1 APPROVED AS TO FORM AND LEGALITY
________________________
CITY ATTORNEY’S OFFICE
OAKLAND CITY COUNCIL
RESOLUTION NO. ______________ C.M.S.
RESOLUTION 1) AMENDING RESOLUTION 87062 C.M.S., WHICH
ESTABLISHED THE SUG AR-SWEETENED BEVERAGE
DISTRIBUTION TAX SUB-FUND WI THIN THE GENERAL PURPOSE
FUND FOR THE PURPOSE OF CO LLECTING SAID TAX REVENUES,
TO, UPON A DECLARATION OF EXTREME FISCAL NECESSITY,
SUSPEND THE REQUIREMENT TO CONSIDER ADVISORY BOARD
RECOMMENDATIONS PRIOR TO AP PROPRIATING FUNDS; AND 2)
DECLARING A STATE OF EXTREM E FISCAL NECESSITY FOR THE
PURPOSES OF SUSPENDING SAID RESTRICTIONS ON THE USE OF
SUGAR-SWEETENED BEVERAGE TAX REVENUE
WHEREAS, in November 2016, the City of Oakl and voters adopted Measure HH which added Chapter 4.52 “Sugar-Sweetened Beverage Distribution Tax Ordinance” to the Oakland Municipal Code (the “Ordinance”) and impos ed a one cent per oun ce general tax on the distribution of sugar-sweetened beverages in Oakland (the “Tax”); and
WHEREAS, the Ordinance provides that all tax revenue collected and remitted to the City pursuant to the Ordinance shall be deposite d in the City of Oakland unrestricted general fund to be used for any lawful government purpose; and
WHEREAS, the Ordinance established a Community Advisory Board (the “Board”) to advise and make recommendations on how and to what extend the City Council should establish and/or fund programs to prevent or reduce the he alth consequence of the consumption of sugar- sweetened beverages in Oakland communities; and
WHEREAS, in 2018, the City Council passed Resolution No. 87062 C.M.S., which established a new sub-fund w ithin the General Purpose F und designated as the “Sugar- Sweetened Beverage Distribution Tax Fund” (the “Sub-Fund”) for deposit of all Sugar- Sweetened Beverage Distribution Tax revenue; and
WHEREAS, Resolution No. 87062 C.M.C. provides that the Sugar-Sweetened Beverage Distribution Tax revenue shall be appropriated by the City Council only after the City Council receives and considers the recommendations of the Board regarding the expenditure of said general tax revenues for programs that prevent or reduce the hea lth consequences of consuming sugar-sweetened beverages; and
WHEREAS, the City Administrator recommends that the requirements of Resolution No. 87062 are suspended upon a declaration of extr eme fiscal necessity by the City Council so that the Sugar-Sweetened Dist ribution Tax revenue may be us ed for any lawful government purposes as provided in the Ordinance adopted by the voters; and
WHEREAS, pursuant to Resolution No. 90327 C.M. S., the City Council declared an extreme fiscal necessity for the fiscal year 2024-2025 budget cycle; now, therefore, be it
RESOLVED: That Resolution No. 87062 C.M.S. is hereby amended to, upon a declaration of extreme fiscal necessity by the City Council, allow for a suspension of the requirement that the City C ouncil consider the Board’s reco mmendation prior to appropriating Sugar-Sweetened Beverage Distribution Tax revenue in the Sub-Fund; and be it
FURTHER RESOLVED: That the City Council hereby declares an extreme fiscal necessity and for the fiscal year 2024-2025 budge t cycle suspends all restrictions on the appropriation of Sugar-Sweetened Beverage Tax revenue in th e Sub-Fund to allow the Council to appropriate said funds for any lawful purpose.
IN COUNCIL, OAKLAND, CALIFORNIA,
PASSED BY THE FOLLOWING VOTE:
AYES - FIFE, GALLO, JENKINS, KALB, KAPLAN, RAMACHANDRAN, REID, AND
PRESIDENT FORTUNATO BAS
NOES –
ABSENT –
ABSTENTION –
ATTEST:
ASHA REED
City Clerk and Clerk of the Council of the
City of Oakland, California
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