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Opinion: City and State Auditors Warn of Oakland’s Financial Peril and Mismanagement

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The City of Oakland is teetering on the precipice of financial ruin, according to a report issued by the Oakland City Auditor earlier this month, confirmed by numerous independent sources, including a report issued by the State of California Auditor, Elaine Howle, identifying Oakland amongst the most financially imperiled cities in the state.

The problems run deep and include unfunded pension liabilities, unmet infrastructure needs and myriad lawsuits that promise to deliver a dearth of financial pain to the city. And now, the city must figure out how to foot the enormous cost of an unforeseen and unanticipated pandemic that has tremendously increased public need while it has devastated city revenues.

It is for these reasons, and more, that the Oakland Legal Defense Fund (OLDF) launched the Good Government Project. We must act now. The consequences of continued inaction will lead Oakland down the road to insolvency, and a place from which it will be very difficult to recover.

OLDF, in coordination with the Jobs and Housing Coalition (JHC) and numerous private plaintiffs, sued the City of Oakland on February 1, 2019 over the city council’s vote to declare that Measure AA, the Oakland Children’s Initiative, passed despite not receiving the two-thirds vote that the City Attorney said the parcel tax measure required for passage.

Despite a scathing superior court ruling that the city council’s actions violated constitutional provisions that require a two-thirds vote to levy parcel taxes and the rare admonishment that the city council’s actions constituted “a fraud on the voters.” the city council voted to appeal the decision. Some say this was a face-saving gesture. We believe it was a foolish attempt to resurrect a failed and wrongminded decision.

Voters, many of whom originally voted for Measure AA, were stunned at the betrayal by their city’s government. The League of Women Voters and hundreds of citizens have joined us to encourage the city council to drop the appeal. They have yet to do so, but we keep hope alive that the council will do the right thing.

Oakland voters have a history of generosity when it comes to voting to tax themselves for improvements to the city in which they live, but despite collecting the money, most of the promised improvements have not materialized.

In 2016, voters passed Measure KK which earmarked millions of dollars to fix potholes, repave roads, and fix other aspects of the city’s rapidly deteriorating infrastructure. Yet conditions remain largely the same.

In 2016, voters approved a tax on sugar-sweetened beverages to launch a far-reaching educational program on the evils of sugar. Yet, today, there is no evidence of such an educational campaign and the funds from this measure have been sprinkled throughout the city budget to shore up the gaping deficits in various department’s budgets, unrelated to education on the evils of sugar-sweetened beverages.

In 2017, the city council voted to impose affordable housing impact fees on new market-rate development projects. Most of these funds are unaccounted for. The council has asked city staff two simple questions: how much did the city collect and how much did it spend on affordable housing? Staff could not answer and said they had to hire an outside auditor to answer those questions. Along with affordable housing advocates, developers and the public are still waiting for answers.

We are concerned that many residents don’t know what is really going on, and those that do, don’t know what to do about it. This is why we are creating the Good Government Project. We will shine a light on bad government practices. We will monitor whether the City spends money as promised. And, we will sue, if necessary, to prevent future fraud on the voters of Oakland!

We all want the same thing. Residents and the businesses who live and operate in Oakland, love the city and want to see it prosper and live up to its full potential. We are here to help make that happen.

Greg McConnell is President of Oakland Legal Defense Fund/Good Government Project.

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Oakland Post: Week of March 13 – 19, 2024

The printed Weekly Edition of the Oakland Post: Week of March 13 – 19, 2024

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Oakland Post: Week of March 6 – 12, 2024

The printed Weekly Edition of the Oakland Post: Week of March 6 – 12, 2024

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Who are the Alameda County District 4 Supervisor Candidates’ Top Campaign Contributors?

Below, we’ve listed each candidate’s 10 highest campaign contributors. For Miley, two of his top campaign donors also bought their own advertisements to support him and/or oppose Esteen through independent expenditures. Such expenditures, though separate from campaign donations, are also public record, and we listed them. Additionally, the National Organization of Realtors has spent about $70,500 on their own independent expenditures to support Miley.

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Jennifer Esteen. (Campaign photo) and Supervisor Nate Miley. (Official photo).
Jennifer Esteen. (Campaign photo) and Supervisor Nate Miley. (Official photo).

By Zack Haber

Nate Miley, who has served on Alameda County’s Board of Supervisors since 2000, is running for reelection to the District 4 supervisor seat.

Jennifer Esteen, a nurse and activist, is seeking to unseat him and become one of the five members of the powerful board that sets the county’s budget, governs its unincorporated areas, and oversees the sheriff, Alameda Health System, and mental health system.

