oakland city council divestment resolution, report

8/12/2019 Oakland City Council Divestment Resolution, Report

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P F i C t OF THECfTV SLtH KO A K L A N D14HAY29PHM53 CITY OFOAKLAND

CITY HALL - O N E F R A N KH.O G A W A P L A Z A ,2 FL OOR - O A K L A N D - C A L I F O RNI A 94612D A N K A L B ' (sio) 238-7001CouncilmemberDistrict FAX(510)238-6910E-mail:[email protected]

May 29 2 14FINANCE MANAGEMENTCOMMITTEEOakland City CouncilOakland,CA

SUBJECT: Resolution of the Oakland CityCouncil(1) declaring a city policy prohibitingthe investment of city funds or holding any investment or ownership stake inany companiesthatextract, produce, refine, burn or distribute fossil fuels, and(2) directing the city administrator or his/her designee to examine the city'sholdingsandfutureinvestments to assurethatthe city complieswiththis policy,and (3) urging the governing boards of the Oakland municipal employees'retirement system (OMERS), the Oakland Police and Fire Retirement System(PFRS) and the California Public Employees' Retirement System (CalPERS)todivest from all publicly-traded fossil fuel companies, and (4) urging other localjurisdictionsthatintersectwithOakland to divest from all publicly-traded fossilfuel companies, all in aneffortto support the goals of the Oakland energy andclimate action plan and diminish the use of fossil fuels that significantlycontribute to climate change.

ChairpersonSchaaf and Members of the Finance Committee:S U M M A R Y ' V

Authored byCounc i lmember Kalb,thisproposed resolut ionwill prohibit theCityofO aklandfromholdingin its investment portfolio anyinvestmentsand/or anyownership stakein FossilFuelcompanies^.Theresolut iondirectstheCityAdministratorto examinetheCity'scurrentf inancialholdingsand divest from Fossil Fuelcompaniesand to performperiodicreview of the City'sinvestmentportfolio to ensureongoingcompliancewith thepolicy.Theresolut ion alsourgestheOakland Munic ipa l Employees' Ret i rement System (OMERS) ,theO akland PoliceandFireRet i rement System (PFRS)and theC al i fornia Public Employees'R et irement System (CalPERS)

'For thepurposesofthisreportand the resolution a fossilfuelcompany shall be defined as any publicly-traded companythatextracts,produces,refines,bumsordistributesany fossil fuels and anycompanywith thelargestcoal,oi l ,and gasreservesasmeasuredby thegigatonsof carbon dioxidethatwould beemitted ifthosereserveswere extractedandburned,200largestof whichare listed in the Carbon Tracker Initiative's Unbumable Carbon report,http://www.carbontracker.org/wp- .content/uploads/dovvnloads/2011/07/Unbumable-Carbon-Full-rev2.pdf. Page13 .^j , ,


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Boardsand othe r local and special distr icts jur isdict ions' to adopt policies consistentwith thisresolut ion.FISCALIMPACT

Fiscal impact of this policywillbe negligible to none.According to KatanoKasaine City Treasury Manager Oakland has extremely minimal investmentif any in fossil fuel com panies so transac tion costs assoc iated with liquidating or divesting holdingsshould b e de minimus.Staff already performs periodic audits of City's investments to complywitho ther social lyresponsible investments policies. Very l imitedstaffresources may be needed on anintermittentbasis for per forminginitial revisions of the current investment portfolio and providingadministrat ive support.

BACKGROUND/LEGISLATIVE HISTORYOakland has been one of the leading cities in the U nited S tates in establishing progressive so cial lyand environ me ntally responsible investmen t policies. O ver the years a num ber of sustainabil i ty-related resolut ions and ordinances were adopted in the City of Oakland .The fol lowing l isthighlights some of the most relevant environmental policies for the adopt ion of this proposedresolut ion:

The O ak land Energy and C l imate A ct ion Plan(ECAP )' was adopted by the CityCounci lo nDecember4, 2012 , it statesthat: The comb ust ion of fossil fuels used for transp ortat ion isama jor source of GHG emissionsassociatedwithO akland...O ther local air pollutants ,l inked to increased incidence of health problems such as asthma and cancer alsocommonly resul tfrom use of transportat ion fuels.Addressing transportat ion emissionspresents a t remendo us o pportuni ty to s im ul taneously reduceG HGem issions and im provethe health ofO aklandresiden ts, while reducing depen dence on foreign oi l and localvulnerabil i ty to energy price f luctuat ions.

