Condo Conversions

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.”

Compromise measures

3

news@sfbg.com

San Franciscans are poised to vote this November on two important, complicated, and interdependent ballot measures — one a sweeping overhaul of the city’s business tax, the other creating an Affordable Housing Trust Fund that relies on the first measure’s steep increase in business license fees — that were the products of intense backroom negotiations over the last six months.

Mayor Ed Lee and his business community allies sought a revenue-neutral business tax reform measure that might have had to compete against an alternative proposal developed by Sup. John Avalos and his labor and progressive allies, who sought around $40 million in new revenue, although both sides wanted to avoid that fight and find a compromise measure.

Meanwhile, Mayor Lee was having trouble securing business community support for the housing trust fund that he pledged to create during his inaugural address in City Hall in January. So he modified his business tax proposal to bring in $13 million that would be dedicated to the Affordable Housing Trust Fund, but that didn’t satisfy the Avalos camp, who insisted the city needed more general revenue to offset cuts to city services and help with the city’s structural budget deficit.

Less than a day before the competing business reform measures came before the Board of Supervisors on July 24, a compromise was finally struck that would bring $28.5 million a year, with $13 million of that set aside for the affordable housing fund, tying the fate of the two measures together and creating a kumbaya moment at City Hall that was reminiscent of last year’s successful pension reform deal between labor and the business community.

But there was one voice raised at that July 24 meeting, that of Sup. David Campos, who asked questions and expressed concerns over whether this deal will adequately address the “crisis” faced by the working class in a city that will continue to gentrify even if both of these measures pass. Affordable housing construction still won’t meet the long-term needs outlined in the city’s Housing Element that indicates 60 percent of housing construction would need public subsidies to be affordable to current city residents.

It’s also worth asking why a business tax reform measure that doubles the tax base — just 8.4 percent of businesses in San Francisco now pay the payroll tax, whereas 16.4 percent would pay the gross receipts tax that replaces it — doesn’t increase its current funding level of $410 million (the $28.5 million comes from increased business license fees). Some industries — most notably the technology and restaurant industries that have strongly supported Mayor Lee’s political ambitions — could receive substantial tax cuts.

Politics is about compromise, and Avalos tells us that in the current political climate, these measures are the best that we can hope for and worthy of progressive support. And that may be true, but it also indicates that San Francisco will continue to be more welcoming to businesses than the working class residents struggling to remain here.

 

SOARING HOUSING COSTS

As Mayor Lee acknowledged during his inaugural speech, the boom times in the technology industry has also been driving up commercial and residential rents, he sought to create “housing for the 100 percent.”

The median rent in San Francisco has been steadily rising, jumping again in June an astounding 12.9 percent over June of last year, according to real estate monitor RealFacts, leaving renters shelling out on average an extra $350 a month to landlords.

Driven by a booming tech industry and a lag in new housing, the average San Francisco apartment now rents for $2,734. That’s an annual increase of $4,000 per unit over last year, in a city that saw the highest jumps in rent nationally in the first quarter of 2012. Even prices for the average studio apartment have edged up to $1,800 a month.

The affordability gap between housing and wages in the city is stark. Somebody spending a quarter of their income on rent would need to be making $85,000 a year just to keep up with the average studio. With a mean wage of $64,820 in the San Francisco metro area, even middle class San Franciscans have a difficult time affording a modest apartment. For the city’s lowest paid workers, even earning the country’s highest minimum wage of $10.25 an hour, even devoting every earned dollar to rent still wouldn’t pay for the average small studio apartment.

For those looking to buy a home in the city, it can be a huge hurdle to put aside a down payment while keeping up with the city’s high rents. Almost 90 percent of San Franciscans cannot afford a market rate home in the city. The average San Francisco home price was up 1.9 percent in June over May, climbing to $713,500, or a leap of $50,000 per unit over last year’s prices.

In the 2010 census, before the recent boom in the local real estate market, San Francisco already ranked third in the nation for worst ratio between income and home ownership prices, behind Honolulu and Santa Cruz.

But as the city leadership grapples to mitigate the tech boom’s effects, the lingering recession and conservative opposition to new taxes have gutted state and federal funds for affordable housing. Capped off last December by the California Legislature’s decision to dissolve the State Redevelopment Agency, a major source of money for creating affordable housing, San Francisco has seen a drop of $56 million in annual affordable housing funds since 2007.

Trying to address dwindling funding for affordable housing, the Board of Supervisors voted 8-2 on July 24 to place the Affordable Housing Trust Fund measure on the fall ballot. Only the most conservative supervisors, Sups. Sean Elsbernd and Carmen Chu, opposed the proposal. Sup. Mark Farrell, who has signaled his support for the measure, was absent.

“Creating a permanent source of revenue to fund the production of housing in San Francisco will ensure that San Francisco is a viable place to live and work for everyone, at every level of the economic spectrum. I applaud the Board of Supervisors,” Mayor Lee said in response.

At the heart of the program, the city hopes to create 9,000 new units of affordable housing over 30 years. The measure would set aside money to help stabilize the ongoing foreclosure crisis and replenish the funds of a down payment assistance program for those earning 80 to 120 percent of the median income.

To do so, the city anticipates spending $1.2 billion over the 30-year lifespan of the program, with a $20 million annual contribution the first year increasing $2.5 million annually in subsequent years. It would fold some existing funding in with new revenue sources, including $13 million yearly from the business tax reform measure. Language in the housing fund measure would allow Mayor Lee to veto it is the business tax reform measure fails.

The board was forced to delay consideration of the business tax measure until July 31 because of changes in the freshly merged measures. That meeting was after Guardian press time, although with nine co-sponsors on the board, its passage seemed assured even before the Budget and Legislative Analysts Office had not yet assessed its impacts, as Campos requested on July 24.

“I do believe that we have to ask certain questions when a proposal of this magnitude comes forward,” Campos said at the hearing, later adding, “When you have a proposal of this magnitude, you’re not going to be able to adjust it for some time, so you want it to be right.”

The report that Campos requested, which came out in the late afternoon before the next day’s hearing, agreed that it would stabilize business tax revenue, but it raised concerns that some small businesses exempt from the payroll tax would pay more under the proposal and that it would create big winners and losers compared to the current system.

For example, it calculated that between the gross receipts tax and business license fee, a sample full service restaurant would pay 69 percent less taxes and a supermarket 33 percent less taxes, while a commercial real estate leasing firm would pay 46.7 percent more tax and a large engineering firm would see its business tax bills more than double.

Board President David Chiu, who has co-sponsored the business tax reform measure with Mayor Lee since its inception, agreed that it is a “once in a decade reform,” calling it a “compromise that reflects the best sense of that word.” And that view, that this is the best compromise city residents can expect, seems to be shared by leaders of various stripes.

 

BACKING THE COMPROMISE

The business community and fiscally conservative politicians have long called for the replacement of the city payroll tax — which they deride as a “job killer” because it uses labor costs to gauge the size of company’s size and ability to pay taxes — with a gross receipts tax that uses a different gauge. But the devil has been in the details.

Chiu praised the “dozens and dozens and dozens of companies that have worked with us to fine-tune this measure,” and press reports indicate that representatives of major corporations and economic sectors have all spent hours in the closed door meetings shaping the complicated formulas for how they will be taxed, which vary by industry.

When the Guardian made a Sunshine Ordinance request to the Mayor’s Office for a list of all the business representatives that have been involved in the meetings, its spokespersons said no such list exists. They have also asked for a time extension in our request to review all documents associated with the deliberations, delaying the review until next week at the earliest, after the board approves the measure.

But the business community seems to be on board, even though some economic sectors — including real estate firms and big construction companies — are expected to face tax hikes.

“The general reaction has been neutral to favorable, and I expect we’ll be supportive,” Jim Lazarus, the vice president of public policy for the San Francisco Chamber of Commerce, who participated in crafting the proposal but who said the Chamber won’t have an official position until it votes later this week.

Lazarus noted the precipitous rise in annual business license fees — the top rate for the largest companies would go from just $500 now to $35,000 under the proposal, going up even more in the future as the Consumer Price Index rises — “but some of it will be offset by a drop in the payroll tax,” Lazarus said.

He also admitted that the new tax system will be “hugely complicated” compared to the payroll tax, with complex formulas that differ by sector and where economic transactions take place. But he said the Chamber has long supported the switch and he was happy to see a compromise.

“I’m assuming it will pass. I don’t believe there will be any major organized opposition to the measure,” Lazarus said.

Labor and progressive leaders also say the measure — which exempts small businesses with less than $1 million in revenue and has a steeply progressive business license fee scale — is a good proposal worth supporting, even if they didn’t get everything they wanted.

“We fared pretty well, the royal ‘we,’ with the mayor starting off from the position that he wanted a revenue-neutral proposition,” Chris Daly, who unsuccessfully championed affordable housing ballot measures as a supervisor before leaving office and becoming the political director for SEIU Local 1021, the largest union of city employees.

Both sides say they gave considerable ground to reach the compromise.

“Did we envision $28.5 million in new revenue? No,” said Lazarus, who had insisted from the beginning that the tax measure be revenue-neutral. “But we also didn’t envision the Affordable Housing Trust Fund.”

Daly and Avalos also said the measures need to be considered in the context of current political and economic realities.

“We were never going to be able to pass — or even to craft — a measure to meet all of the unmet needs in San Francisco,” Daly said. “Given the current political climate, we did very well.”

“If we had a different mayor who was more interested in serving directly the working class of the city, rather than supporting a business class that he hopes will serve all the people, the result might have been different,” Avalos said. “But what’s significant is we have a tax measure that really is progressive.”

Given that “we have an economic system that is based on profits and not human needs,” Avalos said, “This is a good step, better that we’ve had in decades.”

 

THE HOUSING CRISIS

The tax and housing measures certainly do address progressive priorities — bringing in more revenue and helping create affordable housing — even if some progressives express concerns that conditions in San Francisco could get worse for their vulnerable, working class constituents.

“I don’t know if the proposal before us is aggressive enough in terms of dealing with a crisis,” Campos told his colleagues on July 24 as they discussed the housing measure, later adding, “As good as this is, we are truly facing a crisis and a crisis requires a level of response that I unfortunately don’t think we are providing at this point.”

Not wanting to let “the perfect be the enemy of the good,” Campos said he still wanted to be able to support both measures, urging the board to have a more detailed discussion of their impacts.

“I wish this went further and created even more funding for critically needed affordable housing,” Sup. Eric Mar said before joining Campos in voting for the proposal anyway. “I think they need to build 60 percent of those units as below market rate otherwise we face more working families leaving the city, and the city becoming less diverse.”

Yet affordable housing advocates are desperate for something to replace the $56 million annual loss in affordable housing the city has faced in recent years, creating an immediate need for action and potentially allowing Lee to drive a wedge between the affordable housing advocates and labor if the latter held out for a better deal.

Many have heralded the mayor’s process in bringing together developers, housing advocates, and civic leaders to build a broad political consensus for the measure, particularly given the three affordable housing measures crafted by progressives over the last 10 years were all defeated by voters.

“One of the goals of any measure like this is for it to gain broad enough support to actually pass,” Sup. Scott Wiener said at a Rules Committee hearing on the measure.

In the measure’s grand bargain, developers receive a reduction in the percentage of on-site affordable housing units they are required to build, from 15 percent of units to 12 percent. The city will also buy some new housing units in large projects, paying market rate and then holding them as affordable housing — the buying power of which could be a boon to developers while creating affordable housing units.

At its root, the measure shifts some of the burden of funding affordable housing from developers to a broader tax base and locks in that agreement for 30 years, which could also spur market rate housing development in the process.

A late addition to the proposal by Farrell would create funding to help emergency workers with household earnings up to 150 percent of average median income buy homes in the city, citing a need to have these workers close at hand in the event of an earthquake or other emergency.

While some progressives have grumbled about the givebacks to developers and the high percentage of money going to homebuyer assistance in a city where almost two-thirds of residents rent, affordable housing advocates are pleased with the proposal.

“Did we gain out of this local package? Yes, we got 30 years of local funding. We came out net ahead in an environment where cities are crashing. We essentially caught ourselves way early from the end of redevelopment funds,” said Peter Cohen, executive director of the San Francisco Council of Community Housing Organizations.

Without it, Cohen says many affordable housing projects in the existing pipeline would be lost. “This last year was a bumpy year, and we will not be back to the same operation level for a number of years,” Cohen said. “There was a dip and we are coming out of that dip. It will take us a while to get back up to speed.”

The progressive side was also able to eliminate some of the more controversial items in the original proposal, including provisions that would expand the number of annual condo conversions allowed by the city and encourage rental properties to be converted into tenancies-in-common.

With ballot measures notoriously hard to amend, the Affordable Housing Trust Fund measure is a broad outline with many of the details of how the fund would be administered yet to be filled in. If passed, it will be up to Olson Lee, head of the Mayors Office on Housing and former local head of the demised redevelopment agency, to fill in the details, folding what was essential two partnered affordable housing agencies into a single local unit.

But even the most progressive members of the affordable housing community said there was no other alternative to addressing affordable housing in the wings — which is indeed a crisis now that redevelopment funds are gone — making this measure essential.

As Sara Shortt of the Housing Rights Committee of San Francisco told the Rules Committee, “We lost a very important funding mechanism. We have to replace it. We have no choice.”

Guardian Voices: There’s something happening here

25

There are distinct signs of the rebirth of a grassroots  balanced-growth  movement in San Francisco, and some small indication that it’s even beginning to shift, ever so slightly,  the politics of the Board of Supervisors.  This is very good news for the vast majority of San Franciscans.

First, a little history.

Land use and the approval of major development projects lie at the very heart of San Francisco politics. Developers and their allies (the building trades, contractors, bankers, architects, land-use lawyers, consultants, and  permit expeditors) are the primary source of political money for candidates for local office. Since the freeway and urban renewal fights of the 1960s, the very definition of  progressive  politics in San Francisco has been the attempt to build a political base of  residents to resist that money.  So-called moderates are simply the political extension of the pro-development lobby using its money to consolidate developer control of the public approval process.

In most cities, land-use issues — zoning, permits, urban design — is left to elites. Not so in San Francisco. Here, land use is talked about at neighborhood meetings and on street corners. The heart the reason is our compact size: 46.7 square miles, and the prohibition of filling in any more of the Bay to create new land. There is no vacant land in San Francisco. Any new major development almost always displaces something already there.  Development is a zero sum game, with winner and losers.  And the losers  leave town.

Land-use politics is about staying here — and that creates real interest among San Francisco residents.

The funding for major development in San Francisco has dramatically changed in the 45 years since the freeway and anti-urban-renewal fights of the mid-1960s. Back then, it was public sector money that fueled development. Yet, with that money, due to the actions of  progressive politicians like Phil and John Burton and George Moscone, came its own remedy: votes to not accept the public money for freeways (Moscone) and votes creating either laws that either prohibited displacement or funded legal assistance to the poor, empowering  them to stop government agencies through litigation (the Burtons at both the state and federal level).

Since the money for freeways and urban renewal was from the government, the focus of the early balanced growth  forces was on government itself, through massive lobbying campaigns to affect officials’ votes (the freeway fight), or the use of government-funded lawyers  to protect poor people’s  interests ( the WACO and TOOR lawsuits against redevelopment).

All of that changed starting in the 1970s, when Richard Nixon and later Ronald Reagan deregulated oversight of urban development by creating a system of  block grants and ended funding for legal assistance for the poor.  Large-scale development was effectively privatized, moving it from being designed, funded, and approved at public meetings by government officials following regulations to being designed and funded in private — and having a Kabuki-play-like public approval process with little real oversight. With the passage of Prop 13 in 1978, which limited the main source of local government revenue — property taxes — local governments became even more reliant on private developer money to create new revenue.

The popular response to this change in the development process in San Francisco was the emergence of a politics that relied on the old progressive-era reforms of the initiative, referendum, and recall. Through a series of initiatives, the community sought to impose regulations on the development process, culminating in the 1986 Proposition M, which actually limited the amount of high-rise office space developers could build, completely imposing the popular will over a supine set of local officials and politicians. Indeed, ten years earlier, again through the initiative processes, the very nature of the Board of Supervisors was changed from a developer-friendly at-large system to a district-election system. Hotly opposed by real estate and development interests, district elections in its brief three years of existence (repealed in the wake of the Moscone-Milk assassinations, even though they were both strong supporters of the system and their assassin opposed it…ironies abound in San Francisco politics) saw limits placed on condo conversions and the passage of rent control.

In each of these multi-year efforts, a citywide coalition was formed, including an ever-expanding set of communities and neighborhoods.  Common interests were defined that cut across race, class, and geography and issues of community (neighborhood) control and funding for essential services like Muni, affordable housing, childcare, and employment training were placed on the table – and developers had to address them if they wanted projects approved.

The point is that balanced growth came from community-based political forces, not elected officials.  Broad movements were built — in the end, encompassing elements of labor. These were victories won not by elected officials but by a popular movement.

