Howard Terminal: Oakland CM Gallo Asks Questions City Staff Should Have Answered 2 Years Ago

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Howard Terminal: Oakland CM Gallo Asks Questions City Staff Should Have Answered 2 Years Ago

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For some reason, Councilmember Noel Gallo put this item on The City of Oakland Rules Committee for today, March 23, 2022:

Councilman Gallo has added a request for an economic study to today’s Rules Committee agenda. See item below:

Subject: Request To Schedule A Workshop To The City Council / Public Meeting To Receive A Cost Benefit Analysis Of The Financial Obligations On The Proposed Building Of The New Baseball Stadium At Howard Terminal From: Councilmember Gallo Recommendation: Request To Schedule A Workshop To The City Council / Public Meeting To Receive A Cost Benefit Analysis Of The Financial Obligations On The Proposed Building Of The New Baseball Stadium At Howard Terminal. Public Financing: The City May Sell Up To $———Millions Of Bonds Necessary To Finance The Stadium. Revenue To Pay The Debt On Those Bonds Needs To Be Included In The Benefit Analysis, Which Could Include:New Taxes On Businesses Rent Payments From The Baseball Team Owner Taxes On Tickets, Consessions And Merchandise. Private Financing: The Oakland A’s Are Responsible For Any Cost Overruns. Naming Rights Belong To The Team. Lease: The Oakland A’s Will Lease The Stadium For Thirty Years From The Port Of Oakland / Sports Commission, The Lease Amount Should Be Included In The Benefit Analysis. Building Oakland A’s Baseball Park: Cost, What Amount Is The City Contributing / Paying Upfront, And What Will Need To Be Borrowed In Order To Complete The Project. What Federal And State Funds Will Be Spent To Upgrade The Area. What Funds Are The Oakland A’s And The Mlb Contributing To The Project. How Many City Staff Fte’s, Time And Resources Be Spent On The Project. What Resources Will Be Needed For Game Security Issues. What Transportation Upgrades Will Be Needed. What Are The Annual Maintenance Costs Once The Project In Completed; TBD 3

The problem with this call is it illuminates how behind Oakland City Staff is in forming both a public financing authority and writing an infrastructure financing plan.  Both of those actions are called for by California Enhanced Infrastructure Financing District (EIFD) law and are spelled out in SB 293 Skinner, the legislation that describes financing guidelines for the public subsidy for Howard Terminal Ballpark District.

That this came up, and may pass, points to how much of a mess the City of Oakland has made of the Howard Terminal Project.

Let’s see what happens at Rules Committee.

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