Extend ed P roducer R esponsibi l i ty R esolut io n'^ Author iz ing the Ci ty to pursue and supportstatewid e and local legislat ive and other ini t iat ives to hold producers responsible for theirproducts and waste associatedwith them.

OilIndependentby2020ActionPlanTheplan was created by the Task Forcethat brought together members of diverse local,state and nat ional organizat ions. The plan concentrates on local measures to reduce oi ldependencyand reduce greenhouse gasemissions. It did not address divestment which isanothertool to not onlyfurther O akland's independence of fossil fuels, but also todemonstrate solidari tywith the new environmenta l divestment movement .

In the past Oakland also adopte d several s imilar divestm ent policies, such as divestmen tfromnuclearweapons,tobacco, a lcohol and manufacturers of f i rearms or am mu ni t ion.


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ANALYSISGlobalandlocalharmfromFossil FuelsEnvironmental and public health consequencesfrom extract ing, producing, ref ining, burning anddistr ibut ing fossi l fuels is well-doc um ente d.

Virtu ally any activity involving fossil fuels not only con tribute s to the release of heat-trap pingemissions of greenhouse gases and subsequent global warming, but also pollutes water, air^', soiland causes harm to humans^ and other species com prising the E arth's flora and faun a. R esidentsof W est and E ast O akland experience f irsthand the results of air pollut ion from burning andtransport ing fossi l fuels. Ac cording to the Bay Area Air Quali ty M anage me nt D istr ict report^' onth e CARE program W est O akland is one of the m ost impacted areas in the BayA rea.. .Besidesp ollut ion, O akland, as a coastal ci ty, should be keenly interested in curbing GlobalWarming and i ts effects.Sea level rise is one of the other major affects of anthropogenic globalwarmingthatwill affect Oakland directly in thefuture'^A ffects of D ivestmen t cam paign: f ^ *O ne can argue'^thateven if a large percentage of Amer ican companies divested i t wouldn't beenough to create enough f inancial incent ives for the major coal ,oil and natural gas com panies to 'change their behavior. P erhaps one of the mostimportant and powerful affects of divestmen t isthe factthat i t is shaping public opinion and att i tudes, and eventually behaviors. Divestm entwon't do this by directly affec ting share prices, at least in the short run these com panies are therichest enterprises in history. Instead, as the country's colleges, ci ties and denom inat ions begin tocut their t ies, we' l lstart to revoke the social license of these firms. Many of the nation's elites siton college boards, forcing them to grapplewith the factthat the fossil fuel industry is now anoutlaw against the laws of physics. Bill McK ibben, founder of 350.orR said.^' , *In the long term , due to the mo unt ing public pressure, consequent changes in policies and scarcityof fossil fuels resources, investing in fossil fuel stocks may become progressively risky.Social, poli t ical and f inancial pressure of the fossi l fuel divestment movem ent can promote redirect ing investment to renewable energy alternat ives that can trigger 'disruptive inn ova tion ' andsubst itute fuels as a primary source of e nergy supply '^ . There are mu ltiple reports ' ' thathavebeco me available in the rece nt years on green investm ent providin g cities^'^ and other institution swith informa tion and possible pathways to more sustainable f inancial port fol ios.ForO akland, it 's not onlyimportant to exercise itsright to divest, but also to urge othermunicipali t ies and inst i tut ions tojoin the m ovem ent. The City has no direct control over the fundsof O akland M unicipal E mployees ' Ret i rement S ystem (OMERS) ,the O akland Police and FireRet irement System (PFRS)or the C ali fornia Public Employees' R et irement System(CalPERS)Boards,which have ret irement investment port fol ios of approximately $4.5mil l ion^^$454,193,847'' '' ' and $292.4 bill ion ' ' respectively. H owe ver, the O akland City C ounc il canencourage those R et irement Boards to adopt similar divestment policies. ^ > '


