Development

UN conference on global crisis undercut by G20 indifference

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By Nick Buxton
Editor’s Note: Buxton is in New York covering the United Nations Conference on the World Financial and Economic Crisis and its Impact on Development for the Guardian.

Maybe I was being a naïve activist, but I thought I would be covering an important and consequential event. The world is facing a devastating economic crisis, accompanied by a toxic mix of crises of climate chaos, food prices and even flu outbreaks, and here was chance for a smart, effective response to these pressing and interconnected issues.

The international community had agreed back in November 2008 to develop a coordinated international response to an unprecedented global crisis – and to present its plan in summer 2009. Yet, here I am on the second day of that conference, and for the press it is as if the meeting did not exist.

Until Michael Jackson’s death, the latest dull exploits of US celebrity misfits Jon and Kate – famous mainly for their ability to reproduce- were the only stories staring out at me on most newspaper front pages. So I decided to do some investigation.

Selling the park

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sarah@sfbg.com

GREEN CITY Considering that it exists just a short hop from the industrial grind of Third Street, Candlestick Point State Recreation Area is a surprisingly wild and peaceful 150-acre bayshore park.

On a recent afternoon, a man practiced his golf swings, a group fished off a pier, and a lizard darted across a trail and into a clump of wildflowers, all apparently unaware of the storm gathering around the future of this waterfront habitat.

State Sen. Mark Leno’s Senate Bill 792 would give the State Lands Commission and State Parks Department the authority to negotiate an exchange of 42 acres in the park for patches of land on the former Hunters Point Naval Shipyard, allowing Lennar Corp. to build condos in the state park and reducing Bayview’s only major open space by 25 percent.

Leno claims that SB 792 "will help realize one of the few remaining opportunities for large-scale affordable housing, parks, open space, and economic development in San Francisco by authorizing a key public-private land exchange necessary for the development of Hunters Point/Candlestick Park."

"A lot of this property is dirt, and much of it is used by the 49ers for parking. It’s not high quality park land," Leno told the Guardian.

In addition to adding some amendments suggested by the Sierra Club, Leno said state and federal agencies must approve the deal, which would also require a full environmental impact report. "There will be no environmental shortcutting," Leno said.

But environmental advocates are outraged that Mayor Gavin Newsom and his chief economic advisor, Michael Cohen, are trying to get state legislators to facilitate an unpopular land swap that allows an out-of-state developer to build thousands of condos on state tidelands in exchange for strips and pockets of the toxic shipyard (see "Eliminating dissent," 6/17).

"When Michael Cohen asked us to endorse what they were calling a conceptual framework, he called it a rush to the starting line and promised us a full and robust discussion of the actual proposal," Kristine Enea, who works for the India Basin Neighborhood Association, said of last year’s Proposition G. "We’re not trying to stop the development, but we want a discussion. And we’re raising questions that otherwise won’t be raised until after the environmental impact report is completed."

In April, Newsom wrote to Sen. Fran Pavley, who chairs the state’s Senate Committee on Natural Resources and Water, claiming that plans for the shipyard and Candlestick Point had already been endorsed by the San Francisco Board of Supervisors and overwhelmingly approved by voters in June 2008.

"By utilizing a true public-private partnership, this [SB 792] will cause tens of millions of dollars of public open space investment to state park lands and public trust lands, at no cost to the state or the city’s general fund, providing a significant benefit to the state as well as to the citizens of San Francisco," Newsom wrote.

As part of the land swap, Lennar would pay fair market value for much of the parkland, with estimates of about $40 million that would go to the state for managing the remaining acreage. Lennar proposes to build 7,850 housing units on Candlestick Point, and it’s unclear how many of those will go into what is now a state park.

Critics say Newsom is trying to use Prop. G like a hammer to force through legislation that wouldn’t pass locally and would destroy the park’s current functions and wildlife habitat, forever changing life in Bayview Hunters Point, due to the scale and socioeconomic and environmental impacts of Lennar’s proposed redevelopment.

Created by the legislature in 1977, CPSRA is the state’s first urban park. It offers panoramic views of the wind-whipped bay, San Bruno Mountain, and Yosemite Slough, the only unbridged waterway in the city’s southeast sector. And while it’s not typically crowded, the park is well-used by residents, who like to hike and jog, walk their dogs, and windsurf adjacent to Monster Park stadium.

Saul Bloom — whose nonprofit group, Arc Ecology, angered Cohen and Newsom in February when it published "Alternatives for Study," a draft report that identified deficiencies in Lennar’s current proposal — admits that a section of the park is a weed-filled lot that 49ers fans use for parking on game days.

"But the leasing for parking contributes $800,000 toward park maintenance annually," Bloom told the Guardian, noting that this is a vital source of funding in tough times.

He also noted that the California State Parks Foundation recently raised $12 million to restore Yosemite Slough and the California Solid Waste Management Board (whose members include former Sen. Carole Migden, whom Leno defeated last year) recently completed a $1 million rehabilitation of a former construction debris field on the state park property.

But neither this nor the state Budget Conference Committee’s recent decision to institute a $15 surcharge on vehicle license fees of noncommercial vehicles as a dedicated funding source to keep California’s state parks open will save CPSRA from being hobbled if SB 792 is approved in its current state.

"Surely other land can be used for building condos. Affordable housing and condo residents need open space too," said Peter Barstow, founding director of Nature in the City, noting that the 42-acre parcel of contested land represents 25 percent of the park, but only 5 percent of the 770 acres the developer has at its disposal to build 10,500 units of proposed housing.

"Any loss in acreage would seriously diminish the ability of the park to serve the city’s needs, especially with 10,500 new units proposed for the Lennar development," Barstow said.

He said some "logical swapping" is possible. "But they are doing some numbers game, in which they are counting a huge amount of parkland that is already there."

"We should be thinking how to connect these ecologically isolated islands," Barstow said, who sees this debate as an opportunity to link CPSRA to wildlife corridors in McClaren Park and Bayview Hill. "The development should be in the interest of the people, critters, wildlife and plants in the Bayview, not in those of someone in an office thousands of miles away."

He also scoffed at proponents’ arguments that the density of the development means that it is smart urban growth. "Just because a development is dense is not an argument to build it on a park."

Cohen recently told the Guardian that the 77 acres of the 49ers stadium and all the paid parking inside its facility will be filled with "mainly retail and entertainment," while the 42 acres of state park would be used to build condos.

Meredith Thomas of the Neighborhood Parks Council noted that her group "fully supports the revitalization and redevelopment of the Candlestick Point/Shipyard area … But when folks voted for Prop. G in June 2008, nowhere did the measure say that by voting for it, you are agreeing to sell parkland."

"We are always concerned when municipal land that is being used as a park is put up for sale," Thomas said. "While it’s a state park, it really functions as a neighborhood park for those who use it. I think what happens when we plan for large developments is that we don’t do enough to plan for parks with the density increase that’s coming."

The Sierra Club has been leading the charge against the bill. "We lose 40 acres but gain a bathroom," Arthur Feinstein, the Sierra Club’s local representative jokingly told the Guardian. "Now that’s a good deal!"

Observing that the organization’s position is "no net loss of acreage, no loss of biodiversity, no loss of wildlife corridors," Feinstein said, "There are a ton of alternatives to this plan and no reason to destroy 25 percent of the park or build a bridge and a road over Yosemite Slough."

With Arc’s studies showing that the bridge, which will cost $100 million to construct, only shaves two minutes off travel time, Feinstein added: "This is a road to nowhere. It’ll cost $50 million a minute."

He also said that allowing a company to buy state parkland "sets a terrible precedent… Then every state park is at risk from developers as the state’s budget woes grow. I hope Sen. Mark Leno sees this."

"No one would ever think put housing on Crissy Field," Feinstein continued. "But in the Bayview, the attitude is, why not? That whole mentality has made the area into an environmental justice community. Even when it’s given something, it comes in a costly way to the community, but a cheap way for the developers."

No surrender, no retreat

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rebeccab@sfbg.com

The dueling budget rallies that preceded the June 16 Board of Supervisors hearing on the city’s spending priorities officially ended the conciliatory approach offered by Mayor Gavin Newsom — a rhetorical political gambit that the Mayor’s Office never really put into practice.

The emotionally charged police and fire workers’ rally — where Police Officers Association President Gary Delagnes riled up the crowd by ridiculing supervisors as "idiots" and "carpetbaggers" — featured Newsom as the guest of honor at an event overseen by Eric Jaye, the political consultant running both the firefighters’ union budget offensive and Newsom’s gubernatorial campaign.

On a stage lined with American flags and burly public safety workers, Newsom condemned the progressive supervisor’s proposal to amend his budget over a blaring sound system. "They’re asking us to retreat," Newsom said, in full battle cry mode, "and we’re not going to do that."

Across the street, city employees from the Department of Public Health held a competing rally, flying a banner that read "No Cuts to Vital Services!" It was painfully obvious that in a squabble between city employees, the mayor was positioning himself on the side of well-paid, powerful union members who got raises instead of layoffs, rather than the public health workers and advocates for the poor whom Newsom’s budget cut the deepest.

But before progressive supervisors challenged Newsom’s proposed budget — which ignored the supervisors’ stated priorities, despite Newsom’s December pledge to work closely with the board on it — the rhetoric was quite different. "We work through our differences and ultimately try to look at the budget as apolitically as possible," Newsom said during a June 1 event unveiling his budget. "It’ll only happen by working together."

Six months earlier, when the mayor made a rare appearance at a Board of Supervisors meeting to announce the unprecedented budget shortfall of more than $500 million, he adopted a similar tone. "We have the capacity, the ingenuity and the spirit to solve this," Newsom told the board in December. "It’s going to take all of us working together. It’s in that spirit that I am here."

The mayor’s proposed budget has spurred outrage from poor people and progressive supervisors, who charge that his decision to cut critical services while simultaneously bolstering funding to the police and fire departments is morally repugnant.

Sups. John Avalos, David Campos, and David Chiu responded by passing an amendment in committee to slash $82 million from the public-safety budget in order to restore some of the cuts to public health and social services. After that move, the spirit of "working together" quickly eroded, and seemed to be replaced by the bare knuckles politics of fear and division.

After the rallies, which even spilled indoors and devolved into shouting matches between the two camps, supervisors finally got to work on the budget. And they didn’t ask Newsom to retreat, they just asked him to listen and work with them.

The $82 million dent in the public-safety budget was described as a symbolic gesture to get the mayor to take progressive concerns seriously. "For many of us, it was the only way we felt we could have a seat at the table — a seat that was real, where the discussion was going to be meaningful," Campos said.

"I do not think that this budget is bilateral. It is a unilateral budget," Chiu noted at a Budget and Finance Committee meeting.

This year’s budget battle is especially intense because of the unprecedented size of the deficit, as well as the dire economic conditions facing many San Franciscans. California’s unemployment rate climbed to 11.5 percent in May, and stood at an only slightly less miserable 9.1 percent in San Francisco, according to the state’s Employment Development Department.

Meanwhile, anecdotal evidence suggests that the number of San Franciscans in need of emergency food assistance, homeless services, and help with other basic necessities has spiked. Everyone seems to be feeling the pinch, but for the least fortunate, falling on hard times can mean relying on city-funded services for survival.

Against this dismal backdrop, big questions are emerging about the role of government. "The city’s budget," City Attorney Dennis Herrera noted at a recent hearing, "is correctly called the city’s most meaningful policy document. More than any other piece of legislation, it sets out the priorities that tangibly express the values of the City and County of San Francisco."

Sup. Ross Mirkarimi took this idea even farther at the budget hearing. "Aside from the politicking and any of the hyperbole, we [have to] do the best we possibly can for all the people of San Francisco," he said. "But in particular, the vulnerable classes, because what is also at stake is … the key question: Who’s this city for? And who gets to live here over the next 10 to 20 years, considering how cost-prohibitive it is to be in San Francisco?"

The budget battle is shaping up around some fundamental questions: is this budget going to protect the politically powerful while ignoring the thousands who are in danger of slipping through the cracks? Or will everyone be asked to make sacrifices to preserve the city’s safety net? And as these difficult decisions are hashed out, is the mayor going to sit down with the board to seek common ground?

