Affordable Housing

It’s about housing, not taxes

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Texas Guv Rick Perry made a spectacle of himself trying to take businesses away from California, but as everyone with any sense predicted, his trip was a bust. Fact is, very few businessess anywhere make major relocation decisions because of taxes and regulations. But as Calitics points out (with a nice chart), the real reason people have left California of late is the cost of housing.

The so-called “job creators” have enough money to afford to live here, so they aren’t going anywhere. What’s happening is that the rest of the workforce, particularly the middle-class workforce, is finding the gap between the amount they can earn and the amount they have to pay for a home is getting so radical that they’re leaving altogether.

That’s happening in San Francisco, as evictions are driving people out of the city. Some may move to other parts of the Bay Area, creating what most environmentalists and economists agree is an unsustainable situation: Workers living so far from their jobs that vast amounts of energy have to be expended getting them back and forth. But the data shows that people are leaving California altogether. Calitics:

If we are to really continue our growth, we must address the housing crunch that is going on, especially along the coast. That isn’t accomplished through slashing services and budgets, but rather working to create new affordable housing solutions and ways for young families to stay here in California, where most would rather stay.

And let’s remember: One of the biggest factors that does drive business location decisions is the availability of skilled labor. If people are leaving the state because they can’t afford to live here, who’s going to work in the industries that are the biggest employers in San Francisco (hint: It’s not tech)? Tourism is this city’s greatest economic engine, and jobs in the hospitality industry don’t pay enough for housing in the city that depends on it.

That’s a dilemma we all ought to be talking about — and Rick Perry trying to get businesses to go to Texas is not.

 

Editor’s notes

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tredmond@sfbg.com

EDITORS NOTES This is how dysfunctional the San Francisco housing market has become:

The Chron reported in late January that young people who are just arriving in San Francisco are paying exorbitant rents for tiny spaces — $500 for a laundry room, $600 for an upper bunk — and often living in substandard conditions.

And on Feb. 11, The New York Times reported that a significant number of high-end condos in that city were vacant almost all the time, owned by the uber-rich who used them as pieds a terre — something that’s going on increasingly in San Francisco.

The Times notes:

“The higher up you go in price, the higher the concentration is likely to be of owners who spend only a few months, a few weeks or even just a few days each year in their apartments. This very costly form of desolation means that some of the city’s most expensive residential buildings stand mostly dark, lonesome and empty on the inside.”

I called Brad Paul, a former deputy mayor for housing and a longtime expert on development in San Francisco and read him that quote. “As my nine-year-old son would say, ‘You think?'” he said. My kids would be shorter: “Duh.”

The more housing you build that only multimillionaires can afford, the more likely your serving a population that has three or four other houses and just wants this one for the couple of weeks a year that they jet into San Francisco.

Planning Commission member Katherine Moore has mused about the problem in public, noting that in her Nob Hill neighborhood, there are more and more dark apartments.

Who cares? Everyone should — for a couple of reasons. For one, empty neighborhoods are no good for small businesses. They’re also not as safe. And it just seems so ass-backward: A city that can’t provide decent affordable housing for current residents, much less for the next generation of immigrants who keep the place lively, is giving up valuable land to build housing for people who aren’t going to live here at all.

That’s what the fight over the new condo projects on the waterfront, 8 Washington and 75 Howard, ought to be about.

At the very least, the city ought to get some data here. It’s not that hard — just check property records against the tax documents filed for homeownership exemptions. As Sup. David Chiu told me, “It would be good for us to know if San Francisco’s high-end condos are actually being used.”

Maybe we should find that out before we build any more. You think?

 

Out of place

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news@sfbg.com 

In his State of the City address last week, Mayor Ed Lee cheerfully characterized San Francisco as “the new gravitational center of Silicon Valley.” He touted tech-sector job creation. “We have truly become the innovation capital of the world,” Lee said, “home to 1,800 tech companies with more than 42,000 employees — and growing every day.”

From a purely economic standpoint, San Francisco is on a steady climb. But not all residents share the mayor’s rosy outlook. Shortly after Lee’s speech, renowned local author Rebecca Solnit published her own view of San Francisco’s condition in the London Review of Books. Zeroing in on the Google Bus as a symbol of the city’s housing affordability crisis, she linked the influx of high-salaried tech workers to soaring housing costs. With rents trending skyward, she pointed out, the dearth of affordable housing is escalating a shift in the city’s cultural fabric.

“All this is changing the character of what was once a great city of refuge for dissidents, queers, pacifists and experimentalists,” Solnit wrote. “It has become increasingly unaffordable over the past quarter-century, but still has a host of writers, artists, activists, environmentalists, eccentrics and others who don’t work sixty-hour weeks for corporations — though we may be a relic population.”

LIMITED OPTIONS

The issue of housing in San Francisco is highly emotional, and there is perhaps no greater flashpoint in the charged debate than Ellis Act evictions.

When the housing market bounces upward, Ellis Act evictions tend to hit long-term tenants whose monthly payments, protected by rent control, are a comparative bargain. Even if they’ve submitted every payment on time and upheld every lease obligation for 20 years, these renters can find themselves in the bind of being forced out.

And they don’t just lose their homes; often they lose their community. San Francisco has become so expensive that many Ellis Act victims are tossed out of this city for good.

Enacted in 1986, the state law allows a landlord to stop renting units, evict all tenants, and sell the building for another purpose. Originally construed as a way for landlords to “go out of business” and move into their properties, the Ellis Act instead gained notoriety as a driving force behind a wave of evictions that slammed San Francisco during the tech boom of the late 90s. Between 1986 and 1995, just 29 Ellis evictions were filed with the San Francisco Rent Board; in the 1999-2000 fiscal year alone, that number ballooned to a staggering 440.

Under the current tech heyday, there are indications that Ellis Act evictions are gaining fresh momentum. The San Francisco Rent Board recorded 81 this past fiscal year, more than double that of the previous year, and there appears to be an upward trend.

TIC CONTROVERSY

Buildings cleared via the Ellis Act are typically repackaged as tenancies-in-common (TIC), where several buyers jointly purchase a multi-unit residence and each occupy one unit. Realtors often market TICs as a path to homeownership for moderate-income individuals, creating an incentive for buyers to enter into risky, high-interest shared mortgages in hopes of later converting to condos with more attractive financing.

The divide between TIC owners and renters came into sharp focus at a contentious Jan. 28 hearing, when a Board of Supervisors committee met to consider legislation that would allow some 2,000 TIC units to immediately convert to condos without having to wait their turn in a requisite lottery system.

One TIC owner said he was financially burdened, but had only entered into the arrangement because “I wanted to stay here and raise my family, but we couldn’t afford a single family home.” Yet tenants brought their own set of concerns to the table, saying the temptation to create TICs was putting a major dent in the city’s finite stock of rent-controlled units — the single greatest source of affordable housing in San Francisco.

“My feeling is, let’s stop doing TICs,” Tommi Avicolli Mecca, a tenants right activist with the Housing Rights Committee, told the Guardian following the hearing. “The city has to just start making sure that the condos that are built are the kind of thing [TIC buyers] can afford. Instead, we cannibalize our rental stock? That’s a reasonable way? You evict one group of people to house another: How does that make sense?”

The grueling five-hour hearing illustrated the sad fact that San Franciscans in a slightly better economic position were being pitted against economically disadvantaged renters. The two groups were bitterly divided, and all seemed weary, furious, and frustrated by their housing situations.

The condo-conversion legislation, co-sponsored by Sups. Scott Wiener and Mark Farrell, did not move forward that day. Instead, Board President David Chiu made a motion to table the discussion until Feb. 25, to provide time for “an intensive negotiation process.” Chiu, who rents his home, added: “While I myself would like to become a homeowner someday … I do not support the legislation in its current form.”

Sup. Jane Kim sought to appeal to the tenants as well as the TIC owners. “It’s very tragic that we have set up a situation where [TICs and renters] are pitted against one another,” she said. She hinted at what a possible alternative to might look like. “We should be looking at a ban of scale,” she said. “If we allow 1,800 potential units to go thru this year, are we willing to do a freeze for the next 8 to 10 years?”

It’s unclear what will happen in the next few weeks, but if this legislation makes it back to the full board in some form, the swing votes are expected to be Sups. London Breed, Malia Cohen and Norman Yee.

CASH OR EVICTION?

New protections were enacted following the late-90s frenzy to discourage real-estate speculators from using the Ellis Act to turn a profit on the backs of vulnerable seniors or disabled tenants. Yet a new wave of investors has discovered they can persuade tenants to leave voluntarily, simply by offering buyouts while simultaneously wielding the threat of an Ellis Act eviction. “The process got more sophisticated,” explains San Francisco Rent Board Deputy Director Robert Collins.

Once a tenant has accepted a check in lieu of eviction, rent-controlled units can be converted to market rate, or refurbished and sold as pricey condos, without the legal hindrances of an eviction blemish. Buyouts aren’t recorded with the Rent Board, and the agency has no real guidance for residents faced with this particular dilemma. “We don’t have the true number on buyouts,” says Mecca. “We don’t know how many people have left due to intimidation.”

Identity-wise, renters impacted by the Ellis Act defy categorization. A contingent of monolingual Chinese residents rallied outside City Hall recently to oppose legislation they believed would give rise to evictions; in the Mission, many targeted tenants are Latinos who primarily speak Spanish. From working immigrants, to aging queer activists, to disabled seniors, to idealists banding together in collective houses, the affected tenants do have one thing in common. When landlords or real-estate speculators perceive that their homes are more valuable unoccupied, their lives are susceptible to being upended by forces beyond their control.