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T h e C a l i fo r n i a P u b l i c E m p l o y e e s ' R e t i r e m e n t S y s t e m (CalPERS) f u n d a lo n e h as appro x i mate l y10.7% or approx imate ly $25 b i l l ion '^ ' o f the i r inves tments in Fossi l F u e l c o m p a n i e s .A c c o r d i n g t o B i l l M c K i b b e n D i v e s t m e n t a l o n e w o n ' t s o l v e g l o b a l w a r m i n g n o t h i n g a l o n e w i l l .Bu t i t ' s o n e po w e r f u l way to e x e r t s o m e le ve rag e . '' '

O UT C O MEI n ve s tme n ts n o t o n l y p ro te c t f i n an c i a l re s o u rce s , b u t a l s o re f le c t va lu e s . A do p t i o n o f th i s * ^re s o lu t i o n w i l l f u r th e r de m o n s t ra t e O ak lan d ' s s t ro n g s tan ds f o r e n v i ro n me n ta l an d s o c i a lre s po n s i b i l i t y va lu e s . It w i l l e s tab l i s h an e x pre s s C i t y po l i cy n o t to s u pp o r t i n ve s tm e n ts i n an ypr i va te b u s i n e s s e n t i t y h av i n g as th e i r co re p rac t i ce th e e x p lo i ta t i o n o f E ar th ' s re s o u rce s an dpo l l u t i o n o f th e a tm o s p h e re an d b i o s ph e re e s s e n t i a l f o r h u m an an d o th e r s pe c i e s s u rv i va l . It w i l lalso add Oak la n d to th e l i st o f mo re th an twe n ty o n e c i t ie s an d mo re th an tw o h u n d re d co ll e g e san d u n i ve rs i t i e s i n th e U n i te d S ta te sthat co mpr i s e a rap i d l y g ro w i n g ac t i ve mo ve me n t to re du cecu r re n t d e pe n de n ce o n f o s si l f u e l s an d p ro te c t o u r p lan e t an d tak e an ac t i ve s tan d to p ro te c tp re s e n t an d f u tu re g e n e ra t i o n s o f h u ma n an d o th e r s pe c i e s f ro m h o r r i f i c an d rap i d e x t i n c t i o n s .D i v e s t in g f r o m Fossi l F u e l co m pa n i e s an d in du s t r i e s w i l l pu t soc ia l , po l i t i ca l an d e co n o mi c p re s s u reo n th e s e e n t i t i e s an d co u ld mo ve u s c lo s e r to t ran s i t i o n i n g to a l te rn a t i ve , c le an e n e rg y re co u rs e sf o r me e t i n g o u r e n e rg y n e e ds .

RECOMMENDATIONC o u n c i l m e m b e r K a lb r e c o m m e n d sthat th e C i t y C o u n c i l ado p t th i s R e s o lu t i o n .

Respectfiillysubmitted, \ *

Dan Kalb,CouncilmemberC o n t a c t : O lg a B o lo t i n a 'D e p a r t m e n t : O f f i c e o f D a n K a l b , C o u n c i l m e m b e r , D i s t ri c t 1T e l e p h o n e : 5 1 0 - 2 3 8 - 7 2 4 0 F a x : 5 1 0 - 2 3 8 -6 9 1 3 0 e m a i l : o b o l o t i n a @ o a k l a n d n e t . c o m

/ A fto rn e y>4s s/ gn e c /: P e layo L lamas , De pu ty C i t y A t to rn e ycc :Fred B lackwell, City Administrator\ HenryGardner,InterimCity AdministratorWalter L. Johns on,President Police andFireRetirement BoardWilliamC. Russell,President Oakland MunicipalEmployees Retirement Board

A CTransit,B A R T ,EastB ay M U D ,EastBay Regional ParksDistrict,PeraltaCommunity Colleges.


