Lennar

Air District fined Lennar half a million dollars last month

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by Sarah Phelan

In a surprise revelation, the Bay Area Air Quality Management District mentioned yesterday that it had reached a $515,000 settlement with Lennar over the developer’s failure to monitor and control asbestos dust at Hunters Point Shipyard.

BAAQMD executive director Jack Broadment brought up the settlement, which was dated August 8 and allegedly finalized in early September, during the air district’s October 1 board meeting.

Broadbent’s stunning revelation occured after Bay View Hunters Point residents asked the air district to address their concerns around Lennar’s repeated asbestos dust violations in their community.

Broadbent’s annoucement shocked the BVHP residents, who had showed up at the meeting. They countered that the amount was too little and too late.

An October 2 Air District press release claims the settlement is the “largest of its kind in California.”

“Our Air District team negotiated an appropriate penalty based on the circumstances of the case,” Broadbent stated in the press release. “This settlement will deter the kind of conduct Lennar engaged in that led to these violations.”

Air District spokesperson Lisa Fasano told the Guardian that the $515,000 fine is “the biggest fine for a dust violation in the Bay Area air district.”

Fasano said that the biggest penalty that the district has imposed in recent years was the $2.8 million fine against Shell for exceeding emissions limits at its Martinez facility.

Asked how the Air District arrived at the $515,000 figure Fasano said it was a “negogiated number.”

“There were three basic violations involved,” Fasano told the Guardian. “Failing to maintain air monitoring systems appropriately; failing to maintain wash stations properly and failing to contain properly what they were receiving from those wash stations.”

Lennar was supposed to monitor asbestos dust at the site and make sure that vehicles leaving the site were washed down properly, so that the dust wouldn’t get tracked out.

The developer entered into a detailed asbestos dust mitigation plan with the Air District in 2005 and made power point presentations in the community to reassure residents that they would be protected from naturally occurring asbestos, a known carcinogen, while Lennar graded an entire hillside to build a 1,600-unit condominium complex.

But though monitoring was supposed to begin in July 2005, Lennar’s negligence means there is no evidence of what the asbestos dust levels at the site were until September 2006. That was three months after intense grading began directly adjacent to a local k-12 school, where children played and studied, with only a chain link fence separating them from Lennar’s machinery.

Fasana said the Air District and Lennar negotiated the penalty based on the type, duration and negligence of the violations.

Fasano told us that the settlement was completed by the end of August, but had not been mentioned before, because there had not been a Board meeting since the settlement was made. The Board’s last meeting was July 30.

“The matter came up because folks from Bay View Hunters Point brought it up during public comment, ” Fasano said. “It was going to be mentioned in the Executive director’s report to the Board.”

Black exodus emergency

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› sarah@sfbg.com

San Francisco is losing its black population faster than any other large city in the United States — and the trend is unlikely to stop unless the city takes immediate action.

So says a draft report from an African American out-migration task force put together by the Mayor’s Office last year. It wasn’t published in final form early enough to have an impact on the June 3 election, when voters green-lighted Lennar Corp.’s plan to develop thousands of luxury condos in Bayview/Candlestick Point, one of the few remaining African American neighborhoods in San Francisco.

Task force members didn’t get to present their draft recommendations, which include preserving and improving existing housing and producing new affordable housing, until an Aug. 7 public hearing called by Sup. Chris Daly.

The out-migration task force, which used 2005 US Census and state demographic data, places the city’s African American population at 1/16 of San Francisco’s total population in 2005, compared to its two largest minorities, Asians and Hispanics, which make up 1/3 and 1/8, respectively.

"We saw that the African American population has declined by 40.8 percent since 1990, and as a share of the population decreased from 10.9 percent in 1990 to 6.5 percent in 2005," the report states.

"That’s not enough people to fill Candlestick Park," observed Fred Blackwell, executive director of the San Francisco Redevelopment Agency, which has been faulted for deliberately displacing blacks from the Fillmore District during the 1960s and for not doing enough to protect blacks in its Bayview-Hunters Point redevelopment plans.

The task force further projects that the city’s black community will continue to decline to 32,300 in 2050, or 4.6 percent of the total population.

Blackwell cited the lack of affordable housing, as well as a lack of educational and economic opportunity, severe environmental injustice, an epidemic of violence, and lack of cultural and social pride, as the reasons blacks are leaving, or not moving to, San Francisco.

"A lot of people mentioned the notion of being an outsider looking in," Blackwell said. "People can see a Chinatown and a Little Italy, but there wasn’t an area of town that seemed to celebrate the African American community."

