John Avalos

SF supervisors vote to legalize and regulate Airbnb’s short-term rentals

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The San Francisco Board of Supervisors today approved controversial legislation to legalize and regulate short-term housing rentals to tourists, voting 7-4 on the package after supervisors narrowly rejected a series of amendments to rein in an activity that has taken thousands of units off the market for local residents.

Amendments to limit hosted rentals to 90 nights per year, to require that Airbnb pay about $25 million in back transient occupancy taxes it owes the city before the legislation would go into effect, to exclude in-law units from eligibility for short-term rentals, and to limit rentals in single-family home neighborhoods failed on a series of 5-6 votes.

Sups. John Avalos, David Campos, Eric Mar, Norman Yee, and Jane Kim voted as a block on the amendments to limit the scope of short-term rentals facilitated by Airbnb and other companies, as a broad coalition that includes tenant, landlord, labor, neighborhood, and affordable housing groups had sought. Kim parted from that block to vote yes on the final legislation, which the others opposed.

Amendments proposed by Kim to give housing nonprofits the right to file injunctive lawsuits to help enforce the legislation and by Campos to ban short-term rentals in units that have been cleared of tenants by Ellis Act evictions were approved 8-3. But because those changes were substantial, they were turned into trailing legislation that must go back to the Planning Commission.

Despite a series of amendments since Board President David Chiu proposed the legislation over the summer, its basic tenets have changed little. It requires short-term rental hosts to register with the city and rent out only their primary residence, which they must live in for at least 275 days out of the year, with the Planning Department enforcing the regulation on a complaint basis.

That effectively limits the rental of entire homes to 90 days per year, but Chiu, Airbnb, and its hosts strenuously rejected calls to extend that cap to hosted rentals, such as spare bedrooms that might otherwise be available to permanent city residents. Chiu said his legislation was “framed through the lens of our housing affordability crisis,” arguing that many San Franciscans rely on Airbnb income to make their rent.

Avalos said he understands that position, but he said tourists shouldn’t be displacing San Franciscans, proposing the 90-day limit on all short-term rentals. “I think it’s important to maximize our residential housing stock to the utmost,” he said. Mar also voiced strong support for extended the cap, criticizing the “cult-like” beliefs by some home-sharing advocates.

As I’ve been reporting in the Guardian over the last two and a half years, Airbnb and its hosts have been openly defying city laws against short-term rentals, as well as ruling by the Tax Collector’s Office that the city’s transient occupancy tax (aka hotel tax) of about 15 percent applies to short-term rentals.

Airbnb just began to collect that tax for its guests last week, but Campos argued that it should pay those back taxes going back to the city ruling in the spring of 2012 before the city legalizes and validates its activities. Company representatives have said its TOT collection would total about $11 million per year.

“I believe it’s only right that Airbnb make good on its back taxes before this legislation becomes law,” Campos said, arguing this $10 billion company is being rewarded for defying city regulators. “Do we give special treatment to a multi-billion-dollar company?”

But supporters of the legislation were anxious to move it forward, despite the dizzying series of complicated amendments, something Avalos said was unusual. “I’m surprised it was given the green light to leave today,” Avalos told reporters after the vote. “There was a lot of pressure to move it forward.”

Now the question will be whether the Planning Department can effectively enforce the regulations, particularly given that Airbnb has been unwilling to share data that might help in that effort. City officials have seemed powerless to enforce laws against short-term rentals that have been on the books for decades, even with rising public concern about the issue over the last year.

“I’m concerned that the legislation simply isn’t enforceable,” Kim said, arguing for the private right of action component that will be returning for board consideration in the coming months.

The other question is whether we’ve heard the end of an issue that has polarized city residents, or whether the coalition of opponents will succeed in a threatened initiative campaign to put more stringent new short-term rental regulations before voters next year.

Sup. Mark Farrell thanked Chiu for taking on the issue despite the intractable positions on both sides, saying, “I think everyone recognizes this to be a no-win situation.” Wiener are referenced the wide emotional divide on the issue: “The views around it are so intensely divergent.”

“The status quo is not working. This system of home sharing is happening in the shadows with little or no oversight,” Wiener said. “It’s time to bring it out of the shadows.”  

Even supporters of the legislation, such as Breed, said they would continue closely monitoring the situation to ensure the legislation helps curbs widespread abuses of lucrative short-term rentals, including landlords evicting rent-controlled tenants to use Airbnb and entrepreneurial tenants renting out multiple apartments through Airbnb, practices Chiu sought to curb.

“The one thing that I think everyone can agree upon is the status quo is not working,” Chiu said early in the hearing.

After the legislation — which comes back to the board for a perfunctory final vote next week and goes into effect in February barring legal challenges — Airbnb’s Public Policy Director David Owen told the Guardian, “It’s a tremendous step forward and we have a lot of work to do.”

Legal aid funding for undocumented youth clears board committee

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Brian, who is 12, came to the United States from Guatemala with his younger brother, Edwin, who is seven. They arrived in a car driven by a coyote, an adult who ferried them across in an arrangement made with their family. But the brothers were quickly detained by Border Patrol agents.

When they were taken into custody, Brian explained through a translator, they heard sirens and went running into a field. The coyote ran in the other direction, leaving them alone. Brian said that when border agents shouted “stop!” he couldn’t understand what they were saying. But when Edwin tripped and fell, they both came to a halt, and were soon apprehended. They spent the next month in a Texas facility, where other Central American youth were also being held.

Brian and Edwin spoke to the Bay Guardian just before a Sept. 10 committee hearing of the San Francisco Board of Supervisors, concerning a proposal to provide emergency legal aid for undocumented youth. Just before the interview, the brothers stood on the grand marble staircase in San Francisco City Hall, surveying the stately surroundings with wide eyes. But when asked what life was like in Guatemala, where they had stayed with their grandmother, Brian’s face got very serious. 

“It was bad,” he said. “We couldn’t live in peace. There were too many gang members. They often killed children and young teenage boys.”

 

Brian and Edwin. GUARDIAN PHOTO BY REBECCA BOWE

The brothers are relatively lucky – they have legal counsel provided by Dolores Street Community Services, and their parents are here with them in San Francisco – yet they are both in deportation proceedings, and could still end up being sent back to Guatemala.

During the hearing at today’s Budget & Finance Committee meeting, more youth shared stories of their own harrowing journeys to the United States and asked the supervisors to approve funding to provide legal counsel for undocumented kids facing deportation proceedings in San Francisco immigration court.

A girl named Natalie, who is 10, described being held in a detention facility she called the “freezer” because of the uncomfortable temperature. “It was unbearably cold. It was freezing,” she said during testimony. “We had to cover ourselves with aluminum foil.”

Others described horrific violence in their home countries in Central America, and spoke about their journeys to the United States on a dangerous freight train that’s earned the nickname The Beast.

Lawyers and advocates weighed in, too. One speaker read a prepared statement from Dana Leigh Marks, president of the National Association of Immigration Judges, who wrote that due to violence and instability in Central America, “The cases we deal with are often in effect death penalty cases.”

As the Guardian previously reported, the supplemental funding request was proposed by Sup. David Campos, who noted during the hearing that he felt a personal connection with the kids because he himself was once an undocumented youth arriving to the United States from Central America.

Yet when Campos introduced the budget supplemental proposal at last week’s Board of Supervisor’s meeting, Board President David Chiu – Campos’ opponent in the race to represent District 17 in the California Assembly – noted that he had secured funding during the budget process for the expansion of a legal aid program to ensure immigrant youth would have access to pro bono legal counsel.

“Unless we actually fund nonprofits to provide that support, pro bono counsel cannot help in the way that we need them to,” Campos said during the Sept. 10 hearing.

Chiu suggested at last week’s full board meeting that a grant awarded to the Lawyer’s Committee for Civil Rights of the Bay Area, for $100,000, was intended to aid unaccompanied youth and could leverage pro bono legal representation valued at some $8 million. But Oren Sellstrom, legal director at the Lawyer’s Committee, said during the Sept. 10 hearing, “The grant we received is not focused either on unaccompanied youth or on the rocket docket,” referring to expedited immigration court proceedings. Sellstrom said he thought the additional funding proposed by Campos was needed.

In the end, the members of the Budget & Finance Committee – Sups. John Avalos, Eric Mar, and Mark Farrell – voted unanimously to recommend approval of $1.063 million per year for two years, slightly less than the $1.2 million per year Campos had originally sought.

After the hearing, Campos told the Bay Guardian he was “cautiously optimistic” that the full board, which votes on the supplemental on Tue/16, would approve the funding. His office is working with the Mayor’s Office on Housing and Community Development to expedite the process of securing contracts if it wins full approval.

Farrell, the more conservative member of the committee, said he’d had concerns walking into the hearing but was struck by youth’s accounts of their experiences. He said he had previously represented undocumented immigrants as an attorney and was sympathetic to their cases. “I had some concerns about the fact that during our own budget process, every year, we cannot fund enough services,” he told the Bay Guardian.

But at the end of the day, Farrell said, “This is a situation we cannot turn our back on in San Francisco.”

Racing for solutions

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rebecca@sfbg.com

Although there are five seats on the San Francisco Board of Supervisors up for reelection this fall, incumbents face few contenders with the requisite cash and political juice needed to mount a serious challenge. The one race that has stirred interest among local politicos is the bid to represent District 10, the rapidly changing southeastern corner of San Francisco that spans the Bayview, Hunters Point, Visitacion Valley, Dogpatch, and Potrero Hill neighborhoods.

Sup. Malia Cohen, who narrowly beat an array of more than a dozen candidates in 2010, has raised way more money than her best-funded opponent, progressive neighborhood activist Tony Kelly, who garnered 2,095 first-place votes in the last D10 race, slightly more than Cohen’s, before the final outcome was determined by ranked-choice voting tallies.

For the upcoming Nov. 4 election, Cohen has received $242,225 in contributions, compared with Kelly’s $42,135, campaign finance records show. But Kelly, who collected the 1,000 signatures needed to qualify for the November ballot and qualified for public financing, has secured key progressive endorsements, including former Mayor Art Agnos, Assemblymember Tom Ammiano, Sups. David Campos and John Avalos, and the Potrero Hill Democratic Club.

Others who’ve filed to run for this office include Marlene Tran, a retired educator who has strong ties to families in the district, especially in Visitacion Valley, through her teaching and language-access programs (she’s known by kids as “Teacher Tran”); Shawn Richard, the founder of a nonprofit organization that offers workshops for youth to prevent gun violence; and Ed Donaldson, who was born and raised in Bayview Hunters Point and works on economic development issues. DeBray Carptenter, an activist who has weighed in on police violence, is running as a write-in candidate.

But the outcome in this dynamic district could be determined by more than campaign cash or political endorsements. That’s because the D10 supervisor faces the unique, unenviable challenge of taking on some of the city’s most intractable problems, which have disproportionately plagued this rapidly changing district.

Longstanding challenges, such as a high unemployment and crime rates, public health concerns, social displacement, and poor air quality, have plagued D10 for years. But now, fast-growing D10 is becoming a microcosm for how San Francisco resolves its growing pains and balances the interests of capital and community.

 

MIX OF CHALLENGES

While candidate forums and questionnaires tend to gauge political hopefuls on where they draw the line on citywide policy debates, such as Google bus stops or fees for Sunday parking meters, neighborhood issues facing D10 have particularly high stakes for area residents.

While other supervisors represent neighborhoods where multiple transit lines crisscross through in a rainbow of route markers on Muni maps, D10 is notoriously underserved by public transit. The high concentration of industrial land uses created major public health concerns. A Department of Public Health study from 2006 determined that Bayview Hunters Point residents were making more hospital visits on average than people residing in other San Francisco neighborhoods, especially for asthma and congestive heart failure.

Unemployment in D-10 hovers near 12 percent, triple the citywide average of 4 percent. Cohen told us efforts are being made on this front, noting that $3 million had been invested in the Third Street corridor to assist merchants with loans and façade improvements, and that programs were underway to connect residents with health care and hospitality jobs, as well as service industry jobs.

“The mantra is that the needle hasn’t moved at all,” Cohen noted, but she said things are getting better. “We are moving in the same downward trend with regard to unemployment.”

Nevertheless, the high unemployment is also linked with health problems, food insecurity — and violence. In recent months, D10 has come into the spotlight due to tragic incidents of gun violence. From the start of this year to Sept. 8, there were 13 homicides in D10.

Fourth of July weekend was particularly deadly in the Bayview and D10 public housing complexes, with four fatal shootings. Cohen responded with a press conference to announce her plan to convene a task force addressing the problem, telling us it will be “focused on preventing gun violence rather than reacting to it.”

The idea, she said, is to bring in expert stakeholders who hadn’t met about this topic before, including mental-health experts and those working with at-risk youth.

“I think we need to go deeper” than in previous efforts, Cohen said, dismissing past attempts as superficial fixes.

But Cohen’s task force plan quickly drew criticism from political opponents and other critics, including Sheriff Ross Mirkarimi, who dismissed it as empty rhetoric.

“How many people are cool with yet another task force?” Kelly said in a press statement challenging the move. “We can’t wait any longer to stem the deadly tide of violence in District 10. Supervisor Cohen’s task force won’t even propose solutions till 2017. We can’t wait that long.”

Kelly told us he’s formulated a five-point plan to tackle gun violence, explaining that it involved calling for a $10 million budget supplemental to bolster family services, reentry programs, job placement, and summer activities aimed at addressing poverty and service gaps. Kelly also said he’d push for a greater emphasis on community policing, with officers walking a beat instead of remaining inside a vehicle.

“How do you know $10 million is enough?” Cohen responded. “When you hear critics say $10 million, there is no way to indicate whether we’d need more or less.” She also took issue with the contention that her task force wouldn’t reach a solution soon enough, saying, “I never put a timeline on the task force.”

Cohen also said she wanted to get a better sense of where all of the past funding had gone that was supposed to have alleviated gun violence. “We’ve spent a lot of money — millions — and one of the things I am interested in doing is to do an audit about the finances,” she said.