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Sustainability related resolutions and ordinances adoptedinthe CityofOakland, ^-- A-: ^^http://www2.oaklandnet.conVGovernment/o/PWA/s/SO/OAK025298 . ' .: '\v' ; ^^^ '^

Sustainability related resolutions and ordinances adopted inthe CityofOakland,http://www2.oaklandnet.eom/Govemment/o/PWA/s/SO/OAK039056

Resolutionauthorizing thecityofOaklandtopursueand supportstatewideandlocallegislative andotherinitiativestoholdproducers responsibleforproductwastestartingwithproducts defined as universalwaste,http://www2.oaklandnet.com/oakcal/groups/pwa/documents/report/oak025374.pdf , .

"O il IndependentOakland Act ionPlan,2008, http://www.ecocitybuilders.Org/wp-content/uploads/2010/l l / O I O -ActionPlan.pdf^The Sources andSolutions:FossilFuels, http://www2.epa.gov/nutrientpollution/sources-and-solutions-fossil-fuels"Estrogen and Androgen ReceptorActivitiesofHydraulicFracturingChemicalsand Surface and Ground Wateri naDrill ing- DenseRegion, http://press.endocrine.org/doi/abs/10.1210/en.2013-1697

^"BayArea A irQualityManagementDistrict( A i rDistrict) CommunityA ir RiskEvaluation( C A R E )report,2014,Page 5,http://www.baaqmd.gov/~/media/Files/Planning%20and%2QResearch/CARE%20Program/Documents/CARE_Retrospective_April2014.ashxLi v i ngwithaRising Bay:Vulnerabilityand Adaptation in SanFranciscoBayand on its Shoreline , San FranciscoBayConservation and DevelopmentCommission(SFB C D C ) ,Page 31, . . -. f/ ;http://www.bcdc.ca.gov/BPA/LivingWithRisingBay.pdf" http://www.ihunewsletter.com/2012/12/06/divesting-stocks-is-the-wrong-strategy-46953/

http://www.nytimes.com/roomfordebate/2013/01/27/is-divestment-an-effective-means-of-protest/tuming-colleges-partners-into-pariahsStrandedassetsand the fossilfueldivestment campaign: whatdoesdivestment meanforthe valuation offossilfuelassets?http://www.smithschool.ox.ac.uk/research/stranded-assets/SAP-divestment-report-final.pdf Page 17

Institutional Pathways toFossil-FreeInvestinghttp://63Inil k i 9k l gbkhx39b3qpzua.wpengine.netdna-cdn.com/files/2013/06/institutional-pathways-final-061813.pdf .Beyond FossilFuels:TheInvestmentCase forFossilFuelDivestmenthttps://s3.aiTiazonaws.com/s3.350.org/images/Impax20130704_white_paper_fossil_fuel_divestment_uk_final.pdfA CompleteGuideto Reinvestment https://s3.amazonaws.com/s3.350.org/images/Reivestment_Guide.pdf

Resilient Portfolios&Fossil-Free Pensions https://s3.amazonaws.com/s3.350.org/images/Resilient-Poi1folios-and-Fossil-Free-Pensions-ByH1Pinvestor-GoFossilFree-vFinal-20130ct31.pdf

Oakland MunicipalEmployees'Retirement System( O M E R S )Annualreport,2013http://www2.oaklandnet.com/oakcal/groups/fma/documents/report/oak046046.pdf Page 22 i,

OaklandPoliceandFireRetirement System(PFRS) AnnualReportFiscalYearending onJune30, 2013http://www2.oaklandnet.com/oakcal/groups/fma/documents/report/oak046045.pdf

^'CalPERSCurrentlnvestmentFundValues,5/22/2014, 'https://www.calpers.ca.gov/index.jsp?bc=/investments/assets/mvs.xml

Strandedassetsand the fossi lfueldivestment campaign: whatdoesdivestment meanforthe valuation offossilfuelassets?http://www.smithschool.ox.ac.uk/research/stranded-assets/SAP-divestment-report-final.pdf Page 59

http://www.nvtimes.com/roomfordebate/2013/01 /27/is-divestment-an-effective-means-of-protest/turning-colleges-partners-into-pariahs

...w . ;,V


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hatisfossilfueldivestmllii:?fromthe de struction of theplanet.Divestment is atact ic forfightingclim atechange.

