Emeryville City Council returned from its August recess with a fairly robust agenda Tuesday night, taking up a looming financial challenge for AC Transit, a $1.09 million homelessness-services contract, another proposed infusion of funding for the Emeryville Arts Center, and the city’s annual property-tax levy for its affordable-housing bond. The council also considered a League of California Cities resolution that could have significant implications for local control over housing and land-use decisions.

Councilmember Courtney Welch was absent for the meeting.

AC Transit warns of major service cuts if regional transit measure fails [32:32]

The meeting opened with AC Transit officials warning that the agency faces a projected $200 million deficit over the next four years, with a funding gap of at least $50 million annually beginning in 2027.

Claudia Burgos, AC Transit’s chief external affairs officer, said the agency serves 13 cities and eight unincorporated communities, carrying roughly 40 million passengers a year. Rising costs—including a 28% increase in fuel, 14% in maintenance parts and 35% in new buses—have compounded the problem despite recent cuts and other cost-saving measures.

Without additional long-term funding, AC Transit warned that service could be reduced by as much as 16%, with layoffs of up to 300 employees. A roughly $55 million state bridge loan will prevent immediate cuts, but must eventually be repaid, pushing the funding problem into next summer.

The agency’s best hope is a Regional Transit Measure (Proposition RTM) that will go before Bay Area voters in November. The proposed 14-year sales tax is projected to provide AC Transit with about $52 million annually. If the measure fails, Emeryville would see service reductions rather than improvements.

Mayor Kaur also asked about extending bus service toward Powell Street Towers and Watergate, potentially making it easier for residents there to reach the freeway and other transit connections.

Public Comment [55:18]

During general public comment, Quinn Eide, an Emeryville resident and executive director of Fossil Free California, asked the council to consider a resolution opposing coal trains passing through the city.

Eide said a proposed coal-export port could generate enough traffic to send three 100-car coal trains through Emeryville each day. Richmond has already passed a similar resolution, while Berkeley was considering one, Quinn said.

CONSENT CALENDAR: Council questions $1.09 million Operation Dignity contract [57:31]

At the request of Councilmember Priforce, items 9.11 and 9.13 of the consent calendar were pulled from the agenda.

9.11 included the approval of a three year contract totaling approximately $1.09 million with Operation Dignity for homeless support and housing-navigation services.

Priforce said his concern was not whether the city should spend money addressing homelessness, but whether the contract represented the best use of city funds. He pressed staff for more information about how the program measures its results and what the city receives for its investment.

Housing Manager Valerie Bernardo said the expanded scope would provide dedicated street outreach five days a week, limited weekend service, evening coverage and housing-navigation services.

Priforce also asked about the city’s ability to change or terminate the contract if performance or community needs changed. The city attorney said the agreement includes both termination-for-cause and termination-for-convenience provisions.

Mayor Kaur asked how the program’s outcomes were being measured.

A new reporting system tracks the organization’s monthly work; in August, Operation Dignity had connected with 67 people, including six who were new to its services.

Priforce moved to pause the renewal pending additional information and possible review by the Housing Committee. His motion failed to receive a second.

Councilmember Mourra recounted his experience trying to help relatives navigate homeless services, noting that while county programs were robust, navigating them was nearly impossible. He said the experience reaffirmed the need for an organization like Operation Dignity to help people navigate those bureaucratic hurdles. Mourra then moved to approve the contract, seconded by Vice Mayor Solomon.

The council ultimately approved the contract 3-1 (Priforce dissenting).

Arts Center organization gets another $247,000 [1:39:45]

The other item pulled from the consent calendar, 9.13, involved a $247,000 amendment to the city’s contract with Art Is Luv to develop the organization that could ultimately operate the Emeryville Arts Center. The amendment brings the contract to approximately $545,000 and extends it through June 2028.

Before the discussion began, Mayor Kaur asked that questions be kept succinct. Priforce objected, saying he had First Amendment rights and a duty to Emeryville residents and felt he was being singled out.

Community Development Director Chad Smalley said the work is focused on building the nonprofit structure needed to operate the Arts Center, including establishing a temporary steering group and finding a fiscal sponsor. He said the project is significantly more expensive than originally anticipated, while potential philanthropic donors have been reluctant to make major commitments without knowing who would operate the facility.