The findings were not exactly news to the task force or the black community.

"We could paper the walls of this building with reports that have been made on this issue," said task force chair Aileen Hernandez, citing similar studies in 1995 and 1972.

Fellow task force member Barbara Cohen said the draft recommendations "should have long ago been called the final recommendations."

The Rev. Amos Brown accused Daly of not bonding with the black community. "I’d like to see you coming to church on Sunday, to NAACP meetings, to be down in the trenches, walking arm-in-arm," Brown said. "Let me know next time there’s a NAACP meeting, and I’ll be there," Daly replied.

Calling the city’s black depopulation an emergency, the Nation of Islam Minister Christopher Muhammad urged the Board to take the issue out of Mayor Gavin Newsom’s hands.

"It’s time to begin to change the culture of redevelopment," said Muhammad, who wants to establish endangered community zones in BVHP and the Western Addition.

"It’s revolutionary, but doable," said Muhammad, who characterized the city’s Redevelopment Agency as a "cheap grant-hustling operation" after the agency admitted that it cooked a state grant application this May by claiming it needed $25 million so it wouldn’t have to mothball a project the city and Lennar are developing at Hunters Point Shipyard.

Blackwell defended the mayor.

"This is not a set of recommendations that have been sitting on the shelf," said Blackwell, claiming that Newsom is working to implement a violence prevention plan and rebuild public housing.

Blackwell also recommended expanding the agency’s certificate of preference program citywide, an idea that Sup. Ross Mirkarimi has already placed before the Board.

Redevelopment cooked Lennar grant

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Officials with the San Francisco Redevelopment Agency admitted yesterday that they cooked a state grant application, by claiming that they needed the funds to fill a $25 million gap in the budget of a project that the City is developing with Lennar at Hunters Point Shipyard.

But what they really wanted the monies for, the agency claimed, was to boost a shrinking community benefit fund that was supposedly to be derived from development profits.

The admission came during a hearing into Lennar’s fiscal health. The hearing was requested by Sup. Chris Daly, following the discovery that the San Francisco Redevelopment Agency had applied for, but been denied, a $25 million grant from the state’s Department of Housing and Community Development to subsidize infrastructure costs.

The June 10 grant application discovery, coupled with Lennar’s June 7 bankruptcy filing at Mare Island, heightened concerns that Lennar was planning to mothball the Shipyard/Candlestick redevelopment project, even though voters had greenlighted an increase in the size of that project, just days earlier, on June 3.

Daly’s mothballing concerns were understandable, given that Stephen Maduli-Williams, SFRA’s Deputy Executive Director of Community and Economic Development had claimed, in a May 23 letter to the state that, “without the requested $25,021,079 Infill grant allocation, our infrastructure project faces a serious risk of being mothballed. The project would face increased costs from work stoppage, remobilization efforts and substantial change orders.”

At yesterday’s hearing, Maduli-Williams repeatedly denied that there was any hole in the project’s budget. Instead, he argued that he had manufactured the hole in an effort to increase funds to the project’s community benefit fund.

“This was one of the resources we felt compelled to apply for, because, if successful, it would be a direct benefit to the Legacy Fund,” Maduli-Williams said, noting that 60 percent of the profits from the development go to Lennar, while only 40 percent to the Redevelopment Agency, who will turn these funds over to the Bayview.

Maduli-Williams noted that had the agency received the grant, “it would, if anything, have been a pass-through to the agency, not Lennar.”

As for the “hole in the project,” that these monies allegedly would have filled, Maduli Willians claimed he invented the hole after being turned down in the first round of applications, in which $1 billion worth of applications were vying for only $240 million in grants.

“Without this hole, we were told, we would not qualify,” Maduli-Williams said. “It’s part of our job to turn over every rock we can to benefit the Bayview.”

“Lennar is not in severe financial difficulty,” he added, observing that pursuant to the deposition and development agreement that Lennar signed, a developer is deemed to be in default, if its net worth falls below $400 million.

“Currently, Lennar has $900 milion in cash and has zero corporate debt,” Maduli-Williams claimed. “Yes, there is money to complete the project.”

Lennar sued by shipyard artist

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serpentinite,jpg.jpg
Serpentinite is California’s state rock. It can contain naturally-occuring asbestos.

Shipyard artist Jack Hain says he just wants his rocks back. Serpentinite rocks, that is.
And getting these rocks back appears to be the crux of the case that Hain has filed in Superior Court against Lennar. That and the question of whether it’s OK to move materials from one part of shipyard to another.