W h y n o w ? A fe w y e ar sago,global warm ingseemedl ike a d istantthreat.N o w ,mi l l ions of people have wi tne ssed cl imate d isrupt ionfirsthand in theterribledroughts ,f loods, hea t-waves,wi ldf i res,ands to rmsthathave ravage dmuch of the globe. S cien t is tswarn usthatweY e reac hing t ipping points w he gthe sys tem cou ld spin out of con trol .H e r e ' s t h e m a t h : if w e 'r e g oin g tolimitwarming to2*C. agoalthateventhe most con serva t ive governmen ts in the w orld have agreed to me et, then wecanonly burn 565 gigatons more of carbondioxide.But the fossi l fuel indu stryhas2,765 gigaton s of ca rbon in th ei r reserves- nea rly f ive t imes the safeamount - andevery day they ' re searching for more.T he i rbusinessm odel isincompat iblewitha l ivable cl im ate . , ,W h y d i v e s t m e n t ? 1)Divestme nt is a proven ta ct ic in highl ight ingiR edestru ct ive pract ices of fossi l fuel companies in the publ icarena;2)d ivest ingfromdirtyenergy is a lready generat ing market in terest in creat ingenvironm ental ly su sta inable investm ents; and 3) d ivestmen t can help crea tethe pol i t ical momentum we need topasscarbo n-rest r ic t ive leg is la t ion.W i l l I l o s e m o n e y i f I d i v e s t ? N o . D on't b elieveus?M any b ig ^inst i tut iona l investors are highl ight ing the incre asing f inancia l d is incen t ivesfor invest ing in fossi l fuel companies and the inc reasing f inancia l incen t ives %for divesting portfol ios of fossi lfuels.EvenGoldmanSachs,one of the mostestabl ishm ent f inance f irms onW a llS t reet , i s d ivest ingfromcoal . ^J ; ' ^|D ives t in g he lps save the p lanet A N D you r mondy . ifwe'regoingto have any chanceof s lowing down cl imatechange,most fos si l fuel reserve swillneed to s tay in the groundandinvestmentsbasedon thosereserveswilllosethe i r market value.T his is cal led the carb on bubble.I t' s go in g | o take a l l o f us to make a d i f fe re nce .Weare excitedthat doze ns of cities religious institutions founda tions organ izationsandthousands of activists have already divested or are in the p rocess of doing so.Start a camp aignandjoin the movem ent:

^ www.gofossilfree.org


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t l L E l )nrrici OF THE CITY CLLK*.O A K L A N D 7^ ' OA KLAN DCITYCOUNCILResolut ionNo. C . M. S .INTRODUCED BY COUNCILMEMBER KALB

RESOLUTION OF THE OAKLANDCITYCOUNCIL (1) DECLARING ACITYPOLICYPROHIBITINGTHE INVESTMENT OFCITYFUNDS ORHOLDING ANY INVESTMENT OR OWNERSHIP STAKE IN ANYCOMPANIES THAT EXTRACT, PRODUCE, REFINE, BURN ORDISTRIBUTE FOSSIL FUELS, AND (2) DIRECTING THE CITYADMINISTRATORORHIS/HERDESIGNEE TO EXAMINE THE CITY SHOLDINGS AND FUTURE INVESTMENTS TO ASSURE THAT THECITY COMPLIES WITH THIS POLICY, AND (3) URGING THEGOVERNING BOARDS OF THE OAKLAND MUNICIPALEMPLOYEES ' RETIREMENT SYSTEM (OMERS), THE OAKLANDPOLICE AND FIRE RETIREMENT SYSTEM (PFRS) AND THECALIFORNIA PUBLIC EMPLOYEES RETIREMENT SYSTEM(CALPERS) TO DIVEST FROM ALL PUBLICLY-TRADED FOSSILFUEL COMPANIES, AND (4) URGING OTHER LOCALJURISDICTIONS THAT INTERSECT WITH OAKLAND TO DIVESTFROM ALL PUBLICLY-TRADED FOSSIL FUEL COMPANIES, ALL INAN EFFORT TO SUPPORT THE GOALS OF THE OAKLANDENERGY AND CLIMATE ACTION PLAN ANDDIMINISHTHE USE OFFOSSIL FUELS THAT SIGNIFICANTLY CONTRIBUTE TO CLIMATECHANGE