She also wants to explore a partnership with the Guardian Angels, community volunteers who conduct safety patrols, to supplement policing. Cohen was dismissive of her critics. “Tony was not talking about black issues before this,” she said. “He hasn’t done one [gun] buyback. There’s no depth to what any of these critics are saying.”

Tran, who spoke with the Guardian at length, said she’d started trying to address rampant crime in Visitacion Valley 25 years ago and said more needs to be done to respond to recent shootings.

“There was no real method for the sizable non-English speaking victims to make reports then,” Tran wrote in a blog post, going on to say that she’d ensured materials were translated to Chinese languages to facilitate communication with the Police Department. “When more and more residents became ‘eyes and ears’ of law enforcement, community safety improved,” she said.

Richard, whose Brothers Against Guns has been working with youth for 20 years and organizing events such as midnight basketball games, said he opposed Cohen’s task force because it won’t arrive at a solution quickly enough. He said he thought a plan should be crafted along with youth advocates, law enforcement, juvenile and adult probation officers, and clergy members to come up with a solution that would bolster youth employment opportunities.

“I’ve talked with all 13 families” that lost young people to shootings this year, Richard said, and that he attended each of the funerals.

 

CHANGING NEIGHBORHOOD

Standing outside the Potrero Terrace public housing complex at 25th and Connecticut streets on a recent sunny afternoon, Kelly was flanked by affordable housing advocates clutching red-and-yellow “Tony Kelly for District Supervisor” campaign signs. The press conference had been called to unveil his campaign plan to bolster affordable housing in D10.

Pointing out that Cohen had voted “no endorsement” at the Democratic County Central Committee on Proposition G — the measure that would tax property-flipping to discourage real estate speculation and evictions — Kelly said, “This is not a time to be silent.”

While Cohen had accepted checks from landlords who appeared on the Anti-Eviction Mapping Project’s list of worst offenders for carrying out Ellis Act evictions, Kelly said he’s pledged not to accept any funding from developers or Ellis Act evictors. Asked if any had offered, Kelly responded, “Some. They’re not knocking down my door.”

Cohen told us that she hadn’t supported Prop. G, a top priority for affordable housing advocates, because she objected to certain technical provisions that could harm small property owners in her district. As for the contributions from Ellis Act evictors, she said the checks had been returned once the error was discovered. Her formal policy, she said, is not to intentionally take money from anyone involved in an Ellis Act eviction.

Speaking outside Potrero Terrace, Kelly said he thought all housing projects built on public land should make at least one-third of their units affordable to most San Franciscans. He also said renovation of public housing projects could be accelerated if the city loaned out money from its $19 billion employee retirement fund. Under the current system, funding for those improvements is leveraged by private capital.

Mold, pests, and even leaking sewage are well-documented problems in public housing. Dorothy Minkins, a public housing resident who joined Kelly and the others, told us that she’s been waiting for years for rotting sheetrock to be replaced by the Housing Authority, adding that water damage from her second-floor bathroom has left a hole in the ceiling of her living room. She related a joke she’d heard from a neighbor awaiting similar repairs: “He said, Christ will come before they come to fix my place.”

Lack of affordable housing is a sweeping trend throughout San Francisco, but it presents a unique challenge in D10, where incomes are lower on average (the notable exceptions are in Potrero Hill, dotted with fine residential properties overlooking the city that would easily fetch millions, and Dogpatch, where sleek new condominium dwellings often house commuters working at tech and biotech firms in the South Bay).

Home sale prices in the Bayview shot up 59 percent in two years, prompting the San Francisco Business Times to deem it “a hot real estate market adorned with bidding wars and offers way above asking prices.”

One single-family home even sold for $1.3 million. Historically, the Bayview has been an economically depressed, working-class area with a high rate of home ownership due to the affordability of housing — but that’s been impacted by foreclosures in recent years, fueling displacement.

Although statistics from the Eviction Defense Collaborative show that evictions did occur in the Bayview in 2013, particularly impacting African Americans and single-parent households, Cohen noted that evictions aren’t happening in D10 with the same frequency as in the Tenderloin or the Mission.

“When it comes to communities of color in the southeast, it’s about foreclosure or mismanagement of funds,” explained Cohen.

She said that a financial counseling services center had opened on Evans Street to assist people who are facing foreclosure, and added that she thought more should be done to market newly constructed affordable units to communities in need.

“There’s an error in how they’re marketing,” she said, because the opportunities are too often missed.

But critics say more is needed to prevent the neighborhood from undergoing a major transformation without input from residents.

“This district is being transformed,” Richard said. “A lot of folks are moving out — they’re moving to Vallejo, Antioch, Pittsburg. They don’t want to deal with the issues, and the violence, and the cost.”

At the same time, he noted, developers are flocking to the area, which has a great deal more undeveloped land than in other parts of the city.

“The community has no one they can turn to who will hold these developers accountable,” he said. “If the community doesn’t have a stake in it, then who’s winning?”

 

Messed up: Did this man vandalize Alejandro Nieto’s memorial?

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Alejandro Nieto was killed after a hotly debated, horrifying confrontation with the SFPD nearly five months ago. Since his death, his family and loved ones often gather at a memorial on Bernal Hill to remember Nieto. Now however, that memorial is allegedly being desecrated.

Just a week ago, a bystander caught the alleged vandal on video, following him after watching him throw pieces of the memorial down a hill.

Is this the man vandalizing Nieto’s memorial? 

From Justice4AlexNieto.org

Before this man was captured on video, the vigil keepers had noticed that the vandal’s most recent MO was to wait until no one was looking, then grab something from the altar, and toss it across from the altar, downhill, off the path. (Before he had also been spray painting the banner.) Sometimes only one item was missing, sometimes everything was tossed. Clearly, he didn’t want to be seen carrying off an item, so he tossed them away out of sight, whenever and whatever he could when people were not watching.

Adriana came upon him around 1:30pm on Aug. 1, 2014, just as he was tossing a set of pebbles (used to weigh down the flower pot) off the side of the hill. She took out her phone and started walking towards him. As soon as he saw her, he started walking away, keeping his face off to the side (like a knowing pro.) She didn’t confront him, because she wanted to verify the missing memorial item. Once she verified the missing pebbles, and found the pebbles exactly underneath the spot he had been standing, she felt certain that this was the Memorial Vandal.

Even more problematic is the August vandalization wasn’t even the first time Nieto’s memorial had been spray painted, or otherwise disturbed. Apparently the site had been vandalized at least three times before. Banners have been spraypainted, flower pots thrown, and other items on his memorial were trampled. 

Supervisor John Avalos, who worked closely with Nieto, told the Guardian this was “pathetic. It’s hard to ascribe any motive for vandalizing the shrine, but it certainly shows callous disregard for the community still grieving, and angry at the SFPD’s questionable killing of Alex Nieto.” 

nieto family

Nieto’s parents reconstruct their son’s memorial. Image via Justice4AlexNieto.org

There are images and video of the alleged vandal at Justice4AlexNieto.org, which you can see here. If you can identify the alleged vandal, please send any information to info@justice4AlexNieto.org. The Guardian contacted the SFPD to see what, if anything, had been done. We will update if we hear back. 

Much controversy has swirled around Nieto’s death. As the Guardian has reported, an initial examination of Nieto’s body suggests he died from wounds inflicted by at least 10 bullets, fired by multiple officers. Police initially encountered Nieto in Bernal Heights Park in response to a 911 call reporting a man with a gun. Nieto, who was employed full-time as a security guard, actually possessed a Taser and not a firearm. 

Some say it was an understandable mishap by police, as SFPD Chief Greg Suhr has claimed the setting sun obscured officers’ vision of the taser, which they assumed to be a gun due to its laser sight. Nieto’s family and others strongly question that narrative, and filed a claim against the SFPD with attorney John Burris, the fate of which is still up in the air.

No matter which side of the debate about Nieto’s death you fall on though, we should all be able to agree that desecrating a memorial site of a dead young man is just plain wrong. 

Time for change

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news@sfbg.com

Christy Price doesn’t want to work forever. At 60, the security guard has worked in formula retail stores for 25 years. She says she has trouble making a living due to cuts in her work schedule, a setback that could prevent her from retiring for the foreseeable future.

Price, who has been with her current company for a decade, works at various retailers her company contracts with. Her shift from full- to part-time work is typical for employees of formula retailers in the city, many of whom are half Price’s age and attempting to support families or make their way through college.

“I’m more or less in the same predicament as [the retail workers], in terms of hours,” Price said. “It’s scary, and it’s awful sad. You’ve got people who want to work and contribute, but they aren’t given the opportunity.”

Sup. Eric Mar’s recently proposed Retail Workers Bill of Rights aims to change that. Unveiled at a July 29 press conference at San Francisco City Hall, the legislation seeks to boost prospects for retail workers “held hostage by on-call scheduling, diminished hours and discriminatory treatment by employers,” according to a statement issued by Mar’s office. There are also plans to expand the legislation to include employees of formula retail contractors, like Price.

“We’re here today because raising the minimum wage isn’t enough,” Jobs with Justice Retail Campaign Organizer Michelle Lim said at the press conference. That same day, the Board of Supervisors voted unanimously to place a measure on the November ballot to raise the San Francisco minimum wage to $15 an hour by 2018.

The current trend is for retail employers to hire part-time workers, spreading the hours thin and requiring employees to be on call for many more hours of work than they actually receive. That creates unpredictable schedules, making it difficult for workers to pay the bills.

Having stable work hours makes it possible for formula retail employees to plan for other parts of their lives, like earning college degrees, spending time with family or working other jobs — which is often a necessity for lower wage workers. Plus, as Price notes, companies with too many part-time employees aren’t getting the most out of their workers.

“If you keep undercutting them and cutting their hours, you’re not going to get the customer service that you’re looking for,” Price said. “You’re going to get what you pay for. You do need that skill; some people can do it, some people can’t.”

At the press conference, Mar was joined by fellow lead sponsor Board President David Chiu and co-sponsor Sup. John Avalos, along with speakers from local labor advocacy groups and a host of current and former formula retail workers.

As Lim explained, the proposed Bill of Rights package has four provisions. The first calls for “promoting full-time work and access to hours.” It would require formula retail employers to offer additional hours of work to current part-time employees, before hiring additional part-timers.

That would help prevent situations like those mentioned by retail employees speaking at the press conference. One Gap employee noted that part-time workers are often expected to commit to up to 30 hours of availability a week, yet would only be offered as little as 10 hours, despite being required to remain on call.

Another formula retail employee, Brian Quick, had a particularly rough experience while working for Old Navy at the clothing retailer’s flagship store. Having worked in retail for four years, he said his schedule for the upcoming week would come out on Thursday night, and the hours constantly fluctuated.

“It’s hard to plan anything such as doctor appointments when you aren’t even sure when you work,” Quick said. “Some weeks I would work 35 hours, and the next I’d get 15 hours. How am I supposed to pay bills?”

Last-minute notices became routine for Quick, who sometimes received calls informing him he didn’t have a shift anymore the night before he was scheduled to work.

“One day I came into work and they cut my hours right then and there,” Quick said. “Seems like everything is based on sales and not the well-being of the people who make the sales happen.”

Quick had other troubling experiences while working for Old Navy, including when he was denied Christmas vacation despite applying for it three months in advance. He eventually got the time off, but only through persistence and “the last-minute intervention of a sympathetic manager.”

“We know that consistent and reliable scheduling is important to our employees,” said Laura Wilkinson, a spokesperson for Gap Inc. “We are exploring ways to increase scheduling stability and flexibility across our fleet of stores. For example, last month we announced a pilot project with Professor Joan Williams of [University of California] Hastings College of Law to examine workplace scheduling and productivity.”

Gap Inc., the corporation that owns Old Navy, could be at the forefront of improving conditions, but the legislation’s supporters aren’t counting on retailers to make the necessary changes.

Instances like Quick’s are common in formula retail all over the country. Many retail employees, including some of Quick’s co-workers, must support families despite the unpredictable hours and low wages.

The second provision of the Retail Workers Bill of Rights attempts to fix that. It calls for “discouraging abusive on call practices” and aims to “encourage fair, predictable schedules.” Specifically, that would entail employers posting core schedules in advance with reasonable notice and providing premium pay “when an employer requires an employee to be ‘on-call’ for a specific shift, or cancels a shift with less than 24 hours notice.”

The third provision looks to improve conditions for part-time workers, calling for “equal treatment.” That means prohibiting employers from discriminating against employees “with respect to their rate of pay,” among other things like promotion opportunities and paid or unpaid time off.

It also addresses a chief concern for many part-time workers: ensuring that employees unable to maintain “open availability,” or being available at any time for a shift, are not denied employment. That’s especially significant for students and parents who have to balance their lives outside the retail industry with its demanding work hours.

“These policies, I feel, will have a huge impact on the lives of tens of thousands of our services workers, many of them low-wage workers who live with uncertainty and fear about their schedules and their other responsibilities in life,” Mar said as he introduced the legislation.

“Many of my family members and close friends are in that category, [along with] single moms, students in college and others that really deserve fair scheduling and a fair chance at economic justice.”

The final provision seeks to protect workers’ job security when their companies are bought or sold, requiring a 90-day trial period for existing employees if a formula retail business is acquired. This is meant to prevent companies from simply forcing out previous employees, allowing the workers a grace period to search for new work.

The legislation would impact an estimated 100,000 workers at approximately 1,250 stores across San Francisco. Those that qualify as formula retail businesses under city law include fast food businesses, restaurants, hotels and banks, and they must meet requirements in Section 703.3 of the San Francisco Planning Code.

In short, the law will apply to businesses considered to be chain stores, such as Target, McDonald’s, Starbucks, Wells Fargo and other major companies doing business throughout the city.

But the Retail Workers Bill of Rights’ supporters believe its impact will be felt beyond San Francisco, citing the city’s history of starting nationwide movements.

“San Francisco has always led the way when it comes to policies that protect working people,” Lim said. “The Retail Workers Bill of Rights is a commonsense proposal to bring stability to some of our city’s most marginalized workers.”

The supervisors sponsoring the ordinance have received plenty of help from Lim and Jobs with Justice San Francisco, a worker’s rights organization that has played an integral role in the city’s fight to improve labor conditions.