In 2000, in the wake of  the dot-com bust, another balanced-growth measure, Prop. L, aimed at cutting then-Mayor Willie Brown’s power over development, was paired with the new district election system — and a broad coalition of forces including labor, community and neighborhood organizations won a major progressive victory.

Every candidate for supervisor who supported the balanced-growth measure won. Every candidate who opposed it and supported Brown lost. While Prop L narrowly lost, its policies and objectives were passed as ordinances by the new Board of Supervisors (banning live-work lofts, closing loopholes in the planning code, requiring neighborhood-based plans for the Mission, SOMA, and Potrero Hill).

But as is so often the case, the victory of 2000 led to the slow dissolution of the coalition that created it. Folks had won. Our supervisors could handle all these issues; we no longer had to. By the end of the term of the supervisors elected as the class of 2000, very little of that citywide coalition existed any more.

With the Great Recession of 2008, advances were rolled back.  Fees on local developers for affordable housing, childcare and transit were deferred in order to stimulate development.  A new era of “moderation” was announced by elected officials, led by Mayor Gavin Newsom. Desires to “attract and retain”  business saw new tax concessions in the name of “jobs” and a new willingness to use open space and public facilities for “private/public partnerships” was announced.

By 2012 any concept of balanced growth had been replaced with a new era of “cooperation” between city officials and developers.

Until recently, that is.

It should be clear to all that for the last four years, City Hall has been eager to approve any scheme presented by private developers — from the America’s Cup nonsense to highrise luxury condos on the waterfront. The siren song of the developers — more revenue if you approve our project — has been proven false again and again, as the revenue never really matches the real costs of these projects. The city’s essential services continue to shrink. Transit fees are too low to pay for the actual new costs of Muni. The affordable housing  fees are too little to actually meet the affordable housing needs of the new, poorly-paid workers employed in the retail and service industry that is always a part of these projects.

More and more of our parks and public open spaces are made available to private users, while few if any new public parks or open spaces are being created.  Indeed, the Department of Parks and Recreation often opposes new public parks — because it can’t maintain what it has.

So it is with fondness that these old eyes see the stirring of what appears to be the awakening political  giant of a new controlled-growth movement.

Here’s how it’s happening: The formation of a multi-neighborhood coalition to oppose fee increases at the Arboretum leads to a bigger coalition to oppose artificial turf  fields in western Golden Gate Park, which leads to an even-bigger coalition placing a policy statement against the privatization of Coit Tower on the ballot and winning.

These are important indications of a broad dissatisfaction with the endless private-public-partnership ( in which all the costs are public and all the profits are private) babble from Rec and Park.

The submission by a broad based coalition of more than 30,000 signatures to place the 8 Washington on the ballot — the first land-use referendum in decades — is an incredibly important achievement, and shows the popular sentiment against much of the City Hall happy talk about development on the waterfront.

But it was the unanimous ( yes, unanimous) vote by the Board of Supervisors last Tuesday to hold California Pacific Medical Center accountable for its constant shape shifting  on its massive project at Geary and Van Ness that shows, perhaps, the outline of the potential future of the balanced-growth movement in San Francisco.

Six supervisors stated their willingness to turn down the environmental impact report on the project unless Sutter/CPMC committed to a project that addressed not only the promise to keep St. Luke’s open for at least 20 years but also hired more San Franciscans, corrected the traffic nightmare predicted for Geary and Van Ness, provided more affordable housing for its own low-income new workforce, and committed  to cap the city’s health care costs as a result of CPMC’s market control the new project would create.

There is always the possibility that the two-week delay will go nowhere, but this kind of talk from this Board of Supervisors to a huge private developer simply has not occurred in the recent past.  No one from Room 200 showed up to twist supervisors’ arms in favor of Sutter.  Sutter was on its own and got rolled.

The coalition that fought Sutter to a standstill at the board, that defined the inadequacies of  the project listed by the supervisors, was a multi-neighborhood, multi-issues organization composed of community, neighborhoods, and labor. Middle class “Baja” Pacific Heights residents and low income seniors from Bernal Heights, non-profit affordable housing advocates and trade unionists, tenant organizers from the Tenderloin and Sierra Club members from the Haight-Ashbury; single moms from the Bayview and Filipino youth from the South of Market.

It was a San Francisco coalition, one that has been working together for nearly three years, blending issues, making concessions to one another and staying together.  A group like this with a set of demands such as these has not prevailed at City Hall for nearly a decade.  It still may not, indeed the chances are slim that its full demands will be achieved.

But this group moved the Board of Supervisors in a way not seen in years.  If the folks mobilized about our parks and the folks mobilized about our waterfront and the folks mobilized about CPMC get together, we have something very big happening. And it might be just in time to make a real difference.
It reminds me of an old saying: “ The people alone are the makers of world history.”

Guardian voices: The zombie condo converters

28

What is the shelf life of  a really bad public policy concerning housing in  San Francisco?

When it comes to condo conversions of existing rent controlled apartments, the answer is that there is no limit on how many times this bad idea is taken off the shelf. Like a bad summer zombie movie, this undead keeps  walking, no matter what San Franciscans say.

A little history.  In 1982 Supervisor Willie Kennedy, not a bomb-throwing tenant advocate by any stretch, sponsored legislation that limited the  conversion of existing apartments to condos to no more than 200 a year. The measure did not touch new constriction, allowing unlimited condominium construction. Indeed, from 1983 to 2000, some 12,200 new condos were built, an average of some 680 units a year. Since 2000, nearly 100 percent of all new residential constriction is built as condos; there is no limit on renting a condo, but an annual limit in converting an existing apartment. Clearly, condos are a tenure type of housing that is dramatically expanding.

The reason Kennedy and the at-large elected Board of Supervisors voted for the annual limit was to protect rent-controlled apartments, a type of housingthat can’t be expanded. San Francisco’s 1978  rent control ordinance exempted all new construction from being under rent control. So rent-controlled apartments were a fixed number — all apartments built before 1978 — banned by law from ever being expanded. 

Yet those apartments are the largest number of affordable housing units available to moderate and middle income households. Thus, there’s a rational desire to preserve them by a public policy that limits their conversion to condos because they are declining in numbers.

And San Francisco voters understand and support this very rational policy.

In 1989, realtors and speculators tried to overturn the annual limit, proposing a measure that said if 51 percent of a building’s existing tenants voted for a conversion, then the building could be converted with no annual limit. This proposal laid out a future of a Hobbesian society here in San Francisco with one set of well-to-do tenants fighting another set of less-well-off tenants, building by building. San Francisco voters defeated the measure 63-37.

But in the land of the living dead condo converters, no is never the answer.
 
In 2002, Gavin Newsom, Tony Hall and Leland Yee, Plan C, and the Chamber of Commerce placed another measure on the ballot to repeal the annual limit. It too, was  rejected: 60 percent voted no, and 40 percent yes. The measure was defeated in all of the supervisorial districts except  Newsom’s D2, Tony Hall’s D7, and Leland Yee’s D4.

Tenant and affordable housing advocates were not unmoved by the desire of tenants, especially in privately owner rental housing facing Ellis Act and TIC evictions, to seek the protection of home ownership. In 2008 they supported an amendment to the Subdivision Code carving out from the annual limit conversions of apartments by nonprofit, limited equity housing
co-ops.

Now were are confronted again by a desire to allow more conversions of rent controlled units by private buyers who bought into the TIC dodge around the annual condo conversion limit.

Since TIC’s do not require a sub-division map, creating legally recognized separate units, they became “grey market” condos. With hot mortgage money flowing during the bubble, TIC owners could get financing. Now, banks are actually following some laws and will not lend to buy a legally grey TIC.  Thus the move to get them converted to legal condos.
 
This is, in its most basic form, yet another bailout caused by speculative capitalism. We seem to no longer believe in the market as an economic system, in which bad economic decisions result in economic loss for the folks involved. We now seem to believe in the “market society” — in which those with money get to keep it no matter what bad decisions they make.

What this is all about is not really homeownership but about home sales. After all, if you have a TIC you already have a home. You want to convert it to a condo not to live in, but to sell. To make it easier to sell TICs would make it harder to sell the thousands of already approved but stalled new condos.

Mayor Lee administration want to stimulate these stalled condo developments, claiming they will create constriction jobs. The Farrell and Wiener condo conversion plan undercuts these efforts and, of course, will create no jobs for anyone but realtors and moving companies.

This is called a “contradiction of capitalism,” when one set of capitalists seek, to the disadvantage of another group of capitalists, to get the government to intervene on their behalf.  But it does prove once again that Lenin was right when he said that one could count on one set of capitalists to compete with each other to sell rope to hang another set.

It’s really bad economic policy, and even worse housing policy.

Why I hope Sup. Farrell is wrong about condos

213

So Sup. Mark Farrell thinks the Board of Supervisors is ready to turn its back on the tenants movement and vote for legislation that would increase evictions, eliminate rental housing and undermine one of the most important pieces of tenant legislation to come out of City Hall in decades?

Gawd, I hope he’s wrong.

From the Examiner:

Similar proposals have gone nowhere at City Hall. Farrell acknowledged it has been a “third rail,” but he suggested the political climate has shifted. “This is a different Board of Supervisors and this is a different time,” Farrell said.

Yeah, it’s a different Board of Supervisors. Five years ago, the 8 Washington project would never have been approved in its current form. Five years ago, Ed Lee wouldn’t have been elected mayor.

But I don’t think this board is ready to abandon the tenant vote.

Making condo conversions easier is a huge deal. When San Francisco put a limit on condo conversions more than 20 years ago, it was a landmark law that put the preservation of affordable, rent-controlled housing over the needs of speculators. Over the past decade, the single greatest threat to tenants in this city is Ellis-Act evictions done to create tenancies in common. And the only check on more of that happening is the disincentive posed by the limits on condo conversions.

If Farrell gets his way, and TIC owners can bypass the conversion lottery, tenant organizations will be furious. There are, at best, five reliable pro-landlord votes on the board, so It’s not going to happen without either David Chiu, Christina Olague or Jane Kim siding with Farrell. A lot of things suprise me in local politics, but that would be a shocker.

 

Who gets to live here?

38

yael@sfbg.com

Housing policy — which determines who will be able to live in San Francisco — has been a hot topic at City Hall these days.

At a Board of Supervisors Land Use and Economic Development Committee meeting on Feb. 13, representatives from the Mayors Office of Housing (MOH) reported on the state of middle-income housing in San Francisco, at the request of Sup. Scott Wiener. “Middle class” people make up 28 percent of the city’s population, a 10 percent decrease in the past two decades, and to reverse that decline would cost about $4.3 billion in housing subsidies, or more than half the city’s annual budget.

Wiener, who insists that “middle income and low income housing are not mutually exclusive,” said he’s raising the issue because the needs of the shrinking middle class are not being addressed. But during the public comment period, a long procession of low-income residents say city housing policies have kept them on the brink of homelessness. The takeaway message was: don’t embark on new housing efforts until you can enforce the ones that are already in place.

Also underscoring the desperate state of many San Francisco residents, Assessor-Recorder Phil Ting released a report Feb. 16 that contains shocking statistics about invalid foreclosures and illegal evictions in San Francisco. Ting found that 99 percent of all foreclosure proceedings in San Francisco in the past four years have contained paperwork irregularities, and in 84 percent of cases, banks or lenders have committed fraud or broke other laws.

With the loss of the redevelopment agencies, Mayor Ed Lee’s proposal for a housing trust fund, renewed calls for more condo conversions, and a new focus on middle income housing incentives, the conversation on housing in San Francisco is heating up.

 

MOVING TOWARDS RENTAL

San Francisco’s housing market is 64 percent rentals and 36 percent ownership, according to MOH. So despite the focus of politicians and developers on homeownership, housing policy in San Francisco mostly involves renters, many of whom face myriad threats.

Rents can be so steep that market-rate rental housing is becoming increasingly accessible only for parts of the middle class and the highest income brackets in the city. People in San Francisco tend to pay a huge chunk of their income towards rent.

The federal Housing and Urban Development Agency considers it reasonable for a households to pay 30 percent of their income towards rent; but for the city’s very low income households, rent is typically nearly 60 percent of income. For middle income households, the average percent paid toward rent has increased since 1990, but remains below 30 percent.

Those people fall mainly into the middle-income bracket, those earning 80-120 percent of Area Median Income (AMI.) Planning Director John Rahaim said that for the very low-income population (0-50 percent AMI) all rental housing is “virtually off-limits.”

So, for the middle class, renting a place in San Francisco is tough. For the low and very-low income, it’s next to impossible. And that reality threatens the city’s diversity.

“The highest rent burden still falls on lower income residents, many of whom pay 70 percent of their income as rent,” Sup. Eric Mar, who also sits on the Land Use Committee, said at the hearing. “In my district, people have whole families living in their living room or extra bedroom.”

But things may be looking up for renters. MOH’ Brian Cheu said developers believe that the market trends are heading towards construction of new rental housing after being almost exclusively owner-occupied units for many years. Cheu said there are 725 rental units in the pipeline for the next five to ten years, more than twice the new housing units meant for ownership slated for that time period.

Most of this will be market rate housing, and thus still unaffordable for a good deal of the population. But for those making around 100 percent of AMI — the middle class that Wiener hopes to serve — there are more rental units on the way.

“Any increase in supply of rental housing would help,” said San Francisco Tenants Rights head Ted Gullickson, “because there’s been virtually no new rental housing built in San Francisco is last 20 years.”

Even as Wiener promised to continue to prioritize the needs low-income residents, the foreclosure crisis was barely acknowledged at the Feb. 13 hearing. Many low-income residents say they are not sure they can trust the city’s claim that “this is not a matter of us vs. them.”

At public comment, many community members spoke of the housing troubles that they were already facing. Yue Hua Yu, who spoke at the Feb. 13 hearing, lives with her family of four in a single residency occupancy hotel room (SRO), units intended for single occupants.

“We would support a policy that protects the city’s affordable housing stock,” said a statement from Wing Hoo Leumg, president of the Chinatown Community Tenants Association.

Renting may be the realistic choice for most San Franciscans, but homeownership remains an important goal and achievement for many families, and the main obsession of many politicians.

Part of the middle class exodus is unmistakably due to better homeownership rates in Oakland, Daly City, Marin, and other surrounding areas. But there are neighborhoods with higher rates of homeownership than others, including Bayview-Hunters Point.

BHP has long been a prime spot for low-income homeowners, but it’s slated for extensive new housing construction in the coming decades that could compromise its affordability. It is also an area hit hard by the foreclosure crisis: there have been 2,000 foreclosures in Bayview in the past four years, according to Ed Donaldson, housing counseling director at the San Francisco Housing Development Corporation.

Rising prices and the foreclosure crisis have played a large part in the large-scale African American out-migration that has devastated San Francisco communities in recent decades.

 

 

APARTMENTS OR CONDOS?

One of the biggest points of controversy in the homeownership debate has been the issue of condo conversion, which was brought up again this past week at the Feb. 14 Board of Supervisors meeting, when Sup. Mark Farrell asked Lee if he would support legislation to let 2400 tenancy-in-common (TIC) owners bypass legal limits and fastrack towards condo conversion.

Farrell framed this as “a vehicle to allow residents of our city to realize their goal of homeownership.”

On Jan. 16, the city held its annual condo conversion lottery, in which 200 lucky TIC owners win the chance to convert their units into condos, thereby legally becoming homeowners. TICs and condo conversion have long been fraught with controversy in San Francisco, where there is never enough housing for everyone who wants it.

Condo conversion proponents say that turning a TIC — usually a building that used to be rental housing that has been purchased by a group of people that own it in common — into condos is a cheap way to become a homeowner in a city as expensive as San Francisco.

But tenants rights advocates have long opposed this process on the basis that it depletes the city of its rental housing stock. “When you have more condo conversions, you have more evictions, and it’s harmful to low-income residents” Gullicksen said.

This controversy, and the struggle to maintain a balance between opportunities for homeownership and reasonable rents has raged in San Francisco for years. In 1982, the Board of Supervisors passed a limit of 200 condo conversions per year as a compromise. There are no regulations, however, on converting rental housing to TICs.

“This has come up almost every single year for years and years about this time,” said Peter Cohen, organizer with the Council of Community Housing Organizations.

This year, however, proponents are not simply reiterating a request to bypass the condo conversion lottery. Plan C, a coalition of San Francisco moderates, is pushing for adding a fee to condo conversion, ranging from $10,000 to $25,000, which would go towards an affordable housing fund.

Mayor Lee said that he is open to considering a change in condo conversion policy, “providing it balances our need for revenue for affordable housing, the value that responsible homeownership brings to the city, and the rights of tenants who could be affected by a change in policy.”

 

WHOSE TRUST FUND?

This comes at a time when the city is facing a loss of millions per year for affordable housing with the dissolution of the redevelopment agency (see “Transfer of power, Jan. 31).

