serve as an election to fill the now vacant D2 and mayor positions. The tax increase would raise approximately $29 million annually for Oakland, allowing the city to gain much-needed revenue for the next two-year budget.

The council will discuss the possible sales tax measure on January 9.

Continue Reading

Subscribe to receive news and updates from the Oakland Post

* indicates required

CHECK OUT THE LATEST ISSUE OF THE OAKLAND POST

ADVERTISEMENT

WORK FROM HOME

Home-based business with potential monthly income of $10K+ per month. A proven training system and website provided to maximize business effectiveness. Perfect job to earn side and primary income. Contact Lynne for more details: Lynne4npusa@gmail.com 800-334-0540

Facebook

Trending

Copyright ©2021 Post News Group, Inc. All Rights Reserved.