OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

Berkeley City Council Meeting – November 18, 2025: Budget, Drones, and Mills Act Pause

City Council — Tuesday, November 18, 2025
BodyBerkeley, California
SessionCity Council
DateTuesday, November 18, 2025
StatusFILED
Video Record
0:00 / 3:23:05
Transcript — Verbatim
0:00

Okay, hi everyone, thank you so much for your patience.

0:04

It's 6 43, and we had uh uh special meetings that ran late, so apologies for that.

0:11

I'm calling to order the Berkeley City Council meeting today is Tuesday, November 18th, 2025.

0:17

Clerk, could you please take the roll?

0:19

Okay, Councilmember Kesserwani.

0:22

Here, present present.

0:25

Trago, present.

0:27

O'Keefe here.

0:28

Wackaby here.

0:30

Unapara here.

0:31

Humbert, present, and Mayor Ishii.

0:34

Here.

0:34

Okay, quorum is present.

0:36

All right.

0:36

Um we have no ceremonial items this evening.

0:40

Um, so I will move over to city manager comments.

0:43

Also no city manager comments this evening.

0:44

Thank you.

0:45

Very good.

0:45

I think our city auditor is here and has some comments.

0:48

So I will call her up.

1:04

All right, good evening.

1:06

Um I wanted to share tonight um a few items on the council agenda.

1:14

The 2025 audit recommendation follow-up report that my office released in October and the results of an independent third-party audit we initiated of our payroll audit division.

1:26

Before I do that, I just wanted to make um quick comments on item eight, the annual appropriations ordinance.

1:32

As you know, the city has a very large 28 million dollar deficit.

1:38

And during the budget process in June, my office offered 200,000 in salary savings to help with that.

1:45

And while the BMC exempts the auditor from the same salary savings as other departments, I do want to share tonight that thanks to information from our budget office.

1:56

Um, we do have about another $30,000 in savings, and so we'll be able to contribute some of that, actually, most of that into the general fund.

2:06

So, just happy that we can contribute in that way.

2:10

So, next I wanted to share highlights from our 2025 uh follow-up report.

2:15

Our annual report provides a comprehensive overview where the city stands in implementing audit recommendations and what risks still exist.

2:24

From November 2024 to September 2025, city departments implemented 23 open audit recommendations.

2:33

As of this update, the departments have implemented 48% or 45 of the 94 total audit recommendations released since 2020.

2:43

And I just wanted to say that compared to the last follow-up period, the implementation rate has gone up 11 percentage points.

2:50

That's a really great accomplishment.

2:52

Um, I'd like to thank the city manager, department heads, staff for their efforts in closing these recommendations.

3:03

But there's still more work to be done.

3:05

So there's 48 audit recommendations remain, and you can learn more about these open audit recommendations on our public dashboard.

3:14

Next, I wanted to share the results of an independent third-party audit we initiated of our payroll audit division.

3:20

The City of Berkeley's payroll audit division organizationally sits within our office.

3:25

While the payroll audit division is one of the smaller divisions in terms of staff, it is one of the large has one of the largest jobs reviewing and processing biweekly payroll for approximately 1800 city employees in fiscal year 2025.

3:40

The division processed approximately 47,000 checks and direct deposits.

3:46

It's important to ensure that all those payments are processed correctly because personnel costs represent about 65% of the city's general fund in fiscal year 2025.

3:57

I want to first recognize all the payroll clerks in each department.

4:03

These are the workers that make sure that all of that information gets entered, as well as the payroll auditors on my team who are ensure that these paychecks go out accurately every two weeks.

4:14

It's no small feat, and during COVID, my team they divided themselves into two teams without contact.

4:20

So if someone got COVID, there would always be a healthy team, up and up and willing and being able to process the payroll so that all employees would get their paychecks.

4:32

So what we do is um within this unit, we periodically will initiate an independent third-party audit to look at the division's internal controls, ensure there's sufficient safeguards against fraud, waste, and abuse, and ensure that payroll is accurate and complies with policies and regulations.

4:50

To safeguard our office's independence, we had to contract this out, and GPP Analytics was the one that conducted this audit.