In 2013, Jobs with Justice mobilized labor support for the California Domestic Workers Bill of Rights, legislation not unlike Mar’s proposed legislation. In September 2013, Gov. Jerry Brown signed the Domestic Workers Bill into law, making California the nation’s first state to mandate overtime pay for domestic employees, specifically designating time-and-a-half pay for those working more than 45 hours a week or nine hours a day.

Even more support has come from the San Francisco Labor Council, Service Employees International Union Local 87 and Young Workers United, among many others, all of which have endorsed the legislation.

The proposal will come back into play in September, when the board returns from its summer recess. The process will start with public hearings, at which Mar said he looks forward to “really lively public conversation.”

That will give workers like Julissa Hernandez, a Safeway employee for 13 years and a veteran of the retail system, a chance to have their voices heard.

Speaking at the City Hall press conference, Hernandez said, “We should let retail workers know that they are not alone in this fight.”

 

The last Republican

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steve@sfbg.com

BART Director James Fang is San Francisco’s only elected official who is a registered Republican, yet over the last 24 years, he has somehow managed to easily win election after election in a city dominated by the Democratic Party, often with the endorsements of top Democrats.

But this year, Fang is facing a strong and well-funded challenge from investor and former solar company entrepreneur Nicholas Josefowitz, a Harvard graduate in his early 30s. Thanks in part to support from the tech community — Lyft cofounder Logan Green is one of several prominent figures in tech to host fundraisers for him, according to Re/Code — Josefowitz has managed to amass a campaign war chest of about $150,000.

Josefowitz has also secured some key political endorsements, including from Sups. John Avalos, Eric Mar, and Scott Wiener, BART Director Tom Radulovich, former SF Mayor Art Agnos, and the Sierra Club.

After Josefowitz sold his solar company, RenGen, almost two years ago, “I got more and more involved in sustainable community advocacy,” he told us. “Then the BART strike happened and I was like, wow, this shouldn’t be happening.”

Josefowitz cited BART’s history of worker safety violations, last year’s unnecessarily divisive labor contract negotiations, the district’s massive deferred maintenance budget, property devoted to parking lots that could be put to better uses (he sees potential there for real-estate development), corrupt cronyism in its contracting, and lack of cooperation with other transit agencies as problems that urgently need correcting.

Fang is being challenged by well-funded Democratic newcomer Nicholas Josefowitz.

“BART does a terrible job at coordinating with other transit agencies,” Josefowitz told us, arguing the transit connections should be timed and seamless. “James has been there for 24 years, and if he was going to be the right guy to fix it, then he would have done it by now.”

But perhaps Josefowitz’s strongest argument is that as a Republican in liberal San Francisco, Fang’s values are out-of-step with those of voters. “Why is someone still a Republican today? … He’s a Republican and he’s a Republican in 2014, with everything that means,” Josefowitz told us. “He hasn’t been looking out for San Francisco and he’s out of touch with San Francisco values.”

We asked Fang why he’s a Republican. After saying it shouldn’t matter as far as the nonpartisan BART board race is concerned, he told us that when he was in college, he and his friends registered Republican so they could vote for John Anderson in the primary election.

“Some people feel the expedient thing for me to is switch parties,” Fang said, but “I think it’s a loyalty thing. If you keep changing … what kind of message does that send to people?”

Fang said he thought the focus ought to be on his track record, not his political affiliation. It shouldn’t matter “if it’s a black cat or a white cat, as long as it catches mice,” he said. He pointed to programs such as seismic upgrades, completing the BART to the airport project, and instituting a small-business preference for BART contractors as evidence of his strong track record. “I’m a native San Franciscan — I’ve gone through all the public schools,” Fang added. “It’s very important to get people from a San Francisco perspective and San Francisco values.”

Josefowitz supporters say he has perhaps the best shot ever at defeating Fang, largely because of his prodigious fundraising and aggressive outreach efforts on the campaign trail. “He is doing all the things that someone should do to win the race,” Radulovich, San Francisco’s other longtime elected representative on the BART board, told us. “There’s a lot of unhappiness with BART these days.”

But in an interesting political twist, Fang has the endorsement of Service Employees International Union Local 1021, a champion of many progressive causes in San Francisco, after he walked the picket line with striking BART employees last year and opposed the district’s decision to hire a high-priced, union-busting labor consultant.

“It’s a priority for us to elect Fang,” SEIU 1021 organizer Gabriel Haaland told us. “When we needed him on the strike, he walked our picket line.”

SEIU Political Chair Alysabeth Alexander sounded a similar note. “In the middle of one of the most important and highest-profile labor fights in the nation, when two workers had to die to prove that safety issues were the heart of the struggle, Fang was the only board member who took a position for safety,” she said. “Every other member shut out the workers and refused to acknowledge that serious safety issues put workers lives at risk every day. If more BART Board members has the courage of Fang, two workers would be alive today.”

BART got a series of public black eyes last year when its contract standoff with its employees resulted in two labor strikes that snarled traffic and angered the public. Then two BART employees were killed by a train operated by an unqualified manager being trained to deliver limited service to break the strike, a tragedy that highlighted longstanding safety deficiencies that the district had long fought with state regulators to avoid correcting. Finally, after that fatal accident helped force an end to the labor standoff, BART officials admitted making an administrative error in the contract that reopened the whole ugly incident.

“One of the things that really opened my eyes in this labor negotiation is that often we get told things by management, and we just assume them to be true,” Fang said, noting that he’d questioned the agency’s plan to run train service during last year’s strike.

Yet Josefowitz said the BART board should be held accountable for the agency’s shortcomings in dealing with its workers. “It starts with having a genuine concern over worker safety issues, and not just at bargaining time,” he said. “If the board had acted early enough, that strike was totally avoidable.”

Indeed, BART’s decisions that led to the tragedy have been heavily criticized by the National Transportation Safety Board, California Division of Occupational Safety and Health, and the California Assembly Committee on Labor and Employment.

Fang also has the support of many top Democrats, including Attorney General Kamala Harris, US Rep. Nancy Pelosi, and former state legislator and current Board of Equalization candidate Fiona Ma, who told us: “I have endorsed one Republican in my political history, and that is James Fang for BART Board.” Noting that Josefowitz “just moved here,” Ma said, “The BART system is one of our jewels, and I don’t think we should elect first-time newcomers in San Francisco to manage it.”

Radulovich said he was mystified by prominent San Francisco politicians’ support for Fang, saying, “In this solidly Democratic town, this elected Republican has the support of these big Democrats — it’s a mystery to me.”

One reason could be Fang’s willingness to use newspapers under his control to support politicians he favors, sometimes in less than ethical ways. Fang is the president of Asian Week and former owner of the San Francisco Examiner, where sources say he shielded from media scrutiny politicians who helped him gain control of the paper, including Willie Brown and Pelosi (see “The untouchables,” 4/30/03).

But political consultant Nicole Derse, who is working on the Josefowitz campaign, told us that she thinks support for Fang among top Democrats is softening this year, noting that US Sen. Dianne Feinstein and state Sen. Mark Leno haven’t endorsed Fang after doing so in previous races.

“[Fang] has longstanding relationships with folks, but Nick is challenging people in this race to stop supporting the Republican,” Derse told us. “It’s now up to the Democratic Party and it’ll be interesting to see what they do.”

She was referring to the San Francisco Democratic County Central Committee, which plans to vote on its endorsements on Aug. 13. While DCCC bylaws prevent the body from endorsing a Republican, Ma and other Fang allies have been lobbying for no endorsement in the race, which would deny Josefowitz a key avenue for getting his name and message out there.

“This is going to be one of the most expensive races in BART’s history. He will kill me on money,” Fang said of Josefowitz. He suggested that his opponent’s candidacy underscores tech’s growing influence in local politics, and urged voters to take a closer look. “People are saying oh, it’s all about Fang. What about this gentleman?” Fang asked. “Nobody’s questioning him at all.”

Derse, for her part, noted the importance of having a well-funded challenge in this nonpartisan race. “It allows him the resources to get his message out there,” she said of Josefowitz. “Most San Franciscans wouldn’t knowingly vote for a Republican.”

 

Will San Francisco voters give Muni more money to serve a growing population?

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Beating up on Muni and the San Francisco Municipal Transportation Agency is a perennial pastime for many San Franciscans, who will be given the opportunity to put their money where their mouths are this November. Will they be willing to give Muni the money it needs to serve its growing ridership, even at the cost of other city programs and priorities?

The Board of Supervisors yesterday [Tues/22] voted narrowly to place Sup. Scott Wiener’s Muni funding measure on the fall ballot. It would increase General Fund contributions to the SFMTA as the city population increase, retroactive back to 2003 when the current rate was set, giving the agency an immediate $20-25 million boost to serve the roughly 85,000 new residents the city has added since then.

“For too long City Hall has been slow to prioritize transit funding,” Wiener said in a press release. “We are a growing city, and we need to take firm steps to ensure that our transportation system keeps up with that growth.  Improving transit reliability and capacity and making our streets safer are key to that goal.”

While everyone says they support Muni — even David Looman, the proponent behind the Restore Transportation Balance initiative that seeks more SFMTA funding for cars, which will also appear on that ballot — Wiener has been the rare strong advocate locally for actually giving the agency more money.

Mayor Ed Lee created a $10 million hole in the SFMTA budget by demanding the repeal of charging for parking meters on Sunday this year, and then he dropped his support for a local increase in the vehicle license fee this year, prompting Wiener to introduce his Muni funding measure, which the mayor would have the authority to terminate if voters approve a VLF increase in 2016.

A $500 million general obligation bond transportation measure backed by Lee and the full Board of Supervisors will also appear on the November ballot, but it will go mostly to cover Muni’s capital needs, not the growing demands on its operating budget.

Wiener’s Muni funding measure yesterday barely got the six votes this charter amendment needed to qualify for the ballot: those of Wiener and Sups. London Breed, David Campos, David Chiu, Malia Cohen, and Jane Kim (Sup. John Avalos was absent).

In recent years, there’s been a rift in the city’s progressive coalition between environmental and transportation activists on one side and affordable housing advocates on the other, who sometimes battle over city funding they see as a zero sum game. So it will be interesting to watch how the politics surrounding this measure shape up going into the fall campaign season.  

SF and UC systems dragging their feet on fossil fuel divestment

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The San Francisco Employees’ Retirement System and University of California Board of Regents — two local entities targeted by campaigns urging them to divest of their fossil fuel investments — remain resistant to the change despite official statements of support.

In April of last year, the San Francisco Board of Supervisors voted to push SFERS to divest from fossil fuels. Now, more than a year later, sponsoring Sup. John Avalos questioned Mayor Ed Lee during the July 15 Board of Supervisors meeting about what needs to happen to move toward divestment. Groups such as Fossil Free SF and 350 SF are asking the same question since the issue of climate change is nearing a critical threshold.

Kimberly Pikul and Jed Holtzman of 350 SF told the Guardian that now is the time for action. “There is only so much carbon that we can release before we cook the planet beyond a level to which we can adapt,” Holtzman told the Guardian.

Pikul and Holtzman explained that carbon reserves owned by publicly traded fossil fuel companies represent five times what would be required to “cook the planet.” Only 20 percent of owned reserves can actually be used without massive environmental consequences, so they say stock in a fossil fuel companies is overvalued, making it a risky investment.

“To protect the long-term financial health of the pension fund and the benefits of city workers and retirees, it is a certainty that SFERS needs to divest from its fossil fuel holdings,” said Holtzman.

Despite the unstable investments and risk of environmental change, Mayor Lee seemed more concerned with jobs and green projects when Avalos questioned him about the Retirement Board’s progress at the Board of Supervisors meeting.

Lee told Avalos: “Our commitment of $4.5 million a year to GoSolarSF will continue to create local green collar jobs and … contribute [to] the creation of locally produced 100 percent green energy. These are the kinds of meaningful investments that actually deploy dollars, create jobs, and move the needle on green energy.”

Despite SF’s support of green jobs, Avalos, Fossil Free UC and 350 SF see divestment as one of the pathways toward long-term environmental change and more sustainable energy projects.

But, as Avalos pointed out, the Retirement Board has “yet to take any steps to divest from fossil fuels or limit the retirement fund’s exposure to the financial risks posed by climate change.”

The only step taken so far is to initiate “Level 1” shareholder engagement with fossil fuel companies. Pikul and Holtzman explained that Level 1 engagement “is largely cosmetic and only calls for SFERS to vote their proxies on climate-related shareholder votes.” The next step is Level 2: shareholder advocacy and engagement with fossil fuel companies. The ideal is Level 3, or investment restriction/divestment.

SF isn’t the only city to seek divestment. Oakland and Berkeley are also pursuing the cause, as are Portland and Seattle. The University of California has also been deliberating the issue and plans to vote on divestment in September.  

But the UC Board of Regents seems skeptical, despite the push from students. UC President Janet Napolitano told the Daily Bruin, “Using divestment as a tool is something that should be done rarely, if at all.”

An open letter from faculty to the UC Regents, posted on Fossil Free UC’s website, bases the argument for divestment on students’ well-being: “Current students will be at the peak of life in 2050, identified by numerous studies as a point at which the global community will have either adequately responded to climate change, or will be suffering horribly from it.”

When Harvard rejected divestment in 2013, University President Drew Faust told the San Francisco Chronicle that she found “a troubling inconsistency in the notion that, as an investor, we should boycott a whole class of companies at the same time that, as individuals and as a community, we are extensively relying on those companies’ products and services for so much of what we do every day.”

Stanford University had a similar dependence issue, which is why it compromised by divesting from coal companies, instead of all fossil fuel companies. Before divestment, the university received $19 billion from coal-related investments, money that will now be invested in other things.

While the partial divestment is a step in the right direction, Fossil Free UC student organizer Silver Hannon said, in a press release following July 16 Regents meeting, “While partial divestment could stigmatize the dirtiest energy source, we need to see the Regents take a real leadership position on the issue by adopting a comprehensive fossil-free investment strategy.”