A board hearing on the cuts to health services — which state law requires cities to hold when those cuts are deep — illustrated the divide with hours of testimony from the city’s most disadvantaged residents: those with mental health problems, seniors, SRO tenants, AIDS patients, and others.

"If we make the wrong decisions, it will mean that our homeless folks will be in ever-increasing numbers on the street. It means that folks with HIV will not receive the care they need. It will mean that kids will not have the after-school programs they need during their critical years. It will mean that our tenants will continue to live in substandard housing," Chiu summarized the testimony.

Avalos, the Budget Committee chair who has led the fight to alter Newsom’s budget priorities, has said repeatedly that cutting critical services does not work in San Francisco. And even as he proposed the amendment, he expressed a desire to reach a solution that everyone, not just progressives, would find palatable.

"We want to talk directly to the mayor, to have him meet us half-way, about how we can share the pain in this budget to ensure that we have a balance in equity on how we run the city government," Avalos noted as his committee began its detailed, tedious work on the budget. "We can do that across the hall here at City Hall, and we can do it across every district in San Francisco."

The Board approved the interim budget that more evenly shared the budget pain on a 7-3 vote, with Sups. Bevan Dufty, Carmen Chu, and Michela Alioto-Pier dissenting (Sup. Sean Elsbernd was absent because his wife was giving birth to their first child, but was also likely to dissent).

If Newsom chooses to veto the interim budget or the permanent one next month — which the board would need eight votes to override — San Francisco could be in for a protracted budget standoff, the least "apolitical" of all options. But for now, the political theater is yielding to the detailed, difficult work of the Budget and Finance Committee.

Progressive members of the committee have already signaled their intention to scrutinize city jobs with salaries of $100,000 or positions in each department that deal with public relations.

Among those highlighted in a budget analysts’ report is Newsom’s public relations team, a fleet of five helmed by a Director of Communications Nate Ballard, who pulls down $141,700 a year. Yet when the Guardian and others seek information from the office — for this story and many others — we are often stonewalled, ignored, or insulted.

During the budget hearings, the disproportionately high number of positions with six-figure salaries in the city’s police and fire departments also came under scrutiny. "What has worked in a lot of other agencies is you have employees who care deeply enough about the City and County of San Francisco that they are willing to give back in terms of salaries," Campos commented to Fire Chief Joanne Hayes-White during a budget hearing, referring to firefighters’ refusal to forgo raises.

Another looming question is whether new revenue measures will be included as part of the solution. While progressive supervisors continue to call for tax measures as a way to stave off the worst cuts to critical services, Newsom proudly proclaimed his budget’s lack of new taxes.

A press release posted on Newsom’s gubernatorial campaign Web site suggests that since raising revenues doesn’t fit with his bid for governor, it’s not likely to be entertained as a possibility. "Mayor Newsom crafted a balanced budget on time," a press release notes, "without any new general tax increases, without reducing public safety services."

It’s a stand that’s certain to yield more political clashes down the line.

"I don’t see how we can get out of this budget without bringing additional revenue into the system," Campos noted at the committee hearing. "Once people learn about the situation we are facing, they will understand the need for the city and county as a whole to contribute."

Lennar’s shipyard: more toxic than you think

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news@sfbg.com

OPINION "So, what do you want us to do?"

That was the question from a staff member at the Bay Area Air Quality Management District (BAAQMD) after he passed along reports of Lennar Corp.’s latest repeated releases of toxic dust containing asbestos, arsenic, lead, and other metals into the air in Bayview-Hunters Point, one of the last remaining African American communities left in San Francisco.

After grudgingly levying more than $500,000 in fines against Lennar in 2008 for earlier brazen violations (after fierce community pressure), why is BAAQMD’s enforcement of clean-air standards against a notorious corporation on a dangerously toxic site still a negotiation?

After years of broken promises and half-hearted mitigation, the toxic partnership between the city and Lennar to develop the shipyard continues to threaten public resources and poison our communities in more ways than one.

In the last few months, with the help of the Mayor’s Office, Lennar is backing away from the promises it made in Proposition G. Instead of making 32 percent of its housing at the shipyard "affordable" to city residents (never mind that this definition of "affordable" is still well out of the reach of the great majority of Bayview residents), Lennar is now placing responsibility back on the city to build the affordable housing. As the Mayor’s Office prepares to use public money to subsidize Lennar’s broken promises, this revised arrangement blows a huge hole in the budget of the Mayor’s Office of Housing and threatens to destroy 30 years of efforts to create and preserve affordable housing elsewhere in the city.

As reported by Sarah Phelan last week ("Eliminating dissent," 6/17/09), state Sen. Mark Leno has legislation that seeks to trade 25 percent of Candlestick Point State Recreation Area for small strips on the shipyard so Lennar can build condos on the parkland (see "Selling the park" in this issue).

With the consent of City Hall, the Navy and Lennar continue to make deals in a backroom, with no public participation. The plan for development of the shipyard is getting even more toxic than you think, and its dangers threaten everyone in San Francisco.

That’s why a large coalition of grassroots organizations is joining forces for a community protest at the front gate of the Hunters Point Shipyard at 1 p.m. Tuesday, June 30. If the government won’t protect our communities from contamination and corporate greed, then we will do it ourselves.

For details, call Greenaction at (415) 248-5010 x107. *

Kelly is president of the Potrero Boosters Neighborhood Association. Schwartz is co-director of People Organized to Win Employment Rights (POWER). Harrison is a community organizer at Greenaction for Health and Environmental Justice. Brooks is the campaign coordinator for Our City.

Eliminating dissent

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sarah@sfbg.com

For years, the Hunters Point Shipyard Restoration Advisory Board has served as the Bayview-Hunters Point community’s main voice in the U.S. Navy’s environmental cleanup plans for the toxic former naval station. But the committee is suddenly being disbanded just as the cleanup enters a crucial phase.

Used for shipbuilding and submarine maintenance and repair, and the decontamination, storage, and disposal of radioactive and atomic weapons testing materials, the shipyard was added to the Superfund national toxic site cleanup list in 1989. But it is also at the heart of where Mayor Gavin Newsom has partnered with Lennar Corp. on the city’s biggest development proposal, involving 10,500 homes and a new stadium for the 49ers.

As the Navy prepares to release a series of important studies and reports concerning the cleanup of the dirtiest parcels on the former shipyard, community members were outraged by the Navy’s announcement in late May that it is preparing to dissolve the RAB in the next 30 days.

In July the Navy will release draft feasibility studies for the cleanup of Parcel E, along with a final remedial investigation/feasibility study for Parcel E2, the dirtiest parcel on the base, and a radiological data-gathering investigation in the sediment surrounding Parcel F, which is the underwater portion of the base.

Some insiders say the announcement was not unexpected, given an escautf8g series of confrontational RAB meetings with the Navy over the last two years. But they fear the community will lose its ability to give the Navy direct, timely, and meaningful feedback, even if many believe the Navy wasn’t listening.

"The Navy fully supports the need for open, meaningful dialogue with the diverse Bayview-Hunters Point community regarding our environmental cleanup actions and decisions. However, the RAB is not fulfilling this objective," the Navy’s Laura Duchnak wrote in a May 22 letter to the RAB.

In her letter, Duchnak said the RAB meetings no longer provide community input on the Navy’s environmental cleanup program, that their atmosphere is not productive to effective public discourse, and that Navy attempts to improve the process have failed. "The revised community involvement program may include community environmental forums, including using Internet-based technologies to more easily reach a diverse audience, expanded monthly progress reports and fact sheets, and hosting technical discussions and tours of cleanup sites for interested community members," Duchnak wrote.

Duchnak’s announcement followed a tense January meeting in which RAB members reacted with horror when the Navy announced it was moving forward with controversial plans to cap radiologically-affected areas on the shipyard’s Parcel B instead of digging and hauling them, which the community preferred (see "Nuclear Fallout," 07/16/08).

Led by RAB co-chair Leon Muhammad, who teaches at the Nation of Islam’s Center for Self Improvement, which has been repeatedly dusted by unmonitored asbestos (see "The corporation that ate San Francisco," 03/17/07), and joined by newly sworn-in members Archbishop King, Marie Harrison, and Daniel Landry, the board voted to seek a civil grand jury investigation into whether local truckers are getting their fair share of the Navy’s shipyard contracts.

Members then voted to remove the city’s public health representative Amy Brownell from the RAB, and to call for the stoppage of all work on the yard until the Department of Defense, the Navy, and the city can prove, as Muhammad said, "where the ongoing dust exceedences are coming from."

The final straw, insiders say, occurred in February when members voted to remove the Navy’s RAB co-chair Keith Forman from the advisory board. Eric Smith, who was sworn onto the RAB in January but did not vote to remove Brownell and Forman, said the Navy’s dissolution response wasn’t surprising.

"The dissolution of RAB is not a good thing in terms of what it is supposed to do. But it was also doing things that were dysfunctional," Smith said. "The bitter irony is that the folks who caused the trouble were trying to get the Navy to sit up and take notice."

Smith said there is frustration with the Navy’s communication style, which the community feels is patronizing. "But the RAB was naïve to think the Navy would allow a forum over which it has unilateral authority to become a platform for attacks," Smith said.

RAB member Kristine Enea, who missed the RAB’s last two meetings, confirmed that the atmosphere got increasingly confrontational but added that the Navy ignored suggestions her calls for wider community involvement.

"It’s ironic that the Navy had decided to respond to criticisms, which include the charge that it is a poor communicator, by cutting off communications with the community," said Enea, who works at the India Basin Neighborhood Association. "Dissolving the RAB is a drastic step. There is so much going on, and so much that we need to know."

But Enea hopes IBNA can help fill that void, noting that the association has applied for a US Environmental Protection Agency technical assistant grant to review shipyard clean-up documents, provide fact sheets, and host community meetings.

The Sierra Club’s Arthur Feinstein said that his group’s main concern around the dissolution is that Parcel E2, which contains an industrial and radiologically-impacted dump that burned for six months in 2000, and Parcel F are both coming up for analysis.

"These are some of the most significantly contaminated areas on the shipyard, so the timing is terrible," Feinstein told the Guardian, observing that some RAB members did not appear to be looking for solutions and were so aggressive they destroyed meetings.

"Unfortunately there weren’t enough forceful people to say ‘shut up and sit down,’" Feinstein said. "But without a RAB, there will be no public forum where folks are able to get and read materials ahead of the meeting, and then ask and submit questions."

Harrison, a member of the environmental justice group Green Action, believes the Navy’s intent is that there be no meaningful interaction with the community. "When you don’t toe the line and play like good little children, the Navy shuts you down," said Harrison, whose group, along with the Nation of Islam and the Caravan for Justice, are planning a June 30 demonstration at the shipyard to protest the move.

In another point of controversy, Sen. Mark Leno has legislation that seeks to trade 25 percent of Candlestick Point State Recreation Area, the only major piece of open space in the Bayview, for small strips on the shipyard so Lennar can build condos on the parkland.

Noting that Sen. Leland Yee and Assembly Members Tom Ammiano and Fiona Ma oppose the parks-for-condos plan (see "Going Nuclear," April 29), Harrison said, "What possessed anyone to believe that we’d say, okay, take the only open space in the Bayview, and in exchange we’ll accept contaminated land scattered around on the shipyard?"

Environmental advocates believe the Sierra Club intends to fight Leno’s legislation with a challenge under the California Environmental Quality Act, but Leno told the Guardian that he is "continuing to work and meet with the lobbyists for the Sierra Club here in Sacramento to see if there are any additional amendments we can take that would get them to a neutral position on the bill.

"I think there is a good possibility we can get there," Leno said.

In February, Arc Ecology released a 133-report titled "Alternatives for study" that recommended the removal of the Parcel E2 landfill and explored changes in land use arrangements in the current redevelopment proposal to avoid environmental impacts (see "Concrete Plans," Feb. 4). Unfortunately, they were largely ignored by the Mayor’s Office of Economic and Workforce Development, which is working with Lennar on the public-private development deal.

