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Teacher Strike Settlement Still Not Approved

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OUSD and State overseers focus on budget cuts, $72 Mil goes unspent

The Oakland Unified School District’s overseers—the Fiscal Crisis Management and Assistance Team (FCMAT) and the Alameda County Office of Education (ACOE), which for practical purposes  are running the district for the state – have not yet approved the contract that came out of the  teachers strike.

The strike was settled on Feb. 28 with a three-year contract that gives teachers an 11 percent wage increase. The agreement was reached after a seven-days strike with the active intervention of State Supt. of Public Instruction Tony Thurmond.

“This still isn’t a done deal. The school board cannot give final approval to the contract unless the (financial) oversight trustee, Christopher Learned, and Alameda County Superintendent of Schools Karen Monroe, determine the district can afford it—not just now but also in years to come,” according to a column in the Mercury News.

According to an OUSD spokesperson, “Financial information relating to the tentative agreement will be submitted to Alameda County Office of Education (ACOE) next week. We anticipate that the Board of Education will vote on the tentative agreement at its April 24 meeting after the county has reviewed the financial information.”

Michael Fine, CEO of FCMAT

The ACOE, FCMAT and district leaders are already gearing up to eliminate more educational programs and close schools, while blaming teachers for the budget cuts. Yet, they are silent about the finding in the latest interim budget report, which indicates that OUSD has left unspent $72 million in restricted funds though the school year is almost over.

Restricted funding—unlike general purpose funds—can only be spent in specific ways, such as educational support for low-income, special education and Native American students.

Meanwhile, outside financial control over Oakland Unified is solidifying as part of the district’s Fiscal Vitality Plan, according to OUSD Supt. Kyla Johnson Trammell in an email letter to principals and administrators, dated March 22.

The OUSD’s Intensive Assistance and Support Initiative “involves ACOE deploying a team of experienced school fiscal professionals to collaborate directly with OUSD staff, to provide training, monitoring, and implementation of processes and protocols in the following areas of OUSD fiscal operations: budget, accounts payable, payroll and purchasing,” according to the superintendent’s letter.

The implementation of this plan, which is already underway, means the reorganization of the district’s financial staff and integration of the district’s financial office with the county’s.

The position of OUSD Chief Business Officer Marcus Battle will be eliminated, effective April 5.

Ofelia Roxas, chief financial Officer, will be working part time at OUSD and part time at the county office. Her duties will include “working closely with the county at their office and serving as a liaison with OUSD to ensure accurate and timely financial reporting,” said Supt. Johnson Trammell.

Without a full-time top manager, the “day to day management of the OUSD fiscal team” will be run by Gina Murphy-Garrett, senior executive director, budget, according to the superintendent.

The controller’s position has also been eliminated.

At the same time, the positions of 11 OUSD financial analysts have been eliminated. Oakland’s State and Federal Office, which is responsible for monitoring spending in programs for low-income and special education students, is also being shut down.

While the state overseers are seen as saviors by some, others say they are in Oakland to enforce austerity, shutting down school programs and creating consultant positions and contracts for outside experts.

FCMAT and the county, working with State Receiver Randy Ward, directly ran the district without local control from 2003-2009. During that time, they spent a $100 million state loan that was forced on the district and neither produced the organizational efficiency nor the fiscal solvency they had promised.

After the end of state receivership in 2009, a state appointed trustee continued to oversee the district’s finances, along with the Alameda County Office of Education.

During the years 2014-2017 when pro-privatization Supt. Antwan Wilson ran the district, money was spent without regard for fiscal controls. The numbers of central office administrators and their salaries grew unchecked by budget limits.

During that time, the county and the state were silent. The state trustee had no complaints.

Supt. Wilson, a graduate of pro-charter billionaire Eli Broad’s superintendent training academy, was backed enthusiastically by GO Public Schools and other Oakland-based pro-charter organizations.

When a huge budget shortfall began to surface in late 2016, Wilson quickly found a new job and left the state. The district was left to clean up the wreckage, but the county and state overseers said nothing, never publicly accepting their failure to live up to their legal responsibility to hold Supt. Wilson’s administration accountable.

Asked for a response from the school district, Spokesperson Valerie Goode said, “Our central office is undergoing a substantial reorganization, requiring that existing departments and positions undergo evaluation for potential reorganization or elimination. These re-organizational efforts are taking place to improve efficiencies and reduce costs.”

At press time, the district had not responded to questions about the $72 million in unspent restricted funds.

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Oakland Post: Week of December 25 – 31, 2024

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

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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.

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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.

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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.

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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.

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