Phase 2: Develop Internal Marketing Strategies
Strategy: Develop digital marketing and promotions utilizing the power of Visit Berkeley’s website and social media strengths to push positive messaging to the visitor and meetings industry.
a. Website (maintain a robust website that promotes all tourism and meeting related businesses)
b. Partner Development (work with tourism marketing partners to create visitor packages and campaigns)
c. Outdoor Adventure (Promote outdoor activities, such as district shopping, parks and outdoor dining as consumers look to satisfy pent -up demand by taking local/regional outings)
d. Digital and In-Person Familiarization Tours (“fam” tours) and Meetings (Maintain contact with meeting planners and content creators with individual and small group meetings, selectively host in-person fam tours and introduce hotel promotions and packages)
Phase 3: Local, Regional and Statewide Marketing Outreach Strategy: Create, develop, and manage positive relationships with local, regional and statewide marketing and hospitality partners to create overnight room demand and to ensure Visit Berkeley has the resources and support needed to successfully execute the BTBID mission.
a. Local (maintain and build positive relationships with UC Berkeley, Lawrence Berkeley Lab and other local businesses that produce lodging overnight stays and small conferences)
b. Regional (9 Bay Area Counties) (strategize opportunities to attract leisure and family visitations to patronize Berkeley’s merchant districts, businesses and outdoor activities)
c. Statewide (leverage our ongoing relationship with Visit California to participate in cooperative programs and marketing opportunities to attract Regional and Statewide visitation to Berkeley).
2) CITY COLLECTION COSTS (1%)
The City of Berkeley shall be paid a fee equal to 1% of the amount of assessment collected to cover its costs of collection and administration. The estimated costs for fiscal year 2024 are $6,437.50.
--
3) TOTAL ESTIMATE OF COSTS FOR FY2024 (100%)
A breakdown of the total estimated $643,750.00 budget for fiscal year 2024 is attached to this report as Appendix A: Total Estimated Costs and Revenue for the Berkeley Tourism Business Improvement District (BTBID) Fiscal Year 2024 (July 1, 2023 to June 30, 2024).
Method and Basis of Assessment: The annual assessment rate is one percent (1%) of gross short term (stays less than 30 days) room rental revenue for hotels. Based on the benefit received, assessments will not be collected: on stays of more than thirty (30) consecutive days; on stays by any officer or employee of government who is exempt by express provisions of federal international treaty; or on stays by any customer of a bed and breakfast establishment as defined in Section 23F.94.010 of
the Berkeley Municipal Code, which is located in a residential zoning district, has been in consistent operation as of January 1, 2003, and the continued operation of which is permitted under Chapter 23C.06 of the Berkeley Municipal Code. (See Appendix B:
Map of the Berkeley Tourism Business Improvement District (BTBID)).
Amount of Surplus/Deficit from previous Fiscal Year: The BTBID assessment was originally estimated to bring in approximately $425,000.00 in revenues in FY23. As Berkeley TOT has experienced an increase in revenues in FY23, Visit Berkeley does expect a corresponding surplus in revenues from FY23 to be generated (though the final amount will not be known until the first quarter of FY24) and carried forward for use in FY24.
Amount of Contributions from other sources: There are no plans to apply for funding from other sources.
Thank you for the opportunity to present our Annual Planning Report. If you have any questions regarding this report, please contact Barbara Hillman, President/CEO of Visit Berkeley at (510) 549-7040 / Cell# (925) 876-4825.
Appendix A: Total Estimated Costs and Revenue for the Berkeley Tourism Business Improvement District (BTBID) Fiscal Year 2024 (July 1, 2023 to June 30, 2024)
Revenues
2023-24 Assessments (FY24) $643,750.00
2022-23 Carryover (FY23) TBD
Total Estimated Revenues $643,750.00
Expenditures
Sales & Marketing $637,312.50
City of Berkeley Collection Costs $6,437.50
2022-23 Carryover (estimated, FY23) TBD
Total Estimated Expenditures $643,750.00
Total FY2024 BTBID Budget
$643,750.00
Appendix B: Map of the Berkeley Tourism Business Improvement District (BTBID)
Note: The BTBID will include all hotels with five or more rooms, existing and in the future, available for public occupancy within the boundaries of the City of Berkeley.
The boundary currently includes 22 hotels. Please see the map below.
Source: Berkeley Tourism Business Improvement District Management District Plan ( 2017).
Appendix C – Assessed Businesses
Business Name Address City, State ZIP
Bancroft Hotel 2680 Bancroft Way Berkeley, CA 94704
Berkeley City Club 2315 Durant Ave. Berkeley, CA 94704
Berkeley Travelodge 1820 University Ave. Berkeley, CA 94703 Cal Hotel 2008 Shattuck Ave. Berkeley, CA 94704
Church Divinity School of the
Pacific
2451 Ridge Road Berkeley, CA 94709-
1211
Doubletree Berkeley Marina 200 Marina Blvd. Berkeley, CA 94710 Downtown Berkeley Inn 2001 Bancroft Way Berkeley, CA 94704 Holiday Inn Express 1175 University Ave. Berkeley, CA 94702 Graduate Berkeley 2600 Durant Ave. Berkeley, CA 94704
Hotel Shattuck Plaza 2086 Allston Way Berkeley, CA 94704 Howard Johnson 1512 University Ave. Berkeley, CA 94702
La Quinta University Inn 920 University Ave. Berkeley, CA 94710 Marina Lodge 975 University Ave. Berkeley, CA 94710
Nash Hotel 2045 University Ave. Berkeley, CA 94704
Pacific School of Religion 1798 Scenic Ave. Berkeley, CA 94703 Prima Donna Hotels Inc.,
dba Sens Hotel & Bistro
Berkeley
1540 Shattuck Ave. Berkeley, CA 94709
Rose Garden Inn 2740 Telegraph Ave. Berkeley, CA 94705
Super 8 1619 University Ave. Berkeley, CA 94703
University Hotel 2057 University Ave. Berkeley, CA 94704 Vista Inn & Suites, dba
Quality Inn
1761 University Ave. Berkeley, CA 94703
Marriott Residence Inn 2129 Shattuck Ave Berkeley, CA 94704 Aiden Best Western 1499 University Ave Berkeley, CA 94702 List Updated: April 2023
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Eleanor Hollander, Economic Development Manager Subject: Assessments: North Shattuck Property Based Business Improvement District
RECOMMENDATION
Adopt a Resolution approving the North Shattuck Property Based Business Improvement District (NSBID) Annual Report of Fiscal Year (FY) 2023 and proposed budget for FY 2024, and declaring Council’s intention to levy an annual assessment for the NSBID for FY 2024.
FISCAL IMPACTS OF RECOMMENDATION
Assessments levied in the North Shattuck Business Improvement District (NSBID) support a package of improvements and activities approved by the property owners and the City Council when the District was renewed for a ten year period on June 16, 2020 (Resolution No. 69,454–N.S). Assessment funds are collected by Alameda County, relayed to the City of Berkeley, and disbursed through a contract with the North Shattuck Association (NSA), a private owners’ association that was established to implement the Management District Plan.
In June of 2020, the City Council authorized the City Manager to execute a contract and any amendments with the North Shattuck Association, not to exceed $2,652,778 of BID revenues, to implement the North Shattuck Management District Plan for the period July 1, 2020 to June 30, 2031 (Contract No. 32100055). The contract covers the years remaining in the current term of the NSBID establishment.
NSBID assessments are projected and budgeted at approximately $210,363 in FY 20234. Assessment funds are deposited into NSBID Fund 785-21-208-251-0000-000- 000-412110 and expended from fund 785-21-208-251-0000-000-446-636110. Though the NSBID’s adopted Management District plan allows for an annual 5% assessment increase for inflation, the majority of the North Shattuck Association’s Board of Directors met on March 30, 2023, and determined that no rate increase was warranted in FY24 as the current assessment sufficiently covers the slate of services proposed for the coming year. Project funds not spent in any given fiscal year are carried over into future years.
Assessments: North Shattuck Property Based Business Improvement District CONSENT CALENDAR May 23, 2023
By financing improvements, maintenance and marketing activities for the North Shattuck business district, the NSBID indirectly enhances sales tax, business license tax and other business-related City revenue sources. No City properties have been or will be assessed in the NSBID.
CURRENT SITUATION AND ITS EFFECTS
State legislation that authorizes formation of property-based BIDs (California Streets and Highways Code, Sections 36600 et. seq.) requires that the BID governing body submit an Annual Report on operations and a budget proposal to the City Council each year. The City Council may approve the report with a Resolution to reauthorize the annual assessments.
The Board of Directors of the NSA met in a publicly noticed meeting on March 30, 2023 to review and approve the attached Annual Report for the NSBID for FY 2023 (Exhibit A). The report includes a budget for improvements and activities for FY 2024 and an estimated cost for providing them. The report also recommends that the assessments for FY 2024 be levied on the same basis and method, and within the same boundaries, as they were levied for FY 2023 without the allowable annual 5% fee increase. See Exhibit B: North Shattuck BID FY 2024 Assessment Roll. Council can adopt the recommended resolution which will confirm the NSBID assessment, thus enabling continuous BID operations in the North Shattuck district for another year.
BACKGROUND
The NSBID was first established by Resolution of the Berkeley City Council in 2001 (Resolution No. 61,168-N.S.) to implement a Management District Plan that had been developed by a steering committee of merchants and property owners. In accordance with the Management District Plan adopted in Resolution No. 61,168-N.S, the NSBID had a lifetime of ten years, expiring in 2011. On May 3, 2011, Council approved Resolution No. 65,265-N.S. reestablishing the NSBID for 10 more years, ending in Fiscal Year 2021. Further, on June 16, 2020, Council approved Resolution No. 69,454– N.S. reestablishing the NSBID for an additional 10 years. Thus, the NSBID is authorized through 2031 unless action is taken to dis-establish it.
The NSBID finances special improvement, maintenance and marketing activities that benefit commercial properties and businesses in the North Shattuck District.
NSBID activities are performed above and beyond baseline services provided by the City. The Management District Plan for the North Shattuck BID that was adopted by Council in 2020 as part of the reestablishment of the District provides a framework and budget for the NSBID’s activities.
In FY 2024, the NSBID will continue its ongoing services including District maintenance, public improvements, holiday lighting, and marketing/promotional activities. The NSBID will continue to provide cleaning and outreach services in the public right of way. Events and activities promoting the District will continue throughout the year, including winter holiday promotions and safe group outdoor commerce installations. Regular arts and events newsletters will be shared, and
Assessments: North Shattuck Property Based Business Improvement District CONSENT CALENDAR May 23, 2023
ongoing marketing efforts will continue via the NSBID website and other social media. The NSBID will also continue to liaise and coordinate with other business district organizations, Visit Berkeley, the Chamber of Commerce, and the Berkeley Business District Network (BBDN) to promote local business and economic development opportunities in Berkeley.
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
By maintaining and enhancing the District, the NSA creates shopping opportunities for residents and visitors alike while encouraging alternative forms of transportation. The District is walking distance from the North Berkeley and Downtown Berkeley BART Stations. Several AC transit lines provide easy accessibility to visitors coming to this popular regional destination. Because the District is well served by public transportation and biking infrastructure, these services support environmental sustainability goals of encouraging alternative transportation choices and reducing vehicle miles traveled.
RATIONALE FOR RECOMMENDATION
Property and Business Improvement District Law of 1994 requires that the BID Board prepare an Annual Report for each fiscal year in which assessments are to be levied. Council action is required to approve the BID’s Annual Report, and declare its intent to levy assessments.
This private/public partnership generates significant resources for revitalization of the North Shattuck District has a positive effect on the physical and economic health of the City of Berkeley.
ALTERNATIVE ACTIONS CONSIDERED
The Board of the NSBID considered opting for the allowable 5% increase in assessment rates but instead decided not to levy an increase in the assessment rate, declaring that an increase, would not be necessary to cover the slate of proposed services. The NSA Board determined that the existing assessment level would be sufficient to address the goals outlined in the FY2024 budget and work plan.
CONTACT PERSON
Eleanor Hollander, Office of Economic Development, (510) 981-7536 Attachments:
1: Resolution: Confirm Annual Report and Levy Annual Assessment Exhibit A: NSBID Report for FY 2023 and Proposed Budget for FY 2024 Exhibit B: North Shattuck BID FY 2024 Assessment Roll
RESOLUTION NO. ##,###-N.S.
APPROVING THE ANNUAL REPORT OF THE NORTH SHATTUCK BUSINESS IMPROVEMENT DISTRICT FOR FISCAL YEAR 2023 AND DECLARING INTENT TO LEVY ASSESSMENTS FOR FISCAL YEAR 2024.
WHEREAS, the Property and Business Improvement District Law of 1994 as amended (California Streets and Highways Code Section 36600 et. seq.) authorizes cities, with the consent of property owners, to fund property-related improvements, maintenance and activities through the levy of assessments upon the real property that benefit from the improvements, maintenance and activities; and
WHEREAS, after ten years of successful operation, on June 16, 2020 the Berkeley City Council reestablished the North Shattuck Business Improvement District (hereafter, “the District”) for an additional ten-year period by Resolution No. 69,454-N.S.; and WHEREAS, on March 30, 2023 the Board of Directors of the North Shattuck BID adopted the Annual Report to the City of Berkeley FY 2023 (hereafter “Annual Report”) that describes the operations of the District in FY 2023, recommends services for FY 2024 and proposes a budget for FY 2024 (Exhibit A).
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that pursuant to provisions of Section 36600 et. seq. of the California Streets and Highways Code, the City Council approves the Annual Report of the North Shattuck Association (Exhibit A) and declares its intent to levy special assessments on property within the boundaries of the District for FY 2024.
BE IT FURTHER RESOLVED that that the boundaries of the District and the method and basis for the assessment remain the same as those set forth and approved in the Management District Plan (Plan) that was adopted on June 16, 2020, when Council renewed the North Shattuck BID through Resolution No. 69,454-N.S.
BE IT FURTHER RESOLVED that the improvements and activities to be provided are those described in the Plan and the Annual Report.
BE IT FURTHER RESOLVED that the cost of providing the improvements and activities is as described in the budget that accompanies the Annual Report.
BE IT FURTHER RESOLVED that the Assessment Rate for FY 2024 shall not increase from the rates established in FY 2023 (despite the fact that an increase of 5% is allowed annually by the District Management Plan). Following adoption of this resolution, the City Council may confirm the Annual Report and levy assessments for FY 2024 and confirm disbursement of NSBID assessment revenue to the North Shattuck Association provided for in Contract No.32100055, authorized in Resolution No. 69,455–N.S. (2020).
Exhibit:
A: North Shattuck Annual Report for FY 2023 and Proposed Budget for FY 2024 B: NSBID Assessment Roll FY 2024
NORTH SHAT
TUCK ASSOCIATION
ANNUAL REPORT TO THE CITY OF BERKELEY
FISCAL YEAR 2023
Introduction
The North Shattuck Business Improvement District (NSBID) was reestablished for a new 10-year period by the Berkeley City Council on June 16, 2020 (Resolution No. 69,454-N.S.) under provisions of the State of California Property and Business Improvement District Law of 1994. The NSBID was formed in 2001 and renewed in 2011 and again in 2020 to implement a Management District Plan developed and revised in 2020 to address the specific needs of the District and which sets forth the projected activities of the NSBID and the allocation of BID assessment revenues to each activity.
The renewed North Shattuck BID consists of 54 parcels owned by 52 property owners, generally bounded by Rose on the north, Delaware on the south, taking in the block of Vine east of Shattuck Ave. The assessments fund special benefits within the District, enhancing the North Shattuck area’s streetscape environment with infrastructure improvements, ongoing maintenance, and special events to new customers and visitors, increase business sales, and attract and retain businesses.
The NSBID is managed by the no
n-profit North Shattuck Association, whose Board of district business and property owners and Executive Director coordinate implementation of the Management Plan. The Property and Business Improvement District Law of 1994 requires that the owners’ association that is responsible for administering a BID prepare an annual report for each fiscal year for which assessments are to be levied.
This report reviews Fiscal Year 2023 operations, and states goals and objectives for Fiscal Year 2024 of the NSBID, which begins July 1, 2023 and ends June 30, 2024. This report includes the improvements and activities for the year, an estimate of the cost of the improvements and activities, the amount of any surplus or deficit revenues are to be carried over from the previous fiscal year and the amount of any contributions from other sources are named in the annual report and budget. There are no proposed changes in the boundaries of the district nor to the method and basis for levying the assessment.
FY 2023 Annual Report
Summary of FY23 Budget
The budget for Fiscal Year 2023 i ncluded BID assessments which res ulted in new revenue of $209,443,
carryforwards of $22,436 from FY 2022, which added to new revenue resulted in a FY 2023 budget of $231,879.
The following table shows the Budget Allocations by category and percentages as well as the estimated expenditures to the end of the fiscal year on June 30, 2023. Total expenditures for the year are estimated to be $188,433 with the remaining funds to carry forward in each category to FY 2024.
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NORTH SHATTUCK
ASSOCIATION
Service/Expense Category
Allowable
% of
Annual
Budget
Carry
Forward
from
Fiscal
Year 2022
(Actual)
Fiscal Year
2023
Assessment
Revenue
2023
Budget with
Carry
Forward &
New
Revenue
Fiscal Year
2023
Expenditures
(Estimated to
6/30/23)
Maintenance/Civil Sidewalks 40% $3,154 $83,777 $86,931 $69,313 District Identity & Placemaking 25% $2,803 $52,361 $55,164 $55,440 Administration/Management 30% $7,418 $62,833 $70,251 $63,680 Contingency 5% $9,061 $10,472 $19,533 $ 0
Total Budget 100% $22,436 $209,443 $231,879 $188,433 Accomplishments
During Fiscal Year 2023, the North Shattuck Association continued implementation of the activities and services outlined in the Management District Plan under a renewed annual contract between the City of Berkeley and the North Shattuck Association (NSA). A ctivities of the district are organized into Administration/ Program Management, District Identity and Placemaking, and Maintenance/Civil Sidewalks. Accomplishments in each area are summarized below.
Administration/Program Management
The Executive Director held regular meetings of the Board of Directors and General Association meetings with merchants, property owners, City staff and elected officials were held in person when possible and via Zoom regularly during the year to further the goals and objectives of the Association, focusing on business assistance during the continuing recovery from the Covid-19 pandemic, resumption of special events, and addressing safety and maintenance concerns in the district. Business and property owners were provided regular updates on pandemic health orders, financial relief and technical assistance available through various agencies including State Covid Relief grants to small businesses and the City’s Outdoor Commerce program.
The Association coordinated meetings of merchants, property owners, BPD, and the City’s Homeless outreach and mental health teams to deal with safety and security issues at various locations and held a district wide Safety Meeting in October 2022 to update and educate the membership on the reporting of various incidents for a more coordinated response during the holidays. The Association Board voted to reallocate funds to implement a 3-month pilot Safety Ambassador Program for the district and contracted with Peralta Service Corporation to provide on-street hospitality and coordination on city maintenance and safety issues.
The Association worked with the Berkeley Business District Network (BBDN) to
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address and provide input on citywide issues and programs including the Small Business Support Package of zoning changes and clarifications. The group also advocated for public safety through the reinstitution of police bike patrols in commercial areas and expansion of the Mental Health Outreach Teams. The Executive Director assisted businesses to plan and upgrade outdoor commerce areas, including design assistance, movement of equipment, and construction of new permanent parklets through the City’s Pathways to Permanence program, which waives permit fees and which will allow businesses to continue operations in the public right-of-way with payment of parking fees after lifting of the City’s emergency order. The Association assisted Victory Point Café to complete their parklet upgrade this year, coordinated planning for the Saul’s Deli project, and continued to coordinate the City’s Outdoor Commerce Grant program which provides grants to businesses citywide to build parklets. The Association coordinated with the Berkeley Chamber and Visit Berkeley on citywide events and marketing programs including Restaurant Week, the Berkeley Holidays campaign, the Berkeley Bucks program, and the City’s “Discovered in Berkeley” series, which featured The Victory Point Games Café this year. The Executive Director worked with the Ecology Center on the Farmers Market Thursday operations, vendors, and marketing, and attended Community Advisory meetings to plan for more music and activities in the market area, including an expanded 8-week series of “Thirsty Thursday” events during the fall of 2022, and a Food Waste Cooking demonstration series at the market in March and April 2023. The Association maintained an inventory of all businesses and vacant retail and office space in the district and provided updates to the City’s Economic Development office. This year, the Benchmark Bouldering Gym opened in the former Walgreen’s store at Cedar and Shattuck, and renovation of the former Dara Lao building by the celebrated Farmhouse Thai restaurant group began.
Three new businesses opened in the rehabbed storefronts at Delaware St., and Epicurious Garden welcomed Darband Mediterranean. The Bank of America branch and Campus Auto, along with Siamese Dream, Himalayan Imports and Cose Belle boutiques closed in the district this year.
The Board met with the developer of the former Campus Auto site to review preliminary plans for a mixed-use structure and initiated discussions with the Bank of America on future plans for the site and parking lot as well as maintenance of the property.
The Executive Director assisted with city health, noise and street event permits and coordination for Saul’s 36th anniversary street party, ACCI Gallery’s Spring Art Fair, the Chocolate and Chalk Art Festival and the Winter Festival with Saul’s Latke Party.
Civil Sidewalks/Maintenance
The Association expanded funding for cleaning and regular maintenance for sidewalks, public spaces, and public property including sidewalk and gutter sweeping, weeding of tree wells, graffiti abatement and maintenance of the newly replanted landscaped ceramic planters throughout the district.
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The Executive Director coordinated with the City of Berkeley and Berkeley Police Department to address maintenance issues including street tree replacements, and sidewalk steam cleaning and repair, trash receptacle maintenance, etc. as well as street behavior and vandalism, trespassing and illegal dumping issues on private property and sleeping during the day in the public right of way. Merchants were informed of available services and appropriate numbers for reporting incidents and requesting assistance for mental health issues and a District Safety Meeting was held in October to prepare for the holidays.
In response to ongoing issues, the Association Board voted to implement a 3- month pilot Safety Ambassador Program for the district with Peralta Service Corporation to provide a welcoming presence for tenants, visitors, shoppers, and employees, to be additional "Eyes and Ears" for local community and law enforcement and develop and maintain active relationships with City Officials, Beat Officers, Fire Department and Public Works Department to assist in the intervention and prevention of crime.
The Association installed the annual holiday lighting for the entire length of the district for the winter holiday season in the sidewalk street trees as well as in median tree locations with electricity access. The lighting provides ambience as well as security and pedestrian lighting in the darker winter evenings.
District Identity/Placemaking
District marketing includes the monthly Constant Contact e-newsletter with updates on business operations and hours, specials, events, and classes, regular social media posts and boosts for businesses and special events, and print and digital ads on local media and in the Berkeley Visitors Guide to promote the district. The Association website has been updated to reflect current businesses in the online directory and links to ongoing in-person and hybrid classes and events, including the weekly North Berkeley Food Tour and Farmers’ Market, monthly art openings, wine tasting, and cooking, yoga and barre classes.
The Association coordinated with the Chamber, Visit Berkeley and the City on the Berkeley Holidays, Berkeley Bucks, Restaurant Week, and Discovered in Berkeley campaigns, promoting business participation and the programs and offerings through our social media outlets, and the participated in Shop Local social media campaigns through AMIBA promoting support for small independently-owned businesses.
The 2022 Chocolate & Chalk Art Festival was held on August 18 in partnership with Another Bullwinkel Show in with funding from a Civic Arts Recovery Grant of $15,000 for fiscal years 2022 and 2023. The event included a sidewalk chalk art contest with chocolate specials from area shops and artisan vendors. The theme was “Chalking Beautiful Music”, and grant funds provided for increased marketing and outreach for the event, professional artist works, local musical groups, and larger prizes for chalk artists in the contest.
The Executive Director worked with the Ecology Center to organize and present a
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weekly series of “Thirsty Thursdays” events in September and October 2022 at the North Berkeley Farmers Market with live music from the Berkeley High Jazz Band and other local acts, sustainable beer and wine, an Ecology Center pop-up shop and program booths, kid’s art projects and an Association marketing table with business information and giveaways.
The Association funded a Fall music series with combos from the Berkeley High Jazz Band to play on Saturdays outside the Post Office, hosted by M. Lowe & Co.
Jewelers, to provide activity on the street and provide ongoing support for the Jazz program.
A new holiday event, the North Berkeley Winter Festival, was held on Dec. 18 th in conjunction with the annual Saul’s Latke P arty. The event was a celebration of the first day of Hanukkah and the holiday season and included Berkeley High Jazz combos and local Klezmer group the Veretski Pass. There were children’s games and art projects, free face painting, and a Snow Queen, along with local artisan vendors and food and drinks booth.
As part of the North Berkeley in Bloom recovery campaign the Association worked with local artist Rigel Stuhmiller to produce a new series of decorative light pole banners to line Shattuck Ave. The banners have colorful hand drawn bird and flowers to fit the theme of re-opening and spring. A press release and direct mailer promoting the project and shopping locally were also planned for later in 2023. The Association helped coordinate another ACCI Gallery Art Fair on May 6th with more than 20 ACCI member artists selling their work on Lincoln St. The sale coincided with their biannual exhibition of garden and botanical themed pieces, and included a plant sale by the Berkeley Garden Club.
Budget - Fiscal Year 2024
Wo
rk Plan
The North Shattuck Association will continue implementation of the activities initiated in previous fiscal years and in accordance with the Management District Plan. Funds not expended in the previous year will be carried forward in addition to estimated Fiscal Year 2024 revenues. The work of the Association will continue to be guided by the Board of Directors and its committees. The goals and objectives for Fiscal Year 2024 are organized as outlined in the Management District Plan adopted in 2020.
Administration/Program Management
Goals: General ov ersight and direction of district activities; development of relations and coor
dination with outside groups and agencies, coordination of projects and programs, management of sponsorships and volunteers.
Objectives:
1) Oversee dev elopment of annual District work plan and det ailed budgets, financial
records and annual tax returns.
2) Conduct property owner outreach, property owner and business input to the Management Plan and various programs and activities.
3) Attend needed City of Berkeley Council and Commission meetings and prepare all
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required reports related to the annual City of Berkeley contract with the Association. 4) Prepare correspondence, letters of support, and grant applications with the City of Berkeley and other agencies.
5) Coordinate Board elections in July 2023 including nominations and property owner balloting.
6) Maintain working relationships with property owners, merchants, City of Berkeley, Chamber of Commerce, Visit Berkeley, and elected officials. 7) Continue to participate in the Berkeley Business District Network (BBDN) to review and evaluate proposed City policy changes, public improvement projects, planning changes and zoning amendm
ents relevant to the commercial district. Coordinate with district businesses and property owners to develop appropriate responses and present to City Council and Commissions.
8) Identify and act on any busi ness education/assistance needs for business retention and inform businesses and property owners on how to access all available business support financial and technical services.
9) Develop and distribute regular e-mail newsletter updates to business and property owners with service accomplishments, event information, issue updates, and new business contacts.
10) Maintain inventory and lease information for vacant retail and office space in the district, current information for zoning regulations/amendments, and liaison with City and commercial brokers to attract and assist new businesses. 11) Prepare funding applications for public art and events through the City and State grant programs and administer projects and reporting. 12) Coordinate the City’s Outdoor Commerce Grant Program and assist businesses with creating outdoor areas, upgrading structures and extending permits beyond the pandemic.
13) Continue to work on parking issues in the district with the GoBerkeley Parking Program and investigate of improved usage of existing private parking resources for paid employee parking.
14) Work with the Berkeley Public Education Foundation, local schools and the Berkeley Business District Network to strategize on additional fundraising events to provide additional funding for classroom grants, for theater, science, art and gardening programs.
District Identity & Placemaking
Goals: Create a unified, quality image for the district and implement promotion strategies that capitalize on the unique aspects of the area, including advertising, social media, brochures, special events, holiday promotions etc. Strengthen the physical environment and sense of place with public art, landscaping improvements and parklets, and other initiatives as developed.
Objectives:
1) Oversee i mplementation of the ma
rketing and promotions strategy including
designer/consultant selections, design processes, budgeting, and advertising placements.
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2) Manage and promote the special events calendar and institute new events to further the image and various market segments of the district, including apparel, culinary, artisan production, and arts.
3) Integrate existing businesses into special events and marketing campaigns through various means, including sponsorship, participation, promotional tie- ins, etc.
4) Coordinate public relations for the district and special events as needed.
Generate press releases and promote editorial pieces on commercial and retail developments in the area.
5) Continue regular updates of the district website with business information and upcoming classes, special events, etc., produce a monthly Constant Contact e- newsletter, and maintain regular Facebook and other social media entries promoting business activities and press coverage.
6) Promote events at nearby venues such as Live Oak Park, the Jewish Community Center, Berkeley Arts Center, Theatre First and the Hillside Club. Work with producers to tie in district businesses through advertising and promotions. 7) Work with the City and Ecology Center on issues related to the Farmers Market operations and marketing. Coordinate Thirsty Thursday events during the summer of 2023 (FY24), and other special events and business tie-ins to the market. 8) Assist businesses to produce smaller street events including ACCI Gallery’s Seconds Sale and Art Market, Saul’s Latke Party, Vine St. block parties with Vintage Berkeley, etc. and to involve other businesses as partners and participants. 9) Oversee installation of annual winter holiday street tree lighting thr oughout the district.
10) Organize a Winter holiday marketing plan and events calendar including a Winter Festival, a holiday music series, etc. and promotion of business events. 11) Identify a non-profit partner and produce a Wine Walk fundraiser event, coordinating wineries, business participation, and marketing. 12) Produce the “Taste of North Berkeley” restaurant walk to benefit local charities and highlight neighborhood shops and restaurants.
13) Organize Association booths/tables at the weekly Farmers’ Market and other fairs and fe
stivals with activities to promote the district and gain newsletter and social media subscribers.
14) Investigate grant funding opportunities and provide coordination between area businesses and property owners, City Departments, and outside agencies towards implementation of district- initiated projects and programs towards median improvement, pedestrian safety, improved bike facilities, and parking. 15) Investigate design and finding possibilities for a median landscaping improvement project to coincide with the Shattuck Ave. roadway repair project, including possible City funding and a UC Berkeley design class and Chancellor’s Grant application/award.