Arc Ecology executive director Saul Bloom remains undaunted, recalling how 87 percent of voters citywide supported Proposition P, an advisory measure he wrote and that then-Sups. Ammiano, Leno, Michael Yaki, and the late Sue Bierman placed on the ballot in 1989 to establish community acceptance criteria for the shipyard, under federal toxic cleanup guidelines.

"The Navy had offered their opinion that voters in San Francisco, and especially in the Bayview, would accept a nonresidential industrial level cleanup for the shipyard because they were primarily interested in jobs," Bloom recalled. "We said that this was a mischaracterization and we’d go ahead and prove them wrong."

He believes the current struggle with the Navy over the RAB, and with the city and Lennar over Arc’s alternatives, are "emblematic of the problem facing the Bayview with regard to accessing good information and being told the straight story on health and development issues."

This one’s ugly

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news@sfbg.com

The most painful and divisive city budget season in many years was just getting under way as this issue went to press, with dueling City Hall rallies preceding the June 16 Board of Supervisors vote on an interim budget and the board’s Budget and Finance Committee slated to finally delve into the 2009-10 general fund budgets on June 17.

Both sides have adopted the rhetoric of a life-or-death struggle, with firefighters warning at a rally and in an advertising campaign that any cuts to their budget is akin to playing Russian Roulette, while city service providers say the deep public health cuts proposed by Mayor Gavin Newsom will also cost lives and carry dire long-term costs and consequences.

Despite Newsom’s pledges in January and again on June 1 to work closely with the Board of Supervisors on budget issues, that hasn’t happened. Instead, Newsom’s proposed budget would decimate the social services supported by board progressives, who responded by proposing an interim budget that would share that pain with police, fire, and sheriff’s budgets — which Newsom proposed to increase.

Rather than simply adopting the mayor’s proposed budget as the interim spending plan for the month of July, as the board traditionally has done, progressive supporters proposed an interim budget that would make up to $82 million in cuts to the three public safety agencies and use that money to prevent the more draconian cuts to social services.

“It’s the start of a discussion to figure out what that number should be. I don’t know where we’re going to end up,” Sup. David Campos, who sits on the budget committee, told us.

Board President David Chiu said Newsom did finally meet with him and Budget Committee chair John Avalos on June 15 to try to resolve the impasse. But he said, “We didn’t hear anything from the mayor that would change where we were last week.” They planned to meet again on June 19.

“What we proposed represents the magnitude of the challenge we face this year,” Chiu said of the interim budget proposal, seeming to indicate that supervisors are open to negotiation.

The real work begins the morning of June 17 when the Budget and Finance Committee dissects the budgets of 15 city departments, including the Mayor’s Office, of which Avalos told us, “I don’t think the mayor has made the same concessions as he’s had other departments make.”

The next day, another 13 city departments go under the committee’s microscope, including the public safety departments that were spared the mayor’s budget ax and even given small increases, and the budget of the Public Defenders Office, where Newsom proposes cutting 16 positions.

“This creates a severe imbalance in the criminal justice system,” Public Defender Jeff Adachi told us. “Why is he cutting public defender services while fully funding police, fully funding the sheriff’s department, and essentially creating a situation where poor people are going to get second-rate representation?”

That theme of rich vs. poor has pervaded the budget season debate, both overtly and in budget priorities that each side is supporting.

 

BUDGET JUSTICE

Hundreds of people whose lives would be affected by cuts marched on City Hall under the banner Budget Justice on June 10. Some of San Francisco’s most vulnerable citizens, including homeless people, immigrants, seniors, and public housing residents, turned out for the march, chanting and waving signs asking the mayor to “invest in us.”

Sups. John Avalos and Chris Daly delivered resounding speeches mirroring the anger in the crowd, and promised to fix the budget by reallocating money to protect the city’s safety net. Daly charged that even as services to the city’s vulnerable populations are being slashed, “the politically connected and the powerful get huge increases.”

Avalos took the podium just before heading into City Hall to lead the Budget and Finance Committee meeting and implored the hundreds of people gathered out front to make their voices heard. “Mayor Newsom, he told us, he said, ‘We have a near-perfect budget.’ Do we have a near-perfect budget?” Avalos asked, and then paused while the crowd cried out, “Nooo!!!!!”

During an interview discussing Newsom’s budget priorities, Avalos twice made references to The Shock Doctrine, using the Naomi Klein book about how crises are used as opportunities to unilaterally implement corporatist policies. “We have a budget deficit that is real, but it’s being used to do other things,” Avalos said. “I look at it as a way to remake San Francisco. It’s a Shock Doctrine effect.”

He referred to the privatization of government services (an aspect of every Newsom budget), promoting condo conversions and gentrification, defunding nonprofits that provides social services (groups that often side with progressives), and helping corporations raid the public treasury (Newsom proposed beefing up the Mayor’s Office of Economic and Workforce Development by a whopping 32 percent).

“It’s things that the most conservative parts of San Francisco have wanted for years, and now they have the conditions to make it happen,” Avalos said.

Much of that agenda involves slashing services to the homeless and other low-income San Francisco and de-funding the nonprofit network that provides services and jobs. “There’s an effort to say nonprofit jobs aren’t real jobs, but they are an important economic engine of the city,” Avalos told us. Those cuts were decried during the June 10 budget rally.

“What people don’t realize,” Office & Professional Employees International Union Local 3 representative Natalie Naylor said, “is that everything that’s being proposed to be cut from the city is creating no place for homeless people to go during the daytime. I don’t think Newsom’s constituents realize that we’re going to see more homeless people on the street than ever before.”

Pablo Rodriguez of the Coalition on Homelessness told the crowd that he was furious that the mayor would make such deep cuts to social services. “Stop riding on the back of the homeless, and the seniors and the children and all the community-based organizations,” Rodriguez said. “Why make the poor people pay for the rich people’s mistakes? The poor people didn’t make the mistakes.”

 

WHOM TO CUT?

The public safety unions were equally caustic in their arguments. An announcement for the Save Our Firehouses rally — which was heavily promoted by members of the Mayor’s Office and Newsom’s gubernatorial campaign team — claimed that “the Board of Supervisors voted to endanger the progress that we’ve made in public safety by laying off hundreds of police officers, closing up to 12 out of 42 fire stations and closing part of our jail.”

Actually, all sides have said the interim budget probably won’t lead to layoffs, station closures, or prisoner releases, but those could be a part of next year’s budget.

Tensions temporarily cooled a bit in the days that have followed, but the two sides still seemed far apart on their priorities, mayoral spin aside. Asked about the impasse, Newsom spokesperson Nate Ballard told the Guardian, “The mayor has already included over 90 percent of the supervisors’ priorities in the budget. But he’s against the supervisors’ efforts to gut public safety. He’s willing to work with people who have reasonable ideas to balance the budget. Balancing the budget with draconian cuts to police and fire is unreasonable.”

Campos disputed Ballard’s figure and logic. “I don’t know where that number comes from,” Campos said. “A lot of the things we wanted to protect, the mayor cut anyway.”

Campos said Newsom’s slick budget presentation glossed over painful cuts to essential services, cuts that activists and Budget Analyst Harvey Rose have been discovering over the last two weeks. “I felt the mayor has done a real good job of presenting things to make it look like it’s not as bad as it really is,” Campos said.

 

COMMITTEE WORK

Avalos expressed confidence that his committee will produce a document to the full board in July that reflects progressive priorities.

“We’re going to pass to the full board a budget that we have control over,” Avalos said, noting that a committee majority that also includes Sups. Campos and Ross Mirkarimi strongly favors progressive budget priorities.

He also praised the committee’s more conservative members, Sups. Bevan Dufty and Carmen Chu, as engaged participants in improving the mayor’s budget. “I think the tension on the committee is healthy.”

Ultimately, Avalos says, he knows the board members can alter Newsom’s budget priorities. But his goal is to go even further and develop a consensus budget that creatively spreads the pain.

“Ideally, I want a unanimous vote on the Board of Supervisors,” Avalos said.

In the current polarized budget climate, that’s an ambitious goal that may be out of reach. But there are some real benefits to attaining a unanimous board vote, including the ability to place revenue measures on the November ballot that can be passed by a simply majority vote (state law generally requires a two-third vote to increase taxes, but it makes provisions for fiscal emergencies, when a unanimous Board of Supervisors vote can waive the two-thirds rule).

Avalos has proposed placing sales tax and parcel tax measures on the fall ballot. Other proposals that have been discussed by a stakeholder committee assembled by Chiu include a measure to replace the payroll tax with a new gross receipts tax and general obligation bond measures to pay for things like park and road maintenance, which would allow those budget expenses to be applied elsewhere.

But Avalos said Newsom will need to step up and show some leadership if the measures are going to have any hope of being approved. “To get the two-thirds vote we need to win a revenue measure in this bad economy is going to be really hard,” Avalos said.

“The mayor is open to new revenue measures as long as they include significant reforms and are conceived and supported by a wide swath of the community including labor and business,” Ballard said.

Sup. Sean Elsbernd — one of the most conservative supervisors — has repeatedly said he won’t support new revenue measures unless they are accompanied by substantial budget reforms that will rein in ballooning expenditures in areas like city employee pensions.

“Pension reform. Health care reform. Spending reform. One of the above. A combination of the above,” Elsbernd told the Guardian when asked what he wants to see in a budget revenue deal.

Avalos says he’s mindful that not every progressive priority can be fully funded as the city wrestles with a budget deficit of almost $500 million, fully half the city’s discretionary budget. “It’s a crappy situation, and we can make it just a crummy situation.”

‘Won’t You Stay?’: A peek behind the curtain

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By Rebecca Bowe

One of the first-ever showings of Adam Chanzit’s Won’t You Stay?, a work in progress, was held at the Ashby Stage on June 8 before a full audience.

The play poses questions about the consequences of extreme idealism by chronicling the lives of three college students as they transition to adulthood in New York City. Jacob, the protagonist, initially comes off as a workaholic entrepreneur who likens his ambition to a Jaguar speeding through the fast lane. He undergoes a transformation after having a profound experience in Siberia that is never fully articulated, but evoked bit by bit through monologues and original music. As time goes on, Jacob becomes increasingly obsessed with aiding people in need — but his frantic quest to end suffering is accompanied by his own descent into mental illness. His precarious path on the edge is contrasted with that of his girlfriend, Alice, and his best friend, Noel, whose own lives follow a more familiar progression from free-spirited college kids to conventional urban professionals.

Chanzit, whose plays have been produced in New York, Los Angeles, New Haven and Denver in addition to the Bay Area, says he felt it was important to solicit feedback not just from people involved with theater, but college and graduate students, people working in the mental-health sector and others. While many staged readings are closed to all but a few select colleagues, invitations to this event were targeted to reflect a much wider community.

After the 90-minute performance, Chanzit, director Mina Morita and producer Shane Boris opened up a dialogue with audience members, and an in-depth conversation ensued that touched on everything from interventions for people suffering from mental illness, to nostalgia for the idealism that was exhibited in the 1960s, to reflections on transformational experiences while traveling. “Having a larger and more diverse audience gives you more input into how the performance is working,” Chanzit says. And for the audience, events such as this offer a rare peek behind the curtain: “There’s something exciting about watching a play in development.”

Cybernet Expo 2009 gets deep down in it

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By Juliette Tang

cyber10609.jpg

It goes without saying that we tend to take our Internet porn for granted.

Naturally, we are so inundated with porn in our pop up ads, our spam folders, and our Google searches (an unfiltered image search for something as innocent as “cucumber” will get you porn on the first page), it becomes the accepted standard that porn will be an immutable fact that as long as the Internet exists and that we will be entitled to free, or at least accessible, cyberporn until the end days. Unless we’re in the business of making internet porn ourselves, we don’t often think of the business or entrepreneurial aspects involved behind the scenes, or the planning and development it takes to get even the most basic of adult websites off the ground. But adult entertainment, as with any other profession, is a part of an industry (albeit one that is on the fringe of the mainstream) that relies on a complicated network of people who work together and interact as a part of a larger market. And, like all professions, adult entertainment is privy to a phenomenon known as the “Expo”.