But unlike the other shipyard-related cases involving Lennar, Hain isn’t worried about possible health risks from the serpentinite, which can contain naturally-occuring asbestos.
200px-Mineraly.sk_-_chryzotil.jpg
Veins of chrysotile, or other members of the asbestos family, can run through serpentinite rock, making it a toxic health hazard, if crushed, dug or otherwise quarried and excavated.

That’s because, says Hain, he wasn’t crushing or grading the rocks, but simply moving them across the yard.

Hain sued Lennar Communities and Lennar BVHP on May 15, 2008 in Superior Court, a month before residents sued the developer and two of its shipyard subcontractors, CH2M Hill and Gordon N. Ball, and five weeks before Lennar sued one of its subcontractors, CH2M Hill, for failure to monitor and control asbestos dust.

But unlike those suits, which center around Lennar’s failure to protect the community from naturally-occurring asbestos, while digging into a hillside full of serpentinite, Hain’s suit centers around the fact that Lennar removed three serpentinite rocks from an art work that Hain was building outside his studio in Building 116 on Parcel B of the Shipyard. (That’s the parcel where the Navy is currently proposing revisions to its original plan for radiological, soil and groundwater clean up.)

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Map of areas under radiologically investigation at Hunters Point Shipyard.

Lennar’s lawsuits

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› sarah@sfbg.com

Two years after Lennar Corp. reported that asbestos dust had neither been monitored nor controlled during major grading and earthmoving operations on its Parcel A construction site on Hunters Point Shipyard last year (see "The corporation that ate San Francisco," 3/14/08), the fallout from these failures continues.

On June 19 a dozen Bayview–Hunters Point residents and workers sued Lennar, as well as international environmental consultant CH2M Hill and Sacramento-based engineering consultant Gordon N. Ball, in Superior Court on behalf of their preschool and school-age children. The parents allege that their children suffered headaches, skin rashes, and respiratory ailments during Parcel A excavations, which occurred next to a predominantly African American and Latino community.

The plaintiffs charge Lennar, CH2M Hill, and Ball with public nuisance, negligence, environmental racism, intentional infliction of emotional distress, and battery. They are asking for monetary damages, a jury trial, and court costs.

But Lennar is apparently seeking to deflect the blame for these problems at the site entirely onto CH2M Hill through a new federal lawsuit, despite revelations in the Guardian (see "Question of intent," 11/28/07) that Lennar reprimanded its own staffer, Gary McIntyre, when he tried to bring Ball to heel for the company’s failure to properly control the toxic asbestos dust.

On June 23, Lennar BVHP LLC sued subcontractor CH2M Hill for negligence, negligent misrepresentation, breach of contract, express indemnity, and unfair business practices in connection with its work on Parcel A.

"Lennar seeks to recover for the significant economic harm it has suffered in addressing the ramifications of CH2’s gross and reckless misconduct in failing to provide competent asbestos air monitoring services for Lennar’s redevelopment of a portion of Hunters Point Shipyard in San Francisco," states the suit, which seeks damages, restitution and indemnity, attorney fees, court costs, and a jury trial.

"Lennar’s economic harm vastly exceeds $75,000," the suit notes. "CH2 has provided no compensation to Lennar and no other relief for its failures. Indeed, CH2 has never publicly acknowledged its clear responsibility for these failures."

CH2’s Oakland-based vice president, Udai Singh, who signed a $392,600 contract with Lennar in January 2006 for asbestos dust monitoring services, told the Guardian, "Unfortunately I’m not working on that, so I have no clue what you are talking about.

"I thought I might have seen something about that, but since I have been working mostly on EPA stuff, I haven’t been involved in this one," continued Singh, who has been project manager for remedial projects on Superfund sites for the federal EPA’s Region IX, which includes Arizona, California, Hawaii, and Nevada.

Singh referred us to CH2’s Denver-based counsel Kirby Wright, who referred us to CH2’s public relations director, John Corsi, who did not return the Guardian‘s calls as of press time.

But while Lennar BVHP continues to contract with Gordon N. Ball at the shipyard, local resident Christopher Carpenter has sued the Sacramento-based contractor in Superior Court for whistleblower retaliation, wrongful termination, racial discrimination, and intentional infliction of emotional distress.

As the Guardian reported, ("Green City: Signs of asbestos," 8/29/07), Carpenter was fired shortly after he complained about dust that was kicked up by a Ball backhoe excavating the Parcel A hillside on Oct. 2, 2006.