As for SF, Mayor Lee promises that divestment will happen after the Retirement Board has considered the consequences. Since there doesn’t seem to be a study currently underway, the best course of action is to keep Lee and other officials accountable for SF’s climate and clean energy goals, said Pukil and Holtzman.

Lee seems confident that SFERs will divest, even if the timeline is currently unclear.

“I know the commission does seriously consider the fiscal consequences of divestment, and sometimes they decide the benefits outweigh the costs,” Lee told the supervisors. “I trust the Retirement Board and staff to make the right decisions in this regard.”

“Let’s Elect Our Elected Officials” rejected at the Board of Supes

At today’s (Tue/15) Board of Supervisors’ meeting, members of the board voted 6-5 against placing a proposal on the November ballot that would create special elections when vacancies arise on the Board or in the Mayor’s Office.

If approved by voters, the measure would have immediate impacts on San Francisco’s political landscape. Board President David Chiu is vying for a seat in the California Assembly against Sup. David Campos, which will leave a vacancy on the board one way or another. 

But Sup. John Avalos, who authored the charter amendment proposal, noted that “this measure is not about any existing mayor or any existing supervisor.” Instead, Avalos described the measure as a bid to make city policy more democratic. 

“It will allow voters to decide who fills vacancies in special elections,” Avalos said.

As things stand, when a supervisor’s seat is vacated, it’s up to the mayor to appoint that official’s replacement. When a mayor’s seat is vacated, a much more rare occurrence, it’s up to “a small minority of people – us,” to appoint the city’s top elected official, Avalos said. “This shapes how decisions are made, often behind closed doors.”

Taking this question to voters via special election would ultimately be more democratic, he added. “If you are on the fence on this measure, I hope you can still send this ballot measure over to the voters,” Avalos told his colleagues.

Sups. London Breed, Katy Tang, and Scott Wiener each spoke in opposition to the idea.

“It’s not a perfect system, but no system ever is,” Breed said. “I’m not sure what problem we’re trying to solve with changing the charter.”

Wiener sounded a similar note. “There are various ways you can do it, and no way is necessarily better or worse,” he said of the current system for appointing vacancies. “I don’t see how the system that we have is in any way broken.”

But Sup. David Campos chimed in to challenge that framing. “The question before this board is not, what is the best system? … The question is a lot simpler than that,” Campos said, “Since we are talking about democracy. The question is: Will we give voters in SF the opportunity to decide for themselves what the best system is? Let’s not you and I pre-judge what the voters are going to say.”

In the end the measure failed six to five, with Sups. Mar, Avalos, Campos, Chiu, and Jane Kim voting in favor.

Supes to vote on Avalos’ “Let’s Elect Our Elected Officials” measure

The San Francisco Board of Supervisors will vote tomorrow (Tue/15) on whether to submit a charter amendment to the ballot that would require a special election in the event of a vacancy on the Board of Supervisors or in the mayor’s office.

As things stand, the mayor holds the power to appoint someone to fill a vacant seat on the board. But Sup. John Avalos’ proposed ballot measure, unofficially dubbed “Let’s Elect our Elected Officials,” would shift that decision-making power to the voters. The measure needs six votes to pass.

If it wins voter approval, the measure would also likely have a significant impact on the city’s political landscape in the immediate future.

Sup. David Campos, who is co-sponsoring the initiative, is currently vying for a seat in the 17th Assembly District against Board President David Chiu, a narrow race that will leave a vacancy on the Board one way or another. If Campos, one of the board’s most progressive members, is elected, Mayor Ed Lee would presumably appoint someone to his seat with a rather different political bent.

The ballot needs an additional three votes (beyond its three sponsors) to reach the necessary six votes necessary for approval by the Board, and “it’s sort of up in the air at the moment,” according to Jeremy Pollock, Avalos’ legislative aide.

Some supervisors are reluctant to go against Lee by limiting mayoral power. Opposition from Sup. Katy Tang, herself a beneficiary of the current rules when she was appointed by Mayor Lee in February 2013, has also had an effect of the amendment’s approval.

But supporters of the bill are hoping the overall benefits of the measure will lead the supervisors to approve it.

“John sees this as a good government reform that takes some power away from the mayor and the Board and gives it to the voters,” Pollock said, with the hope that it would also work to discourage backroom deals.

Another potential issue raised over the approval of the measure is the cost of special elections, though it appears to be a relatively minor concern. According to the San Francisco Department of Elections, a special election for supervisors costs roughly $300,000 (a drop in the ocean given the city’s multi-billion dollar budget) and around $3.5 million for a citywide election, a substantial sum but also a relatively minor worry given the rarity of vacancies in the mayor’s office. Some might argue that given the importance of the mayor’s duties, that’s a small price to pay to allow the voters to have a say.

In addition to its main rule change, the measure includes a few other provisions, such as making an exception for the proposed rule if a regularly scheduled election would be held within 180 days of the vacancy.

It would also provide “that the Mayor appoints an interim Supervisor to fill a supervisorial vacancy until an election is held to fill that vacancy,” with the key addition that the interim supervisor would be ineligible to compete in that election.

That’s no small stipulation, given the sweeping historic success of incumbents in board re-elections. (Since 2000, when district elections returned, Christina Olague is the only incumbent who failed to gain re-election after being appointed.) Avalos appears set on plugging all holes with his proposed legislation, and it’s now up to the board to place it on the November ballot.

Angry building owners threaten lawsuit over anti-speculation tax

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Opponents of the anti-speculator tax that will appear on the November ballot blasted the proposal in a City Hall hearing yesterday [Thu/10] — pledging to defeat the measure in court even if voters approve it — but they were overwhelmed by a strong turnout from supporters who said real estate speculation drives up the cost of housing without adding any value.

“We can sue you in court on the many of the unconstitutional aspects of this and we will do that,” Janan New, director of the San Francisco Apartment Association, said of the measure that would charge a 24 percent tax on properties flipped within a year of purchase down to a 14 percent tax if flipped within five years.

New and other allies — including San Francisco Association of Realtors, Small Property Owners of San Francisco, and Sup. Katy Tang — claimed that the measure is illegally retroactive because it affects those who recently bought property and that it doesn’t account for people who need to sell their properties because of job loss or other life changes.

“This is almost tantamount to a confiscation of property,” Peter Rich of SPOSF said at the hearing.

But Sup. David Campos — who placed the measure on the ballot along with Sups. Eric Mar, Jane Kim, and John Avalos — refuted allegations that the measure isn’t legally sound and carefully questioned City Attorney’s Office staff to clarify the laws that allow for the measure.

“I know there’s a lot of ulterior motives here because we do know this is going to be challenged in court, so I want to be very clear,” Campos said in response to a line of questioning from Tang, who continued to maintain, “So it’s retroactive in a sense” after being told by the deputy city attorney that it wasn’t retroactive because the tax only applies to future property sales.

The anti-speculation tax was first introduced by then-Sup. Harvey Milk shortly before his assassination in 1978 (Dianne Feinstein killed the measure after becoming acting mayor), and it was revived this year during a series of tenant conventions and sponsored by Mar.

“What we’re proposing is very reasonable to deal with the affordable housing crisis,” Mar said at the hearing, noting that it exempts single-family homes, projects larger than 29 units, and sales triggered by the death of the property owner. “It’s been crafted with enough exemptions to protect the small guy and really go after the profiteers.”

During the public comment period, where supporters on the measure vastly outnumbered opponents, several speakers referenced Harvey Milk and said housing in San Francisco wouldn’t be so expensive today if the measure had passed back then, a time when evictions and displacement were also on the rise.

“He was assassinated before it came to fruition. The parallels to that time and today are striking,” testified Tom Temprano, president of the Harvey Milk LGBT Democratic Club, who urged supervisors to “honor the legacy of Harvey Milk by passing this thoughtful and well-crafted legislation.”

Brian Basinger, head of the AIDS Housing Alliance, played old video footage of Milk talking about the measure back in 1978, shortly after he was evicted from his Castro Street camera store by a landlord seeking higher rents, noting that profiteering forces San Franciscans to spend too much on housing and have too little left over for other needs.

“So when you look at that, it’s going to affect the larger economy,” Milk said of real estate speculation.

Gen Fujioka, who works at Chinatown Community Development Center and spoke for San Franciscans Against Real Estate Speculation, cited recent evidence of properties snapped up by speculators and quickly flipped for profits of 50 percent of more.

“Basically, what we’re seeing today is an escalation in the sales prices of multi-unit buildings beyond what people can pay in rent,” Fujioka testified, noting how that essentially forces landlords to evict rent-controlled tenants to make the investments pencil out. “That kind of price escalation is causing instability in our communities.”

But opponents lashed out at the measure and the characterization that they were profiteering in ways that hurt people. “It’s a housing tax and it doesn’t make sense to have a housing tax in the most expensive city in the country,” said Jay Chang of the Association of Realtors.  

Aaron Jones said he and his wife invested their children’s college savings in a small apartment building, and that they’re good landlords who should be able to sell the property when they want to without penalty.

“We can’t sell until 2017 with this retroactive, punitive tax,” Jones said, saying there were many other small investors like him who were afraid to speak up because “in San Francisco, to be an investor — not a speculator — is to be the devil.”

But supporters of the measure say their intention isn’t to demonize property owners but to do something about the eviction and displacement crisis that is changing the face of the city, and to create a disincentive to bad behavior.

“It’s really the most vulnerable people who are being affected by evictions,” said Erin McElroy of the Anti-Eviction Mapping Project, citing her group’s research showing 72 percent of recent evictions have been of the elderly or disabled.

“Speculation is the commodification of housing and housing is essential,” said Chris Durazo of the Veterans Equity Center.

Campos said most landlords should support the measure as check against speculators that are pushing up the price of housing, triggering evictions, and creating a divisive politcal climate: “Speculators are giving landlords in San Francisco and property owners in San Francisco a bad name.”

SF to consider joining Richmond in fighting banks over underwater mortgages

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Plans to ease San Francisco’s often overlooked home foreclosure crisis will have to wait a bit longer. The San Francisco Board of Supervisors this week delayed a resolution that would show the city’s “intent” to save underwater mortgages in favor of a resolution that might actually have begin to intervene in underwater mortgages.

“The idea of people losing their homes is very disheartening,” Sup. John Avalos told the Guardian. “I’m looking forward to an ordinance that would actually allow San Francisco to join a JPA [Joint Powers Authority] and enable us to have leverage over banks.”

The original proposal would have stated San Francisco’s “intention” to form a JPA with the City of Richmond in the obscure—and controversial—use of eminent domain to acquire and fix underwater mortgages for homeowners in working class neighborhoods. But Avalos said that the resolution was primarily aimed at supporting Richmond in defending its principal reduction program.

“The resolution in support of Richmond’s work is not as timely as it was and I want to make sure I can work with you colleagues about the relationship around how we can actually have an ordinance to join a JPA with the city of Richmond and have all of our questions answered as we’re going through that process,” he told the Board of Supervisors on Tuesday.

Eminent domain is a law that allows the government to purchase private property for public use, including nontangible assets such as mortgages. The use of eminent domain to acquire underwater mortgages (when mortgage payments that exceed the value of homes) could be a godsend for homeowners who have been bamboozled by predatory lenders.

Yet Richmond, receiving national attention for the gutsy strategy, faced intense criticism—even federal lawsuits—from banks and financial institutions of late. Certain banks and financial institutions warned lending would halt if the strategy were attempted. Although Richmond recently braved attempts to quash its principal reduction plan, a JPA with San Francisco would allow both cities to leverage some power over banks.

“One city doesn’t have the resources to do it alone,” Sup. David Campos, who co-sponsored the resolution, told the Guardian. “Collectively joining forces can do it, and can be strengthened by taking a regional approach.”

Yet Avalos explained that he has already experienced disagreement from banks, including Well Fargo. “We are swimming against the tide—against the institutions of our banks that have a stronghold on how local loans and mortgages are kept at high interest rates, on the ability homeowners have to renegotiate loans, and on how we can improve the actual principal of our loans,” he told the Board of Supervisors, which was met by public applause.

“People don’t feel a sense of urgency about the housing crisis, and we need to convince them,” Avalos told the Guardian. “Overall we’re two years from the Occupy movement that challenged banks, and people have forgotten the feeling of the time where people questioned how much power banks had over the loan modification.”

In San Francisco, focus has indeed shifted toward out-of-control rents, though fallout from the mortgage crisis still persists. Over 300 underwater mortgages are concentrated in San Francisco’s working class communities, 90 percent of which contain predatory features, according to the Mortgage Resolution Partners, a company helping Richmond administer and finance their principal reduction plan.

Although roughly 64 percent of San Francisco residents are renters, some working class community member still own their homes, and some, like Carletta Jackson-Lane—who has lived in District 10 for 27 years and who spoke at this week’s meeting during public comment—feels that the African American community has been hit especially hard by foreclosures.

“Don’t forget that foreclosures are directly related to the outward migration of African American families out of San Francisco,” she said. “The reality is that in the Mission, there’s a different impact because they were mostly renters.

“The other impact in the African American community—especially in District 10—is that they were single family property owners, so when the foreclosure crisis happened, it knocked them out,” she explained. “And that’s multiple generations.”

Avalos sent the resolution back to committee for modification, and he expects a resolution to be voted on in August. “I don’t want San Francisco to be a place where only the wealthy can survive,” Avalos said.  “But in order to make serious changes we have to break a few eggs.”

When asked what those eggs were, he responded, “What currently is.”  

San Jose cracks down on pot clubs after eschewing SF’s regulatory approach

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San Jose’s current (and harsh) crackdown on medical marijuana dispensaries contrasts with San Francisco’s decade-old (and still working well) regulations.

Over the last five years, cannabis club after cannabis club sprouted throughout San Jose while the city’s local government debated, wavered, and faltered over the best way to regulate their pot clubs. But last month, San Jose City Council members, citing an abundance of pot clubs as the cause of a surge of marijuana use in schools, got tough. They voted to enact regulations that would make it too costly for more than 70 of their pot clubs in the city to operate. Only about 10 would survive.