4:58

The external audit found that payroll audits procedures ensured and city employees received accurate pay and benefits in the sample they tested.

4:59

So let me just say that this is really amazing.

5:14

For them to say that there were no payroll um corrections that needed to be done within the sample that they tested.

5:24

It means that the system is set up to catch incorrect pay um before pay goes out.

5:30

The external auditors also found that the staff in this unit demonstrated detailed command of critical payroll elements within their within a very complex operating environment.

5:47

Including working with city management to update the payroll policy and procedure manual, as well as prioritizing the implementation of an electronic timekeeping system.

5:58

My office is committed to working with city staff to implement these recommendations.

6:04

Obviously, based on uh staffing and resources.

6:09

So, in conclusion, I just wanted to thank um city council for your commitment to accountability, providing this forum to share the results of these two important reports.

6:21

And I want to thank um my team of staff auditors for supporting this work.

Discussion Breakdown — Share of Meeting
Public Safety████████████████████████████28%
Technology and Innovation███████████████15%
Historic Preservation█████████████13%
Procedural██████████10%
Fiscal Sustainability████████8%
Community Engagement███████7%
Affordable Housing████4%
Engineering And Infrastructure████4%
Homelessness███3%
Summary of Proceedings

Berkeley City Council Meeting – November 18, 2025

The Berkeley City Council met on Tuesday, November 18, 2025, at 6:43 PM. The meeting covered the city auditor’s report, consent calendar approval, adoption of building and zoning codes, a pause on Mills Act agreements, and a referral to explore drone‑as‑first‑responder technology. Council also heard public comment on housing, tenant issues, and fiscal concerns.

Consent Calendar

  • The consent calendar was approved with Councilmember Blackaby noted as a no on item 3 (transfer tax rebate for wildfire hardening) due to a “hard cliff” provision. The calendar included items related to coordinated pricing algorithms (item 4), annual appropriations ordinance (item 8), license agreement for temporary parking at the regional sports complex (item 18), updates to sanctuary city contracting (item 27), and others. Councilmember Lunapara thanked the auditor for the payroll audit report. Councilmember Humbert was added as co‑sponsor on item 27.

Public Comments & Testimony

  • Non‑agenda public comment: Speakers included:

    • A speaker representing a Rock Ridge business owner on College Avenue raised concerns that upzoning led to short leases and doubled rent, threatening small businesses.
    • Alex Marenkov, a disabled low‑income BMR tenant at K Street Flats, reported retaliation from management after filing health and safety complaints, including cancellation of a confirmed renovation and ignoring disability accommodation requests. He requested stronger oversight of CalCHA and FPI management.
    • A speaker commented on the Israel lobby, referencing a UC Berkeley event with John “Torture Memo” Yoo.
    • Edskander expressed frustration about lack of response from council regarding an incident at Kittridge and Shattuck (District 4).
    • Several online speakers supported oversight of affordable housing projects, requested education for bikers and drivers on road sharing, and criticized the middle housing ordinance and upzoning of College, Solano, and North Shattuck Avenues. One speaker noted that most new units are market‑rate, not affordable, and contrasted a five‑story building with proposed eight‑ to twelve‑story structures.

  • Consent calendar public comment:

    • Theo Gordon asked to pull item 19 (tax giveaway to a property owner) from consent, arguing the property is not uniquely special and the city should not hand out tax breaks during a budget crisis.
    • Several speakers supported the CareBridge program (item 7) and thanked staff for the sanctuary city contracting updates.

  • Item 30 (Mills Act pause) public comment:

    • Julie Noctway urged council to consider more data before pausing the Mills Act, noting its role in preserving architectural heritage and generating income through permits and tourism.
    • Jeff Baker supported the pause, suggesting the language should direct the city to affirmatively cancel contracts at the first opportunity.
    • John Bernstein questioned the cost estimate of $600,000/year, stating the actual cost is about $186,000/year (0.002% of the city budget), and that the city charges fees totaling ~$500,000 and permits for Mills Act properties exceed $5 million in work.
    • Mike, one of two pending applicants, noted the Mills Act helps defray maintenance costs and asked for an off‑ramp for those who self‑selected.
    • Kelly Hammergren said the Landmarks Preservation Commission had already proposed reforms (limit applications per year, end automatic renewal, five‑year reporting) and argued those are more reasonable than an indefinite pause.
    • Theo Gordon supported the pause, stating the program has been “grossly mismanaged” and that some properties receive tax breaks without any work being done.
    • David Scheer also supported the pause, saying the Mills Act is a “niche hobby” that should not be funded with public money.
    • Sarah Bell supported the pause, arguing data shows many properties are not actively preserved.
    • Jeremy Butler Pinkham questioned the accuracy of the cost data and said the city lacks a historic survey, putting the onus on homeowners.

  • Item 31 (drones as first responders) public comment:

    • Carol Morosevic raised concerns about depersonalization and privacy: “negotiating with a robot instead of a human being,” tracking of people not related to an incident, and who can access footage.
    • An online speaker supported the drone program, citing success with cameras on Telegraph and Durant.
    • Former Councilmember Cheryl Davila opposed, stating Flock (a potential vendor) cooperates with ICE, the city would not own the data, and the number of uses (six per year) does not justify the cost. She linked drones to surveillance and violence abroad, saying “We’re not enemy combatants.”

Discussion Items

  • City Auditor Comments: City Auditor Jenny Wong reported on the 2025 audit recommendation follow‑up: from November 2024 to September 2025, 23 open recommendations were implemented; 48% (45 of 94) of recommendations since 2020 are now implemented, an 11 percentage point improvement. She also presented an independent third‑party audit of the payroll audit division (by GPP Analytics), which found that payroll procedures ensured accurate pay and benefits for the sample tested. She noted the city’s $28 million deficit and contributed $30,000 in savings to the general fund.

  • Item 28 – Adoption of Berkeley Building Codes: Director Jordan Klein presented the three‑year update to adopt California Building Standards Code with existing local amendments (no new ones). The amendments include stricter seismic standards (e.g., no drywall shear walls, plain concrete limitations) and updates to electric vehicle charging requirements for new dwellings. Councilmember Blackaby asked about impacts on housing costs and clarified the EV charging rules apply to new single‑family dwellings and ADUs with parking. No public comment. Motion passed.

  • Item 29 – Zoning Ordinance Amendments (SLTE 2025): Staff presented routine corrections, reference updates, and clarifications to maintain consistency with state law. Councilmember Lunapara noted these were part of the ZORP process. No public comment. Motion passed.

  • Item 30 – Pausing Mills Act Agreements: Councilmember Humbert introduced the item, citing the city’s structural deficit, lack of evidence that the program cost‑effectively preserves landmarks, and equity concerns (benefits mostly affluent property owners). The resolution pauses new agreements, allows two pending applications (cutoff November 19, 2025), and directs non‑renewal of all existing contracts. An amendment added language to initiate non‑renewal proceedings for all contracts at the earliest opportunity. Several council members supported the pause while expressing continued support for historic preservation. Staff explained that Mills Act contracts are 10‑year terms that renew annually unless a non‑renewal notice is sent. After non‑renewal, the tax benefit phases down over 10 years. Motion passed (9‑0).

  • Item 31 – Unmanned Aerial Systems (UAS) and Drones as First Responders (DFR): Councilmember Taplin introduced the referral to the city manager to begin the process under Berkeley’s surveillance technology ordinance (SCO). Chief Lewis, Captain Okeefe, and Chief May presented: DFR involves drones stationed on rooftops that autonomously respond to 9‑1‑1 calls, arriving in 2–3 minutes; UAS are operator‑flown drones used for specific incidents. Benefits include faster response, enhanced de‑escalation (e.g., identifying a cigarette lighter rather than a gun), better resource allocation (20 % of calls cleared by drone in some cities), and support for fire operations (thermal imaging, search and rescue, post‑disaster mapping). Costs: UAS $5,000–$14,000; DFR $60,000–$150,000. The department currently borrows drones 6–7 times per year. Council members raised questions on privacy (heat signatures, microphones, data retention), vendor ethics (Flock/AXON), community engagement, and use at protests. Mayor noted that the item is a referral to begin policy development, not an acquisition. Motion passed (9‑0).