16) Investigate opportunities for public art projects with ACCI Gallery, local artists, and local schools, including rotating storefront exhibits, art projects, temporary mural projects, etc.
North Shattuck Association Annual Report March 30, 2023
8 kl
Maintenance and Civil Sidewalks
Goals: Address issues related to cleaning and maintenance of the district; design and implement landscaping and other streetscape beautification improvements; provide input on development projects.
Objectives:
1) Provide ongoi
ng area maintenance monitoring, needs assessment, and
coordination with appropriate city departments on projects including street tree replacements, curb repairs, median landscaping, trash receptacle cleaning, sidewalk repairs, bicycle facilities etc.
2) Oversee service contract with Peralta Service Corporation for regular sidewalk cleaning and landscaping including sidewalk planters and tree well maintenance and special projects as needed.
3) Manage the work of the district’s Safety Ambassadors to provide hospitality functions, connect with maintenance staff and area businesses, and address security and safety issues working with the Berkeley Police Department and Mental Health Teams.
4) Organize meetings of district businesses, property owners, Ambassadors, current BPD patrol officers and the City’s Mental Health team to identify and respond to street behavior issues, trespassing and illegal dumping issues, vandalism, and blocking of the public right of way.
5) Coordinate work of the City-funded Streets Team to assist with area clean-up for the district’s allotment of one afternoon per week and arrange for gift cards or other compensation for team members.
6) Work with property owners and appropriate city departments to address signage conditions and the appearance of empty storefronts and vacant properties in the district.
7) Work with appropriate City departments, business and property owners, contractors, and volunteer designers to assist businesses to create and upgrade Outdoor Commerce areas in the district.
FY 2024 Budget
BID collections for Fiscal Year 2024 ar e projected to be $210, 363, with no annual increase in
assessments from Fiscal Year 2023. An estimated carryforward of $83,337 in unexpended funds from Fiscal Year 2023 will be added to each expense category for a total budget of $293,700. Services and expenditures will be made in accordance with the Management District Plan categories as follows:
North Shattuck Association Annual Report March 30, 2023
9 kl
NORTH SHATTUCK ASSOCIATION
Service/Expense Category under
2021 Management Plan
% of
Annual
Budget
Estimated
Carryforward from
2023 Fiscal Year
Fiscal Year 2024
Projected New
Revenues
Maintenance & Civil Sidewalks 40% $24,572 $84,145
District Identity & Placemaking 25% $13,879 $52,591
Administration/Program
Management
30% $15,013 $63,109
Contingency 5% $29,873 $10518
Total Estimated Budget 100% $83,337 $210,363
The above budget is based upon the maximum amount of BID assessment revenues that could be collected in the District. Actual BID revenues may be lowe r if some assessments
are not paid within the Fiscal Year. No changes to the boundaries of the district and the method and basis for levying the BID assessments were taken this year.
A listing of Fiscal Year 2024 as
sessments is attached as Exhibit B to this report.
Approved by:
Approved by the Board of Directors
Kirk McCarthy, President, North
Shattuck Association
On March 30, 2023
Prepared by:
Heather E. Hensley, Executive Director, North Shattuck Association
Exhibit B: North Shattuck BID FY 2024 Assessment Roll Page 1 North Shattuck Business Improvement District
FY 2024 Assessment Roll
APN Owner Name Site Address Private Parcels Public / Exempt Utilities 058 -2173-002-03 1600 SHATTUCK ASSOCIATES 1600 SHATTUCK AVE #1010 8,799.50$ 058 -2173-004-00 IRA SERVICES TRUST 1620 SHATTUCK AVE 916.84$ 058 -2173-005-00 KIM SAMIL & YOUNGJUNG 1650 SHATTUCK AVE 1,968.00$ 058 -2174-001-00 ARTS & CRAFT COOPERATIVE INC 1652 SHATTUCK AVE 1,588.26$ 058 -2174-002-00 NEIL JOE R & CAROL L 1654 SHATTUCK AVE 1,208.92$ 058 -2174-003-00 SATAKE 1 LLC 1662 SHATTUCK AVE 1,115.48$ 058 -2174-004-01 1995 KAM Y LAM & SHUN FAMILY TRS 1670 SHATTUCK AVE 1,168.60$ 058 -2174-006-02 ERDMAN JOHN C & ANNE M TRS 1690 SHATTUCK AVE 4,939.46$ 058 -2175-001-01 SCHWARTZ MICHELL J 1700 SHATTUCK AVE 3,849.16$ 058 -2175-003-00 BLUME JAMES & FRANK KATHRYN W 1708 SHATTUCK AVE 1,455.80$ 058 -2175-004-00 ROBINSON SCOTT & CHRISTINA C 1720 SHATTUCK AVE 737.34$ 058 -2175-005-00 PIERACKI ANDRZEJ TR 1730 SHATTUCK AVE 1,096.30$ 058 -2175-006-00 YI CHONG S 1748 SHATTUCK AVE 1,262.50$ 058 -2176-001-01 1752 SHATTUCK LLC 1752 SHATTUCK AVE 2,600.60$ 058 -2176-003-01 SHATTUCK INVESTMENT GROUP LLC 2083 DELAWARE 9,047.46$ 058 -2177-015-01 GEDR HILLSIDE LLC 1797 SHATTUCK AVE 13,442.96$ 058 -2178-018-00 AMERICAN COMMONWEALTH ASSOC. 2109 VIRGINIA ST 6,159.30$ 058 -2178-023-00 DELANDA PAUL & SUSAN/KENDALL BETTY L 1619 SHATTUCK AVE 1,353.50$ 058 -2178-024-01 SHATTUCK CONNECTIONS LP 1607 SHATTUCK AVE 8,794.50$ 058 -2178-026-00 SHATTUCK OFFICE LLC 1625 SHATTUCK AVE 1,584.10$ 058 -2178-027-00 SHATTUCK OFFICE LLC 1625 SHATTUCK AVE 2,654.50$ 058 -2178-028-00 SHATTUCK OFFICE LLC 1625 SHATTUCK AVE 2,654.50$ 059 -2260-001-00 CONNOLLY ALLEN & CHRISTINE 2100 VINE ST 3,710.20$ 059 -2260-002-01 WALNUT SQUARE CENTER LP 2110 VINE ST 8,289.50$ 059 -2260-015-01 SWEET BOMBAY INC 1549 SHATTUCK AVE 1,212.80$ 059 -2260-015-02 MANN MELVIN M TR 1543 SHATTUCK AVE 2,039.18$ 059 -2260-016-00 GOODMAN CAROL E TRS ETAL 1537 SHATTUCK AVE 2,255.36$ 059 -2260-017-00 GACH MICHAEL R 1533 SHATTUCK AVE 1,680.30$ 059 -2260-018-00 LAM KELVIN S & JACKIE S/LAM GRACE & ALICE 1531 SHATTUCK AVE 3,526.08$ 059 -2260-019-00 MEYER PATRICIA L TRS & WARD DAW 1525 SHATTUCK AVE 2,268.24$ 059 -2260-020-03 APTE ROBERT Z & EVELYN L FAMILY 1519 SHATTUCK AVE 2,895.72$ 059 -2260-021-00 PAGNOL ET CIE INC 1517 SHATTUCK AVE 1,119.68$ 059 -2260-022-01 WONG PUI & HOSANNA H 1515 SHATTUCK AVE 1,044.96$ 059 -2260-022-02 ELITE PROPERTIES LLC 1511 SHATTUCK AVE 3,208.62$ 059 -2261-001-02 RUE ELL ENTERPRISES INC 1451 SHATTUCK AVE 10,768.12$ 059 -2261-004-03 WALNUT VINE LLC & WALNUT STAY 1444 WALNUT ST 2,287.68$ 059 -2261-005-00 RUEGG & ELLSWORTH 2113 VINE ST 1,125.50$ 059 -2261-006-00 RUEGG & ELLSWORTH 2111 VINE ST 1,993.76$ 059 -2261-007-00 RUEGG & ELLSWORTH 1495 SHATTUCK AVE 2,655.00$ 059 -2261-008-00 TARVER DEWEY G & CARMEL A TRS 1481 SHATTUCK AVE 1,143.80$ 059 -2261-009-00 LATKE ENTERPRISES LLC 1475 SHATTUCK AVE 1,383.00$ 059 -2261-010-00 WONG HENRY F TR & WONG PUI T E 1463 SHATTUCK AVE 2,412.24$ 059 -2262-001-00 SHATTUCK ROSE L P 1400 SHATTUCK AVE 5,768.68$ 059 -2262-005-00 HIRAHARA BRIAN & TAMURA RAYMOND 1480 SHATTUCK AVE 3,009.04$ 059 -2262-006-00 RIPSTEEN RYAN & ARLINGTON INVESTMENT CO 2085 VINE ST 1,334.56$ 059 -2262-021-02 SAFEWAY INC 1425 HENRY ST 22,794.68$
059 -2262-021-03 SAFEWAY INC 1425 HENRY ST 1,761.80$
059 -2263-003-01 HEFTER & MURPHY LLC 2044 VINE ST 4,547.54$ 059 -2263-006-01 BANK OF AMERICA NATIONAL TRUST 1516 SHATTUCK AVE 4,326.08$ 059 -2263-009-00 PRIMA DONNA HOTELS INC 1540 SHATTUCK AVE 1,647.40$ 059 -2263-010-01 BERKELEY BAZAAR PARTNERS 1550 SHATTUCK AVE 18,076.68$ 059 -2263-024-01 BANK OF AMERICA NATIONAL TRUST 1536 SHATTUCK AVE 2,415.90$ 060- 2455-064-01 CALTHORPE PETER & DRISCOLL JEAN 2095 ROSE ST 3,219.82$ 060- 2455-067-00 GORDON JOHN K & MITCHELL JANIS 2091 ROSE ST 6,044.00$ Totals Private Parcels Public / Exempt Utilities Totals Revenues $210,363.51 $0.00 $0.00 $210,363.51
Count of Properties 54 0 0 54
County Collection Fee @ 1.7%: 3,576.18$ Net Assessment Revenue: $206,787.33 Note: Data for APN, Owner and Land Use from the City's Land Management System is current as of April 2023.
Updated data from the County current as of December 31, 2022, will be available in July 2023.
FY 2024 Assessment
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Eleanor Hollander, Economic Development Manager Subject: Assessments: Downtown Berkeley Property Based Business Improvement District
RECOMMENDATION
Adopt a Resolution approving the Downtown Berkeley Property Based Business Improvement District (DPBID) Annual Report of Fiscal Year (FY) 2023 and proposed budget for FY 2024, and declaring Council’s intention to levy an annual assessment for the DPBID for FY 2024.
SUMMARY
The Downtown Berkeley Property Based Business Improvement District (DPBID, “Downtown BID” or “the District”) provides cleaning, hospitality and marketing services for Berkeley’s central business district. In May of 2016 the DPBID was geographically expanded and renewed for a ten-year period, authorizing operations through December 31, 2026, and designating the Downtown Berkeley Association (DBA) as the District’s Owners’ Association. Annually, Council must approve the DPBID’s annual report and proposed budget and declare its intention to levy an annual assessment.
The City of Berkeley owns parcels within the boundaries of the DPBID and is required by state law to pay the associated assessments. In FY24, the assessment payment will be $139,521, for 11 parcels; and $11,978 for a parcel owned by the City of Berkeley Joint Powers Authority at 2015 Addison Street. The total for twelve parcels in FY24 is $151,499. In addition, the City will pay the General Benefit portion of the DPBID costs.
The engineer’s report commissioned for the reestablishment of the Downtown BID in 2016 calculated that the general benefit for the district is $18,018 annually. In 2011, the City increased parking meter rates (see Ordinance No. 7,183-N.S.) in the Downtown area to fund payment of the general benefit fees. This amount is billed directly to the City and paid through the Off-Street Parking Fund (627-54-622-665-3002-000-474- 639990).
FISCAL IMPACTS OF RECOMMENDATION
Assessments levied in the Downtown Berkeley Property Based Business Improvement District (DPBID) support a package of improvements and activities approved by the
Assessments: CONSENT CALENDAR
Downtown Berkeley Property Based Business Improvement District May 23, 2023
property owners and the City Council when the District was renewed for a ten-year period on May 31, 2016 (Resolution No. 67,520-N.S.). Assessment funds are collected by Alameda County, relayed to the City of Berkeley, and disbursed through a contract with the Downtown Berkeley Association (DBA), a private owners’ association that was established to implement the Management District Plan. In May of 2021, the City Council authorized the City Manager to execute a contract and any amendments with the DBA, not to exceed $7,285,257 of DPBID revenues, to implement the Downtown Berkeley Management District Plan for the period July 1, 2021 to December 31, 2026 (Contract No. 32200032).
In addition, the University of California has agreed to a contribution to the DPBID of $128,326 for FY 2024. Overall the budget of the DPBID for FY 2024 is approximately $1,946,945 inclusive of taxable and non-taxable parcels and private donations, and net of the County 1.7% collection fee on private parcels. The DPBID Assessment Revenue amount articulated in Exhibit A – Annual Report ($1,858,753) is slightly different ($88,192) to account for uncollectable property tax and funds that will be carried forward from the prior year.
There are two different rates for BID
participants; the Premium Service area
(which includes the core of the BID), and
the Standard Service area which includes
the areas on the periphery of the core to
the North, West and South, and the South
Shattuck benefit zone (Figure 1).
A correction is to be issued for the
significant new Residence Inn Hotel
parcel(s) located in the Premium Service
Area, for FY23. These corrections are
reflected in Table 1 below; and will be
issued with the FY24 property tax bills
distributed by Alameda County and
processed in the same manner as all other
Downtown BID collections.
The hotel is located at 2129 and 2121
Center Street (APNs: 057- -2032-021-00
and 057- -2032-022-00) in the Premium
Zone (Figure 1) in the Downtown BID. The
two parcels where the new Downtown Hotel
is located were incorrectly assessed at the fringe (standard) rate for the Downtown BID, not the premium rate for FY23. Both parcels will be assessed at the Premium rate for FY 2023 and going forward in FY24.
Figure 1: Downtown BID Benefit Zones (DTBID
Management Plan, adopted 2016)
Assessments: CONSENT CALENDAR
Downtown Berkeley Property Based Business Improvement District May 23, 2023
Table 1: Supplemental bills for Downtown Hotel Parcels FY23 APN Previous
(incorrect)
Rate FY23
Corrected Rate
(Premium) FY23
Supplemental amount due to Downtown
BID for FY23 (to be issued by Alameda
County in FY24 with regular BID billing)
057- -2032-021-
00 $ 48,357.42 $ 77,205.86 $ 28,848.44 057- -2032-022-
00 $ 1,160.96 $ 1,853.58 $ 692.62 The assessment billing for private commercial property, including properties billed on the utility roll, less the county collection fee (approximately $27,186), is expected to be $1,571,991 in FY 2024. Annual and accrued assessment funds are deposited in the Downtown Property Based Business Improvement District (DPBID) Fund (786-21-208- 251-0000-000-000-412110) and expended from fund number 786-21-208-251-0000- 000-446-636110. These totals reflect a 2% assessment increase, as determined at the DBA Board of Directors meeting on March 23, 2023. Per the Management District Plan, an annual increase of 5% is allowable to cover inflation costs if approved by a majority of the Owners’ Association Board of Directors.
Under the provisions of Proposition 218 in the California Constitution, government agencies must pay assessments on properties they own in property-based business improvement districts, just like private property owners, unless they receive no benefit.
Payment is collected from private property owners through property tax bills near the end of the calendar year. Payments are due from non-property tax-paying entities concurrently. The City of Berkeley owns eleven parcels within the DBPID boundaries; the City’s assessment payment in FY 2024 would be $139,521 and $11,978 for a parcel owned by the City of Berkeley Joint Powers Authority at 2015 Addison Street, which is increased slightly from the FY 2023 assessment amount. The total for twelve parcels in FY24 is $151,499.
The City also pays the “general benefit” portion of the PBID budget, or roughly $18,018 for fiscal year 2024. “General benefits” represent that small portion of the overall benefits generated by a PBID which are found to accrue to the general public who are not assessed and do not participate in the economic or social activities of the district. In total, the City is responsible for a contribution of $169,517 to the DPBID in FY 2024.
This amount is billed directly to the City and paid through the Off-Street Parking Fund (627-54-622-665-3002-000-474-639990). On June 14, 2011, Council adopted Ordinance No. 7,183-N.S. increasing parking meter rates in the Downtown to fund payment of these fees.
By financing improvements, maintenance and welcoming activities for the City’s central business district, the DPBID indirectly enhances sales tax, business license tax and other business-related City revenue sources.
Assessments: CONSENT CALENDAR
Downtown Berkeley Property Based Business Improvement District May 23, 2023
CURRENT SITUATION AND ITS EFFECTS
State legislation that authorizes formation of property-based BIDs (California Streets and Highways Code, Sections 36600 et. seq.) requires that the BID governing body submit an Annual Report on operations and a budget proposal to the City Council each year. The City Council may approve the report with a Resolution to reauthorize the annual assessments.
The Board of Directors of the Downtown Berkeley Association met in a publicly noticed meeting on March 23, 2023 to review the Annual Report for the DPBID for FY 2023 and budget for FY 2024 (Exhibit A). The Board of Directors voted to recommend an increase of 2% in the assessment for FY24, and to approve the proposed budget for FY 2024 and the Annual Report for FY 2023. The Board recommended that the FY 2023 Annual Report and Proposed Budget for FY 2024 be approved by the City Council. There were no recommended changes to the DPBID boundaries nor changes to the assessment formula as established during the district renewal in 2016. Council can adopt the recommended Resolution which will confirm the DPBID assessment, and thus enable continuous BID operations for another year. Any funds in the existing DPBID contract (Contract No. 32200032) as of June 30, 2023 are to be carried forward.
BACKGROUND
The DPBID is a benefit assessment district that provides cleaning, hospitality and marketing services for Downtown Berkeley. The DPBID was created in 2011 pursuant to California’s “Property and Business Improvement District Law of 1994” to provide needed improvements and activities to assessed property owners. The DPBID was re- established and expanded by Resolution of the Berkeley City Council on May 31, 2016 (Resolution No. 67,520-N.S.) for the ten-year term beginning July 1, 2016 and ending June 30, 2026, with operations to occur over the ten-year calendar year period beginning January 1, 2017 and ending December 31, 2026.
The DPBID finances services and improvements that maintain and improve the district’s streetscape and public areas, improve the pedestrian experience for workers, visitors and residents, and attract new businesses and development. Key services include hospitality and cleaning ambassador teams, beautification projects, business attraction and retention, marketing and events. The improvements and activities that the DPBID finances to enhance Downtown Berkeley’s environment for property owners, residents, workers and visitors include:
Environmental Enhancements:
Maintenance teams sweep, scrub, and pressure wash sidewalks, remove litter and graffiti, and increase the frequency of trash removal and maintain landscaping throughout the District.
Hospitality Ambassadors provide visitor information, safety escorts, merchant outreach, liaison activities with city services, event support, homeless services
Assessments: CONSENT CALENDAR
Downtown Berkeley Property Based Business Improvement District May 23, 2023
outreach and referrals, and coordinate work with local police, businesses and property owners to prevent crime and address quality of life issues. Beautification and place-making improvements that make Downtown Berkeley more attractive, including enhanced landscaping, holiday décor, way-finding signage, trash receptacles, planters, urban design plans, bike racks, programming of BART Plaza and other public spaces.
Economic Enhancements:
Promote and support local business through providing liaison services with City staff, and attracting new businesses and investment that further the strategic goals of the Downtown.
Advance Downtown Berkeley’s evolution as a regional destination for arts, culture and entertainment.
Marketing and communications to support DPBID activities and improvements Strategies to improve the parking and transit experience to support local businesses, residents, and arts/culture/civic destinations. Leadership through research and community education to represent the Downtown community with one voice.
Due to high levels of pedestrian traffic in the core of the Downtown and the attendant need for higher levels of service there, the DPBID has three benefit zones as delineated in the 2016 District Management Plan. There is a two-tiered core service zone (known as “Premium” and “Standard”) and a third zone “South Shattuck Benefit Zone” which covers the three block 2016 expansion area along the southern portion of Shattuck Avenue.
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
By maintaining and enhancing the DPBID, the DBA creates shopping opportunities for residents and visitors alike while encouraging alternative forms of transportation. The District encompasses the area surrounding the Downtown BART Station and several AC Transit lines that provide easy accessibility for visitors coming to and from this popular regional destination. Because the District is well served by public transportation and biking infrastructure, these services indirectly support environmental sustainability goals of encouraging alternative transportation choices.
RATIONALE FOR RECOMMENDATION
Property and Business Improvement District Law of 1994 requires that the BID Board prepare an Annual Report for each fiscal year in which assessments are to be levied. Council action is required to approve the BID’s Annual Report and declare its intent to levy assessments. This private/public partnership will continue to provide significant resources for revitalization of the Downtown Core Commercial District, which has had a transformational effect on the physical and economic health of the City of Berkeley.
Assessments: CONSENT CALENDAR
Downtown Berkeley Property Based Business Improvement District May 23, 2023
ALTERNATIVE ACTIONS CONSIDERED
The DBA Board of Directors considered an increase in assessment rates, up to the allowable 5%, and as low as 0%, but instead decided on a 2% increase, determining that the slightly increased rate would sufficiently cover the slate of services outlined in the FY2024 budget and work plan.
CONTACTS
Eleanor Hollander, Office of Economic Development, (510) 981-7536 Attachments:
1. Resolution: Confirm Downtown Property Based Business Improvement District (DPBID) Annual Report and Levy Annual Assessment
Exhibit A: DPBID Annual Report for FY 2023 and Proposed Budget for FY 2024 Exhibit B: DPBID FY 2024 Assessment Roll
RESOLUTION NO. ##,###-N.S.
APPROVING THE ANNUAL REPORT OF THE DOWNTOWN PROPERTY BASED BUSINESS IMPROVEMENT DISTRICT AND LEVYING ASSESSMENTS FOR FY 2024 WHEREAS, the Property and Business Improvement District Law of 1994 as amended (California Streets and Highways Code Section 36600 et.seq.) authorizes cities, with the consent of property owners, to fund property-related improvements, maintenance and activities through the levy of assessments upon the real property that benefits from the improvements, maintenance and activities; and
WHEREAS, the City Council renewed the Downtown Property Based Business Improvement District (hereafter, “the District”) by Resolution No. 67,520 -N.S. on May 31, 2016; and
WHEREAS, the City Council has now received the Annual Report of the Downtown Property Based Business Improvement District for FY 2023 (Annual Report, attached as Exhibit A) from the Downtown Business Association, the governing body for the District, that describes the operations of the District in FY 2023, recommends services for FY 2024 and proposes a budget for FY 2024.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that pursuant to provisions of Section 36600 et. seq. of the California Streets and Highways Code, the City Council approves the Annual Report for FY 2023 and declares its intent to levy special assessments on property within the boundaries of the District for FY2024.
BE IT FURTHER RESOLVED that that the boundaries of the District and the method and basis for the assessment remain the same as those set forth and approved in the Downtown Business Improvement District Management Plan (Plan) which was made part of Resolution No. 67,520 -N.S., renewing the District.
BE IT FURTHER RESOLVED that the improvements and activities to be provided are those described in the Plan and the Annual Report and that the cost of providing the improvements and activities is as described in the budget attached to the Annual Report.
BE IT FURTHER RESOLVED that to finance these improvements and activities, the Annual Report and Budget includes a 2% increase in assessment rates. Following adoption of this resolution, the City Council may confirm the Annual Report and levy assessments for FY 2024 and confirm disbursement of DPBID assessment revenue.
Exhibits
A: DPBID Annual Report for FY 2023 and Proposed Budget for FY 2024 B: DPBID Assessment Roll FY 2024
DBA 2023 WORKPLAN & METRICS v4 3-17-23
I. ORGANIZATIONAL BACKGROUND
A. DBA MISSION
The Downtown Berkeley Association provides leadership to create and sustain a welcoming, vibrant, and prosperous city center.
B. STRATEGIC PLAN PRIORITIES (2015)
1. Make downtown safer and more welcoming with an emphasis on reducing homelessness and disruptive street behaviors
2. Improve cleaning in Downtown (particularly in light of recent drought)
3. Fill vacant storefronts and support local businesses
4. Invest in place-making, defined as both capital improvements and programming, to create better public amenities and more walkable, bikeable streets
5. Improve the parking experience for residents, visitors and employees
6. Increased advocacy with City and other agencies and stakeholders C. MANAGEMENT PLAN GOALS (2016)
1. Producing a consistently clean, welcoming, and attractive Downtown experience
2. Attracting and retaining new businesses
3. Cultivating a fun and vibrant Downtown “living room”
4. Enhancing property values, sales, and occupancies
5. Helping Downtown businesses compete locally and regionally D. MANAGEMENT PLAN SERVICES (2016)
1. Continued deployment of “Ambassador” teams to provide enhanced hospitality, cleaning and
2. landscaping throughout the district.
3. Increased energy and resources to reduce disruptive street behaviors and work with civic and social service partners to address homelessness.
4. New resources to provide enhanced cleaning that adapts to drought tolerant practices and a expanded marketing function to undertake research, communications & other related activities.
5. “Placemaking” and beautification through capital improvements and ongoing programs.
6. Continued economic enhancements supporting local businesses and attracting new investment
7. and businesses.
32 Exhibit A: Annual Report 2023 & 2024 Budget (Downtown BID)
II. 2022 ACCOMPLISHMENTS
A. Environmental Accomplishments
1. Kept Downtown clean and graffiti free compared to other Downtown districts during pandemic
2. Working with City significantly reduced number of encampments in the Downtown
3. Strategic deployment of planters to beautify Downtown and discourage encampments
B. Vitality Accomplishments
1. Successful launch of new marquee events: Front Row Festival, Roller Boogie, Asian Cultural Festival
2. Return of Coffee Kiosk to BART Plaza
C. Other Downtown Accomplishments
1. Opening of new hotel Residence Inn Berkeley
2. Reopening of Arts District
3. Opening of new apartment buildings
4. Civic Center & Harold Way planning process
III. 2023 CHALLENGES
1. Retail vacancies (see report)
2. Low pedestrian counts (still 75-80% of pre-pandemic levels)
3. Street pop behavioral health (substance abuse & mental health) and real and perceived safety issues
4. Continued challenge with homeless encampments
5. Threats of increased crime & safety issues particularly with BPD, Oakland and D.A. issues
IV. OVERALL 2023 GOALS
1. Return to pre-pandemic pedestrian levels
2. 10 successful new retail openings
3. Break ground on 3 new housing projects
4. Maintain low homeless counts
5. New sponsorship and earned revenue
V. OVERALL 2023 METRICS
1. Stakeholder satisfaction survey: Improve on 2022 results
2. Vacancy rate: 2022 11.9% --> 2023 below 10%
3. Pedestrian counts: Back to pre-pandemic levels
4. Homeless counts Maintain current counts
5. Crime rates: below 2022 levels
6. New retail openings: 10
7. New Groundbreakings: 3
33
VI. ENVIRONMENTAL PROGRAM
A. Environmental Priorities
1. Fully staffed and engaged Streetplus Team to provide base and enhanced services
2. Additional Taylor Dunn utility cart particularly better service southern end of the district
3. Increase number of planters to beautify and discourage encampments
B. Quantifiable Metrics for Operations
1. Staff Utilization Rates of 90% or better. Staff utilization rates can be measured by dividing the total number of hours worked by the total number of hours available within a given period of time. Staff Utilization Rate = (Total Number of Hours Worked / Total Number of Hours Available) x 100.
2. Unscheduled Essential Equipment Downtime of 10% or lower. A lapse in operations occurs because of an unplanned machine equipment error or disfunction. Essential equipment includes one truck, two electric utility carts, 2 string trimmers.
3. Quarterly Training. Minimum of 4 staff trainings on cleaning, safety, and/or customer service per 12-month period.
4. Quality Standards consistently met. Achieving an average of Meets Standards or above on combined quarterly Streetplus Account Evaluations.
Not feasibly quantifiable at present but could be gauged by conducting surveys:
1. Customer satisfaction
2. Response Time
3. Employee satisfaction
4. Staff Communication
5. Employee retention
Not feasibly quantifiable but included in Streetplus Account Evaluations:
1. Cleaning Quality
2. Recruitment and Selection
3. Retention
B. Add’l Environmental Metrics
1. Staffing ratio and turnover
2. Streetplus Performance Report
3. Streetplus Evaluation/Audit
4. Special projects completed
5. New planters / landscaping
34
VII.VITALITY PROGRAM
A. Vitality Goals
1. Grow marquee events
2. Engage Cal partners in Downtown
3. Drive business to merchants: Pizza Week, Taste of Downtown Berkeley, This Week in the Downtown, Bioneers/BABF, etc.
4. Focus on neglected southern end of district: murals, placemaking, retail attraction
5. Increased placemaking projects (partnership with Civic Arts Commission)
B. Vitality Metrics
Event metrics are measured in one or more of the following areas and would be based on previous years events. Metrics are gathered by the DBA when hosting events. Metrics are gathered and delivered to the DBA when partnering or supporting events.
• Post event reporting thru Placer.ai. Success will be based on previous years reporting. o Attendance
o Visit Trends: Where attendees came from and where they went after o Length of Stay
• Social media presence and engagement: Facebook, Instagram • Survey Feedback
o Survey cards available for attendees to fill out during the event. o Post Partner Survey. Issued after the event to all partners.
Marquee Event Attendance 2022 Projected Attendance 2023 Pride 800 1000
Front Row Festival 5000 6000
Roller Boogie 3,000 5,000
Asian Cultural Festival 500 1000
Halloween Hootenanny 400 500
Holiday on the Plaza 400 500
Marketing Metrics vary depending on the campaign but generally these are the metrics we use regularly:
• Email Marketing: as email opens, bounce rates, and unsubscribes/ subscribes. • Digital Marketing: Click-through rate, and impressions. • Social Media: Follower count, impressions or reach, and engagement rate. • Public Relations: positive stories about Downtown (including merchants etc.) in print, TV, and electronic media.