Meanwhile, San Francisco pot clubs rest easy, undisturbed, and untouched — at least by the San Francisco officials who pioneered regulations in the city early on. In fact, the city’s Planning Department has recently recommended expanding the so-called Green Zone where dispensaries are allowed to operate by allowing dispensaries closer to schools.

As it stands, getting a permit to open a dispensary in San Francisco is no easy task. San Francisco regulations mean dispensaries are limited to less than 10 percent of all of San Francisco.

“Because zoning is so limited, the biggest struggle is finding a location,” Shona Gochenaur, director of Axis of Love SF Community Center, told the Guardian. “I’ve known collectives that have searched for over two years for a space correctly zoned. If you get through all those mindfields and to your Planning Commission hearing, it’s smoother. Very few permits have been denied if they survive to that point.”

But San Jose’s proposed regulations take it a step farther: they would limit pot shops to industrial areas that make up roughly 1 percent of San Jose. Plus, under San Jose’s proposal, San Jose’s pot shop owners will have to grow their own cannabis and produce any topicals and edibles in house. For that, they’ll need kitchens, labs, health inspections, and a host of costly equipment. Also unlike San Francisco, no concentrates will be allowed, causing many marijuana patients to suffer from lack of access to the medicine they need.

After San Jose approved the relegations, Santa Clara County Board of Supervisors voted unanimously to enact a temporary moratorium on the establishment of medical marijuana dispensaries in unincorporated Santa Clara County. David Hodges,  a member of the Silicon Cannabis Coalition and owner of the All American Cannabis club, says he has until July 18 to put forth a referendum that would undo San Jose’s vote.

“I want regulations that work,” he said. “We want to remove the language that makes it impossible for dispensaries to operate and to keep everything else.”

The problem, he said, is that San Jose hadn’t enacted regulations soon enough. San Francisco was way ahead of them.

Gochenaur worked on some of San Francisco’s early regulations, recognizing that the feds would step in if cannabis activists didn’t act first.

“[The] San Francisco movement came with the AIDS crisis with city electeds that were both empathetic and personally affected by watching loved one’s suffering, our ZIP code being hit the hardest,” said Gochenaur .“We had the risk takers and the trail blazers willing to open their doors.”

Risk taking for San Francisco included regulating dispensaries in ways the state has since failed to do. Since San Francisco began regulating dispensaries in 2004, anyone wanting to open up a dispensary in San Francisco has had to jump through a series of tough bureaucratic hoops while also garnering neighborhood support.

San Jose, instead, opted for the laissez faire approach, allowing their dispensaries to grow, and then regretting it later.

When San Jose attempted to enact similar regulations back in 2011, Hodges used a referendum to stop the council’s plans. But, once he succeeded in defeating San Jose’s proposal, no new regulations were proposed.

“The cannabis movement in San Jose is back at square one,” Hodges wrote on his website after his referendum succeeded.

John Lee, director of the Silicon Valley Cannabis Coalition, said his organization’s biggest mistake was repealing, rather than revising, San Jose’s proposal 3 years ago. “We just knew that we couldn’t do with what they were proposing,” he said. “We just wanted to stop their relegations. But we had no idea how to regulate this back then. Now we want to.”

Having narrow relegations to begin with leaves San Francisco with room for revision later. For instance, Sup. John Avalos is working with the Planning Commission to help expand the Green Zone by bringing dispensaries 600 feet away from schools rather than 1,000 feet now. On the opposite end of the spectrum, Santa Clara Deputy County Executive Sylvia Gallegos has claimed before that San Jose’s dispensaries, totalling over 90 at the time,  caused a 106 percent increase in drug abuse-related suspensions of students in East San Jose schools in 2011-2012.

“I was smoking pot in high school before I even knew what a cannabis club was,” Hodges said. “Keeping dispensaries away from schools won’t stop that.”

If Hodges referendum fails, he says he’ll leave the cannabis industry for good.

“Right now, this could happen anywhere. There’s no safe place,” he said. “Save for Oakland – kind of. And San Francisco. But they have the territory well-covered in those areas. There’s no need for me there.”

San Francisco dispensaries may have local support, but without statewide regulations, they’re not immune to federal crackdowns, either, as the closures of Vapor Room and HopeNet made clear back in 2012. For years, Assemblymember Tom Ammiano has been trying to create statewide regulatory framework for California to help limit the crackdowns. In May, his most recent bill to address statewide regulation failed to pass the Assembly Floor. Since then, Ammiano has backed a bill from Senator Lou Correa (D-Santa Ana) that would force dispensaries to obtain local approval prior to obtaining state approval.

David Goldman, a former member of the San Francisco Medical Marijuana Task Force, told us, “It’s basically the only sensible approach towards state framework. The US Attorney is less likely to go after states with a strong structure. The tighter the regulations, the less the feds will go after dispensaries.”

For now, cannabis owners in San Jose must focus on their own, local battle to save themselves. As for the San Francisco cannabis owners who’ve passed their bureaucratic tests and received their golden permits, business resumes as usual.

Taxing speculators

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steve@sfbg.com

Political tensions over evictions, displacement, real estate speculation, and rapidly rising housing costs in San Francisco are likely to heat up through the summer and autumn as a trio of November ballot measures are debated and combated by what’s expected to be a flood of campaign cash from developers and other real estate interests.

Topping the list is a tax measure to discourage the flipping of properties by real estate speculators. Known generally as the anti-speculation tax — something then-Sup. Harvey Milk was working on at the time of his assassination in 1978 — it was the leading goal to come out of a citywide series of tenant conventions at the beginning of this year (see “Staying power,” 2/11/14).

“To be in a position to pass the last thing Harvey Milk worked on is a profound opportunity,” AIDS Housing Alliance head Brian Basinger told us, arguing the measure is more important now then ever.

The measure has been placed on the ballot by Sups. John Avalos, David Campos, Jane Kim, and Eric Mar and is scheduled for a public hearing before the Board of Supervisors Rules Committee on July 10 at 2pm.

“It’s an absolutely key issue for San Francisco right now. Passing this measure will create a seismic shift in what we’re seeing with evictions and displacement in the city,” Sara Shortt, director of the Housing Rights Committee, told the Guardian.

The measure creates a supplemental surcharge on top of the city’s existing real estate transfer tax, a progressive rate ranging from a 24 percent tax on the sale of a property within one year of its purchase to 14 percent if sold between four and five years later.

In addition to levying the tax, the measure would also give the Board of Supervisors the power to waive that tax “subject to certain affordability-based restrictions on the occupancy of the real property,” giving the city leverage to expand and preserve deed-restricted affordable housing.

Meanwhile, there’s been a flurry of backroom negotiations surrounding the City Housing Balance Requirement measure sponsored by Sup. Jane Kim, which would require market rate housing projects to get a conditional use permit and be subjected to greater scrutiny when affordable housing falls below 30 percent of total housing construction (with a number exemptions, including projects with fewer than 24 units).

That measure is scheduled for a hearing by the Rules Committee on July 24 and, as an amendment to the City Charter, it needs six votes by the Board of Supervisors to make the ballot (the anti-speculation tax is an initiative that requires only the four supervisorial signatures that it now has).

Mayor Ed Lee and his allies in the development community responded to Kim’s measure by quickly cobbling together a rival initiative, Build Housing Now, which restates existing housing goals Lee announced during his State of the City speech in January and includes a poison pill that would invalidate Kim’s housing balance measure.

Together, the measures will draw key battle lines in what has become the defining political question in San Francisco these days: Who gets to live here?

 

COMBATING SPECULATORS

In February, Mayor Lee and his allies in the tech world, most notably venture capitalist Ron Conway, finally joined housing and other progressive activists in decrying the role that real estate speculators have played in the city’s current eviction and displacement crisis.

“We have some of the best tenant protections in the country, but unchecked real estate speculation threatens too many of our residents,” Lee said in a Feb. 24 press release announcing his support for Sen. Mark Leno’s Ellis Act reform measure SB 1439. “These speculators are turning a quick profit at the expense of long time tenants and do nothing to add needed housing in our City.”

The legislation, which would have prevented property owners from evicting tenants using the Ellis Act for at least five years, failed in the Legislature last month. So will Lee honor his own rhetoric and support the anti-speculation tax? His Communications Director Christine Falvey said Lee hasn’t yet taken a position on the measure, but “the mayor remains very concerned about real estate speculators.”

Peter Cohen of the Council of Community Housing Organization said Lee and his allies should support the measure: “It seems so clearly aligned with the same intent and some of the same mechanics as Ellis Act reform, which had the whole city family behind it.”

“I think it would be very consistent with their position on Ellis Act reform to support the anti-speculation tax,” Shortt told us. “If the mayor and tech companies went to bat for the anti-speculation tax, and not against it, that would show they have real concern about displacement and aren’t just giving it lip service.”

Conway’s pro-tech group sf.citi didn’t returned Guardian calls on the issue, nor did San Francisco Planning and Urban Research Association, but their allies in the real estate industry strongly oppose it.

“As Realtors, our goals are to increase housing availability and improve housing affordability,” San Francisco Association of Realtors CEO Walk Baczkowski told the Guardian. “We don’t believe the proposal from Sup. Mar, which is essentially a tax on housing, will accomplish either of those goals.”

But supporters of the measure say real estate speculation only serves to drive up housing costs.

“We have been successful at bringing people around on the issue of real estate speculation,” Basinger told us. “But of course, there will be financed opposition. People will invest their money to protect their interests.”

“We know it’s going to be a fight and we’ll have to put in a lot of resources,” Shortt said, adding that it’s a fight that tenant activist want to have. “Part of what fuels all of this [displacement] is the rampant real estate speculation. We can’t put profits above people.”

 

MAYOR’S MEASURE

Falvey denies that Lee’s proposal is designed simply to negate Kim’s measure: “Build Housing Now specifically asks the voters to adopt as official city policy the Mayor’s Housing Plan to create 30,000 new homes by 2020 — the majority within reach of low, moderate, and middle income residents. This is not a reaction, but a proactive measure that lets voters weigh in on one of the mayor’s most important policy priorities.”

Yet the most concrete thing it would do is sabotage the housing balance measure, an intention it states in its opening words: “Ordinance amending the Planning Code to prohibit additional land use requirements such as conditional use authorizations, variances or other requirements on housing projects…based on a cumulative housing balance ratio or other similar criteria related to achieving a certain ration of affordability.”

Beyond that, it would have voters validate Lee’s housing goal and “urge the Mayor to develop by December 31, 2014 a Housing Action Plan to realize this goal.” The measure is filled with that sort of vague and unenforceable language, most of it designed to coax voters into thinking it does more than it would actually do. For example, it expands Lee’s stated goal of 30 percent of that new housing being affordable by setting a goal of “over 50 percent within reach of low and middle income households.”

But unlike most city housing policies that use the affordable housing threshold of those earning 120 percent of area median income (AMI) and below, Lee’s measure eschews that definition, allowing him and his developer allies to later define “middle income households” however they choose. Falvey told us “he means the households in the 50-150 percent of AMI range.”

The measure would also study the central premise of Mayor Lee’s housing policy, the idea that building more market rate housing would bring down the overall price of housing for everyone, a trickle-down economic argument refuted by many affordable housing advocates who say the San Francisco housing market just doesn’t work that way because of insatiable and inelastic demand.

“Within 60 days of the effective date of this measure, the Planning Department is directed and authorized to undertake an economic nexus analysis to analyze the impact of luxury development on the demand for middle income housing in the City, and explore fees or other revenue sources that could help mitigate this impact,” the measure states.

Shortt thinks the mayor’s measure is deceptive: “It’s clever because for those not in the know, it looks like a different way to solve the problem.” But she said the housing balance measure works well with the anti-speculation tax because “one way to keep that balance is to make sure we don’t lose existing rental stock.”

And advocates say the anti-speculation tax is the best tool out there for preserving the rental housing relied on by nearly two-thirds of city residents.

“It’s the best measure we have going now,” Basinger said of the anti-displacement tax. “Mayor Ed Lee and his tech supporters were unable to rally enough support at the state level to reform the Ellis Act, so this is it, folks.”

Pumping up awareness

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Warning! This is just a friendly reminder that your petroleum habit is hurting us all.

Berkeley’s Community Environmental Advisory Commission recently approved the concept of stickers to be placed on gas pump handles that warn drivers that greenhouse gases such as those emitted from automobile tailpipes contribute to global warming. If it makes sense to warn that cigarette smoking increases the likelihood of developing lung cancer, then hey, why not remind drivers that by using fossil fuels, they’re increasing the planet’s temperature and volatility.

The campaign is led by 350 Bay Area, a grassroots environmental organization affiliated with 350.org, a global climate movement. The name reflects its main goal: follow scientists’ warnings to reduce the amount of C02 in the atmosphere from its current level of 392 parts per million to below 350 ppm, a crucial threshold of climate instability.

While Berkeley has gained the most political traction for 350 Bay Area’s “Beyond the Pump” campaign, 350 Bay Area is also working on getting San Francisco to adopt the gas pump stickers and other planet-saving tactics.

Since last year, advocates with 350 Bay Area worked in collaboration with Sup. John Avalos on a 10-Point Climate Action Work Plan that was officially adopted in April. This plan commits the Bay Area Air Quality Management District to reducing greenhouse gas emissions to 80 percent of 1990 levels by 2050. The group has also been in contact with Avalos and his legislative aide Jeremy Pollack about sponsoring an ordinance to place the warning stickers on gas pumps in San Francisco.

“I think it’s great. We need reminders about the impact of fossil fuels on an individual basis,” Avalos told the Guardian. “We have choices, and this is a great way to build awareness of those choices.”

Avalos said that his office has already started looking into the idea of putting stickers on gas pumps. Right now, he’s still waiting on enough research to ensure the stickers can pass legal muster against any challenges by the petroleum industry.

“Hopefully it will work out. The City Attorney is looking into it, and we’re waiting to see what happens with Berkeley,” Pollack told the Guardian. “We tried something similar with warnings about cell phone radiations, but the court struck it down.”

He’s referring to the nearly three years of legal battles with the mobile phone industry group CTIA over a San Francisco law passed in 2011 that had required every store selling cell phones in the city to display the specific absorption rate of radiation expected from each phone model.