"Carpenter became surrounded by a cloud of dust that was caused by Gordon Ball’s failure to water the ground prior to commencing grading," the suit alleges, noting that Carpenter complained about Ball’s unsafe and unhealthy working conditions, some of which violated Bay Area Air Quality Management District regulations and the city’s Health Code, before he was fired.

At City Hall, Sup. Sophie Maxwell is seeking to amend the city’s Building Code to require more-stringent dust control measures for demolition and construction projects. (The Building Inspection Commission opposed Maxwell’s proposal in December 2007, in a 4–3 vote).

On July 22, the Board of Supervisors voted unanimously to support Maxwell’s dust legislation.

Meanwhile, the Rev. Christopher Muhammad, who represents the Muhammad University of Islam adjacent to Parcel A, asked the San Francisco Health Commission to investigate why it took until July 14 for the local community to learn of an asbestos-level violation that occurred at Lennar’s Parcel A site just four days before the June 3 election.

Muhammad suspects the infraction was hushed up because Lennar was engaged in the most expensive initiative battle in San Francisco’s history, plunking down a total of $5 million to support the ultimately successful Proposition G, which gives the developer control of Candlestick Point and the shipyard.

Amy Brownell of the Department of Public Health told the Guardian that the violation, which registered at 138,800 structures per cubic meter of air (the city’s work shutdown level is set at 16,000 structures) did not trigger a work suspension because there was no work planned at Lennar’s site May 31 or June 1, which was a weekend.

Nuclear fallout

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› sarah@sfbg.com

As the US Navy prepares to deal with its radioactive past at the Hunters Point Shipyard (HPS) — inviting folks to submit comments by July 28 on its proposed cleanup plan for Parcel B — community members are struggling to understand the threat and its implications.

Bayview–Hunters Point residents and environmental and public health advocates gathered July 8 at City College’s Southeast Community Facility to hear from and question Navy officials, but few came away satisfied. Most expressed doubts about the Navy’s credibility, or confusion about the exact risks to human health and the environment from the plan to clean up radiological, soil, and water contamination.

For the past 25 years, this 59-acre property has housed a colony of artists in the site’s Building 103, in studios rented through the San Francisco Redevelopment Agency. In September the artists will be ejected, either to portables and buildings on the shipyard or to an offsite location, so the Navy can excavate the building’s storm drains and sewers where low levels of radiological contamination have been found.

HPS Base Realignment and Conversion Environmental Coordinator Keith Forman explained at the meeting that when the Navy first presented a cleanup plan for Parcel B in 1997, it had not surveyed for radionuclides, remnants of the shipyard’s military past.

That 2001 survey revealed that there are 14 sites on Parcel B that may have been exposed to radiation, including Building 103. The Navy’s 2004 Historical Radiological Assessment reveals that while Building 103 began as a non-nuclear submarine barracks, Operation Crossroad personnel subsequently used it as a decontamination center after an atomic test went awry in July 1946 in the South Pacific.

In that test, the Navy detonated two bombs the size used on Nagasaki in the lagoon of Bikini Atoll. One bomb, the HRA notes, was an underwater burst called Shot Baker, which "caused a tremendous bubble of water and steam that broke the ocean’s surface."

"Then a huge wave, over 90 feet high … rolled over target and support vessels as well as the islands of the atoll," the HRA records. "Vast quantities of radioactive debris rained down on the target and support ships, islands and lagoon."

Seventy-nine ships were sent to the Navy’s radiological center at Hunters Point Shipyard for decontamination, a site chosen in part because University of California, Berkeley and Stanford University were nearby to support the radiation studies.

The following year, from April through August 1947, the Navy burned 610,000 gallons of radioactively contaminated ship fuel at HPS. Also, workers sandblasting contamination at the shipyard’s dry docks showered in Parcel B’s Building 103, raising the current concern that cesium-137, cobalt-60, plutonium-239, radium-226 (from radioactive decay of uranium-238) and strontium-90 could be present in underground drains and sewers.

The 2004 HRA also identified two plots on Parcel B, IR07 and IR18, as having been used as dumps for radioluminescent devices and possibly more sandblast debris. It also listed a discharge channel between a pump house and Drydock 3 as radiologically impacted.

Currently the Navy is proposing to excavate soil from IR-07 and IR-18, including known mercury and methane spots, and ship it to dumps in Idaho and Utah; fill and seal the suspect discharge channel; cover potentially radiologically impacted soil; and stipulate that these two areas be used as open space in future plans for the base.