The upshot of San Francisco’s affordability crisis is a cultural blow for a city traditionally regarded as tolerant, forward thinking, and progressive. In the words of Rose Eger, a musician who faces an Ellis Act eviction from her apartment of 19 years, “it changes the face of who San Francisco is.

Out of the Castro

By Tim Redmond

You can’t get much more Castro than Jeremy Mykaels. The 62-year old moved to the neighborhood in the early 1970s, fleeing raids at gay bars in Denver. He played in a rock band, worked at the old Jaguar Books, watched the rise of Harvey Milk, saw the neighborhood transform and made it his home.

He’s lived in a modest apartment on Noe Street for 17 years, and for the past 11 has been living with AIDS. Rent control has made it possible for Mykaels, who survives on disability payments, to remain in this city, in his community, close to the doctors at Davis Hospital who, he believes, have saved his life.

And now he’s going to have to leave.

In the spring of 2011, his longtime landlords sold the building to a real-estate investment group based in Union City — and the new owners immediately sought to get rid of all the tenants. Two renters fled, knowing what was coming; Mykaels stuck around. In September of 2012, he was served with an eviction notice, filed under the state’s Ellis Act.

He’s a senior, he’s disabled, his friends are mostly dead and his life is in his community — but none of that matters. The Ellis Act has no exceptions.

Mykaels spent a fair amount of his life savings fixing up his place. The walls are beige, decorated with nice art. Dickens the cat, who is chocolate brown but looks black, wanders in and out of the small bedroom. Mykaels has been happy there and never wanted to leave; “this,” he told me, “is where I thought I would live the rest of my life.”

There’s no place in the Castro, or even the rest of the city, where he can afford to move. Small studios start at $2,500 a month, which would eat up all of his income. There is, quite literally, nowhere left for him to go.

“A lot of my friends have died, or moved to Palm Springs,” he said. “But this is where my doctors are and where I’m comfortable. I’m not going to find a support system like this anywhere else in the world.”

Mykaels is the face of San Francisco, 2013, a resident who is not part of the mayor’s grand vision for bringing development and high-paying jobs into the city. As far as City Hall is concerned, he’s collateral damage, someone whose life will have to be upended in the name of progress.

But Mykaels isn’t going easily. The former web designer has created a site — ellishurtsseniors.org — that lists not only his address (460 Noe) and the names of the new owners (Cuong Mai, William H. Young and John H. Du) but the addresses of dozens of other properties that are facing Ellis Act evictions. His message to potential buyers: Boycott.

“Do not buy properties where seniors or the disabled have been evicted for profit by real estate speculators using the Ellis Act,” the website states.

Mykaels is a demon researcher — his site is a guide to 31 properties with 94 units where seniors or disabled people are being evicted under the Ellis Act. In some cases, individuals or couples are filing the eviction papers, but at least 14 properties are owned by corporations or trusts.

Mai told me that he knew a disabled senior was living in the building when he and his two partners bought it, but he said his plan all along was to evict all the tenants and turn the three-unit place into a single-family house. He said he hasn’t decided yet whether to sell building; “I might decide to live there myself.” (Of course, if he wanted to live there himself, he wouldn’t need the Ellis Act.)

Mai said he “felt bad about the whole situation,” and he had offered to buy Mykaels out. The offer, however, wouldn’t have covered more than a few months of market rent anyplace else in the Castro.

By law, Mykaels can stay in his apartment until September. If he can’t stave off the eviction by then, San Francisco will lose another longtime member of the city community.

 

Dark days in the Inner Sunset

By Rebecca Bowe

The living room in Rose and Willie Eger’s Inner Sunset apartment is where Rose composes her songs and Willie unwinds after playing baseball in Golden Gate Park. Faded Beatles memorabilia and 45 records adorn the walls, and a prominently displayed poster of Jimi Hendrix looms above a row of guitar cases and an expansive record collection.

It’s a little worn and drafty, but the couple has called this 10th Ave. apartment home for 19 years. Now their lives are about to change. On Jan. 5, all the tenants in their eight-unit building received notice that an Ellis Act eviction proceeding had been filed against them.

“The music that I do is about social and political things,” explains Rose, dressed from head-to-toe in hot pink with a gray braid swinging down her back. Determined to derive inspiration from this whole eviction nightmare, she’s composing a song that plays with the phrase “tenants-in-common.”

Cindy Huff, the Egers’ upstairs neighbor, says she began worrying about the prospect of eviction when the property changed hands last summer. Realtor Elba Borgen, described as a “serial evictor” in online news stories because she’s used the Ellis Act to clear several other properties, purchased the apartment building last August, through a limited liability corporation. The notice of eviction landed in the mailbox less than six months later. (Borgen did not return Guardian calls seeking comment.)

“With the [average] rent being three times what most of us pay, there’s no way we can stay in the city,” Huff says. “The only option we would have is to move out of San Francisco.” She retired last year following a 33-year stint with UCSF’s human resources department. Now, facing the prospect of moving when she and her partner are on fixed incomes, she’s scouring job listings for part-time work.

The initial notice stated that every tenant had to vacate within 120 days, but several residents are working with advocates from the Housing Rights Committee in hopes of qualifying for extensions. Huff and the Egers are all in their fifties, but some tenants are seniors—including a 90-year-old Cuban woman who lives with her daughter, and has Alzheimer’s disease.

Willie works two days a week, and Rose is doing her best to get by with earnings from musical gigs. Both originally from New York City, they’ve lived in the city 35 years. When they first moved to the Sunset, it resembled something more like a working-class neighborhood, where families could raise kids. The recent tech boom has ushered in a transformation, one that Rose believes “changes the face of who San Francisco is.” Willie doesn’t mince words about the mess this eviction has landed them in. “I call it ‘Scam-Francisco,'” he says.

The trio recently joined tenant advocates in visiting Sup. Norman Yee, their district supervisor, to tell their stories. Yee, who is expected to be one of the swing votes on an upcoming debate about condo-conversion legislation vehemently opposed by tenant activists, reportedly listened politely but didn’t say much.

As for what the next few months have in store for the Egers? “I can’t really visualize the outcome,” Rose says. “I can only visualize the day-to-day fight. And that’s scary.”

 

Fighting for a home in the Mission

By Tim Redmond

Eleven years ago, Olga Pizarro fell in love with Ocean Beach. A native of Peru who was living in Canada, she visited the Bay Area, saw the water and decided she would never leave.

Fast forward to today and she’s built a home in the Mission, renting a small room in a basement flat on Folsom Street. The 55-year-old has lived in the building for eight years; polio has left her wearing a leg brace and she can’t climb stairs very well, but she still rides her bike to work at the Golden Gate Regional Center. She’s a sociologist by training; the walls in her room are lined with bookshelves, with hundreds of books in Spanish and English.

The place isn’t fancy, and it needs work, but it’s hard to find a ground-floor apartment in the Mission that’s affordable on a nonprofit worker’s salary. Since 2011, when she moved in, she and her three housemates have been protected by rent control. And Pizarro’s been happy; “I love the neighborhood,” she told me.

The letter warning of a pending eviction arrived Jan. 16. A new owner of the building wants to turn the place into tenancies in common and is prepared to throw everyone out under the Ellis Act. There’s no place else in town for Pizarro to go.

“I’ve looked and looked,” she said. “The cheapest places are $2,500 a month or more. Maybe I’ll have to move out of the city.”

Pizarro’s building is owned by Wai Ahead, LLC, a San Francisco partnership registered to Carol Wai and Sean Lundy. I couldn’t reach Wai or Lundy, but their attorney, Robert Sheppard, had plenty to say. “San Francisco is going the way of New York,” he told me. “Manhattan is full of co-ops that used to be rentals, and lower-income people are moving to Brooklyn and Queens. That’s happening here with Oakland and further out.” He argued that TICs, like co-ops, provide home-ownership opportunities for former renters.

Sheppard, who for years represented tenants in eviction cases, said the Ellis Act is law, and America is a capitalist country, and “as long as there is a private housing market, there will be shifts of people as the housing market shifts.” He agreed that it’s not good for lower-income people to lose their homes, but “the poor will always be hurt by a changing economy. It’s called evolution.”

Pizarro told me she’s shocked at how expensive housing has become in the Mission. “It’s gotten so gentrified,” she said. “People show up in their BMWs. It’s starting to feel very isolated.”

She’s fighting the eviction. “I didn’t intend it to be this way,” she explained. “I just want to live here.” Lacking any family in the area, the Mission has become her community — “and I’m frustrated by the violence of how expensive it is.”

 

Affordability goes out of style

By Rebecca Bowe

Hester Michael is a fashion designer, and her home doubles as a project space for creating patterns, sewing custom clothing, weaving cloth, and painting. She’s lived in her Outer Sunset two-bedroom unit for almost two decades, but now she faces an Ellis Act eviction. Michael says she initially received notice last June. The timing was awful -– that same month, her husband passed away after a long battle with terminal illness.

“I’ve been here 25 years. My friends are here, and my business. I don’t know where else to go, or what else to do,” she says. “I just couldn’t picture myself anywhere else.”