CTIA took San Francisco all the way to the 9th Circuit US Court of Appeals, saying the law interfered with their free speech rights. And, it won. Finally, last May, San Francisco gave in and killed the warning law. Those legal battles are not something San Francisco is likely to forget, no matter what environment-happy warning labels come along.

Yet the San Francisco public might not mind a gentle push. According to a recent poll by the Yale Project on Climate Change Communication, 77 percent of San Franciscans think that residents should be doing more to address climate change. The stickers could serve as a gentle push in that direction, and though Avalos is confident his city will get stickers eventually, it looks like Berkeley residents will get their warnings first.

“We’re not going to stop at Berkeley,” Jack Lucero Fleck, 350 Bay Area Steering Committee member, told us. “Right now, there’s no clues in gas stations that fossil fuels might be a problem. But advertising works. That’s why corporations spend billions on it. The human mind can’t ignore it.”

The campaign — the only one in the country with political fraction — is parallel to a Toronto campaign called Our Horizon. But unlike the stark, graphic warnings in Canada, 350 Bay Area takes heed from failed attempts by the US Food and Drug Administration to pursue graphic cigarette warning labels.

Right now, thanks to tobacco advocates who’ve aggressively protected their free speech rights, warnings on US cigarette packaging are tame. But if you go to Canada for a smoke, you’ll find packaging that reads, “This is what dying of lung cancer looks like,” followed by the image of an emancipated, corpse-like body. The least graphic image is of a gentle crib, but even that’s followed by information about the connection between smoking and Sudden Infant Death Syndrome.

Berkeley could opt for similar, hardcore carbon emission warning graphics (picture it now: baby polar bears balancing on ice, fish washed up on shores, massive dust clouds about to drown villages), but 350 Bay Area is more mindful of the legal fallout that would likely follow.

Instead, the Berkeley warning sticker samplers are downright peppy. In hot pink, the sticker shouts, “Global warming alert!” followed by a pastel blue that informs drivers, with the gentle nudge of a concerned parent, “Burning gasoline emits C02. The City of Berkeley cares about global warming.” Then there’s a picture of a cute little car emitting a cloud of murky C02.

“We wanted the language to be careful and the facts noncontroversial,” 350 Bay Area Campaign Manager Jamie Brooks told us. “We have to be as gentle as possible. It’s tough love.”

One sticker sampler reads, “The State of California has determined that global warming caused by C02 emissions poses a serious threat to the economic well-being, public health, natural resources, and the environment of California.”

You can’t really argue with that, it’s even enshrined in California law. Plus, the stickers aren’t anywhere near the gruesome Canadian samples that show famine in deserts and unhappy kids suffering from smog-induced asthma.

Berkeley City Council member Kriss Worthington, who sponsored the council item in support of the stickers, said, “We made sure we had language that wasn’t questionable and that it wasn’t pre-emptive to state or federal law. The language in the stickers is language already law in the state of California.”

Sure enough, the California Global Warming Solutions Act, adopted in 2006 as Assembly Bill 32, already states that emissions are harmful to humans and the environment.

Yet Western States Petroleum Association’s President Catherine H. Reheis-Boyd isn’t pleased. She issued what Brooks called a “love letter” to the advisory committee. Just as tobacco lobbyists argued that cigarette warnings are forced — and therefore not free — speech, Rheis-Boyd ignores the global warming debate and instead focuses on the US Constitution.

“Far less restrictive means exist to disseminate this information to the general public without imposing onerous restrictions on businesses and forcing unwanted speech in violation of the First Amendment,” she wrote.

Reheis-Boyd goes on to appeal to Berkeley’s history in the Free Speech Movement: “Perhaps no city in our nation has as rich a tradition in the exercise of the First Amendment right to freedom of speech as the City of Berkeley.” She also accuses 350 Bay Area of advancing messages that are not “purely factual” but a “policy determination by the State of California.”

This is true; the stickers do reflect policy determination from AB 32, which mandates the state to reduce greenhouse gas emissions, and that’s why they’re likely to stick.

Besides, the stickers will likely only appeal to global warning believers; they’re meant to remind drivers that there are ways to curb their appetite for gas, such as by choosing public transit or other alternatives modes of transportation. The campaign’s technical advisor, Dr. Kirk R. Smith, said, “The cigarette analogy isn’t perfect, because gas is only one factor in climate change. But individual decisions are important.”

The question is whether or not such peppy stickers can get drivers thinking about the implications of their transportation choices.

The campaign in Berkeley isn’t done yet. After the Energy Commission votes in July, the sticker proposal will head to the Berkeley City Council in September. And from there, 350 Bay Area will see if those in San Francisco might like some friendly warning stickers on their gas pumps.

Free Sunday meters challenge rejected, SFMTA board’s independence questioned

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The San Francisco Board of Supervisors voted to reject an environmental appeal of the decision to repeal paying for parking meters on Sundays, which was voted on by the San Francisco Municipal Transportation Agency in April as part of the agency’s annual budget approval.

It was a hotly contested decision, as competing interest groups fought for their slice of Muni’s funding. SFMTA Chairman Tom Nolan told us at the time, “As long as I’ve been on the SFMTA board I’ve never felt more pressure.”

This week’s appeal to the Board of Supervisors focused on one aspect of the overall SFMTA budget: the repeal of paid Sunday meters. 

“I appreciate there is frustration,” SFMTA Director Ed Reiskin said to the board. That was an understatement.

The Sunday meters benefit many, the appeal’s filers contended: Less cars circled around looking for parking (because more drivers could actually find spots) meant reduced congestion and safer streets for bicyclists and pedestrians. It’s a sign of the strength of the argument that the appeal was filed by transit advocacy group Livable City (whose executive director is BART board member Tom Radulovich) and Mario Tanev, a very bright policy wonk over at the San Francisco Transit Riders Union. 

The SFMTA’s own data proves the Sunday meters were good for the city,” Cynthia Crews of the League of Pissed Off Voters said to the board. “We need to stop playing chicken with public safety.”

But despite the environmental benefits of paid meters, the appeal was rejected. The reasons are buried in political gobbledygook, but untangling the complex story reveals the mayor’s power, and his missteps. 

Firstly, the environmental appeal wasn’t exactly aimed at the meters themselves, but at the SFMTA budget as a whole. That’s because the SFMTA board didn’t vote to repeal Sunday meters directly, but stuffed it into their approved budget, which is exempt from California Environmental Quality Act review. It was like serving up a distasteful Sunday meter fruitcake with the Muni budget holiday meal: You’d better eat the whole dinner, or else you’re not eating at all. 

Budgets are statutorily exempt from environmental review (otherwise there’d be an EIR with every major financial decision). So the Sunday meters were approved through a politically tactical move, shielded by the environmental exemption cloak of the budget.

This meant the environmental appeal yesterday targeted not just the meters, but it could effectively challenge the entire SFMTA’s right to environmental review exception for its budgets, supervisors said. They also warned such a challenge may set a precedent for other budgets from other agencies to not be exempt from environmental review, an onerous burden. That was too big of a pill for the board to swallow, which is likely why only two supervisors voted against granting the SFMTA the CEQA exemption: John Avalos and Eric Mar. 

Yet most of the political maneuvering wasn’t from the board, but from Mayor Ed Lee, a problem Supervisor David Campos used this review hearing to highlight. Even if you do or don’t want to see Sunday meter parking, irrespective of the issue,” Campos said, “I think the way this matter was handled by the SFMTA, respectfully, is not something anyone should be happy with.”

He continued: “Let’s be clear: The reason why the SFMTA budget included an item that did not provide for funding from Sunday meters is because the mayor wanted it that way. We have a budget system that is essentially run by decisions made in the Mayor’s Office.”

We posed this idea in our story “Politics over Policy” [4/22], contending that because the SFMTA is appointed by the mayor (meaning, he picks and chooses who is on the board), the board members are therefore politically beholden to the mayor. 

Campos drove this point home at the meeting: “I think there’s something to be said when the appointment of one official (on the SFMTA board) is entirely dependent on [the mayor], who can disagree or agree with the decisions you made.”

The night before our last story went to print, SFMTA Board Chariman Tom Nolan told us that was in fact exactly what happened on the Sunday meter issue. The SFMTA board, whose directors vote on resolutions every week, received a phone call from the mayor asking for a specific vote. And he got it.

Ed Resikin, myself, and a few others in a conference call [with the Mayor’s Office],” Nolan said. He told us the central message of the call was this: The mayor wanted to put a vehicle license fee increase on the city’s November ballot. In order to do that, the mayor contended, car drivers needed to feel like they weren’t being nickled and dimed. Paid Sunday meters had to go. 

That was where they advanced the idea that the mayor wanted to do that,” Nolan told us. “That call was right before the mayor’s State of the City message.”

Nolan is an affable, straightforward person. The budget the SFMTA passed came on the heels of a fiery meeting, filled to the gills with activists from the senior and persons with disabilties communities. They asked for free Muni for those same groups, which would cost less money than the Sunday meters would bring in — many at the meeting said the meters could pay for the free Muni service. The need is dire, as some seniors said they regularly made the choice between groceries and a Muni pass.

Nolan sounded deeply effected by their stories.

“Muni is for everybody, especially those who need it most,” he said. “The testimony was very heartbreaking. It’s expensive to live in this city.” 

But in the end, he told us, the mayor felt it was best to kibosh the Sunday meters, which deprived the SFMTA of funding to make Muni free for qualified seniors. We asked Nolan if the mayor had outsized influence on the SFMTA board.

“I think people are aware that we are quasi-independent,” he said. “We are clearly part of the city family. I can assure you that this happens very seldom that we get this pressure from the Mayor’s Office. He’s a very open-minded guy, really, and he has a high tolerance for ambiguity, which I like.”

“But,” you don’t turn him down, he said, because, “he’s the mayor.”

SFMTA Board Director Cheryl Brinkman supported paid Sunday meters. But when justifying her vote to repeal them, she told the packed board meeting the “best political minds” in the Mayor’s Office said it was the right thing to do in order to pass the VLF increase ballot measure.

But in a move that outraged Sup. Scott Wiener and many others, just this month Lee dropped the VLF ballot measure altogether for this year, eventually agreeing to support its placement on the November 2016 ballot.

So to pave the way for success at the ballot box the board rejected free Muni for seniors and lost over $10 million in Muni funding. And in the end, the mayor threw all the justification for his compromises out the window.

Best political minds, indeed. 

DCCC calls against Prop B did not have desired effect, did raise questions

Chairperson Mary Jung of the San Francisco Democratic County Central Committee, a highly influential political body that governs the San Francisco Democratic Party, has come under fire for “misuse of funds” after authorizing the use of DCCC dollars to make calls to voters just before the June 3 election.

The funds in question, according to DCCC members who raised concerns, came out of a $25,000 check from billionaire venture capital investor Ron Conway, received by the DCCC May 30.

In a June 16 letter – signed by DCCC members Kelly Dwyer, Hene Kelly, Sup. Eric Mar, Sup. David Campos, Sup. John Avalos and Petra DeJesus – Jung is taken to task for directing $11,674.48 from this donation be used for phone calls placed to voters in opposition to Proposition B, which appeared on the June 3 ballot, just before the election.

As previously reported, a complainant cried foul on this action in a filing with the San Francisco Ethics Commission, because callers seemed to be intentionally misleading voters by implying that the No Wall on the Waterfront Campaign, which backed the measure, was opposed to it.

When we phoned Jung for comment on that complaint, she said she did not have the call script and could not comment on the charge that the calls were misleading. She also said Conway’s contribution was not necessarily put toward the No on B calls. Instead, she told us, she could not link any single donation with any single expenditure, because the DCCC had been conducting broad fundraising efforts leading up to the election.

In their letter to Jung, the dissenting DCCC members argued that her decision to authorize the use of funds for the No on B voter calls violated the organization’s bylaws, because “there was never a vote by the members to expend $11,674.48 to make calls for No on B.” 

The letter points to an article within the board’s bylaws, stating that “Disbursements of SFDCCC funds … shall be authorized by a majority vote of the voting members present and voting at a regular meeting.” 

In the end, San Francisco voters overwhelmingly approved Prop. B, which requires voter approval before building heights may be increased above established limits for new waterfront development projects. However, the measure was not popular among real-estate development interests.

In addition to being chair of the DCCC, Jung is employed as a paid lobbyist for the San Francisco Association of Realtors, making her professionally positioned at the center of the San Francisco real-estate community.

“The power that comes with being the Chair does not mean that you can circumvent Bylaws and advocate and raise money for causes that you happen to also work for,” the authors of the letter stated bluntly. “There is a serious conflict of interest here.”

When the Bay Guardian phoned the DCCC to ask if there was an expert on the organization’s bylaws who might be able to comment on whether the rules had been violated, we were directed to Arlo Hale Smith, a 30-year DCCC member and parliamentarian with a deep understanding of the bylaws.

Smith offered an interesting twist on the matter: He said these funds were indeed “properly expended, under the emergency provision.”

The emergency provision? Yes, Smith explained, the DCCC bylaws contain a provision allowing the DCCC chair and treasurer to authorize the use of funds without first calling a vote, “in the event of an emergency.” This provision has been used in the past, he said, to authorize last-minute expenditures when an election imposes a tight deadline.

Since the money arrived three days before the election, there was no time to call a meeting and vote on it, Smith clarified. That’s why it was perfectly legitimate for Jung to authorize the use of funds. He added that disagreement over the content of the calls warranted a separate conversation.

“Because of when the check arrived – it constituted an emergency,” Smith noted, confirming that he was talking about the check from Conway.

That would be the same check from Conway that Jung told us had nothing to do with the No on B calls.

Sounds like the DCCC is going to have lots to talk about on June 25, when the members who submitted the letter asked for a hearing on this matter.

Here’s the full text of the letter.

DCCC members' letter to Chair Mary Jung

The anti-sunshine gang intensifies its attacks on the Sunshine Ordinance Task Force in City Hall

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By Bruce B. Brugmann   (with special sunshine vendetta chronology by Richard Knee) 

The Guardian story in the current issue demonstrates in 96 point tempo bold how important the glare of sunshine and publicity is in City Hall in keeping the public’s business public. Yet, the anti-sunshine gang in City Hall is intensifying  its savage attack on the Sunshine Ordinance Task Force.