District 4 includes most of East Oakland’s hills and flatlands beyond Fruitvale, part of Pleasanton and unincorporated areas south of San Leandro like Ashland and Castro Valley.

Voting is open and will remain open until March 5.

In California, campaign donations of $100 or more are public record. The records show that Miley has received about $550,000 in total campaign donations since he won the previous District 4 election in March 2020. Esteen has raised about $255,000 in total campaign donations since she started collecting them last July. All figures are accurate through Feb. 20.

While Miley has raised more money, Esteen has received donations from more sources. Miley received donations of $100 or more from 439 different sources. Esteen received such donations from 507 different sources.

Below, we’ve listed each candidate’s 10 highest campaign contributors. For Miley, two of his top campaign donors also bought their own advertisements to support him and/or oppose Esteen through independent expenditures. Such expenditures, though separate from campaign donations, are also public record, and we listed them. Additionally, the National Organization of Realtors has spent about $70,500 on their own independent expenditures to support Miley.

Nate Miley’s top campaign contributors:

The California Apartment Association, a trade group representing landlords and investors in California’s rental housing business, has spent about $129,500 supporting Miley’s election bid through about $59,500 in ads against Esteen$55,000 in ads supporting Miley, and $15,000 in campaign donations.

The independent expenditure committee Preserve Agriculture in Alameda County has spent about $46,025 supporting Miley through about $27,200 in their own ads, and $18,825 in donations to his campaign. Preserve Agriculture has supported reelection efforts for former Alameda County DA Nancy O’Malley, and Sheriff Greg Ahern, a republican. It’s received funding from ChevronPG&E, and a the California Apartment Association.

Organizations associated with the Laborers’ International Union of North America, or LiUNA, have donated about $35,000 in total. Construction and General Laborers Local 304, a local chapter of the union representing which represents over 4,000 workers, donated $20,000.

Laborers Pacific Southwest Regional Organizing Coalition, which represents 70,000 LiUNA members in Arizona, California, Hawaii and New Mexico, donated $15,000.

William ‘Bill’ Crotinger and the East Oakland-based company Argent Materials have donated $26,000. Crotinger is the president and founder of Argent, a concrete and asphalt recycling yard. Argent’s website says it is an eco-friendly company that diverts materials from landfills. In 2018, Argent paid the EPA $27,000 under a settlement for committing Clean Water Act violations.

Michael Morgan of Hayward, owner of We Are Hemp, a marijuana dispensary in Ashland, has donated $21,500.

Alameda County District 1 Supervisor David Haubert has donated $21,250 from his 2024 reelection campaign. He’s running unopposed for the District 1 seat.

SEIU 1021which represents over 60,000 workers in local governments, non-profit agencies, healthcare programs, and schools in Northern California, has donated $20,000.

UA Local 342, which represents around 4,000 pipe trades industry workers in Contra Costa and Alameda counties, donated $20,000.

The union representing the county’s deputy sheriffs, Deputy Sheriff’s Association of Alameda County, has donated $17,000.

Becton Healthcare Resources and its managers have donated $14,625. Becton’s mission statement says it provides “behavioral health management services to organizations and groups that serve the serious and persistent mentally ill population.”

Jennifer Esteen’s top campaign contributors:

Mary Quinn Delaney of Piedmont, founder of Akonadi Foundation, has donated $20,000. Akonadi Foundation gives grants to nonprofit organizations, especially focusing on racial justice organizing,

Bridget Galli of Castro Valley has donated $7,000. Galli is a yoga instructor and a co-owner of Castro Valley Yoga.

Rachel Gelman of Oakland has donated $5,000. Gelman is an activist who has vowed to redistribute her inherited wealth to working class, Indigenous and Black communities.

California Worker Families Party has donated $5,000. The organization’s website describes itself as a “grassroots party for the multiracial working class.”

David Stern of Albany has donated $5,000. Stern is a retired UC Berkeley Professor of Education.

Oakland Rising Committee—a collaborative of racial, economic, and environmental justice organizations—has donated about $3,050.

Fredeke Von Bothmer-Goodyear, an unemployed resident of San Francisco, has donated $2,600.

Robert Britton of Castro Valley has donated $2,500. Britton is retired and worked in the labor movement for decades.

Progressive Era PAC has donated about $2,400. Its mission statement says it “exists to elect governing majorities of leaders in California committed to building a progressive era for people of color.”

East Bay Stonewall Democrats Club has donated $2,250. The club was founded in 1982 to give voice to the East Bay LGBTQIA+ communities.

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