Michael rents the upstairs unit of a split single-family home, a kind of residence that normally isn’t protected by rent control. Yet she leased the property in 1994, getting in under the wire before that exemption took effect. Since she pays below-market-rate rent in a home that could be sold vacant for top dollar, a target was essentially inscribed on her back when the property changed hands in 2004. That’s about when her long battle with the landlords began, she says.

From the get-go, her landlords indicated that she should look for a new place, Michael says, yet she chose to remain. The years that followed brought things falling into disrepair, she says, and a string of events that caused her feel intimidated and to fear eviction. Finally, she consulted with tenant advocates and hired an attorney. A complaint filed in superior court alleges that the property owners “harassed and retaliated [Michael] when she complained about the defective and dangerous conditions …telling [her] to move out of the property if she did not like the dangerous conditions thereat … repeatedly making improper entries into [the] property, and wrongfully accusing [her] of causing problems.”

Records show that Angela Ng serves as attorney in fact for the property owner, Ringo Chung Wai Lee. Steven Adair MacDonald, an attorney who represents both landlords and tenants in San Francisco housing disputes, represents the owners. “An owner of a single family home where the rent is controlled and a fraction of market has virtually no other choice but to terminate the tenancy,” MacDonald said when the Guardian reached him by phone. “They’ve got to empty it, and the only way to empty it is the Ellis Act.”

While Michael received an extension that allows her to remain until June 5, she fears her custom sewing business, Hester’s Designs, will suffer if she has to move. There’s the issue of space. “I have so much stuff in this house,” she says. And most of her clients are currently located close by, so she doesn’t know where her business would come from if she had to relocate. “A lot of my clients don’t have cars,” she says, “so if I live in some suburb in the East Bay, forget it. I’ll lose my business.”

The prospect of eviction has created a major dilemma for Michael, who first moved to San Francisco in 1987. While moving to the East Bay seems untenable, she says renting in San Francisco feels out of reach. “People are renting out small, tiny bedrooms for the same price as I pay here,” she says. With a wry laugh, she adds: “I don’t think there’s any vacant apartments in San Francisco -– unless you’re a tech dude and make seven grand a month.”

Housing stability for all

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OPINION San Francisco is in the midst of a housing affordability crisis. It’s way too expensive to live here, and for those fortunate enough to have housing they can afford, we need to provide stability. This need for housing stability applies to renters as well as homeowners. If we’ve learned anything from the foreclosure crisis, homeowners are not all rich, and they are not all stable in their housing.

Last week’s Guardian argued against legislation I’m co-sponsoring, which provides one-time relief to owners of tenancies-in-common (TICs) — mostly middle- and working-class first-time homeowners who reside in their units — while providing strong protection to renters. While the editorial correctly stressed the need to support rent control, it failed to acknowledge the need to support housing stability for homeowners as well.

Rent control is one of the pillars of our city. It stabilizes housing prices, recognizes that housing isn’t just another commodity, keeps communities intact, and helps maintain San Francisco’s diverse fabric. I’ve long supported rent control, as reflected by my voting record. I supported a series of rent control measures designed to reduce evictions, including requiring sales disclosure of a unit’s eviction history, requiring increased relocation benefits to evicted tenants, outlawing harassment of tenants, and restricting use of the Ellis Act by real-estate speculators. As a member of the Board of Supervisors, I authored successful legislation to ban conversion of rent-controlled units to student dorms and to provide temporary affordable units to renters displaced by disasters.

The current legislation I’m co-sponsoring will provide needed relief to struggling TIC owners, many of whom are experiencing serious financial distress, while protecting the small number of tenants who live in these units. TIC owners have group mortgages, meaning that if one owner defaults, all owners default. They pay double the interest rate other homeowners pay and usually cannot refinance. The legislation will allow them to convert their units to condos and obtain their own mortgages, at lower rates and less foreclosure risk.

While some caricature TIC owners as speculators and wealthy people, that’s untrue. Many TIC owners are quite middle class, former renters who scraped together a down payment to purchase a home. Many are teachers, social workers, public employees, and other workers who are anything but speculators. These are people who, if they didn’t own TICs, would be renting. They aren’t Martians who dropped out of the sky. They’re our neighbors, co-workers, and fellow San Franciscans. They are part of the city’s fabric.

Under the legislation, owner-occupied TICs that are in the condo lottery will be able to convert to condos by paying a fee of $20,000 per unit, with the proceeds dedicated to affordable housing. Buildings with Ellis Act and other problem evictions are typically prohibited from condo converting in San Francisco, under a 2006 law, and that restriction applies to this legislation. In other words, this legislation won’t encourage Ellis Act evictions. Moreover, buildings that aren’t owner-occupied can’t condo convert. Nor can buildings with more than six units. The legislation is one-time in nature and not an ongoing invitation to condo convert.

The legislation covers very few units with tenants — 85% are owner-occupied — and protects this small number of tenants by mandating they receive lifetime leases, with full rent and eviction controls identical to our rent control laws. This protection is stronger than what most tenants receive in buildings that win the condo lottery currently.

Renters and homeowners both deserve housing stability. This legislation moves us in that direction.

Supervisor Scott Wiener represents District 8.

 

Condo conversion legislation on hold for now

Following a contentious five-hour hearing, a committee of the Board of Supervisors postponed voting on a controversial housing proposal, and agreed to revisit the issue on Feb. 25. Over the next few weeks, opposing sides are expected to negotiate a possible alternative.

Authored by Sups. Scott Wiener and Mark Farrell, the proposed condo conversion impact fee would have allowed as many as 2,000 tenancy-in-common (TIC) units to be immediately converted to condos for a fee, allowing owners to bypass a housing lottery system that places an annual cap on conversions.

While TIC owners voiced frustration about the backlogged lottery system, tenants expressed fears that the legislation could give rise to a wave of Ellis Act evictions if landlords or speculators interpreted it as a signal that lucrative condo conversion would be easier to achieve.

Prior to the hearing, a group of tenants gathered in front of City Hall in a show of opposition to the condo-conversion legislation, waving signs that read, “Stop the Attack on Rent Control.”

“The reality is, if this legislation passes, there will be more evictions in San Francisco,” said Tommi Avicolli Mecca of the Housing Rights Committee, who spoke at the rally.

Tenant advocates worry that the legislation would result in a permanent loss of affordable, rent-controlled units from the city’s housing stock, at a time when rents are soaring. When landlords rent out their condos or TICs in San Francisco, there’s a key difference: TICs are covered by rent control, but condos are exempt.

“I’ve been evicted three times,” one woman said while addressing members of the Land Use & Economic Development Committee. “I know so many people who have gotten evicted. I don’t know anyone who’s won their case against eviction.”

During the hearing, Farrell adopted a defensive tone against critics who’d described the proposal as an attack on rent control. “The tactics that these opponents have deployed is out of line,” he said. To assuage concerns, he noted that he and Wiener had included a provision guaranteeing lifetime leases for existing tenants in units that qualified for condo conversion under the program.

But Sup. Jane Kim drilled down on this detail, questioning whether such an agreement would be legally enforceable in the long run. In response, a representative from the City Attorney’s office said he thought the provision was on solid legal ground, but noted that the specific matter “has not been litigated before,” meaning there is still a question as to whether it could withstand a court challenge. When Kim asked if any funding was set aside to enforce these lifetime leases, the response was “no.”

Board President David Chiu proposed holding off on a vote for several weeks. “I do not support the legislation in its current form,” he said. If the current generation of TIC owners were allowed to convert this time, he explained, the next generation’s frustrations with the housing lottery would only “lead us back to an identical debate in a short period of time.”

Kim echoed this point. “My concern was that … folks were looking at this legislation as an ice-break for more condo conversion,” she said just after a public comment session that lasted several hours. And she acknowledged that there is a larger problem to consider. “It’s very tragic that we have set up a situation where [TICs and renters] are pitted against one another,” she said.

TIC legislation is a rent control issue

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OPINION If legislation introduced by Supervisors Scott Wiener and Mark Farrell passes the Board of Supervisors next month, up to 2,000 tenancies in common will be allowed to bypass the lottery process and convert to condominiums.

Add those to the nearly 6,000 conversions that have occurred from 2001-2011 (according to stats from the Department of Public Works), and you have a sizable chunk of rent-controlled units that will have been yanked from our housing stock in the past decade or so in a city that can’t afford to lose rental units, especially those that preserve affordability while tenants live in them. TICs are still under rent control; condos lose it when they’re sold.

Which makes the Wiener and Farrell legislation a rent-control issue. Not to mention a really bad idea at a really bad moment in time.

San Francisco’s perennial housing crisis can’t possibly get worse. Rents are the highest in the country — and still rising. The average rent in the city these days is $3,000. The vacancy rate is low.

Ellis Act evictions, a tool for creating TICs by allowing a landlord or speculator to circumvent just-cause eviction protections, are on the upswing. They’re not as high as they were at the height of the dot-com boom of the late 90s, but, considering that these days many landlords and speculators threaten tenants with Ellis or buy them out rather than do the dirty deed, the number of folks displaced for TICs is higher than what is recorded at the Rent Board. Some tenants have actually received letters from new landlords with two checkboxes — one for Ellis and the other for a buyout. Take your pick, which way do you want to be tossed out and possibly left homeless?

The folks being displaced are from every district and represent the diversity about which we always brag: longterm, generally low-income seniors, disabled people, people with AIDS, families, and people of color. And they’re less likely to find other apartments they can afford.