That dissolution led to Mayor Lee’s plan for an affordable housing trust fund, to be voted on as a ballot measure this November. The kick-off for that plan also began recently, with a press conference and big-tent meeting to discuss what it might look like.

On the day after the Land Use Committee meeting, where he started the conversation on “middle class” housing, Wiener posed a question to Lee at a Board of Supervisors meeting, asking how the mayor plans to “ensure that the housing trust fund that comes out of the process you have convened will meaningfully address the need for moderate/middle income housing.”

Some are concerned that too much of the trust fund could be allocated outside low-income demographics. “There’s a limited size pie of resources,” Cohen said. “Just in a matter of the last months, we lost the redevelopment agency. The city is madly scrambling to try to replace that through housing trust fund, and working to get us back to somewhere close to where we were…Is that pie, that has dramatically shrunk, going to be stretched further for another income band?”

That question will be important when the proposal goes to vote in November. According to Donaldson, many low-income homeowners will not vote for the measure unless it addresses their needs. The specifics of the measure calling for the trust fund are still being worked out. But, it will likely be funded by an increase of the transfer tax paid when homes change ownership.

Yet that proposal was the subject of an unusual political broadside from the San Francisco Association of Realtors, which last week sent out election-style mailers attacking the idea. “Brace yourself for an unexpected visit from the city’s tax collector,” the mailer warns, showing the hand of government bursting through the wall of a home, urging people to contact Lee’s office.

The measure may also see opposition from low-income communities, especially if, as Wiener has urged in the past week, it allocates a chunk of funds towards middle-income housing.

“It’s hard to find people who will support it. They’re saying, ‘what’s in it for me? Why would I vote for a transfer tax that I’m going to have to pay to help finance the building of affordable housing or middle-income housing. Why support programs that will support middle income people, who make more money than existing homewoners?” explained Donaldson. To agree on a way forward for housing in San Francisco, policymakers will need to reconcile a range of interests. In the worst-case scenario, the profit interests of realtors and developers will overtake the interests of San Francisco families struggling to continue to live in the city they love. But housing advocates are willing to work together to come to a solution. “Let’s put everything on the table, and let’s figure it out. In the spirit of cooperation, and with the understanding that each respective constituent group is not going to get everything that they want, but let’s put all the cards of the table,” said Donaldson.

Editor’s Notes

1

“San Francisco’s economy is moving in the right direction,” Mayor Ed Lee told the Examiner last week. “My economic development and job creation policies are setting San Francisco on a path toward economic recovery.”

The normally modest mayor is making a rather sweeping statement there — the US economy is improving in general, and I don’t think the mayor can take credit for all of it. But he’s absolutely correct that he’s promoted policies that are aimed at bringing more tech companies in to San Francisco, and over the next few years, they will no doubt create a lot of high-paid jobs for people with specific skills that require a high degree of training and education.

Is that “the right direction” for the city? I lived here the last time that San Francisco was part of a tech boom, and I’m not so sure.

See, bringing all sorts of new wealth into town sounds good on the surface, and for some people — particularly real-estate speculators, landlords and purveyors of high-end services — it is. But in a city that has limited space and nearly unlimited demand for housing, lots of new rich people and lots of high-paid people looking for places to live puts pressure on the existing residents, particularly the poor and the working class. It screws the middle class, too — if you’re a teacher or a nurse and you want to buy a house in San Francisco during a boom, you’re S.O.L. You can barely afford to rent — and if you’re already renting, you’re constantly at risk of losing your home, and your ability to live in this city, because your landlord can make more money kicking you out and selling the place as a tenancy in common to someone with more money.

There’s no way to build enough new affordable rental housing, or housing that middle-class families can buy, to keep up with the demand. It’s impossible. Developers won’t do that — there’s too much money to be made in high-end housing for anyone in the private marketplace to waste time on anything else.

The only way to preserve the middle class in the upcoming boom that Lee is promoting is to aggressively protect existing rental housing stock — which means preventing condo conversions and TICs and the stuff that gets promoted as “middle-class housing.” The only way to prevent massive displacement of people and existing businesses is to regulate space in the city more tightly than anyone has ever done — which will, by its nature, make it harder for the newcomers and new millionaires to find places to live.

That’s the tradeoff. That’s the fact that Lee and his allies don’t seem to want to grasp

Alerts

0

yael@sfbg.com

THURSDAY 12

Dinner for the 99 percent

Rebecca Solnit, author of A Paradise Built in Hell, will speak with her brother, long-time activist and OccupySF organizer David Solnit, about “hope, strategy and actions to build a better world.” A dinner featuring gluten-free spaghetti and real or tofu meatballs will be served. Following dinner, hosts will screen a documentary of the life and work of Martin Luther King Jr.. This event will raise money for the San Francisco 99% Coalition.

6 p.m., $10-20

Unitarian Universalist Center

1187 Franklin, SF

(415) 608-1585

www.occupysf.org/2012/01/09/spaghetti-dinner-for-the-99


FRIDAY 13

The shame of Guantanamo

Historian, journalist, and author of The Guantanamo Files, Andy Worthington, will join investigative reporter Jason Leopold for a “freewheeling interview” discussing the history of torture and illegal detention without accountability spanning the George W. Bush and Barack Obama presidencies. This event marks the 10-year anniversary of the opening of the Guantanamo Bay Prison.

Noon-2 p.m., free

Louis B. Mayer Lounge, UC Hastings College of the Law

198 McAllister, SF

www.andyworthington.co.uk


SATURDAY 14

Run on the banks

The Occupy Housing Coalition will demonstrate to protest evictions of renters for condo conversions in the Mission District. Join them to demand that Wells Fargo stop all pending evictions for profit.

Noon, free

16th and Mission, SF

www.occupysf.org/2012/01/07/run-on-the-banks-mission-district-january-14

 

SUNDAY 15

Mission community forum

For the first time, Occupy SF will hold its weekly community forum, a space to air general concerns and foster discussion, outside the Financial District. Come speak about topics specific to the Mission community, and discuss how to build a broad movement that “mirrors the diversity of San Francisco.”

6-8 p.m., free

Location TBA

Email Lisa Guide: lgru3221@gmail.com


MONDAY 16

MLK Day gathering

Celebrate the life of Martin Luther King Jr. and “call for a ceasefire in the streets” after a tragic year of 110 homicides in Oakland. A community gathering will include gospel, spoken word, drama, and time to talk with your neighbors.

10 a.m.-noon, free

Regeneration Church

238 E. 15th, Oakl

(510) 508-4888

www.regenerationweb.com/node/86

The Quezada memorial

0

It was standing room only, and not even much of that left, when I arrived at the memorial for community organizer and Mission District icon Eric Quezada Sept 25. “It is,” my friend Chri Cook noted, “as if the entire San Francisco left is here.”

Well, maybe not quite — but close. The auditorium at Horace Mann Middle School couldn’t hold the huge, diverse crowd that packed the downstairs and the balcony and flowed out the doors and into the halls. The speakers talked of Eric’s life — as an activist, a soccer player and a father  — but also, in a dramatic way, about the part of the Mission, the part that doesn’t live off tapas and $12 martinis on Valencia Street, a community that fought displacement in the dot-com era, that fights evictions and condo conversions and high-end housing developments every day, that supports artists and musicians and immigrants and working-class people … Eric Quezada’s Mission. Long may it live.

The family needs help with medical expenses — and also to help with the education of Eric’s daughter, Ixchel. Contributions can be made to the Ixchel Quezada education fund or mailed to 470 Columbus Ave., Suite 211, San Francisco, 94133. Checks should be made payable to Eric Quezada Memorial Fund. A fundraiser is being held at Jane Morrison’s home at 44 Woodland Ave. on Oct. 16 between 3 and 5 p.m.

Guardian forum: Everybody loves public power

114

The Guardian candidates’ forum was a blast — standing room only at the LGBT Center, a great, lively crowd, and most of the candidates for mayor showed up. Not Ed Lee, though — we invited him, but he was a no-show. That’s typical — he’s skipped the vast majority of the mayoral debates and events, and when he does show up, he leaves early.

We set out to pin the candidates down on five key issues that came out of the Guardian’s summer issues forums. Shaw San Liu, our moderator, forced the mayoral contenders to give us yes-or-no answers, and our all-star celebrity panel of answer analyzers (Sue Hestor, Corey Cook and Fernando Marti) weighed in and raised signs to tell us whether the candidate had said Yes, No, or Waffled.

The questions:

1. Will you support the creation of a municipal bank to offer access to credit to small business instead of relying on tax breaks for economic development?

 2. Will you support a freeze on condo conversions and the development of new market-rate condos until the city has a plan and the financing in place to meet the General Plan goal of 60 percent of all new units available at below market rate — and then index new market-rate housing to the creation of affordable units?

3. Do you have a viable plan to bring $250,000 a year in new revenue into the city to address the structural budget deficit?

4. Will you agree to opt out of the federal secure communities program and will you reverse Mayor Newsom’s policy and direct all local law-enforcement agencies not to cooperate with immigration authorities?

 5. Will you support a proposal to either buy out PG&E’s San Francisco facilities or build a new city grid through a bond act so that San Francisco will control its own energy distibution system?

Only John Avalos answered Yes to all five. But it was remarkable how many of the candidates supported most or all of the progressive agenda we’ve developed. Every single candidate voiced support for a municipal bank. And every one of them said Yes to buying out PG&E’s distribution system so the city could run it’s own electric utility.

They had a lot more trouble with the notion of a freeze on new market-rate housing and condo conversions, and not all of them could explain how they would bring in $250,000 in new revenue. But I give them all credit for showing up and facing the tough questions and saying that, for the most part, they wanted to promote a progressive agenda.

Here are the scores:

John Avalos: Y, Y, Y, Y, Y

David Chiu: Y, W, Y, Y, Y

Bevan Dufty: Y, N, Y, Y,Y

Dennis Herrera: Y, W, Y, Y, Y

Phil Ting: NA. NA, Y, Y, Y (He came late and missed the first two)

Joanna Rees: Y, N, N, Y, Y

Leland Yee: Y, W, W, Y, Y

Jeff Adachi: Y, W, Y, Y, Y

Terry Baum: Y, Y, N, Y, Y

So five waffles on housing policy; nobody wants to stand up and say that we’re building too much housing for the rich and that it has to stop until we catch up with affordable housing. (At least Dufty was honest and told us he doesn’t want to cut off TIC and condo conversions).

I’m waiting for the video and I’ll post it when I get it.

Endorsement interviews: Dennis Herrera

13

Dennis Herrera has an interesting challenge: as city attorney, he’s been barred by law, legal ethics and custom from taking stands on a lot of the legislative and political issues facing the city. He couldn’t, for example, say he opposes a law that he might later have to defend in court. But now that he’s running for mayor, he’s liberated himself, and he’s started to talk about specific challenges facing the city.

Herrera told us he thinks this is the most important mayor’s race in the past 20 years and said that local government is going to have to play more of a role taking care of things that the federal and state governments will no longer do. He talked about the “culture of an organization” and his experience running a large office. He said that the city can’t cut its way out of its budget problems and he supports “additional revenues,” including a higher real-estate transfer tax, a more progressive payroll tax and (possibly) a commercial rent tax.

He supports an affordable housing bond — but wouldn’t call for a moratorium on market-rate housing and condo conversions.

Video and complete audio are after the jump.

Herrera by endorsements2011

A new progressive agenda

56

Over the past three months, the Guardian has been hosting a series of forums on progressive issues for the mayor’s race. We’ve brought together a broad base of people from different communities and issue-based organizations all over town in an effort to draft a platform that would include a comprehensive progressive agenda for the next mayor. All told, more than 100 people participated.

It was, as far as we know, the first time anyone tried to do this — to come up with a mayoral platform not with a few people in a room but with a series of open forums designed for community participation.

The platform we’ve drafted isn’t perfect, and there are no doubt things that are left out. But our goal was to create a document that the voters could use to determine which candidates really deserve the progressive vote.

That’s a critical question, since nearly all of the top contenders are using the word “progressive” on a regular basis. They’re fighting for votes from the neighborhoods, the activists, the independent-minded people who share a vision for San Francisco that isn’t driven by big-business interests.

But those of us on what is broadly defined as the city’s left are looking for more than lip service and catchy phrases. We want to hear specifics; we want to know that the next mayor is serious about changing the direction of city policy.

The groups who endorsed this effort and helped plan the forums that led to this platform were the Harvey Milk LGBT Club, SEIU Local 1021, the San Francisco Tenants Union, the Human Services Network, the Community Congress 2010, the Council of Community Housing Organizations, San Francisco Rising, Jobs with Justice, and the Center for Political Education.

The panelists who led the discussions were: Shaw-san Liu, Calvin Welch, Fernando Marti, Gabriel Haaland, Brenda Barros, Debbi Lerman, Jenny Friedenbach, Sarah Shortt, Ted Gullicksen, Nick Pagoulatos, Sue Hestor, Sherilyn Adams, Angela Chan, David Campos, Mario Yedidia, Pecolio Mangio, Antonio Diaz, Alicia Garza, Aaron Peskin, Saul Bloom, and Tim Redmond.

We held five events looking at five broad policy areas — economy and jobs; land use, housing and tenants; budget and social services; immigration, education and youth; and environment, energy and climate change. Panelists and audience participants offered great ideas and the debates were lively.

The results are below — an outline of what the progressives in San Francisco want to see from their next mayor.

 

 

ECONOMY AND JOBS

Background: In the first decade of this century, San Francisco lost some 51,000 jobs, overwhelmingly in the private sector. When Gavin Newsom was sworn in as mayor in January 2004, unemployment was at 6.4 percent; when he left, in January 2011, it was at 9.5 percent — a 63 percent increase.

Clearly, part of the problem was the collapse of the national economy. But the failed Newsom Model only made things worse. His approach was based on the mistaken notion that if the city provided direct subsidies to private developers, new workers would flock to San Francisco. In fact, the fastest-growing sector of the local economy is the public sector, especially education and health care. Five of the 10 largest employers in San Francisco are public agencies.

Local economic development policy, which has been characterized by the destruction of the blue-collar sector in light industry and maritime uses (ironically, overwhelmingly privately owned) to free up land for new industries in business services and high tech sectors that have never actually appeared — or have been devastated by quickly repeating boom and bust cycle.

Instead of concentrating on our existing workforce and its incredible human capital, recent San Francisco mayors have sought to attract a new workforce.

The Mayor’s Office has, as a matter of policy, been destroying blue-collar jobs to promote residential development for people who work outside of the city.

There’s a huge disconnect between what many people earn and what they need. The minimum wage in San Francisco is $9.92, when the actual cost of living is closer to $20. Wage theft is far too common.

There is a lack of leadership, oversight and accountability in a number of city departments. For example, there is no officiating body or commission overseeing the work of the Office of Economic and Workforce Development. Similarly the Arts Commission, the chartered entity for overseeing cultural affairs, is responsible for less than 25 percent of the budget reserved for this purpose

There’s no accountability in the city to protect the most vulnerable people.

The city’s main business tax is highly regressive — it’s a flat tax on payroll but has so many exceptions and loopholes that only 8,500 businesses actually pay it, and many of the largest and richest outfits pay no city tax at all.

 

Agenda items:

1. Reform the Mayor’s Office of Economic and Workforce Development to create a department with workforce development as a primary objective. Work with the San Francisco Unified School District, City College and San Francisco State to create sustainable paths to training and employment.

2. Create a municipal bank that offers credit for locally developed small businesses instead of relying on tax breaks. As a first step, mandate that all city short-term funds and payroll accounts go only to banks or credit unions that will agree to devote a reasonable percentage of their local loan portfolios for small business loans.

3. Reform procurement to prioritize local ownership.

4. Link economic development of healthcare facilities to the economic development of surrounding communities.

5. Link overall approval of projects to a larger economic development policy that takes as its centerpiece the employment of current San Francisco residents.

6. Enforce city labor laws and fund the agency that enforces the laws.

7. Establish the Board of Supervisors as the policy board of a re-organized Redevelopment Agency and create community-based project area oversight committees.

8. Dramatically expand Muni in the southeast portion of the city and reconfigure routes to link neighborhoods without having to go through downtown. Put special emphasis on direct Muni routes to City College and San Francisco State.

9. Reform the payroll tax so all businesses share the burden and the largest pay their fair share.

10. Consolidate the city’s various arts entities into a single Department of Arts & Culture that includes as part of its mandate a clear directive to achieve maximum economic development through leveraging the city’s existing cultural assets and creative strengths and re-imagining San Francisco’s competitive position as a regional, national and international hub of creative thinking. Sponsor and promote signature arts programs and opportunities to attract and retain visitors who will generate maximum economic activity in the local economy; restore San Francisco’s community-based cultural economy by re-enacting the successful Neighborhood Arts Program; and leverage the current 1-2 percent for art fees on various on-site building projects to be directed towards non-construction-site arts activity.