Key Outcomes

  • Consent Calendar Approved (item 3 noted as no by Blackaby; all others passed).
  • Item 28 – Building Codes: Motion passed (9‑0).
  • Item 29 – Zoning Amendments: Motion passed (9‑0).
  • Item 30 – Mills Act Pause: Resolution adopted (9‑0) with an amendment to initiate non‑renewal proceedings for all existing contracts at the earliest opportunity.
  • Item 31 – Drones as First Responders: Referral to city manager approved (9‑0) to begin SCO process, including development of use policies, acquisition reports, and community engagement; report expected in early February 2026.
  • Meeting Adjourned at approximately 9:30 PM (after a 10‑minute break).

Meeting Transcript

Okay, hi everyone, thank you so much for your patience. It's 6 43, and we had uh uh special meetings that ran late, so apologies for that. I'm calling to order the Berkeley City Council meeting today is Tuesday, November 18th, 2025. Clerk, could you please take the roll? Okay, Councilmember Kesserwani. Here, present present. Trago, present. O'Keefe here. Wackaby here. Unapara here. Humbert, present, and Mayor Ishii. Here. Okay, quorum is present. All right. Um we have no ceremonial items this evening. Um, so I will move over to city manager comments. Also no city manager comments this evening. Thank you. Very good. I think our city auditor is here and has some comments. So I will call her up. All right, good evening. Um I wanted to share tonight um a few items on the council agenda. The 2025 audit recommendation follow-up report that my office released in October and the results of an independent third-party audit we initiated of our payroll audit division. Before I do that, I just wanted to make um quick comments on item eight, the annual appropriations ordinance. As you know, the city has a very large 28 million dollar deficit. And during the budget process in June, my office offered 200,000 in salary savings to help with that. And while the BMC exempts the auditor from the same salary savings as other departments, I do want to share tonight that thanks to information from our budget office. Um, we do have about another $30,000 in savings, and so we'll be able to contribute some of that, actually, most of that into the general fund. So, just happy that we can contribute in that way. So, next I wanted to share highlights from our 2025 uh follow-up report. Our annual report provides a comprehensive overview where the city stands in implementing audit recommendations and what risks still exist. From November 2024 to September 2025, city departments implemented 23 open audit recommendations. As of this update, the departments have implemented 48% or 45 of the 94 total audit recommendations released since 2020. And I just wanted to say that compared to the last follow-up period, the implementation rate has gone up 11 percentage points. That's a really great accomplishment. Um, I'd like to thank the city manager, department heads, staff for their efforts in closing these recommendations. But there's still more work to be done. So there's 48 audit recommendations remain, and you can learn more about these open audit recommendations on our public dashboard. Next, I wanted to share the results of an independent third-party audit we initiated of our payroll audit division. The City of Berkeley's payroll audit division organizationally sits within our office. While the payroll audit division is one of the smaller divisions in terms of staff, it is one of the large has one of the largest jobs reviewing and processing biweekly payroll for approximately 1800 city employees in fiscal year 2025. The division processed approximately 47,000 checks and direct deposits. It's important to ensure that all those payments are processed correctly because personnel costs represent about 65% of the city's general fund in fiscal year 2025. I want to first recognize all the payroll clerks in each department. These are the workers that make sure that all of that information gets entered, as well as the payroll auditors on my team who are ensure that these paychecks go out accurately every two weeks. It's no small feat, and during COVID, my team they divided themselves into two teams without contact. So if someone got COVID, there would always be a healthy team, up and up and willing and being able to process the payroll so that all employees would get their paychecks. So what we do is um within this unit, we periodically will initiate an independent third-party audit to look at the division's internal controls, ensure there's sufficient safeguards against fraud, waste, and abuse, and ensure that payroll is accurate and complies with policies and regulations. To safeguard our office's independence, we had to contract this out, and GPP Analytics was the one that conducted this audit.

SUMMARIZED BY OPENPUBLICA AI
TRANSCRIPT VIA PUBLIC VIDEO
openpublica.com