A rally held by Oakland city workers and union leaders at City Hall has brought to light a concerning issue: millions of dollars in uncollected city taxes. Amidst a potential budget shortfall of $177 million, the Finance Department is under fire for allegedly failing to collect taxes from thousands of businesses by the April 17, 2023 deadline. Union leaders assert that as much as $34 million in unpaid business taxes from previous years could still be outstanding.

According to the unions, Finance Director Erin Roseman and her department have been evasive or provided misleading information regarding tax collection efforts. This failure in revenue collection not only exacerbates the city’s financial woes but also threatens essential services and potential layoffs.

Councilmembers Rebecca Kaplan and Nikki Fortunato Bas emphasize the importance of revenue collection for the city’s fiscal health. Kaplan highlights the need to target businesses that haven’t filed tax documents, while Bas stresses the impact of every million dollars collected on maintaining vital city services.

Union leaders, including representatives from firefighting, electrical workers, and technical engineers unions, demand accountability from the City Administration. They argue that it’s unacceptable to discuss cuts to essential services while significant tax revenues remain uncollected.

City officials acknowledge the need to modernize tax collection processes but point out that the estimated amount of uncollected taxes represents less than 1% of the city’s overall budget. Additionally, factors such as annual gross receipts estimates and a ransomware attack that delayed tax collection in 2023 are cited as contributing factors.

The rally and subsequent discussions highlight a pressing issue for Oakland’s financial stability and the need for swift action to address the shortfall in tax revenue collection.