Sacramento Racial Equity Committee Meeting - August 22, 2023

The Sacramento City Council's Racial Equity Committee met on Tuesday, August 22, 2023, from 10:02 a.m. to 11:58 a.m. in the City Hall Council Chamber. Members present: Councilmember Caity Maple (District 5), Councilmember Mai Vang (District 8, Co-Chair), and Mayor Darrell Steinberg (Chair). Councilmember Rick Jennings (District 7) was absent. The committee addressed five agenda items, including updates on the SCORE initiative, the African American Experience History Project, the Cannabis Opportunity Reinvestment and Equity (CORE) Program, and mandatory diversity, equity, inclusion, and belonging (DEIB)/racial equity training.

Consent Calendar

• Item 1 – Racial Equity Committee Meeting Minutes (File ID: 2023-00918): Approved unanimously (Maple, Vang, Steinberg; Jennings absent) the minutes from the April 11, 2023 meeting.

Public Comments & Testimony

• On Item 2 (SCORE Initiative): Lambert Davis expressed skepticism about the truth-telling and trust-building process, stating that accountability should include employment consequences for those who resist equity. He praised Mayor Steinberg and Councilmember Vang as sincere but criticized Councilmember Jennings for lack of participation.
• On Item 4 (CORE Program & Cannabis Equity): Nineteen speakers – in chambers and via Zoom – overwhelmingly supported making the CORE Program permanent and providing tax relief. Key positions included:
  • Adiola Adipe (founder, Aiden's Relief) spoke of her son's survival using cannabis and endorsed the permanent program and tax benefit.
  • Zion Tedsa (founder, Shashamone Institute) requested that 60% of cannabis tax revenue be reinvested into equity businesses.
  • Multiple speakers (Racea, Malachi Almen, Rhonda Ernest, Valerie Byrd, Ryan, Michael Masiang, Brandon, Myesha Bahati, Jarrett Hill, Mindy Galloway, Javier Hernandez, Andre Hinley, and others) highlighted the challenges of high taxes, lack of access to capital, and the need for continued support. Many cited the program’s national model status.
  • Lambert Davis (also speaking on this item) argued that taxing equity businesses at high rates amounts to predatory lending and urged the city to reinvest cannabis tax revenue.
• On Item 5 (DEIB/RE Training): Lambert Davis questioned whether the city manager would be included; Mayor Steinberg confirmed that the city manager and all charter officers are required to take the training.
• Public Comments on Matters Not on the Agenda: Jay (CORE graduate, Trees and Knowledge Delivery) called for tax relief as the primary barrier to business growth and urged the council to monitor license renewal rates.

Discussion Items

• Item 2 – SCORE Initiative Update (File ID: 2023-01033): Presented by D'Angelo Mack, Nia Moorewethers, Alberto Marcado (Racial Equity Alliance and Council members), and Nora Liu (Race Forward). The update covered the truth-telling and trust-building workshops (three sessions completed, next in September), the establishment of regular meetings between the alliance, council, and city leadership, and the formation of a 12-member Racial Equity Council. The committee acknowledged the work and expressed support for the iterative process. Councilmember Vang emphasized the need to acknowledge past harms and to build trust for a forthcoming racial equity resolution.
• Item 3 – African American Experience History Project (File ID: 2023-00936): Sean de Courcy, Historic Preservation Director, presented the final draft of the African American Experience (AAE) History Project, funded by a $50,000 grant from the National Trust for Historic Preservation. The project produced a historic context statement, 41 oral histories (housed at the Center for Sacramento History), identified 53 historic resources, of which 12 are eligible for the Sacramento Register and 11 listed on the Sacramento, California, or National Register. A $10,000 community stipend program was also created. Councilmember Maple noted that 23 of the 53 resources are in District 5. The committee recommended that the City Council accept the findings. Discussion included potential partnerships with the school district to incorporate local Black history into curricula.
• Item 4 – Update on the City’s Cannabis Equity Study and Policy Proposal for CORE Program (File ID: 2023-00985): Davina Smith, Cannabis Manager, presented an update on the 2023 Cannabis Equity Study (conducted by Applied Memetics with academic partners) and a policy proposal to make the CORE Program permanent and provide a tax benefit for cannabis businesses that are at least 51% CORE-owned and 51% CORE-profit-sharing. Key statistics: Approximately 30 of 260 cannabis businesses are CORE-owned; CORE businesses contributed about $600,000 of the $23 million in total cannabis business tax revenue in FY 2021-22. The city received a $1.56 million state grant (third highest in the state) to support CORE members. The program has also partnered with Los Rios Community College District to create free online cannabis business education modules (26 students in first cohort). The committee discussed the need for a broader conversation about the overall cannabis tax rate (to be taken up by the Law and Legislation Committee on September 5, 2023). Assistant City Manager Leyne Milstein thanked stakeholders and supported a phased-in tax rate.
• Item 5 – Recommendations to Begin Implementing Mandatory DEIB/Racial Equity Training (File ID: 2023-01076): Aimée Zenzele Barnes, Diversity and Equity Manager, presented three recommendations: (1) a baseline learning assessment (pre/post) for elected officials, council staff, and appointed officers; (2) two online trainings from Race Forward (6.5 hours each: "Building Racial Equity" and "Decision Making for Racial Equity") – total 13 hours; (3) reconsideration of the previously suggested 2–4 hour training requirement, as the 13-hour package provides a more robust foundation. Councilmember Vang proposed a timeline: complete the baseline assessment by December 2023 and finish both trainings by June 30, 2024. Councilmember Maple supported the plan and noted that each training costs $450 per person (total $900 per participant), with funding expected from council office discretionary funds. The committee gave direction to proceed.

Key Outcomes

• Consent Calendar: Approved unanimously.
• Item 3 (AAE Project): Motion (Maple/Vang) to recommend the City Council accept the Historic Context Statement and Historic Building Survey Findings passed unanimously.
• Item 4 (CORE Program): Motion (Vang/Maple) to forward the policy proposal (permanent program and tax benefit) to the City Council for consideration passed unanimously. The proposal will also be heard by the Law and Legislation Committee on September 5, 2023, with a potential joint session to align overall cannabis tax discussions.
• Item 5 (DEIB/RE Training): Direction given to staff to implement the three recommendations with the following timeline: baseline assessment completed by January 1, 2024; two Race Forward trainings (13 hours total) completed by June 30, 2024. The training will be mandatory for all elected officials, council staff, and appointed officers, including the city manager and charter officers. A reporting mechanism at the next Racial Equity Committee meeting was requested to monitor completion rates.