Wiener claims that buildings where there are evictions will not be eligible for conversion, but many of the TICs currently in the lottery, which will be eligible for conversion under the Wiener/Farrell legislation, were created by evictions. Almost 20 percent of the units in the pipeline were formed before legislation was put into place to restrict conversions if tenants are ousted. How many of the other 80 percent are the result of threats and buyouts, de facto evictions? Or were entered into the lottery even when they shouldn’t have been?

Brian Basinger, founder of the AIDS Housing Alliance, was evicted from his apartment for a TIC, yet his place was converted to a condo, despite the fact that he’s a protected tenant.

Allowing as many as 2,000 conversions not only diminishes the rent-controlled housing stock, but it also jacks up rents. Not to mention it gives speculators incentive to do more Ellis evictions or buyouts — after all, though Wiener and Farrell say this is a one-time only deal, once Pandora’s box is opened, it’s going to be hard to keep it shut. I think landlords and speculators know that.

The Housing Element of the City’s General Plan, adopted in 2009, instructs officials to “preserve rental units, especially rent controlled units, to meet the City’s affordable housing needs.”

This legislation won’t preserve rent-controlled units. It’s a bad fit for our city.

Tommi Avicolli Mecca, who’s worked for the Housing Rights Committee for 13 years, is a longtime queer tenants right/affordable housing advocate.

Was it a great year?

149

At noon Dec. 19, a group of about 50 housing activists led by the Housing Rights Committee gathered at 18th and Castro, next to the giant Shopping Season Tree, to discuss the wave of evictions tenants are facing at the end of 2012. Tommi Avicolli Mecca held up a list of 26 buildings that are currently being clear of tenants under the Ellis Act, a state law that allows landlords to evict all their tenants and sell the property as a single-family home or tenancies in common. With him was a long line of tenants who are facing holiday homelessness thanks to landlord greed.

“There are too many tenants being evicted to fit in front of the tree,” he said.

We heard story after story: A man living with AIDS facing the loss of his home after 17 years. A family being forced out after 18 years. Seniors, kids, disabled people … all of them almost certainly displaced from San Francisco.

“San Francisco is becoming a city of the rich, and we are being pushed aside,” said Lisa Thornton, who works at Rainbow Grocery and is losing her home.

“This,” Mecca said, “is an epidemic of evictions.”

And we all know why: As the second tech boom roars in to San Francisco, high-paid young workers are able to afford to buy TICs or single-family homes, and long-term rent-control-protected tenants simply can’t compete. It’s not a pretty pciture.

So I almost barfed when I say Randy Shaw’s glowing paen to Mayor Ed Lee. “San Francisco had one of its greatest years in 2012, as the city’s job growth and vibrancy outpaced nearly everywhere else,” he wrote.

Oh, gee, he says, there are some problems:

Few want San Francisco to become a city where only the rich and subsidized poor can live. But these same fears were felt in the 1980’s. When I was moving to San Francisco in 1979, the lines for vacant apartments were just as long and the competition for vacant units as fierce as what we read about in 2012. We couldn’t believe we had to pay $375 for a Mission one bedroom apartment, a rate that is less than half the cost of an SRO room without private bathroom today. San Francisco has long been an expensive city that keeps getting pricier.

So what — because we were worried about displacement in the 1980s means we shouldn’t be worried today? Those worries were real — gentrification of San Francisco neighborhoods has been rampant for decades. It’s changed the city, for the worse.

In the 1980s, Shaw was part of a broad coalition that fought to get rent control laws and eviction protections and limits on condo conversions. Now he’s acting as if none of that was worth the fight, as if protecting affordable housing wasn’t, and isn’t, the most critical issue in the city today.

A great year? Fantastic vibrancy and job growth? Not if you’re one of the growing numbers of people who are losing their homes to Ed Lee’s vision of economic development.

 

The Muni vs. housing clash

73

OPINION Two votes at the Board of Supervisors and the Municipal Transportation Agency Dec. 4 laid out a stark contrast between two different approaches to transportation advocacy — one based on a sense of justice and the idea that public transit is an issue of equity, and another based on the self interest and transactional politics of a cash-strapped transportation agency and its dedicated allies.

After years of work, organizing transit riders and talking to policy makers from the local to the regional levels, a scrappy group of transit justice advocates, many of them young, most of them people of color, got the Municipal Transportation Agency board to approve a $1.6 million plan to fund free Muni passes for low-income youth. It sent a strong message that a new kind of transportation advocacy has arrived, one that puts race, class, and environment at the center.

Meanwhile, a separate vote was taking place at the Board of Supervisors that seemed to pit community organizations, nonprofit service providers, and affordable housing developers on opposite sides of the fence from what has become a mainstream transportation and bicycle advocacy community.

We should have been on the same side. But a last-minute maneuver by Sup. Scott Wiener to add to the MTA’s strained budget (a worthy goal) by expanding the 30-year Transportation Impact Development Fee (TIDF) to include nonprofits that provide critical services in our neighborhoods backfired and sent his amendments out the door in a 9-2 vote.

Many transportation and bicycle advocates seemed incredulous that the rest of the world did not accept their arguments.

I consider many of these transportation advocates friends and acquaintances whom I have known and worked with for years. But rather than seeing themselves as part of a greater social justice movement rooted in the communities who are most affected, some of these advocates have become increasingly narrow in their scope, single-minded in their pursuit of funding for bike lanes and bulbouts, as well as rapid transit projects serving downtown commuters.

Real-world politics requires that activists, organizers, and policy advocates be flexible and willing to figure out how to work with others very unlike themselves. Recently an organization I work for was able to work in a broad coalition, convened by the mayor, to develop and campaign for a Housing Trust Fund to create a permanent source of funding for affordable housing, as a direct response to the State of California taking away the city’s housing budget when it dissolved the redevelopment agencies. We walked into the room knowing that we would have to make tough decisions, and have to take those back to our allies in the progressive movement.

But we also walked in with non-negotiables. We were not going to entertain any attempt at weakening rent control by tying the Housing Trust Fund to lifting the condo conversion lottery. We would not support a set-aside without increasing city revenue to support not just our housing trust fund but also critical health and social services. We do not screw over our broader movement for pure self-interest.

We stand at a crossroads, and we could very well end up with two different transportation advocacy communities, both talking about the same thing, but with very little to say to each other. As the old mineworker’s song used to say, it’s time to decide: “Which side are you on?”

Fernando Martí works at the San Francisco Information Clearinghouse

A developer’s wet dream

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CORRECTION: This article has been updated to correct a statement from Sup. Scott Wiener about affordable housing.


tredmond@sfbg.com


Sup. Scott Wiener is proposing a dramatic overhaul of the city’s environmental review process that would limit the ability of citizen activists to appeal projects and could ease the path for major developments.


The new rules — some of which are fairly simple and routine, others more far-reaching — cover the city’s interpretation and implementation of the California Environmental Quality Act (CEQA), the state’s venerable land-use and environmental oversight law. The legislation is before the Planning Commission and could reach the supervisors in December.


According to city staff and outside analysts, the Wiener proposals would:


• Eliminate the public’s legal right to appeal a ruling by the Planning Commission if the Board of Supervisors has to approve any part of the project.


• Weaken the standard for environmental review by city planners.


• Weaken the public notice requirements for CEQA exemptions.


• Speed up the process for developments by compacting the time frame for CEQA appeals.


“Generally, the amendments decrease the opportunities for individuals and community groups with serious environmental concerns to provide input and assert influence on development projects as part of the CEQA process,” an analysis by Community Economic Development Clinic at Hastings College of the Law notes. “The amendments arguably would streamline the CEQA process for various projects, but at the cost of significantly curtailing public participation.”


Wiener told us that he wants to eliminate lengthy, sometimes unpredictable appeals. “The goal is to make sure we have a good CEQA process but also a more predictable process,” he said. “Right now it’s so chaotic and loose that we have unnecessary delays.”


Aaron Peskin, a former supervisor and neighborhood activist, calls the proposed legislation “a developer’s wet dream. It shuts off or makes impossible citizens’ ability to participate in the environmental review process.”


WHAT ARE THE ABUSES?


At issue is a critical part of city planning, mandated by state law and sharpened by years of court decisions. Before any project is approved, the city’s environmental review officer (ERO) must either determine that the proposal “could not have a significant impact on the environment” or is exempt by law from CEQA review. If not — if in fact the proposal could have an impact — then the project sponsor has to pay for a full environmental impact report.


If any member of the public thinks that the ERO’s decision is wrong — or believes that an EIR is inadequate — he or she can appeal to the Board of Supervisors. An appeal halts all work on the project until the supervisors resolve it.


If the board rejects the environmental review, it doesn’t kill the project — planners just have to go back and write, or rewrite, an EIR.


On a practical basis, appeals are relatively rare — the city, Peskin told us, makes tens of thousands of CEQA determinations every year, and at most a couple dozen get appealed. “I don’t understand what the abuses are,” Peskin said.


But in some cases, opponents of a project file a CEQA appeal after they’ve lost at all the policy bodies — and that, Wiener argues, just slows things down. “If you’re going to appeal, then appeal, but don’t wait around,” he said.


Wiener said his proposals would benefit not only private developers but also nonprofit affordable housing projects. “This will help prevent unnecessary challenges to affordable housing,” he told us.


But Calvin Welch, a member of the Council of Community Housing Organizations who has been working to build affordable housing for more than 30 years, told us he doesn’t see the problem. “CEQA never gets used to stop affordable housing,” he said. “It just doesn’t happen.”