 

 

LAND USE, HOUSING AND TENANTS

Background: Since the office market tanked, the big land-use issue has become market-rate housing. San Francisco is building housing for people who don’t live here — in significant part, for either very wealthy people who want a short-term pied a terre in the city or for commuters who work in Silicon Valley. The city’s own General Plan calls for 60 percent of all new housing to be below-market-rate — but the vast majority of the new housing that’s been constructed or is in the planning pipeline is high-end condos.

There’s no connection between the housing needs of city residents and the local workforce and the type of housing that’s being constructed. Family housing is in short supply and rental housing is being destroyed faster than it’s being built — a total of 21,000 rental units have been lost to condos and tenancies in common.

Public housing is getting demolished and rebuilt with 2500 fewer units. “Hotelization” is growing as housing units become transitory housing.

Planning has become an appendage of the Mayor’s Office of Economic Development, which has no commission, no public hearings and no community oversight.

Projects are getting approved with no connection to schools, transit or affordable housing.

There’s no monitoring of Ellis Act evictions.

Transit-oriented development is a big scam that doesn’t include equity or the needs of people who live in the areas slated for more development. Cities have incentives to create dense housing with no affordability. Communities of concern are right in the path of this “smart growth” — and there are no protections for the people who live there now.

Agenda items:

1. Re emphasize that the Planning Department is the lead land-use approval agency and that the Mayor’s Office of Economic and Workforce Development should not be used to short-circuit public participation in the process.

2. Enact a freeze on condo conversions and a freeze on the demolition of existing affordable rental housing.

3. Ban evictions if the use or occupation of the property will be for less than 30 days.

4. Index market-rate to affordable housing; slow down one when the other is too far ahead.

5. Disclose what level of permanent affordability is offered at each project.

6. Stabilize existing communities with community benefits agreements before new development is approved.

 

 

BUDGET AND SOCIAL SERVICES

Background: There have been profound cuts in the social safety net in San Francisco over the past decade. One third of the city’s shelter beds have been lost; six homeless centers have closed. Homeless mental health and substance abuse services have lost $32 million, and the health system has lost $33 million.

None of the budget proposals coming from the Mayor’s Office have even begun to address restoring the past cuts.

There’s not enough access to primary care for people in Healthy San Francisco.

Nonprofit contracts with the city are flat-funded, so there’s no room for increases in the cost of doing business.

The mayor has all the staff and the supervisors don’t have enough. The supervisors have the ability to add back budget items — but the mayor can then make unilateral cuts.

The wealthy in San Francisco have done very well under the Bush tax cuts and more than 14 billionaires live in this city. The gap between the rich and the poor, which is destroying the national economy, exists in San Francisco, too. But while city officials are taking a national lead on issues like the environment and civil rights, there is virtually no discussion at the policy level of using city policy to bring in revenue from those who can afford it and to equalize the wealth disparities right here in town.

Agenda items:

1. Establish as policy that San Francisco will step in where the state and federal government have left people behind — and that local taxation policy should reflect progressive values.

2. Make budget set-asides a budget floor rather than a percentage of the budget.

3. Examine what top city executives are paid.

4. Promote public power, public broadband and public cable as a way to bring the city millions of dollars.

5. Support progressive taxes that will bring in at least $250 million a year in permanent new revenue.

6. Change the City Charter to eliminate unilateral mid-year cuts by the mayor.

8. Pass a Charter amendment that: (a) Requires the development of a comprehensive long-term plan that sets the policies and strategies to guide the implementation of health and human services for San Francisco’s vulnerable residents over the next 10 years, and (b) creates a planning body with the responsibility and authority to develop the plan, monitor and evaluate its implementation, coordinate between policy makers and departments, and ensure that annual budgets are consistent with the plan.

9. Collect existing money better.

10. Enact a foreclosure transfer tax.

 

 

YOUTH, IMMIGRATION, AND EDUCATION

Background: In the past 10 years, San Francisco has lost 24,000 people ages 12-24. Among current youth, 5,800 live in poverty; 6,000 have no high school degree; 7,000 are not working or attending school; 1,200 are on adult probation.

A full 50 percent of public school students are not qualified for college studies. Too often, the outcome is dictated by race; school-to-prison is far too common.

Trust between immigrants and the police is a low point, particularly since former Mayor Gavin Newsom gutted the sanctuary ordinance in 2008 after anti-immigrant stories in the San Francisco Chronicle.

Some 70 percent of students depend on Muni, but the price of a youth pass just went from $10 to $21.

Agenda items:

1. Recognize that there’s a separate role for probation and immigration, and keep local law enforcement from joining or working with immigration enforcement.

2. Improve public transportation for education and prioritize free Muni for youth.

3. Create family-friendly affordable housing.

4. Restore the recreation direction for the Recreation and Parks Department.

5. Implement police training to treat youth with respect.

6. Don’t cut off benefits for youth who commit crimes.

7. Shift state re-alignment money from jails to education.

 

ENERGY, ENVIRONMENT AND CLIMATE CHANGE

Background: When it comes to land use, the laws on the books are pretty good. The General Plan is a good document. But those laws aren’t enforced. Big projects get changed by the project sponsor after they’re approved.

Land use is really about who will live here and who will vote. But on a policy level, it’s clear that the city doesn’t value the people who currently live here.

Climate change is going to affect San Francisco — people who live near toxic materials are at risk in floods and earthquakes.

San Francisco has a separate but unequal transportation system. Muni is designed to get people downtown, not around town — despite the fact that job growth isn’t happening downtown.

San Francisco has a deepwater port and could be the Silicon Valley of green shipping.

San Francisco has a remarkable opportunity to promote renewable energy, but that will never happen unless the city owns the distribution system.

 

Agenda items:

1. Promote the rebirth of heavy industry by turning the port into a center for green-shipping retrofits.

2. Public land should be for public benefit, and agencies that own or control that land should work with community-based planning efforts.

3. Planning should be for the community, not developers.

4. Energy efficiency programs should be targeted to disadvantaged communities.

5. Pay attention to the urban food revolution, encourage resident owned farmers markets. Use unused public land for local food and community gardens.

6. Provide complete information on what parts of the city are fill, and stop allowing development in areas that are going to be inundated with sea level rise.

7. Prioritize local distributed generation of electricity and public ownership of the power grid.

8. Change Clean Energy San Francisco from a purchasing pool system to a generating system.

The real Leland Yee

53

tredmond@sfbg.com

It’s early January 2011, and the Four Seas restaurant at Grant and Clay is packed. Everyone who is anyone in Chinatown is there — and for good reason. In a few days, the Board of Supervisors is expected to appoint the city’s first Asian mayor.

The rally is billed as a statement of support for Ed Lee, the mild-mannered bureaucrat and reluctant mayoral hopeful. But that’s not the entire — or even, perhaps, the central — agenda.

Rose Pak, who describes herself as a consultant to the Chinese Chamber of Commerce but who is more widely known as a Chinatown powerbroker, is the host of the event. She stands in front of the room, takes the microphone, and, in Cantonese, delivers a remarkable political speech.

According to people in the audience, she says, in essence, that the community has come out to celebrate and support Ed Lee — but that’s just the start. She also urges them not just to promote their candidate — but to do everything possible to prevent Leland Yee from becoming mayor.

She continues on for several minutes, lambasting Yee, the state Senator who lived in Chinatown as a child, accusing him of about every possible political sin — and turning the Lee rally into an anti-Yee crusade. And nobody in the crowd seems terribly surprised.

Across Chinatown, from the liberal nonprofits to the conservative Chamber of Commerce, there’s a palpable fear and distrust of the man who for years has been among San Francisco’s most prominent Asian politicians — and who, had Lee not changed his mind and decided to run for a full term this fall, was the odds-on favorite to become the city’s first elected Chinese mayor.

The reasons for that fear are complex and say a lot about the changing politics of Asian San Francisco, the power structure of a city where an old political machine is making a bold bid to recover its lucrative clout — and about the career of Yee himself.

Senator Leland Yee is a political puzzle. He’s a Chinese immigrant who has built a political base almost entirely outside of the traditional Chinatown community. He’s a politician who once represented a deeply conservative district, opposed tenant protections, voted against transgender health benefits and sided with Pacific Gas and Electric Co. on key environmental issues — and now has the support of some of the most progressive organizations in the city. He’s taken large sums of campaign money from some of the worst polluters in California, but gets high marks from the Sierra Club.

His roots are as a fiscal conservative — yet he’s been the only Democrat in Sacramento to reject budget compromises on the grounds that they required too many spending cuts.

He’s grown, changed, and developed his positions over time. Or he’s become an expert at political pandering, telling every group exactly what it wants to hear. He’s the best chance progressives have of keeping the corrupt old political machine out of City Hall — or he’s a chameleon who will be a nightmare for progressive San Francisco.

Or maybe he’s a little bit of all of that.

 

Leland Yin Yee was born in Taishan, a city in China’s Guangdong province on the South China Sea. The year was 1948; Mao Zedong’s Communist Party of China had taken control of much of the countryside and was moving rapidly to take the major cities. The nationalist army of General Chiang Kai-Shek was falling apart, and Yee’s father, who owned a store, decided it was time for the family to leave.

The Yees made it to Hong Kong, and since Mee G. Yee had previously lived in the United States and served in the U.S. Army during World War II, he was ultimately able to move the family to San Francisco. In 1951, the three-year-old Leland Yee arrived in Chinatown.

For four years, Yee lived with his sister and mother in a one-room apartment with a shared bathroom while his father worked as a sailor in the merchant marine. It was, Yee recalled in a recent interview, a tight, closed, and largely self-sufficient community.

“The movie theater, the shoe store, the barber shop, food — everything you needed you could get in Chinatown,” Yee said. “You never had to leave.”

Of course, after a while, Yee and his mom started to venture out, down Stockton Street to Market, where they’d shop at the Emporium, the venerable department store. “It was like walking into a different country,” he said. “If you didn’t know English, they didn’t have time for you.”

Yee, like a lot of young Chinese immigrants of his era, put much of his time into his studies — in the San Francisco public schools and in a local Chinese school. “My mom spoke a village dialect, and we had to learn Cantonese,” he said. “Every little kid had to go to Chinese school. We hated it.”

When Yee was eight, his parents managed to buy a four-unit building on Dolores Street, and the family moved to the Mission, where he would spend not only the rest of his childhood but much of his early adult life. He graduated from Mission High School, enrolled in City College, studied psychology and after two years won admission to UC Berkeley.

Berkeley in 1968 was a very different world from Chinatown and even the relatively controlled environment he’d experienced at home in the Mission. “You didn’t protest in school. You’d have been sent home, and your mother would kill you,” he said.

At Berekely, all hell was breaking loose, with the antiwar protests, the People’s Park demonstrations, the campaign to create a Third World College (which led to the first Ethnic Studies Department), and a general attitude of mistrust for authority. “I developed a sense of activism,” Yee said. “I realized I could speak out.”

That spirit quickly vanished when Yee lost faith in some of his fellow activists. “People would work with us, then get into positions of power and use that against you,” he recalled. “A lot of my friends said ‘forget it.’ I left the scene.”

Yee once again devoted his energy to school, earning a masters at San Francisco State University and a Ph.D in child psychology from the University of Hawaii. Along the way, he met his wife, Maxine.

With his new degree, the Yees moved back to San Francisco — and back in with his parents at the Dolores property, where he, Maxine and a family that would grow to four kids would live for more than a decade.

 

Yee worked as a child psychologist for the San Francisco Department of Public Health, starting the city’s first high school mental-health clinic. He went on to become a child psychologist at the Oakland Unified School District, then joined a nonprofit mental health program in San Jose.

In 1986, Yee decided to get active in politics for the first time since college, and ran for the San Francisco School Board. He lost — and that would be the only election he would ever lose. In 1988, he won a seat, and established himself as an advocate for students of color, fighting school closures in minority neighborhoods. He also tried to get the district to modify its harsh disciplinary rules, arguing against mandatory expulsions.

On fiscal issues, though, Yee was a conservative. For his first term, despite the brutal cutbacks of the recession of the late 1980s and early 1990s, he insisted that the district make do with the money it had. His solution to the red ink: Cut waste. Only in 1992, when he was up for re-election, did he acknowledge that the district needed more cash; at that point, he supported a statewide initiative to tax the rich to bring money to the schools.

The sense of fiscal conservatism — of holding the line on taxes, but mandating open and fair contracting procedures and tight financial controls — was a hallmark of much of his political career. When the Guardian endorsed him for re-election to the board in 1992, we wrote that “there’s real value in his continuing vigilance against administrative fat and favoritism in contracts.”

Over the next four years, Yee worked with then-Superintendent Waldemar “Bill” Rojas, a deeply polarizing figure who pushed his own personal theory of “reconstitution” — firing all the staff at low-performing schools — and later was enmeshed in a scandal that led to prison time for a contractor he’d hired. Yee told me he was the only board member to vote against hiring Rojas, but people who were watching the board closely back then say he didn’t always stand up to the superintendent.

He also became what some say was a bit too close with Tim Tronson, a consultant hired by the district as a $1,000-a-day facilities consultant. Tronson wound up getting indicted on 22 counts of grand theft, embezzlement, and conspiracy in a scheme to steal $850,000 from the schools, and was sentenced to four years in state prison.

In 1998, when some school board members wanted to build housing for teachers on property that the district owned in the Sunset, Yee led the opposition — with Tronson’s help. At one meeting at Sunset Elementary School, Yee went so far as to say, according to people present, that “Tim Tronson is my man, and I rely on him for advice.”

Yee acknowledged that he worked closely with Tronson to defeat that housing project. “He was the facilities manager,” Yee explained, “and I said that I trusted his judgment.”

 

Yee has either a great sense of political timing or exceptional luck. He ran for the Board of Supervisors in 1996, facing one of the weakest fields in modern San Francisco history. He was the only Chinese candidate and one of just two Asians (the other, appointed incumbent Michael Yaki, barely squeaked to re-election). In an at at-large election with the top five winning seats, Yee came in third, with 103,000 votes.

He was never a progressive supervisor. In 2000, the Guardian ranked the good votes of what we referred to as Willie Brown’s Board, and Yee scored only 43 percent. He was against campaign finance reform. He supported the brutal gentrification and community displacement represented by the Bryant Square development. He voted to kill a public-power feasibility study and opposed the Municipal Utility District initiative. He opposed a moratorium on uncontrolled live-work development.

In 2002, Yee was one of only three supervisors to oppose Proposition D, a crucial public-power measure that would have broken up PG&E’s monopoly in the city. He stood with PG&E (and then-Sups. Tony Hall and Gavin Newsom) in opposition to the measure, then signed a pro-PG&E ballot argument packed with PG&E lies.

When I asked him about that stand, Yee at first didn’t recall opposing Prop. D, but then said he “stood with labor” on the issue. In fact, the progressive unions didn’t oppose Prop. D at all; the opposition was led by PG&E’s house union, IBEW Local 1245.

Yee was particularly bad on tenant issues. He not only voted to deny city funding for the Eviction Defense Collaborative, which helped low-income tenants fight evictions; he actually tried to get the city to put up money for a free legal fund to help landlords evict their tenants. He opposed a ballot measure limiting condo conversions. He opposed a measure to limit the ability of landlords to pass improvement costs on to their tenants.

In 2001, Yee voted to uphold a Willie Brown veto of legislation to limit tenancies in common, a backdoor way to get around the city’s condo conversion ordinance. Only Hall and Newsom, then the most conservative supervisors on the board, joined Yee. At one point, he started asking whether the city should consider repealing rent control.

He opposed an affordable housing bond in 2002, joining the big landlord groups in arguing that it would raise property taxes. Every tenant group in town supported the measure, Proposition B; every landlord group opposed it.

I asked Yee about his tenant record, and he told me that he now supports rent control. But he said that he was always on the side of homeowners and small landlords, and that property ownership was central to Chinese culture. “I was responding to the Chinese community and the West Side,” he said.

He wasn’t much of an environmentalist, either — at least not in today’s terms. He was one of the only city officials to support a “Critical Car” rally in 1999, aimed at promoting the rights of vehicle drivers (and by implication, criticizing Critical Mass and the bicycle movement).

His record on LGBT issues was mixed. While he supported a counseling program for queer youth when he was on the school board, he also supported JROTC, angering queer leaders who didn’t want a program in the public schools run by, and used as a recruiting tool for, the military, which at that point open discriminated against gay and lesbian people.

 

 

Yee was also one of only two supervisors who voted in 2001 against extending city health benefits to transgender employees.

That was a dramatic moment in local politics. Nine votes were needed to pass the measure, and while eight of the supervisors were in favor, Yee and Hall balked. At one point, Board President Tom Ammiano had to direct the Sheriff’s Office to go roust Sup. Gerardo Sandoval, who was ducking the issue in his office, to provide the crucial ninth vote.

Yee didn’t just vote against the bill. According to one reliable source who was there at the time, Yee spoke to a community meeting out on Ulloa Street in the Sunset and berated his colleagues, quipping that the city should have better things to do than “spend taxpayer money on sex-change operations.”