What industry, these days, doesn’t have its own expo? Every day, in hotel conference rooms all over the United States, from coast to coast, from New York to LA, from La Quinta to the Four Seasons, professionals gather to drink coffee and mini sodas to meet one another and discuss things like customer conversion and marketing strategies. Usually these expos are a staid and boring affair, with keynote speeches by tedious suit-types with topics like “Putting Service Above Self”. We see them all the time in San Francisco. After the open bar closes down, some of the more adventurous professionals will make their way up from the Renaissance Hotel in Fremont to the city, just to go to Ruby Skye.

At least in the adult entertainment industry, expos provide some entertainment value.

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Slightly exposed at the 2008 Cybernet Expo

If the AVN Adult Entertainment Expo is adult entertainment’s version of Web 2.0, then the upcoming Cybernet Expo is its version of the TechCrunch 50.

Recession, renewal

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johnny@sfbg.com

REVIEW When it comes to the negative impact that economic recession has upon the art world, there are as many problems as missing dollars. Yet among contemporary artists, such times tend to skew various views back toward those whose work isn’t epically expensive to begin with, a development that can be welcome. Moreover, careful budgeting can inspire reflection rather than a mad dash to acquire the newest, most expensive, and trendiest work.

At least two significant survey shows in 2009 follow this impulse in search of revelation. Next month, SFMOMA is opening "Not New Work," for which artist-curator Vincent Fecteau has selected art owned but rarely-to-never shown by the museum. Currently, Berkeley Art Museum executive director Lawrence Rinder taps into his curatorial insight with "Galaxy: A Hundred or So Stars Visible in the Night Sky," a multifloor epic exhibition that reveals the breadth of that institution’s art collection, and allows elements of it to ricochet off of each other in provocative ways.

Rinder is no stranger to such huge undertakings, having curated an installment of the Whitney Biennial and also co-conceived the landmark 1995 queer art survey "In a Different Light," one of the Berkeley Art Museum’s largest undertakings and banner shows of the previous decade. With "Galaxy," Rinder’s playful and subtly lively sensibility might even use a recent contemporary BAM exhibition as a trampoline of sorts. Last year, the site played host to Trevor Paglen’s "The Other Night Sky," a present-day photographic installation that provocatively muses on literal presences up above. With "Galaxy," Paglen’s literal stars and spy satellites are traded for the metaphorical celestial brilliance of artwork by Rembrandt, Rousseau, Dürer, Klee, and Rubens. One of the exhibition’s strongest facets is its tremendous array of remarkable etchings and engravings. Blake’s 1825 With Dreams upon My Bed and Behold Now Behemoth Which I Made with Thee are pettily awesome — worth an afternoon worth’s of scrutiny on their own.

While this excavation of canonical treasures tiny and large might be a new endeavor for Rinder, whose focus has primarily been on contemporary art, his selections and their arrangement are designed to trigger unpredictable associations and make a case for some comparatively-undiscovered contemporary local artists, such as Todd Bura. Thus a 2008 ink-on paper piece by Ajit Chauhan — who recently had a terrific show in a small side gallery at the de Young — holds its own and takes on added resonance next to works by Bruce Conner and Barry McGee, who might or might not count as Chauhan’s kin. In Chauhan’s A Mid Summer Night’s Cream … and McGee’s Untitled (2008), patterns of lettering and faces metamorphose into one another. Conner is one of a handful of recurrent artistic presences within "Galaxy" — his reappearance a testimony to his strong but varying presence and his influence upon Bay Area art.

Louise Bourgeois is another signature personality within "Galaxy," an impish creative force that darts in and out of different eras, styles and materials without ever seeming out of place. Rinder’s curatorial freedom allows for elliptical echoes that span centuries and floors of the museum. Bullfighting stampedes into the show in two different galleries, via an 1815-16 etching by Goya and a 1986 geutf8 silver print by Zoe Leonard. Etchings of village life congregate on one wall, landscapes and seascapes occupy a different area, experiments with color join up in groups of three and four. There are wave-like rhythmic patterns to the shifts between large-scale and miniature pieces.

A great sense of detail or flair has been given to the matter of framing many of these works, and Rinder’s use of framing extends to the show itself, which begins and ends with metallic or kinetic sculptural works that evoke Peter Selz’s 1966 Berkeley Art Museum exhibition "Directions in Kinetic Sculpture," while making a case for the tactile today. "Galaxy" begins with spinning metal discs and white button of Harry Kramer’s 1966 Jorg’s Chair, and closes with Edward Krasinski’s well-titled 1964 Perpindiculars in Space and Vassilakis Takis’ 1962-63 Tableau magnetique. In between these, there is a sense of queer flirtation and enjoyable perversity, thanks to the Caravaggio-esque crotch-pointing of Guiovanni Caracciolo’s 1610 oil-on-canvas The Young Saint John in the Wilderness, the eerie singed fringes of David Dashiell’s Dionysian 1992 Study for Queer Mysterties, the deathly delicacy of D-L Alvarez’s 1992 "In a Different Light" contribution Shawl (a net made of hair that likely degrades or is at least altered each time it is shown or moved), and a 1947 foam breast by Marcel Duchamp which asks to be touched.

Associations aside, "Galaxy" also is remarkable simply for exposing works so powerful that they stand alone. Such is the case with a 1955 untitled painting by Clyfford Still that takes the visceral and mortal concerns of the show into its deepest sense of experience. Gazing at this work is like passing through a threshold of elemental muck. In Still’s colors, beauty and horror entwine.

GALAXY: A HUNDRED OR SO STARS VISIBLE TO THE NAKED EYE

Through Aug. 30

Berkeley Art Museum

2625 Durant, Berk

(510) 642-0808

www.bampfa.berkeley.edu

Tears of a thug

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a&eletters@sfbg.com

The first time I interviewed Shaheed Akbar, a.k.a. the Jacka — in December of 2007, during a midnight session for Tear Gas (Artist Records/SMC), due June 16 — he was rolling purple and green weeds plus two types of hash into a Sharpie-sized blunt. I felt like Paul Bowles interviewing Bob Marley. Having known him three years, I can assure you that even in the Bay’s smoky atmosphere, Jacka blazes like a forest fire.

I dwell on this because it’s one facet of the Tear Gas concept, beyond the title’s literal meaning. The perpetual cloud enveloping Jacka is as much a part of his persona as his mobbed out tales of street life, based on experience. Like many artists, the MC enlists his favorite plant in the service of music.

"Weed helps you concentrate on certain things," Jacka observes, during a follow-up interview last month. "Nothing that contains too much multitasking. But if you don’t rap, try writing one; it’s hard as fuck. Weed gets you outside your normal realm so you coming up with crazy shit."

ARE YOU EXPERIENCED?


Yet, considering his consumption, Jacka barely raps about weed, or at least no more than most rappers; he has other things on his mind. When I e-mail Paul Wall, one of several big-name features on Tear Gas, to ask why he wanted to work with Jacka, he emphasizes the authenticity of his collaborator’s verses.

"He speaks from experience when he rhymes," Wall writes. "Like he’s rapping from a hustler’s perspective for other hustlers."

The experience Wall cites consists of details which, in the aggregate, might make for improbable fiction. Jacka’s rise to local notoriety at age 18 as a member of C-Bo’s Mob Figaz — whose eponymous debut (Git Paid, 1999) moved something like 140,000 units — is fairly well documented. But the story begins much earlier. Born of 14-year-old parents, young Jacka saw his mother get addicted to crack, and his father go to prison for a decade only to be murdered shortly after release. The result was an impoverished childhood in various hoods in Oakland, Richmond, and finally Pittsburg, where the Mob Figaz began.

"As a kid, everywhere I lived was in the projects," he says. "A nigga’s whole thing is to get out of there." Such ambition led Jacka to start dealing crack as early as age 11.

"Say you’re in school," Jacka continues. "Moms ain’t working. Pops ain’t around. The other kids at school have everything you don’t, as far as clothes and packing they own lunch. All that matters when you’re a kid. You go to junior high and you eating free lunch, people are like, ‘What kind of nigga is you?’ So when you’re from the hood and can hustle, that’s definitely helping your self-esteem. You pulling out wads of cash and motherfuckers who used to laugh at you ain’t got shit. That made me feel hella good."

"Things I had to do to survive is one thing," he says. "But how I feel about it now is another."

BLUNT (OR DEEP) EMOTION


Jacka’s willingness to probe psychological wounds reveals another implication of Tear Gas. Paradoxically or not, in a genre where emotions are usually limited to elation and anger, a large part of Jacka’s appeal is his emphasis on the melancholy ambivalence of street life. It’s subtle, of course, sprinkled into stories of coke-dealing and cap-busting. But contrary to his assertion on the Traxamillion-produced "Girls," an infectious thug-pop remake of the 1986 Beastie Boys classic, Jacka doesn’t just "knock hoes and live it up."

"You can only shoot the breeze so much; you gotta drop a jewel on people," says Jacka, citing 2Pac, to whom he pays homage in "Hope Is for Real." "He had to be a sheep in wolf’s clothing because he had to reach me, the niggas in the hood, but look what you learn from him. So I have to study and get wiser to even make a song."

To be sure, Tear Gas isn’t a sociological treatise; like the blues, it voices the despair of a culture rather than proposing solutions. But such articulation is exactly what makes the music of both Pac and Jacka so powerful.

"Listen to Marvin Gaye," Jacka continues. "I guarantee he’s going to grab your soul. He knows something and could put it together with the music. And what he talked about was the struggle, the pain. I try to make shit that’ll stick to your soul. Like the music my parents used to listen to."

Besides his social consciousness, Jacka’s success rests squarely on quality. Last year, his single "All Over Me" — included on Tear Gas — hit No. 7 on KMEL’s playlist and No. 15 on Billboard’s "Bubbling Under" singles chart. Yet he refused to rush his album to capitalize on this exposure. Instead, he released 11 side projects. Two of them debuted on Billboard’s R&B/Hip-Hop chart: Drought Season (Bern One), a collaboration with rapper Berner, at No. 55, and The Street Album (Artist Records), a "mixtape album" with KMEL DJ Big Von, at No. 91.

"Motherfuckers like shit that make them think," Jacka says, when asked about his appeal. They also like real albums and, taken as whole, Tear Gas is among the best rap discs in recent history, major or indie. Despite its array of producers and perhaps a few too many guests, Jacka has fashioned a tight, coherent album where every track is vital — an extreme rarity in contemporary hip hop. With its minor-key, exotic flute and harp textures, the new single "Glamorous Lifestyle," also produced by Traxamillion and featuring André Nickatina, epitomizes the overall feel.

"It’s not an easy process unless you really listen to music, and follow all kinds of genres," says Jacka. "Some people just listen to rap, but other music helps you grow as an artist."

THE VOICE


Being a rapper, Jacka’s voice is ultimately his most important asset, an instantly recognizable, rounded, mellow drawl — even when he raps fast — that is never raspy, despite the steady diet of blunts. His melodic, half-sung delivery, moreover, perfectly fits his vocal texture and mournful themes.

"My style really comes from the struggle," he says. "I’m not trying to make you like what I’m saying — I’m trying to get into your soul." This spiritual goal reflects what he credits as his primary influence: chanting the Koran. Surprising or not, given his gangsta themes, smoking, and even drinking, Jacka is a devout Sunni Muslim. It’s the result of a spiritual quest he began at age 9, when he joined the Nation of Islam.

"They showed me how to be black, because I really didn’t know," he explains. "I just knew we were in America, we used to be slaves, but I didn’t know why it was so tough for us. They made me read books that taught me to be proud of who I am. They can be a little strict sometimes, but they have to be; there was so much taken away from us."

When Jacka began intensively reading the Koran, however, he began to question some of the Nation’s teachings. "I realized that what it said in the Koran is what I should do," he says. "Not that plus something else."

The development of Jacka’s faith toward more orthodox Islam accelerated circa 2000. The Mob Figaz’ momentum slowed when C-Bo went to prison and Jacka caught a robbery case that landed him in county jail for a year.