The cost of the Navy’s proposed radiological cleanup is $29.6 million. The Navy also proposes spending $13 million on amended soil and sediment cleanup, and $2.7 million on amended groundwater remediation.

Forman told the crowd that the Navy’s old soil remedy was a "bad fit." Excavations were larger than expected, Forman said, and showed no pattern of release. "There was no end in sight for the Navy," Forman said. "It didn’t look as if we were doing what we were meant to do: namely, find Navy-caused spills."

Forman also criticized the Navy’s old groundwater remedy as being "very passive." He proposed a remedy that includes more monitoring along the shoreline and using contaminant-eating bacteria to cleanup groundwater contaminants.

"The old remedy did not consider risks to wildlife and aquatic organisms at the shoreline, whereas the amended remedy will," Forman noted. "It was silent on this issue, yet we know the area has a shoreline."

Ultimately, amending the Navy’s cleanup plan is "about protecting human health and the environment," Forman said.

Green Action’s Marie Harrison was critical of the Navy’s failure to explain the risks in simple terms. "You talked about risk assessment, but you never told us what the risks were," Harrison said. "What is the risk to human life? How is capping going to stop it going into the bay? I’m not a scientist. I don’t have a PhD. I was hoping you were going to give me some kind of knowledge."

Harrison also worried that the Navy was not factoring in the cumulative risks for people living and working in the surrounding community who visit the shoreline to relax. Told that manganese, nickel, and arsenic are present in risky quantities, Harrison was referred to online information at www.bracpmo.navy.mil and to documents housed at the San Francisco’s Main and Third Street libraries.

Other community members criticized the Navy for not doing enough outreach to the Samoans, Latinos, and Asians in the community, and for having taken too long to acknowledge radiological impacts.

"Do you really want us to believe that no one was aware of nuclear waste and spills, given this was a Superfund site?" said Espanola Jackson, a BVHP resident since 1948.

"What I expect you to believe," Forman replied, "is that until 2002, no one who had technical and scientific expertise had looked at the evidence, sifted through history, and done an analysis to put together a radiological assessment."

Jackson also accused the Navy of "fast-tracking the cleanup in order for Lennar to build houses," referring to the efforts of Mayor Gavin Newsom, Speaker of the House Nancy Pelosi, and others to hasten the shipyard’s cleanup and early turnover to the city so the area can be turned into a massive development project pursuant to the voter-approved Prop. G.

"We are not going to accept anything less than total cleanup," Jackson said. "If you have to move that dirty dirt, do it. We need $10 billion. You said $60 million. You can’t even scrape the surface with that amount."

Melanie Kito, the Navy’s lead remedial project manager, replied that the Navy is "chartered to clean up releases of spills from Navy activities. Whatever remedy we put forth, we have to demonstrate that we are protecting human health and the environment."

Kristine Enea, a member of the community-based Restoration Advisory Board, told the Guardian that she felt that the Navy did not do a great job of explaining the risks of contaminants in, say, a major earthquake.

"If there’s an earthquake, would the risk be like getting 10 x-rays at once, or having a three-headed baby?" Enea said.

Pamela Calvert, deputy director of Literacy for Environmental Justice, told the Guardian she’s worried about shipping the contamination elsewhere.

"I’m really concerned that we don’t solve problems in Bayview by creating ones for another community," Calvert said. "It’s best to deal with it here. There is no such thing as ‘away.’ It’s someone else’s backyard."

Saul Bloom, executive director of Arc Ecology, which does contract work for the Redevelopment Agency, said that Calvert’s concerns strengthen the argument for simply capping Parcel B so that the contamination can’t escape rather than removing the material.

Bloom said he blames the Navy’s "incompetence" for the city losing the opportunity to transfer Parcel B early and speed development. "If we’d got rid of Parcel B in 2004, we would have been part of the housing boom, not the housing bust," Bloom said.

He believes the Navy’s proposed plan is acceptable, feasible, and protective, but that "whether it’s the best use given the needs of the BVHP is another debate."

While some residents are arguing for a total excavation of the site down to the sea floor, Bloom disagrees: "I think the covering strategy is a protective solution." He criticized the Navy for only having scheduled 11 days between its July 28 public comment deadline and its final draft, due out August 8.

"I’m concerned about the length of time they’ve allotted for the question that comes up and that no one has the answer to," Bloom said. "I don’t think it is adequate or seemly from a ‘we take your comment seriously’ point of view."