• Website: Total traffic, new customers, returning customers, time spent on site and traffic sources. • Content Marketing: Social media engagement, amount of content shared. • Welcome Guide print: 5000 pcs in 2023 with initial distribution in time for move-in week, Ad sales • Campaign: Over participation, Press generated, Social media engagement, Any sales • Berkeley Bucks: Cards bought, Cards redeemed
It Starts Here Enews 2022 Projected 2023
Subscribers 800 1000
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Open Rate 5000 6000
Click Rate 3,000 5,000
Social Media Platforms 2022 Projected Growth 2023
Instagram 2990 5000
Facebook 3000 4000
Downtownberkeley.com General 2022 Projected 2023
Page Views per Day 150 250
New Visitor 7% 15%
Bounce Rate 82.9% 15-20%
Stakeholder Engagement Metrics vary depending on the effort. • Merchant Enewsletter: Email opens, bounce rate, click throughs, and unsubscribes/subscribes. • Tabling (events): Email subscribes, survey feedback cards. • Partnerships: Post Survey
• Sponsorship: Dollar amount acquired
Placemaking Programs Metrics vary depending on the effort. • City Partnerships: CAC, Events, and Health and Human Services • Merchant Feedback: Annual survey, Feedback cards
36
To: DBA Finance Committee
From: John Caner
Subject: DBA 2024 Rate Increase V2
Date: March 15, 2023
A. 2024 RATE INCREASE
I am recommending 2.5% rate increase for 2024 Downtown Berkeley PBID Assessment (showing up on Oct/Nov 2023 tax bill) for the following reasons:
1. Significant inflation continuing for foreseeable future. Here is Bay Area data released earlier today:
2. Our current management plan allows for increase of up to 5% per year, but we have limited increases to 2.5% since inception of the first PBID in 2012, however with no increases in ’13, ’14, ‘20 & ‘21. With renewal in 2017 we had a catch-up increase of 10%, which I think we want to avoid in 2027 if possible.
3. As per attached Housing Pipeline Report, a number of projects now under construction should result in large boost of assessment revenue in FY2025. But then several large taller projects are still in planning phase and will not result in assessment revenue until FY2027 or later.
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4. With 2.5% rate increase and 4.0% expense increase in 2024 I am projecting a deficit of ($140,108) in 2024, which we can afford due to adequate reserves. (Deficits then level off in 2025 and 2026, with new construction assessments and continued 2.5% rate increases and 4.0% expense.)
* Includes $62,648 in past due revenue from K Street Flats (previously Library Gardens) property bought in late 2021 by California Community Housing Agency, or CalCHA.
B. DBA RESERVES
The above 3-Year Projection shows the DBA spending down reserves until the end of the PBID, before renewal is required in 2027 for another 10 years (and a number of large construction projects come on-line in 2027 and 2028.) In February 2020 I targeted a minimum working capital of approximately one-month expenses. In most businesses this would ill-advised, but with DBA I think is sufficiently prudent for the following reasons:
1. DBA assessment revenue is highly reliable. While there are occasional non-payments, the County/City/DBA eventually collects revenues through a tax lien. And even in the 2009 economic collapse and then COVID pandemic we experienced only slight decreases in non-payment.
2. DBA assessment revenue is based on square footage, not valuations, and hence is not subject to vagaries of the market.
3. DBA bills tax-exempt entities (City, UCB, BUSD, Peralta) for full 12 months (vs 6 month increments on County tax bills. These tax-exempt entities account for 18% of DBA overall budget. For example, their full payment of $368,844 for 2023, essentially includes a 50% $184,222 prepayment for second half of year.
4. We invoice from tax-exempt entities in early November and hence receive these full-year assessments in late December or early January.
5. We regularly receive from County/City rest of assessment revenue in late January or early February.
The above 3 Year Projection shows reserves/net assets dwindling to from 3.9 months of operating expenses at end of 2022, to .9 months at the end of 2026 (after $100,000 estimated consultant cost to renew PBID). If for some reason we feel our liquidity is at risk, due change of timing in cash flows, or expenses running higher or revenues lower than expected, we can pare our cost through attrition and cutbacks on programs and contractors. And with renewal we can also consider a one-time catch-up rate increase (though very much would like to avoid) as done in 2017 when we raised rates by 10% due to a couple prior years where there had been not rate increase. Also, if inflation continues at high rate we may want to consider a higher increase (up to 5% maximum) for 2025 or 2026.
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Exhibit B: DOWNTOWN BERKELEY PBID ASSESSMENT ROLL FY 2024 Prepared April 2023 for Fiscal Year 2024
APN Owner Sit e Address
Private Parcels Tax Exempt Utility Roll
057- -2016-021-01 1812 University Ave LLC 1812 UNIVERSITY AVE 5,763.90$ 057- -2059-009-00 1915 UNIVERSITY AVENUE PARTNER 1915 UNIVERSITY AVE 1,514.68$ 057- -2024-007-01 1935 ADDISON STREET LLC 1935 ADDISON ST 4,093.18$ 057- -2022-019-01 1950 ADDISON APARTMENT JOINT VENT 1950 ADDISON ST 14,812.70$ 057- -2060-001-00 1950 MLK LLC 1988 M L KING JR WAY 20,679.10$ 057- -2046-001-00 1951 SHATTUCK LLC 2108 BERKELEY WAY 8,949.40$ 057- -2053-002-00 1974 SHATTUCK AVENUE LLC 1974 SHATTUCK AVE 2,274.26$ 057- -2026-007-02 2000 CENTER STREET LLC 2175 MILVIA ST 15,701.92$ 057- -2023-013-00 2001 CENTER STREET LLC 2001 CENTER ST 10,970.94$ 057- -2029-009-00 2015 BANCROFT FEE OWNER CA LLC 2105 BANCROFT WAY 11,682.38$ 055- -1894-014-03 2025 DURANT AVENUE LLC 2025 DURANT AVE 16,090.18$ 055- -1894-015-01 2028 BANCROFT WAY LLC 2028 BANCROFT WAY 4,394.80$ 057- -2025-017-03 2054 UNIVERSITY LLC 2054 UNIVERSITY AVE 9,323.18$ 057- -2026-004-12 2068 CENTER FAMILY LIMITED PAR 2068 CENTER ST 2,181.78$ 057- -2023-001-00 2100 SHATTUCK AVE LP 2104 SHATTUCK AVE 13,475.64$ 057- -2030-001-00 2108 ALLSTON LLC 2108 ALLSTON WAY 11,047.60$ 057- -2029-013-00 2110 KITTREDGE LLC 2110 KITTREDGE ST 9,452.70$ 055- -1893-006-01 2125 DURANT AVENUE LLC 2125 DURANT AVE 377.14$ 057- -2031-011-00 2130 CENTER LLC 2130 CENTER ST 6,457.40$ 057- -2029-016-01 2176 KITTREDGE LLC 2150 KITTREDGE ST 7,237.52$ 055- -1893-005-03 2310 FULTON LLC 2310 FULTON ST 9,976.48$ 055- -1894-017-04 2322 SHATTUCK AVENUE LLC 2300 SHATTUCK AVE 19,569.36$ 055- -1896-004-00 2420 SHATTUCK AVENUE LLC 2428 SHATTUCK AVE 1,299.88$ 055- -1896-003-00 2420 SHATTUCK LLC 2420 SHATTUCK AVE 1,671.26$ 055- -1822-005-00 2524 SHATTUCK BLAKE LLC 2524 SHATTUCK AVE 1,730.16$ 057- -2024-010-02 384 PROMENADE LLC & WPG PROMEN 1936 UNIVERSITY AVE 10,210.82$ 057- -2023-014-00 440 JACKSON STREET LLC 2115 MILVIA ST 4,951.84$ 055- -1893-019-00 A T & T CO 279-1-12-6 0 DURANT AVE 16,606.42$ 055- -1893-020-00 A T & T CO 279-1-12-6 0 BANCROFT WAY 1,003.04$ 057- -2060-022-00 ACAMPORA ANTHONY & MARGARET R 1801 UNIVERSITY AVE 301 182.46$ 057- -2060-046-00 ACAMPORA ANTHONY & MARGARET R 1801 UNIVERSITY AVE 309 182.46$ 057- -2033-004-00 ADDISON BUILDING LLC 2020 KALA BAGAI WAY 6,078.92$ 057- -2022-014-01 ADDISON LLC 1912 ADDISON ST 974.22$ 057- -2060-041-00 ALBANESE ANDRES & CELINA 1801 UNIVERSITY AVE 407 182.46$ 055- -1823-011-01 ALTA BATES CORPORATION 2104 DWIGHT WAY 6,631.88$ 057- -2030-010-00 AMHERST VENTURES LLC 2231 SHATTUCK AVE 6,748.44$ 057- -2050-031-01 AMISTAD HOUSE LLC 1810 SHATTUCK AVE 5,021.62$ 055- -1821-026-00 AMPRI INVESTMENTS INC 2030 BLAKE ST C 230.62$ 055- -1821-027-00 AMPRI INVESTMENTS INC 2030 BLAKE ST B 230.14$ 057- -2024-013-00 ANDERSON AUDREY A & THOMPSON K 2099 M L KING JR WAY 2,674.92$ 057- -2028-013-00 AOCHI FUSAKO J TR 2000 KITTREDGE ST 3,576.24$ 057- -2060-050-03 AREFI EHSAN & AREFY KATRIN 1809 UNIVERSITY AVE 104.40$ 057- -2032-018-00 ARLINGTON INVESTMENT CO 134 BERKELEY SQ 1,101.20$ 057- -2049-024-00 ATKINS GEORGE C 1849 SHATTUCK AVE 404 92.12$ 057- -2059-007-00 AYYAD FRED & MONA 1929 UNIVERSITY AVE 1,428.88$ 055- -1893-013-00 BAKER EDWARD L 2327 SHATTUCK AVE 314.98$ 055- -1821-025-00 BELGROVE ANGELA M & SWINDERMAN 2030 BLAKE ST D 617.90$ 057- -2016-025-01 BERKELEY CHAMBER OF COM 1834 UNIVERSITY AVE 964.20$ 057- -2032-021-00 BERKELEY DOWNTOWN HOTEL OWNER 2121 CENTER ST 78,749.96$ 057- -2032-022-00 BERKELEY DOWNTOWN HOTEL OWNER 2129 CENTER ST 1,890.64$ 055- -1824-015-00 BERKELEY FREE MARKET LLC 2567 SHATTUCK AVE 5,320.10$ FY 2024 Assessment
Exhibit B: DOWNTOWN BERKELEY PBID ASSESSMENT ROLL FY 2024 Prepared April 2023 for Fiscal Year 2024
APN Owner Sit e Address
Private Parcels Tax Exempt Utility Roll
FY 2024 Assessment
057- -2028-011-00 BERKELEY INN LLC 2001 BANCROFT WAY 3,717.16$ 057- -2025-024-00 BERKELEY JOINT POWERS FINANCIN 2015 ADD ISON ST 11,978.34$ 057- -2029-
004-00 BERKELEY LODGE NO 270 I O O F 2288 FULTON ST 4,628.42$ 057- -2049-037-00 BERKELEY LOFTS LLC 1803 UNIVERSITY AVE 108.92$ 057- -2049-038-00 BERKELEY LOFTS LLC 1849 SHATTUCK AVE C2 309.00$ 057- -2025-005-03 BERKELEY REPERTORY THEATRE 2071 ADDISON ST 881.88$ 057- -2025-008-00 BERKELEY REPERTORY THEATRE 2025 ADDISON ST 4,206.46$ 057- -2025-023-00 BERKELEY REPERTORY THEATRE 2009 ADDISON ST 11,920.02$ 057- -2032-017-00 BERKELEY STATION PARTNERS LLC 130 BERKELEY SQ 1,324.88$ 057- -2023-021-02 BERKELEY TRADITIONAL MUSIC FOU 2026 ADDISON ST 2,143.58$ 057- -2023-021-03 BERKELEY TRADITIONAL MUSIC FOU 2020 ADDISON ST 2,349.66$ 055- -1894-007-02 BERKELEY UNIFIED SCHOOL DISTRI 2000 BANCROFT WAY 2,615.28$ 057- -2020-004-00 BERKELEY UNIFIED SCHOOL DISTRI 1980 ALLSTON WAY 3,375.40$ 057- -2020-005-03 BERKELEY UNIFIED SCHOOL DISTRI 2223 M L KING JR WAY 19,998.84$ 055- -1894-007-02 BERKELEY UNIFIED SCHOOL DISTRICT 2000 BANCROFT WAY 5,986.48$ 055- -1822-009-01 BERKELEY VQOF II SPE LLC 2035 BLAKE ST 11,372.42$ 057- -2026-015-00 BERKELEY YOUNG MENS CHRISTIAN 2001 ALLSTON WAY 19,345.86$ 057- -2032-010-00 BETTENCOURT CHARLES A & JEANNE 2109 KALA BAGAI WAY 6,869.84$ 057- -2060-023-00 BIGGS RALPH E 1801 UNIVERSITY AVE 401 182.46$ 057- -2023-004-00 BOLLIBOKKA SHATTUCK LLC 2144 SHATTUCK AVE 23,791.20$ 057- -2027-012-00 BPR PROPERTIES BERKELEY LLC 2060 ALLSTON WAY C 31,294.22$ 057- -2049-030-00 BROOKS JODY & WIGGIN ANNETTE 1849 SHATTUCK AVE 406 92.12$ 057- -2060-050-01 BROWNING ROBERT P & MAIO LINDA 1801 UNIVERSITY AVE A 101.86$ 055- -1892-001-01 BUDDHIST CHURCHES OF AMERICA 2140 DURANT AVE 3,991.00$ 057- -2022-008-00 BUTLER LARRY TR 1907 CENTER ST 1,443.24$ 057- -2023-003-00 C & V SHATTUCK LLC 2120 SHATTUCK AVE 1,654.06$ 057- -2031-009-00 C S COMPANY 2161 SHATTUCK AVE 10,907.62$ 055- -1895-041-00 CA AG LOGAN PARK PROPERTY OWNER2352 SHATTUCK AVE 24,866.88$ 055- -1895-042-00 CA AG LOGAN PARK PROPERTY OWNER2370 SHATTUCK AVE 2,677.18$ 057- -2034-007-00 CALIF STATE EMPL CR UN 2033 KALA BAGAI WAY 1,579.92$ 055- -1893-011-00 CALIFORNIA FIRST BANK 2107 DURANT AVE 1,003.04$ 055- -1893-012-00 CALIFORNIA FIRST BANK 2333 SHATTUCK AVE 4,226.94$ 057- -2060-030-00 CALOCA ROSA N 1801 UNIVERSITY AVE 204 182.46$ 057- -2029-015-00 CARLSON SUSAN TR 2138 KITTREDGE ST 2,803.54$ 057- -2023-016-01 CENTURY PROPERTIES LLC 0 MILVIA ST 1,824.70$ 057- -2030-003-00 CERFAM LLC 2134 ALLSTON WAY 2,445.64$ 055- -1891-012-00 CHAN KUM L & ANDREW TRS & CHAN 2429 SHATTUCK AVE 4,572.22$ 057- -2060-040-00 CHANG ANDY T & TERRY L ETAL 1801 UNIVERSITY AVE 307 182.46$ 057- -2032-012-00 CHENG FRANK & DOROTHY 2112 ADDISON ST 4,628.92$ 057- -2016-003-00 CHENG TE C TR 2070 M L KING JR WAY 777.56$ 057- -2060-028-00 CHUA SHIRLEY C & SUISUILYN 1801 UNIVERSITY AVE 303 182.46$ 057- -2017-016-01 CITY OF BERKELEY 2100 M L KING JR WAY 18,836.88$ 057- -2021-001-00 CITY OF BERKELEY 2180 MILVIA ST 16,331.84$ 057- -2021-002-00 CITY OF BERKELEY 0 CENTER ST 17,119.90$ 057- -2022-006-00 CITY OF BERKELEY 1947 CENTER ST 9,507.30$ 057- -2022-020-00 CITY OF BERKELEY 0 CENTER ST 4,093.04$ 057- -2023-020-03 CITY OF BERKELEY 2025 CENTER ST 45,539.34$ 057- -2028-005-00 CITY OF BERKELEY 2031 BANCROFT WAY 3,110.54$ 057- -2028-017-01 CITY OF BERKELEY 2090 KITTREDGE ST 14,104.74$ 057- -2053-022-01 CITY OF BERKELEY 0 BERKELEY WAY 2,885.84$ 057- -2118-001-00 CITY OF BERKELEY 2200 FULTON ST -$
Exhibit B: DOWNTOWN BERKELEY PBID ASSESSMENT ROLL FY 2024 Prepared April 2023 for Fiscal Year 2024
APN Owner Sit e Address
Private Parcels Tax Exempt Utility Roll
FY 2024 Assessment
057- -2119-001-00 CITY OF BERKELEY 2200 FULTON ST A 7,992.34$ 057- -2031-001-01 CORE BERKELEY OXFORD LLC 2128 OXFORD ST 5,129.22$ 057- -2031-013-00 CORE BERKELEY OXFORD LLC 2142 CENTER ST 8,855.90$ 057- -2031-014-00 CORE BERKELEY OXFORD LLC 2136 CENTER ST 2,972.24$ 057- -2060-026-00 CORR JAMES C & MICHAELS MARY F 1801 UNIVERSITY AVE 402 182.46$ 055- -1895-019-01 CPF BERKELEY VARSITY LLC 2024 DURANT AVE 10,940.24$ 055- -1822-003-02 CRESTON DEVELOPMENTS LLC 2514 SHATTUCK AVE 1,785.08$ 057- -2026-013-00 CSQ FEE ONWER CA LLC 2168 SHATTUCK AVE 13,632.20$ 057- -2023-026-00 CVBAF ACQ LLC 2055 CENTER ST 41,593.90$ 055- -1821-024-02 CYH COMPANY INC 2034 BLAKE ST 3,809.56$ 057- -2049-021-00 DANG DENNIS H 1849 SHATTUCK AVE 403 92.12$ 057- -2120-001-00 DAVID BROWER CENTER 2150 ALLSTON WAY 6,662.00$ 057- -2049-020-00 DELBONTA MATTHEW A 1849 SHATTUCK AVE 303 92.12$ 055- -1892-015-00 DURANT BERKELEY PARTNERS LP 2367 SHATTUCK AVE 1,711.34$ 055- -1892-016-00 DURANT BERKELEY PARTNERS LP 2349 SHATTUCK AVE 2,888.76$ 057- -2031-003-00 DWF VI VMG ALLSTON LLC 2161 ALLSTON WAY 11,192.00$ 055- -1893-005-03 DWF VI VMG STADIUM LLC 2310 FULTON ST 10,225.86$ 055- -1890-012-01 DWIGHT WAY RESIDENTIAL PROPERTY 2107 DWIGHT WAY 12,559.40$ 057- -2024-004-00 EAST BAY MEDIA CENTER 1939 ADDISON ST 595.64$ 057- -2024-008-01 EAST END INVESTORS GROUP INC 1950 UNIVERSITY AVE 4,098.70$ 055- -1892-013-01 EASTBOROUGH PROPERTIES LP 2399 SHATTUCK AVE 5,279.82$ 057- -2030-009-00 FERROGGIARO MARY J TR & WISE A 2115 KITTREDGE ST 6,942.32$ 057- -2053-003-01 FIFTH KEIL CO 1998 SHATTUCK AVE $ 5,160.18 057- -2053-003-02 FIFTH KEIL CO 1984 SHATTUCK AVE 1,116.78$ 055- -1894-006-00 FIGUEROA XAVIER & JOSEFINA J 2017 DURANT AVE 974.12$ 057- -2022-003-01 FIRST MILVIA LLC 2108 MILVIA ST 1,093.96$ 057- -2022-017-01 FIRST MILVIA LLC 2100 MILVIA ST 13,983.84$ 057- -2026-002-01 FIRST SHATTUCK LLC 2150 SHATTUCK AVE 46,576.18$ 057- -2026-005-01 FIRST SHATTUCK LLC 2043 ALLSTON WAY 5,594.66$ 057- -2026-012-03 FIRST SHATTUCK LLC 2052 CENTER ST 31,302.26$ 057- -2028-002-00 FU JIHWA & JI H TRS 2270 SHATTUCK AVE 2,171.48$ 055- -1896-002-00 FUJIKAWA MARK A & GEORGIA 2414 SHATTUCK AVE 365.64$ 057- -2049-040-00 GEDR HILLSIDE LLC 2102 DELAWARE ST 5,524.42$ 055- -1895-015-01 GENIRBERG SIBLINGS LLC 2000 DURANT AVE 4,716.38$ 057- -2049-022-00 GIEBELER PERSIS A 1849 SHATTUCK AVE 204 92.12$ 057- -2049-026-00 GILMOUR SUSAN R & THOMAS S 1849 SHATTUCK AVE 305 92.12$ 055- -1896-004-00 GIOTINIS MICHAEL C & ATHIA M T 2428 SHATTUCK AVE 1,268.18$ 057- -2025-004-00 GLYNN EDITH W TR 2020 SHATTUCK AVE 3,002.78$ 057- -2053-004-02 GLYNN EDITH W TR 2071 UNIVERSITY AVE 2,664.28$ 057- -2034-009-00 GOLDEN CA PROPERTY 1 LLC 2017 KALA BAGAI WAY 1,788.26$ 055- -1892-014-00 GORDON JOHN K & MITCHELL JANIS 2375 SHATTUCK AVE 838.40$ 055- -1897-006-00 GORDON JOHN K & MITCHELL JANIS 2450 SHATTUCK AVE 4,328.50$ 057- -2024-021-01 GORDON JOHN K & MITCHELL JANIS 1952 UNIVERSITY AVE 4,488.58$ 057- -2025-005-02 GORDON JOHN K & MITCHELL JANIS 2024 SHATTUCK AVE 5,909.04$ 057- -2025-019-00 GORDON JOHN K & MITCHELL JANIS 2058 UNIVERSITY AVE 2,377.12$ 057- -2025-022-00 GORDON JOHN K & MITCHELL JANIS 2014 SHATTUCK AVE 1,654.06$ 057- -2029-011-00 GORDON JOHN K & MITCHELL JANIS 2277 SHATTUCK AVE 2,325.54$ 057- -2030-011-00 GORDON JOHN K & MITCHELL JANIS 2225 SHATTUCK AVE 1,076.34$ 057- -2025-006-00 GORDON JOHN K & MITCHELL JANIS 2036 SHATTUCK AVE 8,670.70$ 057- -2049-029-00 GOTTLIEB SHARONA D 1849 SHATTUCK AVE 306 92.12$ 057- -2028-014-02 GRANITE LIBRARY GARDENS LP 2022 KITTREDGE ST 45,399.26$
Exhibit B: DOWNTOWN BERKELEY PBID ASSESSMENT ROLL FY 2024 Prepared April 2023 for Fiscal Year 2024
APN Owner Sit e Address
Private Parcels Tax Exempt Utility Roll
FY 2024 Assessment
057- -2024-015-03 GREENLINING INSTITUTE 1916 UNIVERSITY AVE 2,434.64$ 057- -2029-012-00 H DRAKE CORPORATION 2271 SHATTUCK AVE 2,568.28$ 055- -1821-028-00 HA YANGWON K 2030 BLAKE ST A 254.96$ 057- -2016-027-02 HADJIAN SIMIN & PAYVAND ETAL 1840 UNIVERSITY AVE 3,361.44$ 057- -2060-036-00 HAMMOND LUCIA 1801 UNIVERSITY AVE 206 182.46$ 057- -2059-006-00 HAN CHANG S & YOON J 1941 UNIVERSITY AVE 1,882.68$ 057- -2060-043-00 HART ELIZABETH 1801 UNIVERSITY AVE 308 182.46$ 057- -2027-002-02 HEAD LAMA TIBETAN NYINGMA MEDI 2210 HAROLD WAY 1,759.20$ 057- -2027-002-03 HEAD LAMA TIBETAN NYINGMA MEDI 2018 ALLSTON WAY 5,891.42$ 057- -2027-004-00 HEAD LAMA TIBETAN NYINGMAPA ME 2222 HAROLD WAY 14,073.92$ 057- -2060-037-00 HERNANDEZ KARYN L 1801 UNIVERSITY AVE 306 182.46$ 057- -2034-006-00 HIGHWAY 61 2037 SHATTUCK AVE 7,488.94$ 057- -2031-006-00 HIRAHARA FAMILY LIMITED PARTNE 2187 SHATTUCK AVE 5,664.30$ 057- -2025-002-00 HO MENG H & SHIN J TRS & HO MI 2008 SHATTUCK AVE 4,980.74$ 057- -2027-010-00 HSR BERKELEY INVESTMENTS LLC 2060 ALLSTON WAY A 31,666.14$ 057- -2027-011-00 HSR BERKELEY INVESTMENTS LLC 2070 ALLSTON WAY 11,200.38$ 057- -2049-015-00 HU VICTORIA L 1849 SHATTUCK AVE 401 92.12$ 057- -2059-010-00 HULTGREN ROBERT P & SUSAN S TR 1909 UNIVERSITY AVE 1,520.82$ 057- -2049-019-00 HUYNH MATTHEW & REGINA TRS 1849 SHATTUCK AVE 203 92.12$ 057- -2032-015-00 JANTA REALTY INC & BATRA MANJU 2100 KALA BAGAI WAY 1,564.86$ 055- -1894-002-00 JINDO VENTURES LLC 2037 DURANT AVE 4,042.98$ 057- -2053-001-00 JLLJAR LLC 1950 SHATTUCK AVE $ 3,410.40 055- -1821-003-00 JOHNSTON STEWART L 2558 SHATTUCK AVE 1,887.70$ 055- -1821-004-00 JOHNSTON STEWART L 2576 SHATTUCK AVE 1,085.44$ 057- -2049-023-00 KALOFONOS ANGELIKI & MARIA S 1849 SHATTUCK AVE 304 92.12$ 057- -2025-016-00 KAM YIU LAM & SHUN TO LO LAM L 2042 UNIVERSITY AVE 3,647.94$ 057- -2032-011-00 KAMENY HARVEY TR 2101 KALA BAGAI WAY 4,129.62$ 057- -2060-006-00 KAMI BARRY G & CATHY J TRS 1813 UNIVERSITY AVE 2,127.90$ 057- -2060-004-00 KANG BU U & JEONG H ETAL 1823 UNIVERSITY AVE 1,653.80$ 057- -2060-005-00 KANG BU U & JEONG H ETAL 1821 UNIVERSITY AVE 1,316.66$ 057- -2030-008-00 KAO ROGER Y 2117 KITTREDGE ST 2,533.60$ 057- -2032-019-00 KAPLAN EDUCATIONAL CENTERS INC 2144 KALA BAGAI WAY 3,885.60$ 057- -2031-002-00 KASHANI NASSER & PAMELA L TRS 2171 ALLSTON WAY 9,787.38$ 057- -2025-012-00 KASHEF M M & KATHERINE TRS 2001 MILVIA ST 415.22$ 057- -2025-013-00 KASHEF M MEHDI & KATHERINE TRS 2000 UNIVERSITY AVE 1,242.84$ 057- -2060-031-00 KEAS MABEL E 1801 UNIVERSITY AVE 304 182.46$ 057- -2060-044-00 KEHRET JOSEPH G 1801 UNIVERSITY AVE 408 182.46$ 057- -2060-050-05 KENNEDY PATRICK C & JULIE M TR 1809 UNIVERSITY AVE 99.98$ 057- -2060-050-06 KENNEDY PATRICK C & JULIE M TR 1807 UNIVERSITY AVE 106.72$ 057- -2060-050-07 KENNEDY PATRICK C & JULIE TRS 1807 UNIVERSITY AVE A 31.64$ 057- -2049-034-00 KHO ERIC L 1849 SHATTUCK AVE 208 92.12$ 057- -2053-005-00 KL2067 UNIVERSITY LLC 2067 UNIVERSITY AVE 7,256.10$ 057- -2060-003-00 KLATT PETER & JOAN C TRS 1849 UNIVERSITY AVE 1,973.82$ 057- -2030-012-00 KOOYMAN STEVEN P & SUSAN J 2219 SHATTUCK AVE 2,515.02$ 057- -2049-016-00 LAI ROGER Y 1849 SHATTUCK AVE 202 92.12$ 055- -1896-005-00 LAIR QOZB LLC 2440 SHATTUCK AVE 2,741.40$ 055- -1893-015-01 LAKIREDDY PRASAD R & SANTI 2323 SHATTUCK AVE 3,104.32$ 057- -2024-018-01 LAKIREDDY PRASAD R & SANTI 1942 UNIVERSITY AVE 5,561.42$ 055- -1897-002-00 LAKIREDDY PRASAD R & SANTI & H 2484 SHATTUCK AVE 9,061.20$ 057- -2059-008-00 LAM PAULINE P ETAL 1921 UNIVERSITY AVE 1,253.72$ 057- -2023-012-00 LANGUAGE STUDIES INC 2015 CENTER ST 4,394.48$
Exhibit B: DOWNTOWN BERKELEY PBID ASSESSMENT ROLL FY 2024 Prepared April 2023 for Fiscal Year 2024
APN Owner Sit e Address
Private Parcels Tax Exempt Utility Roll
FY 2024 Assessment
057- -2025-001-00 LAUSON LLC 2000 SHATTUCK AVE 6,840.10$ 057- -2024-011-00 LEE SANG H & CHUNG EUNJUNG 1915 ADDISON ST 2,077.52$ 057- -2049-017-00 LHAKEY PEMA 1849 SHATTUCK AVE 302 92.12$ 055- -1894-016-00 LI JULIAN J & SOPHIA Y 2030 BANCROFT WAY 1,179.38$ 057- -2060-024-00 LIN DIANA M TR 1801 UNIVERSITY AVE 202 182.46$ 057- -2034-011-00 LIU JIM K 2138 UNIVERSITY AVE 2,763.80$ 057- -2049-014-00 LLOYD BENJAMIN & JULIE K ET AL 1849 SHATTUCK AVE 301 92.12$ 057- -2034-010-00 LORI BCA 2120 L P 2015 KALA BAGAI WAY 15,821.52$ 057- -2060-032-00 LYON DAVID 1801 UNIVERSITY AVE 404 182.46$ 057- -2031-004-00 MAGNES MUSEUM FOUNDATION 2121 ALLSTON WAY 11,514.38$ 057- -2053-012-00 MAHRAT ABDULCHAFFAR & REEM 1949 MILVIA ST 2,731.28$ 057- -2025-010-01 MAIA HOLDINGS LLC, COLLIERS INTERNA2001 ADDISON ST 11,119.22$ 057- -2060-034-00 MAK KWAN & LISHAN 1801 UNIVERSITY AVE 305 182.46$ 057- -2050-005-00 MALIN ROBERT O INC 1848 SHATTUCK AVE 1,280.00$ 057- -2060-025-00 MAO YULI 1801 UNIVERSITY AVE 302 182.46$ 057- -2031-005-00 MARTIN DAVID J & MARILYN R TRS 2115 ALLSTON WAY 2,260.20$ 057- -2031-007-00 MARTIN DAVID J & MARILYN R TRS 2181 SHATTUCK AVE 2,568.04$ 057- -2031-008-00 MARTIN DAVID J & MARILYN R TRS 2171 SHATTUCK AVE 4,445.22$ 057- -2051-004-00 MARTIN DAVID J & MARILYN R TRS 1920 SHATTUCK AVE 991.78$ 057- -2051-053-00 MARTIN REID & JOHN 1912 SHATTUCK AVE $ 771.98 057- -2046-011-01 MCREF ACHENSON LLC 1987 SHATTUCK AVE 17,375.62$ 057- -2046-008-04 MCREF ACHENSON LLC 2125 UNIVERSITY AVE 38,775.86$ 057- -2046-009-00 MCREF BACHENHEIMER LLC 2119 UNIVERSITY AVE 11,656.26$ 057- -2049-036-00 MEJIA CESAR A 1849 SHATTUCK AVE 408 92.12$ 057- -2034-008-00 MEVLANARUMI LLC 2025 KALA BAGAI WAY 1,828.20$ 055- -1822-002-01 MMP CHESTNUT LLC 2506 SHATTUCK AVE 1,273.22$ 057- -2033-001-01 MO SHATTUCK LLC 2000 KALA BAGAI WAY 8,667.56$ 057- -2016-002-00 MOAVEN SAGHI 2054 M L KING JR WAY 354.00$ 057- -2051-006-01 MORAN EVERETT S JR & CATHARINE 1936 SHATTUCK AVE 2,350.00$ 055- -1821-001-01 NATURAL GREEN CORPORATION 2550 SHATTUCK AVE 4,416.32$ 057- -2051-005-00 NINETEEN HUNDRED TWENTY SIX SH 1926 SHATTUCK AVE 957.48$ 057- -2049-031-00 NIRAMOL CHITRCHARATN 2016 LIVING T 1849 SHATTUCK AVE 207 92.12$ 057- -2049-032-00 NISEN FREDERICK P 1849 SHATTUCK AVE 307 92.12$ 057- -2024-014-00 NORCAL PROPERTIES LLC 1900 UNIVERSITY AVE 3,907.98$ 057- -2016-024-01 OHAY PHILIP L & BARBARA L TRS 1824 UNIVERSITY AVE 3,270.76$ 057- -2060-047-00 OLSON JAMES R 1801 UNIVERSITY AVE 409 182.46$ 057- -2120-002-00 OXFORD COMMERCIAL LLC 2200 OXFORD ST 3,885.00$ 057- -2121-001-00 OXFORD PLAZA LP 2175 KITTREDGE ST 17,154.08$ 057- -2016-018-01 P P M&B BERKELEY LLC 1800 UNIVERSITY AVE 2,674.38$ 055- -1893-019-00 P T & T CO 279-1-12-6 0 DURANT AVE 17,362.00$ 055- -1893-020-00 P T & T CO 279-1-1-4 0 BANCROFT WAY 1,048.68$ 055- -1820-001-01 PARKERSHATTUCK OWNER LLC 2600 SHATTUCK AVE 13,853.98$ 055- -1821-005-00 PARKERSHATTUCK OWNER LLC 2598 SHATTUCK AVE 1,219.88$ 057- -2028-004-00 PASAND COURTYARD LLC 2276 SHATTUCK AVE 11,697.20$ 057- -2060-048-00 PATHMARAJAH CANAGARATNAM TR 1801 UNIVERSITY AVE 210 182.46$ 057- -2029-014-00 PELEG YORAM & BARBARA L 2124 KITTREDGE ST 3,100.78$ 057- -2022-005-01 PERALTA COMMUNITY COLLEGE DIST 2118 MILVIA ST 5,862.20$ 057- -2026-010-00 PERALTA COMMUNITY COLLEGE DIST 2016 CENTER ST 1,373.30$ 057- -2026-014-00 PERALTA COMMUNITY COLLEGE DIST 2048 CENTER ST 26,048.58$ 055- -1894-003-01 PERSIAN CENTER 2029 DURANT AVE 994.64$ 057- -2026-004-05 PR III SHATTUCK LLC 2190 SHATTUCK AVE 18,684.30$
Exhibit B: DOWNTOWN BERKELEY PBID ASSESSMENT ROLL FY 2024 Prepared April 2023 for Fiscal Year 2024
APN Owner Sit e Address
Private Parcels Tax Exempt Utility Roll
FY 2024 Assessment
