OAKLAND – A recent tweet by Seneca Scott alleging that Oakland Mayor Barbara Lee accepted campaign contributions from coal developer Phil Tagami, despite signing an anti-coal pledge, is directly contradicted by public records and statements from the Mayor's office. Mayor Lee has consistently maintained a stance against coal shipments through Oakland and formally pledged to refuse financial support from Tagami related to his controversial terminal project. This social media claim emerges amidst a protracted and multi-faceted legal battle over the proposed Oakland coal terminal, which has seen the city and developers locked in disputes for years.
Congresswoman Barbara Lee, prior to her election as Mayor, publicly signed the "No Coal in Oakland" pledge. This commitment explicitly states, "I will not accept any support, financial or otherwise, to my campaign or my political fundraising efforts from Phil Tagami until he enters into a legally binding contract not to ship coal through Oakland." Campaign finance records do not show contributions from Phil Tagami to Barbara Lee; rather, past records indicate Tagami has contributed to other political figures and PACs, but not to Lee.
The controversy centers on the Oakland Bulk and Oversized Terminal (OBOT), a project led by developer Phil Tagami. Despite initial understandings, Tagami pursued plans to export coal through the terminal, leading the Oakland City Council to pass an ordinance banning coal handling in 2016. This ban ignited a series of lawsuits between the city and Tagami's entities.
In a significant development, Alameda Superior Court Judge Noël Wise ruled in January 2024 that the City of Oakland had breached its contract with Tagami, but she denied Tagami's claim for $159.6 million in lost profits. Instead, the judge offered OBOT a choice: accept $318,000 in damages or receive an extension of its lease until 2026 to complete the terminal. Tagami opted for the lease extension, a decision the City of Oakland has since appealed.
Adding another layer to the complex legal landscape, Insight Terminal Solutions (ITS), a company associated with the terminal and now controlled by a hedge fund, is suing the City of Oakland for over $1 billion in a Kentucky bankruptcy court, alleging the city's actions caused their financial losses. Oakland is actively working to transfer this case to a California federal court.
As Oakland's newly sworn-in Mayor, Barbara Lee continues to affirm her commitment to keeping the city coal-free. She has stated, "I strongly support Oakland’s ban on coal and will continue to fight against any attempts to bring coal shipments through our city." Her recent appointments to the Port of Oakland board include environmental and labor advocates, further signaling her administration's priorities. Community organizations, including "No Coal in Oakland," remain vigilant in their opposition to any coal export operations.