Shipyard artist Rebecca Haseltine, who has rented at Building 103 for 18 years, says that she has consistently trusted Arc Ecology’s advice on the shipyard cleanup. "But I also feel that we still don’t know the half of what happened on the shipyard. The Navy denied that any radioactive material had been used at the base, until a reporter with the SF Weekly published a story about it in 2001."

Local Heroes

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Del Martin and Phyllis Lyon


Del Martin, left, and Phyllis Lyon
 

Del Martin and Phyllis Lyon have lived active lives — although “activist” would be the better word. One, the other, or both have been founding members of the Daughters of Bilitis, the Alice B. Toklas Democratic Club, the Council on Religion and the Homosexual, and Old Lesbians Organizing for Change. Martin, 87, was the first lesbian elected to a position in the National Organization for Women, where she was also the first to assert that lesbian issues are feminist issues. Lyon, 83, edited the Ladder, the first magazine in the United States devoted to lesbian issues. And together, it seems, there’s little they haven’t done, from coauthoring books to becoming the first gay couple in the nation to legally marry on Feb. 12, 2004, almost 50 years to the day they first became a couple.

Deemed void later that year, their marriage was reconstituted this June when the California Supreme Court ruled that same-sex marriage is, in fact, legal. Once again, Martin and Lyon were the first in line to tie the knot.

But gay marriage wasn’t the right they were fighting for when their relationship began back in 1954. “We had other, bigger issues. We didn’t have anything in the ’50s and ’60s,” Lyon recalls. “We were worried about getting a law passed to disallow people from getting fired or thrown out of their homes for being gay.”

Even something as simple as having a safe space to congregate was elusive. Before the mid-1950s, the only organizations that dealt with gay issues were run by and focused on men. So Martin and Lyon, along with a few other lesbian couples, founded the Daughters of Bilitis in 1955. “We would meet in homes, dance, and have drinks and so on, and not be subject to police raids, which were happening then in the gay and lesbian bars,” Lyon said. Those informal get-togethers eventually became the first lesbian organization with chapters nationwide.

They say their activism isn’t something that was sparked by their gender and sexuality, but came from being raised in politically conscious homes — Lyon in Tulsa, Okla., and Martin in San Francisco. When they met, working at the same company in Seattle, “both of us were already politically involved,” Lyon says.

“Really, ever since we were kids,” Martin adds. “You followed elections. You followed things like that. We wore buttons for Roosevelt. We couldn’t send money because we didn’t have any.”

“And then when we both moved in together, in San Francisco, the first thing we did was get involved with Adlai Stevenson,” Lyon says. They quickly got to know the major Democratic movers and shakers in the city, like the Burton family and later Nancy Pelosi, whom they would eventually turn to when there were gay issues that needed a push.

“We didn’t come out to everybody, but we came out to Nancy and the Burtons,” Lyon says.

These days age has tamped down the physically active part of their political activism, although they still donate money and were ardent Hillary Clinton supporters during this year’s Democratic primary race. They’re now backing Barack Obama over John McCain, though Martin expressed reservations. “I’m waiting to see how he handles the question about women and women’s rights. I’m not satisfied yet.”

Amanda Witherell

 

Local hero

Alicia Schwartz


Alicia Schwartz
 

Whether she’s demanding sit-down time with the mayor to discuss asbestos dust at Hunters Point Shipyard, offering to debate former 49ers president Carmen Policy over the need to develop 50 percent affordable housing in the Bayview, or doing the cha-cha slide on Third Street to publicize the grassroots Proposition F campaign, which fought the Lennar-financed multimillion-dollar Proposition G on the June ballot, Alicia Schwartz always bubbles with fierce enthusiasm.

“I absolutely love my job,” says Schwartz, who has been a community organizer with POWER (People Organized to Win Employment Rights) for four years.

Born and raised in Marin County, Schwartz graduated from the University of California, San Diego, with a degree in sociology and anthropology before returning to the Bay Area, where she is enrolled in San Francisco State University’s ethnic studies graduate program and works for the San Francisco–based POWER.

“It’s an amazing organization full of amazing people, united for a common vision, which is ending oppression and poverty for all,” says Schwartz. “In cities, the priorities are skewed to benefit folks who are wealthier and have more benefits. But the folks who keep the city running are not recognized or are suppressed.”

Prop. F wasn’t Schwartz’s first campaign experience. She had previously organized for reproductive justice, for access to health care and sexual-health education, and against the prison-industrial complex.