The Sunshine Ordinance established the Sunshine Task Force to serve as the people’s court for hearing citizen complaints on public access, thus giving  citizens a way to get secret records, open secret meetings, and hold government officials accountable. It empowers citizens to be watchdogs on issues they care about.  It is the first and best ordinance of its kind in the country, if not in the world, and its effectiveness is shown by the fact that the anti-sunshine gang regularly tries  to bounce strong members and gut the task force.

Terry Francke, then the executive director of the California First Amendment Coalition and author of the ordinance, and I as a founder anticipated this problem in trhe early 1990s and put a mandate  into the original ordinance for the task force to have representatives from the local chapter of the Society of Professional Journalists (a journalist and media attorney) and the San Francisco League of Women Voters, two organizations with experience and tradition with open government issues. Later, the mandate included a representative from New America Media, to insure a member of color for the task force.

 I served for 10 years on the task force and then Mayor Willie Brown made the point about City Hall interference by targeting me for extinction.  He tried several times  to kick me off the task force.  I refused to budge, on the principle that neither the mayor nor any other city official should be able to arbitrarily kick off a member of the task force for doing his/her job. When Willie left office, I left the task force when my term was up  and the principle was intact.

Today, as Richard Knee writes in his timeline and chronology below, the principle is once again under city hall attack. Knee replaced me as the journalist representative  of SPJ and has served under fire  for a record 12 years. He writes that the latest attack is retaliation for a unanimous finding by the task force in September 2011 when Board President David Chiu and Supervisors Scott Wiener, Malia Cohen, and Eric Mar violated  local and state open meeting laws by ramming through the monstrous Park Merced redevelopment contract with 14 pages of amendments that Chiu slipped in “literally minutes” before the committee vote.

This was a historic task force vote in the public interest, and a historic vote for open government and for all the good causes. But instead it prompted a smear- dilute-and- ouster campaign by the Board of Supervisors, with timely assists from the city attorney’s office.  The ugly play by play follows. The good news is  that the sunshine forces inside and outside city hall are fighting back, hard and fast, and with a keen eye on all upcoming elections.   Stay tuned. On guard. :

 Special  chronology and timeline detailing the anti-sunshine gang attack on  the Sunshine Ordinance Task Force. By Richard Knee)

1. In April 2011, the Task Force voted to change its bylaws to declare that approval of substantive motions required “yes” votes from a simple majority of members present rather than a simple majority of all members, as long as a quorum was present. The quorum threshold remained at six. The bylaws change went against the advice of the city attorney’s office, which pointed to city Charter Sec. 4.104. Suzanne Cauthen and I cast dissenting votes on the bylaw change. David Snyder was absent from that meeting but made it clear that, reluctantly, he could find no reason to disagree with the city attorney’s opinion.

2. In September 2011, the Task Force voted, 8-0, to find that Board of Supervisors President David Chiu and Supervisors Eric Mar, Scott Wiener and Malia Cohen had violated the Sunshine Ordinance and the state’s open-meeting law (Brown Act). Mar, Wiener and Cohen served on the board’s Land Use and Economic Development Committee, which voted to recommend approval of a Parkmerced redevelopment contract. Literally minutes before the committee voted, Chiu introduced 14 pages of amendments to the contract. The deputy city attorney at the meeting opined that the amendments did not substantially alter the contract and therefore the description of the item on the meeting agenda was still apt and the committee could act on it. The full board approved the contract the same day.

Wiener tried to intimidate the Task Force from hearing the case. His legislative aide Gillian Gillette (now the mayor’s director of transportation policy) told us we had no business telling the board how to vote and that in taking up the matter, we would be overstepping our authority. Her tone of voice, facial expression and body language were clearly confrontational. We pushed back. Bruce Wolfe told her it was inappropriate to prejudge the Task Force’s vote before the hearing had begun. I told her that we were not interested in the LUED Committee’s or the board’s substantive vote on the contract, but we were concerned about the procedural aspect. A complaint alleging sunshine violations had been brought before us and we were duty-bound to hear it. I pointedly suggested she review the ordinance, especially Sec. 67.30, which defines the Task Force’s, duties, powers and composition. She skulked back to her seat, seething.

Chiu’s legislative aide Judson True told us that Chiu’s office had made a mad scramble to get the amendments printed and properly distributed to allow enough time for review by the supervisors and members of the public before the committee’s vote. He and Gillette, citing the city attorney’s opinion, reiterated that the committee and the board had followed proper procedure.

We were incredulous toward their claims that (a) 14 pages of amendments did not substantially alter the contract and (b) there was sufficient time to review the amendments before the committee’s vote. We consensed that there was no reason the committee could not have delayed its vote in order to allow adequate review time.

3. Wiener surreptitiously asked the Budget and Legislative Analyst in late 2011 to survey every city department on how much sunshine compliance was costing it. When we learned about it, Task Force Chair Hope Johnson sent a strongly worded letter objecting to the attempt at secrecy and to the form that the survey took; we felt many of the questions were vague or vacuous.

4. In May 2012, the Rules Committee (Jane Kim, Mark Farrell, David Campos) interviewed Task Force applicants. Committee members pointedly asked incumbents Suzanne Manneh (New America Media’s nominee), Allyson Washburn (League of Women Voters’ nominee), Hanley Chan, Jay Costa and Bruce Wolfe if it wouldn’t have been wise to follow the city attorney’s advice in order to avoid violating the Charter. They responded that while they deeply appreciated having a deputy city attorney at Task Force meetings and certainly gave due weight to the DCA’s counsel, such advice did not have the force of law, they had a right to disagree with it and they believed the bylaw change they had enacted in April 2011 did not violate the Charter.

The Rules Committee voted unanimously to recommend the appointments of newcomers Kitt Grant, David Sims, Chris Hyland and Louise Fischer, and returnee David Pilpel. Campos and Kim voted to recommend Wolfe’s reappointment; Farrell dissented.

Then, citing concerns about lack of “diversity,” Farrell and Kim said the Society of Professional Journalists, NAM and the LWV should have submitted multiple nominations for each of their designated seats. They pointed to language in ordinance Sec. 67.30(a) stipulating that the respective members “shall be appointed from … names” – and they emphasized the plural, “names” – “submitted by” the organizations. And the committee voted unanimously to continue those four appointments to the call of the chair.

It is important to note that this was the first time ever that the committee had made a multiple-nominations demand. Previously, the committee and the board had invariably accepted the single nominations from the three organizations.

The “diversity” argument was a smokescreen. They had already voted to bounce Chan, who is Chinese-American, and Manneh is a Palestinian-American fluent in Arabic and Spanish.

The truth was, they didn’t like the nominees. SPJ had nominated attorney Ben Rosenfeld and Westside Observer editor Doug Comstock. Both as a Task Force member and as a political consultant, Comstock had been a thorn in lots of local politicians’ and bureaucrats’ sides. And Manneh and Washburn had participated in the Task Force’s unanimous finding of violation against Chiu, Wiener, Mar and Cohen.

Upshot: By continuing those appointments, the committee and the board ensured that Manneh, Washburn and I would remain as “holdovers” and the SPJ-nominated attorney’s seat would stay vacant (Snyder had formally resigned). Manneh, citing an increased professional and academic workload, stepped aside a few months later, meaning two of the 11 seats were vacant, and it now took only four absences instead of five to kill a quorum.

5. At the subsequent meeting of the full board, after Campos moved to reappoint Wolfe, Wiener moved to replace his name with that of Todd David. In making his motion, Wiener delivered a scorching, mendacious attack on what was then the current Task Force. Details of the tirade are available on request. The board voted, 6-5, in favor of Wiener’s motion (ayes: Wiener, Chiu, Farrell, Cohen, Carmen Chu and Sean Elsbernd; noes: Campos, Kim, Mar, John Avalos and Christina Olague). The board then voted unanimously to appoint Grant, Sims, Hyland, Fischer, Pilpel and David.

6. Ordinance Sec. 67.30(a) stipulates that the Task Force shall at all times have at least one member with a physical disability. Wolfe was the only applicant in 2012 to meet that criterion. So when the board ousted him, the Task Force no longer had a physically disabled member. The city attorney advised the new Task Force that to take any actions before a new physically disabled member was appointed could land land the Task Force and its individual members in serious legal trouble. So the Task Force was sidelined for five months, finally resuming business in November 2012 following the appointment of Bruce Oka — who, by the way, is solidly pro-sunshine.

            7. After interviewing 12 of the 13 task force applicants on May 15, 2014, Rules Committee members Norman Yee and Katy Tang complained about a lack of racial/ethnic diversity among the candidates, but that didn’t stop them from voting to recommend the reappointments of members David, Fischer and Pilpel, all Anglos (Campos was absent). Nor were they deterred by the fact that David has missed six task force meetings since March 2013, including those of last January, February and April. They continued consideration of additional appointments to a future meeting, possibly June 5.

At the board meeting on May 20, Wiener repeated his slander of the 2012-14 task force and heaped praise on David, Fischer and Pilpel without offering a shred of corroborating evidence. The board voted to confirm their reappointments, again ignoring David’s porous attendance record.

8. To be seen: whether Rules and/or the board will continue insisting on multiple nominations, and whether it will move forward on other possible appointments. Including Grant’s resignation and the possibility of holdovers, there is a risk that as few as eight of the 11 seats will be filled, meaning three absences would kill a quorum. Sims is moving to Los Angeles but remaining as a holdover for the moment. If he resigns, that could pull the number of fill seats down to seven, meaning two absences would kill a quorum.

The foregoing commentary is strictly personal and not intended to reflect the views of any other individual or organization.

Respectfully submitted,

Richard Knee

Member (since July 2002) and past chairman of the Sunshine Ordinance Task Force

Member of the Society of Professional Journalists, Northern California Chapter, Freedom of Information Committee

San Francisco-based freelance journalist

(The Bruce blog is written and edited by Bruce B. Brugmann, editor at large of the San Francisco Bay Guardian. He is the former editor and co-founder and co-publisher of the Guardian with his wife Jean Dibble, 1966-2012). In San Francisco, the citizens are generally safe, except when the mayor is in his office and the board of supervisors is in session. You can quote me.  B3

Progressives challenge mayor’s abuse of authority

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EDITORIAL Mayor Ed Lee has repeatedly overstepped his authority on behalf of the entrenched political and economic interests who put him into office, and we’re happy to see Sup. John Avalos and his progressive allies on the Board of Supervisors starting to push back and restore a more honest and equitable balance of power at City Hall.

There was no excuse for Lee and his political appointees on the San Francisco Public Utilities Commission to sabotage a decade of work creating the CleanPowerSF program, the only mechanism the city has for creating the renewable energy projects we need to meet our climate change goals.

This was a program created by a veto-proof majority on the Board of Supervisors, the body that the City Charter gives the authority to create such programs on behalf of the people who elect them, then the SFPUC used a vote that should have been a procedural formality to block it (see “Power struggle,” 9/17/13).

Lee refused to work with the supervisors to address his stated concerns — most of which have already been addressed by now anyway, from the program’s cost to the involvement of Shell Energy North America, which is now out — draining the CleanPowerSF funding and providing more evidence that this ruse was really all about protecting PG&E from competition.

So Avalos and other progressives of the Budget & Finance Committee last week rejected the SFPUC budget, forcing Lee and allies to now bargain in good faith. That’s the kind of realpolitik in service of progressive values that we’ve been missing at City Hall in recent years, the willingness to get tough with the grinning mayor who disingenuously talks about civility while his operatives stab their opponents in the back.

Avalos is also sponsoring a fall ballot measure that would let voters fill vacancies on the Board of Supervisors, rather than letting the mayor, who heads the executive branch, stack the legislative branch of government in his favor. We should have done that a decade ago after Gavin Newsom executed his infamous “triple play” to gain another ally on the board, and it’s especially relevant now that two supervisors are running against either other for the Assembly.

Avalos isn’t stressing the balance of powers argument for his Let’s Elect our Elected Officials Act of 2014, which would call a special election to fill vacancies in all the locally elected positions if the next election was more than year away (both the Board of Education and City College Board of Trustees would appoint interim members). It even gives up the supervisors’ power to appoint a new mayor (with the board president serving the interim, as is now the law). San Francisco isn’t a dictatorship, as much as that might please Lee’s business community allies. The people and our district-elected supervisors need to have a stronger voice in how this city is being run, so we at the Bay Guardian are happy to see a few new green shoots of democracy springing up at City Hall.

The strange, unique power of San Francisco mayors

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Mayor Ed Lee wields a strange and unique power in San Francisco politics, passed down from Mayor Gavin Newsom, and held by Mayor Willie Brown before him.

No, we’re not talking magic, though mayors have used this ability to almost magically influence the city’s political winds. 

When elected officials leave office in San Francisco and a seat is left vacant, the mayor has the legal power to appoint someone to that empty seat. A study by San Francisco’s Local Agency Formation Commission conducted March last year shows out of 117 jurisdictions in California, and ten major cities nationwide, only seven jurisdictions give their executives (governors, mayors) the ability to appoint an official to a vacant seat. The other jurisdictions hold special elections or allow legislative bodies to vote on a new appointment. 

The power of a San Francisco mayor then is nearly singularly unique, the report found, but especially when seen in the context of the nation’s major cities.

“Of the 10 cities surveyed here,” the study’s authors wrote, “no other city among the most populous grants total discretion for appointments.” 

The study is especially relevant now, as Sup. John Avalos introduced a charter amendment to change this unqiuely San Franciscan mayoral power, and put the power back in the hands of the electorate.

His amendment would require special elections when vacancies appear on public bodies like the community college board, the board of education, or other citywide elected offices. He nicknamed it the “Let’s Elect our Elected Officials Act,” and if approved by the Board of Supervisors it will go to this November’s ballot.

Avalos touched on the LAFCo study while introducing his amendment at the board’s meeting on Tuesday [5/20]. 