"In jail, I was reading the Koran and realized the Sunni Muslim way is for me," Jacka remembers. "It’s the way I can pray directly to God." Following his release, Jacka took his shahada, declaring his formal adherence to Islam. But as rap money dried up in the Bay during its leanest years (2000-04), he returned to crime at a whole new level, even while beginning his solo career with The Jacka (Akbr Records, 2001).

"When I started working on my album, things changed for me — I really got into the streets," Jacka says. Rap celebrity gave him connections he otherwise would have lacked. "Whatever rap niggas was talking about, we were living," he says with some pride, although he feels he’ll one day have to answer to Allah for his misdeeds. Details of his criminal past are necessarily vague, though if you consider that fellow Mob Figa Husalah was arrested for transporting "over five kilos" of cocaine, a case culminating in his 2006 sentence to 53 months in federal prison, you get the picture.

"The streets are dried up for me," says Jacka. "Once the feds knock your boy, you can’t fuck around for the rest of your life. I’m hot. So I stay with the music now."

"I didn’t take the business as seriously as I should have," he admits. "So I had to start from ground zero." Fortunately, by the time Jacka’s second "official" solo album The Jack Artist (Artist Records, 2005) was ready to drop, the Bay began to heat up again. Even in the heyday of hyphy, the conspicuously non-hyphy Jack Artist sold some 20,000 copies, or "more than all those niggas put together," in the words of the man behind it. Yet despite this success, Tear Gas sounds little like its predecessor. Instead, it reflects Jacka’s artistic growth now that he’s settled down to music full time.

"I wouldn’t trade this for those times again — never," Jacka says, when asked to weigh yesterday and today. "This is something legit we’re doing that’s real. My dream as a child was to do this."

www.myspace.com/thejackamobfigaz

Shrinking government

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steve@sfbg.com

Mayor Gavin Newsom released his proposed 2009-10 city budget June 1, proclaiming it far better than doomsayers predicted and emphasizing how he minimized cuts to health and human services that he once said could be as deep as 25 percent in order to bridge a $438 million budget deficit.

"It doesn’t come close to balancing on the backs of our health and human services agencies, as some had feared," Newsom told the department heads, elected supervisors, and journalists who were tightly packed into his office for the announcement event.

But there’s still plenty of pain in a city budget where the General Fund — the portion of the budget local officials can control — would be reduced by more than 11 percent, its only reduction in recent memory. And at a time when every reasonable Democrat in Sacramento has been nearly begging for tax hikes to prevent budget blood, San Francisco’s Democratic mayor proudly proclaimed that there are no new taxes in the budget.

"We didn’t raise taxes, and we didn’t borrow," he said. You can almost hear that line being repeated in the ads he’ll be running as he campaigns for governor.

Newsom proposes slashing the city’s public health budget by $128.4 million, or 8 percent (a total of 400 employees), while the human services budget would take a $15.9 million hit, or 2 percent. "That’s a lot, but by no means is it devastating," Newsom said, noting that he restored some of the deepest cuts that were the subject of alarming public hearings. "I listened to the public comments at the Board of Supervisors… Things got a lot better than the headlines and the hearings."

The proposed budget includes 1,603 full-time-equivalent layoffs, or a 5.8 reduction in the city’s workforce, trimming more than $75.5 million from the general fund budget. In addition, the Department of Health and Human Services is cutting back its workweek to 37.5 hours to further trim costs.

"The smoke hasn’t cleared yet and there’s a lot of devastation in this budget that isn’t being talked about," Sup. John Avalos, who chairs the Board of Supervisors Budget Committee, said at the event. Newsom’s budget will be analyzed and then face its first committee hearing June 17, with approval by the full board required by July 31.

"The mayor told us a lot about what’s in the budget, but not a lot about what’s not in the budget, so we’ll spend a few days figuring that out," board President David Chiu told the Guardian.

The budget was aided greatly by more than $80 million in federal stimulus funds and other one-time revenue sources (such as $10 million from the sale of city-owned energy turbines) that were used to plug this year’s gap and offset cuts by the state and depressed tax revenue.

Although Newsom doesn’t want to raise taxes, licenses and fees would go up 41 percent, increasing revenue by $64 million to $220 million. Some of those proposed fee hikes range from the cost of parking in city-owned garages to admission fees for city-owned facilities such as the Strybing Arboretum. Muni riders will also see fares hiked to $2.

There will also be deep cuts to some key city functions. The Department of Emergency Management would take a 24 percent cut under the mayor’s plan, while the Department of Building Inspection faces a 20 percent cut to expenditures and a 29 percent reduction in staff.

The Planning Department would also take a hit of about 7 percent, with most of that focused on the department’s long-range planning functions, which were slashed by 19 percent to $4.7 million.

But it’s not an entirely austere budget. The police and fire departments have status quo budgets with no layoffs. Travel expenses would increase 13.5 percent to $2.9 million and the cost of food purchased by the city would rise 127 percent to $7 million.

The Mayor’s Office of Economic and Workforce Development — which often uses public funds to subsidize private sector projects — would get a 32 percent increase, to $24.7 million.

It’s unclear how much the Mayor’s Office has shared the budget pain. During the presentation, Newsom said his office’s budget has been cut by 28 percent, but he later clarified that was spread over the five years he has been mayor. Yet even that is tough to account for given that some functions have been shuffled to other departments.

The document shows a proposed 60 percent increase in the Mayor’s Office budget, although the lion’s share of that comes from the Mayor’s Office of Housing’s one-time financial support for some long-awaited projects, including rebuilding the Hunters View housing and support services project for low-income people connected to the Central YMCA, and an apartment project on 29th Avenue for people with disabilities.

Avalos has said he will look to find money by cutting some of the highly paid policy czars and communications specialists added to the Mayor’s Office in recent years, as well as Newsom’s cherished 311 call center and the Community Justice Court he created. Supervisors are also expected to resist Newsom’s penchant for privatization. Newsom proposed to privatize seven city functions, from jail health services and security guards and city-owned facilities, and to consolidate another 14 functions between various city departments.

Newsom pledged to work with supervisors who want to change the budget, continuing the rhetoric of cooperation that he opened the budget season with in January, which supervisors say hasn’t been matched by his actions or the secretive nature of this budget. "This budget is by no means done," Newsom said. "It’s an ongoing process."

In fact, Newsom warned that the budget news could be even worse than his budget outlines. Gov. Arnold Schwarzenegger is talking about new cuts that could total $175 million or more for San Francisco only, although Newsom only included $25 million of that in his budget because it went to the printer on May 22 and the total hit is still unclear. "So," Newsom said, "we’re by no means out of the woods."

Dystopian enterprise

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Best-selling author Richard North Patterson stays out of the local limelight, but he’s a San Francisco resident — and we caught up with him May 21st to talk about his new book, Eclipse, and the role that U.S. oil companies play in Nigeria.

Before Nigerian environmental activist (and Goldman Environmental Prize winner) Ken Saro-Wiwa was hanged in 1995, PEN, the international writers’ group, wrote letters and organized protests against the execution. "I was very impressed by Saro-Wiwa," says Patterson, who was on the board of PEN at the time. He notes that Saro-Wiwa was a nonviolence advocate who succeeded in building a grassroots movement among the Ogoni in the Nigerian delta — all in the face of a ruthless dictator, and at great risk to his wife.

As Patterson recalls, despite the protests, several Western governments voicing their concerns, and then-President Bill Clinton’s hour-long conversation with Nigeria’s military dictator Gen. Sani Abacha, "They unceremoniously hung Saro-Wiwa. It was a lesson in a number of things, beginning with the degree to which oil makes autocrats feel impervious."

Post- 9/11, oil "security" became a bigger concern. Patterson began to realize that amid the U.S. failures in the Middle East, the disaster in Iraq, and the growing fear of al Qaeda, everyone was looking at Nigeria as an even more important source of oil.

"Meanwhile Nigeria’s environment was that much more ruined, its political leadership hopelessly corrupt, a semi-official militia that claimed to be acting in Saro-Wiwa’s name was killing each other and stealing oil, and everyone had a fee," says Patterson. "It was a classic example of how a natural resource makes its extractors and the rulers rich, but only serves as a source of misery for people standing on the ground. I already felt that Saro-Wiwa was a remarkable man who should be remembered. But now he was becoming even more relevant."

Patterson began researching Saro-Wiwa’s life, a quest that involved one trip to Nigeria and many conversations with lots of related experts. "Nigeria is not a place to go back and forth to — you’d think I was trying to break into Las Vegas," he says, noting that he hired security during his trip. "I’m not unknown, so there was a concern I’d be a high-value target. But I loved the Nigerians I met. They were a bright enterprising bunch in a dystopian setting, and to the extent I couldn’t go places, I did all I could by talking to people, reading articles, and watching films."

The name of Eclipse‘s protagonist is Bobby Okari. Was Patterson making reference to President Barack Obama? "If I was, it was subliminal," he says.

So what can Americans do to improve the plight of everyday Nigerians? "Increasing our independence from oil and increasing our foreign aid to Nigeria would be helpful," Patterson says. "The real problem is the extent to which human rights are trumped by self-interest. When we fill up our tanks, half of us don’t know that there’s oil in Nigeria. So first we need to become aware of the impact of the commodities we need. But I’m not sanguine about how easy this is. Saro-Wiwa was hung and 14 years later, where are we? The same place, and that’s a disgrace."

While Patterson does not excuse what he calls "the callousness of the U.S. oil companies," he believes that first we must address the Nigerian government.

"The history of the oil industry in Nigeria is pretty ignoble, but [without the industry] they can’t maintain the schools, roads, hospitals, and clinics," he says. "If the government doesn’t give a damn, it’s hard to make a quasi-government out of an oil company. When we get angry at the oil companies, it begs the question, What is the government doing? If it isn’t encouraging economic development and environmental protection, how can the oil companies? Shell and Chevron didn’t invent corruption. This is in no way to defend them. [But] there is a disconnect between Nigeria’s miserable government and its citizens. One of my central aspirations is to tell an entertaining story — and also to convey an awareness of a real problem."

Downtown’s missing history

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EDITORIAL To hear the proponents of a new downtown condo complex talk, you’d think they were giving the city a wonderful deal. In exchange for an exemption from height limits that would allow a tower twice the allowable size just a few yards from the Transamerica Building, the developer would give the city a little patch of parkland that’s now privately owned. Even the city planning director, John Rahaim, seems to think the special treatment is acceptable, since none of the other buildings in the area are nearly as tall as the Pyramid, and, he told the Chronicle, "usually you cluster tall buildings together."

Of course, the usual crew of downtown boosters love the architecture (a sort of spiral design), love that it would create housing in an area that’s generally empty at night, and figure that something only about half as tall as the high-rise it’s next to can’t be all that bad.

But there’s a stunning lack of historical perspective in all this discussion.

The Transamerica Building seems like an icon today, but when it was first proposed in 1969, it met with strong opposition — not so much because of its unique design (although some prominent architecture critics thought it was hideous) but because it was way too big, too tall, and jammed into a human-scale neighborhood where all the other buildings were low-rise. It was a flash point for the anti-Manhattanization movement and rallied preservationists, environmentalists, and neighborhood advocates.

One of the central issues: in order to accommodate the new tower, the city would have to give up a block-long section of Merchant Street, an alley filled with small businesses. The controversy over the sale of that public street occupied center stage in the Transamerica battle, and in order to convince the supervisors to hand over the public property, Transamerica agreed to build a little park on the edge of the property. That’s how Redwood Park came into being — as a concession from a developer who had been given public land.

And now another developer, Andrew Segal, is offering to give the park back — again, as mitigation for a project that’s too big for the site. So the city, in exchange for approving a bad project, winds up with land it would have had anyway if it hadn’t accepted a different bad project four decades ago.