W H E R E A S , the climate crisis is a severe threat to current and future generations herein Oakland and around the world; andW H E R E A S , the Intergovernmental Pane l on Climate Change ( I P C C ) FourthAssessment Report' found that global warming is already causing costly disruption ofhuman and natural systems throughout the world including the melting of Arctic ice, theocean's rise, increase in ocean's acidity, flooding and drought, and the I P C C FifthAssessmentreports further indicate that global warming is proceeding at a faster pacethan had been previously thought; andW H E R E A S , these extreme events have and will continue to negatively impact the U.S.economy. In 2012, the United States accounted for 67% of the 160 billion lost globallydueto naturalcatastrophes ;andW H E R E A S , almost every government in the world has agreed through the 2009CopenhagenAccord that any warming above a 2C (3.6F) rise would be hazardous.

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and that if humans release only about 565 more gigatons of carbon dioxide into theatmosphere thislimitwillbe not possib le to m aintain; andW H E R E A S , for the purpo ses of this resolution, a fossil fuel comp any shall be definedas any publicly-traded companythatextracts, produ ces, refines, burns or distr ibutes anyfossil fuels and any companywith the largest coal, o i l , and gas reserves as measuredby the gigatons of carbon dioxidethatwould be emitted if those reserve s were extractedand burned, 200 largest of which are l isted in the C arbo n Tra cker Initiative'sUnburnable Carbon report' ; andW H E R E A S , in its U nburnable Carbon report , the Carbon Tracker Initiative foundthatfossil fuel companies possess proven fossil fuel reserves that would releaseapproximately 2,795 gigatons of C 0 2 if they are burned, which is f ive t imes the a mountthatcan be releasedwithoutexcee ding 2C of warming; a ndW H E R E A S , due to the increased greenhousegasses in the atmosphere Earth's cl imateis changing drastical ly and the A rctic snow cap and A ntarctic glaciers are melting m uchfaster than previously estimated and cl imate change is occurring much faster and l ikelyto affect e ac h human being presently l iving on the P lanet, '^ andW H E R E A S , the Oakland Energy and Cl imate Act ion P lan found that combust ion offossil fuels is a major source of greenhouse gas (GHG) emissions associated withOakland, as well asthroughout California and projected local impacts of cl imate changecaused by G H G emissions include r is ing Ba y and delta waters, inc reased vulnerabil ityto f lood events, decreased potable water supply due to shrinking Sierra snowpack,increased fire danger, more extreme heat events and public health impacts, addedstress on infrastructure, higher prices for food and fuels, and other ecological andquality of life impacts; and current dependence on fossil fuels not only creates heat-trapping G H G em issions, but im poses other r isks associate with energy security,environmental impacts (e.g., recent Gulf oil spil l ), and vulnerabil i ty to energy pricevolatility,and^W H E R E A S , the City of Oakland has no current investments, other than possibleinadvertent de minimus amounts, in fossil fuel companies and has a history ofsuccessfully prohibiting investments in entities that produce outcomesthat are harmfulto civi lizat ionsO akland successful ly divestedfrom South Afr ica in 1985 and Burma in1996 to make a stand against human rights abuses; and companies involved inTobacco, Nuclear, and Firearms and Ammunition production to make a stand for thehealth and wellbeing of the residents of O akland;andW H E R E A S , the residents of Oakland bel ievethat investments should support afuturewhere all people can live healthy lives without the negative impacts of a warmingcl imate; a nd,W H E R E A S , at least twenty-one cit ies in the United States have committed to freezefossil fuel investment and m ore than two hundred c olleges and universit ies in the U nited