CONSOLIDATED APPEALS


Perhaps the most profound change would eliminate any CEQA appeal for a project that has to go to the supervisors anyway. Wiener’s idea: if the board already has to sign off on, say, a zoning change or a special use district or any finances of a project, the environmental review can be done at the same time. “It’s as if there’s an automatic appeal,” he said.


But that conflicts with the concept of environmental review, critics say. No member of the public has the legal right to a sustainable or environmentally sound project; planning commissions, city councils, and county supervisors can, and often do, approve horrible projects.


But everyone has the right to a complete and fair environmental review. CEQA mandates that the decision-makers accept and acknowledge the consequences of their decisions — and if an EIR is flawed, those consequences can be understated.


Wiener would do away with the mandate that the supervisors hold a hearing, accept appeal briefs, and address CEQA questions as a distinct and separate part of a project approval. “The public would be denied the right to a hearing before the full elected body on the adequacy of an EIR or other CEQA determination,” a Planning Department staff analysis states. “And if a member of the public introduced new information at the committee hearing, there would be no way for the city to respond to or modify the environmental document.”


Among the projects that this provision would affect — where the public would lose the right to appeal an environmental determination: The America’s Cup, the Central Subway, the Parkmerced rebuild, the 8 Washington project, and the California Pacific Medical Center’s billion-dollar hospital proposal.


The proposal would also change the standard city planners apply when they review projects. The current rules require that the city show there is a “fair argument” that a project would have a significant environmental impact. The new language would mandate the staffers find “substantial evidence” that a full review is needed.


“It is likely more projects would require an EIR under the ‘fair argument’ standard and fewer projects would require an EIR under the ‘substantial evidence’ standard,” the Hastings analysis concludes.


And while the Board of Supervisors now has to certify that an environmental determination is accurate and correct, Wiener would change that to a determination that the city has made “an independent judgment” on the merits of the review. That, the Hastings lawyers state, “is a more discretionary standard that would be used to uphold an EIR certification decision even if the board determines that the conclusions and findings in the EIR are incorrect.”


MORE LAWSUITS?


A lot of the language in the complex package of CEQA changes involves public information and notice. Many of the lawyers and activists who have reviewed the legislation say it limits public notification of some CEQA determinations, particularly when the city concludes that a project is categorically exempt.


“If the ERO determines that a project is exempt from CEQA review, he may or may not be required to provide public notice of this determination,” the Hastings analysis states.


There’s no question that it would add to the complexity and burden of filing an appeal; and shorten the time frame for doing so — in a way that some say would actually encourage more lawsuits.


Kevin Bundy, a lawyer with the Center for Biological Diversity, argues that “The proposed amendments create a situation where appellants will be required to file litigation prior to the board’s decision on appeal.”


It’s a complicated situation, but in essence, the new Wiener rules would set the timeline for project approval at the first stage of policy decision — and if the supervisors overturned an environmental appeal, the clock for the project would be set back to that day.


That could upset the statutory timeline for CEQA lawsuits — and thus lead to more cases.


Wiener acknowledged that there were a lot of technical issues like that one that still need to be resolved. “We will be conferring with the people who have commented on the legislation and making the appropriate changes,” he said.


He added, however, that he sticks by the essential parts of his proposal despite the opposition: “There are a lot of CEQA lawyers out there,” he said. “And they aren’t always right.”

Sorting out a strange election

120

steve@sfbg.com, tredmond@sfbg.com

The way the San Francisco Chronicle pundits put it, Mayor Ed Lee was the clear winner in a grand San Francisco election. “All his measures on the ballot won hands down,” noted Willie Brown, the high-paid lawyer and political operative who also functions as a Chron columnist. “It was a great day for Ed Lee,” proclaimed columnist C.W. Nevius.

Well, not really.

There are a lot of ways to explain and analyze the inconsistent results of one of the most heavily propagandized elections in recent San Francisco history. But no matter how you look at it, the election was at best a wash for the mayor. Indeed, we’d argue that voters rejected the basic premise of the mayor’s political agenda – that tax cuts and favors for big business are the best economic policy – despite record-breaking outside spending selling that agenda and targeting those who stood in its way.

Let’s take a look at the real facts:

• Every single initiative backed by the mayor, the ones he’s getting credit for – from the City College parcel tax to the housing fund to the business tax – was either a compromise with progressives or a measure that originated on the left. There was nothing the mayor pushed that had any significant progressive opposition; his wins were equally, if not more dramatically, wins for the left.

• Both people the mayor appointed to office were soundly rejected by the voters. Rodrigo Santos, his high-profile appointee to the troubled City College Board of Trustees, spent almost $200,000 and finished a distant sixth. Sup. Christina Olague lost to the candidate Lee had rejected for appointment, London Breed, in a complicated race where the mayor’s actual role was unclear (he never withdrew his endorsement of Olague even as his allies trashed her in nasty ways).

• A million-dollar effort funded by some of the mayor’s allies to oust Sup. Eric Mar was a spectacular failure, suggested some serious problems in the mayor’s political operation, and undermined his emphasis on “civility.”

• The voters made clear on every level that they believe higher taxes on the wealthy and closing tax loopholes on big business are the right approach to the economy and to funding government. From Prop. 30 to Prop. 39 to Prop. A to Prop. E, the message was pretty clear: The tax revolt that started in California in 1978 may be winding down, and the notion of making property owners and the wealthy pay for education and public services is no longer a radical idea.

Robert Cruikshank, who writes for the Calitics blog, argues that the November election signals a major sea change in California. “[The] vote to pass Prop 30 — by a larger margin than most observers expected — does more than just provide $6 billion of badly needed funding to the state’s public school,” he wrote. “It brings to a close a 34-year long tax revolt that came very close to destroying California’s middle class, locking its low income families into permanent poverty, and left the state on the edge of financial ruin.”

That sounds like a progressive message. The agenda put forward by the mayor’s closest allies, including right-wing billionaire Ron Conway, who played a heavy-handed role in this election, not only failed to carry the day; the big-money types may have overplayed their hand in a way that will shape the political narratives going forward.

A LOT OF CONSENSUS

Let’s start with the ballot measures (before we get to the huge and confusing mess that was D5).

Proposition A, the parcel tax for City College, didn’t come out of the Mayor’s Office at all; it came from a City College board whose direction the mayor tried to undermine with the appointment of Santos, a pro-development engineer so conservative that he actually endorsed the Republican opponent of Assembly member Tom Ammiano.

Lee didn’t even endorse Prop. A until a few weeks before the election, and played almost no role in raising money or campaigning for its passage (see “Words and deeds,” 9/11/12). Yet it got a higher percentage of the vote than any of the three measures that Lee actively campaigned for: Props. B, C, and E.

Then there’s Prop. C, the Housing Trust Fund. Lee’s office played a central role in drafting and promoting the measure -– but it wasn’t exactly a Lee initiative. Prop. C came out of the affordable housing community, and Lee, who has strong ties to that community, went along. There were tough negotiations -– the mayor wanted more guarantees and protections for private developers -– and the final product was much more what the progressives who have spent decades on the housing front wanted than what the mayor would have done on his own.

The way the mayor envisioned business-tax reform, the city would have eliminated the payroll tax, which tech firms hate, and replaced it with a gross-receipts tax -– and the result would have been revenue-neutral. It was only after Sup. John Avalos and the progressives demanded that the tax actually bring in more money that the outlines of Prop. E were drafted and it received strong support from groups across the ideological spectrum.

“You had a lot of consensus in the city about these ballot measures,” political consultant David Latterman, who usually works with downtown-backed campaigns, said at SPUR’s post-election round-up.

The supervisorial races were a different story, with unprecedented spending and nasty messaging aimed at tipping the balance in favor of real estate and development interests. Mayor Lee didn’t get directly involved in the District 1 race, but he was clearly not a supporter of incumbent Sup. Eric Mar.

The real-estate and tech folks who are allied with Lee spent more than $800,000 trying to oust Mar — and they failed miserably, with Mar winning by 15 points. While Mar did have the backing of Chinatown powerbroker Rose Pak, who raised money and helped organize ground troops to help, Mar’s victory was primarily the result of a massive outpouring of support from labor and progressive activists, many reacting to the over-the-top effort to oust him.

Mar, who voted to put Lee in office, won’t feel a bit indebted to the mayor for his survival against a huge money onslaught. But in District 5, the story was a whole lot more complicated, and impact more difficult to discern.

THE D5 MESS

Before we get into what happened in D5, let’s dispel some of the simplistic and self-serving stories that circulated in the wake of this election, the most prominent being that Olague’s loss -– the first time an incumbent was defeated in a ranked-choice election –- was payback for crossing Mayor Lee and voting to reinstatement Sheriff Ross Mirkarimi.

It’s certainly true that Lee’s allies went after Olague and supported London Breed, and that they tried to make an issue of domestic violence, but there was much, much more to this district election. Breed is an SF native with a compelling personal story who ran a strong campaign –- and that three strongest progressive candidates in the race each had major flaws that hurt their electability. By most accounts, the Olague campaign was a disaster until the very end. Equally important, the progressive community was divided over D5, leaving room for Breed to slip in.

“It’s hard to unravel what happened here,” Latterman said.