057- -2053-006-00 REDDY HANUMANDLA J & HANUMANDL 2057 UNIVERSITY AVE 6,043.24$ 057- -2025-021-00 REDDY HANUMANDLA R & HANUMANDL 2066 UNIVERSITY AVE 6,385.86$ 057- -2046-002-00 REGENCY 2120 BERKELEY WAY LLC 2120 BERKELEY WAY 8,709.00$ 055- -1891-014-01 REGENTS OF THE UNIVERSITY OF C 2401 SHATTUCK AVE 6,583.88$ 057- -2029-007-02 REGENTS OF THE UNIVERSITY OF C 2113 BANCROFT WAY 4,588.58$ 057- -2047-004-00 REGENTS OF THE UNIVERSITY OF C 1900 OXFORD ST 45,147.50$ 057- -2032-014-01 REGENTS OF THE UNIVERSITY OF C 2120 OXFORD ST 14,345.16$ 057- -2034-003-00 REGENTS OF THE UNIVERSITY OF C 0 ADDISON ST 777.50$ 057- -2034-004-00 REGENTS OF THE UNIVERSITY OF C 2123 ADDISON ST 257.48$ 057- -2034-012-00 REGENTS OF THE UNIVERSITY OF C 2154 UNIVERSITY AVE 4,273.80$ 057- -2034-014-02 REGENTS OF THE UNIVERSITY OF C 2199 ADDISON ST 70.58$ 057- -2034-014-03 REGENTS OF THE UNIVERSITY OF C 2199 ADDISON ST 28,335.68$ 057- -2045-002-00 REGENTS OF THE UNIVERSITY OF C 1952 OXFORD ST 2,085.34$ 057- -2045-003-00 REGENTS OF THE UNIVERSITY OF C 1990 OXFORD ST 898.76$ 057- -2045-006-00 REGENTS OF THE UNIVERSITY OF C 1925 WALNUT ST 406.12$ 057- -2045-001-00 REGENTS OF THE UNIVERSITY OF CALIF1921 WALNUT ST 654.38$ 057- -2045-005-00 REGENTS OF THE UNIVERSITY OF CALIF1933 WALNUT ST 162.56$ 057- -2054-012-01 REGENTS OF UNIVERSITY CALIFORN 1995 UNIVERSITY AVE 17,108.02$ 057- -2045-004-00 REGENTS UNIVERSITY OF CALIFORN 2161 UNIVERSITY AVE 2,631.64$ 057- -2023-023-00 RILCO ADDISON LLC 2030 ADDISON ST 11,413.48$ 057- -2023-024-00 RILCO ADDISON LLC 2040 ADDISON ST 4,895.32$ 057- -2023-025-00 RUEGG & ELLSWORTH 2072 ADDISON ST 2,635.06$ 057- -2049-033-00 RYU DAVID J & WU CHRISTINA L 1849 SHATTUCK AVE 407 92.12$ 055- -1895-018-01 SATELLITE FIRST COMMUNITIES L 2020 DURANT AVE 2,841.24$ 055- -1896-003-00 SCHIPANI ANNA A 2420 SHATTUCK AVE 1,467.92$ 057- -2049-028-00 SCHIRLE ANN M 1849 SHATTUCK AVE 206 92.12$ 055- -1893-016-00 SEGERBERG KENNETH TRUST 2301 SHATTUCK AVE 2,287.76$ 057- -2024-016-02 SEVERY MICHELLE A TR & AARONIA 1926 UNIVERSITY AVE 610.76$ 057- -2022-009-02 SHAMSZAD SASHA G & MERIDETH B 2105 M L KING JR WAY 2,660.84$ 057- -2022-013-04 SHAMSZAD SASHA G & MERIDETH B 1900 ADDISON ST 4,031.16$ 057- -2024-002-02 SHAMSZAD SASHA G & MERIDETH B 2020 MILVIA ST 8,986.24$ 057- -2033-003-00 SHAMSZAD SASHA G & MERIDETH B 2021 SHATTUCK AVE 6,861.96$ 055- -1891-013-01 SHATTUCK SENIOR HOMES ASSOCIAT 2421 SHATTUCK AVE 1,513.20$ 055- -1897-001-03 SHATTUCK WICKS PARTNERSHIP LTD 2480 SHATTUCK AVE 2,803.44$ 055- -1822-006-00 SHEN TSUI Y & WU YEU B 2530 SHATTUCK AVE 1,636.80$ 057- -2060-038-00 SHOJI JOSEPH 1801 UNIVERSITY AVE 406 182.46$ 057- -2016-022-00 SHREE LAXMI LLC 1822 UNIVERSITY AVE 3,604.14$ 057- -2053-014-02 SHRIMATIS LIMITED INC 2011 UNIVERSITY AVE 2,259.94$ 057- -2060-045-00 SIKAFFY AMAL 1801 UNIVERSITY AVE 209 182.46$ 057- -2049-013-00 SONG JIA Y 1849 SHATTUCK AVE 201 92.12$ 055- -1824-016-00 SOUTHWICK TIMOTHY K & SUSAN E 2555 SHATTUCK AVE 1,348.32$ 055- -1892-018-01 SOUTHWICK TIMOTHY K & SUSAN E 2110 DURANT AVE 3,069.30$ 055- -1896-001-00 SOUTHWICK TIMOTHY K & SUSAN E 2410 SHATTUCK AVE 3,498.22$ 057- -2060-002-00 SOUTHWICK TIMOTHY SR & SUSAN T 1865 UNIVERSITY AVE 2,957.54$ 057- -2032-016-00 SPITZER NORMAN S & MARY J TRS 2115 SHATTUCK AVE 1,523.14$ 057- -2023-017-01 STERLING BERKELEY ADDISON L P 2101 MILVIA ST 3,789.12$ 057- -2030-002-00 STERLING BERKELEY ALLSTON LP 2116 ALLSTON WAY 18,794.92$ 055- -1890-013-02 STERLING BERKELEY HASTE LP 2451 SHATTUCK AVE 13,193.34$ 057- -2047-002-01 STERLING BERKELEY OXFORD LP 1910 OXFORD ST 5,736.98$ 057- -2025-014-00 STERLING BERKELEY UNIVERSITY AVE L2004 UNIVERSITY AVE 7,229.46$ 057- -2024-001-02 STONEFIRE PARTNERS LLC 1974 UNIVERSITY AVE 15,908.46$
Exhibit B: DOWNTOWN BERKELEY PBID ASSESSMENT ROLL FY 2024 Prepared April 2023 for Fiscal Year 2024
APN Owner Sit e Address
Private Parcels Tax Exempt Utility Roll
FY 2024 Assessment
057- -2049-035-00 SU FU & CHUANG C ETAL 1849 SHATTUCK AVE 308 92.12$ 055- -1823-011-01 SUTTER BAY HOSPITALS 2104 DWIGHT WAY 6,797.66$ 057- -2060-035-00 SWANSON LINDA L 1801 UNIVERSITY AVE 405 182.46$ 057- -2049-025-00 SWEENEY ZEPHYR & DENNIS A 1849 SHATTUCK AVE 205 92.12$ 057- -2060-042-00 SZABO MARSHIKA L 1801 UNIVERSITY AVE 208 182.46$ 055- -1896-005-00 T J WHITTEN FAMILY LLC 2440 SHATTUCK AVE 2,674.54$ 057- -2053-008-01 TALAI MOHAMMAD E & KOKAB S TRS 2035 UNIVERSITY AVE 5,539.64$ 057- -2060-033-00 TAVAKOLIZADEH MEHDI 1801 UNIVERSITY AVE 205 182.46$ 055- -1824-014-00 THALLAUG KIRSTEN L & THALLAUG TR 2105 PARKER ST 4,075.70$ 057- -2060-027-00 THEVANAYAGAM SABANAYAGAM & VAS 1801 UNIVERSITY AVE 203 182.46$ 057- -2060-049-00 THOMAS HERB TR 1801 UNIVERSITY AVE 310 182.46$ 057- -2049-018-00 TIPHANE GUY TR 1849 SHATTUCK AVE 402 92.12$ 057- -2051-051- 00 TIPPING STEVEN B & ZENIADA L T 1900 SHATTUCK AVE $ 1,963.92 057- -2051-052-00 TIPPING STEVEN B & ZENIADA L T 1908 SHATTUCK AVE $ 995.78 057- -2053-007-00 TRILINK REAL ESTATE INVESTMENT 2041 UNIVERSITY AVE 7,646.52$ 057- -2025-015-00 U C STUDIOS LLC 2018 UNIVERSITY AVE 12,851.30$ 057- -20270-05-00 UNITED STATES POSTAL SERVICE 0 MILVIA ST 12,258.02$ 055- -1825-015-02 VALIYEE REZA 2621 SHATTUCK AVE 7,605.86$ 055- -1825-019-00 VALIYEE REZA 2609 SHATTUCK AVE 3,383.14$ 057- -2024-012-00 VEDENSKY PROPERTIES LLC 1911 ADDISON ST 2,663.84$ 055- -1893-007-01 VERO PROPERTIES LLC 2124 BANCROFT WAY 7,150.32$ 055- -1893-018-00 VERO PROPERTIES LLC 2126 BANCROFT WAY 1,003.34$ 057- -2051-007-00 VINLAND PROPERTY INVETMENT LL 2053 BERKELEY WAY 1,252.32$ 057- -2028-003-00 WADE WILLIAM J TR 2274 SHATTUCK AVE 14,458.72$ 057- -2060-039-00 WAGELE NICHOLAS 1801 UNIVERSITY AVE 207 182.46$ 057- -2028-012-00 WANDER ROBERT H & INGRID 2235 MILVIA ST 662.52$ 055- -1822-001-00 WONG FRANKLIN & PUI T ET AL 2500 SHATTUCK AVE 1,752.24$ 057- -2060-029-00 WONG MEI L & KUOCHEN 1801 UNIVERSITY AVE 403 182.46$ 057- -2031-010-00 WU SHU F TR 2124 CENTER ST 3,506.64$ 057- -2049-027-00 YANG JUDY C TR & YANG LUCINDA 1849 SHATTUCK AVE 405 92.12$ 057- -2034-005-00 YANIV GERSHON & RACHEL D ETAL 2119 ADDISON ST 5,409.94$ 057- -2059-011-00 YEARWOOD INES L & KHALIL & ROD 1901 UNIVERSITY AVE 1,567.42$ 057- -2053-011-00 YEE DAVID 2017 UNIVERSITY AVE 3,474.20$ 057- -2060-021-00 YEH JENG R & YANG CHINGMEI 1801 UNIVERSITY AVE 201 182.46$ 057- -2029-010-02 YOUNG JAMES C & EDDIE JR 2281 SHATTUCK AVE 979.08$ 057- -2029-010-01 YOUNG JAMES C & YOUNG EDDIE JR 2283 SHATTUCK AVE 733.30$ 057- -2022-018-00 YOUNG MENS CHRISTIAN ASSOCIATION 2109 M L KING JR WAY 1,914.20$ 055- -1893-001-00 YU CHING H & INN N TRS 2190 BANCROFT WAY 2,068.88$ 055- -1893-001-00 YU INN N TRS 2190 BANCROFT WAY 2,120.58$ 055- -1822-004-00 YU WAH Y & RUICHAN 2520 SHATTUCK AVE 755.54$ 057- -2023-002-00 ZAC ENTERPRISE LLC 2116 SHATTUCK AVE 1,956.92$ TOTAL: 1,599,177.08$ 357,345.18$ 17,609.46$
Total Count of Properties 347 309 36 2
County Fee @1.7% (on Private Parcels): 27,186.01$
Net Assessment Revenue (Private Parcels): 1,571,991.07$ Total Assessment Revenue: $1,946,945.71
Total Assessment Revenue: $1,946,946
Note:
Data for APN, Owner, and Land Use from the City's Land Management System is current as of April 17, 2023.
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Eleanor Hollander, Economic Development Manager Subject: Contracts: On-Call Fine Art Services Providers for the Public Art Collection
RECOMMENDATION
Adopt four Resolutions authorizing the City Manager to execute contracts and any amendments with the following companies for on-call fine art services for the City of Berkeley’s Public Art Collection, for contract periods of July 1, 2023 through June 30, 2026:
1. Atthowe Fine Art Services, for an amount not to exceed $200,000.
2. Kala Art Institute, for an amount not to exceed $100,000.
3. Preservation Arts LLC, for an amount not to exceed $200,000.
4. ShipArt International (DBA UOVO), for an amount not to exceed $100,000.
FISCAL IMPACTS OF RECOMMENDATION
Initial funding ($400,000) for the on-call Fine Art Service Provider contracts is available in the Fiscal Year 2024 budget, from the Cultural Trust Fund, fund number: 148-21-208- 252-0000-000-446-612990. Funding for the remaining $200,000 of contracted work in Fiscal Years 2025 & 2026 is subject to Civic Arts Commission approval of the annual budget(s) and will be identified in advance as projects in need of the services of these contractors arise.
CURRENT SITUATION AND ITS EFFECTS
The City of Berkeley’s Public Art Collection comprises approximately 50 outdoor, permanently-sited artworks including sculpture, architectural design elements, mosaics, tile artworks, and murals. It also includes over 50 portable artworks such as etchings, paintings, textiles and prints displayed in City buildings. The Civic Arts Program is charged with the maintenance and conservation of the existing collection, as well as the acquisition of new artworks through the public art commissioning process.
Many consulting services are needed to carry out this work on an ongoing basis. This includes specialized artwork conservation, storage, fabrication, framing, transportation, installation, audio/visual services, and documentation. It also includes curatorial, project
Contracts: As-Needed Fine Arts Services Providers CONSENT CALENDAR May 23, 2023
management and registrar services specific to the field of public art. As the Civic Arts Program continues to expand its capacity to deliver more public artwork to the City while continuing to care for the existing collection, the demand for these services has increased.
BACKGROUND
On February 24, 2021, Civic Arts Program staff issued Request for Qualifications (RFQ) Specification No. 21-11438-C, for a Prequalified Pool of Fine Art Services Providers.
The following services were included in the RFQ:
A. Contractors to install and de-install large-scale works of public art B. Fine Art Conservators
C. Art Care Technicians, Audio Visual Technicians, and Artwork Preparators D. Fine Art Transportation and Storage
E. Art Photography, Videography, Graphic Design, Computer Aided Design (CAD) for Artwork Placement Renderings, Digital Imaging, and Sign Makers F. Fine Art Framing Services
G. Fine Art Fabrication
H. Public Art Curation and Project Management
I. Art Collection Registrar Services
A panel comprised of City staff and an outside arts professional evaluated and scored 30 applicants to establish a prequalified pool of contractors that met the requirements for each service category.
Over the next three Fiscal Years (FY2024, FY2025 and FY2026), the Civic Arts Program anticipates it will require a large volume of services listed in the RFQ. The prequalified service providers with the highest scores and services that most fit the upcoming needs of the Civic Arts Program have been determined by to be: Atthowe Fine Art Services; Kala Art Institute; Preservation Arts LLC; and ShipArt International (DBA UOVO).
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
There are no identifiable environmental effects, climate impacts, or sustainability opportunities associated with the subject of this report.
RATIONALE FOR RECOMMENDATION
The teams assembled by Atthowe Fine Art Services, Kala Art Institute, Preservation Arts LLC, and ShipArt International (DBA UOVO) are highly qualified. They have particular expertise in: artwork conservation; artwork storage; artwork fabrication;
Contracts: As-Needed Fine Arts Services Providers CONSENT CALENDAR May 23, 2023
artwork framing; artwork transportation; artwork installation; audio/visual services; artwork documentation; curatorial services; project management; and registrar services.
ALTERNATIVE ACTIONS CONSIDERED
There were no alternative actions considered.
CONTACT PERSON
Zoe Taleporos, Office of Economic Development, (510) 981-7538 Attachments:
1: Resolution for contract with Atthowe Fine Art Services 2: Resolution for contract with Kala Art Institute
3: Resolution for contract with Preservation Arts LLC
4: Resolution for contract with ShipArt International (DBA UOVO) 5: Request for Qualifications (RFQ) Specification No. 21-11438-C: FOR
PRE-QUALIFIED POOL OF FINE ART SERVICES PROVIDERS
6: RFQ Panel Summary – (2021) Fine Art Services Providers
RESOLUTION NO. ##,###-N.S.
CONTRACT: ATTHOWE FINE ART SERVICES FOR ON-CALL FINE ART SERVICES WHEREAS, The City of Berkeley’s Arts and Culture Plan calls for the enhancement of Berkeley’s environment by placing temporary and permanent public art in public spaces throughout the city; and
WHEREAS, The City of Berkeley’s Civic Arts Program issued Request for Qualifications Specification No. 21-11438-C, and established a Prequalified Pool of Fine Art Service Providers that includes Atthowe Fine Art Services; and
WHEREAS, Funding will be identified and requested for appropriation as projects arise.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to execute a contract and any amendments thereto with Atthowe Fine Art Services for on-call fine art services for the contract period of July 1, 2023 through June 30, 2026 in an amount not to exceed $200,000. A record signature copy of said contract and any amendments are to be on file in the Office of the City Clerk.
RESOLUTION NO. ##,###-N.S.
CONTRACT: KALA ART INSTITUTE FOR ON-CALL FINE ART SERVICES WHEREAS, The City of Berkeley’s Arts and Culture Plan calls for the enhancement of Berkeley’s environment by placing temporary and permanent public art in public spaces throughout the city; and
WHEREAS, The City of Berkeley’s Civic Arts Program issued Request for Qualifications Specification No. 21-11438-C, and established a Prequalified Pool of Fine Art Service Providers that includes Kala Art Institute; and
WHEREAS, Funding will be identified and requested for appropriation as projects arise.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to execute a contract and any amendments thereto with Kala Art Institute for on-call fine art services for the contract period of July 1, 2023 through June 30, 2026 in an amount not to exceed $100,000. A record signature copy of said contract and any amendments are to be on file in the Office of the City Clerk.
RESOLUTION NO. ##,###-N.S.
CONTRACT: PRESERVATION ARTS LLC FOR ON-CALL FINE ART SERVICES WHEREAS, The City of Berkeley’s Arts and Culture Plan calls for the enhancement of Berkeley’s environment by placing temporary and permanent public art in public spaces throughout the city; and
WHEREAS, The City of Berkeley’s Civic Arts Program issued Request for Qualifications Specification No. 21-11438-C, and established a Prequalified Pool of Fine Art Service Providers that includes Preservation Arts LLC; and
WHEREAS, Funding will be identified and requested for appropriation as projects arise.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to execute a contract and any amendments thereto with Preservation Arts LLC for on-call fine art services for the contract period of July 1, 2023 through June 30, 2026 in an amount not to exceed $200,000. A record signature copy of said contract and any amendments are to be on file in the Office of the City Clerk.
RESOLUTION NO. ##,###-N.S.
CONTRACT: SHIPART INTERNATIONAL (DBA UOVO) FOR ON-CALL FINE ART
SERVICES
WHEREAS, The City of Berkeley’s Arts and Culture Plan calls for the enhancement of Berkeley’s environment by placing temporary and permanent public art in public spaces throughout the city; and
WHEREAS, The City of Berkeley’s Civic Arts Program issued Request for Qualifications Specification No. 21-11438-C, and established a Prequalified Pool of Fine Art Service Providers that includes ShipArt International (DBA “doing business as” UOVO); and WHEREAS, Funding will be identified and requested for appropriation as projects arise.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to execute a contract and any amendments thereto with ShipArt International (DBA UOVO) for on-call fine art services for the contract period of July 1, 2023 through June 30, 2026 in an amount not to exceed $100,000. A record signature copy of said contract and any amendments are to be on file in the Office of the City Clerk.
City of Berkeley RFQ Fine Art Services Providers Page 1
Civic Arts Program
Office of Economic Development
REQUEST FOR QUALIFICATIONS (RFQ)
Specification No. 21-11438-C
FOR
PRE-QUALIFIED POOL OF FINE ART SERVICES PROVIDERS
RFQ Issue Date: February 24, 2021
Applicant Questions Due: March 10, 2021
Application Deadline: April 6, 2021 (by 5 PM)
I. INTRODUCTION
The City of Berkeley’s public art enlivens and beautifies its civic buildings, parks, streetscapes, and other public spaces. Since its inception in 1967, Berkeley’s Civic Arts Program has acquired approximately 50 outdoor permanent public artworks, including works of sculpture, integrated design elements, mosaics, tile artworks, and painted murals. Also included in the City’s artwork collection are over 50 small portable, and mostly framed, artworks such as drawings, etchings, paintings, textiles and prints displayed in City buildings. The Civic Arts Program is also actively commissioning between three to five new public artworks a year, requiring artwork fabrication and installation services.
Th
e City of Berkeley’s Civic Arts Program is responsible for documenting, cataloguing, and maintaining the artwork in this collection. Th
ese responsibilities require the Civic Arts Program to install, de-install, transport and store large scale artwork, as well as to frame and install smaller works, provide didactic signage, photograph and video document artworks as installed, and catalogue artwork in the collection. All of the artwork in the collection has been evaluated within the last two years and the Civic Arts Program intends to conserve the artworks in most need of treatment as funding becomes available. In addition to scheduled maintenance, artworks in the collection also occasionally require emergency repair.
By issuing a Request for Qualifications for individuals and firms that are qualified within any one or all of the art service categories described below, the Civic Arts Program will be able to establish a pre-qualified pool of firms with whom the City of Berkeley may contract for services without having further general bidding requirements.
The art service categories are as follows:
A. Contractors to install and de-install large-scale works of public art B. Fine Art Conservators
C. Art Care Technicians, Audio Visual Technicians, and Artwork Preparators D. Fine Art Transportation and Storage
E. Art Photography, Videography, Graphic Design, Computer Aided Design (CAD) for Artwork Placement Renderings, Digital Imaging, and Sign Makers
F. Fine Art Framing Services
G. Fine Art Fabrication
H. Public Art Curation and Project Management
I. Art Collection Registrar Services
City of Berkeley RFQ Fine Art Services Providers Page 2 Firms may apply for qualification in one or more categories. The scope of work and qualifications for each of these categories are described below.
The Civic Arts Program will review applications and establish a pool of qualified firms for the purpose of awarding contracts as needed. The Pre-qualified Pool of Fine Art Services Providers will remain active for three years with an option by the City to renew the pre-qualified pool for another three years. Work will occur throughout the City of Berkeley. Being approved for the pre-qualified pool does not guarantee that a firm will be awarded a contract.
Contracts will range in length from one to three years and the City shall have the option to extend the term of a contract for a period of up to an additional three years, which the City may exercise in its sole, absolute discretion.
Contractors will work on a task order basis. City staff will request a quote prior to service and provide an approved task order prior to work being scheduled.
II. SCOPE OF SERVICES
Through this RFQ, the City of Berkeley’s Civic Arts Program will identify a number of firms qualified within one or mo
re art service categories, each of which require different qualifications and experience. The Scope of Work and
Qualifications are to be used as a general guide for each of the art service categories, and are not intended to be a complete list of all work that may be performed in any category, or to be complete or specific to any particular project.
ART SERVICE CATEGORIES AND ASSOCIATED WORK/QUALIFCATIONS:
A. Contractors to install and de-install large-scale works of public art
Sample Services : Installing, removing, and transporting large scale works of art and artwork integrated into architecture, or repair/re-fabrication of associated features such as foundations, sculptural bases, or hardscape.
Work may include subcontracting with other firms to provide entire scope of services needed for a particular project. Sample subcontracts might include conservators, structural engineers, electrical work, masons, welders, rigging, and other trades. Work in this category may include use of lifts, scaffolding, and other equipment as necessary.
Qualifications:
1. Five (5) years’ experience performing the work described above.
2. Ability to provide qualified personnel with substantial experienced in installing and moving large scale works of art.
3. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
B. Fine Art Conservators
Sample Services: Ability to provide full conservation and restoration services in the media of the Conservator’s specialization. Typical needs include providing a wide variety of services for the care and maintenance of the City’s art collection, cultural artifacts and properties under the Civic Arts Program’s jurisdiction. Typical projects include providing specialized consulting, performing material investigations on the condition of artworks in the collection and providing the City with reports and recommendations; preparing conservation/restoration work project specifications; on-site cleaning, graffiti removal, conservation and restoration of the City’s sculptures in various media, cleaning and conservation of paintings, murals; conservation of photographs, prints, and other works on paper. Repair and/or r eplacement of missing or damaged portions of sculptures. Work may include subcontracting with other firms to provide entire scope of services needed for a particular project. Sample subcontracts might include structural engineers, electrical work, masons, welders, rigging, and other trades. Work in this category may include use of lifts, scaffolding, and other equipment as necessary.
Qualifications:
City of Berkeley RFQ Fine Art Services Providers Page 3
1. Team Lead Conservator for conservation projects must hold a degree from a recognized Conservation Program identified by the American Institute for Conservation and Cultural Properties (AIC) and must adhere to the AIC Code of Ethics and Guidelines of Practice.
2. Five (5) years’ experience performing the work described above.
3. Ability to provide full conservation and restoration services in the media of the Conservator’s specialization.
4. Conservator must have a minimum of five (5) years professional conservation experience specializing in objects conservation with direct experience with the media of the sculpture to be restored.
5. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
C. Art Care Technicians, Audio Visual Technicians, and Artwork Preparators
Sample Services: Surface cleaning, waxing and applying anti -graffiti coatings on sculptures and other public artworks, graffiti removal and minor repairs of contemporary artworks in a variety of media. Artwork may include audio visual installations utilizing digital projectors, monitors, data players, computer programs, and multi- channel speaker systems. Work may include installing and de -installing paintings and small to medium size sculptures. Must be able to provide lifts, scaffolding, equipment and other subcontractors as necessary.