It was a bit shocking to trans people — Yee had, over the years, befriended some of the most marginalized members of what was already a marginalized community. “There was one person at the rail crying, saying ‘Leland, how could you do this to us,'” Ammiano recalled.

The LGBT community was furious with Yee. “I didn’t speak to him for at least a year,” Gabriel Haaland, one of the city’s most prominent transgender activists, told me.

Yee now says the vote was a mistake — but at the time, he told me, he was under immense pressure. When he voted for the queer youth program, he said, “the elders of the Chinese community ripped me apart. They called my mother’s friends back in the village [where he was born] and said her son was embarrassing the Chinese community.”

That must have been difficult — and he said that “if I had known the pain I had caused, I wouldn’t have voted that way.” But it was hard to miss that pain his vote caused.

On the other hand, people learn from their experiences, attitudes evolve, we all grow up and get smarter, and the way Yee describes it, that’s what happened to him.

In 2006, when he was running for state Senate, Yee met with a group of trans leaders and formally — many now say sincerely — apologized. It was an important gesture that made a lot of his critics feel better about him.

“He didn’t have to do that,” Haaland said. “People change, and he paid for his crime, and that’s genuine enough for me.”

As a former school board member, Yee kept an interest in the schools — but not always a healthy one. At one point, he actually proposed splitting SFUSD into two districts, one on the (poorer) east side of town and one on the (richer) west. “We strongly opposed that,” recalled Margaret Brodkin, who at the time ran Coleman Advocates for Children and Youth. “Eventually he dropped the idea.”

For all the problems, in his time on the Board of Supervisors, Yee developed a reputation for independence from the Brown Machine, which utterly dominated much of city politics in the late 1990s. His weak 43 percent rating on the Guardian scorecard was actually third-best among the supervisors, after Ammiano and the late Sue Bierman.

In 1998, he was one of the leaders in a battle to prevent the owners of Sutro Tower from defying the city’s zoning administrator and placing hundreds of new antennas on Sutro Tower. He, Bierman, and Ammiano were the only supervisors opposing Brown’s crackdown on homeless people in Union Square.

When he ran in the first district elections, in 2000, against two opponents who had Brown’s support and big downtown money, the Guardian endorsed him, noting that while he “can’t be counted on to support worthy legislation … He’s one of only two board members who regularly buck the mayor on the big issues.”

(He never liked district elections, and used to take any opportunity to denounce the system, at times forcing Ammiano to use his position as president to tell Yee to quit dissing the electoral process and get to the point of his speech.)

 

In 2002, the westside state Assembly district seat opened up, and both Yee and his former school board colleague Dan Kelly ran in the Democratic primary. Yee won, and went on to win the general election with only token opposition.

His legislative record in the Assembly wasn’t terribly distinguished. Yee never chaired a policy committee — although he did win a leadership post as speaker pro tem. And he cast some surprisingly bad votes.

In 2003, for example, then-Assemblymember Mark Leno introduced a bill that would have exempted single-room occupancy hotels from the Ellis Act, which allows landlords to evict tenants for no reason. Yee refused to vote for the bill. Leno was furious — he was one vote short of a majority and Yee’s position would have doomed the bill. At the last minute, a conservative Republican who had grown up in an SRO hotel voted in favor.

When he ran for re-election in 2004, we noted: “What’s Leland Yee doing up in Sacramento? We can’t figure it out — and neither, as far as we can tell, can his colleagues or constituents. He’s introduced almost no significant bills — compared, for example, to Assemblymember Mark Leno’s record, Yee’s is an embarrassment. The only high-profile thing he’s done in the past several years is introduce a bill to urge state and local governments to allow feng shui principles in building codes.”

In 2006, Yee decided to move up to the state Senate, and he won handily, beating a weak opponent (San Mateo County Supervisor and former San Francisco cop Mike Nevin) by almost 2-1. His productivity increased significantly in the upper chamber — and in some ways, he moved to the left. He’s begun to support taxes — particularly, an oil severance tax — and when I’ve questioned him, he somewhat grudgingly admits that Prop. 13 deserves review.

He’s done some awful stuff, like trying to sell off the Cow Palace land to private developers. But he has consistently been one of the best voices in the Legislature on open government, and that’s brought him some national attention.

Yee has been a harsh critic of spending practices and secrecy at the University of California, and when UC Stanislaus refused in 2010 to release the documents that would show how much the school was paying Sarah Palin to speak at a fundraiser, Leland flew into action. He not only blasted the university and introduced legislation to force university foundations to abide by sunshine laws; he worked with two Stanislaus students who had found the contract in a dumpster and made headlines all over the country.

He’s fought for student free speech rights and this year pushed a bill mandating that corporations that get tax breaks for job creation prove that they’ve actually created jobs — or pay the tax money back. He’s also won immense plaudits from youth advocates and criminal justice reformers for his bill that would end life-without-parole sentences for offenders under 18.

Along the way, he compiled a 100 percent voting record from the major labor unions, including the California Nurses Association and SEIU, and with the Sierra Club. All three organizations have endorsed him for mayor.

Yee told me that he thinks he’s become more progressive over the years. “My philosophy has shifted,” he said.

Yet when you talk to his colleagues in Sacramento, including Democrats, they aren’t always happy with him. Yee has a tendency to be a bit of a loner — he’s never chaired a policy committee and in some of the most bitter budget fights, he’s refused to go along with the Democratic majority. Yee insists that he’s taken principled stands, declining to vote for budget bills that include deep service cuts. But the reality in Sacramento is that budget bills have until this year required a two-thirds vote, meaning two or three Republicans have had to accept the deal — and losing a Democratic vote has its cost.

“You have to give up all sorts of things, make terrible compromises, to get even two Republicans,” one legislative insider told me. “When a Democrat goes south, you have to find another Republican, and give up even more.”

In other words: It’s easy to take a principled stand, and make a lot of liberal constituencies happy, when you aren’t really trying to make the state budget work.

 

I met Rose Pak on a July afternoon at the Chinatown Hilton. She brought along her own loose tea, in a paper package; the waitress, who clearly knew the drill, took it back to the kitchen to brew. Pak and I have not been on the greatest of terms; she’s called the Guardian all kinds of names, and I’ve had my share of critical things to say about her. But on this day, she was polite and even at times charming.

After we got the niceties out of the way (she told me I was unfair to her, and I told her I didn’t like the way she and Willie Brown played politics), we started talking about Yee. And Pak (unlike some people I interviewed for this story) was happy to speak on the record.

She told me Yee had “no moral character.” She told me she couldn’t trust him. She told me a lot of stories and made a lot of allegations that we both knew neither she nor I could ever prove.

Then we got to talking about the politics of Chinatown and Asians in San Francisco, and a lot of the animosity toward Yee became more clear.

For decades, Chinatown and the institutions and people who live and work there have been the political center of the Chinese community. Nonprofits like the Chinatown Community Development Center have trained several generations of community organizers and leaders. The Chinese Chamber of Commerce, the Six Companies, and other business groups have represented the interests of Chinese merchants. And while the various players don’t always get along, there’s a sense of shared political culture.

“In Chinatown,” Gordon Chin, CCDC’s director, likes to say, “it’s all about personal connections.”

There’s a lively infrastructure of community-service programs, some of which get city money. There’s also a sense that any mayor or supervisor who wants to work with the Chinese community needs to at least touch base with the Chinatown establishment.

Yee doesn’t do that. “He doesn’t give a shit about them,” David Looman, a political consultant who has worked with many Chinese candidates over the years, told me.

Yee’s Asian political base is outside of Chinatown; he told me he sees himself representing more of the Chinese population of the Sunset and Richmond and the growing Asian community in Visitacion Valley and Bayview.

Pak is connected closely to Brown, who Yee often clashed with. For Pak, Brown, and their allies, strong connections to City Hall mean lucrative lobbying deals and public attention to the needs of Chinatown businesses. Then there’s the nonprofit sector.

CCDC and other nonprofits do important, sometimes crucial work, building and maintaining affordable housing, taking care of seniors, fighting for workers rights, and protecting the community safety net. Yee, Pak said, “has never shown any interest in our local nonprofits. We all work together here, and he doesn’t seem to care what we do.” Yee told me he has no desire to see funding cut for any critical social services in any part of town. But he has also made no secret of the fact that he questions the current model of delivering city services through a large network of nonprofits, some of which get millions of taxpayer dollars. And the way Pak sees it, all of that — the nonprofits, the business benefits, the contracts — are all at risk. “If Leland Yee is elected mayor,” she told me, “we are all dead.”

I ran into an old San Francisco political figure the other day, a man who has been around since the 1970s, inside and outside of City Hall, who remains an astute observer of the players and the power relationships in the local scene. At the time we talked, he wasn’t supporting any of the mayoral candidates, but he had a thought for me. “This town,” he said, “is being taken over by a syndicate. Willie Brown is the CEO, and Rose Pak is the COO, and it’s all about money and influence.”

That’s not a pleasant thought — I’ve lived through the era of political machine dominance in this town, and it was awful. In the days when Brown ran San Francisco, politics was a tightly controlled operation; only a small number of people managed to get elected to office without the support of the machine. Developers made land-use policy; gentrification and displacement were rampant; corruption at City Hall turned a lot of San Franciscans off, not only to the political process but to the whole notion that government could be a positive force in society.

A few years ago, I thought those days were over — and to a certain extent, district elections will always make machine politics more difficult. But when I see signs of the syndicate popping up — and I see a candidate like Ed Lee, who’s close friends with Brown, leading the Mayor’s Race — it makes me nervous. And for all his obvious flaws, at least Leland Yee isn’t part of that particular operation. If there’s a better reason to vote for him, I don’t know what it is.

YEE HOME PURCHASE RAISES SUSPICIONS

Rose Pak has a question about Leland Yee. “How,” she asked me, “did the guy manage to buy a million-dollar house on a $30,000 City Hall salary?”

Pak isn’t the only one asking — numerous media reports over the years have examined how Yee raised a family of four and bought a house in the Sunset on very little visible income. And while I’m not usually that interested in the personal finances of political candidates, I decided that it was worth a look.

Here’s what I found: Public records show that in July 1999, Yee and his wife, Maxine, purchased a house on 24th Avenue for $875,000 (it’s now assessed at slightly more than $1 million). At the time, Yee was a San Francisco supervisor, earning a little more than $30,000 a year. (The salary of the supervisors was raised dramatically shortly after Yee left the board and went to the state Assembly.) His wife wasn’t working. And his economic interest statements for that period show no other outside earnings. So the disposable, after-tax income of the entire Yee family couldn’t have been much more than $25,000.

That, by any normal standard, shouldn’t have been enough to float a mortgage that, records show, totaled $516,000. In fact, the interest payments alone on that mortgage alone would total $3,600 a month — more than Yee’s gross income.

Documents in the Assessor’s Office show another paper trail, too. In 1989, Jung H. Lee, Yee’s mother, transferred the deed on a four-unit Dolores St. building where the family had been living to Maxine and Leland Yee — for no money. And a few months before the Yees bought the Sunset house, they took out a $320,000 home-equity loan on that property. That was the down payment on the Sunset property.

Still: At that point, the Yees would have been paying off two mortgages, with a total nut of about $5,000 a month — and supporting four kids, in San Francisco. In 2002, Yee’s economic interest statement’s show some modest income from teaching at Lincoln University — but nowhere near enough to pay that level of expenses.

What happened? Yee explains it this way: “For more than 10 years, we were living rent-free in my parents’ property,” he told me I an interview. “We were a close Chinese family, and my parents provided the food and helped pay for the children’s clothing. So we had almost no expenses and we lived very frugally.”

During that period, Yee was working for the San Francisco Department of Public Health, the Oakland Unified School District, and a San Jose nonprofit, earning, he said, between $50,000 and $90,000 a year. If he saved almost all of that money, he would have had more than a half-million dollars in the bank when he bought the Sunset house.

There’s nothing on any of his economic disclosure forms showing any ownership of stocks or other reportable financial interests during that period, so he wasn’t investing the money. In fact, he says, it was, and is, all in simple savings accounts. A bit unusual for that large a sum of money.

How did he get a mortgage? “Back then,” he said, “banks were willing to lend a lot more freely than they do today.”

Starting in 2003, Yee was in the state Assembly, making a higher salary — but still not much in excess of $100,000 a year. After taxes, he was probably taking home about $75,000 — and $60,000 was going to the two mortgages.

How did he do it? “We have been supplementing our income with our savings,” he said. “We don’t take vacations, we are very careful with our money.” And they clearly aren’t desperate for cash — Yee’s daughter occupies two of the four units in the Dolores St. building they own, but the other two units are vacant.

It’s possible. It’s plausible. But I don’t blame people for wondering how he managed to pull it off. (Tim Redmond, with research assistance by Oona Robertson) 

 

 

 

BIG CORPORATIONS HAVE BACKED YEE

Yee became a prodigious fundraiser in Sacramento — and a lot of the money came from big corporations that had business in the Legislature. And while he has perfect scores from the Sierra Club and the big labor unions, he’s taken tens of thousands of dollars from some of the biggest corporations, agribusiness interests, and polluters in the state. And at times, he’s voted their way.

Since 1993, for example, campaign finance records show Yee has taken more than $20,000 from Chevron, ExxonMobil, Valero, Conoco Phillips, and BP. He’s received another $22,450 from the chemical industry (and industry employees). Most of it came from Clorox, Dow Chemical, and Dupont.

And while the Sierra Club may not have considered it a priority, Sen. Mark Leno has worked hard to pass a bill limiting chemical fire retardants in furniture. In 2008, Yee voted against Leno’s AB 706.

That year he also refused to support a bill that would prohibit the use of the chemical diacetyl in workplaces. The industries that opposed AB 514 (including Bayer, Abbott Laboratories, Pfizer, and Johnson & Johnson) have given Yee a total of more than $60,000.

In 2003, Yee voted against a crucial tenant bill, one that would have prevented the owners of single room occupancy hotels from using the Ellis Act to evict tenants. He received a campaign check for $2,500 from the San Francisco Apartment Association the next day. Landlords in general have given Yee close to $40,000.

Then there’s agribusiness. Yee gets a lot of money from the farming industry, despite the fact that there obviously aren’t many farms in his district. Why, for example, would the California Poultry Association, the California Cattlemen’s Association, and the California Farm Bureau give him money? The Poultry Association’s Bill Mattos told us that Yee “has taken a keen interest in California’s poultry industry.”

Yee also took immense flak from the San Francisco Chronicle and other papers over a 2003 vote against a bill to limit emissions from farm vehicles. In an editorial, the paper wrote that he was “doing dirty work for the lobbyists.” In the end, under immense public pressure, he switched positions and voted for the bill. I asked Yee about all that money from all those bad operators, and he told me — as most politicians will — that campaign cash has never influenced any of his votes.

So why do all these groups give him money? “It’s about whether you will sit down and listen,” Yee said. “I will talk to all sides and at least consider the arguments as a thoughtful human being. Then I vote my conscience.” (Tim Redmond, with research by Oona Robertson) 

The mayor’s race: beyond compromise

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EDITORIAL The race for mayor is now fully underway, with eight candidates declared — and at least four are fighting for the progressive vote. It’s a remarkably open field — and the fact that there’s no clear frontrunner, no candidate whose money is dominating the election, no Willie Brown or Gavin Newsom, is the result of two critical progressive reforms: public financing and ranked-choice voting.

In fact, those two measures — promoted by the progressive, district-elected supervisors — have transformed the electoral process in San Francisco and undermined, if only somewhat, downtown’s control.

As Steven T. Jones points out in this week’s issue, the leading candidates are all sounding similar, vague themes. They all say the city can work better when we all work together. That’s a nice platitude, but it reminds us too much of President Obama’s promise to seek bipartisan consensus, and it’s likely to lead to the same result.

On the big issues, the Republicans don’t want to work with the president, and big downtown businesses, developers, and landlords don’t want to work with the progressives. In the end, on some key issues, there’s going to be a battle, and candidates for mayor need to let us know, soon, which side they’re going to be on.

Sup. David Chiu, who entered the race Feb. 28, may have the hardest job: he actually has to help balance the city budget. As board president, he’ll be involved in the negotiations with the Mayor’s Office and the final product will almost certainly carry his imprimatur. It’s unlikely the progressives on the board will agree with the mayor on cuts; it’s much more likely that some will seek revenue enhancements as an alternative. Whatever Chiu does, he’ll be on the record with a visible statement of his budget priorities.

We’d like to hear those priorities now, instead of waiting until June. But either way, the remaining candidates, particularly those who want progressive and neighborhood support, need to start taking positions, now. What in the city budget should be cut? What new revenue should be part of the solution? What, specifically, do you support in terms of pension reform? How would you, as mayor, deal with the budget crisis?

Every major candidate in the race has enough familiarity with city finance to answer those questions. None should be allowed to duck or resort to empty rhetoric about everyone working together.

