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Council to discuss Oakland Coliseum sale
Oakland city leaders will meet to discuss the Oakland Coliseum sale - and whether the city will have to make steep budget cuts because of it.
OAKLAND, Calif. - A special finance committee meeting that the city of Oakland was supposed to have this morning was canceled late last night.
The goal of the meeting was to reveal the status of the city’s budget after receiving the first payment from the sale of the Coliseum.
Three Oakland City Council members—Treva Reid, Noel Gallo, and Janani Ramachandran—had called for the special meeting to seek clarity on the city’s budget and discuss what public services might be cut.
"I was deeply disturbed this meeting was canceled," Reid said. "This is the third time we've called a meeting to hear about a budget that's supposedly on track."
The meeting was set to discuss the city’s budget after receiving a $15 million payment for its share of the Coliseum.
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The deadline for the payment was September 23.
Reid, Gallo, and Ramachandran said the city did not provide proof it had received the money on time. Because of that, they were told the city’s contingency budget, which includes cuts to public safety and other services, was triggered.
"Because we didn't get payments as scheduled, we're in a situation where we're forced to make $48 million in cuts," Ramachandran said. "Browning out fire stations, reducing police staffing. What we want to know is which of these cuts are going to come first?"
Kevin Jenkins, chair of the Finance and Management Committee, agreed but stressed that the information shared needs to be accurate and timely.
"It was canceled because staff wasn't ready to present," Jenkins said. "There are certain financial reports they need to get an accurate account of where we are as a city and what we might need to do to balance our budgets."
The mayor's office did not respond to a request for comment. However, last week, Mayor Sheng Thao said the city had received the first payment for the Coliseum and that she negotiated a deal with the African American Sports and Entertainment Group to increase the sale price from $105 million to $125 million. More than 80% of that payment is not due until May of next year.
Jenkins said that if cuts need to be made before then, the city council will discuss them at a meeting on November 19.
"November 19 is way too late," Ramachandran said. "We need to make payroll. We need to keep our basic city services alive, so we want to know what's being cut first."
Jenkins said he is confident the city administrator will have all the necessary documents and information to give a detailed financial report on the Coliseum sale and the city’s fourth-quarter revenues at its next meeting on October 22.