The Civic Arts Program is also looking for technicians to maintain specialty media and related systems for audio, video, lighting, and electronic media.
Qualifications:
1. Five (5) years of experience in the field. Past experience and qualifications may include course work in subjects related to care and conservation of artwork at a recognized college or university; work in a foundry or working as an assistant to a conservator or museum preparator, museum or gallery work with audio and visual media art installations, or other related experience.
2. Demonstrated background in working with media and system maintenance for material specialization in audio, video, lighting, and electronic media.
3. Adherence to the American Institute of Conservators (AIC) Code of Ethics.
4. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
D. Fine Art Transportation and Storage
Sample Services: Secure climate and non -climate storage areas; domestic and international transportation; including blanket-wrap and soft-packing services and specialty crates. May act as shipping agent; make courier arrangements, administer bills of lading, provide proper documentation and additional insurance as -needed.
Provide air-ride, secure, climate controlled vehicles and oversized lift gates and other equipment as needed.
Qualifications:
1. Five (5) years of experience providing the services listed above. Past experience and qualifications may include course work in subjects related to care and conservation of artwork at a recognized college or university; work in a foundry or working as an assistant to a conservator or museum preparator or other related experience
2. Ability to provide secure storage site with climate control if required.
3. Ability to provide experienced and qualified personnel.
4. Demonstrated sensitivity to the artistic integrity and cultural impact artworks.
E. Art Photography, Videography, Graphic Design, Computer Aided Design (CAD) for Artwork Placement Renderings, Digital Imaging, and Sign Makers
Sample Services: Photography, videography, design, color correction, typography and fine art reproductions in multiple formats. Photography services may include photographing and providing images in multiple formats, including the ability to provide color corrections. Videography services may include documenting artwork installations in video. Graphic Designers and Computer Aided Design (CAD) for Artwork Placement Renderings and may include production of vector files for artwork production or digital images showing an artwork in a potential location from many angles. Sign makers scope of work may incorporate digital images and may include
City of Berkeley RFQ Fine Art Services Providers Page 4 digital file production, typography and design services as well as the fabrication and installation of integral hardware, pedestals, and plaques in different materials and media, some that may require special engineering. All will provide their own equipment, transportation, and may be asked to scout locations and conditions of artworks sited indoors and outdoors, previous to commencing work. Work may include subcontracting with other firms to provide entire scope of services needed for a particular or large-scale projects. Sample subcontracts might include structural engineers, electrical work, welders, rigging, and other trades. Work in this category may include use of lifts, scaffolding, and other equipment as necessary.
Qualifications:
1. Five (5) years of experience providing the services listed above.
2. Ability to provide experienced and qualified personnel.
3. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
F. Fine Art Framing Services
Sample Services: Full range of professional framing services and archival materials with the capacity for managing high volume projects including the delivery, packing and storing of artworks.
Qualifications:
1. Five (5) years of experience providing the services listed above.
2. Ability to provide experienced and qualified personnel.
3. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
G. Fine Art Fabrication
Sample Services: Fabrication of artwork as designed by an artist. An art fabrication company has access to the resources, specialized machinery and technologies, and labor necessary to execute large scale artworks beyond the capacity of an individual artis t's studio. An example of this is a metal casting foundry. Work may include subcontracting with other firms to provide entire scope of services needed for a particular project. Sample subcontracts might include structural engineers, electrical work, masons, welders, rigging, and other trades. Work in this category may include use of lifts, scaffolding, and other equipment as necessary.
Qualifications:
1. Five (5) years’ experience performing the work described above.
2. Ability to provide qualified personnel with substantial experienced in artwork fabrication in the techniques specified in the artist’s design.
3. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
H. Public Art Curation and Project Management
Sample Services: Develop the project’s public art plan, facilitate artist and artwork selection, interface with the City of Berkeley on approvals, provide expert artwork curation and project management, develop and manage artwork fabrication and installation, and manage the art budget. A qualified Public Art consultant may be a curator or art consultant with proven experience of overseeing artist selection and management of art in public places.
Qualifications:
1. Five (5) years of experience providing the services listed above.
2. Ability to provide experienced and qualified personnel.
3. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
I. Art Collection Registrar Services
Sample Services: Develop and maintain records management systems related to artwork documentation with individual files for each object in the collection. Documentation includes information about an artwork’s
City of Berkeley RFQ Fine Art Services Providers Page 5 condition, its identification number, provenance, materials, treatment reports, and its physical location. Services might include ensuring the completeness of records within an on- line collection data base and corollary paper records.
Qualifications:
1. Five (5) years of experience providing the services listed above.
2. Working knowledge of American Association of Museum's Code of Ethics as well as the Collecting Guidelines for Museums.
3. Skilled in object handling.
4. Knowledgeable about collection management software for cataloging and record keeping.
5. Ability to provide experienced and qualified personnel.
6. Demonstrated sensitivity to the artistic integrity and cultural impact of artworks.
III. APPLICATION SUBMISSION REQUIREMENTS
In order to be considered for the pre-qualified pool of arts service providers, applicants must submit a fully completed application and provide all required application materials. The application consists of the following components:
A. Consultant Identification:
Provide the name of the firm, the firm's principal place of business, the name and telephone number of the contact person and company tax identification number.
Applicants will select the art service categories for which they are qualified on the application form.
B. Firm Experience:
Provide an executive summary of your experience and qualifications and listing of projects completed by the firm within the past five (5) years for each of the Art Service categories for which you are qualified.
This listing should include a brief description of each project the firm has completed that require the same experience and expertise described under the qualifications listed for each of the Art Service categories, including the client, the project location, date, and name, email address and telephone number of a contact person.
C. Individual Staff Experience:
Provide a listing of each key staff person in the firm who will be assigned to the project and background information demonstrating their capabilities and qualifications to perform the assigned task. For each individual, provide current professional registrations, related experience, educational background, and years of experience with the team.
D. Client References:
Provide a minimum of three client references. At least on references should be a California city or other large public sector entity. Provide the designated person's name, title, organization, address, telephone number, and the project(s) that were completed under that client’s direction.
E. Contract Terminations:
If your organization has had a contract terminated in the last five (5) years, describe such incident.
Termination for default is defined as notice to stop performance due to the vendor’s non-performance or poor performance and the issue of performance was either (a) not litigated due to inaction on the part of the vendor, or (b) litigated and such litigation determined that the vendor was in default.
City of Berkeley RFQ Fine Art Services Providers Page 6 Submit full details of the terms for default including the other party’s name, address, and phone number.
Present the vendor’s position on the matter. The City will evaluate the facts and may, at its sole discretion, reject the application on the grounds of the past experience.
If the firm has not experienced any such termination for default or early termination in the past five (5) years, so indicate.
F. Fee Structure:
Fees will remain in effect for the duration of the contract. With proper documentation, the City will reimburse only for pre-approved equipment rentals and supply purchases that are unique to our artworks. We do not reimburse for routine supplies, travel, lodging, per diem, or other ad-hoc miscellaneous expenses. Please take that into account with your rates.
Provide the following:
a. Hourly rate for principals and any staff or employees most likely to work on Civic Arts Program projects.
b. Firm overhead rate or mark-up rate, if applicable.
c. Equipment Rental
IV. CONSULTANT SELECTION PROCESS
Evaluation and Selection Criteria
Fi
rms will be rated in each of the Art Service categories they submit under as either being:
1) Highly Qualified, 2) Qualified or 3) Not Qualified. A firm must receive the ranking of Qualified in at least one of the Art Service categories for which they wish to be considered to be included in the pre-qualified pool. The City intends to evaluate qualifications in accordance with the criteria listed below.
Evaluation
Categories
Evaluation Criteria Points
Possible
I. Professional
Qualifications
a) Minimum (5) years of experience in the field 10 pts. b) Demonstrated sensitivity to the artistic
integrity and cultural impact of artworks.
10 pts.
c) Meets required qualifications as described in
RFQ for specific art service category for which
they are applying.
20 pts.
II. Demonstrated
Experience
a) Demonstrated recent experience of individual
or team working with media they claim expertise.
20 pts.
b) Quality of recently completed projects,
including evidence of care to maintain the
integrity of the artwork, adherence to the AIC
Code of Ethics (where applicable) and adherence
to schedules, deadlines and budgets.
20 pts.
City of Berkeley RFQ Fine Art Services Providers Page 7
c) Evidence of experience as an Art Service
Provider and relative scale and complexity of
projects completed.
10 pts.
III. Reasonable Fee
Structure
a) Proposed fees are set within industry standard. 10 pts.
TOTAL POSSIBLE POINTS 100 pts.
The Civic Arts Program will select a pre-qualified pool of firms within each of the Art Service categories which the Civic Arts Program staff may consider for “as-needed” contracts or for specific projects as the need arises.
The inclusion of any firm in the pre-qualified pool shall not imply any obligation on the part of the City of Berkeley to enter into an agreement with the firm. In selecting a firm for a contract, the Civic Arts Program staff may consider any one, or a combination, of the criteria listed below:
1. The firm has the highest ranking of all the firms in its category.
2. The firm is the most qualified within its Art Service category to perform the work on a specific type of project.
3. The firm is available to perform the work in a timely manner.
4. The firm offers the most favorable cost estimate to perform the work.
5. The Civic Arts Program requests proposals from the pre-qualified firms for a specific project and selects a firm based on its proposal and the selection criteria for that project.
The City reserves the right to reject any and all submissions.
V. QUESTIONS REGARDING RFQ
For questions concerning the anticipated work, or scope of the pr oject, please contact Je
nnifer Lovvorn, Chief
Cultural Affairs Officer, via email at [email protected] no later than January 26, 2021. Answers to questions will not be provided by telephone or email. Answers to all questions or any addenda will be posted on the City of Berkeley’s Civic Art site at https://www.cityofberkeley.info/civic-arts/. It is the vendor’s responsibility to check this site. For general questions concerning the submittal process, contact purchasing at 510-981-7320.
VI. CITY CONTRACTING REQUIREMENTS
Firms receiving contracts with the City shall comply with the following requirements:
A. Non-Discrimination Requirements:
Ordinance No. 5876-N.S. codified in B.M.C. Chapter 13.26 states that, for contracts worth more than $3,000 bids for supplies or bids or proposals for services shall include a completed Workforce Composition Form. Businesses with fewer than five employees are exempt from submitting this form. (See B.M.C. 13.26.030)
Under B.M.C. section 13.26.060, the City may require any bidder or vendor it believes may have dis criminated to submit a Non-Discrimination Program. The Contract Compliance Officer will make this determination. This applies to all contracts and all consultants (contractors). Berkeley Municipal Code section 13.26.070 requires that all contracts with the City contain a non- discrimination clause, in which the contractor agrees not to discriminate and allows the City access to records necessary to monitor compliance. This section also applies to all contracts and all consultants. Bidders must submit the attached Non -Discrimination Disclosure Form with their proposal
City of Berkeley RFQ Fine Art Services Providers Page 8 B. Nuclear Free Berkeley Disclosure Form:
Berkeley Municipal Code section 12.90.070 prohibits the City from granting contracts to companies that knowingly engage in work for nuclear weapons. This contracting prohibition may be waived if the City Council determines that no reasonable alternative exists to doing business with a company that engages in nuclear weapons work. If your company engages in work for nuclear weapons, explain on the Disclosure Form the nature of such work. Bidders must submit the attached Nuclear Free Disclosure Form with their proposal.
C. Oppressive States:
The City of Berkeley prohibits granting of contracts to firms that knowingly provide personal services to specified Countries. This contracting prohibition may be waived if the City Council determines that no reasonable alternative exists to doing business with a company that is covered by City Council Resolution No. 59,853- N.S.
If your company or any subsidiary is covered, explain on the Disclosure Form the nature of such work. Bidders must submit the attached Oppressive States Disclosure Form with their proposal.
D. Sanctuary City Contracting Ordinance:
Chapter 13.105 of the Berkeley Municipal Code prohibits the City from granting and or retaining contracts with any person or entity that provides Data Broker or Extreme Vetting services to the U.S. Immigration and Customs Enforcement Division of the United States Department of Homeland Security ("ICE"). Bidders must submit the attached Sanctuary City Compliance Statement with their proposal.
E. Conflict of Interest:
In the sole judgment of the City, any and all proposals are subject to disqualification on the basis of a conflict of interest. The City may not contract with a vendor if the vendor or an employee, officer or director of the proposer's firm, or any immediate family member of the preceding, has served as an elected official, employee, board or commission member of the City who influences the making of the contract.
Furthermore, the City may not contract with any vendor whose income, investment, or real property interest may be affected by the contract. The City, at its sole option, may disqualify any proposal on the basis of such a conflict of interest. Please identify any person associated with the firm that has a potential conflict of interest.
F. Berkeley Living Wage Ordinance:
Chapter 13.27 of the Berkeley Municipal Code requires that contractors offer all e ligible employees with City mandated minimum compensation during the term of any contract that may be awarded by the City. If the Contractor is not currently subject to the Living Wage Ordinance, cumulative contracts with the City within a one-year period may subject Contractor to the requirements under B.M.C. Chapter 13.27. A certification of compliance with this ordinance will be required upon execution of a contract. The current Living Wage rate can be found here: https://www.cityofberkeley.info/Finance/Home/Vendors__Living_Wage_Ordinance.aspx. The Living Wage rate is adjusted automatically effective June 30th of each year commensurate with the corresponding increase in the Consumer Price Index published in April of each year. If the Living Wage rate is adjusted during the term of your agreement, you must pay the new adjusted rate to all eligible employees, regardless of what the rate was when the contract was executed.
G. Berkeley Equal Benefits Ordinance:
Chapter 13.29 of the Berkeley Municipal Code requires that contractors offer domestic partners the same access to
benefits that are available to spouses. A c
ertification of compliance with this ordinance will be required upon execution of a contract.
City of Berkeley RFQ Fine Art Services Providers Page 9 H. Statement of Economic Interest:
The City’s Conflict of Interest Code designates “consultants” as a category of persons who must complete Form 70 0, Statement of Economic Interest, at the beginning of the contract period and again at the termination of the contract. The selected contractor will be required to complete the Form 700 before work may begin.
I. Insurance
The selected contractor will be required to maintain general liability insurance in the minimum amount of $2,000,000, automobile liability insurance in the minimum amount of $ 1,000,000 and a professional liability insurance policy in the amount of $2,000,000 to cover any claims arising out of the performance of the contract.
The general liability and automobile insurance must name the City, its officers, agents, volunteers and employees as additional insureds.
Insurance not Necessary: If the services are such that the risk of exposure to liability is very low, insurance may not be required. An example of such a service is an individual using his/her computer at home to lay out a newsletter for the City. This determination must be made by the Risk Manager in writing before the RFP is issued.
Insurance Waiver: A situation in which insurance is not necessary is different from a case in which insurance may be waived. An insurance waiver is appropriate where insurance would usually be necessary but when, as a policy matter, the City is willing to take the risk of allowing an uninsured or under-insured individual or business to perform the work (usually when the risk of liability is low). An insurance waiver may be granted only by the Risk Manager in writing with the approval of the City Manager. If a potential bidder expresses an inability to meet the insurance requirement, he or she should be encouraged to contact the Project Manager & Risk Manager for assistance in obtaining insurance.)
J. Worker’s Compensation Insurance:
A selected contractor who employs any person shall maintain workers' compensation insurance in accordance with state requirements. Sole proprietors with no employees are not required to carry Worker’s Compensation Insurance.
(Worker’s Compensation Insurance cannot be waived for any person who employs others.)
K. Business License
Virtually every contractor that does business with the City must obtain a City business license as mandated by B.M.C. Ch. 9.04. The business license requirement applies whether or not the contractor has an office within the City limits. However, a "casual" or "isolated" business transaction (B.M.C. section 9.04.010) does not subject the contractor to the license tax. Warehousing businesses and charitable organizations are the only entities specifically exempted in the code from the license requirement (see B.M.C. sections, 9.04.295 and 9.04.300).
Non-profit organizations are granted partial exemptions (see B.M.C. section 9.04.305). Persons who, by reason of physical infirmity, unavoidable misfortune, or unavoidable poverty, may be granted an exemption of one annual free license at the discretion of the Director of Finance. (see B.M.C. sections 9.04.290).
Vendor must apply for a City business license and show proof of application to Purchasing Manager within seven days of being selected as intended contractor.
The Customer Service Division of the Finance Department located at 1947 Center Street, Berkeley, CA 94704, issues business licenses. Contractors should contact this division for questions and/or information on obtaining a City business license, in person, or by calling 510-981-7200.
City of Berkeley RFQ Fine Art Services Providers Page 10 L. Recycled Paper
Any printed reports for the City required during the performance of the work shall be on 100% recycled paper, and shall be printed on both sides of the page whenever practical.
M. State Prevailing Wage
Certain labor categories under this project may be subject to prevailing wages as identified in the State of California Labor Code commencing in Section 1770 et. seq. These labor categories, when employed for any “work performed during the design and preconstruction phases of construction including, but not limited to, inspection and land surveying work,” constitute a “Public Work” within the definition of Section 1720(a)(1) of the California Labor Code requiring payment of prevailing wages.
Wage information is available through the California Division of Industrial Relations web site at:
http://www.dir.ca.gov/OPRL/statistics_and_databases.html
VII. SCHEDULE (dates are subject to change)
Issue RFQ to Potential Bidders: February 24, 2021
Questions Due March 10, 2021
Application Deadline April 6, 2021 (by 5 PM)
Complete Selection Process May 1, 2021
Council Approval of Contract (over $50k) June 15, 2021
VIII. PAYMENT
Invoices: Invoices must be fully itemized, and provide sufficient information for approving payment and audit.
Invoices must be accompanied by receipt for services in order for payment to be processed. Mail invoices to the Project Manager and reference the contract number.
City of Berkeley Civic Arts Program
2180 Milvia Street, 5th Floor
Berkeley, CA 94706
Attn: Jennifer Lovvorn
Payments: The City will make payment to the vendor within 30-days of receipt of a correct and complete invoice.
Thank you for your interest in working with the City of Berkeley for this service. We look forward to receiving your Statement of Qualifications.
Attachment 6: RFQ Panel Summary (2021) Fine Art Service Providers Qualified Applicants Score Result Category
Preservation Arts LLC 96% Highly Qualified Art Care Technicians, Audio Visual Technicians, and Artwork Preparators McKinley Art Solutions 94% Highly Qualified Art Care Technicians, Audio Visual Technicians, and Artwork Preparators Art In Hand 94% Highly Qualified Art Care Technicians, Audio Visual Technicians, and Artwork Preparators Atthowe Fine Art Services 92% Highly Qualified Art Care Technicians, Audio Visual Technicians, and Artwork Preparators Gary Nakamoto 86% Highly Qualified Art Care Technicians, Audio Visual Technicians, and Artwork Preparators Aureliano Rivera-Lerman 80% Qualified Art Care Technicians, Audio Visual Technicians, and Artwork Preparators Alicia Goode 75% Qualified Art Care Technicians, Audio Visual Technicians, and Artwork Preparators Artworks Foundry, LLC. 65% Low Qualification Art Care Technicians, Audio Visual Technicians, and Artwork Preparators Kala Art Institute 99% Highly Qualified Art Collection Registrar Services Atthowe Fine Art Services 97% Highly Qualified Art Collection Registrar Services ShipArt International (DBA UOVO) 96% Highly Qualified Art Collection Registrar Services Preservation Arts LLC 95% Highly Qualified Art Collection Registrar Services Aureliano Rivera-Lerman 66% Low Qualified Art Collection Registrar Services Alicia Goode 61% Low Qualified Art Collection Registrar Services Riley Textile Conservation (Textiles) 100% Highly Qualified Fine Art Conservators ARG Conservation Services 99% Highly Qualified Fine Art Conservators Preservation Arts LLC 99% Highly Qualified Fine Art Conservators Katharine Untch dba Conservation Strategies Art Architecture Archaeology 95% Highly Qualified Fine Art Conservators Artworks Foundry, LLC. 93% Highly Qualified Fine Art Conservators Aureliano Rivera-Lerman (Murals) 75% Qualified Fine Art Conservators Artworks Foundry, LLC. 100% Highly Qualified Fine Art Fabricators Gizmo Art Production, Inc. 91% Highly Qualified Fine Art Fabricators DEKA 89% Highly Qualified Fine Art Fabricators
Barnacle Bros. Sculpture & Custom Fabrication Inc. 85% Highly Qualified Fine Art Fabricators One Hat One Hand 82% Qualified Fine Art Fabricators
Sterling Art Services, LLC 99% Highly Qualified Fine Art Framing Services Atthowe Fine Art Services 95% Highly Qualified Fine Art Framing Services The Framer's Workshop 91% Highly Qualified Fine Art Framing Services Atthowe Fine Art Services 100% Highly Qualified Fine Art Transportation and Storage ShipArt International (DBA UOVO) 100% Highly Qualified Fine Art Transportation and Storage Work of Art Services Inc 90% Highly Qualified Fine Art Transportation and Storage Gizmo Art Production, Inc. 75% Qualified Fine Art Transportation and Storage Artworks Foundry 71% Qualified Fine Art Transportation and Storage ShipArt International (DBA UOVO) 97% Highly Qualified Install and De-Install Large Scale Public Art Atthowe Fine Art Services 96% Highly Qualified Install and De-Install Large Scale Public Art Gizmo Art Production, Inc. 91% Highly Qualified Install and De-Install Large Scale Public Art Work of Art Services Inc 73% Qualified Install and De-Install Large Scale Public Art Barnacle Bros. Sculpture & Custom Fabrication Inc. 71% Qualified Install and De-Install Large Scale Public Art DEKA 69% Low Qualified Install and De-Install Large Scale Public Art One Hat One Hand 62% Low Qualified Install and De-Install Large Scale Public Art Ian Ransley Design 99% Highly Qualified Photography, Videography, Graphic Design, CAD, Digital Imaging, and Sign Makers Attachment 6: RFQ Panel Summary 1
Arianne Gelardin (Graphic Design) 98% Highly Qualified Photography, Videography, Graphic Design, CAD, Digital Imaging, and Sign Makers Priority Architectural Graphics Inc 97% Highly Qualified Photography, Videography, Graphic Design, CAD, Digital Imaging, and Sign Makers Kevan Jenson 96% Highly Qualified Photography, Videography, Graphic Design, CAD, Digital Imaging, and Sign Makers Dianne Jones Photography 91% Highly Qualified Photography, Videography, Graphic Design, CAD, Digital Imaging, and Sign Makers Kari Wrede Design - sole proprietor 91% Highly Qualified Photography, Videography, Graphic Design, CAD, Digital Imaging, and Sign Makers One Hat One Hand 84% Highly Qualified Photography, Videography, Graphic Design, CAD, Digital Imaging, and Sign Makers Artsource Consulting 100% Highly Qualified Public Art Curation and Project Management Chandra Cerrito / Art Advisors 100% Highly Qualified Public Art Curation and Project Management Kala Art Institute 100% Highly Qualified Public Art Curation and Project Management Capital Integrated Arts LLC 98% Highly Qualified Public Art Curation and Project Management Barbara Goldstein dba Art Builds Community 97% Highly Qualified Public Art Curation and Project Management Arianne Gelardin 84% Qualified Public Art Curation and Project Management Attachment 6: RFQ Panel Summary 2
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance
Subject: Formal Bid Solicitations and Request for Proposals Scheduled for Possible Issuance After Council Approval on May 23, 2023
RECOMMENDATION
Approve the request for proposals or invitation for bids (attached to staff report) that will be, or are planned to be, issued upon final approval by the requesting department or division. All contracts over the City Manager’s threshold will be returned to Council for final approval.
FISCAL IMPACTS OF RECOMMENDATION
Total estimated cost of items included in this report is $1,907,987.
CURRENT SITUATION AND ITS EFFECTS
On May, 6, 2008, Council adopted Ordinance No. 7,035-N.S. effective June 6, 2008, which increased the City Manager’s purchasing authority for services to $50,000. As a PROJECT Fund Source Amount
Community Tenant Legal
services for the Berkeley
Rent Stabilization Board
801
011
Rent Stabilization Board
GF $870,000
On-Call Landscaping
Services
611
616
134
601
Sanitary Sewer
Operation
Clean Storm Water
Meas BB – Local Street
and RD
Zero Waste
$50,000
Second Street STAIR Center
Site Improvements and
Shelter Units
011
501
GF
Capital Improvement $987,987
Total: $1,907,987
Formal Bid Solicitations and Request for Proposals CONSENT CALENDAR Scheduled for Possible Issuance After Council May 23, 2023 Approval on May 9, 2023
result, this required report submitted by the City Manager to Council is now for those purchases in excess of $100,000 for goods; and $200,000 for playgrounds and construction; and $50,000 for services. If Council does not object to these items being sent out for bid or proposal within one week of them appearing on the agenda, and upon final notice to proceed from the requesting department, the IFB (Invitation for Bid) or RFP (Request for Proposal) may be released to the public and notices sent to the potential bidder/respondent list.
BACKGROUND
On May 6, 2008, Council adopted Ordinance No. 7,035-N.S., amending the City Manager’s purchasing authority for services.
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
The Finance Department reviews all formal bid and proposal solicitations to ensure that they include provisions for compliance with the City’s environmental policies. For each contract that is subject to City Council authorization, staff will address environmental sustainability considerations in the associated staff report to City Council.
RATIONALE FOR RECOMMENDATION
Need for the services.
ALTERNATIVE ACTIONS CONSIDERED
None.
CONTACT PERSON
Darryl Sweet, General Services Manager, Finance, 510-981-7329 ATTACHMENTS:
1: Formal Bid Solicitations and Request for Proposals Scheduled for Possible Issuance After Council Approval on April 25, 2023
a. Community Tenant Legal services for the Berkeley Rent Stabilization Board b. On-Call Landscaping Services
c. Second Street STAIR Center Site Improvements and Shelter Units Note: Original of this attachment with live signature of authorizing personnel is on file in General Services.
NEXT 30 DAYS
DATE SUBMITTED: May 23, 2023
Attachment 1
SPECIFICATION
NO.
DESCRIPTION
OF GOODS /
SERVICES
BEING
PURCHASED
APPROX.
RELEASE DATE
APPROX. BID
OPENING DATE
INTENDED USE ESTIMATED
COST
BUDGET CODE TO
BE CHARGED
DEPT. / DIVISION CONTACT NAME
& PHONE
23-11601-C Community
Tenant Legal
Services for the
Berkeley Rent
Stabilization
Board
5/10/23 6/10/2023 Provision of
eviction
prevention/anti-
displacement
services to
Berkeley
tenants.
Provision of in-
depth legal
representation to
low-income
Berkeley tenants
that requires the
opening of an
ongoing eviction
case file that
may include the
filing legal
papers for
responding to an
eviction in pro
per, and/or
representation in
court.
$ 870,000.00 801-13-131-000-
0000-000-444-
612990
And
011-13-131-000-
5002-000-444-
636110-
Rent Stabilization
Board
Ollie Ehlinger
981 4924
DEPT. TOTAL $870,000
1 of 2
NEXT 30 DAYS
DATE SUBMITTED: May 23, 2023
Attachment 1
23-11602 On-Call
Landscaping
Services
6/1/23 7/1/2023 Landscaping
Services for PW
Facilities, Green
Infrastructure,
Traffic Circles
$25,000 per
year for a total of
$50,000
611-54-625-712-
0000-000-472-
612990- $5k
616-54-623-675-
0000-000-472-
612990- $10k
134-54-622-662-
0000-000-431-
612990- $8k
601-54-627-734-
3023-000-472-
612990- $2k
Public Works /
Operations
Mary Skramstad
981-6337
DEPT. TOTAL $50,000
23-11603-C Second Street
STAIR Center
Site
Improvements
and Shelter
Units
5/24/23 6/30/2023 Site paving,
grading,
drainage, utility
installation, and
ancillary
improvements at
the Berkeley
Pathways STAIR
Center to install
individual
sleeping shelters
and ADA
compliant
parking and
pathways.
$ 987,987.00 ($676,807) 011-54-
623-677-5002-000-
444-662110-
($311,180) 501-54-
623-677-0000-000-
444-662110-
HHCS Titus Chen
981.6410
DEPT. TOTAL $987,987
TOTAL $1,907,987
SPECIFICATION
NO.
DESCRIPTION
OF GOODS /
SERVICES
BEING
PURCHASED
APPROX.
RELEASE DATE
APPROX. BID
OPENING DATE
INTENDED USE ESTIMATED
COST
BUDGET CODE TO
BE CHARGED
DEPT. / DIVISION CONTACT NAME
& PHONE
2 of 2
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance
Subject: Contract No. 32000164 Amendment: Synthesis Group, Inc. dba Minuteman Press Contract for Citywide Copying & Printing Services
RECOMMENDATION
Adopt a Resolution authorizing the City Manager to amend and extend the City’s contract with Minuteman Press, Contract No. 32000164, through January 31, 2025, and to approve additional appropriations related for performance of this contract. Original contract term was for three (3) years, with two (2) renewal years. The City is exercising the contractual renewal years.
FISCAL IMPACTS OF RECOMMENDATION
Funds are available in individual departmental budgets. An additional $100,000 is required to complete the current fiscal year due to increased products and services resulting from needs during pandemic, and that will continue forward. The two-year extension period is estimated at $200,000 per year ($400,000). This brings the total projected expenditure over five (5) years to $975,000.
CURRENT SITUATION AND ITS EFFECTS
Citywide Copying & Printing Services is a Strategic Plan Priority Project, advancing our goal to foster a dynamic, sustainable, and locally-based economy.
The original Minuteman contract was approved in the amount of $575,000, which was provided funding for three years. Minuteman’s performance has been above satisfactory to the City during the contract period.
Estimated annual spend going forward is $200,000* per year. A spend breakdown is listed in the table below:
Initial Contract Amount $ 575,000
Funds for two-year contract extension $ 400,000*
Total Contract not-to-exceed $ 975,000
Minuteman Press Contract Amendment CONSENT CALENDAR
May 23, 2023
BACKGROUND
The City is satisfied with Minuteman’s ability meet the requirements of City’s departments for quality printing, short turn-around times, and low costs-per-copy, and, barring any major disruptions or negative feedback, intends to continue with Minuteman for the contract extension period.