The same goes for community choice aggregation and public power. There is no consensus here, and will never be. Either you’re for public power and against Pacific Gas and Electric Co., or you’re opposed, weak, or ducking — all of which put you in PG&E’s camp.

There are many more issues (condo conversions, tax breaks for big corporations, housing development, help for small business, etc.) on which there has never been, and likely never will be, agreement. The people who make money building new condos will never accept a law mandating that 50 percent of all new housing be affordable (although the city’s own Master Plan sets that as a goal). The landlords will never accept more limits on evictions and condo conversions.

We’re all for working together and seeking shared solutions, but the next mayor needs to be able to go beyond that. When the powerful interests refuse to bend, are you ready to fight them?

Editorial: The mayor’s race: beyond compromise

0

 

The litmus test issue: Either you’re for public power and against Pacific Gas and Electric Co., or you’re opposed, weak, or ducking — all of which put you in PG&E’s camp.

The race for mayor is now fully underway, with eight candidates declared — and at least four are fighting for the progressive vote. It’s a remarkably open field — and the fact that there’s no clear frontrunner, no candidate whose money is dominating the election, no Willie Brown or Gavin Newsom, is the result of two critical progressive reforms: public financing and ranked-choice voting.

In fact, those two measures — promoted by the progressive, district-elected supervisors — have transformed the electoral process in San Francisco and undermined, if only somewhat, downtown’s control.

As Steven T. Jones points out on page 11, the leading candidates are all sounding similar, vague themes. They all say the city can work better when we all work together. That’s a nice platitude, but it reminds us too much of President Obama’s promise to seek bipartisan consensus, and it’s likely to lead to the same result.

On the big issues, the Republicans don’t want to work with the president, and big downtown businesses, developers, and landlords don’t want to work with the progressives. In the end, on some key issues, there’s going to be a battle, and candidates for mayor need to let us know, soon, which side they’re going to be on.

Sup. David Chiu, who entered the race Feb. 28, may have the hardest job: he actually has to help balance the city budget. As board president, he’ll be involved in the negotiations with the Mayor’s Office and the final product will almost certainly carry his imprimatur. It’s unlikely the progressives on the board will agree with the mayor on cuts; it’s much more likely that some will seek revenue enhancements as an alternative. Whatever Chiu does, he’ll be on the record with a visible statement of his budget priorities.

We’d like to hear those priorities now, instead of waiting until June. But either way, the remaining candidates, particularly those who want progressive and neighborhood support, need to start taking positions, now. What in the city budget should be cut? What new revenue should be part of the solution? What, specifically, do you support in terms of pension reform? How would you, as mayor, deal with the budget crisis?

Every major candidate in the race has enough familiarity with city finance to answer those questions. None should be allowed to duck or resort to empty rhetoric about everyone working together.

The same goes for community choice aggregation and public power. There is no consensus here, and will never be. Either you’re for public power and against Pacific Gas and Electric Co., or you’re opposed, weak, or ducking — all of which put you in PG&E’s camp.

There are many more issues (condo conversions, tax breaks for big corporations, housing development, help for small business, etc.) on which there has never been, and likely never will be, agreement. The people who make money building new condos will never accept a law mandating that 50 percent of all new housing be affordable (although the city’s own Master Plan sets that as a goal). The landlords will never accept more limits on evictions and condo conversions.

We’re all for working together and seeking shared solutions, but the next mayor needs to be able to go beyond that. When the powerful interests refuse to bend, are you ready to fight them?

 

Meet the new boss

3

news@sfbg.com

The Guardian hasn’t been invited into City Hall’s Room 200 for a long time. Former Mayor Gavin Newsom, who frequently criticized this newspaper in his public statements, had a tendency to freeze out his critics, adopting a supercilious and vinegary attitude toward any members of the press who questioned his policy decisions. So it was almost surreal when a smiling Mayor Ed Lee cordially welcomed two Guardian reporters into his stately office Feb. 15.

Lee says he plans to open his office to a broader cross-section of the community, a move he described as a way of including those who previously felt left out. Other changes have come, too. He’s replaced Newsom’s press secretary, Tony Winnicker, with Christine Falvey, former communications director at the Department of Public Works (DPW). He’s filled the Mayor’s Office with greenery, including giant tropical plants that exude a calming green aura, in stark contrast to Newsom — whose own Room 200 was sterile and self-aggrandizing, including a portrait of Robert Kennedy, in whose footsteps Newsom repeatedly claimed to walk.

When it comes to policy issues, however, some expect to see little more than business-as-usual in the Mayor’s Office. Democratic Party chair Aaron Peskin, a progressive stalwart, said he sees no substantive changes between the new mayor and his predecessor. “It seems to me that the new administration is carrying forward the policies of the former administration,” Peskin said. “I see no demonstrable change. And that makes sense. Lee was Willie Brown and former Mayor Gavin Newsom’s handpicked successor. So he’s dancing with the guys that brought him in.”

Sup. David Campos, viewed as part of the city’s progressive camp along with Peskin, took a more diplomatic tack. “So far I’ve been very pleased with what I’ve seen,” Campos noted. “I really appreciate that he’s reached out to the community-based organizations and come out to my district and done merchant walks. I think we have to wait to see what he does on specific policy issues.”

But while Lee has already garnered a reputation for being stylistically worlds apart from Newsom, he still hews close to his predecessor’s policies in some key areas. In our interview, Lee expressed an unwillingness to consider tax-revenue measures for now, but said he was willing to take condo conversions into consideration as a way to bring in cash. He was unenthusiastic about community choice aggregation and dismissive of replacing Pacific Gas & Electric Co. with a public-power system. He hasn’t committed to overturning the pending eviction of the Haight Ashbury Neighborhood Council’s recycling center, and he continued to argue for expanding Recology’s monopoly on the city’s $206 million annual trash stream, despite a recent Budget and Legislative Analyst’ report that recommended putting the issue to the voters.

Public Defender Jeff Adachi, who met Lee in 1980 through the Asian Law Caucus, said Lee would be facing steep challenges. “It’s a fascinating political karmic outcome that he is now our appointed mayor. He didn’t seek it out, as he says, but the opportunity he has now is to focus his efforts on fixing some of the problems that have gone unaddressed for decades, pension reform being one of them. I think he realizes he has a limited time to achieve things of value. The question I and others have is, can he do it?”

 

THE RELUCTANT MAYOR

Lee identified as a non-politician, patently rejecting the notion that he would enter the race for mayor. In meetings with members of the Board of Supervisors at the end of 2010, he said he didn’t want the job.

Yet while vacationing in Hong Kong, Lee became the subject of a full-court press. “When the lobbying and phone calls started … clearly they meant a lot to me,” Lee told us, adding that the choice “was very heavy on my mind.” He finally relented, accepting the city’s top post.

Although rumors had been circulating that Lee might seek a full term, he told the Guardian he’s serious about serving as a caretaker mayor. “If I’m going to thrust all my energy into this, I don’t need to have to deal with … a campaign to run for mayor.”

Adachi offered an interesting take on Lee as caretaker: “Somewhere along the way, [Lee] became known as the go-to guy in government who could take care of problems,” Adachi said, “like the Wolf in Pulp Fiction.”

Sounding rather unlike Harvey Keitel’s tough-talking character, Lee noted, “One of my goals is to rebuild the trust between the Mayor’s Office and the Board of Supervisors. I think I can do that by being consistent with the promises I make.”

Lee’s vows to keep his promises, mend rifts with the board, and stay focused on the job could be interpreted as statements intended to set him apart from Newsom, who was frequently criticized for being disengaged during his runs for higher office, provoking skirmishes with the board, and going back on his word.

The new mayor also said he’d be willing to share his working calendar with the public, something Newsom resisted for years. Kimo Crossman, a sunshine advocate who was part of a group that began submitting requests for Newsom’s calendar in 2006, greeted this news with a wait-and-see attitude. “I’ve already put in a request,” Crossman said. “Politicians are always in support of sunshine — until they have to comply with it.”

 

THE ELEPHANT IN THE ROOM

Pointing to the tropical elephant-ear plants adorning his office, Lee noted that elephants are considered lucky in Chinese culture. With the monstrous issues of pension reform and a gaping budget deficit hitting his mayoral term like twin tornadoes, it might not hurt to have some extra luck.

Pension reform is emerging as the issue du jour in City Hall. A round of talks on how to turn the tide on rising pension costs has brought labor representatives, Sup. Sean Elsbernd, billionaire Warren Hellman, City Attorney Dennis Herrera, labor leaders, and others to the table as part of a working group.

Gabriel Haaland, who works for SEIU Local 1021, sounded a positive note on Lee. “He’s an extraordinarily knowledgeable guy about government. He seems to have a very collaborative working style and approach to problem-solving, and he is respectful of differing opinions,” Haaland said. “Where is it going to take us? I don’t know yet.”

Lee emphasized his desire to bring many stakeholders together to facilitate agreement. “We’re talking about everything from limiting pensionable salaries, to fixing loopholes, to dealing with what kinds of plans we can afford in the health care arena,” he noted. Lee said the group had hashed out 15 proposals so far, which will be vetted by the Controller’s Office.

A central focus, Lee said, has been “whether we’ve come to a time to recognize that we have to cap pensions.” That could mean capping a pension itself, he said, or limiting how much of an employee’s salary can be counted toward his or her pension.

Since Lee plans to resume his post as city administrator once his mayoral term has ended, he added a personal note: “I want to go back to my old job, do that for five years, and have a pension that is respectable,” he said. “At the same time, I feel others who’ve worked with me deserve a pension. I don’t want it threatened by the instability we’re headed toward and the insolvency we’re headed toward.”

 

BRACING FOR THE BUDGET

If pension reform is shaping up to be the No. 1 challenge of Lee’s administration, tackling the city budget is a close second. When Newsom left office, he passed Lee a budget memo containing instructions for a 2.5 percent reduction in most city departments, part of an overarching plan to shave 10 percent from all departments plus another 10 percent in contingency cuts, making for a bruising 20 percent.

Lee said his budget strategy is to try to avert what Sup. David Chiu once characterized as “the typical Kabuki-style budget process” that has pitted progressives against the mayor in years past. That means sitting down with stakeholders early.

“I have opened the door of this office to a number of community groups that had expressed a lot of historical frustration in not being able to express to the mayor what they feel the priorities of their communities are,” Lee said. “I’ve done that in conjunction with members of the Board of Supervisors, who also felt that they weren’t involved from the beginning.”

Affordable-housing advocate Calvin Welch said Lee’s style is a dramatic change. “I think he’s probably equaled the total number of people he’s met in six weeks with the number that Newsom met in his seven years as mayor,” Welch said.

Sup. Carmen Chu, recently installed as chair of the Budget & Finance Committee, predicted that the budget will still be hard to balance. “We are still grappling with a $380 million deficit,” Chu told us, noting that there are some positive economic signs ahead, but no reason to expect a dramatic improvement. “We’re been told that there is $14 million in better news. But we still have the state budget to contend with, and who knows what that will look like.”

Sup. John Avalos, the former chair of the Board’s powerful Budget Committee, said he thinks the rubber hasn’t hit the road yet on painful budget decisions that seem inevitable this year — and the outcome, he said, could spell a crashing halt to Ed Lee’s current honeymoon as mayor.

“We are facing incredible challenges,” Avalos said, noting that he heard that labor does not intend to open up its contracts, which were approved in 2010 for a two-year period. And federal stimulus money has run out.

 

DID SOMEONE SAY “CONDO CONVERSIONS”?

Asked whether he supported new revenue measures as a way to fill the budget gap, Lee initially gave an answer that seemed to echo Newsom’s inflexible no-new-taxes stance. “I’m not ready to look at taxes yet,” he said.

He also invoked an idea that Newsom proposed during the last budget cycle, which progressives bitterly opposed. In a conversation with community-based organizations about “unpopular revenue-generating ideas,” Lee cautioned attendees that “within the category of unpopular revenue-generating ideas are also some that would be very unpopular to you as well.”

Asked to explain, Lee answered: “Could be condo conversion. Could be taxes. I’m not isolating any one of them, but they are in the category of very unpopular revenue-generating ideas, and they have to be carefully thought out before we determine that they would be that seriously weighed.”

Ted Gullicksen, who runs the San Francisco Tenants Union, said tenant advocates have scheduled a meeting with Lee to talk about condo conversions. Thanks to Prop. 26’s passage in November 2010, he said, any such proposal would have to be approved by two-thirds of the board or the voters. “It’s pretty clear that any such measure would not move forward without support from all sides,” Gullicksen said. “If anyone opposes it, it’s going to go nowhere.”

Gullicksen said he’d heard that Lee is willing to look at the possibility of significant concessions to renter groups in an effort to broker a condo conversion deal, such as a moratorium on future condo conversions. “If, for example, 1,000 TICs [tenants-in-common] became condos under the proposal, then we’d need a moratorium for five years to minimize and mitigate the damages,” Gullicksen explained.

More important, some structural reform of TIC conversions may be on the table, Gullicksen said. “And that would be more important than keeping existing TICs from becoming condos.”

Gullicksen acknowledged that Lee has the decency to talk to all the stakeholders. “Newsom never attempted to talk to tenants advocates,” he said.

 

GREEN, WITHIN LIMITS

Lee’s two children are in their early 20s, and the mayor said he takes seriously the goal of being proactive on environmental issues in order to leave them with a more sustainable San Francisco. He trumpeted the city’s green achievements, saying, “We’re now on the cutting edge of environmental goals for the city.”

Leading bicycle activist Leah Shahum of the San Francisco Bicycle Coalition had praise for Lee on bike issues. “I’m really encouraged by his very public support of the new green separate bikeways on Market Street and his interest and commitment to creating more,” she said. “I believe Mayor Lee sees the value of connecting the city with cross town bicycle lanes, which serve a wide range of folks, including business people and families.”

Yet some proponents of green causes are feeling uncertain about whether their projects will advance under Lee’s watch.

On the issue of community choice aggregation (CCA), the ambitious green-energy program that would transfer Pacific Gas & Electric Co. customers to a city-run program with a cleaner energy mix, Lee — who helped determine rates as city administrator — seemed lukewarm. “I know Mr. [Ed] Harrington and his staff just want to make sure it’s done right,” he said, referring to the general manager of the city’s Public Utilities Commission, whose tepid attitude toward the program has frequently driven him to lock horns with the city’s chief CCA proponent, Sup. Ross Mirkarimi.

Lee noted that CCA program goals were recently scaled back. He also said pretty directly that he opposes public power: “We’re not in any day getting rid of PG&E at all. I don’t think that is the right approach.”

The controversial issue of the Haight Ashbury Neighborhood Council Recycling Center’s pending eviction from Golden Gate Park still hangs in the balance. The Recreation and Park Commission, at Newsom’s behest, approved the eviction despite overwhelming community opposition.

Lee said he hadn’t looked at the issue closely. “I do know that there’s a lot of strong debate around the viability, what that operation attracts and doesn’t attract,” he said. “I had the owner of HANC here along with a good friend, Calvin Welch, who made a plea that I think about it a bit. I agreed that I would sit down and talk with what I believe to be the two experts involved in that decision: Melanie Nutter at the Department of the Environment and then Phil Ginsburg at the Rec and Park.” Nutter and Ginsburg supported HANC’s eviction.

Welch, who is on the board of HANC, noted that Lee could be swayed by his staff. “The bunch around Newsom had old and bad habits, and old and bad policies. In dealing with mayors over the years, I know how dependent they are on their staff. They’re in a bubble, and the only way out is through a good staff. Otherwise, Lee will come to the same conclusions as Newsom.”

HANC’s Jim Rhoads told the Guardian he isn’t feeling reassured. “He said he would keep asking people about it. Unfortunately, if he asked his own staff, it would be a problem because they’re leftovers from Newsom.”

Speaking of leftovers, Lee also weighed in on the debate about the city’s waste-management contract — and threw his support behind the existing private garbage monopoly. Campos is challenging a perpetual waste-hauling contract that Recology has had with the city since 1932, calling instead for a competitive-bidding process. When the Department of the Environment recommended awarding the city’s landfill disposal contract to Recology last year, it effectively endorsed a monopoly for the company over managing the city’s entire waste stream, at an estimated value of $206 million per year.

The final decision to award the contract was delayed for two months at a February Budget & Finance Committee hearing. Campos is contemplating putting the issue to the voters this fall, provided he can find six votes on the Board.

“I know that Sup. Campos had given his policy argument for why he wants that revisited,” Lee said. “I have let him know that the Recology company in its various forms has been our very dependable garbage-hauling company for many, many decades. … I feel that the company has justified its privilege to be the permit holder in San Francisco because of the things that it has been willing to do with us. Whether or not we want to use our time today to revisit the 1932 ordinance, for me that wouldn’t be a high priority.”

 

UNFINISHED BUSINESS

In the last week of 2010, Avalos pushed through groundbreaking local-hire legislation, without the support of then Mayor Gavin Newsom or his chief of staff, Steve Kawa, who wanted Avalos to back off and let Newsom takeover the task.

