Laserfiche WebLink
File Number: 17-313 <br />1.B. Announcements <br />City Manager Zapata stated that Councilmember Hernandez is out of town. <br />2. DISCUSSION ITEMS <br />2.A. 17-194 Staff Report on divestiture from Wells Fargo Bank due to its funding of <br />the Dakota Access Pipeline (DAPL) Project <br />City Manager Zapata stated that a group of concerned residents of San Leandro, Our <br />Revolution San Leandro, that advocated Council for two items, making San Leandro a <br />“sanctuary city” as well as accelerated minimum wage, both of which the City Council has <br />approved. Our Revolution San Leandro, has followed up with raising a shared concerned on <br />sustainability, climate care, and the divestment from Wells Fargo and other financial <br />institutions due to the funding of the Dakota Access Pipeline (DAPL) Project. Sustainability <br />Manager Barros stated that in 2009 the City of San Leandro began a Climate Action Plan; <br />however, departments were not coordinated. In September 2016, the City created and <br />funded a Sustainability Manager position. The City will now begin to report on Greenhouse <br />Gas Emissions, join the Covenant of Mayors, create a new action plan, and to look at <br />adaptation strategies. The City will look into how to prepare for impacts due to greenhouse <br />gas emissions, e.g. the shoreline, extreme weather and heat, and actively pursuing grants. In <br />addition to the $5.4 million project to install energy efficient and water savings improvements, <br />the City has been awarded a $1.9 million State grant, to be used to install solar panels at the <br />Water Pollution Control Plant. The City is also working with Alameda County on community <br />choice aggregation, East Bay Community Energy, that is to procure locally produced, <br />renewable energy. <br />Finance Director Baum reiterated the information provided at the April 4, 2017 Finance <br />Committee, including the process of issuing a Request for Proposal (RFP) and/or Request for <br />Qualifications (RFQ) for banking services, and the City does have an investment in Wells <br />Fargo for $700,000 that can be sold. A request for review of the City’s investment policy was <br />made, and it will come before the Finance Committee in June as part of the annual process. <br />Mr. Baum stated that there are a few agencies that have gone out for an RFP for banking <br />services. The City of Hayward received five proposals this week, including one from a <br />non-DAPL bank. There is a potential to get the services needed from a bank that is not <br />investing in DAPL. However, due to the shortage of staff and the hours needed to devote to a <br />RFP/RFQ process, it is recommended by staff not to go out for an RFP/RFQ. Staff is <br />proposing to divest from a current investment in Wells Fargo and not invest in any more Wells <br />Fargo securities for a period of 3 years. <br />Councilmember Lee stated the he believes the fee that Well Fargo is too expensive and holds <br />his position to look into other banks. He also stated that we should allow the current <br />investment in Wells Fargo to mature, (which is next year), and then have a policy to not to <br />invest in any future Wells Fargo securities. <br />Page 2 City of San Leandro Printed on 5/30/2017 <br />86