Minuteman Press was originally awarded the contract for Citywide printing and copying services in FY 2020 as a result of Request for Proposals 19-11339-C, which received six (6) responses, and was evaluated by committee.
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
As noted in the original staff report for the Minuteman contract, Minuteman Press Berkeley is a certified Bay Area Green Business since 2014 and has been collaborating for 25 years with the Printing Industries of Northern California (now Visual Media Alliance) in order to foster the use of recycled paper and to reduce the use of dangerous chemicals.
Minuteman Press is also certified as a Disability Rights Business and is located in an EMBUD Water Smart Certified Building under The Bay Area Green Business Program guidelines.
RATIONALE FOR RECOMMENDATION
Minuteman Press is a Berkeley based business. Continuing the City’s relationship will further the support of locally-based economy initiatives.
ALTERNATIVE ACTIONS CONSIDERED
None at this time, as the contract was awarded based on RFP results, and contains a provision to extend as required by the City.
CONTACT PERSON
Joshua Roben, Contracts Administrator, Finance, 510-981-7324 ATTACHMENTS:
1: Resolution Synthesis Group Inc. dba Minuteman Press Berkeley
RESOLUTION NO. ##,###-N.S.
CONTRACT NO. 32000164 AMENDMENT AND EXTENSION: SYNTHESIS GROUP, INC. DBA MINUTEMAN PRESS FOR CITYWIDE COPYING & PRINTING SERVICES WHEREAS, City Council approved Resolution 69,240-N.S. on January 21, 2020 approving the contract for Citywide Copying and Printing Services with Synthesis Group Inc. dba Minuteman Press Berkeley by award of RFP Specification 19-11339-C as fully responsive to the City’s request; and
WHEREAS, on January 31, 2023, the City Manager extension the term end date of the contract by extension letter for a new term end date of January 31, 2024; and WHEREAS, City departments require ongoing copying and printing services, and have departmental budgets for those; and
WHEREAS, Minuteman Press is a Berkeley-based company, and amending and extending the contract continues to support the local economy; and WHEREAS, the benefits of continuing with Minuteman Press outweigh administering a City of Berkeley RFP at this time.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to amend and extend Contract No. 32000164 with Minuteman Press as required to continue to meet the copying & printing-related needs of City departments; the contract value is now not-to-exceed $975,000 through January 31, 2025.
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance
Subject: Contract: Stella Courier, LLC. for Mail Services and Mail Room Coverage
RECOMMENDATION
Adopt a Resolution authorizing the City Manager to enter into a contract with Stella Courier, LLC., for providing mail services to the City’s satellite locations, and as-needed mail room coverage.
FISCAL IMPACTS OF RECOMMENDATION
Mail delivery and mail room back up services are funded through the mail services internal services fund, budget code 674-33-325-347-0000-000-472-612990. Commission packet delivery is funded in 621-53-584-622-0000-000-474-639130. Costs for the services vary based on actual monthly mail volume and service requests, and are estimated to be $60,000 per fiscal year for a not-to-exceed amount of $180,000.
CURRENT SITUATION AND ITS EFFECTS
The City contracts for human-propelled courier and satellite mail services. Pedal Express, who was the previous provider of these services, gave notice to the City and has shuttered their business. The City still has a need for these specific, specialized, services. As such, the City released Request for Proposals #23-11568-C on January 25, 2023. The City received multiple inquiries about the scope of work from a few courier service firms, as well as several clarifying questions from potential respondents. RFP responses were due February 9, 2023, and one response was received. The response was from Stella Courier.
Staff evaluated the proposal from Stella Courier to provide human-propelled courier and mail services. Stella Courier meets all the RFP requirements, including social responsibility criteria, and has the demonstrated capability to perform the scope of services in the same environmentally friendly manner as the previous firm.
BACKGROUND
The City has historically utilized a contractor to make delivery and pick-up of city mail at satellite office locations, provide mail room coverage, sorting, and internal department mail delivery, in addition to providing needed courier service. The services are still required, and it has been required that the scope of work be completed using bicycles
Contract with Stella Courier, LLC – Mail room and mail services CONSENT CALENDAR May 23, 2023
only in order to minimize the City’s carbon footprint while still providing satellite mail services.
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
Servicing central City locations, satellite locations, and delivery of commission packets is performed without utilizing a gas-powered vehicle, thus significantly reducing the City’s carbon footprint in the execution of these contracted services compared to performing these services using a gas-powered vehicle while making multiple short trips throughout the City. This supports the City Council Strategic Plan Goal for being a global leader in addressing climate change, advancing environmental justice, and protecting the environment.
RATIONALE FOR RECOMMENDATION
Stella Courier was the only respondent to a Request for Proposals issued by the City.
Stella has offered fair rates. There is on ongoing need for mail services to the satellite locations, and for ensuring back-up staffing for the central mail room.
ALTERNATIVE ACTIONS CONSIDERED
Utilizing part-time staffing was previously explored and determined to be cost-prohibitive, and difficult to staff due to the unscheduled nature of much of the work.
CONTACT PERSON
Josh Roben, Contract Administrator, Finance/General Services, 510-981-7324 ATTACHMENTS:
1: Resolution
RESOLUTION NO. ##,###-N.S.
CONTRACT: STELLA COURIER, LLC. FOR HUMAN-PROPELLED COURIER AND
MAIL SERVICES
WHEREAS, one of the City Council Strategic Plan Goals is to be a global leader in addressing climate change, advancing environmental justice, and protecting the environment; and
WHEREAS, use of a human-propelled courier service to provide these services supports that goal by having less of a carbon impact than using a gas-powered vehicle; and WHEREAS, City departments require ongoing and uninterrupted mail services at central and satellite locations, and for commission packet delivery; and WHEREAS, the mail room requires fully-trained, on-call, as-needed coverage in the case of vacation/sick/jury, or other leave by staff; and
WHEREAS, Stella Courier, LLC., responded to City of Berkeley RFP 23-11568-C with fair and reasonable pricing; and
WHEREAS, Stella Courier is fully-capable of providing the required scope of services, and is knowledgeable in mail room and postage machine operations.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to execute a multi-year contract with Stella Courier for the provision of human-propelled courier, mail room coverage, and related mail services.
Contract value is $60,000 per year, for a not-to-exceed amount of $180,000.
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.ci.berkeley.ca.us/manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance Department Subject: Notice of Appropriations Limit for Fiscal Year 2024
RECOMMENDATION
Adopt a Resolution providing notice that: 1) Council will adopt an appropriations limit for Fiscal Year 2024 at its meeting of June 27, 2023; and 2) the amount of the limit and the background material used in its calculation will be available for public review in the City Clerk’s Office on or before June 9, 2023.
FISCAL IMPACTS OF RECOMMENDATION
On June 27, 2023, the Council will set the Fiscal Year 2024 appropriations limit. The amount of appropriations subject to the limit is the budgeted proceeds of taxes (e.g., all taxes levied; transfers from an enterprise fund to the extent those transfers exceed the cost of providing the services; discretionary state subventions; interest earned from the investment of proceeds of taxes, etc.), and the total of these budgeted revenues cannot exceed the total appropriations limit. The City’s actual appropriations in each fiscal year have been significantly below the limit, as they will be for Fiscal Year 2024. Thus, there are no present fiscal implications of establishing the limit.
CURRENT SITUATION AND ITS EFFECTS
Senate Bill 1352 requires that 1) the governing body of each local jurisdiction shall, by a legislative action, establish its appropriations limit at a regularly scheduled or special meeting and that documentation used in the determination of the appropriations limit shall be made available to the public fifteen days before that meeting. Government Code Section 7910 requires that the City adopt its appropriations limit prior to the beginning of each fiscal year.
This Resolution gives public notice of Council’s intent to adopt an appropriations limit for Fiscal Year 2024 at its meeting of June 27, 2023, and that the documents used in calculating the limit will be available for public review on or before June 9, 2023.
Proposition 4, approved by the electorate of the State of California via a special election held on November 6, 1979, added Article XIII B to the constitution of the state. It requires local governments to adopt yearly appropriation limits according to specified formulas, and allows for specified, yearly adjustments of the limit. Proposition 111, approved by the voters June 5, 1990, and changed the Proposition 4 adjustment formulas. Senate Bill 152, Government Code Sections 7900, et. seq, enacted by the Legislature of the State of
Notice of Appropriations Limit for Fiscal Year 2024 CONSENT CALENDAR May 23, 2023
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.ci.berkeley.ca.us/manager California, provided for the implementation of Article XIII B defining various terms used in this article and prescribing procedures to be used in implementing specific provisions of the Article.
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
There are no identifiable environmental effects or opportunities associated with the subject of this report.
BACKGROUND
The Finance Department of the City of Berkeley compiles the data and makes calculations incident to the determination of the XIII B appropriations limit. The amount of the Fiscal Year 2024 appropriations limit and the documentation incident to the determination thereof will be available for review by the public in the Office of the City Clerk on or before June 9, 2023, at least fifteen days prior to the Council’s scheduled adoption of the appropriation limit, as required by law.
RATIONALE FOR RECOMMENDATION
This is a state law.
ALTERNATIVE ACTIONS CONSIDERED
None.
CONTACT PERSON
Henry Oyekanmi, Director, Finance Department, 981-7326
Attachments:
1: Resolution
RESOLUTION NO. ##,### N.S.
PROVIDING NOTICE OF SCHEDULED ADOPTION OF APPROPRIATIONS LIMIT FOR FISCAL YEAR 2024 PURSUANT TO ARTICLE XIII B OF THE CONSTITUTION OF THE
STATE OF CALIFORNIA
WHEREAS, on November 6, 1979, the citizens of the State of California approved Proposition 4, which added Article XIII B to the Constitution of the State of California to place various limitations on the fiscal powers of State and local government; and WHEREAS, Senate Bill 1352, Government Code Section 7900, et. seq. enacted by the Legislature of the State of California, provides for the implementation of Article XIII by defining various terms in this article; and
WHEREAS, the governing body of each jurisdiction is required to establish its appropriations limit at a regularly scheduled meeting or noticed special meeting; and WHEREAS, 15 days prior to such meeting, the documentation used in the determination of the appropriations limit shall be made available to the public.
NOW THEREFORE, BE IT RESOLVED that the Council of the City of Berkeley does hereby give notice that it will, at its meeting of June 27, 2023, adopt a Resolution which establishes the appropriations limit for the 2024 Fiscal Year pursuant to Article XIII B of the Constitution of the State of California.
BE IT FURTHER RESOLVED that the documentation used in the determination of the appropriation limit for Fiscal Year 2024 shall be made available for public review in the Office of the City Clerk of the City of Berkeley, 2180 Milvia Street, Berkeley, California, on or before June 9, 2023.
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
May 23, 2023
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance
Subject: Contract No. 9367 Amendment: Banking Services with Wells Fargo Bank
RECOMMENDATION
Adopt a Resolution authorizing the City Manager to continue the work of de-bundling the banking services with Wells Fargo and exercise a four (4)-year extension through May 31, 2027 for Contract No. 9367, in the amount of $3,000,000, to ensure business continuity as the City completes the next phase of the ERP implementation which includes accounts receivable/general billing (AR/GB) modules. This will also allow adequate time to continue pursuing the effort to determine alternative banking and related services solutions.
FISCAL IMPACTS OF RECOMMENDATION
Executing the contract extension will give the City four additional years of banking services at a cost of $3,000,000, for a total not-to-exceed amount of $13,356,000 for the entire term of the agreement.
CURRENT SITUATION AND ITS EFFECTS
On July 14, 2020 the City Council approved a three-year extension of the Wells Fargo Contract No. 9367 for banking and related services. Even though the City has been successful in transferring its custodial services to a new vendor, technical and regulatory issues, including the collateralization of Public Funds requirement, have prevented the de-bundling of other banking services. Also, continued delays to the completion of the City’s enterprise resource planning (ERP) software implementation have meant that the solicitation of new alternate vendors for banking services cannot proceed at this time.
BACKGROUND
In the summer of 2017, and upon direction from City Council, Finance department staff began working with the Mayor’s Responsible Banking Task Force to begin planning for de-bundling the various individual banking services that Wells Fargo currently provides to the City. The result was a plan to issue requests for proposals (RFPs) for Procurement Credit Card (P-Card), Armored Courier Service, Merchant Services, Custodial Services and General Banking separately, to allow portions of the services to be bid on by other vendors. A major part of this collaboration was to develop submission requirements and
Banking Services with Wells Fargo Bank CONSENT CALENDAR May 23, 2023
selection criteria against which to assess RFP respondents’ history of ethical (or unethical) business practices and social responsibility, and to diversify various elements of the City’s banking and related services away from the single incumbent provider (Wells Fargo).
As the analysis of de-bundling options progressed, it became apparent that there were a number of complex issues to be addressed in order to realistically assess the feasibility of de-bundling the various banking and related services.
The selection of alternate vendors for the various individual banking services have been delayed because of the complexity of disentangling related services, the difficulty of ensuring compliance with the social responsibility requirements desired by Council and the Banking Task Force, and delays to the implementation of the City’s new ERP software. Additional information about the work of the Banking Task Force and the history of the City’s banking services can be found in the attached reports.
POSSIBLE FUTURE ACTION
Once the ERP implementation is completed, issue RFPs for general banking services and a P-Card program. Also, research whether any new companies can meet our requirements for Armored Car services (currently incumbent provider is the only available option).
ENVIRONMENTAL SUSTAINABILITY AND CLIMATE IMPACTS
The City by adding the Social Responsibility Banking criteria demonstrates, directly and through its contractors, a commitment to having a positive impact on the environment.
CONTACT PERSON
Henry Oyekanmi, Director, Finance, 981-7326
Attachments:
1: Proposed Resolution
2: Wells Fargo Staff Report 7/14/2020
3: Wells Fargo Staff Report 5/1/2018
4: Responsible Banking Task Force Presentation
5: Wells Fargo Community Involvement Staff Report 6/28/2022
RESOLUTION NO. ##,###-N.S.
CONTRACT NO. 9367 AMENDMENT: CONTRACT WITH WELLS FARGO BANK, N.A.
FOR BANKING SERVICES
WHEREAS, on May 7, 2013 by Resolution No. 66,106-N.S., City Council authorized the execution of a contract with Wells Fargo Bank for the provision of banking services; and WHEREAS, on June 17, 2017, the City amended the contract for one additional year for a not to exceed amount of $5,177,500; and
WHEREAS, on May 25, 2018, the City amended the contract for two additional years for a not to exceed amount of $7,249,000; and
WHEREAS, on July 14, 2020, the City amended the contract for three additional years for a not to exceed amount of $10,356,000.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to exercise and execute an amendment to Contract No. 9367 extending the contract for four (4) additional years for a total not to exceed amount of $13,356,000.
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
CONSENT CALENDAR
July 14, 2020
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance
Subject: Contract No. 9367 Amendment: Banking Services with Wells Fargo Bank
RECOMMENDATION
Adopt a Resolution authorizing the City Manager to continue the work of unbundling the banking services with Wells Fargo and exercise the final three-year option period to extend Contract No. 9367 with Wells Fargo through May 31, 2023, in the amount of $3,107,500 for a total of ten (10) year contract amount not to exceed $10,356,000. This is to ensure business continuity and allow adequate time to continue pursuing the effort to determine alternative banking and related services solutions.
CURRENT SITUATION AND ITS EFFECTS
On April 25, 2017 the City Council approved a one-year extension of the Wells Fargo contract number 9367 for banking and related services. Contained in the Information Report 4/25/17 Banking Services submitted to City Council was a solicitation schedule proposed by staff to address the unbundling of services currently provided by Wells Fargo. The intent was to identify service elements that could be carved-out of the scope, bid out, and quickly transitioned to an alternate financial institution without disrupting the general financial services on which the City relies for its day-to-day financial operations.
As the work of unbundling has progressed, it has become apparent that there are a number of complex issues to be addressed, and the original timeline is not feasible.
In the summer of 2017, and upon direction from City Council, Finance department staff began working with the Mayor’s Responsible Banking Task Force to begin planning for the Procurement Credit Card (P-Card), Armored Courier Service, Merchant Services and General Banking requests for proposals (RFP), and to develop submission requirements and selection criteria against which to assess RFP respondents’ history of ethical (or unethical) business practices and social responsibility.
Procurement Credit Card/P-Card
Banking Task Force members were provided copies of RFPs for P-Card Services issued by the State of California and Alameda County. The contracts resulting from these RFPs contain cooperative purchasing provisions that would allow the City of Berkeley to “piggyback” to receive services and negotiated prices, terms and conditions without
Banking Services with Wells Fargo Bank ACTION CALENDAR
July 14, 2020
conducting its own RFP. The Banking Task Force determined that neither the state nor county’s RFPs included the specific criteria that council included in its May 2017 resolution and that the social responsibility claims of the company awarded the contracts – US Bank in both cases – could not be verified. It was further determined that the RFP for Armored Courier Services would be issued with the newly developed social responsibility language, submission requirements and selection criteria prior to the RFP for P-Card Services.
The RFP for P-Card services was initially supposed to be released in April 2018 with the social responsibility language, submission requirements and selection criteria developed by the Banking Task Force. Prior to releasing this RFP, the efforts to implement the new financial system ramped up. Phase 1 of this implementation was ‘requisition-to-pay’, with P-cards being slotted for phase 2. Numerous issues arose with the transition to the new ERP system which impacted the project timeline. The schedule is now revised to: phase 2 - payroll in July 2020, phase 3 - ARGB in July 2021, and phase 4 - P-card in January 2022.
Armored Courier Services
RFP No. 17-11144-C for Armored Courier Services was released to the public on October 23, 2017. Six companies serving the California market were identified and notified of the RFP, but only one company responded. The one response was vetted and evaluated by Staff, with participation of Banking Task Force members, and found lacking in specificity, especially in the area of social responsibility where the company ignored nearly all pertinent questions on the topic.
Staff spent several weeks canvassing non-respondents to determine why they did not participate in the City’s RFP process. Feedback included: inability to meet City’s service schedule at a competitive price; inability to make same day deposits; and notice did not reach the right person. Staff, with support of Banking Task Force members, decided to reject the one offer received and reissue the RFP for Armored Courier Service in April 2018. The reissued RFP yielded one respondent (Dunbar) who was awarded the contract but was subsequently bought out by Brinks, who was the prior incumbent service provider.
Merchant Services
The City is in the process of finalizing the schedule for phase 3 – ARGB implementation of the ERP system. Implementation is scheduled for July 2021. Once the implementation is completed, the City will commence with an RFP for Merchant services.
General Banking
The City Council previously authorized the implementation of a new Enterprise Resource Planning System (“ERP”) system so as to improve business processes, gain efficiencies, simplify, and standardize use of City systems with a comprehensive ERP. The core financial components are projected to be fully functional in Fiscal Year 2022. Core
Banking Services with Wells Fargo Bank ACTION CALENDAR
July 14, 2020
financial components should be substantially complete prior to the migration of banking services from Wells Fargo to another financial institution since data migration will be required based on the results of the solicitation process. A solicitation process in collaboration with the Banking Task Force is scheduled to begin on or about July 1, 2021.
This would allow for sourcing, selection and implementation by the end of calendar year 2022, and outgoing transition requirements (for example, accounts must remain open for 9 to 12 months to allow for all transactions to terminate with the originating bank) through May 31, 2023. Resolution No. 66,106 dated May 7, 2013 authorized the City Manager to enter into a contract (#9367) with Wells Fargo Bank for banking and related services for a period of four (4) years for a not to exceed amount of $4,142,000 with the option to extend the term for two additional three (3)-year periods, and to expend funds up to the not-to-exceed amount of $10,356,000 for the entire ten (10) years. This is to exercise the final option of a three-year period of extension in the amount of $3,107,500.
POSSIBLE FUTURE ACTION
Community Banks/Credit Unions
In furtherance of carving out segments of the City’s banking services with Wells Fargo, the City is completing the process of investing in all credit unions located in the City of Berkeley. There are five (5) Credit Unions located in the City of Berkeley. The City is in the process of contacting each of them to conduct an initial assessment of their products that will allow the City to invest in their investment instruments. Prior to COVID-19, the City staff met with First United Credit Union, and staff will resume the meetings with the rest of the credit unions in Berkeley after shelter-in-place is lifted. This effort is to assist the local businesses that are serving the local community, which is one of the goals of the Mayor’s Banking Task Force. The City will be investing the maximum FDIC allowable insured amount of $250,000 in each credit union.
ENVIRONMENTAL SUSTAINABILITY
The City by adding the Social Responsibility Banking criteria demonstrates, directly and through its contractors, a commitment to having a positive impact on the environment.
FISCAL IMPACTS OF POSSIBLE FUTURE ACTION
There are fiscal and operational impacts in implementing a disaggregated approach to banking services. The carving out of services has led to an increase in staff resources and cost. The lump sum price that the City enjoyed for having a complete banking service package with Wells Fargo Bank will increase. The City will need to negotiate rates or look for other options to reduce the fiscal impact. There continues to be additional staff time in order to further disaggregate services and solicit bidders. Once re-solicited, implementation will also require additional resources as the City moves assets to a new Bank that will provide day to day services. The City is considered a level 2 Merchant; level 2 Merchants are merchants with more than one million to six million total credit card transactions annually. This level of activity means the City has extensive financial needs and requirements. These requirements need to be analyzed and all risk mitigated prior to, during and after implementation.
Banking Services with Wells Fargo Bank ACTION CALENDAR
July 14, 2020
CONTACT PERSON
Henry Oyekanmi, Director, Finance, 981-7326
ATTACHMENT
1. Resolution
RESOLUTION NO. ##,###–N.S.
CONTRACT NO. 9367 AMENDMENT: BANKING SERVICES CONTRACT WITH WELLS FARGO BANK, N.A. FOR BANKING SERVICES
WHEREAS, on May 7, 2013 by Resolution No. 66,106–NS, City Council authorized the execution of a contract with Wells Fargo Bank for the provision of banking services; and
WHEREAS, on June 17, 2017, the City amended the contract for one additional year for a not to exceed amount of $5,177,500; and
WHEREAS, on May 25, 2018, the City amended the contract for two additional years for a not to exceed amount of $7,249,000.
NOW THEREFORE, BE IT RESOLVED by the Council of the City of Berkeley that the City Manager is authorized to exercise and execute the last three (3) year option of the current agreement for a total of ten (10) years contract amount not to exceed $10,356,000 through May 31, 2023.
Office of the City Manager
2180 Milvia Street, Berkeley, CA 94704 ● Tel: (510) 981-7000 ● TDD: (510) 981-6903 ● Fax: (510) 981-7099 E-Mail: [email protected] Website: http://www.CityofBerkeley.info/Manager
ACTION CALENDAR
May 1, 2018
To: Honorable Mayor and Members of the City Council
From: Dee Williams-Ridley, City Manager
Submitted by: Henry Oyekanmi, Director, Finance
Subject: Banking Services with Wells Fargo Bank
RECOMMENDATION
Authorize the City Manager to continue the work of unbundling the banking services with Wells Fargo and exercise the final two years of the first three-year option period to extend Contract No. 9367 with Wells Fargo through May 31, 2020 in order to ensure business continuity and allow adequate time for new solicitation processes and implementation of new Banking Service providers.
CURRENT SITUATION AND ITS EFFECTS
On April 25, 2017 the City Council approved a one-year extension of the Wells Fargo contract #9367 for banking and related services. Contained in the Information Report 4/25/17 Banking Services submitted to City Council was a solicitation schedule proposed by staff to address the unbundling of services currently provided by Wells Fargo. The intent was to identify service elements that could be carved-out of the scope, bid out, and quickly transitioned to an alternate financial institution without disrupting the general financial services on which the City relies for its day-to-day financial operations.
As the work of unbundling has progressed, it has become apparent that there are a number of complex issues to be addressed, and the original timeline is not feasible.
In the summer of 2017, and upon direction from City Council, Finance department staff began working with the Mayor’s Responsible Banking Task Force (Task Force) to begin planning for the Merchant Service/Procurement Credit Card (P-Card) and Armored Courier Service requests for proposals (RFP), and to develop submission requirements and selection criteria against which to assess RFP respondents’ history of ethical (or unethical) business practices and social responsibility.
Task Force members were provided copies of RFPs for P-Card Services issued by the State of California and Alameda County. The contracts resulting from these RFPs contain cooperative purchasing provisions that would allow the City of Berkeley to “piggyback” to receive services and negotiated prices, terms and conditions without conducting its own RFP. The Task Force determined that neither the state nor county’s
Banking Services with Wells Fargo Bank ACTION CALENDAR
May 1, 2018
RFPs included the specific criteria that council included in its May 2017 resolution and that the social responsibility claims of the company awarded the contracts – US Bank in both cases – could not be verified. It was further determined that the RFP for Armored Courier Services would be issued with the newly developed social responsibility language, submission requirements and selection criteria prior to the RFP for P-Card Services.
RFP #17-11144-C for Armored Courier Services was released to the public on October 23, 2017. Six companies serving the California market were identified and notified of the RFP, but only one company responded. The one response was vetted and evaluated by Staff, with participation of Task Force members, and found lacking in specificity, especially in the area of social responsibility where the company ignored nearly all pertinent questions on the topic.
Staff spent several weeks canvassing non-respondents to determine why they did not participate in the City’s RFP process. Feedback included: inability to meet City’s service schedule at a competitive price; inability to make same day deposits; and notice did not reach the right person. The incumbent (whose service is provided under contract with Wells Fargo) has provided no feedback to date. Staff, with support of Task Force members decided to reject the one offer received and reissue the RFP for Armored Courier Service on or about April 16, 2018.
The RFP for P-Card services will be released in April 2018 with the social responsibility language, submission requirements and selection criteria recently developed by the Task Force. The RFP for general banking services will follow to allow the process to be informed by the P-Card services solicitation and evaluation processes.
In 2013 the City went through a rigorous solicitation process which included the several strategic components including: unbundling, outreach, accessibility/market responsiveness, community investment and social responsibility (developed in concert with the Human Welfare and Community Action Commission). Selection criteria was based on a “Best Value Approach” including:
Financial strength and the ability of the institution to collateralize (California Government Code Section 2257.021) public deposits (20%); Demonstrated ability to provide the required services (25%); Ability to offer enhanced services, introduce emerging technology (15%); Previous, verifiable experience with other public sector clients (15%); Offer the services at a fair and reasonable cost (15%); Demonstrated commitment to the Berkeley community by investment (including the present of established offices in the City to support day-to-day operations), re-investment and social responsibility (10%).
Banking Services with Wells Fargo Bank ACTION CALENDAR
May 1, 2018
The City received responses to the RFP from four (4) proposers – Bank of the West, US Bank, Union Bank, and Wells Fargo Bank. A selection panel, consisting of City staff from Finance, City Auditor’s Payroll Unit, and Public Works, and an external technical advisor to the panel reviewed, rated and ranked the four (4) proposals, ultimately selecting Wells Fargo Bank
The current banking services contract was executed with a not to exceed total of $10,356,000 over a 10-year period. The contract is divided between direct and indirect costs. Direct costs are the actual cost that the City pays Wells Fargo Bank for its services which includes its General Banking and Merchant Service Fees which total approximately
19.51% of the not to exceed amount. The indirect cost which the bank pays on the City’s behalf includes Armored Courier Service Fees and Interchange and Assessment Fees collected by Visa and MasterCard which total approximately 80.45% of the not to exceed amount.
Resolution #66,106 dated May 7, 2013 authorized the City Manager to enter into a contract (#9367) with Wells Fargo Bank for banking and related services for a period of four (4) years (the “initial period”) for a not to exceed amount of $4,142,000, with the option to extend the term for two (2) additional three-year periods, and to expend funds up to the not-to-exceed amount of $10,356,000 for the entire ten (10) years.
The contract costs are broken down as follows:
For section I, which are direct cost paid to Wells Fargo Bank, the total contract price is $808,000 for general banking services (e.g., check processing; wires, ACH and direct deposit; and other deposit activities) and merchant services/credit card processing fees.
These are broken down as $630,000 for general banking and $178,000 for Merchant Service fees for Credit card. Direct costs represent 19.5% of the contract’s value for the initial period.
For section II, which are indirect costs paid on City behalf, the total cost of $3,334,000 includes indirect costs of $2,574,000 in interchange and assessment fees collected by Wells Fargo and passed through to the credit card processors - Visa and MasterCard.
The remaining $580,000 is for Armored Courier Service. Indirect costs represent 80.49% of the contract’s value for the initial period.
POSSIBLE FUTURE ACTION
The City Council previously authorized the implementation of a new ERP system so as to improve business processes, gain efficiencies, simplify, and standardize use of City systems with a comprehensive Enterprise Resource Planning System (“ERP”). The core financial components are projected to be fully functional in Fiscal Year 2019. Core financial components should be substantially complete prior to the migration of banking services from Wells Fargo to another financial institution since data migration will be required based on the results of the solicitation process. A solicitation process beginning on or about July 1, 2018 would allow for sourcing, selection and implementation by the
Banking Services with Wells Fargo Bank ACTION CALENDAR
May 1, 2018
end of calendar year 2019, and outgoing transition requirements (for example, accounts must remain open for 9 to 12 months to allow for all transactions to terminate with the originating bank) through May 31, 2020.
Taking an approach of carving out and decoupling services from core banking service contracts is also being followed by other public institutions. For example, the University of California reviewed its $875M portfolio under contract with Wells Fargo and identified $450M in carve outs. Services identified for carve out will be placed with, possibly multiple, other financial institutions.
ENVIRONMENTAL SUSTAINABILITY
Meeting the Paris Agreement’s target of staying well under a 2° Celsius increase in global temperature — while aiming for no more than 1.5° of change — requires a complete halt to all financing of new extreme fossil fuel extraction and infrastructure. By moving away from financial institutions financing these projects, the City of Berkeley is demonstrating, directly and through its contractors, a commitment to have a positive impact on the environment.
FISCAL IMPACTS OF POSSIBLE FUTURE ACTION
There will be fiscal and operational impacts in implementing a disaggregated approach to banking services. The carving out of services could lead to an increase in cost. The lump sum price that the City enjoyed for having a complete banking service package with Wells Fargo Bank will increase. The City will need to negotiate rates or look for other options to reduce the fiscal impact. There will also be additional staff time to further disaggregate services and solicit bidders. Once re-solicited, implementation will be required as the City moves assets to a new Bank that will provide day to day services.