With Lee now in Room 200, things appear to be moving forward on local hire, in face of misleading attacks from Assemblymember Jerry Hill (D-San Mateo), who wants to make sure no state money is used on local-hire projects, presumably because the building trades are upset by it. And Kawa, whom Lee has retained as chief of staff, doesn’t really support the legislation. Indeed, Kawa’s presence in the Mayor’s Office has his detractors believing that the new boss in Room 200 is really the same as the old boss.

“I feel like things are moving forward in the right direction around local hire, though a little more quietly than I’d like,” Avalos told the Guardian. Avalos noted that he is going to hold a hearing in March on implementing the legislation that should kick in March 25.

Welch said he believes that if Lee starts replacing staff wholesale, it could indicate two things: he’s a savvy guy who understands the difficulties of relying on Newsom’s chief of staff Steve Kawa for a budget, and he’s not ruling out a run for mayor.

“If I was in his position, the first thing out of my mouth would be, ‘I’m not running.’ I think he’s very focused in the budget. And it’s going to make or break him. But if he starts overriding Kawa and picks staff who represent him … well, then I’d revisit the question of whether he’s contemplating a run for mayor, say, around June.”

Editor’s Notes

2

tredmond@sfbg.com

Former Mayor Willie Brown says that choosing a person of color for a leadership position should be a progressive value. Board of Supervisors President David Chiu says the new mayor, Ed Lee, is a progressive. Several supervisors and other political observers say the six-vote progressive majority on the board is gone.

And nobody really talks about what that word means.

Progressive is a term with a long political vintage, but it’s changed (as has the political context) since the 1920s. (Progressives these days aren’t into Prohibition.) So I’m going to take a few minutes to try to sort this out.

I used to tell John Burton, the former state senator, that a progressive was a liberal who didn’t like real estate developers. But that was in the 1980s, when the Democratic Party in town was funded by Walter Shorenstein and other developers who were happy to be part of the party of Dianne Feinstein, happy to be liberals on some social issues (Shorenstein insisted that the Chamber of Commerce hire and promote more women), and happy to promote liberal candidates like John and Phil Burton for state and national office — as long as they didn’t mess with the gargantuan money machine that was high-rise office development in San Francisco.

But these days it’s not all about real estate; it’s that the level of economic inequality in the United States has risen to levels unseen since the late 1920s. So I sat down on a Saturday night when the kids went to bed(yeah, this is my social life) and made a list of what I think represent the core values of a modern American progressive. It’s a short list, and I’m sure there’s stuff I’ve left off, but it seems like a place to start.

This isn’t a litmus test list (we’ve endorsed plenty of people who don’t agree with everything on it). It’s not a purity test, it’s not a dogma, it’s not the rules of entry into any political party … it’s just a definition. My personal definition.

Because words don’t mean anything if they don’t mean anything, and progressive has become so much of a part of the San Francisco political dialogue that it’s starting to mean nothing.

For the record: when I use the word "progressive," I’m talking about people who believe:
1. That civil rights and civil liberties need to be protected for everyone, even the most unpopular people in the world. We’re for same-sex marriage, of course, and for sanctuary city and protections for immigrants who may not have documentation. We’re also in favor of basic rights for prisoners, we’re against the death penalty, and we think that even suspected terrorists should have the right to due process of law.
2. That essential public services — water, electricity, health care, broadband — should be controlled by the public, not by private corporations. That means public power and single-payer government run health insurance.
3. That the most central problem facing the city, the state, and the nation today is the dramatic upward shift of wealth and income and the resulting economic inequality. We believe that government at every level — including local government right here in San Francisco — should do everything possible to reduce that inequality. That means taxing high incomes, redistributing wealth, and using that money for public services (education, for example) that tend to help people achieve a stable middle-class lifestyle. We believe that San Francisco is a rich city, with a lot of rich people, and that if the state and federal government won’t try to tax them to pay for local services, the city should.
4. That private money has no place in elections or public policy. We support a total ban on private campaign contributions, for politicians and ballot measures, and support public financing for all elections. Corruption — even the appearance of corruption — taints the entire public sector and helps the fans of privatization, and progressives especially need to understand that.
5. That the right to private property needs to be tempered by the needs of society. That means you can’t just put up a highrise building anywhere you want in San Francisco, of course, but it also means that the rights of tenants to have stable places for themselves and their families to live is more important than the rights of landlords to maximize return on their property. That’s why we support strict environmental protections, even when they hurt private interests, and why be believe in rent control, including rent control on vacant property, and eviction protections and restrictions on condo conversions. We think community matters more than wealth, and that poor people have a place in San Francisco too — and if the wealthier classes have to have less so the city can have socioeconomic diversity, that’s a small price to pay. We believe that public space belongs to the public and shouldn’t be handed over to private interests. We believe that everyone, including homeless people, has the right to use public space.
6. That there are almost no circumstances where the government should do anything in secret.
7. That progressive elected officials should use their resources and political capital to help elect other progressives — and should recognize that sometimes the movement is more important that personal ambitions.

I don’t know if Ed Lee fits my definition of a progressive. He hasn’t taken a public position on any major issues in 20 years. We won’t know until we see his budget plans and learn whether he thinks the city should follow Gavin Newsom’s approach of avoiding tax increases and simply cutting services again. We won’t know until he decides what to tell the new police chief about enforcing the sit-lie law. We won’t know until we see whether he keeps Newsom’s staff in place or brings in some senior people with progressive values.
I agree that having an Asian mayor in San Francisco is a very big deal, a historic moment — and as Lee takes over, I will be waiting, and hoping, to be surprised.

What progressive means

85

Willie Brown says that choosing a person of color for a leadership position should be a “progressive” value. David Chiu says Ed Lee is a progressive. Several supervisors, and other political observers, say the six-vote progressive majority on the board is gone.

And nobody really talks about what that word means.

Progressive is a term with an excellent political vintage, but it’s changed (as has the political context) since the 1920s. (Progressives these days aren’t into prohibition.) So I’m going to take a few minutes to try to sort this out.

I used to tell John Burton that a progressive was a liberal who didn’t like real estate developers, but that was in the 1980s, when the Democratic Party in town was funded by Walter Shorenstein and other developers, who were happy to be part of the party of Dianne Feinstein, happy to be liberals on some social issues (Shorenstein insisted that the Chamber of Commerce hire and promote more women) and happy to promote liberal candidates like John and his brother Phil for national office – as long as they didn’t mess with the gargantuan money machine that was highrise office development in San Francisco.
Arguing that Shorenstein’s economic agenda was driving up housing prices, destroying low-income neighborhoods and displacing tenants was a waste of time; the liberals like Burton (who also represented real estate developers as a private attorney) weren’t interested.

But these days it’s not all about real estate; it’s about the fact that the level of economic inequality in the United States has risen to levels unseen since the late 1920s, and the impacts are all around us. And it’s about (Democratic) politicians in San Francisco blaming Sacramento, and (Democratic) politicians in Sacramento blaming Washington, and the Democratic Party in the United States abandoning economic equality as a guiding principle.

So I sat down on a Saturday night when the kids went to be (yeah, this is my social life) and made a list of what I think represent the core values of a modern American progressive. It’s a short list, and I’m sure there’s stuff I’ve left off, but it seems like a place to start.

For all the people who are going to blast me in the comments, let me say very clearly: This isn’t a litmus-test list (we’ve endorsed plenty of people who don’t agree with everything on it). It’s not a purity test, it’s not a dogma, it’s not the rules of entry into any political party … it’s just a definition. My personal definition.

Because words don’t mean anything if they don’t mean anything, and progressive has become so much of a part of the San Francisco political dialogue that it’s starting to mean nothing.
For the record: When I use the word “progressive,” I’m talking about people who believe:

1. That civil rights and civil liberties need to be protected for everyone, even the most unpopular people in the world. We’re for same-sex marriage, of course, and for Sanctuary City and protections for immigrants who may not have documentation. We’re also in favor of basic rights for prisoners, we’re against the death penalty, and we think that even suspected terrorists should have the right to due process of law.

2. That essential public services – water, electricity, health care, broadband – should be controlled by the public and not by private corporations. That means public power and single-payer government run health insurance.

3. That the most central problem facing the city, the state and the nation today is the dramatic upward shift of wealth and income and the resulting economic inequality. We believe that government at every level – including local government, right here in San Francisco – should do everything possible to reduce that inequality; that means taxing high incomes, redistributing wealth and using that money for public services (education, for example) that tend to help people achieve a stable middle-class lifestyle. We believe that San Francisco is a rich city, with a lot of rich people, and that if the state and federal government won’t try to tax them to pay for local services, the city should.

4. That private money has no place in elections or public policy. We support a total ban on private campaign contributions, for both politicians and ballot measures, and support public financing for all elections.

5. That the right to private property needs to be tempered by the needs of society. That means you can’t just put up a highrise building anywhere you want in San Francisco, of course, but it also means that the rights of tenants to have stable places for themselves and their families to live is more important than the rights of landlords to maximize return on their property. That’s why we support strict environmental protections, even when they hurt private interests, and why be believe in rent control, including rent control on vacant property, and eviction protections and restrictions on condo conversions. We think community matters more than wealth and that poor people have a place in San Francisco too — and if the wealthier classes have to have less so that the city can have socio-economic diversity, that’s a small price to pay. We believe that public space belongs to the public, and shouldn’t be handed over to private interests; we believe that everyone, including homeless people, has the right to use public space.

6. That there are almost no circumstances where the government should do anything in secret.

7. That progressive elected officials should use their resources and political capital to help elect other progressives – and should recognize that sometimes the movement is more important that their own personal ambitions.

I could add a lot more, but I think those six factors are at the heart of what I mean when I talk about progressives. We support a lot of other things; I put the right of workers to unionize under Number 3, since unions (along with public schools and subsidized higher education) are one of the major forces behind a stable middle class and a more equal society. We think racism and homophobia are never acceptable, and we support affirmative action, but that goes under Number 1.

This is not a socialist manifesto; I never mentioned worker control of the means of production. Progressives don’t oppose private enterprise; they just think that some things essential for the good of society don’t belong in the private sector, and that the private sector should be regulated for the good of all of us. We trust and support small businesses much more than big corporations – and we think their interests are not the same.

I don’t know if Ed Lee fits my definition of a progressive. We won’t know until we see his budget plans, and learn whether he thinks the city should follow Gavin Newsom’s approach of avoiding tax increases and simply cutting services again. We won’t know until he decides what the tell the new police chief about enforcing the sit-lie law. We won’t know until we see whether he keeps Newsom’s staff in place or brings in some senior people with progressive values. We know that the people who pushed him to take the job aren’t progressives by any definition, but you never know. I agree that having an Asian mayor in San Francisco is a very big deal, an historic moment — and when Lee takes office, I will be waiting, and hoping, to be surprised.

Class of 2010: Mark Farrell

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steve@sfbg.com

Mark Farrell is a 36-year-old venture capitalist and political newcomer who will represent the wealthy neighborhoods of District 2 (Pacific Heights, Sea Cliff, and the Marina) after narrowly beating Janet Reilly, whose extensive political endorsements ranged from the Guardian and local Democratic Party Chair Aaron Peskin to U.S. Sen. Dianne Feinsein and Mayor Gavin Newsom.

Challenging the city’s political power structure is why Farrell said he ran for office, playing up his outsider status and investment banking experience. He told visitors to his campaign website, “I am running for the Board of Supervisors to bring common sense back to City Hall” and railed against “career politicians who run for office again and again.”

In an interview with the Guardian, Farrell said he was motivated to make his first foray into politics by the dysfunction he has heard about at City Hall. “I’ve been frustrated with City Hall over the last few years, from the personal antics to the policies that have come out,” Farrell told us. “I humbly believe I have something different to bring to the table.”

Farrell calls himself a fiscal conservative who believes “our city government has gotten too large and we need to look at that,” a task he thinks he’s well-suited for given his background in finance. Yet when asked what government functions he would eliminate or cut deeply to help close a projected $700 million budget deficit over the next two years, Farrell said he can’t offer any specifics yet, saying only, “We need to make tough decisions.”

Would Farrell be open to new taxes or other revenue-side budget solutions? He told us that he won’t completely reject the idea of new taxes, but that he generally opposes them. “I don’t believe in raising taxes. We can’t raise enough revenue to get out of this problem,” Farrell said. “We need to learn to live within our means.”

Although he opposed Prop. B in this election, Farrell said public employee pension reform needs to be a part of the city’s budget solution, as well as scaling back how much the city gives to nonprofit groups, which provide many of the social services the city supports.

Farrell was born and raised in San Francisco — except for his college years, he’s spent his whole life in D2, where his parents still live — and has been friends with Sup. Sean Elsbernd since high school. Politically, Farrell also identifies with Elsbernd and fellow fiscally conservative Sups. Carmen Chu and Michela Alioto-Pier (who endorsed Farrell to replace her in D2), but he says that he doesn’t want to be politically pigeon-holed.

“I’m very much my own person and I look forward to working with everyone,” Farrell said. Indeed, part of Farrell’s frustration with City Hall politics has been the divisive relationship between the progressives and moderates, which he sees as a hindrance to finding “common sense solutions.”

“The progressive and moderate labels have been relatively destructive to San Francisco,” Farrell said. “We need to get beyond that to focus on issues.”

Yet people’s political values and worldview determine what issues they care about and the solutions they favor. For example, progressives decry the dearth of affordable being built for San Franciscans and cite city studies showing that deficit will get worse as developers build ever-more market rate housing (see “Dollars or sense?” Sept. 28), particularly in a city that is two-thirds renters.

Farrell said he supports rent control (saying he was unfairly attacked during the campaign as anti renter) and sees the dwindling rental stock and lack of new affordable units being constructed as problems, but he doesn’t have a solution to those problems. In fact, Farrell supports allowing more condo conversions, which would make the problem worse, telling us, “I believe home ownership is something we should promote.”

He was also vague about how he will approach land use issues and how tough he’ll be with developers in having them meet city design guidelines and provide affordable housing and other community benefits, saying only, “We need to have sustainable development in the city.”

Yet the issues that do animate Farrell are those typically focused on by conservative D2 voters. Farrell lists his top priorities as seeing to his district’s needs, promoting private sector job creation (“I think a lot of lip service has been paid to it, but not a lot of action by City Hall,” he said), public safety, and quality-of-life issues (he supported Prop. L, the sit-lie ordinance, calling it “very reasonable”). Generally Farrell sees San Francisco as a city in he midst of a serious fiscal crisis, “and I want to create a San Francisco that is secure for the future over the long haul.”

Questions for the next mayor

4

EDITORIAL The progressives on the Board of Supervisors are a long way from united on a possible mayoral candidate, and if they can’t come together, the person who finishes Gavin Newsom’s term will be a compromise candidate, either a short-term caretaker (not the greatest option) or someone who’s more in the moderate camp but a candidate the left can work with — for 2011 and possibly four years after that.

We’re glad to see the proposal by Sup. John Avalos to begin the mayoral selection process early. Picking a mayor in a mad scramble on the day Newsom steps down is a recipe for chaos — and potentially a bad outcome. And as the process begins, the last thing the city needs is a mayor chosen through a backroom deal.

But it’s entirely appropriate for progressive board members to set some standards and to ask the people who are angling for the job to make clear exactly what their positions would be on key policy issues.

In other words, anyone who wants to be the interim mayor — and possibly mayor for the next five years or longer — should have to answer, directly and without hedging, question like these:

How much new revenue does San Francisco need to solve its budget problems, and where, specifically, should it come from? This is the central issue facing the city, now and for the indefinite future. San Francisco’s budget has a structural deficit of at least $250 million, and it simply can’t be closed by cuts alone. What taxes will you pledge to support — and put political capital and fundraising clout behind when they go on the ballot?

What specific programs ought to be cut? Everyone likes to talk about the city living within its means, but that ends up leading to a series of death-by-1,000-cuts decisions that year after year devastate services to the poor. Don’t tell us you need to look at budget figures and work it out later; the big-ticket items are no secret. What’s on the chopping block — and what isn’t?

Will you work to promote public power? How will you expedite community choice aggregation, and will you support a ballot measure to replace Pacific Gas and Electric Co. with a full-scale municipal electric utility?

What are your law enforcement priorities? If money’s tight, should the San Francisco police be hassling nightclubs, or should more resources go into the homicide division? How important are foot patrols, and which neighborhoods should get them? Will the SFPD and juvenile authorities continue to turn young people over to federal immigration authorities?

Who should pay to fix Muni? Should the burden of paying for the transit system fall primarily on the riders (through fare increases and reduced services) or should big downtown businesses and retailers (the major beneficiaries of the system) pay more? Should car owners pay higher fees (including parking fees and congestion management fees) to subsidize transit? Which specific fees would you be willing to push for?