But it was the most inspirational campaign she’s seen so far.

“I saw the Bayview transformed,” Schwartz explains. “I saw people who’d lost faith in politicians come to the forefront and fight for the future. And I saw people across the city rallying in support, too.”

Schwartz acknowledges that Prop. F didn’t win numerically.

“But practically and morally, and in terms of a broader vision, Prop. F advanced the conversation about the future of San Francisco, about its working-class and black future,” Schwartz says. “Clearly, that fight isn’t over. It’s just beginning.”

Schwartz says she believes that the other success of Prop. F is that it raised the question of who runs our cities.

“And I think it was a huge victory, even being able to accomplish running a grassroots campaign, with no money whatsoever and where we had to up the ante, in terms of getting to know some of the political establishment.”

Most of all, Schwartz says she appreciated being able to work with people who hadn’t been part of POWER.

“And I appreciated being able to advance a set of demands that a broad range of people could support, while keeping the Bayview and its residents at the forefront,” she says.

While that particular campaign may be over, the battle for Bayview–Hunters Point continues on many fronts, says Schwartz.

“Are we going to allow it to be run by developers who don’t have our best interests at heart and who fool us with payouts and false promises?” she asks. “Are we going to allow San Francisco to become a place where people can’t afford to live, but surely have to come to work?”

Amanda Witherell

Local hero

James Carey, Daniel Harder, and Jeff Rosendale


From left, Daniel Harder, James Carey, and
Jeff Rosendale
 

It would be unfair to give any one person credit for stopping the state’s foolish plan to aerially spray synthetic pheromones to eradicate the light brown apple moth (LBAM). Thousands were involved in that struggle.

But there are at least three individuals we can think of who successfully fought the state with science, a tool that too often is used to dupe, not enlighten, the public.

They are James Carey, a University of California, Davis, entomology professor; Daniel Harder, botanist and executive director of the UC Santa Cruz Arboretum; and Jeff Rosendale, a grower and horticulturalist who runs a nursery in Soquel.

Together and separately, this trio used experience, field observation, and fact-finding tours to make the case that the California Department of Food and Agriculture (CDFA) would court disaster, in terms of lost time, money, and public goodwill, if it went ahead with the spraying.

And they did so at a time when UC, as an institution, remained silent on the matter.

“I felt like I needed to do this. No one was stepping up from a position of entomological knowledge,” says Carey, whose prior work on an advisory panel working with state agencies fighting the Mediterranean fruit fly between 1987 and 1994 led him to speak out when the state sprayed Monterey and Santa Cruz counties last fall.

Carey says the signatures of two UC Davis colleagues, Frank Zalom and Bruce Hammock, on a May 28 letter to the US Department of Agriculture also helped.

“All of us are senior and highly credentialed scientists,” Carey notes, “so our letter was taken really seriously by the agriculture industry.”

Rosendale and Harder had taken a fact-finding tour last December to New Zealand, which has harbored this leaf-rolling Australian bug for more than a century, to find out firsthand just how big of a problem the moth really is.

“We wanted to get the best information about how they were dealing with it, and what it was or wasn’t doing,” Rosendale recalls. What he and Harder discovered was that New Zealand had tried using organophosphates, toxic pesticides, against the moths — but the chemicals killed all insects in the orchards, including beneficial ones that stopped parasites.

“When they stopped using organophosphates, the food chain took care of the LBAM,” Rosendale says.

Like Carey and Rosendale, Harder believes that the state’s recently announced plan to use sterile moths instead of pesticides is a lost cause. He says it’s impossible to eradicate LBAM at this point because the pest is already too widespread.

“It’s not going to work, and it’s not necessary,” Harder says.

And now, Glen Chase, a professor of systems management specializing in environmental economics and statistics, says that the CDFA is falsely claiming that the moth is an emergency so it can steal hundreds of millions from taxpayer emergency funds.

“The widespread population of the moth in California and the specific population densities of the moth, when analyzed with real science and statistics, dictate that the moth has been in California for at least 30 to 50 years,” states Chase in a July 15 press release.

The state has put spraying urban areas on hold, but the battle isn’t over — and the scientists who have gone out on a limb to inform the public are still on the case.

