26-0912: Subject: Coliseum Payment Allocation From: Finance Department Recommendation: Adopt A Resolution Appropriating And Allocating Fifty Million Dollars Of The Proceeds Of The Sale Of The City Of Oakland’s Undivided Fifty Percent Interest In The Coliseum Complex To California Public Employees Retirement System For A Discretionary Payment Of City’s Unfunded Accrued Liability For Retirement Benefits

Description

Subject: Coliseum Payment Allocation From: Finance Department Recommendation: Adopt A Resolution Appropriating And Allocating Fifty Million Dollars Of The Proceeds Of The Sale Of The City Of Oakland’s Undivided Fifty Percent Interest In The Coliseum Complex To California Public Employees Retirement System For A Discretionary Payment Of City’s Unfunded Accrued Liability For Retirement Benefits

Summary

Oakland staff recommended, and the City Council resolution would authorize, directing up to $50 million from the sale of the City’s 50% interest in the Coliseum Complex to CalPERS as an extra payment toward the City’s unfunded retirement liability. The proposed sale would provide $50 million in cash for the Arena Parcel and $60 million in seller-financed proceeds for the Stadium Parcel, plus a previously received $5 million deposit, for $125 million total revenue. The $50 million payment could arrive as early as September 2026; the remaining $70 million would require future Council appropriations. The action follows Oakland’s fiscal policy favoring one-time revenues for long-term obligations and is intended to reduce future pension costs from an approximately $2 billion unfunded liability. No direct outreach or racial-equity analysis was conducted.