Alameda has joined a growing list of cities cutting their ties to financial institution Wells Fargo over its connections to the controversial Dakota Access Pipeline project (DAPL) and other dubious practices that came to light last year. In a unanimous vote Wednesday, the City Council directed staff to begin securing a new bank and to stop investing in Wells Fargo’s securities for a period of three years.
According to the city’s quarterly investment report, Alameda has $36 million in a general checking account at Wells Fargo and another $325,000 in a workers compensation account. It already has an official policy of not working with companies associated with the coal industry, according to Councilman Jim Oddie, so the latest move is in keeping with that principle.
“If there is bad behavior and we do nothing about it, then we are passively condoning it,” Vice Mayor Malia Vella added.
Seattle was the first city to divest from Wells Fargo over DAPL. Santa Monica soon followed, despite an impending financial hit announced last week. Davis, California also moved to divest earlier this month.