And there’s been very little attention paid to the historic reasons why this project would need special exemptions from two city laws to move forward. In the mid-1980s, with Dianne Feinstein in the mayor’s office, the city was getting choked with tall, bulky — and frankly, nasty-looking — high-rises that were turning downtown and South of Market into dark, windy, dismal canyons. After long debate, many public hearings, and extensive discussion, the voters approved two measures aimed at limiting the impact of overdevelopment. One of them, Proposition K, barred new buildings from casting shadows on public parks. The other, Proposition M, limited high-rise office development and mandated the preservation of neighborhood character. At the same time, the height limits in that area — on the edge of Jackson Square and North Beach — were reduced, again after many hearings and much debate. The idea was that downtown’s skyscrapers shouldn’t be intruding northward.

Let’s remember: this won’t be affordable housing. The new condos will be priced at the top of the market (clearly the developer thinks the housing market is coming back in San Francisco). And while environmentalists like the idea of building housing near jobs, very few of the new condos that have gone up downtown have provided housing for San Franciscans. Most are owned either by empty-nesters returning from the suburbs, Silicon Valley commuters, or international jet-setters seeking a SF pied-à-terre.

So there are very good reasons for planners and the supervisors to reject this project — and for the city not to forget that the rules that make this deal unappealing were neither random nor a mistake. There’s history here, and once you understand it, the project makes very little sense. * *

Sachs: Peace Through Development

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Here is an installment from Jeffrey D. Sachs’ monthly commentary: Economics and Justice available exclusively on the Project Syndicate news series. Jeffrey D. Sachs is Professor of Economics and Director of the Earth Institute at Columbia University. He is also a Special Adviser to United Nations Secretary-General on the Millennium Development Goals.

Peace Through Development

By Jeffrey D. Sachs

New York – American foreign policy has failed in recent years mainly because the United States relied on military force to address problems that demand development assistance and diplomacy. Young men become fighters in places like Sudan, Somalia, Pakistan, and Afghanistan because they lack gainful employment. Extreme ideologies influence people when they can’t feed their families, and when lack of access to family planning leads to an unwanted population explosion. President Barack Obama has raised hopes for a new strategy, but so far the forces of continuity in US policy are dominating the forces of change.

Bicycle Art: Bike dance with the Derailleurs

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In honor of Bike to Work week, we’re featuring one aspect of bicycle art per day. Check back regularly for homages to Cyclecide, Bicycle Porn, the Bicycle Film Festival, and more. By Molly Freedenberg

de rail leur [di-rey-ler]. noun:

1. a gear shifting mechanism on a bicycle that shifts the drive chain from one sprocket wheel to another

2. a Bay Area-based group of badass girls who dance on, with, and about bikes

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The Derailleurs. Clockwise from left: Agents Contrary, Flux, Chaos (Eliza Strack), Joke Star, Agitator, Verve (Hollis Hawthorne), Take the Lane, DoubleOO, and Edge. Photo by Alicia Sangiuliano.

Perhaps my favorite development in the world of bicycle art is bike dance, the strange and beautiful hybrid between high school drill team and BMX bike crew.

It all started – in its current form, at least – with the Sprockettes, who formed almost six years ago in Portland. A group of bold, fun-loving ladies donned pink and black outfits and performed synchronized dance and bike tricks at the Multnomah Bike Fair, a one-time show that was so popular, it not only grew into a regularly-performing dance troupe, but spawned a bona fide movement.

Inspired by the Sprockettes, bike enthusiasts in other cities began to form their own troupes, each choosing their own “power colors” and establishing unique identities with their own combination of synchronized moves, bike tricks, acrobatics, and fire. (Check out a full description of the history of bike dance here.)

JROTC: Now, the lawyers

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By Tim Redmond

It’s no surprise, really, that the School Board voted to reinstate JROTC last night.. ONce Norman Yee announced he was going to support the program, the deal was done.

By the way: We endorsed Yee in part because he voted not to allow phys ed credit for JROTC, and without PE credit, the program’s going to die eventually anyway because not enough students will sign up. Now, since the state (sort of) claims that JROTC qualifies for credit, Yee says he’s willing to accept that and keep the miitary recruitment program going.

I’m not happy about that, and neither are a lot of other progressives who supported Yee. But for the record, I don’t think Yee would ever have brought this back on his own; it took Rachel Norton and Jill Wynns to do that. And love JROTC or hate it, credit (or blame) for this lies squarely with those two board members.

Not letting Yee off the hook, but facts is facts.

Now then: It’s still not as simple as it seems. Even if Norton is right, and the board’s resolution killing PE credit only covered last year, it’s still not clear that the San Francisco schools can legally award class credit for JROTC. IN most cases, only people who have a state teaching credential are allowed to teach classes for credit in California public schools. The California Department of Education says that JROTC instructors can teach PE wihtout that credential:

JROTC instructors, who have a state and federal credential to teach the military course, would not need a PE credential, said Phil Lafontaine, the department’s director of professional development and curriculum support.

“They’re appropriately credentialed,” he said, even if students are earning PE credit.

But John T. Affedlt, managing attorney for the San Francisco law firm Public Advocates, says that’s completely wrong. In a May 12, 2009 letter to the SFUSD (warning, PDF), he notes:

Mr. Lafontaine’s opinion is not only wrong, it is utterly of no consequence … in California, it is the Commission on Teacher Credntialing (CTC) — not the California Department of Education — which implements and interprets state law regarding what constitutes appropriate credentials.

He adds:

There is no statute authorizing individuals possessing only JROTC credentials to teach PE.

So the School Board and legal counsel have some figuring to do. I think the whole PE credit question ought to come back up before the board — and JROTC supporters should hold off on celebrating until that messy legal issue is settled.

How to recapture foreclosed homes

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Text by Sarah Phelan

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Courtesy of the San Francisco Housing Development Corporation.

As the Guardian’s report about foreclosures in San Francisco reveals, they are concentrated in the southeast, where working people and communities of color live, making efforts to recapture these properties and resell them as affordable housing units a worthy endeavor.

But for those who believe buying these properties isn’t the best use of city money in stringent budgetary times, it’s worth looking at what’s happening policy-wise elsewhere in the Bay Area.

Last month, a dozen Democratic U.S senators joined their Republican colleagues to defeat a bill that would have allowed judges to reduce mortgages in bankruptcy courts. President Obama, facing strong opposition from the nation’s surviving banks, did not pressure lawmakers to support the measure, and the Senate killed a plan to spare thousands of homeowners from foreclosure through bankruptcy.

Steven Zuckerman, managing director of the California branch of Self-Help, one of the largest community development financial institutions (CDFI) in the United States, says his organization was deeply involved in supporting that legislation. And he doesn’t buy detractors arguments that lowering mortgages in bankruptcy courts would cause banks to raise other people’s mortgage rates.”

‘The bill only included mortgages that already exist,” Zuckerman, who blames the bill’s failure on the “lobbying of bankers’ associations,” told me.

According to information posted at its website, the North Carolina-based Self-Help has already provided billions in financing to small business owners and nonprofits nationwide in an effort to create and protect ownership and economic opportunities for minorities, women, rural residents, and low-wealth families and communities.

And locally, Self-Help is one of several CDFIs trying to help communities like San Francisco’s southeast sector and North Richmond in the East Bay, which have been hard hit by the recent wave of foreclosures sweeping the area.

”We do have a program and a product that we are trying to make available to groups that work in areas with high foreclosures,” Zuckerman said.

Saving the southeast

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sarah@sfbg.com

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This map of all foreclosures in San Francisco shows a heavy concentration in the southern part of the city, home to many low-income communities of color.

When Mayor Gavin Newsom and Sup. Sophie Maxwell convened a task force in July 2007 to figure out why African Americans are leaving San Francisco and how to reverse this trend, the subprime loan market crisis was about to send a shock wave of home foreclosures sweeping through southeast San Francisco.

Hope SF, the promised rebuild of the city’s public housing projects, is underway at a cost of $95 million. The city’s certificates of preference program, giving housing priority to black residents displaced by redevelopment, has been expanded and extended. But little has been done to address the immediate problem.

Instead political leaders have focused on a plan to subsidize Lennar Corp.’s construction of thousands of new condos in the southeast section of the city — the heart of the San Francisco’s remaining African American community — and have done nothing to promote a plan that could convert hundreds of foreclosed homes into affordable for-sale or rental units there, right here, right now.

African American Out Migration Task Force (AAOMTF) members recall warning that the crisis would likely hit San Francisco’s already dwindling black population extra hard. And Sup. John Avalos, who was running for election in District 11, remembers seeing impacts in the Excelsior District as early as 2007.

"I was telling people in early 2007 that this was a problem in District 11, and even real estate people didn’t believe me," recalled Avalos, who is exploring legislation to hold banks accountable and spoke at an ACORN protest in support of Excelsior homeowner Genaro Paed, a Filipino native who just staved off eviction orders pending the outcome of his lawsuit against Washington Mutual concerning what Paed describes as "a predatory loan" secured in 2006.

Avalos also planned to introduce legislation on May 12 that would expand protection of renters, including those in foreclosed homes who are now being evicted by banks.

This isn’t the first time city leaders have studied the African American exodus or ways to prevent low-income and minority households from being preyed upon or displaced. Indeed, this task force’s initial findings, (released last summer after Lennar spent millions to persuade voters to support building 10,000 condos in the city’s southeast) suggests San Francisco’s entire black community is at risk unless proactive and immediate steps are taken.

According to U.S. Census data, the city’s African American population shrank to 6.6 percent of the city’s total population by 2005 (a 40 percent decline since 1990) and will likely slip to 4.6 percent by 2050, according to the California Department of Finance. And these findings were made before the foreclosure crisis heated up.

In 2008 Maxwell and other elected officials convened a Fair Lending Working Group (FLWG) to figure out how to respond to the wave of foreclosures. By year’s end, there were 667 home foreclosures in San Francisco, almost all in the city’s southeast sector.

These numbers sound small compared to Contra Costa County or Oakland, where thousands of foreclosures occurred. And they aren’t big enough to qualify for the first round of President Barack Obama’s National Stabilization Program grants, which were released earlier this year. Based on a census-driven formula, the grants sent $8 million to Oakland and no money to San Francisco.

But with half the city’s foreclosures in the Bayview, home to most of the city’s remaining African Americans, the fact that little has been done to save these homes — or to follow early recommendations to do so — is a gentrification crisis in the making.

Ed Donaldson, housing counseling director at the San Francisco Housing Development Corporation in the Bayview District, served on the FLWG and remembers suggesting a two-tier track. First, take steps to protect renters in places that have been foreclosed and second, buy as many foreclosed properties as possible with the aim of reselling or leasing them as affordable units. While the FLWG liked the renter protection angle, it did not support the foreclosure acquisition program.

"The idea fell on deaf ears," recalls Donaldson, who was disappointed his foreclosure purchase plan didn’t make it onto FLWG’s recent recommendation list. FLWG members include financial institutions such as Wells Fargo, Washington Mutual, and Patelco Credit Union; community-based organizations such as Housing and Economic Rights Advocates, SFHDC, Mission Economic Development Agency; and city agencies. The agency also has received staff support from Assessor-Recorder Phil Ting, the Mayor’s Office of Housing, Treasurer Jose Cisneros and the Office of the Legislative Analyst.

"We’d already seen the spike in foreclosure numbers, so how did these recommendations get pushed out? We need something with teeth," Donaldson said.

SFHDC executive director Regina Davis says she suggested a foreclosure purchase and resale plan as an AAOMTF member and was concerned when she noticed that her recommendation was not included on the list discussed at the April 23 meeting. Billed as a closing-out session, that meeting took place at the San Francisco Redevelopment Agency and was attended by Davis, chair Aileen Hernandez, Redevelopment director Fred Blackwell, the Rev. Amos Brown, Barbara Cohen of the African American Action Network, Tinisch Hollins of the Mayor’s Office of Criminal Justice, and former supervisor and assessor Doris Ward, among others. The AAOMTF is finishing up its work this week.

"I got involved because I believed that in exchange for participation, we would see things done and/or funded. Part of what we want to see are real action items that keep African Americans in San Francisco or bring them back. So we really want this issue to move forward with substance," Davis told the Guardian.

Recognizing that San Francisco is facing massive budget constraints, SFHDC is proposing to borrow $1.5 million from Clearinghouse CDFI, a Los Angeles community development financial agency, to acquire and rehabilitate these foreclosed properties.