San Francisco Women for Responsibility and an Accountable Supervisor was an independent expenditure group fronted by domestic violence advocates and funded by more than $100,000 from the families of Conway and fellow right-wing billionaire Thomas Coates. It attacked Olague’s Mirkarimi vote as being soft on domestic violence — but it also did a last minute mailer criticizing Olague’s vote for CleanPowerSF, muddling its message of moral outrage.

On election night, Olague told us she believed her split with the Mayor’s Office really had more to do with CleanPowerSF –- which the board approved with a veto-proof majority over the objections of Lee and the business community –- and with her insisting on new revenue from Prop. E than it did with Mirkarimi, whose ouster she dismissed as “a power play” aimed at weakening progressives.

“They don’t want to say it, but it was the whole thing around CleanPowerSF. Do you think PG&E wanted to lose its monopoly?” she said.

Yet Olague said the blame from her loss was also shared by progressives, who were hard on her for supporting Lee, courting his appointment to the D5 seat, and for voting with him on 8 Washington luxury condo project and other high-profile issues. “The left and the right both came at me,” she told us. “From the beginning, people were hypercritical of me in ways that might not be completely fair.”

Fair or not, Olague’s divided loyalties hurt her campaign for the D5 seat, with most prominent progressives only getting behind her at the end of the race after concluding that John Rizzo’s lackluster campaign wasn’t going anywhere, and that Julian Davis, marred as he was by his mishandling of sexual impropriety accusations, couldn’t and shouldn’t win.

Olague told us she “can’t think of anything I would have done differently.” But she later mentioned that she should have raised the threats to renters earlier, worked more closely with other progressive candidates, and relied on grassroots activists more than political consultants connected to the Mayor’s Office.

“The left shouldn’t deal with consultants, we should use steering committees to drive the agenda,” Olague said, noting that her campaign finally found its footing in just the last couple weeks of the race.

Inside sources say Olague’s relations with Lee-connected campaign consultant Enrique Pearce soured months before the campaign finally sidelined him in the final weeks, the result of his wasteful spending on ineffective strategies and divided loyalties once a wedge began to develop between Olague and the Mayor’s Office.

Progressive endorsements were all over the map in the district: The Harvey Milk Club endorsed Davis then declined to withdraw that endorsement. The Tenants Union wasn’t with Olague. The Guardian endorsed Rizzo number one. And none of the leading progressive candidates had a credible ranked-choice voting strategy — Breed got nearly as many second-place votes from Davis and Rizzo supporters as Olague did.

Meanwhile, Breed had a high-profile falling out with Brown, her one-time political ally, after her profanity-laden criticism of Brown appeared in Fog City Journal and then the San Francisco Chronicle, causing US Sen. Dianne Feinstein to withdraw her endorsement of Breed. That incident and Olague’s ties to Lee, Brown, and Pak may have solidified perceptions of Breed’s independence among even progressive voters, which the late attacks on her support from landlords weren’t ever able to overcome.

Ironically, while Breed and some of her prominent supporters, including African American ministers in the district, weren’t happy when Lee bypassed her to appoint Olague, that may have been her key to victory. Latterman noted that while Olague was plagued by having to divide loyalties between Lee and her progressive district and make votes on tough issues like reinstating Mirkarimi –- a vote that could hurt the D5 supervisor in either direction -– Breed was free to run her race and reinforce her independence: “I think Supervisor Breed doesn’t win this race; challenger Breed did.”

But even if Breed lives up to progressive fears, the balance of power on the Board of Supervisors could be up in the air. District 7 soundly rejected Mike Garcia, the hand-picked successor of the conservative outgoing Sup. Sean Elsbernd.

At press time, progressive favorite Norman Yee seemed headed for victory, although FX Crowley was within about 30 votes, making this too close to call. But either way, the once-solid conservative seat will now be a swing vote on many issues, just as Breed will be in the once-solid progressive D5.

“The Board of Supervisors as a whole is becoming a helluva lot more interesting,” was how political consultant Alex Clemens put it at SPUR election wrap-up. “Determining what’s going to happen before it happens just got more difficult.”

GOBS OF MONEY

The other big story of this election was money, gobs of it, and how it can be spent effectively — or used to raise suspicions about hidden agendas.

Third-party spending on D1 loser David Lee’s behalf was $454,921, with another $219,039 to oppose Mar, pushing total spending to defeat Mar up over the $1 million mark, roughly doubling the previous record. Labor groups, meanwhile, spent $72,739 attacking Lee and $91,690 backing Mar. But many political analysts felt that lop-sided spending only served to turn off voters and reinforce the idea that powerful interests were trying to buy the seat.

In District 5, the landlords, Realtors, and tech moguls spent $177,556 in support of Breed, while labor spent $15,067 attacking her as a shill for the landlord lobby. The only other D5 candidate to attract significant spending by outside groups was Olague, who had $104,016 spent against her, mostly by the families of Conway and Coates, and $45,708 spent in support of her by SEIU 1021. Yet ultimately, none of these groups bought very much with their money. Conway, Salesforce CEO Marc Benioff, and San Francisco Association of Realtors each spent hundreds of thousands of dollars of their money, and the most obvious result was to convince San Franciscans that they’re working together to move an agenda in San Francisco. They may have the mayor on their side, but in a politically sophisticated city like San Francisco –- with its cost of living being driven up by the schemes of Lee, Conway, and the Realtors -– they seem to have a long way to go before they achieve they’re stated desire of destroying the progressive movement, particularly with its rising new leaders on the left, including Matt Haney and Sandra Fewer on the school board and Steven Ngo and Rafael Mandelman on the City College board. As Haney said on Election Night, “It was a good night for progressive San Francisco,” which stands for important egalitarian values. “We are the ones about equity and compassion. That’s what this city is about.”

What the fuck, Chuck: No, Ed Lee is not God

76

So who were the big winners in the election? You could argue Ron Conway; you could argue surprise D5 winner London Breed. But to say it was all about Ed Lee?

Actually, no.

Every one of the initiatives that Lee backed was also supported by the entire progressive leadership on the board and almost every progressive group in the city, and other than Prop. B, there was little in the way of funded or credible opposition. The Yes on C campaign was run by the affordable housing folks, not the mayor. The mayor didn’t even endorse Prop. A, the City College parcel tax, until late in the game.

Oh, and the mayor’s appointee to the Community College Board? Got clobbered. The guy the mayor wanted in District 7? Out of the running.

The real story here — aside from the supervisors races, where I don’t think any one operation or political alliance won overall — was the remarkable civic consensus on the ballot measures. If Ed Lee had been out of town all fall, they all still would have won.

I know Chuck thinks the mayor is the greatest ever, but in this case, his impact was at best a wash.

 

 

 

Matt Haney jumping for joy over school board results

1

At a party at the Brick and Mortar club in the Mission — a combined celebration for David Campos, Matt Haney, and Steve Ngo —  school board nominee Matt Haney currently stands at 13.29% of the vote, enough to get him on the board. And he was jumping up and down with delight when he saw the numbers were turning in his favor.

After he calmed down (a bit) he talked to us about the teachers union boycotting endorsements for sitting members of the board. “For me, it was never a negative dynamic. I got along with everyone on the board, and I respect the teachers union and what they do.

“They just want better education here in San Francisco, and I’m going to try my best to help with that.”

I talked to David Campos about Measure C, the affordable housing trust fund proposal. “I’m very excited, I always knew that we needed a secure source for affordable housing. It’s not fully what we need, but it’s going in the right direction.”

He went on to say that we shouldn’t settle for less and when it comes to these measures, “the devil is in the details.”

Campos was also happy for Haney: “Matt ran a strong campaign, and I personally think his voice is needed on the board.”

Haney said about winning, “I’m very excited. I have a job where I am responsible to the youth and students. I couldn’t wish for a more humbling position.”

he said about his campaign, “It was tough today, because a lot of people didn’t make their decision until the end, so it’s hard to assess where you stand. But we had a grassroots campaign that went door to door, and that may have been the difference.”

Steve Ngo, who was the top finisher in his reelection to the City College of San Francisco Board of Trustees, talked to us about his priority, now that he’s serving again: “To save City College. To do that we have to stick to the plan we put together in September. To reassure the opportunities for our students.” 

 

Man for the moment?

25

steve@sfbg.com

This year’s supervisorial race in District 5 — representing the Haight, Panhandle, and Western Addition, some of the most reliably progressive precincts in the city — has been frustrating for local leftists. But as the long and turbulent campaign enters its final week, some are speculating that John Rizzo, whose politics are solid and campaign lackluster, could be well-positioned to capitalize on this strange political moment.

Appointed incumbent Sup. Christina Olague has been a disappointment to some of her longtime progressive allies, although she’s now enjoying a resurgence of support on the left in the wake of her vote to reinstate Sheriff Ross Mirkarimi. Now two allies of the mayor — tech titan Ron Conway and landlord Thomas Coates — are funding a $120,000 last-minute attack on Olague.

The campaign of one-time left favorite Julian Davis lost most of its progressive supporters following his recent mishandling of accusations of bad behavior toward women (see “Julian Davis should drop out,” 10/16).

The biggest fear among progressive leaders is that London Breed, a well-funded moderate candidate being strongly supported by real estate and other powerful interests, will win the race and tip the Board of Supervisors to the right. The final leg of the campaign could be nasty battle between Breed and Olague and their supporters, who tend to see it as a two-person race at this point.