The City is considered a level 2 Merchant; level 2 Merchants are merchants with more than one million to six million total credit card transactions annually. This level of activity means the City has extensive financial needs and requirements. These requirements need to be analyzed and all risk mitigated prior to, during and after implementation.
CONTACT PERSON
Henry Oyekanmi, Director, Finance, 981-7300
Attachment:
Responsible Banking Task Force Background Briefing and Work Status Report
City of Berkeley
RESPONSIBLE BANKING TASK FORCE
Background Briefing and Work Status
January 2017 - March 2018
Breaking up with a bad bank is not easy.
A good bank is hard to find - one that is good enough for Berkeley is even harder.
C:\Users\Lewis\Desktop\Responsible Banking Task Force\Berkeley SR Task Force Draft Outline Of Background Briefing Work Status Rev. 4d.Docx
Contents
1. Introduction and Task Force Background – page 3
2. Link Banking Services to Strategic Plan Goals – page 4
3. Work to Date to Achieve Socially Responsible Banking Services – page 5
4. Challenges to Achieving Socially Responsible Banking Services – page 6
5. Alternatives - Exploring a Berkeley Model of Banking Services – page 7
6. Conclusion / Next Steps – page 7
Table 1 Cities, Counties and Public Agencies Dropping Wells Fargo (and other Mega Banks)
Table 2 Potential Bidders to 2018/19 City of Berkeley General Banking Services RFP
Table 3 List of Contacts Made to Date
3 1. Introduction and Task Force Background
Against a growing record of corporate ethical failures and illegal acts, the Berkeley City Council took several steps to require social responsibility by its vendors and contractors.
The Mayor‘s Responsible Banking Task Force ( Task Force) was formed in 2017 in response to the Berkeley City Council taking policy positions since 2011 to achieve socially responsible banking procurement services, including banking services.
July 2013, the City of Berkeley becomes the first in the nation to adopt official policy to divest current and future funds from 200 fossil fuel -producing companies. Council Resolution 65,436- N.S. includes: “Responsible Investing” that prohibits doing business with and/or divestment from:
● Oppressive states
● Investments in nuclear arms
● Gun manufacturers
● Tobacco companies
● Publicly traded fossil fuel companies
September of 2016 adopts Council Resolution 67,694-N.S.in support of Standing Rock Sioux Tribe's efforts to stop construction of the Dakota Access Pipeline.
2016 to present, City Management, Mayor and Council lead development of City of Berkeley Strategic Plan and Goals 2018-2019.
January 2017 1 Council approval of responsible banking policies calling for the city manager and staff to investigate the process of moving the City’s funds out of Wells Fargo Bank
March 20172 Council approves resolution denouncing President Trump’s executive order to build a wall along the U.S. -Mexico Border and recommends that the City of Berkeley divest from any company involved in the construction of the border wall.
May 2017 3 Council approves resolution that the City establish Socially Responsible Investment criteria in conjunction with the Task Force. The council resolves to explicitly exclude any financial institution from bidding that has engaged in:
● Supporting, servicing, or constructing fossil fuel infrastructure projects and other environmentally extractive practices
● Supporting, servicing, or constructing privately owned prisons
1https://www.cityofberkeley.info/uploadedFiles/Council_3/Level_3_ -_General/2017-05- 30%20Item%2024%20Establish%20Socially.pdf
2 http://www.berkeleyside.com/wp-content/uploads/2017/03/2017-03-14-Item-16-Denouncing-Presidential-1.pdf 3https://www.cityofberkeley.info/uploadedFiles/Council_3/Level_3_ -_General/2017-05- 30%20Item%2024%20Establish%20Socially.pdf
4 ● Discriminatory consumer and small business lending and servicing based on the federally protected classes established under the Civil Rights Act of 1964 ● Fraudulent misconduct against clients, investors, debt holders, transactional counterparties, or the broader public.
This includes providing financial support to or investing in the above practices as well as serving as financial conduit or counterparty (swap agreements, escrow) to engaging in these practices.
2017 to present, Mayor and Council establish the City of Berkeley Responsible Banking Task Force. The Task Force is comprised of a broad range of Berkeley residents, many with experience in public sector financial management, city/community development and public advocacy organizations focused on socially responsible business practices.
The Task Force is preparing recommendati ons for Socially Responsible procurement criteria with a focus on the 2018 RFP for banking services. This document will serve as a report on progress to date , and work will continue, resulting in a complete report to the Council with recommendations for structuring the RFP and defining the selection criteria to select a banking services partner(s).
The Task Force would like to express sincere gratitude to the City Finance Management and Staff for their transparency, thoughtfulness, creativity and consistent collaboration with Task Force members and the Mayor’s Office. The work achieved to date would not have happened without this powerful partnership between the Task Force and the Finance Department.
2. Link Banking Services to Strategic Plan Goals
The Task Force Mission is to connect the procurement and performance of service contracts to the City of Berkeley’s Strategic Plan goals with an immediate focus on banking services. The Task Force mission focus is to link to and balance Goals 4 - 7:
A. Goal 4) social and racial equity - include social and racial equity in the criteria for selecting banking services.
B. Goal 5) a sustainable local economy - identifying banks or credit unions that could partner with the city to support the cities sustainable economy goals.
C. Goal 6) an efficient and financially-healthy City Government, in collaborating with City Finance Management and staff, empower the capacity to invest, manage and safeguard tax payer dollars while leading Berkeley beyond the dependence on mega banks and, instead, procure banking services from entities that support Berkeley policies and values.
D. Goal 7) Be a global leader in addressing climate change and protecting the environment, defining appropriate criteria to select banks whose business policies,
5 practices and investments reflect the city of Berkeley’s commitments to reducing dependence of fossil fuels and sources of global warming.
3. Work to Date to Achieve Socially Responsible Banking Services The Task Force is working with City Finance Management and staff to identify best practices of socially responsible (SR) criteria while meeting the legal and technical requirements for the city’s banking functions. Berkeley’s most recent procurement experience and the procurement policies of peer cities within the last several months were carefully reviewed. Potential candidate banks and credit unions (CUs) that best meet emerging criteria were identified. A summary of the work to date an d matrix of findings follows:
A. Moved all Investment Funds out of Wells Fargo
- Since 2013 the City of Berkeley has divested approximately $50 million of funds issued by Wells Fargo, Goldman Sachs, JP Morgan Chase, Bank of America and Morgan Stanley from its Pooled Investments. The final $1 million, issued by Wells Fargo, matured in January 2018 and was moved to Fidelity Investments.
B. Identify Best Practices Criteria from Berkeley’s Last RFP and from Other Cities - Outreach to multiple peer cities to identify their new or emerging SR criteria - Integrate SR criteria that link to the Council's January 2017 resolution while providing adequate flexibility to include future social responsibility issues - Identify regulatory requirements that may preclude smaller banks and credit unions - Build on the City of Berkeley’s 2012 Banking Services RFP criteria that resulted in selecting Wells Fargo; compare to other jurisdiction’s banking services RFPs. - Identify subject matter that would result in a default selection to a large bank without socially responsible commitments
C. Structure the RFP Process to Fulfil the City’s Strategic Goals - Carve out city credit card services and armored car services separately from the primary banking services RFP.
- Working with City Finance Management, explore finance functions that could facilitate using more than one bank to mitigate the impact of collateralization requirements.
- Collaborated with Greenlining Institute to develop an Equity Score that ranks prospective institutions based on both the percentage of loans given to Low to Moderate Income borrowers (LMI) and the percentage of LMI borrowers of color. - Consider an RFP scoring system that allows for “probation remediation” – a form of non-penal consideration for banks that do not fully meet all criteria but are taking action to improve business and investment policies and practices, and commit to SR criteria and performance goals. For example, if an institution is moving away from fossil fuel investment, the new scoring system would give credit for that work. The bank would present to the City for approval a timeline for its divestments that would
6 be documented in the contract, along with the City’s right to levy a penalty if the divestment timeline is not followed.
- Weigh the risk, costs and benefits to use community banks and CU’s to serve some of the City’s financial services.
D. Explore New Approaches That Would Include Credit Unions and Community Banks Work with City Management and staff to:
- Identify candidate banks and CUs to participate in a request for information (RFI) process to solicit input, interest and concerns before constructing and releasing and RFP.
- Develop appropriate outreach to candidate banks and CUs to explain the new RFP opportunities and explain the City’s SR priorities and expectations, RFP scoring systems and compliance monitoring to follow contract award.
E. Monitor Emerging Financial Reform Best Practices Including Public Bank Study - Monitor the Oakland (Berkeley is an active member of the working group) and San Francisco Public Bank Feasibility Studies and County of Alameda investment efforts - Monitor the Public Bank studies happening around the country at the state and municipal levels
- Stay connected to and track efforts of other national municipalities and jurisdictions that are exploring socially responsible banking alternatives to optimize Berkeley efforts to make substantive change.
A matrix of findings from interactions with other agencies is attached as Table 1.
4. Challenges to Achieving Socially Responsible Banking Services
The City of Berkeley is one of many cities and jurisdictions that are striving to make a change from their current banking service provider. Berkeley also shares with these other cities the challenge of finding a suitable replacement. - Due to legislative, legal and technical requirements the pool of candidate banks that can provide government and municipal services is very limited, primarily due to the collateralization requirement.
- Providing general banking services to municipal customers is not a profitable business line for banks, leaving cities at a market disadvantage - Most banking institutions having the capacity to collateralize at levels that can support municipal banking invest in some form of business that runs contrary to socially responsible policies
- Even absent socially responsible criteria, there are very few responses to RFPs for banking services when issued.
- Community Banks and Credit Unions that meet socially responsible criteria do not meet mandated government capitalization requirements to support the total of Berkeley’s banking service needs.
7 - Cities that historically have been limited to the small number of mega-banks that dominate the financial market find it difficult to “break up with their bank” and find a suitable alternate capable of performing at a level that preserves operational efficiencies.
5. Alternatives and Possible Solutions – Exploring a Berkeley Model of Banking Services
The Task Force is meeting the challenges described above by exploring alternatives to the traditional procurement processes and banking services contracting model. - Collaborating with City Finance Management and staff, sections of the Berkeley Banking Services RFP are being reviewed to see what can be broken out into distinct services that have traditionally been bundled into an “all in one” banking services contract while maintaining operational efficiencies. This is a first step to finding a new approach to contracting for banking services. - Socially responsible community banks and credit unions (CU) may be better positioned to respond to the RFP process with this unbundled approach. - If more than one bank is used for banking services, regional banks or CUs that otherwise could not take on an “all -in-one” city banking services contract might participate for the first time.
- San Francisco is utilizing letters of credit, issued by the Federal Home Loan Bank, as collateral in order to encourage investment in community based banks, credit unions and CDFIs.4.
- To ensure maximum participation by socially responsible, smaller and “better banks”, the procurement process will need to include significant pre -solicitation outreach and education to help possible candidate banks understand the RFPs new, unbundled services structure and SR focused selection process.. - The Task Force is considering incorporating “probation remediation” as a consideration for to those larger institutions that do not yet meet Berkeley’s SR criteria, but have committed to compliance. If a bank met most of the criteria, “probation remediation” would establish a path with incremental benchmarks toward implementing and improving socially responsible policies and practices.
Not meeting those benchmarks may result in penalties or other remedies defined in the negotiated contract. It should be noted that partial compliance does not meet the strict criteria in the resolution passed by Berkeley City Council and may require additional legislative action.
6. Conclusion / Next Steps
The purpose of this briefing is to inform the Council of the work done to date and the challenges that face Berkeley as we move toward more socially responsible banking services. The possibility of using more than one regional bank could also strengthen these
4 http://sftreasurer.org/safe_sound
8 banks. L ocal commitments to the greater, common good of our city and region and increased community development opportunities , beyond the rhetorical and modest impacts achieved to date with conventional approaches, could be an additional benefit to utilizing local banking services.
All such alternatives and options would equally consider the risk, costs and benefits in both serving the City’s financial service needs and meeting policy goals.
In the meantime, and with Council’s approval, communication with other jurisdictions that are struggling with the same realities under the current banking service providers will continue. New ideas are constantly emerging and there is a clear movement toward demanding that financial institutions meet socially responsible guidelines. The more all “like-minded” governments, municipalities and businesses push for socially responsible vendors, the greater the likelihood that new providers (or solutions) will emerge to meet these goals. The Task Force will continue to engage and advocate with other cities and institutions to push forward socially responsible banking criteria and apply pressure to institutions to change their behavior. There is hope and promise that Berkeley can be a leader as the desire for social responsibility expands across the nation. The Task Force will continue to work toward that end and thank s the City Council for the opportunity to serve Berkeley in these matters.
We ask for your guidance and approval of the alternative approaches and options now being explored and considered in concert with City Finance Management and staff.
City of Berkeley
Responsible Banking Task Force
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo or other Mega-banks, 2016 to Present
Executive Summary
Table 1 below, Cities, Counties and Public Agencies Dropping Wells Fargo, presents the status of public sector groups that have dropped Wells Fargo (Wells) financial services, or are preparing procurement processes to remove Wells from managing public funds or have raised removing Wells or other mega-banks from existing contracts. A total of 40 different public-sector organizations are identified and divided into four major groups:
1. Cities Similar to Berkeley in Size (13)
2. Cities and Counties Larger than Berkeley (13)
3. States, Public Agencies, Universities and Pension Funds (9)
4. Cities that have raised dropping Wells or other mega-banks (5) The table reveals the scale of the public rising against Wells Fargo and other mega banks. · The size of cities ranges from numerous small towns to many of the largest cities in the country. · The size of the f unds and fees being removed from Wells reveals that one city may be a “drop in the bucket” on the Wells Fargo balance sheet, but the total value of the loss of business below is in the multi billions - enough to show a combined effort can change history.
· Public organizations are dropping Wells because of indigenous-lead opposition to the DAPL/fossil fuel financing AND Wells’ consumer fraud and misdeeds. However, for Eagle County, CO and the Texas Employees Retirement System, the professional finance staffs independently lost confidence in the bank’s business judgement and credibility. For New Haven, the tipping point was Well’s consistent decline in low to moderate income loans. · Every city studied is seeking an ethical bank or credit union with enough assets to provide collateral for public fund deposits. Across the country similar hopes are in play to avoid using mega banks:
o U sing two banks as well as changing state banking laws to allow the use of smaller banks. o Public bank studies, beyond the Bay Area, are underway in Santa Fe, Seattle, Washington, DC, Philadelphia, and St. Louis.
o Regional banks have replaced Wells in cities similar to Berkeley, such as Davenport, Iowa and Davis, California.
· Of 5 cities listed in Part 4 of the table that have studied dropping their mega banks , the challenge of finding a replacement is a common denominator.
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 1
Part 1: Small to Medium Size Cities Dropping Wells Fargo Cities with Populations Equal to or Smaller than Berkeley
Smaller Cities
Alpha Order with
2016 Population
Part 1 Description of Actions to Drop Wells Fargo
Links to News Reports of Actions
Yr. of Most
Recent Action
1. Alameda, CA
[79,000]
City Council resolution removed Wells Fargo (Wells) from city investments for three years.
Removes Wells from managing $36 million in a general checking account for operating expenses - following an Request for Proposals (RFP) pro- cess now underway in 2018.
Unanimous City Council vote on resolution.
Sources:
https://www.eastbaytimes.com/2017/02/22/alameda-city-moves-to-divest-from-wells-fargo/ 02/2017
2. Berkeley, CA
[121,000]
Since 2013 the City of Berkeley has divested approximately $50 million of funds issued by Wells Fargo, Goldman Sachs, JP Morgan Chase, Bank of America and Morgan Stanley from its Pooled Investments. The last $1 million, issued by Wells Fargo, matured in January 2018.
The City’s Finance Staff is working with the Responsible Banking Task Force to unbundle the city’s banking services and move the operational funds into socially responsible institutions by 2020.
City is participating in Public Bank Study with Oakland and Richmond.
Sources:
https://www.eastbaytimes.com/2017/06/03/berkeley-council-says-wells-fargo-not-welcome-but-can-seek-future-business/ http://www.dailycal.org/2017/05/31/city-council-unanimously-passes-wells-fargo-divestment-plan/ 04/2018
3. Davenport, IA
[102,612]
Council approves removing Wells from managing $100 million of city's primary checking and savings accounts.
The Purchasing Card contract will be split out to use a state contract with US Bank.
A regional bank replaces Wells, Quad-City Bank & Trust as an alternative to mega-banks.
A strong point of the regional bank in the selection process was the potential for customization.
Sources:
http://qctimes.com/news/local/government-and-politics/city-of-davenport-ready-to-move-bank-accounts-from-wells/article_6f2f6627-f9cf-522f-a598- 880329e5a391.html
07/2017
4. Davis, CA
[68,000]
Council resolution removed Wells from managing $124 Million in annual cash flow.
Unanimous City Council vote on resolution.
A regional, local bank, River City Bank, replaces Wells as an alternative to mega-banks.
A strong point of the regional bank in the selection process was the integrity and community investment potentials.
Sources:
https://rivercitybank.com/river-city-bank-adds-city-of-davis/ 02/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 2
5. Eagle County,
CO
[53,600]
Staff recommendation removes approximately $5 million in operating funds and $80 million in investments from Wells accounts. The County Com- mission of this small County approved the staff request to remove Wells.
The commission approved the staff recommendation to use two banks as replacements:
Firstbank, a large state-wide bank and Alpine Bank, an employee-owned, regional bank.
Current investments include:
• $15.316 million: 15 Treasury notes ranging from $250,000 to $2 million. • $40.126 million: U.S. government agency bonds such as Federal National Mortgage, Federal Home Loan, First Federal Community Bank and other government agencies.
• $26.83 million: Corporate bonds: Chevron, IBM, Apple, Microsoft, Toyota Motor Credit, Berkshire Hathaway.
Sources:
https://www.vaildaily.com/news/county-dumps-wells-fargo-says-firstbank-is-a-better-business-choice/ https://www.alpinebank.com/who-we-are/about-alpine-bank.html 08/2017
6. East Orange,
NJ
[64,800]
City Council resolution calls for removing Wells Fargo from city investments. Unanimous City Council vote on resolution. https://www.tapinto.net/towns/east-orange-slash-orange/articles/east-orange-moves-to-divest-from-wells-fargo-joi 02/2017
7. Las Cruces, NM
[101,800]
S
anta Fe, NM
[83,875]
Las Cruces City Council approved removing Wells in 2017 at the end of the current contract. Bids received in response to an RFP resulted in a small number of responses by large banks. The city elected to piggy back on Santa Fe’s banking services contract until a new RFP process is complete.
Santa Fe Council passed a resolution in November 2017 that includes the following:
“The City of Santa Fe recognizes the paramount importance of not disturbing, desecrating, or destroying Native American cultural and sacred sites, in- cluding ancestral burial grounds, and other significant items important to religious traditions and practices.” It calls on local financial institutions “to dives from the Dakota Access Pipeline and invest instead in life-supporting projects and renewable energy projects .” The Santa Fe council final vote to extend the Wells contract was a reluctant (6- 5 vote) concession and acceptance of the staff concerns that a new RFP process and unwinding from Wells was beyond the city’s staffing capacity. - Las Cruces has $90 million in city accounts with Wells, of which $10 million is operating cash. - Annual transactions are around $820 million.
- An average of $270 million cash and investments are with Wells. - The City treasurer’s office manages the remainder of the investments. - Opposition to the bank’s financing of DAPL and fraudulent banking were reasons given to drop Wells. - Santa Fe Council formed a task force in 2017 to study the feasibility of the city forming a public bank.
Sources:
https://www.lcsun-news.com/story/money/2017/09/19/las-cruces-wells-fargo-bank-options/681551001/ http://hot103.fm/city-of-las-cruces-to-begin-divesting-city-funds-from-wells-fargo/ https://www.lcsun-news.com/story/news/2017/04/19/santa-fe-requests-local-proposals-wells-fargo-deposits/100675200/ http://www.santafenewmexican.com/news/local_news/mayor-council-reluctantly-keep-wells-fargo-as-city-s-bank/article_b85268fd-eb19-58d0-9768-d22 https://www.abqjournal.com/926955/we-canshould-find-better-ways-to-manage-funds.html https://www.abqjournal.com/995252/santa-fe-will-have-task-force-to-explore-public-bank-idea.html 12/2017
8. Missoula, MT
[72,370]
Council approved removing $2.6 million from a Wells investment account.
Unanimous City Council vote on resolution.
Sources:
https://missoulacurrent.com/business/2017/04/missoula-wells-fargo-dapl/ 04/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 3
9. New Haven, CT
[129,800]
Council action removed Wells from managing three accounts in 2018. Funds total $200 million.
Two additional large operational accounts to be removed by RFP process 2018-19.
Regional banks are being considered as an alternative to dependence on mega-banks.
Sources:
https://www.nhregister.com/news/article/New-Haven -movi ng-cash-from-Wells-Fargo-12721484.php https://www.nhregister.com/opinion/article/Editorial-New-Haven-was-right-to-move-its-money-12743842.php 04/2018
10. Santa Cruz, CA
[64,460]
Council action removed Wells Fargo for up to five years from city banking services.
Removes Wells Fargo Securities as the City’s broker dealer.
City will divest from any institution funding DAPL.
Unanimous Council vote on resol
ution.
Regional banks are being considered as an alternative to dependence on mega-banks.
Sources:
https://medium.com/@techieshark/santa-cruz-stands-with-standing-rock-chooses-local-banks-over-wells-fargo-16cbba12dd21 04/2017
11. San Leandro,
CA
[90,465]
Council action approved selling a $700,000 Wells Fargo corporate bond.
The Council directed staff to carryout an RFP process to remove Wells as the city’s primary banking service.
The city has about $5 million in Wells accounts for daily operations.
The bank processes about $1 million to $2 million debit and credit card transactions annually.
Annual fees are approximately $80,000.
Decision was based on opposition to the DAPL financing Wells’ consumer fraud and misdeeds.
Unanimous Council vote on resolution.
Sources:
http://fossilfreeca.org/2017/12/03/san-leandro-moves-to-divest-from-wells-fargo/ https://www.eastbaytimes.com/2017/12/01/san-leandro-moves-to-cut-ties-with-wells-fargo/ 12/2017
12. Santa Monica,
CA
92,480
Removed Wells from city investment. Full divestment will take approximately one-year. Revised city’s investment policy to prohibit investing in insti- tutions that finance fossil fuel companies, along with fossil fuel industry.
Sources:
http://smdp.com/city-finalizes-divestment-plans-from-wells-fargo-over-dakota-access-pipeline/159991 02/2017
13. St Peter, MN
[11,700]
Removes Wells from about $600,000 in city investments beginning this year. Full divestment process will close accounts and invest the money else- where as investment funds become due.
Sources:
http://www.mankatofreepress.com/news/st-peter-divesting-from-wells-fargo/article_124c4732-a2e7-11e7-84ea-5fdf8c6c93ef.html 10/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 4
Part 2: Larger Cities and Counties Dropping Wells Fargo Cities and Counties Larger than Berkeley in Population
Larger Cities and
Counties
Alpha Order with 2016
Population
Part 2 Description of Actions to Drop Wells Fargo
Links to News Reports of Actions
Yr. of Most
Recent Action
14. Broward
County, FL
[1,900,000]
Removes Wells as depository bank for $11 million in Housing Finance Authority funds.
County elected to pay $1,900 more in annual fees to avoid using Wells.
The County’s separate and larger primary financial services contract expires at the end of this year Sources:
http://www.sun-sentinel.com/local/broward/fl-sb-broward-drops-wells-fargo-plans-20171107-story.html 11/2017
15. Chicago, IL
[2,704,958]
Removed Wells from marketing bonds as part of one-year business moratorium starting in 2017.
Sources:
https://www.usatoday.com/story/money/markets/2016/10/05/chicago-cuts-off-wells-fargo-year/91615938/ 05/2016
16. Los Angeles,
CA
[3,976,322]
Removes Wells from managing an average daily balance of $94 million in funds - following RFP process underway.
The new RFP in 2018 will require banks to disclose recent regulatory actions enforced against it.
Sources:
https://www.kcet.org/news-analysis/la-city-council-moves-toward-divesting-from-wells-fargo http://www.latimes.com/local/lanow/la-me-ln-banking-ordinance-20171212-story.html 12/2017
17. New York, NY
[8,537,673]
$227 million of city dollars held in 99 Wells Fargo accounts and they act as a trustee to the approximately $2.6 billion in the New York City Retiree Health Benefits Trust. Agencies prevented from entering into new banking services or related contracts with Wells Fargo and from renewing or ex- tending existing contracts on expiration. The City suspended the use of Wells Fargo as a senior book -running manager for municipal bonds – a posi- tion that allows the bank to take the lead on City bond sales – for one year with the one allowable exemption for affordable housing financing. Extri- cating from Wells Fargo, is a gargantuan task.
According to the NYC Banking Commission, Wells Fargo has annually processed 6.7 million individual transactions for tax collection, in excess of $27 billion dollars in volume. Those transactions include 3.4 million annual real estate tax transactions totaling over $20 billion. Annually there are 1.8 million parking summons transactions generating approximately $119 million in revenues.
Additionally, NYC and Mayor Bill De Blasio have announced that the city will divest its $189 billion in pension funds from fossil fuel companies within five years. Currently, New York City’s five pension funds have about $5bn in fossil fuel investments. “New York City is standing up for future genera- tions by becoming the first major US city to divest our pension funds from fossil fuels,” said Bill de Blasio, New York’s mayor. “At the same time, we’re bringing the fight against climate change straight to the fossil fuel companies that knew about its effects and intentionally misled the public to protect their profits. As climate change continues to worsen, it’s up to the fossil fuel companies whose greed put us in this posi- tion to shoulder the cost of making New York safer and more resilient.” Sources:
http://www1.nyc.gov/office-of-the-mayor/news/374-17/mayor-de-blasio-comptroller-stringer-plan-cut-ties-wells-fargo-city https://www.theguardian.com/us-news/2018/jan/10/new-york-city-plans-to-divest-5bn-from-fossil-fuels-and-sue-oil-companies 05/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 5
18. Oakland, CA
[420,000]
City Council officially opposed the DAPL pipeline by passing a resolution against its construction and by encouraging CalPERS, the state’s retire- ment system, to divest from banks that have invested in the pipeline’s construction.
Sued Wells Fargo in September 2015 for the bank’s predatory and racially discriminatory lending practices that violate both the federal Fair Housing Act and California’s Fair Employment and Housing Act. Currently uses JP Morgan & Co. and voted in March 2017 to renew contract for one more year.
Leading Public Bank Study as possible alternative to mega-bank dependence. City strategy is to study the feasibility of creating a public bank with $75,000 in city funds approved, with Berkeley contributing $25,000, $25,000 from the County of Alameda, and $5,000 from Richmond. Contract signed Dec 14, 2017 with Global Investment Company; feasibility study completed March 2018.
Sources:
http://www.oaklandcityattorney.org/News/Press%20releases/Wells%20Fargo%20Predatory%20Lending%20Complaint%202015.html https://friendsofpublicbankofoakland.org/
https://hoodline.com/2017/03/city-council-dumps-bank-over-pipeline-prisons-then-reverses-course 12/2017
19. Philadelphia,
PA
[1,570,870]
Removed Wells from managing $2 billion in city payroll accounts.
Citizens Bank, a major regional bank, will take over at the fiscal year break.
In March 2018, Citizens Bank withdrew a $4 billion line of credit to Energy Transfer Partners, owners of the Dakota Access Pipeline.
Sources:
https://www.cnbc.com/2017/05/02/the-city-of-philadelphia-just-gave-wells-fargo-its-walking-papers.html https://www.ecori.org/renewable-energy/2018/3/11/citizens-bank-pulls-back-from-pipeline-funding 03/2018
20. Portland, OR
[640,000]
City Council unanimous vote Apr 5, 2017 to divest from all corporations, in part to avoid the trouble of having to perpetually decide which corpora- tions the city considers bad actors. Currently, $539 invested in corprations. City to put its money in federal bonds and other non-corporate op- tions. Will cost the city at least $4.5 million a year. It will take about a year and three months for the city to withdraw from half of its investments and until December 2019 before its final investment, in Wells Fargo, is over. City is working on a proposal to study the feasibility of creating a municipal bank. Attorneys are investigating if establishing a public bank would violate the Oregon State Constitution, which prohibits state banks. Links to news sources:
http://www.oregonlive.com/politics/index.ssf/2017/04/portland_to_stop_corporate_inv.html https://nextcity.org/daily/entry/portland -public-banking 04/2017
21. Sacramento,
CA
[495,200]
City of Sacramento filed a federal lawsuit against Wells Fargo alleging it steers African American and Latino borrowers into high-risk and high-cost mortgages. Sacramento currently contractor is J.P Morgan & Co.
Sources:
http://www.sacbee.com/news/local/news-columns-blogs/city-beat/article202240114.html 02/2018
22. Santa Clara
County, CA
[1,919,402]
Removes Wells from the County’s investments, from serving as a broker-dealer and from underwriting debt issuances.
Sources:
http://sanfrancisco.cbslocal.com/2016/10/19/wells-fargo-account-scandal-santa-clara-county-san-francisco/ 10/2016
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 6
23. San Francisco,
CA
[870,887]
Board of Supervisors resolution suspended the city’s commercial banking with Wells Fargo for two years. Requires Wells to submit a redress plan for affected San Francisco customers as a condition to resume business.
The City Treasurer removed Wells from San Francisco loan program for low income residents.
Board of Supervisors unanimously passed a resolution Feb. 2017 directing the city Treasurer to apply a social screen to current and future municipal investments to weed out DAPL profiteers. Companies with ties to DAPL reportedly make up as much as 12 percent, or about $1.2 billion, of the City’s portfolio.
In Feb. 2018 the city assembled a 16-member Municipal Bank Feasibility Task Force to study launching a public bank to fund affordable housing development, low-interest loans for low-income residents and cutting ties with the Wall Street banks that do not live up to The City’s social responsi- bility principles.
Sources:
https://www.kqed.org/news/11100074/sf-kicks-out-wells-fargo-from-banking-program https://www.courthousenews.com/san-francisco-cuts-ties-to-wells-fargo-amid-scandal/. 02/2018
24. Santa Rosa, CA
[175,200]
Council voted to extend its contract for one year to conduct an RFP process for a new bank.
City has $400 million in assets, and $6 million in payroll payments twice each month.