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states have launched campaigns to have their institutions divest from fossil fuelcompanies; now, therefore, be itR E S O L V E D : That the City Counci l hereby declaresthat it is the policy of the City ofOakland to have no f inancial holdings or investments, other than an inadvertent deminimus amount defined as less than one percent in any given investment instrument,in any Fossi l Fuel Company, as defined, but not l imited to above, (that extracts,produces, refines, burns or distr ibutes fossil fuels, and any companywith the largestcoal , oil , and ga s reserves as mea sured by the gigatons of carbon dioxidethat would beemitted if those reserve s were extracted and burned), be it through the direct purchaseof commercial paper, a medium term note (corporate bond), ownership of stock,ownership of mutual funds s ha res, investment in a private equityfundowning the stock,or through any other instrument, securities, or other financial obligations; and be itF U R T H E R R E S O L V E D : That the City Administrator, or his/her designee,shall, to theextent practicable, examine the City's f inancial holdings and future investments toassure that the City compl ies with this City pol icy by no later than July, 2015 andperiodically b eyo nd; and be itF U R T H E R R E S O L V E D : That if a money market fund has security holdings at orexceeding 1% in fossil fuel companies, the Citywill begin to divest out of that moneymarketfundand befullydivestedwithinone yea r; and be itF U R T H E R R E S O L V E D : That in accord with Charter Sect ion 504, the CityAdministrator, or his/her designee, shall maintain compliance with this policy, byeffective methods such as monitoring the f inancial security holdings of the City's moneymarket funds and periodic review of the l ist of publicly-traded companiesthatextracts,produces, refines, burns or distr ibutes fossil fuels and companieswith the largest coal,oil, and gas reserves as measured by the gigatons of carbon dioxide that would beemitted if those reserves were extracted and burned, as l isted in the C arbo n T racke rInitiative's UnburnableC arbon report; and be itF U R T H E R R E S O L V E D : That the City Administrator, or his/her designee, shall providethe Council periodic updates, available to the public, detail ing progress made towardscompl iancewith full divestment; and be itF U R T H E R R E S O L V E D : That the City urges the governing boards of the OaklandMunic ipa l E m ployee s' R et irement System ( O M E R S ) , the O akland P ol ice and FireRetirement System ( P F R S ) and the C al i fornia P ubl ic E mp loyees' R et irement S ystem( C a l P E R S ) to adopt a similar pol icy and to divestfromfoss il fuelcompanies;and be itF U R T H E R R E S O L V E D : That the City of Oakland urges other local jurisdictions thatgeographically intersect with Oakland to divest from and prohibitfuture investment oftheir respe ctive public funds in fossil fuel com pan ies; and be it

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F U R T H E R R E S O L V E D : That the City Administrator, or his or her designee, shal lprepare a report to the Counc i lby no later than July,2015 that outl ines optionsforinvesting City fundsin asocial ly responsible mannerthat furthermaximizesthepositiveimpact of public funds by seekingout investment opportunities that limit and helptomitigate effectsof burning fossil fuels, including,but not limited to, clean technology,renewable energy, sustainable companiesor projects, and sustainable communit ies,etc.; and be itF U R T H E R R E S O L V E D : ThattheC ity A dministrator isdirectedtofonA/ardacopyofthisenacted Resolut ionto the governing boardsof O M E R S , P F R Sand the C a l P E R S ,andto the elected governing boards of special distr ict jurisdictions^' that intersect withOakland, andtostate legislative elected off icials representing O ak land .

IN COUNCIL, OAKLAND,C ALIFORNIA,PASSED BY THEFOLLOWINGVOTE:AYES- BROOKS, GALLO,GIBSONMCELHANEY, KALB, KAPLAN,REID,SCHAAF. ANDPRESIDENT KERNIGHANN O E S -ABS EN T -ABSTENTION-

ATTEST:LATONDA SIMMONSCityClerkandClerkofthe Councilof theCity ofOakland, California

' http://www.ipcc.ch/pdf/assessment-report/ar4/syr/ar4syr.pdfAnnual GlobalClimateandCatastropheReportImpactForecasting 2012http://thoughtIeadership.aonbenfield.com/Documents/20130124if annual global climate catastrophe reportpdf

http://www.carbontracker.org/wp-content/uploads/downloads/2011/07/Unburnable-Carbon-Full-rev2.pdf.Page13'V http://www.wunderground.com/climate/SeaIce.asp;

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