Davis’ group would then turn it around and offer residents several options: buy (if the prospective buyer qualifies for the city’s $150,000 downpayment assistance and a $50,000 loan from the California Housing Financing Agency); lease (in which SFHDC sells the home to the buyer but leases the land, making the price affordable), lease-to-own. Or, Davis adds, people could rent the units at affordable rates.

But to make the plan work, SFHDC need the banks to sell the properties AT below market rates. Noting that foreclosed properties are still selling in the Bayview for $400,000, Davis says her nonprofit intends to purchase 100 to 200 homes during a 24-month period at less than $200,000 mark.

Yet Davis remains optimistic about the plan’s chances as SFHDC negotiates with major banks for a 50 percent discount, noting that there is a monthly average of 50 foreclosures in the Bayview-Hunter’s Point, and SFHDC has access to 100 qualified buyers.

Blackwell said the Redevelopment Agency hasn’t developed an initiative or a funding pool to respond to the foreclosures in the city’s southeast sector. But, he said, the agency is looking at ways to apply for National Stabilization Program funds even though "federal guidelines mostly don’t apply well in expensive markets like San Francisco.

"We are engaged in advocacy so San Francisco can take advantage of any federal stabilization funds, but we don’t have an agency-specific proposal," he continued.

"Frankly, I think community-based organizations are the best to do programs like that, especially since there is so much anxiety about the Redevelopment Agency and property acquisition in the southeast," Blackwell added.

He believes that given the city’s current budgetary constraints, the AAOMTF "will likely look for leadership from the Mayor and the Board of Supervisors in cases where members have made recommendations and there is an opportunity to bring in public money."

Blackwell feels the city is still getting its mind around its foreclosure problem. "We’ve been spared the wholesale neighborhood-by-neighborhood devastation that places like Antioch faced," Blackwell said. "So, there wasn’t the same sense of urgency. And there’s a need to look more closely at the data. A lot of the information is based on anecdotes."

Yet the feds seem willing to help if city officials take the initiative. Larry Bush, spokesperson for the U.S. Department of Housing and Urban Development’s regional office, says San Francisco and Oakland could file a joint foreclosure plan application.

"If they can identify 100 homes, they’d be eligible for $5 million," Bush said, noting one snag that could unravel the plan locally. "Foreclosed properties must be vacant for at least six months. And as you know, in San Francisco, foreclosed homes still sell."

Maxwell says the city could do more to confront predatory lenders and enforce tenant rights, as well as developing a plan to buy foreclosed properties. "But in San Francisco it’s an issue because of relatively high prices," she told us.

Yet the city’s high prices are the very problem pushing out low-income residents. African American home ownership actually increased after 1990, even as out-migration among black renters increased. But now, if the foreclosures stand, that exodus will likely accelerate.

Asked if she supports SFHDC’s current foreclosure plan, Maxwell said, "It makes sense to me. If that could be done, it would be optimal."

Myrna Melgar of the Mayor’s Office of Housing says she’s not sure that a foreclosure resale plan would work in San Francisco for folks who bought a couple of years ago, when house prices hit $700,000, only to see house prices fall to around $400,000.

"San Francisco is a very different universe from Detroit," Melgar said. "Properties don’t sit around empty and vacant. They are bought by speculators who are betting that in two or three years, their values will go up. So if we had money to buy these properties, which we don’t, we’d be in competition with the speculators, who have lots of money with no strings attached, and who drive the prices up."

Another difference, Melgar said, is that San Francisco banks are holding onto 50 percent of their foreclosed properties, whereas Antioch banks are only holding onto 22 percent. "We’d like to keep folks in the homes," Melgar said. "But it’s a policy issue related to the reality that we have such limited funds."

How to fix public transit

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OPINION As San Franciscans deal with the shock of ever-worsening budget cuts, it’s time we look to fundamental structural changes in the way government does business. That’s a scary thought because, as Naomi Klein warns, free market ideologues use shocks to accomplish a very damaging type of structural change that cuts public service, increases privatization, and strengthens class division. Those of us who support collective responsibility and a strong public sector had better work together to propose our own structural change.

In transportation, to reduce driving — which accounts for 47 percent of greenhouse gas emissions in this city — we must increase public transit ridership dramatically. Yet the San Francisco Municipal Transportation Agency is cutting its budget by 16 percent. The solution is simple, but not easy: car transportation will have to cost more, in terms of money and time. Transit, walking, and bicycling will have to be easier, faster, and safer. We can use the funds from increases in driving costs to fund improvements to other forms of transportation.

The alternative is an abandonment of the great equalizer that is public transit — and a kind of privatization that provides the automobile as an option for the middle class but at the cost of miserable transportation for the 30 percent of San Francisco households who don’t have cars.

For this to work, public transit must be not just a little bit better, it must be a great deal better. It must remain affordable for families and serve the whole city efficiently, at all hours of the day. Residents should need cars so rarely that transit costs, plus occasional car-sharing and car rentals, are cheaper alternatives than car ownership.

With a higher gas tax and tolls on freeways (measures a recent San Francisco Planning and Urban Research analysis shows to be among the most cost-effective policies to reduce greenhouse gas emissions), we can make public transit work better. SFMTA should implement its proposed rapid network on the routes that carry 80 percent of Muni’s passengers, speeding up the vehicles by at least 20 percent. That will cost car drivers some time: mixed traffic lanes will have to be converted to bus lanes. Turns will have to be restricted and parking will have to be removed.

The city also must make bicycling safe and easy. Our bikeways need to be safe for 8-year olds, who need systems that forgive mistakes and allow for slow and easy riding, and seniors, who are not physically able to ride fast and cannot afford to make emergency stops that may cause a fall. That means we need effective 18 mph traffic-calmed zones and a system of car-free bike paths, including one down Market Street.

Transportation is a regional issue that San Francisco cannot solve on its own. We must do a better job of matching our regional development patterns to our needs to promote walking, bicycling, and transit.

To make all this work, we must stop sprawl immediately and concentrate growth in cities and existing suburbs. More density in cities means more people to support transit (through fares and a higher tax base) and more people to support local shops so that walking to your grocery store is an option for more people.

Dave Snyder is transportation policy director at SPUR.

How the JROTC vote could come down

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By Tim Redmond

Like so much in San Francisco politics, the vote tonight on restoring JROTC isn’t as simple as it might seem.

The resolution by Jill Wynns and Rachel Norton simply directs the superintendent to preserve JROTC at the seven high schools where the program currently exists. It doesn’t say a word about Physical Education credit.

That’s a central issue, because just about everyone agrees that if students don’t get PE credit for JROTC, so few will sign up that the program will die anyway. State law seems to say that anyone teaching PE classes has to have a teaching credential, and the JROTC instructors don’t qualify. The Chron reports that

Last week, the California Board of Education clarified the issue, saying local education officials have the authority to offer PE credits for JROTC. The state Department of Education reiterated that position in a letter to district and county education officials Monday.

JROTC instructors, who have a state and federal credential to teach the military course, would not need a PE credential, said Phil Lafontaine, the department’s director of professional development and curriculum support.

“They’re appropriately credentialed,” he said, even if students are earning PE credit.

But Gentle Blythe, the SFUSD spokesperson, told me that the district “has not seen that letter, so we haven’t been able to analyze it.”

In the meantime, the school board voted last June to end PE credit for this past year, which was supposed to be the final year of JROTC. According to Norton, that resolution doen’t apply going forward — so she’s convinced that if her resolution passes tonight, the PE issue will be moot. “The board policy enacted last year only end PE credit for the 2008-2009 year,” she told me.

Now it gets interesting. The intent of the board last year was almost certainly to end PE credit forever, since JROTC was supposed to be phased out after this year (why deny PE credit in 2009-2010 for a program that wasn’t supposed to exist?) But if the technical interpretation Norton is offering holds up, the board may face another vote –to withold PE credit for next year and into the future.

And since the swing vote on JROTC, Norman Yee, has made it clear ijn the past that he doesn’t support PE credit, he could wind up voting yes tonight to save the program — then no on a future resolution killing PE credit (which would effectively kill JROTC anyway).

“That’s possible,” Norton said. “But I don’t think it’s going to happen.”

It might, though — I don’t see JROTC foes letting this go.

UPDATE: I just spoke with Norman Yee. He says he plans to support the Wynns-Norton resolution “with amendments” — including the right for some high schools to opt out. He says his previous refusal to support PE credit was based on the state’s position that only credentialed teachers could teach PE — but if the state is wiling to accept the SF program, so is he.

Ick, that means this comes down to the district’s legal interpretation of a letter from the state Board of Education. Stay tuned.

Local businesses underrepresented in city contract awards

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By Rebecca Bowe

At Monday’s Land Use and Economic Development Committee hearing, Human Rights Commission Executive Director Chris Iglesias reported on how many locally owned San Francisco businesses benefit from city-issued contracts. The Guardian spotlighted this issue recently.

Across the board, the data showed, most city contracts are awarded to outside firms. (One speaker referred to them as “the Halliburtons of the world.”) The number of prime contracts and subcontracts awarded to non-local businesses was disproportionately higher than those awarded to local businesses, minority-owned businesses, or women-owned businesses, the data showed. Between September of 2006 and December of 2008, Iglesias noted, 35 percent of all city contracts went to certified local business enterprises.

In terms of city departments, Public Works led the way by awarding some 48 percent of its contracts to local firms. The airport issued just 10 percent of its contracts to local businesses, the port contributed 22 percent, and the Public Utilities Commission awarded 34 percent. Citywide, just 9 percent of term-contract awards and 7 percent of blanket-purchase orders were made through local firms.

Board of Supervisors President David Chiu, who formerly served on the city’s Small Business Commission, was less than thrilled by the findings.

Marin paper chokes on Mirkarimi appointment

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By Tim Redmond

The Marin Independent Journal is going nuts about the fact that San Francisco Sup. Ross Mirkarimi got a slot on the state Coastal Commission. The IJ wanted a Marinite, Sup. Steve Kinsey, and is blasting Sen. Mark Leno for recommending Mirkarimi (which for all practical purposes guaranteed that the San Francisco environmental leader would get the post).

According to the IJ:

Leno said it was a difficult choice and that he respects Kinsey’s experience. He said Mirkarimi offers strong environmental credentials and stressed that a San Franciscan has not held the North Coast seat for 32 years. He pointed to Mirkarimi’s leadership in winning passage of San Francisco’s ban on plastic bags. Leno said he also heard from some environmentalists who asked him not to pick Kinsey. Apparently Kinsey works harder than they would like to balance historic private property rights and local agriculture with protection of California’s coast.

You get the point — Kinsey thinks that the Coastal Commission should “balance” property rights and coastal protection. Actually, that’s not the panel’s job. The commission was set up to prevent development along the coast; it’s supposed to be really, really hard to get a permit to do anything that would limit public access or damange a pristine coastal area.

A former Sierra Club president makes the point nicely here.

But wait — the IJ isn’t done. In an oped column May 5th, Brad Breithaupt insists that Leno was snubbing the northern part of his district:

For the first time in 30 years, a Marin resident isn’t serving on the commission, even as an alternate.

Guess what? It’s been more than 30 years since San Francisco had a seat on the commission.

But that’s not the issue. The issue is that coastal protection is more important than whether someone lives in San Francisco or Marin — and on an increasingly conservative and pro-development commission, the representative from the SF/Marin/Sonoma area needs to be a hard-core enviro, someone who isn’t looking to compromise with property owners or developers.

“And I think Ross Mirkarimi has already proven he’s doing an excellent job,” Leno said. So lighten up, Marin.

Our 2009 Small Business Awards

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>>More on SFBG.com
Why can’t City Hall shop local?

EMPLOYEE-OWNED BUSINESS AWARD

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Photo by Pat Mazzera

CHURCH STREET FLOWERS

"It was really all about trust," says Stephanie Foster of Church Street Flowers, when asked about the benefits and perils of transferring ownership of the delightful bouquet boutique — and perennial Guardian Best of the Bay winner — near the Castro to the employees. Foster, along with Rachel Shinfeld and Brianna Foehr, took over in December 2008 from previous owners Michael Ritz and Thomas Teel, who’d run the shop for a decade. "The three of us had worked here for a while and we knew our stuff, so Michael and Tom knew they could rely on us to preserve the legacy. And the outpouring of support from our neighbors and regular customers has been overwhelming."