“One of the striking results is how unique San Francisco’s appointment process is,” Avalos said. “There’s no democratic process or time constraint when the mayor makes these appointments.”

He pointed to then-Assessor Recorder Phil Ting’s election to California Assembly in 2012. Camen Chu, his successor, was not appointed by the mayor until February 2013, he said, a longstanding vacancy.

So what’s the big deal? Well, voters notoriously tend to vote for the incumbents in any race, so any official with their name on the slot as “incumbent” come election time has a tremendous advantage. In fact, only one supervisor ever appointed by a mayor was ever voted down in a subsequenet district-wide (as opposed to city-wide) election. This dataset of appointed supervisors was culled from the Usual Suspects, a local political-wonk blog:

Supervisor

Appointed

Elected

 

Terry Francois

1964

1967

 

Robert Gonzalez

1969

1971

 

Gordon Lau

1977

1977

 

Jane Murphy

1977

Didn’t run

 

Louise Renne

1978

1980

 

Donald Horanzy

1978

Lost in 1980

Switched from District to

Citywide elections.

Harry Britt

1979

1980

 

Willie B. Kennedy

1981

1984

 

Jim Gonzalez

1986

1988

 

Tom Hsieh

1986

1988

 

Annemarie Conroy

1992

Lost in 1994

 

Susan Leal

1993

1994

 

Amos Brown

1996

1998

 

Leslie Katz

1996

1996

 

Michael Yaki

1996

1996

 

Gavin Newsom

1997

1998

 

Mark Leno

1998

1998

 

Alicia D. Becerril

1999

Lost in 2000

Switched from Citywide to

District elections.

Michela Alioto-Pier

2004

2004

 

Sean Elsbernd

2004

2004

 

Carmen Chu

2007

2008

 

Christina Olague

2012

Lost in 2012

Only loss by a district

appointed supervisor.

Katy Tang

2013

2013


So mayoral appointments effectively sway subsequent elections, giving that mayor two prongs of power: the power to appoint someone who may agree with their politics, and the power to appoint someone who will then owe them.

A San Francisco Chronicle article from 2004 describes the power derived from appointees former Mayor Willie Brown infamously enjoyed.

Once at City Hall, Brown moved quickly to consolidate power, and using the skills he honed during his 31 years in the state Assembly, gained control of the Board of Supervisors. Before the 2000 election, he appointed eight of the 11 members, filling vacancies that he helped orchestrate, as supervisor after supervisor quit to run for higher office or take other jobs.

The board majority was steadfastly loyal, pushing through Brown’s policies and budget priorities with little debate. In a 1996 magazine article, he was quoted as likening the supervisors to “mistresses you have to service.”

Voters may soon choose what elected officials they want in offices. The mistresses of the mayor, or the mistresses of the people.

Graph of the LAFCo study produced by Guardian intern Francisco Alvarado. LAFCo looked at California jurisdictions as well as ten major cities nationwide.

Supes won’t let mayor raid CleanPowerSF without a fight

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The Board of Supervisors Budget and Finance Committee today voted to reject the San Francisco Public Utilities Commission budget, an effort by Sup. John Avalos and others to force Mayor Ed Lee to the bargaining table over the city’s neglected sustainable energy infrastructure needs.

“I wanted to get the mayor’s attention and to find a practical way to let the mayor know the Power Enterprise infrastructure needs help, as well as CleanPowerSF,” Avalos told the Guardian. CleanPowerSF would provide electricity derived from renewable sources to enrollees in the municipal program.

After CleanPowerSF was approved by a veto-proof majority on the Board of Supervisors last year, Lee’s appointees to the SFPUC blocked implementation of the program during what should have been a routine vote to set a maximum rate. Then Lee this year raided those funds and transferred them to his GoSolar program.

“Because he raided our funds, I worked with [fellow Budget Committee members Sups.] Eric Mar and London Breed to kill his budget,” Avalos told us, noting that he alerted Lee on Sunday of his intention to do so and never got a response. “It was remarkable that he thought he could just bring this to committee and thought everything was hunky-dory.”

Christine Falvey, the mayor’s spokesperson, said the mayor hadn’t had time yet to develop his next step but “the mayor is committed to funding GoSolar, a program that can start immediately, help us reach our agressive environmental goals and employ San Francisco residents.”

The tendrils of the mayor’s power could be felt even in the SFPUC’s Citizens’ Advisory Committee meeting last night. The committee makes recommendations to the PUC with no authority for mandate, but rather for long-term strategic, financial and capital improvement plans.

As the committee considered a vote to recommend the PUC move forward with CleanPowerSF, the tussle between the mayor and the supervisors reverberated through their frank discussions.

The problem is the mayor is violently against this program,” said Walt Farrell, a committee member from Supervisor Norman Yee’s District 7. He added, “How will you convince them?”

Director of Policy and Administration at Power Enterprise Kim Malcolm was slated to be the Director of CleanPowerSF, but she deflected, saying it wasn’t up to her.

We view our job as, we do what the policy makers tell us to do,” she said.

Jason Fried, executive director of the Local Agency Formation Commission, told the CAC most of the mayor’s concerns regarding CleanPowerSF have since been addressed. 

The mayor critiqued the program for relying on Shell for energy, Fried said, but now Shell is out of the picture.

cacsfpuc

Kim Malcolm presents information on CleanPowerSF to the SFPUC Citizens’ Advisory Committee.

He said the program could also possibly provide extra money for Power Enterprise, the city’s Hetch Hetchy powered hydroelectric system. 

Highlighting all the benefits of CleanPowerSF, Jess Derbin-Ackerman, a conservation organizer speaking on behalf of the Sierra Club, urged action.

This program was in the works for ten years,” she said, and “it’s largely been fought because of political attachments to PG&E.”

She noted more than four other counties in Northern California are now shifting to clean power, and San Francisco lags behind.

“Get with it,” she said, “the rest of the Bay Area is.” 

Ultimately the CAC opted to push the vote backing CleanPowerSF until its next meeting, due to absent members. The CAC’s chair, Wendolyn Aragon, supported the supervisors stalling the PUC budget.

“CleanPowerSF has been proven time and time again as a viable source of clean energy,” she told the Guardian. “But if Mayor Lee and the SFPUC Commissioners (whom he appoints) want to keep denying that … it’s time to draw a line in the sand.”

Now that the PUC’s budget has been formally rejected, the agency has $20 million in reserves that it can spend until it comes up with a budget that meets the approval of the Board of Supervisors, as the City Charter requires. In the meantime, Avalos called on Lee to negotiate in good faith with the board.

“The path forward is to negotiate,” Avalos told us. “The mayor has overstepped his bounds on this issue. He is not taking the leadership to convene us together to find a solution.”

Political power play unseats SF Police Commissioner

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Police Commissioner Angela Chan fought the federal government as they unjustly tried to deport undocumented San Franciscans who were guilty of no crimes, and won. She fought to arm the SFPD with de-escalation tactics instead of Tasers, and won again.

But at the April 30 Board of Supervisors meeting, Chan lost. The board denied her reappointment to the Police Commission, and seven supervisors voted to appoint her opponent, Victor Hwang, instead.

The decision came after heated backdoor politicking by Chinatown political leader Rose Pak, insiders told us. Politicians involved would only speak on background, for fear of reprisal from Pak, yet indicated that Pak felt Chan did not consult often enough with Chinatown interests and focused too broadly on issues of concern to other communities.

Chan gained national recognition for her work against Secure Communities, challenging a provision that allows U.S. Immigration and Customs Enforcement to call for illegal holds of undocumented persons they’d later like to deport. Pak came out swinging against Chan in the wake of those battles, we were told.

“It’s a sad day for the immigrant rights movement when a strong leader cannot be reappointed,” Sup. Eric Mar said just before the vote.

After Sup. Katy Tang introduced the motion to strike Chan’s name from the appointment, and replace it with Hwang’s, other supervisors noted the obvious elephant in the room — there was not only one vacant seat on the police commission, but two.

Supervisor John Avalos suggested the Board of Supervisors make a motion to request the mayor appoint Hwang himself, allowing for both Chan and Hwang to be appointed.

But Board of Supervisors President David Chiu said he’d asked Mayor Lee that very question to no avail. “It is not something that will happen,” he said. “It is not the practice of the mayor to solve difficult decisions of the board. It’s up to us.”

Sups. Mark Farrell, Scott Wiener, Malia Cohen, London Breed, Jane Kim, Tang and Chiu voted to strike Chan’s name from the appointment, and to vote to appoint Hwang instead. (Joe Fitzgerald Rodriguez)

LAWSUIT FILED TO HALT TECH SHUTTLE PILOT

The road to regulating Google Buses has a new pothole: a lawsuit.

A lawsuit filed in San Francisco Superior Court May 1 demands the San Francisco Municipal Transportation Agency’s commuter shuttle pilot program be put on hold while a full environmental review is conducted under the California Environmental Quality Act.

“We know that these buses are having devastating impacts on our neighborhoods, driving up rents and evictions of long-time San Francisco residents,” said Sara Shortt, executive director of the Housing Rights Committee of San Francisco and one of the lawsuit petitioners. “We’ve protested in the streets and taken our plea to City Hall to no avail. We hope to finally receive justice in a court of law.”

The suit was filed against the City and County of San Francisco, Mayor Ed Lee, the Board of Supervisors, the SFMTA, Google, Genentech, Apple, and a handful of private transportation providers. It alleges the tech shuttle pilot project is in violation of the California Vehicle Code, which prohibits any vehicle — except common carriers (public buses) — to pull into red zones that are designated as bus stops. It also alleges the city abused its discretion and violated the CEQA by exempting the Shuttle Project from environmental review. (Joe Fitzgerald Rodriguez)

ILLEGAL ANTI-CAMPOS FLYERS TARGETED IN ETHICS COMPLAINT

Several San Francisco neighborhoods over the last week have been targeted with illegal campaign flyers against Assembly candidate David Campos — breaking both state election laws requiring the group and its funding source to be identified and local laws against placing political flyers on utility poles and other surfaces.

Former Ethics Commission Eileen Hansen this week filed a complaint about the guerilla campaigning with the California Fair Political Practices Commission, which has jurisdiction over state races.

“I am asking for the intervention of your office into what appears to be a blatant and arrogant violation of campaign finance reporting and disclosure laws in California’s 17th Assembly District Primary Election,” Hansen wrote in the April 30 letter. “As you well know, the political climate in San Francisco is quite sensitive, and nerves are raw. If this violation is allowed to continue, it will have a chilling effect on the entire election and further alienate voters, and potential voters.”

The race between Campos and David Chiu has indeed gotten more heated in recent weeks, but Chiu campaign manager Nicole Derse denies that the campaign has any knowledge or involvement with the illegal campaigning: “We think everyone in this race should be transparent.”

In her letter, Hansen casts doubt on the Chiu campaign’s claims of innocence: “The wide distribution, professional design, and overnight appearance in distant locations strongly suggest that these flyers have been produced and distributed by a funded political organization aligned with Assembly candidate David Chiu, whose aim is to attack and discredit Chiu’s opponent David Campos.”

And she even identifies a leading suspect in this illegal campaigning: Enrique Pearce and his Left Coast Communications firm, which has a history of dirty tricks campaigning on behalf of Mayor Ed Lee and other establishment politicians. Hansen notes that the flyers appeared right after the registration of a new campaign committee, San Franciscans for Effective Government to Support David Chiu. Although the group hasn’t reported any fundraising yet, its contact phone number goes to Left Coast Communications and Pearce, who hasn’t yet returned our calls on the issue.

This campaign stunt in reminiscent of an “independent expenditure” effort in the District 6 supervisorial race in 2010, when Pearce was connected to a mailer supporting Sup. Jane Kim that was funded partially by Willie Brown, again because the supposedly independent group listed his phone number even though he was worked directly for Kim.

The anti-Campos mailers include some nasty and misleading charges, labeling Campos “City Hall’s Hypocrite” by falsely claiming Campos ignored rising evictions until he decided to run for the Assembly and that he was concerned about Google buses but wanted to charge them less than $1 per stop. A third flyer claims Campos “lets wifebeater sheriff keep his job” for his vote against removing Sheriff Ross Mirkarimi from office for official misconduct.

“This is a secretly funded shadow organization aligned with David Chiu, committing a desperate move that is as illegal and it is false in its claims,” Campos told us, saying he hopes the FPPC is able to stop and punish those involved. (Steven T. Jones)

SUPES CALL FOR INCREASED YOUTH FUNDING

José-Luis Mejia says he’s seen a little bit of everything in his work with transitional-age youth.

A few have died suddenly; others wound up incarcerated. Then there are those who beat the odds by attending top-level universities, opening up their own businesses, or dedicating themselves to public service.

As associate director of Transitional Age Youth San Francisco, Mejia was part of a grassroots coalition that has been working for about two years on crafting a measure that aims to increase funding for youth programs, seeking to give a boost to transitional-age youth services in particular.

It culminated with the April 30 introduction at the Board of Supervisors of a suite of new proposals to support youth programs, including a pair of charter amendments that will appear on the November ballot.

An amendment sponsored by Sup. John Avalos would renew the existing Children’s Fund, renaming it the Children and Youth Fund, and increasing the property-tax set-aside that supports it from three cents per $100 of assessed valuation to five cents. Funding would be designated for programs set up to aid “disconnected transitional-aged youth,” including homeless or disabled youth, unmarried parents, those who identify as LGBTQ or are aging out of foster care, and other specified categories. The amendment would also create a Commission on Children, Youth, and Their Families, to oversee the Department of Children Youth and their families. A second charter amendment would extend the Public Education Enrichment Fund (PEEF), another source of funding for youth programs.

Avalos has strong support on the Board, but the mayor’s office has reportedly been pressuring supervisors not to support Avalos’ measure.

“As we all know, San Francisco is experiencing incredible economic activity,” Avalos noted April 30. “We’re experiencing growth and speculation that is lifting many boats, but not lifting all boats. And some of the people who are not doing so well are children and families.”

The Children’s Fund, and PEEF currently set aside over $100 million for children and youth in San Francisco. The funding sources would sunset if action were not taken to extend them. (Rebecca Bowe)