“Would you like to make a big contribution to this $60 million Art Center?” Smalley said, describing the question potential donors have raised. “Well, who’s running it?”

Smalley said finding a founding executive director is ultimately a core objective, but the work is deliberately milestone-based rather than tied to a rigid timeline.

Charmin Roundtree-Baaqee of Art Is Luv said the group remains committed to the project but does not want to rush the process. The immediate goal, she said, is to establish a “proof of concept” through partnerships with residents, artists, city staff and a steering committee before moving toward hiring an executive director.

The additional funding is therefore intended not simply to advance plans for a building, but to establish the organizational infrastructure needed to make the future Arts Center viable and ultimately more attractive to outside funders.

The council approved the amendment 4–0.

PUBLIC HEARING: Measure C property-tax rate approved [1:52:53]

The council held its annual public hearing on the property-tax levy supporting Measure C, Emeryville’s affordable-housing general obligation bond.

The proposed tax rate for secured property—primarily land and buildings—was $44.61 per $100,000 of assessed value, down from $47.30 last year. The rate for unsecured property, such as aircraft and other property not tied to land, was set at $47.30 per $100,000, up from $43.66 last year.

The council waived the staff presentation but asked Finance Director Sharon Friedrichsen to clarify the rates and what they mean for property owners. Friedrichsen confirmed that the tax is calculated using the property’s assessed value as determined by the county, rather than its current market value.

There was no public comment, and the council approved the levy 3–0.

ACTION ITEM: Council Divided Over League Housing Resolution [1:59:58]

In perhaps the most substantive debate of the meeting, the council considered whether Emeryville should support or oppose a League of California Cities resolution sponsored by Murrieta, a Southern California city in Riverside County, concerning local control over housing and land use.

The resolution would establish a working group to consider potential changes to the California Constitution aimed at restoring and strengthening local authority over housing and land-use decisions.

Councilmember Mourra argued against supporting the resolution, saying Emeryville has taken a different approach to state housing requirements.

“It kinda sounds good on the surface of it,” Mourra said, “but once you look into it, it just seems like they’re taking up issue with the state’s requirements that they build their fair share of housing.”

“We are a pro-housing city,” Mourra said, arguing that cities such as Murrieta should meet their housing obligations rather than seek relief from state requirements. He moved to oppose the resolution.

Mayor Kaur took a different view, arguing that Emeryville demonstrates that local control can coexist with a strong commitment to housing production, including affordable and fair housing. She said cities have different circumstances and should be able to make decisions based on their own needs, while warning that surrendering local control in one area could pave the way for losing it in others.

Vice Mayor Solomon seconded Mourra’s motion, arguing that Emeryville has demonstrated that housing growth and local planning can coexist, while other cities also have a responsibility to build housing. He said state laws do not completely eliminate local control but can compel cities that have historically resisted housing development to do their “fair share,” pointing to early effects of SB 79 in cities such as Atherton.

Priforce, who had temporarily left the dais and returned during the discussion, argued that so-called YIMBY policies were failing and described them as “Trojan horses” that could allow projects such as data centers to move forward without cities having the ability to oppose them. He also challenged Emeryville’s self-described status as a pro-housing city, pointing to continued increases in rents.

With Welch absent, Mourra’s motion to oppose the resolution failed 2–2 (Kaur and Priforce voting nay). Priforce subsequently offered an amended motion to support the resolution, which also failed 2–2. With neither position receiving a majority, the council took no formal position on the League resolution.

Kaur, who will represent Emeryville at the League’s Annual Conference and Expo in Anaheim September 23–25, said she did not want to be forced to abstain when the resolution comes before the League. She asked whether the matter could return to the council on September 15, when all five councilmembers could potentially be present to break the deadlock.

Planning Commission Report / Future Agenda Items / Adjournment [2:17:43]

The council was informed of a vacancy on the Budget Advisory Committee but decided not to fill it while the city considers reorganizing the committee.

Community Development Director Chad Smalley provided a recap of the August Planning Commission meeting and all actions taken.

Mayor Kaur requested that a future agenda item revisit whether the city should support or oppose the League resolution, a request that received majority support.

The meeting was adjourned at 8:56 p.m. in honor of a former Emery Unified teacher Armine Gesaryan Makdessian who recently passed away.

The complete agenda and agenda packet can be downloaded through these links [PDF] .