Sources:
http://www.pressdemocrat.com/news/7128305-181/santa-rosa-may-sever-ties?view=AMP 06/2017
25. Seattle, WA
[704,000]
Council action removed Wells from managing $3 billion in annual cash flow when RFP is completed in 2018.
Removed Wells this year from issuing any future bonds or brokering investments for the city.
Removes Wells from any city investments in Wells securities for at least three years.
The Council action was a unanimous vote.
Council unanimously voted later to oppose Keystone XL Pipeline and seek to avoid banks backing the project.
Council expressed interest in using a credit union or local bank, but that would require a change to state law.
City is leading a Public Bank Study as possible alternative to mega bank dependence.
Sources:
https://www.seattletimes.com/seattle-news/environment/seattle-city-council-to-vote-on-pulling-billions-from-wells-fargo/ https://www.seattletimes.com/seattle-news/politics/seattle-city-council-votes-to-not-bank-with-keystone-xl-backers/ https://seattle.legistar.com/LegislationDetail.aspx?ID=2948595&GUID=F2604ED2-C0BC-44AA-9985- F3E338B8FBC9&Options=&Search=&FullText=1
02/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 7
26. Washington,
DC
[681,200]
The District renewed a five-year contract with Wells Fargo, for just over $12 million, in December of 2015. The new contract expires in 2020. In Jan, 2017 D.C. Reinvest Coalition formed. On Mar 21, 2017 D.C. Councilmembers Grosso, Nadeau, Bonds, Silverman, Allen, and Gray introduced a "Sense of the Council Urging Reassessment with Wells Fargo" resolution urging Mayor Bowser and the city's Chief Financial Off icer to reassess D.C.'s relationship with Wells Fargo.
In June, 2017 city council approved $200,000 for a public bank feasibility study in FY2018 budget.
Sources:
http://www.davidgrosso.org/grosso-analysis/2017/3/21/sense-of-the-council-urging-reassessment-of-relationship-with-wells-fargo-resolution-of-2017 https://hubpublicbanking.org/2017/06/17/a-step-forward-on-public-banking-in-washington-dc/ https://www.bizjournals.com/washington/news/2017/03/21/5-council-members-urge-d-c-to-drop-wells-fargo.amp.html https://dcreinvest.org/responding-to-grassroots-pressure-dc-council-takes-step-toward-public-bank/ 07/2017
Part 3: States, Public Agencies, Universities and Pension Funds Dropping Wells Fargo
Public Agencies,
Pension Funds and
States
Part 3 Description of Actions to Drop Wells Fargo
Links to News of Most Recent Actions
Year of Most
Recent Action
1. State California
Removed Wells from brokering investments or underwriting sales of California bonds as part of a one-year business moratorium; also stops State purchase of more Wells securities.
Sources:
http://money.cnn.com/2016/09/28/investing/wells-fargo-california-treasurer-suspends/index.html?iid=EL https://www.nytimes.com/2016/09/29/business/dealbook/california-wells-fargo-john-stumpf.html 09/2016
2. State of Illinois
Removed Wells from managing nearly $30 billion of transactions; part of a one- year business moratorium includes removal from state bill payment and the state investment portfolio.
Sources:
http://money.cnn.com/2016/10/03/investing/wells-fargo-illinois-moratorium/index.html.
3. Mille Lacs Band of
Ojibwe, MN
Assembly unanimously voted in Jan, 2017 to end Wells investment advisory services relationship.
Sources:
https://www.millelacsband.com/news/mille-lacs-band-divests-from-wells-fargo 01/2017
4. State of New
Mexico
Under investigation by Attorney General for over a year. Phase 1 verifying wrongdoing has been completed. In process of assessing damages; phase 3 will be demanding restitution. Wells Fargo is largest bank in NM with 93 branches.
Sources:
https://www.abqjournal.com/1099465/ag-demands-wells-fargo-make-restitution.html 11/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 8
5. New York State
Pension Fund
Trustee's voted unanimously to divest in May 2017 and was the 1st pension fund in the nation to fully divest from private prisons. As of June, 2017 $48 million of stocks and bonds had been divested from three companies: GEO Group, CoreCivic, and G4S. Pension investment managers liquidated investments in any company that receives at least 20% of its profit from private prisons, in addition to direct investments. The city's portfo- lio to be assessed annually to make sure no more companies have been added that surpass the 20% threshold.
However, the New York State Common Retirement Fund, the third largest U.S. state pension fund with more than $200 billion in assets, is a top 50 Wells Fargo shareholder with nearly 14 million shares. NY State Comptroller requested in Dec. 2017 that Wells Fargo’s board prepare a report disclosing detailed information about incentive-based pay throughout the bank.
Sources:
http://gothamist.com/2017/06/08/nycs_pension_fund_first_in_the_coun.php https://www.reuters.com/article/us-wells-fargo-accounts-compensation/new-york-pension-fund-seeks-more-pay-disclosure-from-wells-fargo- idUSKBN1E12JJ
06/29017
6. State of Ohio
Removed Wells from participating in future Ohio state debt offerings and financial services contracts initiated by state agencies for one year. Ex- tended until April 2018. 10/2016
7. Seattle City
Public Utility
Removed Wells from brokering a $100 million bond sale in separate Council action from above (see larger cities).
Sources:
https://www.seattletimes.com/seattle-news/politics/seattle-drops-wells-fargo-from-bond-deal-to-protest-bank-fraud/ 10/2016
8. TexaSaver
Colorado Pipe
Indust
ry Trust
Fund
Texas Employees Retirement System (TexaSaver) removed more than $600 million from Wells based on Wells April 2017 policy shift to buy junk bonds, emerging-market stocks and derivatives as part of a more-aggressive stance aimed at boosting returns.
TexaSaver, a supplemental retirement program for nearly 240,000 state employees and officials, was stunned by the changes. The retirement plan had fewer than 90 days to accept the revamped product or find an investment option.
The Colorado Pipe Industry Annuity & Salary Deferral Trust Fund, a Colorado-based retirement plan for more than 4,000 plumbers and pipe-fitters, also pulled its money from the Wells, citing the “unproven nature and significance” of Wells Fargo’s changes.
Sources:
https://www.reuters.com/article/us-wellsfargo-funds-texas/wells-fargo-loses-big-client-after-dialing-up-risk-in-retirement-funds-idUSKBN1FL5L5 02/2018
9. University of
California
Removes Wells from $475 million in contracts as a credit provider and as a commercial paper dealer beginning with the divestment of a $150 mil- lion interest rate reset contract by April 2017. This will be followed by a $200 million divestment of the $300 million credi t line — the maximum loan balance agreed upon by both parties — UC has with Wells Fargo by next month. UC will make a final divestment of the remaining $100 million once a substitute bank is found. The search for a substitute is currently underway.
Sources:
http://www.cityonahillpress.com/2017/02/17/uc-divests-from-wells-fargo/ 02/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 9
Part 4: Other Cities That Have Studied
Dropping Wells Fargo or Other Mega Banks
The governing body of the cities, counties or agencies in Part 4 has publicly raised the issue to drop Wells Fargo or another mega bank.
As of the last reports accessed from news media websites, a formal action to drop Wells is not yet confirmed, the city council decided to not go forward or the bank contract is with a different bank than Wells. For example, Minneapolis elected to not go forward with dropping Wells based on the concerns by city staff. As a compromise the staff proposed to use smaller banks for smaller banking contracts. The Minneapolis news headline states (from the link below), “Minneapolis explores ending its Wells Fargo relationship”. Other cities where the City Council has publicly discussed dropping Wells and has had public discussions with staff on options to using a mega bank are San Jose, CA and Providence RI. Of the five cities listed below, the challenge of finding a replacement is a common denominator.
Other Cities
Alpha Order with 2016 population
Part 4 Description of Actions to Study Dropping Wells Fargo Links to News Reports of Actions
Yr. of Most
Recent Action
1. Bellingham, WA
[87,500]
DAPL opponents asked the Council to replace U.S. Bank, a major creditor of DAPL and fossil fuel infrastructure.
Bellingham deposits up to $20 million to cover payroll and accounts payable at U.S. Bank.
The proposal was a direct result of the Seattle City Council to remove Wells.
The city has continued the current contract with U.S. Bank based on staff recommendation.
Sources:
http://www.bellinghamherald.com/news/local/article133517764.html#storylink=cpy https://lastrealindians.com/coalition-calls-for-pipeline-divestment-from-city-of-bellingham-and-u-s-bank 2017
2. Minneapolis, MN
[413,700]
A city council committee requested staff to look at a "socially responsible" policy for all goods and services procured by the city, including banking services.
Following City Council’s request to staff earlier last year to specifically look at alternatives to using Wells Fargo, council members ap- proved in June 2017 a staff recommendation to continue using cost and security as the criteria for big financial contracts, while trying to award smaller banking contracts to a more diverse array of firms.
Sources:
http://www.startribune.com/minneapolis-keeps-business-with-wells-fargo-also-looks-to-contract-with-smaller-banks/430951933/ http://m.startribune.com/minneapolis-explores-ending-its-wells-fargo-relationship-bank-responds/405477726/ 06/2017
3. San Jose, CA
[1,000,800]
In response to the actions of Seattle and Davis, the Council approved three directions to staff:
- Review whether social responsible criteria should be added to specific RFPs - Update and expand the City’s Investment Policy, Section 22, “Social Responsibility -Foreclosure Mitigation,” to include language that demonstrates the City’s commitment to fair and responsible business practices” - Accept staff’s recommendation to make no changes to the investment policy until the staff presents investment policy as part of an annual review.
Sources:
http://www.sanjoseinside.com/2017/03/06/san-jose-to-discuss-investment-policy-social-responsibility/ http://sanjose.granicus.com/MetaViewer.php?view_id=52&clip_id=9898&meta_id=652047 03/2017
City of Berkeley Banking Services Procurement
Table 1: Cities, Counties and Public Agencies Dropping Wells Fargo 2016 to Present Page | 10
Other Cities
Alpha Order with 2016 population
Part 4 Description of Actions to Study Dropping Wells Fargo Links to News Reports of Actions
Yr. of Most
Recent Action
4. Providence, RI
[178,20
0]
City Council member Seth Yurdin introduced an ordinance to replace Citizens Bank, a major creditor of DAPL and fossil fuel infrastruc- ture. The proposal was a direct result of the Seattle City Council action to remove Wells.
Citizens Bank is the largest bank based in Rhode Island.
In March 2017, the council deferred the proposed ordinance in recognition of Citizens Bank’s importance to the local economy. In March 2018, Citizens withdrew a $4 billion line of credit to Energy Transfer Partners, owners of the Dakota Access Pipeline.
Sources:
http://www.browndailyherald.com/2017/02/24/city-council-considers-ordinance-amendment/ https://www.ecori.org/renewable-energy/2018/3/11/citizens-bank-pulls-back-from-pipeline-funding http://www.rifuture.org/ordinance-kills-divestment/
03/2017
5. West Hollywood, CA
[36,700]
In October 2016, the Council approved directing city staff to research and evaluate options for responding to the Wells Fargo scandal, including suspending future additional business with Wells Fargo for a period of time and releasing a RFPto choose a new bank.
More recent reports are not evident online; the results of the staff report back are continuing to be researched.
Sources:
http://weho.granicus.com/MetaViewer.php?view_id=&event_id=915&meta_id=119566 https://www.wehoville.com/2018/02/20/opinion-weho-needs-cut-ties-wells-fargo/ 10/2016
Conclusion
The Wells Fargo Corporation’s recent rise to the center of public discussions is due to the company’s high- profile transgressions in the past few years. However, increased pressure on public agencies to move money out of mega banks is connected to the broader divestment movement strategy. Many other organizations and governments that are not listed are either considering or already have committed to divesting from fossil fuels companies, private prisons, gun manufacturers, and other activities that violate human rights. In the case of fossil fuel divestment, recent announcements include the Rockefeller Foundation and the Norwegian Sover- eign Wealth Fund, both of which trace their wealth to the extraction of fossil fuels. The Task Force will con- tinue to track other cities, public agencies and advocates pushing for more responsible banking and financial institutions with an appreciation for the broader movement and include these efforts in future reports.
Table 2: City of Berkeley Finance Services Candidate Banks and Credit Unions - Potential Bidders to 2018 RFP Socially Responsible Institutions with at least one branch in the Bay Area and evident potential for providing city banking services1 Page | 1 The criteria used to identify candidate banks and credit unions is shown on page
End Notes below explain each column - Notes 1 to 4. The last column shows loans made to Low to Moderate-Income (LMI) borrowers and LMI People of Color (POC) borrowers in Alameda Co.
The City of Berkeley Task Force for Responsible Civic Banking is reaching out to identify as many candidate banks and credit unions as possible to respond to a Request for Proposals for general banking services in 2018.
Candidate Bank or CU Name
Closest East Bay Branch Location
Size / Headquarters /
Services 1
Description / Socially Responsible
Evidence 2
Text is from the bank or CU’s website and Wikipedia
Bay Area Branches 3
Areas Served
Low to Moderate
Income (LMI)
Loan Ratings4
1. Amalgamated Bank
Not currently in East Bay.
SF branch: 255 California St.
SF, CA 94111
Tel: 415 995-8100
Headquarters: NY City
Total assets $ 4.05 billion
(2016)
Amalgamated is merging
with New Resource Bank
based in SF.
Credit Card Services: Yes
Commercial Services: Yes
Founded in 1923. One the largest union-owned
banks (SEIU) and one of the most progressive
in the U.S.
Operates based on Five Principles for
responsible behavior in the banking sector.
Highly proactive policies and advocacy for
environment, labor, underserved communities
and corporate governance.
1 branch: San
Francisco, formally the
headquarters of New
Resource Bank.
Branches are primarily
in NY and Washington,
D.C.
Amalgamated
Bank to date has
limited home loans
in Alameda
County:
- 1 home loan in
2014-2016.
2. Self Help Federal Credit Union
East Bay Branch: 1432 7th St.
Oakland, CA 94607
Tel: 877 369 2828
Headquarters: Durham, NC.
Total assets $1.950 billion
(20165)
80,000 customers
Credit Card Services: Yes
Commercial Services: Yes
Founded in 2008. A progressive credit union
that locates branches purposely in
underserved communities across U.S. Active
in California.
Provides a nonprofit loan fund, and advocates
for progressive economic policies as a
community development financial institution.
The institution exists to be a community activist
alternative to traditional banks and credit
unions. Self Help FCU has 130,000 members.
5 Bay Area branches:
Oakland, Vallejo
Pittsburg, San
Francisco, San Jose.
18 branches across
California.
Research to date
indicates that
SHFCU did not
originate enough
loans in 2014-16 to
be in the top 50
loan sources in
Alameda County.
See end Note 4.
3. Beneficial State Bank
East Bay Branch: 1438 Webster St.
Oakland, 94612
Website:
Tel: 888.326.2265
Headquarters: Oakland
Total assets $929 million
(2018)
Credit Card Services: TBD
Commercial Services: Yes
Founded in 2007 by Tom Steyer and Kat Taylor
Pursues economic justice and environmental
sustainability by focusing on:
Affordable Housing, Multi-family and
Neighborhood Stabilization, Sustainable Food,
Fisheries and Agriculture.
1 branch: in Oakland.
Other branches
throughout California,
Washington and
Oregon.
Does not yet offer
home loans.
4. Provident Credit Union
East Bay Branch: 1495 Clay St
Oakland, CA
Website:
Tel: 800 448-8181
Headquarters: Redwood City.
CA
Total assets: $2.2 billion.
20th l
argest credit union in CA
(2017)
Credit Card Services: TBD
Commercial Services: Yes
Founded 1950, originally the California
Teachers Association credit union.
Provident focuses on county and public-sector
institutions.
Provident is included because of its large scale
with over 100,000 members.
12 Bay Area branches
including: Oakland,
Alameda, San
Francisco, San Jose.
Branches throughout
California.
Provident CU
score for loans to
LMI borrowers is 5,
the highest score
possible.
POC score is 3.
Table 2: City of Berkeley Finance Services Candidate Banks and Credit Unions - Potential Bidders to 2018 RFP Socially Responsible Institutions with at least one branch in the Bay Area and evident potential for providing city banking services1 Page | 2 The criteria used to identify candidate banks and credit unions is shown on page
End Notes below explain each column - Notes 1 to 4. The last column shows loans made to Low to Moderate-Income (LMI) borrowers and LMI People of Color (POC) borrowers in Alameda Co.
5. Fremont Bank
East Bay Branch: 6300 College Avenue
Suite 160, Oakland, CA 94 618
Tel: (800) 359-2265.
Headquarters: Fremont, CA
Total revenue: $ 17.6 million
(2016)
Credit Card Services: Yes
Commercial Services: Yes
Founded in 1964, FB is the 4th largest home
mortgage lender in Alameda county from 2014-
2016 (home improvement, home refinance,
and home purchase loans.) A large percent of
loans serves low-to moderate-income people
and people of color. Fremont Bank Foundation
and Corporate Giving Program appear active;
FB is a family owned and operated bank.
20 Bay Area branches:
Oakland, Pleasanton,
San Francisco, San
Leandro, Walnut Creek,
and San Jose
Fremont Bank score
for LMI and POC
loans is 5, the
highest score
possible. No other
bank has this total
score.
6. Bank of the West
East Bay Branch: 1480 Shattuck Avenue
Berkeley, CA 94709
Tel: (510)-649-9191
Headquarters: San
Francisco, CA
Total revenue: $2.62 billion
(2008)
Credit Card Services: Yes
Commercial Services: Yes
Founded as a small bank in San Jose in the
19th century, Bank of the West is owned by the
French bank BNP Paribas, one of the largest
banks in the world.
BNP Paribas announced in October 2017 that
it will no longer fund new exploration,
production, transportation and export projects
related to Tar sands, fracked gas and the
Arctic, nor the companies involved in Keystone
XL and other pipelines.
12 Bay Area branches:
Berkeley (2) Oakland
(4), El Cerrito, Orinda,
San Francisco, San
Leandro, Pinole, and
San Jose
Bank of the West
score for loans to
LMI borrowers is 4,
the second highest
score possible. The
POC score is 2.
7. Umpqua Bank
East Bay Branch: 1333 North California
Blvd., Walnut Creek CA, 94596
Tel: 925-906-9179
Headquarters: Portland, OR
Total assets: $24 billion
(2015)
Credit Card Services: Yes
Commercial Services: Yes
Founded in 1953 as a credit union for worker’s
in the lumber industry, the bank has steadily
grown through acquisitions. Workforce
Diversity is a priority presented in the bank
website.
In 2014, awarded $3.4 million to nonprofit
organizations that assist low-to-moderate
income individuals and families. Gives
employees up to 40 hours of paid time each
year to volunteer with youth and community
development organizations.
10 Bay Area branches:
Walnut Creek, Corte
Madera, Benicia,
Concord, San Rafael,
Vallejo, Antioch San
Francisco (3), San Jose
The Umpqua Bank
score for loans to
LMI borrowers is 2,
the second lowest
score possible. The
POC score is 2.
8. Patelco Credit Union
East Bay Branch: 2033 Shattuck Avenue
Berkeley, CA 94704
Tel: 800.358.8228
Headquarters: Pleasanton, CA
Total revenue: $6.06 billion
(2018)
Credit Card Services: Yes
Commercial Services: TBD
Founded in 1936 to serve Pacific T&T; open
membership in 1980s. Now the 6th largest CU
in CA with more than 310,000 members
primarily in northern CA. 22nd largest lender in
Alameda County 2014-2016. Received award
for Social Responsibility from CU industry
association in 2017.
Numerous Bay Area
branches: Berkeley,
Oakland, San Leandro,
Pleasanton, Walnut
Creek, Fremont, San
Francisco and San Jose
The Patelco CU
score for loans to
LMI borrowers is 3.
The score for POC
borrowers is 4.
Table 2: City of Berkeley Finance Services Candidate Banks and Credit Unions - Potential Bidders to 2018 RFP Socially Responsible Institutions with at least one branch in the Bay Area and evident potential for providing city banking services1 Page | 3 The criteria used to identify candidate banks and credit unions is shown on page
End Notes below explain each column - Notes 1 to 4. The last column shows loans made to Low to Moderate-Income (LMI) borrowers and LMI People of Color (POC) borrowers in Alameda Co.
9. Community Bank of the Bay
East Bay Branch: 180 Grand Avenue
Oakland 94612
Tel: (510) 433-5400
Headquarters: Oakland,
CA
Total assets: $287 million
(2017)
Credit Card Services: No
Commercial Services: Yes
Founded in 1996, the bank is listed as
representative of smaller, local banks that may
be able to participate.
The bank provides a pro-environment
investment service, Bay Area Green Fund, to
reduce emissions and protect natural
resources by offering FDIC-insured bank
accounts that support financing of
environmentally sustainable projects and
businesses.
4 Bay Area branches:
Oakland, Danville, San
Mateo, and San Jose
Other Banks with Evidence of Conventional Social Responsibility Initiatives - to consider for RFP Outreach
Candidate Bank or CU Name
Closest East Bay Branch Location
Size / Headquarters /
Services 1
Description / Socially Responsible
Evidence 2
Text is from the bank or CU’s website and
Wikipedia
Bay Area Branches 3
Areas Served
Low to Mod
erate
Income (LMI)
Loan Ratings4
10. Union Bank
East Bay Branch: 2333 Shattuck Avenue
Berkeley, CA 94704
Tel: 510-843-6353
Headquarters: New York,
NY
Total revenue:
$5.28 billion (2016)
Credit Card Services: Yes
Commercial Services: Yes
Founded in 1864 as The Bank of California.
Formally Union Bank of California, in 2008 it
became wholly owned by The Bank of Tokyo-
Mitsubishi.
In 2016, charitable investment in the
community exceeded $15.8 million.
8 Bay Area branches:
Berkeley, Oakland, San
Francisco (4), and San
Jose
Union Bank’s loan
activity to LMI or
POC borrowers was
below the cut off of
the top 50 banks in
Alameda County
2014-16.
11. US Bank
East Bay Branch: 344 20th St.
Oakland, CA 94612
Tel: 510.891.2990
Headquarters:
Minneapolis, Minnesota
Total revenue:
$445.9 billion (2016)
Credit Card Services: Yes
Commercial Services: Yes
While the bank website notes beginning from
a small bank in Portland in the late 19
th
century, US Bank is a national conglomerate
that has grown through constant acquisitions
for the previous 50 years. US Bank has
recently replaced Wells Fargo in other cities.
Reports in 2017 of a corporate policy change
to reduce investments and loans for fossil fuel
projects appears to be greenwashing it’s on
going policy to fund carbon fuel extraction and
business responsible for carbon emissions.
12 Bay Area branches:
Alameda (3), Oakland (3),
El Cerrito, San Francisco
(2), and San Jose
The US Bank
score for loans to
LMI borrowers is 1
The score for POC
borrowers is 1.
Table 2: City of Berkeley Finance Services Candidate Banks and Credit Unions - Potential Bidders to 2018 RFP Socially Responsible Institutions with at least one branch in the Bay Area and evident potential for providing city banking services1 Page | 4 The criteria used to identify candidate banks and credit unions is shown on page
End Notes below explain each column - Notes 1 to 4. The last column shows loans made to Low to Moderate-Income (LMI) borrowers and LMI People of Color (POC) borrowers in Alameda Co.
Other Banks with Evidence of Conventional Social Responsibility Initiatives - to consider for RFP Outreach
Candidate Bank or CU Name
Closest East Bay Branch Location
Size / Headquarters /
Services 1
Description / Socially Responsible
Evidence 2
Text is from the bank or CU’s website and
Wikipedia
Bay Area Branches 3
Areas Served
Low to Mod
erate
Income (LMI)
Loan Ratings4
12. First Republic Bank
East Bay Branch: 2110 Mountain Blvd,
Oakland, CA 94611 (Montclair)
Tel: (510) 530-8881
Headquarters: Louisville,
Kentucky
Total Assets: US$73.3
billion (2017)
Credit Card Services: Yes
Commercial Services: Yes
Founded in 1985, First Republic Bank (FRB)
website information indicates a focus on
private banking, private wealth management,
including investment, trust and brokerage
services. It is owned largely by two private
equity firms, Colony Capital and General
Atlantic.
The FRB website, under the tab “About Us”,
includes a link to “Corporate Citizenship at
First Republic”. This link is to a 24-page
brochure, that presents 2017 loan history to
low to medium income borrowers and more
than a dozen nonprofit support activities and
community development partnerships.
Except for a branch in the
Montclair area, no bank
branches are on the Bay
side of the East Bay, e.g.,
Oakland and Berkeley.
Other branches are in
Orinda, Pleasanton,
Walnut Creek.
Republic Bank’s
score for loans to
LMI borrowers is
1 The score for
POC borrowers is
1. See Note 4.
Criteria Notes to Identify Candidate Banks and Credit Unions for the 2018 Banking Services RFP Note 1 Internet research of banks and credit unions identified the above list of potential candidates for the City of Berkeley (City) Banking Services 2018 RFP. Three criteria were used to develop the list:
1. The banks or credit unions have an office in the Bay Area and preferably in the East Bay.
2. The banks or credit union have the size and offer banking services that could serve the City of Berkeley.
This criterion assumes that the 2018 RFP would be structured to allow more than one bank to provide services. The services appear to be at a scale to suggest the potential to provide some level of financial services to the City of Berkeley if more than one bank is involved.
3. The bank or credit unions promote socially responsible policy and community development loans and programs as a corporate priority and have a record of no fraudulent or illegally exploitive banking practices in recent years. - see Note 2.
The Task Force is working to identify as many candidate banks and credit unions as possible that meet the three criteria list above.
End Notes below explain each column - Notes 1 to 4. The last column shows loans made to Low to Moderate-Income (LMI) borrowers and LMI People of Color (POC) borrowers in Alameda Co.
Criteria to Identify Candidate Banks and Credit Unions - continued The website research was conducted in January and February 2018. The research indicates the above banks or credit unions provide services beyond personal banking for individuals and families. The services provided include Commercial, Business,
Public Sector or Non-Profit services. “Commercial Services” is used in the second column as a proxy that the bank provides services beyond personal banking. Further information is needed to confirm the potential capacity of each of the candidates identified to date to provide the desired finance services to the City. This work will continue in the Task Force The website information indicates the above banks have assets that are large enough to indicate a potential capacity to respond to the 2018 RFP and provide some financial services. • Two of the banks fall into the State of California Department of Financial Institutions asset group of $100 to $500 million in assets: Beneficial State Bank and Community Bank of the Bay. This size data is expected to be part of the City’s 2018 RFP criteria.
• An informal estimate is that all of the above banks have $50 million to $75 million in collateral and the capacity to process up to $50 million in deposits and robust overdraft protection. Community Bank of the Bay, one of the smallest banks listed, may fall below this capacity criteria.
Note 2 In addition to the potential to provide services to the City based on scale, the banks and credit unions identified above expressed purposeful policies and services to actively address environmental protection, community development, and underserved communities.
The institutions are listed in an informal ranking of the progressive policies and actions found on the respective web sites:
• Amalgamated Bank, Self Help Federal Credit Union, and Beneficial State Bank present the most active environmental and community development policies of the candidates identified. • Umpqua and Community Bank of the Bay provide less activist and more traditional community benefit programs. • The research here indicates that US Bank and First Federal Republic have somewhat less in community benefit programs, particularly if the percentage of loans to low or medium income borrowers is considered.
End Notes below explain each column - Notes 1 to 4. The last column shows loans made to Low to Moderate-Income (LMI) borrowers and LMI People of Color (POC) borrowers in Alameda Co.
Note 3 The column titled, Bay Area Branches / Areas Served adds information about the institution’s scale and capacity to provide services to the City.
• Two of the candidate banks, Amalgamate and Beneficial State Bank, have two or fewer offices located in the Bay Area’s standard metropolitan statistical area. This branch location data is expected to be part of the City’s 2018 RFP criteria.
Note 4 The last column reports draft data-based ratings of the candidate financial institutions developed by the Greenlining Institute, based in Oakland for the 50 banks and CUs with the most loans 2014- 16: a) for low and moderate income (LMI) borrowers and, b) for low-moderate income people of color (POC) borrowers in Alameda County. The purpose is to rate banks as community resources that promote and achieve race and class fairness in their pursuit of mortgage business.
The Greenlining Institute assigned a score to each bank in the top 50 of loan origins in Alameda County based on the share of home loans the bank extended to low-to moderate-income people from 2014 to 2016.
Banks that originated less than 8.6% of their loans to LMI or POC borrowers received a score of 1. US Bank is an example.
Banks that originated between 8.6% and 11.4% of their loans to LMI or POC borrowers received a 2, the second lowest score.
Banks that originated between 11.5% and 13.4% of their loans to LMI or POC borrowers received a score of 3 Banks that originated between 13.5% and 14.8% of their loans received a score of 4, and Banks that originated more than 14.8% of their loans to low-to moderate-income borrowers received a score of 5. Fremont Bank is an example.
Discussion of rating banks: The data is for all HMDA loans In Alameda from 2014-2016 for 1-4 Family Homes and Manufactured Homes, Home Improvement Loans, Refinance, and Home Purchase loans. We looked specifically at loans to low and moderate- income borrowers instead of low to moderate income census tracts because banks are lending to upper income people in low income areas, exacerbating gentrification and displacement pressures in Alameda County.
The race equity score is particularly important due to the history of racial exclusion through deed restrictions, zoning laws and redlining in the region, and the enduring legacy of such practices and policies that can still be seen today. Loan denials to low and moderate-income borrowers is a more important measure of bank polices and this data will be added in May-June 2018.
Finally, the data used here is for Alameda County in recent years, where the price of a home has increased beyond the reach of many Low to Moderate Income potential borrowers. Therefore, record of loans used here may be different if data from the California Central Valley were included-where more loans are made to low income home buyers. Similarly, the record of loans may be different if other than home loans to low income borrowers were included.
End Notes below explain each column - Notes 1 to 4. The last column shows loans made to Low to Moderate-Income (LMI) borrowers and LMI People of Color (POC) borrowers in Alameda Co.
Task Force Research/Outreach Note:
Additional candidate banks or credit unions, with
socially responsible practices, investment actions and reputations, will be included as candidates based on continued outreach and input to the Socially Responsible Banking Task Force.
Resources: Greenlining Institute. The Greenlining Institute is a policy, research, organizing, and leadership institute working for racial and economic justice.