But in a divisive political climate fed by the Mirkarimi and Davis scandals and the unprecedented flood of hundreds of thousands of dollars in real estate and tech money, it’s hard to say what D5 voters will do, particularly given the unpredictably of how they will use ranked-choice voting to sort through this mess.

Running just behind these three tarnished and targeted candidates in terms of money and endorsements are Rizzo and small business person Thea Selby, who described their candidacies as “the grown-ups in the room, so there’s an opportunity there and I’m hopeful.”

Selby hasn’t held elective office and doesn’t have same name-recognition and progressive history as Rizzo, although she has one of the Guardian’s endorsements. It probably didn’t help win progressive confidence when the downtown-backed Alliance for Jobs and Sustainable Growth recently did an independent expenditure on behalf of both Selby and Breed.

And then there’s Rizzo, who has been like the tortoise in this race, quietly spending his days on the streets meeting voters. Between fundraising and public financing, Rizzo collected about $65,000 as of Oct. 20 (compared to Breed’s nearly $250,000), but he’s been smart and frugal with it and has almost $20,000 in the bank for the final stretch, more than either Olague or Davis.

But perhaps more important than money or retail politics, if indeed D5 voters continue their strongly progressive voting trends, are two key facts: Rizzo is the most clear and consistent longtime progressive activist in the race — and he’s a nice, dependable guy who lacks the oversized ego of many of this city’s leaders.

“I see consistency there and a lack of drama,” Assembly member Tom Ammiano, an early Rizzo endorser, told us. “He’s looking not like a flip-flopper, not like he owes anyone, and he doesn’t have a storied past.”

 

PROGRESSIVE HISTORY

Rizzo, who was born in New York City 54 years ago, is downright boring by San Francisco standards, particularly given his long history in a local progressive movement known for producing fiery warriors like Chris Daly, shrewd strategists like Aaron Peskin, colorful commenters like Ammiano, bohemian thinkers like Matt Gonzalez, and flawed idealists like Ross Mirkarimi.

Rizzo is a soft-spoken family man who has lived in the same building on Waller Street in the Haight-Ashbury for the last 27 years. Originally, he and Christine, his wife of 25 years, rented their apartment in a tenancy-in-common building before they bought it in the early 1990s, although he’s quick to add, “In all the years we’ve owned it, we never applied for condoship.”

He supports the city’s limits on condo conversions as important to protecting working-class housing, although he said, “The focus should be on building new affordable housing.” That’s an issue Rizzo has worked on since joining the Sierra Club’s San Francisco Bay Chapter more than 20 years ago, an early advocate for broadening the chapter’s view of environmentalism.

He’s a Muni rider who hasn’t owned a car since 1987.

Michelle Myers, director of the Sierra Club’s San Francisco Bay Chapter, said Rizzo brings a wealth of experience, established relationships, and shrewd judgment to his role as the group’s political chair. “We really rely on John’s ability to weigh what is politically feasible, not just what’s ideal in our minds,” she told us.

Yet that political realism shouldn’t be confused for a lack of willingness to fight for big, important goals. Rizzo has been an advocate for public power in San Francisco for many years, strategizing with then-Sup. Ammiano in 2001 to implement a community choice aggregation program, efforts that led to this year’s historic passage of the CleanPowerSF program (with a key vote of support by Olague) over the objections of Mayor Lee and some business leaders.

“CleanPowerSF was carried by John Rizzo, who has been working on that issue for 10 years,” Myers said.

Rizzo is a technology writer, working for prospering computer magazines in the 1990s “until they all went away with the dot.com bubble,” as well as books (his 14th book, Mountain Lion Server for Dummies, comes out soon).

He sees the “positives and the negatives” of the last tech boom and this one, focusing on solving problems like the Google and Genetech buses blocking traffic or Muni bus stops. “On the one hand, these people aren’t driving, but on the other hand, they’re unregulated and using our bus stops,” he said. “We need to find some solution to accommodate them. Charge them for it, but accommodate them.”

That’s typical of how Rizzo approaches issues, wanting to work with people to find solutions. As president of the City College of San Francisco Board of Trustees, Rizzo suffered the bad timing of the district having its accreditation threatened just as his supervisorial race was getting underway, but he’s steadily worked through the administrative problems that predated his tenure, starting with the criminal antics of former Chancellor Phil Day and continuing with “a management structure still in place, and it had calcified.”

Despite being on the campaign trail, Rizzo called the trustees together six times in August to deal with the accreditation problems. “We now have a plan that shows all the things the district needs to do to keep it afloat. City College is back on track.”

 

WEAKNESS BECOMES STRENGTH

Eileen Hansen — a longtime progressive activist, former D8 supervisorial candidate, and former Ethics Commissioner — gave her early endorsement to Rizzo, who never really seemed to catch fire. “There hasn’t been a lot of flash and I would love for there to be more energy,” she admitted.

So, like many progressive leaders, she later offered her endorsement to Davis, believing he had the energy needed to win the race. But after Davis’ problems, Hansen withdrew that endorsement and sees Rizzo as the antidote to its problems.

“We are in such a mess in D5, and I’m hoping they will say, ‘enough already, let’s find someone who’s just good on the issues, and that’s John,” Hansen said. “As a progressive, if you look at his stands over many years, I’d be hard-pressed to find an issue I don’t agree with him on. He’s a consistent, strong progressive voice, someone you can count on who’s not aligned with some power base.”

Other prominent progressive leaders agree.

“What some people may have viewed as his weak point may end up being his strength,” said former Board President Aaron Peskin, who endorsed Rizzo after the problems surfaced with Davis. “A calm, steady, cool, collected, dispassionate progressive may actually be the right thing for this moment.”

Sup. Malia Cohen, a likable candidate who rose from fourth place on election night to win a heated District 10 supervisorial race two years ago, is a testament to how ranked-choice voting opens up lots of new possibilities.

“Ranked choice voting defies conventional wisdom,” Peskin said. “There may be Julian Davis supporters and Christina Olague supporters and London Breed supporters who all place John Rizzo as their second.”

In fact, during our endorsement interviews and in a number of debates and campaign events, nearly every candidate in the race mentioned Rizzo as a good second choice.

Yet Rizzo doesn’t mince words when he talks about the need for reconstitute the progressive movement after the deceptions and big-money interests that brought Mayor Lee and “his fake age of civility” to power. Lee promised not to seek a full term “and he broke the deal,” Rizzo said. “And it was a public deal he broke, not some backroom deal.” 

That betrayal and the money-driven politics that Lee ushered in, combined with the divisive political climate that Lee’s long effort to remove Mirkarimi from office created, has deeply damaged the city’s political system. “I think the climate is very bad It’s bad for progressives, and just bad for politics because it’s turning voters off,” Rizzo said.

He wants to find ways to empower average San Franciscans and get them engaged with helping shape the city’s future.

“We need a new strategy. We need to regroup and think about things long and hard. I think it’s not working here. We’re doing the same things and it’s not working out. The money is winning.” He doesn’t think the answers lie in continued conflict, or with any individual politicians “because people are flawed, everyone is,” Rizzo said.

Yet Rizzo’s main flaw in the rough-and-tumble world of political campaigns may be that he’s too nice, too reluctant to toot his horn or beat his chest. “That kind of style is not me. That aggressive person is not who I am,” Rizzo said. “But I think voters like that. Voters do want someone who is going to focus on policy and not themselves.”

Dick Meister: Labor’s wise election choices

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By Dick Meister

Dick Meister, former labor editor of the SF Chronicle and KQED-TV Newsroom, has covered labor and politics for more than a half-century. Contact him through his website, www.dickmeister.com, which includes more than 350 of his columns.

No issue on the November election ballot anywhere is of greater importance to working people and their unions than Proposition 32 on the California ballot.

As the State AFL-CIO notes in its call for an all-out campaign against Prop 32, it’s “a brazen power play” by billionaire corporate interests and other anti-union forces to all but silence labor’s political voice, while at the same time greatly increasing the political strength of labor’s wealthy opponents.

Prop 32’s corporate sponsors deceptively call their measure an even-handed attempt to limit campaign spending. Yet it would only limit – and severely limit – the political spending of unions. There would be no limit on the political spending of corporations and other wealthy interests.

A Prop 32 victory would have a serious national impact, since passage of the measure in the country’s largest state would certainly lead to attempts to enact similar measures elsewhere.

California Propositions 30 and 38 also could have major, though less direct, effects nationally.  Both measures would raise badly needed new funds for education.

Prop 30, which is widely supported by unions and a broad base of community organizations, would do it through a tax increase that would be levied on wealthy Californians with annual incomes of $250,000 or more.

But Prop 38, bankrolled by some of the same billionaire interests that are contributing heavily to the Yes on 32 campaign, would raise money by taxing everyone, including the poor. And while Prop 30 specifically calls for added education funds to go to schools at all levels, including the community colleges that train workers for jobs that are heavily unionized, Prop 38 does not apply to community colleges.

There are, of course, other state as well as local and national issues and candidates that are of particular interest to labor. That includes, as it very well should, labor-friendly President Obama and just about any other Democrat.

Although the odds are heavily against Democrats regaining control of the House or adding to their narrow margin in the Senate, that has not kept labor and its supporters from trying to beat the odds.

National Democratic strategists are relying on California to be a leader in raising funds to make that happen. They’re sending out an unprecedented barrage of requests to Californians for money for Democratic candidates in general and especially for candidates in battleground states.

