Berkeley’s 2016 Infrastructure Bond: A Cautionary Tail

Has Berkeley Bitten Off More than It Can Manage?

In November 2016, Berkley voters approved bond Measure T1. The funding from the $100 million general obligation bond was to be used for improvements to the City’s “sidewalks, storm drains, streets, parks, community centers, and other key infrastructure and facilities.”

Since Measure T1’s approval improvements in infrastructure have been scarce at best. According to a May 2022 city audit, the unfunded needs of sidewalks, storm drains, streets, and other key infrastructure have more than doubled since the measure’s approval.

Despite the clear need for repairs, $20 million has still not been issued.  This 6-year delay has no doubt contributed to the further decline in Berkeley’s infrastructure, especially streets. The City plans to issue this remaining authorized amount ($20 million) between FY 2024 and FY 2026.

The Measure T1 story is troubling for several reasons:

• The Problem Always Grows: Despite the largest onetime investment in the city’s history our infrastructure gets worse not better.
• Our Maintenance System is Overwhelmed: In 2018, no streets were paved at all causing further declines in infrastructure.
• Politics Can Eclipse Process: After the community charged with prioritizing T1 projects, identified the most critical needs, the city manager decided at the 11th hour direct fund toward the remodeling of Mental Health Department buildings in place of streets, sidewalks and parks.

This experience raises a fundamental question of whether we have bitten off more than we can manage? If we spent $100 million only to see the problem get significantly worse, then perhaps it is time to consider whether less is more. Currently, city council is doing the opposite as they want to commit residents to new projects including a 1,400-foot recreational pier with initial cost estimates of $122 million.

Are we trying to “boil the infrastructure ocean;” could less be more? Numerous municipalities have developed infrastructure with creative partnerships and financing.  One approach is for cities to offer long-term leases on sites needing rehabilitation. Sites can be developed for a publicly beneficial purpose with outside investment while the actual property remains in public domain.