Who should the city build housing for? Right now, much of the new housing stock is aimed at the very rich — and San Francisco is turning into a bedroom community for Silicon Valley. Would you set housing policy to conform with the city’s General Plan assertion that more than half of all new housing should be below market rate? How would you make that balance happen? Should the city spend a significant amount of money for affordable housing, and who should pay for it?

Do you agree that public sector jobs are as important as private sector jobs in San Francisco? Would you support the tax plan proposed by Sup. David Chiu?

Do you support giving the supervisors appointments to all major commissions?

Do you think the city should be doing more to stop TICs and condo conversions and to preserve existing rental housing?

That’s just the beginning of a long list of questions — but the progressives on the board should make sure they have answers before agreeing to support anyone, as a caretaker or interim mayor.

Questions for the next mayor

19

 The progressives on the Board of Supervisors are a long way from united on a possible mayoral candidate, and if they can’t come together, the person who finishes Gavin Newsom’s term will be a compromise candidate, either a short-term caretaker (not the greatest option) or someone who’s more in the moderate camp but a candidate the left can work with for 2011 and possibly four years after that.

We’re glad to see the proposal by Sup. John Avalos to begin the mayoral selection process early. Picking a mayor in a mad scramble on the day Newsom steps down is a recipe for chaos and potentially a bad outcome. And as the process begins, the last thing the city needs is a mayor chosen through a backroom deal.

But it’s entirely appropriate for progressive board members to set some standards and to ask the people who are angling for the job to make clear exactly what their positions would be on key policy issues.

In other words, anyone who wants to be the interim mayor and possibly mayor for the next five years or longer should have to answer, directly and without hedging, question like these:

How much new revenue does San Francisco need to solve its budget problems, and where, specifically, should it come from? This is the central issue facing the city, now and for the indefinite future. San Francisco’s budget has a structural deficit of at least $250 million, and it simply can’t be closed by cuts alone. What taxes will you pledge to support and put political capital and fundraising clout behind when they go on the ballot?

What specific programs ought to be cut? Everyone likes to talk about the city living within its means, but that ends up leading to a series of death-by-1,000-cuts decisions that year after year devastate services to the poor. Don’t tell us you need to look at budget figures and work it out later; the big-ticket items are no secret. What’s on the chopping block and what isn’t?

Will you work to promote public power? How will you expedite community choice aggregation, and will you support a ballot measure to replace Pacific Gas and Electric Co. with a full-scale municipal electric utility?

What are your law enforcement priorities? If money’s tight, should the San Francisco police be hassling nightclubs, or should more resources go into the homicide division? How important are foot patrols, and which neighborhoods should get them? Will the SFPD and juvenile authorities continue to turn young people over to federal immigration authorities?

Who should pay to fix Muni? Should the burden of paying for the transit system fall primarily on the riders (through fare increases and reduced services) or should big downtown businesses and retailers (the major beneficiaries of the system) pay more? Should car owners pay higher fees (including parking fees and congestion management fees) to subsidize transit? Which specific fees would you be willing to push for?

Who should the city build housing for? Right now, much of the new housing stock is aimed at the very rich and San Francisco is turning into a bedroom community for Silicon Valley. Would you set housing policy to conform with the city’s General Plan assertion that more than half of all new housing should be below market rate? How would you make that balance happen? Should the city spend a significant amount of money for affordable housing, and who should pay for it?

Do you agree that public sector jobs are as important as private sector jobs in San Francisco? Would you support the tax plan proposed by Sup. David Chiu?

Do you support giving the supervisors appointments to all major commissions?

Do you think the city should be doing more to stop TICs and condo conversions and to preserve existing rental housing?

That’s just the beginning of a long list of questions but the progressives and other supervisors  on the board should make sure they have answers before agreeing to support anyone, as a caretaker or interim mayor.

 

The soul of the city

23

tredmond@sfbg.com

44th ANNIVERSARY SPECIAL We all arrived in San Francisco broke: Paulo and me in the ’73 Capri, crawling over Donner Pass with a blown valve and three cylinders firing; Tracy and Craig in the back of a VW van, behind in the payments and on the run from the repo men; Tom and Sharon hitching across the Southwest after Tom, who could bullshit with the best, talked himself out a jail cell in New Orleans. Moak showed up in a rusty Datsun with the wheels falling off. Jane and Danny came on the old hippie bus, the Green Tortoise, $69 across the country.

But we all had a friend who knew a friend where you could crash for a little while. And in the early 1980s you got food stamps the first day and it only took a couple of weeks to get a job waiting tables or canvassing or selling trinkets on the Wharf. And once you’d scraped together a couple hundred dollars — maybe two weeks’ work — you could get a place to live. My first room in a flat in the Western Addition was $120 a month.

We did art and politics and writing and music. After a while, some of us went to law school, some of us became journalists, some of us went into government and education. A few of us fled, and Paulo died in the plague (dammit). But in the end, a lot of us were — and are — San Franciscans, part of a city that welcomed us and gave us a chance.

It was a very different time to be young in San Francisco.

I’m not here to get all nostalgic, really I’m not. There were serious problems in 1982 — raging gentrification was creating clashes in the Mission and the Haight and south of Market that were more violent than anything going on today. And frankly, broke as we were, most of my friends were from middle class homes and were college educated and had a leg up. We weren’t going to starve; we didn’t have to make really ugly choices to eat.

Most of the stories in this special anniversary issue are about marginalized youth — young people trying to survive and make their way against all odds in an increasingly hostile city and a bitter, harsh economy.

But there’s an important difference about San Francisco today, something earlier generations of immigrants didn’t face. The cost of housing, always high, has so outstripped the entry-level and nonprofit wage scale that it’s almost impossible for young people to survive in this town — much less have the time to add to its artistic and creative culture.

I met the 21-year-old daughter of a college friend the other day. She’s as idealistic as we all were. She wants to move to San Francisco for the same reasons we did and you did — except maybe she won’t. Because she felt as if she had to come visit first, to use her dad’s network, see if she could line up a job and figure out if her likely earnings would cover the cost of living. When I mentioned that I’d just up and left the East Coast and headed west, planning to figure it out when I got here, she gave me a look that was part amazement and part sadness. You just can’t do that anymore.

The odds are pretty good that San Francisco won’t get her — her talent and energy will go somewhere else, somewhere that’s not so harsh on young people. I wondered, as I do every once in a while when I’m feeling halfway between an angry political writer and an old curmudgeon: would I come to San Francisco today?

Would Harvey Milk? Would Jello Biafra? Would Dave Eggers? Would you?

If you were born here, would you stay?

Are we squandering this city’s greatest resource — its ability to attract and retain creative people?

The two people who started the Bay Guardian 44 years ago were young arrivals from the Midwest. Bruce Brugmann looked around the city room at the Milwaukee Journal, where he worked as a reporter, and realized there wasn’t any job he wanted there in 10 years. With two young kids and a dream of starting a weekly newspaper in one of the world’s most exciting cities, Bruce and his wife, Jean Dibble, settled in a $130-a-month flat. The Guardian’s first office was a desk in the printers shop. When they paper could finally afford its own space, Bruce and Jean moved the staff into a $60-a-month four-room place on Ninth and Bryant streets.

From the start, the paper was a “preservationist” publication — both in terms of environmental issues like saving the bay and in the larger political sense. The San Francisco Bay Guardian was out to save San Francisco.

The city was under assault — by the developers who were making fast money tossing high-rises into downtown; the speculators making fast money flipping property, ducking taxes, and driving up rents; the unscrupulous landlords who were letting their buildings fall apart while they charged ever higher rent. For the Guardian, fighting this urbicide meant protecting San Francisco values, preserving the best of the city from what Bruce liked to call “the radicals at the Chamber of Commerce.”

For the Guardian, progress wasn’t measured in the number of new buildings constructed, but in the ability of the city to remain a place where artists and writers and community organizers and hell-raisers — and the young people who were always bringing new life to the city — could survive. We supported rent control, and growth limits, and affordable housing policies, and limits on condo conversions, and minimum-wage and sanctuary city laws — and a long list of other things that together amounted to a progressive agenda.

And in 2010, the assault on the young, the poor, the nonconformists, the immigrants, is still on, at full force. The mayor and his allies are pushing a ballot measure that would make it illegal just to sit on the sidewalk. He’s also turning the local juvenile authorities into immigration cops, breaking up families in the process. He’s cut funding for youth services, and wants to make it easier for speculators to evict tenants, take affordable rental housing (especially the flats that young people share to save money) off the market, and create high-priced condos. Virtually all of the new housing he’s pushing is for rich people. He’s shutting down parties and arresting DJs and, in effect, declaring a War on Fun.

What he’s doing — and what the downtown forces want — is the transformation of San Francisco from a welcoming city where the weird is the normal, where the young and the crazy and the brilliant and the broke can be part of (or even drivers of) the culture, to one where profit and property values are all that matter. And that’s a recipe for urban doom.

Richard Florida’s 2004 bestseller The Rise of the Creative Class shook up political thinking by pointing out that cities thrive with iconoclasts, not organization people. Everyone likes to talk about that now, even Mayor Gavin Newsom. But the missing piece, from a policy perspective, is that the creative class — particularly the young people who are going to be the next generation of the creative class — needs space to grow. And that means the most important thing a creative city can do is nurture the very people Newsom and his allies want to drive away.

If Prop. L, the “sit-lie” law, passes, if the rental flats in the Mission that have been home to several generations of young artists, writers, musicians and future civic leaders vanish in the name of condo conversions, if 85 percent of all the new housing in San Francisco is affordable only to millionaires, if the money that helps foster kids and runaways and at-risk youth dries up because this rich city won’t raise taxes, if nightlife becomes an annoyance to be stifled…then we’re in danger of losing San Francisco.

Our 44th Anniversary Issue also includes stories by Sarah Phelan on SF’s disadvantaged youth, Caitlin Donohue’s account of the Haight street kids, and Rebecca Bowe’s look at ageing out of the foster care system

Downtown massively outspends progressives

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With only three weeks until the election, downtown interests are massively outspending progressive groups.(Conservative estimates suggest a 5:1 ratio, based on an analysis of campaign finance disclosures at the Ethics Commission.) And these downtown interests have plenty in reserve, as cash is funneled into a bunch of improbably-named political action committees that hope to influence the outcome of district elections and local measures on the fall ballot.

The Alliance for Jobs and Sustainable Growth, which is backed by the Chamber of Commerce, the SF Police Officers Association, and United Health Care Workers, recently got an infusion of cash from the conservative-minded Building Owners and Managers Association and Golden Gate Restaurant Association. And the alliance is already spending gobs of money in support of Theresa Sparks in D6, Scott Wiener in D8 and Steve Moss in D10.

The Coalition for Sensible Government, which recently received a $100,000 injection of cash from the SF Association of Realtors, is spending in support of Sparks in D6, Wiener and Rebecca Prozan in D8, and Lynette Sweet and Moss in D10. The coalition is also spending in support of Proposition G (transit operator wages) and Prop. L (Newsom’s sit-lie legislation)  and in opposition to Prop. M (community policing/ foot patrols) and Prop N (property transfer tax).

And a PAC consisting of the Coalition for Responsible Growth, Plan C, San Franciscans for a Better Muni, SF Forward (sponsored by the SF Chamber of Commerce and SPUR) received $85,000 from the Committee on Jobs, $60,000 from the SF Association of Realtors, and $35,000 from SF Forward.

This PAC, which has already spent $466,000 this year, recently plunked down $1,000 to produce a voter guide for Plan C–a group that focuses on condo conversions and is endorsing Sparks in D6, Wiener in D8, and Sweet (as its first ranked choice) and Moss (as its second ranked choice) in D10.

It isn’t surprising that downtown PACs have deep pockets and almost identical slates. But it is a bit of a shocker that their slates are apparently almost identical to the Small Business Advocates, a group that has somewhat differing values and only a couple hundred members.

Reached by phone, SBA director Scott Hauge said the group has a couple hundred members–and claimed that SBA’s Board supports Sparks in D6, Moss in D10, and supports Measures G, K, L and opposes Measures J, M & N.

Hauge acknowledged that these positions are identical to those of downtown interests.
“We have been working with large companies,” Hauge said, claiming that small and big business’ interests are “the same” in this particular election cycle.

To date, neither the Chamber’s Steve Falk nor UHW’s Leon Chow have replied to the Guardian’s calls about the genesis of their so-called Alliance for Jobs and Sustainable Growth (Chow posted a comment on our politics blog and that is really not the same as a live conversation.)

But Tim Paulson, executive director of the San Francisco Labor Council wasn’t afraid to go on record in opposition to the Alliance and its 2010 slate.

“We’re really disappointed that there are labor organizations that feel they have to team up with Golden Gate Restaurant Association, which is against healthcare, and with CPMC [California Pacific Medical Center], which is working to keep nurses from joining a union,” Paulson said. “This alliance does not reflect what the San Francisco labor movement is about.”

A door hanger that the Labor Council distributed in conjunction with the SF Democratic Party confirms that both organizations support Debra Walker in D6 and Rafael Mandelman in D8. But while the Dem Party supports DeWitt Lacy, Malia Cohen and Eric Smith (in that order) in D10, the Labor Council only supports Cohen and Chris Jackson (in that order) in D10.

But despite their differing D10 candidate slate, both these progressive groups support Measures J, M and N, and oppose Measures B, K and L.

“When we see the Hotel Council stoop to attack Mike Casey, one of the greatest labor leaders in SF history, for fighting hotels who want to take away healthcare and diminish the retirement benefits for workers who make $25K to $30K a year, that’s really disturbing,” Paulson said, referring to a recent op-ed in the SF Examiner that was written by Patricia Breslin, executive director of the Hotel Council.

“And any union that makes an alignment with groups that don’t share the values of the San Francisco Labor Council, that’s really disturbing to me and the Labor Council,” Paulson said.

Noting that downtown is spending buckets of money on the election, Paulson observed that the Labor Council’s values are about “sharing the wealth.”

“So we don’t want Measure B [Jeff Adachi’s pension reform] or K (Newsom’s hotel tax) or L (Newsom’s sit-lie legislation),” Paulson concluded. “And we have three solid weeks to do this.”

Scott Wiener’s TIC letter

15

EDITORS NOTE: Includes corrections, noted at the bottom of the post.


Scott Wiener, candidate for district 8 supervisor, is sending out a letter to people who own tenancy-in-common buildings, telling them he supports the rights of TIC owners to convert their properties to condos and seeking their support.


And he’s very nervous about discussing it.


Wiener’s support for TICs — which amount to a backdoor way to avoid the conversion lottery — is no secret. But raising money by promising to encourage condo conversions defines him pretty clearly as a candidate of the landlords and property owners and against tenant rights.


A bit of background: TICs are a way for several people to buy a multi-unit building, share ownership and each occupy one of the apartments. The strategy allows people who can’t afford single-family houses to become homeowners — and in theory, isn’t all bad (except that every TIC removes a rental housing unit from the city and indirectly drives up rents).


In practice, TICs have become eviction machines.


That because landlords have found that they can make a fortune by evicting all of their tenants under the state Ellis Act and then selling the place as TICs. And if the TIC owners can convert to condos, they can make money, too.


The big losers — and there are thousands of them — are tenants who can’t afford to buy a TIC, so wind up losing their homes to someone a little better off.


But again: It’s no secret where Wiener stands on the issue. What’s odd is that when I first called him about the letter, which I heard rumors about last week, he told me flat out that there was no such thing. “I hear there’s some i.e. [independent expenditure group] doing something like that, but it’s not us,” Wiener said.


A few days later, I got a (low-quality) copy of the letter, which is on Scott Wiener for Supervisor letterhead and signed by Wiener. So I called him again, and asked about it, and he again said his campaign had mailed no such letter. When I pressed, and said I had what looked like a letter from him that started of “Dear TIC owner,” he said that there might be something coming in the future, but he couldn’t talk about it.


Then he called me back half an hour later to tell me that yes, his campaign was indeed sending a letter to TIC owners seeking support.


Wiener’s always been straightforward with me; we don’t always agree on issues, but he always tells me where he is. So this one’s a little baffling — unless, of course, Wiener is hoping that the tenants who live in D8, and there are a lot of them, don’t know what Scott Wiener is saying to landlords and speculators. Maybe he doesn’t want them to think he’s being funded by TIC money.


But in the end, these things always come out anyway.


UPDATE: My original report called this a fundraising letter. But I admit my copy was hard to read, and Wiener just called me to say that the letter isn’t a fundraising letter, it’s only a letter seeking votes, and went out only to D8. He told me the reason he said he had no such letter when I first called is that it wasn’t finalized and hadn’t been sent out (although there was apparently an i.e. letter to TIC owners, which neither of us has seen). He told me he couldn’t discuss the letter until after it was sent out because “no candidate should discuss his future mail strategy with the press.” Fair enough.


Still: I’ve spoken to Wiener many times, and he’s never been this nervous about talking about what he or his campaign is doing. I think the TIC stuff is sensitive in D8.