Oakland

Oakland City Council discuss options on how to solve nearly $200M deficit

One proposal calls for $63 million in cuts largely impacting public safety

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The Oakland City Council is facing some tough decisions on how to balance a nearly $200 million deficit and pass a mid-year budget.

A council meeting was held Friday afternoon, where more than 100 people signed up for public comment and members discussed several options, including one that calls for cutting $63 million.

"Oakland is facing a budget deficit," Oakland City Council President Nikki Fortunato Bas said. "We are needing to address a structural deficit that is years in the making."

The first option the council is considering includes Mayor Sheng Thao's original proposed budget presented weeks ago with amendments from the council. That plan includes a contingency that if the Coliseum sale is not finalized by September, an additional set of reductions would be triggered.

Councilmember Treva Reid at Friday's meeting said the mayor's original budget should have never factored in revenue from the Coliseum sale since the deal is still being finalized.

"It is June 28th and that is still an option that regrettably is still before us to consider that does not honor the integrity and transparency that our workforce, nor our community deserves," Reid said.

The second option leaves out the Coliseum sale completely, and instead calls for $63 million in cuts largely impacting public safety.

While senior centers are not at risk yet, Oakland seniors worried they could see cuts next packed the council meeting.

"We would be bereft. It would be very, very bad for seniors," resident Deborah Polfus said. "Some of us would go hungry. Some of them would be really, really isolated."

In both proposed budgets, city parks would be impacted.

Brook Levin, former director of public works and co-founder of Measure Q, is worried the funding she fought so hard for parks to get could be taken away, impacting basic park needs like clean bathrooms and other maintenance.

"These are very basic things," Levin said. "We are not asking for enhancements, gold-guided things. These are very basic things that every person who uses a park should be able to access."

Declaring a fiscal emergency may allow the funds to be redirected.

Levin and the Oakland Park and Recreation Foundation are questioning the city on legality of the funding use. City staff has forwarded that question to the city attorney.

The communications director for Oakland Mayor Sheng Thao has resigned, the mayor's office confirmed Tuesday, a day after the mayor broke her silence and maintained her innocence regarding an FBI search at her home last week. Raj Mathai speaks with Justin Berton on this.

Recall leader Seneca Scott, who is calling for Thao to resign, is pushing for the vote to be delayed and believes an independent financial analyst needs to be brought in.

"This is the consequence for that lack of expertise," Scott said. "We need someone who has experience in municipal finance to come in and give us both short and long term solutions."

Budget discussions are expected to extend to Tuesday for a possible vote.

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