Unions are playing an important role in that effort and in many local elections as well. That naturally includes the voting in San Francisco, long one of the country’s premier labor cities and national pacesetter for labor.

As usual, the SF Labor Council and SF unions generally have endorsed all of the Democrats running for national and state offices. It would be hard to quarrel with that or with most of labor’s other choices of who and what to back and oppose on the city’s election ballot.

Locally, labor is backing incumbent Supervisors Eric Mar (District One) and David Campos (District Nine) and newcomer F.X. Crowley, a longtime union leader and activist who’s running in District Seven. All have consistently supported labor.

Labor is rightly eager to defeat Crowley’s opponent, Mike Garcia, a candidate of the downtown interests that have consistently opposed labor.

Voters would be wise to follow the guidance of the teachers union on candidates for the SF Board of Education. The union has endorsed Matt Haney, Beverly Popek, Sam Rodriguez and Shamann Walton. All would be new to the board.

The teachers union and the Service Employees Union local that represent SF City College workers agree that the best candidates for the Community College Board that governs City College are Hanna Leung, Rafael Mandelman and incumbents Natalie Berg and Chris Jackson.

As far as local propositions go, labor’s support for a parcel tax to raise badly needed funds for City College (Prop A) and for a trust fund to help lower and middle income families secure affordable housing (Prop C) makes very good sense.

Unfortunately, labor did not take an official position on Prop G, the policy statement that calls for a Constitutional amendment to reverse the U.S. Supreme Court’s Citizens United decision that has allowed unlimited political spending by corporations and wealthy individuals.

Otherwise, however, labor has provided voters with an invaluable election guide.

Dick Meister, former labor editor of the SF Chronicle and KQED-TV Newsroom, has covered labor and politics for more than a half-century. Contact him through his website, www.dickmeister.com, which includes more than 350 of his columns.

SF Stories: Laura Fraser

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46TH ANNIVERSARY SPECIAL

People marvel that I manage to live in San Francisco on what I make as a freelance writer. They wonder if I have a trust fund, secretly write speeches for CEOs, or run a phone-sex business on the side. They figure I must somehow make over six figures to live in a three-bedroom flat in the Haight with high ceilings, hardwood floors, a big kitchen, and a garden as big as a park.

No: I’m able to be a writer in San Francisco because of rent control.

If it weren’t for rent control, I would not live in the city I love, which has been my home since 1984, when I scored an apartment on Waller Street with one woman I’d met in a magazine collective called Processed World and another who’d just gotten off the Green Tortoise bus.

At first I wasn’t sure I wanted the apartment. It was filthy; the living room had been subdivided into four sections with hanging sheets, and only cockroaches dared to enter the kitchen. It was $750 a month, which seemed astronomical to us at the time. But it was so rundown that no one had ever bothered to rip away the original wainscoting, Victorian cabinets, hardwood floors, or clawfoot tub, so it had a lot of charm under its grime. The landlord — an entrepreneurial hippie who bought about ten buildings when the Haight was at its most depressed — insisted we do community service as part of our rent. We pooled our money, took the place, and began scrubbing and painting.

Over the years, by sheer luck, I never moved. Instead, people moved in with me. I lived with a constant parade of roommates, most of them artists or people who worked for nonprofits. There was a drummer, a guitarist, and a composer. Maria was a young journalist from Mexico City who came here to write about migrant farm workers. Stevious was a political refugee from South Africa who worked at Mother Jones. Gail was a chef who left to join the circus. Natalie taught English to new immigrants. Julia was an avant-garde theatre director. Danielle was a filmmaker who wanted to make a documentary about Ghana, where she’d lived in the Peace Corps. Vince worked for the alternative press. All these people had moved to San Francisco because they wanted to do something creative or humanitarian, and to Waller Street, because our rent made that possible.

During the dot-com boom, my flat became a refuge. Two friends, a photographer and a musician, had been effectively evicted by a landlord who made life so hellish they’d leave, so he could raise the rent at a time when Mission rents went up 40 percent in a year. They had nowhere to go, so they moved in with me. It was a very San Francisco story: the guy was my great-grand-ex, who used to live in the flat above me when we dated, and now he was living in my house with his girlfriend. We cooked and played music and got along fine, until they moved into a flat they could afford — in Oakland.

Until the dot-com years, thanks to rent control, you could make a living as an artist or activist and manage to live in San Francisco, even if it meant eating a lot of burritos. Today, that’s not possible, unless you’re as old as I am and somehow had the luck to hang on to the second apartment you moved into after college. I may envy people who had the foresight to buy real estate in the 1980s or 1990s, but the fact is, I didn’t have the money then, either, for what now seems like a laughably low down payment. Rent control is my equity. The neighbors who live in the mirror-image apartment in my building are not artists or activists; they are tech people, whose rent is double mine, and who do make six figures.

Recently, a talented young novelist visited my flat and was amazed at how spacious it is. He’s struggling to keep on living in San Francisco, and I don’t know how he and his wife manage writing and running an international creative nonprofit while paying our city’s rents, especially with a child. I do know that unless San Francisco makes room for people like him, as it made room for me, with rent control, we will lose the distinctive character of our city—or what remains of it. Rent control made it possible for me to be a writer, but 25 years later, it’s a lot harder for him.

Rent control is essential to keeping San Francisco’s creative character. But it isn’t sufficient if the city wants to help young people who are trying to embark on creative careers outside of the tech sector in San Francisco today. We need affordable housing; we need rent controls to extend to vacant apartments; mainly, we need to want to keep San Francisco weird.

Laura Fraser is the author of the New York Times bestseller An Italian Affair, among other books.

Open doors await on Affordable Housing Day

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Tomorrow, 10/6 from 1pm-4pm, you can tour several of the city’s affordable housing sites — there’s even a handy citywide bike tour! — and  get an indepth look inside many of the innovative buildings that have recently gone up (or been rehabbed) in San Francisco, helping to house the homeless and make the city an affordable place to live for seniors, families, and people with special needs.

There will be refreshments! And also access to detailed information about the design, finances, and management of the buildings. And if you’re interested in finding out how to apply to live at one of the sites, there’ll be info about that, too. 

For Nosey Parkers like me who just like to go inside buildings and have a good gander, this will be pretty neat. (Also, my husband works in non-profit housing, and I get the backstory on a lot of the great stuff going on at these buildings, but never get to see it all!) And many of the buildings are doing really cool things environmentally and designwise. Complete list of locations and official press release after the jump.

SITE LIST:

Armstrong Place, 3rd Street & Armstrong
Bayview Commons, 4445 3rd Street
Bishop Swing, 275 10th Street
Broadway Family Apartments, 810 Battery Street
CASA, 5199 Mission Street
I Hotel, 868 Kearny Street
Mendelsohn House, 737 Folsom
Mosaica, 2949 19th Street
Notre Dame Plaza, 347 Dolores Street
St. Peters Place, 29th Avenue & Geary Street
The Hayes, 55 Page Street
Westbrook Plaza, 255 7th Street
Zygmunt Arendt House, 850 Broderick

Affordable Housing Day San Francisco to be held on Saturday, October 6
The Council of Community Housing Organizations, the American Institute of Architects San Francisco, and SPUR invite the community to an open house highlighting the benefits of affordable housing in San Francisco.

SAN FRANCISCO ─ As part of a citywide Affordable Housing Day, neighborhood affordable housing organizations throughout San Francisco will open up selected buildings for tours, info sessions and refreshments. Included in the tours will be examples of housing designed for seniors, families and people with special needs. The goal of the citywide day is to provide an opportunity for up close and personal experience with the people and places that make up San Francisco’s affordable housing. Each location will have detailed information about design, finance and management of these housing developments as a sample of the many affordable housing sites across the city. And for individuals interested in obtaining affordable housing, each participating organization will have information about qualifications, the application process, and vacancies.

Fernando Martí, co-director of the Council of Community Housing Organizations which is sponsoring the event, said “These are great examples of housing for everyday San Franciscans, slowing SF’s family flight, so that our children and grandchildren can continue to live in the City they helped build. Affordable housing also preserves the diversity of our neighborhoods, stabilizing communities from gentrification, while improving living conditions.”

There will be building tours throughout the city including the South of Market, Richmond, Mission, Excelsior, Bayview and Western Addition neighborhoods. Participants are welcome to visit all the open house locations, or just stop by the building in their neighborhood. Participating organizations include: Bernal Heights Neighborhood Center, Bridge Housing, Chinatown Community Development Center, Community Housing Partnership, Episcopal Community Services, Mercy Housing, San Francisco Housing Development Corporation, Tenants and Owners Development Corporation, Tenderloin Neighborhood Development Corporation , and The Hayes (55 Page).

“Creating affordable housing helps build our economy, creates jobs in San Francisco and supports families so they can stay, live and succeed in our City,” said San Francisco Mayor Ed Lee. “We must create a permanent source of revenue to fund the production of housing in San Francisco to ensure that seniors, people with disabilities and San Francisco families can continue to call San Francisco home.” Supervisor Christina Olague representing the city’s Western Addition and Hayes Valley neighborhoods where two sites will be open on Affordable Housing Day, said “We are fortunate to have such wonderful examples of affordable housing in my district, it’s a critical part of making diverse and stable neighborhoods.”

Please join us for San Francisco Affordable Housing Day, a free event to be held Saturday, October 6 from 1:00pm – 4:00pm. This is an open house format, so visitors can start at any of the 13 sites.