The ownership change of the cozy shop, bursting with vibrant blooms and friendly energy, went off without a hitch. "We were part of the lucky few who received a small business loan before the economic collapse," Shinfeld says. "But our business plan was smart, and the bank saw that we knew what we were doing." And, even in the current climate, business is thriving. "Our arrangements aren’t your standard cookie-cutter stuff," Foster says. "People nowadays want personalized, reasonably priced, green-minded, and locally sourced. We fit into all that — most of our flowers are from the downtown flower market and we keep an eye out for organic. Plus we strive to create a real connection with our customers, so we can give them exactly what they want."

"Sure, there have been some adjustments," Shinfeld adds. "There’s a lot of paperwork — and the first thing we needed to tackle was a Web site redesign. But our experience working here helped us through, and I think we’re just beginning to blossom in our new roles." (Marke B.)

CHURCH STREET FLOWERS

212 Church, SF

(415) 553-7762

www.churchstreetflowers.com

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GOLDEN SURVIVOR AWARD

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Photo by Charles Russo

GREEN APPLE BOOKS

What is the special ingredient that transforms a business from just another store into a place that makes people feel inspired and connected? After 42 years as a San Francisco independent bookseller, Green Apple Books and Music seems to have found it. Located on Clement Street in a building that predates the 1906 quake, it’s a "big, sprawling, dusty and funky new and used bookstore," as co-owner Pete Mulvihill describes it, creating an atmosphere for interactions that might seem impossible in a big-box store. Several weeks ago, for instance, a customer approached the store clerks, presented a CD, and requested that they play it. He also asked them to clear out the philosophy room. "I want it to myself for just a minute," he explained. The staff complied, the music started, and the man whisked his girlfriend into the philosophy room and proposed to her.

"To me, that’s an honor that somebody loves the place so much that they would propose to their girlfriend here," says Mulvihill, one of three owners and an employee for more than 15 years. A founding member of the San Francisco Locally Owned Merchants Alliance, he has been at the forefront of a push to identify and promote the city’s small, independent businesses. "Locally-owned businesses recirculate more money in the local economy than national chains," the SFLOMA Web site points out.

"Frankly, we’re invested in the community," Mulvihill explains. "[We] love San Francisco, and we don’t want to go anywhere." (Rebecca Bowe)

GREEN APPLE BOOKS

506 Clement, SF

(415) 387-2272

www.greenapplebooks.com

———–

CHAIN ALTERNATIVE AWARD

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Photo by Charles Russo

HUT LANDON

Hut Landon is responsible the past few years for helping direct millions of dollars into small business in San Francisco and beyond, and millions more into the local economy.

He does it through his energetic and creative leadership of two key organizations that promote the interests of locally-owned small business. Landon has been the executive director of the Northern California Independent Booksellers Association (NCIBA), which promotes the interests of 200 independent bookstores in the region. He is also executive director of the San Francisco Locally Owned Merchants Alliance (SFLOMA).

Under Landon’s stewardship, the two groups commissioned a pioneering 2007 study that quantified the value of locally-owned businesses in the city. Their stunning finding: if consumers redirected l0 percent of their retail purchases from chains to locally-owned merchants, the result would generate about $200 million for the economy, l,295 jobs, and $72 million new income for workers.

Landon’s timing could not have been better. As the economy tanked, local merchants and neighborhood business organizations used the l0 percent consumer shift as a mantra. The study also pointed out that the local economy could get another big boost if the city would shop locally with the tens of millions it now spends outside the city for goods and services.

Landon likes to use the example of two brothers who live together. One works on Potrero Hill and eats lunch at one of the many locally-owned restaurants. The other works at Stonestown shopping center and eats at a chain restaurant because that’s all there is out there. The Potrero Hill money, he points out, stays in the community. The chain store money is sent back to headquarters. (Bruce Brugmann)

HUT LANDON

Northern California Independent Booksellers Association

1007 General Kennedy, SF

(415) 561-7686

www.nciba.com

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SMALL BUSINESS ADVOCATE

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Photo by Abi Kelly

REGINA DICK-ENDRIZZI

Small business owners often feel as if they don’t have many advocates at City Hall. But they do have Regina Dick-Endrizzi.

Dick-Endrizzi, acting director of the Small Business Commission, has been moving rapidly on ways to help small businesses feel more comfortable dealing with the city — and to help them thrive in a tough economic environment. She helped establish the Small Business Assistance Center, which guides local merchants and prospective entrepreneurs through the thicket of city regulations. "It’s a tremendous asset," she told us. "When people walk through the door, we can take the time to help them develop a roadmap to doing business here." And she’s a driving force behind the Shop Local campaign, which will launch this month with bus shelter and bus-side ads designed to encourage San Franciscans to keep their money in town (co-sponsored by the Guardian).

Known in political circles as a former aide to Sup. Ross Mirkarimi, Dick-Endrizzi has a solid background in business. She moved to San Francisco in 1986 to open the Haight Street Buffalo Exchange store, and worked with that company for 13 years. "We bought our inventory from local people, and I had to have a close relationship with local small businesses," she said. "I have an intimate understanding of what it takes to run a business."

After several years in Mirkarimi’s office, she learned of the opening at the Small Business Commission, and plans to stay there for a while. "I truly believe in what this department offers to small business," she said. "There’s such a tremendous need." (Tim Redmond)

REGINA DICK-ENDRIZZI OFFICE OF SMALL BUSINESS

1 Dr. Carlton B. Goodlett, SF

(415) 554-6134

www.sfgov.org

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GOOD NEIGHBOR AWARD

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URBAN SOLUTIONS

Urban Solutions has its roots in the South of Market Foundation, an economic development corporation formed in 1992 in response to what SoMa merchants, residents, and community-based organizations felt was a lack of accountability in their neighborhood’s development.

A decade later, the organization changed its name and Urban Solutions was born. Two years after that, the burgeoning nonprofit opened a second office, this time in the Western Addition, becoming an important source of service in both neighborhoods.

Urban Solution’s executive director Jenny McNulty says she is currently excited about her organization’s Green Business initiative, which helps educate small business on how to conserve resources and reduce their carbon footprints — and save money in the process.

McNulty is also amped about Urban Solution’s effort — undertaken with the San Francisco Redevelopment Agency — to revitalize Sixth Street’s commercial corridor.

"We’re expanding our Green Business Initiative program, which offers free consulting to help small businesses go green by implementing cost-saving practices to increase the sustainability of their business operations," McNulty said.

Urban Solutions’ Sixth Street revitalization effort includes beautifying the area and helping businesses, in conjunction with Redevelopment Agency grants, by improving their facades, installing new awnings, repainting buildings, and replacing windows, storefronts, and entrance ways.

"Our focus is low-income businesses," McNulty said. (Sarah Phelan)

URBAN SOLUTIONS

1083 Mission, SF

(415) 553-4433

www.urbansolutionssf.org

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GOOD NEIGHBOR AWARD

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Photo by Abi Kelly

JENS-PETER JUNGCLAUSSEN

Jens-Peter Jungclaussen had a dream: Buy a gutted, camouflage-painted school bus on eBay, convert it to biodiesel, and put it to use as a mobile classroom by day and a party on wheels by night, a rollicking omnibus of education, culture, and sustainability. With a few flicks of his wrist, Jungclaussen, a former German windsurfing pro and biology and PE teacher, transforms the bus to suit the need at hand — pulling down a movie screen from the roof; unpacking a buffet table, wet bar, or set of turntables from beneath the seats; or simply switching on the "party lights." Dubbed das Frachtgut ("the good freight"), the bus has hosted dinner parties on Twin Peaks, ecology classes in Muir Woods, sunrise raves on undisclosed beaches, and screenings of The Big Lebowski (complete with bowling and White Russians). It also serves as a mobile billboard for its various local, eco-friendly sponsors and can be rented for field trips and corporate events.

The ever-enthusiastic and tireless Jungclaussen recently turned his attentions to youth education, this year offering for the first time a "mobile summer camp." Teaming up with fellow teachers Michael Murnane, Gretchen Nelson, Justin Ancheta, and Leah Greenberg, he’ll present three, 11-day sessions on wheels that will introduce young people to a variety of Bay Area natural, artistic, and historical treasures. But don’t worry, the parties will still keep rolling. As Jungclaussen promises of the bus, "What you want it to be, it will become." (Marke B.)

JENS-PETER JUNGCLAUSSEN

(415) 424-1058

www.teacherbus.com

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ARTHUR JACKSON DIVERSITY IN SMALL BUSINESS AWARD

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IRENE HERNANDEZ-FEIKS

It’s easy to assume that the purpose of Chillin’, the brainchild of Mexico City native Irene Hernandez-Feiks, is simply to have a good time. But the multimedia parties Hernandez-Feiks has been throwing for 11 years are much more than entertainment. Their actual purpose is to stimulate the economy and support one of the most difficult small businesses to sustain: the business of art.

A former designer herself, Hernandez-Feiks started out organizing weekly happy hours at 111 Minna where she would feature up to five independent Bay Area designers. Her philosophy? Charge the designers nothing for the opportunity and take no commission. The formula worked so well that Chillin’ eventually grew from weeknight happy hours to Saturday night events, complete with DJs. Now Chillin’ is a full-fledged happening — indeed, the June 13 anniversary show at Mezzanine features 180 photographers and artists, 40 filmmakers, 80 fashion designers, and 12 DJs.

But watching Chillin’ grow — and seeing participating artists transform themselves from local to international names — isn’t enough for Hernandez-Feiks. She also devotes much of her time to charity work, including involvement with Gen Art, the Mexican Consulate Cultural Affairs division, the United Nations and Natural World Museum, and the Art Seed Apprenticeship Program benefiting Bayview- Hunters Point youth.

"Because of Chillin’, I have relationships with so many artists," she says. "I want to use those connections to help everybody out." (Molly Freedenberg)

IRENE HERNANDEZ-FEIKS

Chillin Productions

(415) 285-1998

www.chillinproductions.com

Editor’s Notes

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Tredmond@sfbg.com

The first time the Guardian made an issue of the role small businesses play in the local economy, official San Francisco freaked out.

It was 1985, and only a handful of people were talking about sustainable local economies, about the connection between environmentalism and community-based economics, about how malls and chains stores were ruining America, and how spending money locally would create more jobs, with less waste of energy, than shopping at Wal-Mart or Home Depot.

The Guardian hired MIT economist David Birch to produce a study on job generation in San Francisco. His conclusion: small, locally-owned, independent businesses generated the vast majority of jobs in San Francisco. That directly contradicted the fundamental thesis driving city planning at the time; the planners and the mayor (Dianne Feinstein) argued that high-rise office development was the city’s prime source of new jobs.

The day the study came out, the city planning director (Dean Macris) called in his senior staff and directed them to work all weekend poring over our study and trying to figure out how to discredit it. Feinstein ignored us. The supervisors continued to allow high-rises to sprout, damaging small business and the local economy. The Chamber of Commerce was so disdainful of small business that a group of Fisherman’s Wharf merchants quit in disgust.

Today that battle is over. Done. The argument isn’t even an argument anymore. Everyone, from Mayor Gavin Newsom and the Chamber on down, agrees that locally-owned businesses are the lifeblood of the San Francisco economy. The mayor goes around urging people to "shop local."

But as we suggest in this special issue on San Francisco small business, the city itself isn’t doing such a great job at that. In fact, the public sector in general has been trained for so long to do business with the lowest bidder that the role a major institution like the city and county of San Francisco can play in boosting the local economy has gotten lost.

A 2007 study sponsored by the San Francisco Locally Owned Merchants Alliance shows that if local residents shifted just 10 percent of their purchases from big chains to local businesses, the city’s economy would pick up $200 million and 1,300 new jobs a year. Imagine if City Hall, BART, state agencies, the school district — every public sector agency in this city — did the same. *

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