Sarah Phelan

 

Local hero

Queer Youth Organizing Project


From left, Fred Sherburn-Zimmer,
Josue Arguelles, Jane Martin, Vivian Crocket,
Justin Zarrett Blake,
Joseles de la Cruz, and Abel-Diego Romero
 

The queer-labor alliance Pride at Work, a constituent group of the AFL-CIO, added a youth brigade last year, and it’s been doing some of the most inspired organizing and advocacy in San Francisco. The Queer Youth Organizing Project can marshal dozens of teen and twentysomething activists with a strong sense of both style and social justice for its events and causes.

Founded in March 2007, QYOP has already made a big impact on San Francisco’s political scene, reviving the edgy and indignant struggle for liberation that had all but died out in the aging queer movement. Pride at Work has also been rejuvenated and challenged by QYOP’s youthful enthusiasm.

“It really is building the next generation of leaders in the queer community, and man, are they kick-ass,” says Robert Haaland, a key figure in both Service Employees International Union Local 1021 and Pride at Work. “Pride at Work is now a whole different organization.”

QYOP turned out hundreds of tenants for recent midday City Hall hearings looking at the hardball tactics of CitiApartments managers, an impressive feat that helped city officials and the general public gain a better understanding of the controversial landlord.

“They have a strong focus on tenant issues and have done good work on Prop. 98 and some tenant harassment legislation we’ve been working on,” says Ted Gullickson, director of the San Francisco Tenants Union. “They really round out the coalition between tenants and labor. They do awesome work.”

In addition to the energy and numbers QYOP brought to the campaign against the anti–rent control measure Prop. 98, the group joined the No Borders encampment at the Mexican border in support of immigrant rights and turned a protest against the Human Rights Campaign (which angered some local queers for supporting a workplace rights bill that excluded transgenders) into a combination of pointed protest and fun party outside the targeted group’s annual gala dinner.

“It’s probably some of the most interesting community organizing I’ve seen in San Francisco,” Haaland says. “It’s really made a difference in our capacity to do the work.”

As an added bonus in this essentially one-party town, QYOP is reaching young activists using mechanisms outside the traditional Democratic Party structures, an important feature for radicalized young people who are wary of partisan paradigms. And its members perhaps bring an even stronger political perspective than their Party brethren, circulating reading lists of inspiring thinkers to hone their messages.

Haaland says QYOP has reenergized him as an activist and organizer: “They’re teaching me, and it’s grounding me as an activist in a way I haven’t been for a long time.”

Steven T. Jones

Lennar’s bombing range in Orlando

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Explosive news from Orlando: unexploded bombs found on Lennar housing site

How did Lennar build homes on a former military base without the live ordnance first being cleared? That’s the subject of a CNN report about a neighborhood in Orlando that was built on the former Pinecastle Jeep Range.

And as questions swirl about who knew what and when, a bigger question is coming into focus: who will the homeowners be able to hold accountable, now that their homes have been built? Is it the Army Corps of Engineers, the developer?

The report notes that “multiple lawsuits have been filed, accusing builders of gross negligence and seeking unspecified monetary damage.”

ornance.jpg
NIMBY nightmare: top ten things you don’t want to find in your backyard.

So, is this “real estate fraud” as one commentator on the CNN online edition claims?

And is it true that the government would have to step in and help the banks if all these property owners refused to pay their mortgages, claiming that the contract to buy the property was fraudulent, due to non-disclosure?

Either way, here is an interesting comment that should give prospective home owners pause:
” The twisted thing about real estate is you owe the bank not the developer. The bank pays the developer, and the home-owner is left with 30 years of house payments on a piece of property not safe to live on and lower in value than they paid for it. “

Lennar asks feds for help–Republican senator blocks bill

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Are we worried, yet? With San Francisco having climbed deeper into bed with Lennar thanks to Prop. G’s passage, the bad news coming from Wall Street and beyond can’t exactly be music to Mayor Gavin Newsom’s ears.

As Lennar reported bigger-than-expected quarterly losses today, Lennar’s Chief Executive Officer Stuart Miller expressed hope that the federal government would soon belly up and help bail out the beleagured housing industry.

Miller cited increased foreclosures, higher unemployment rates and diminished consumer confidence as reasons why the Florida-based mega developer experienced a 61 percent loss in revenues this quarter.

“With the U.S. housing inventory growing in excess of absorption and limited credit available, the prospect of further deterioration in the homebuilding industry will likely become reality absent Federal government action,” said Miller, who is apparently hedging his political bets by making the maximum campaign contribution to both presidential candidates.

“To that end, we are hopeful that the Federal government will acknowledge the need for further reform and will institute programs designed to stabilize and facilitate the recovery of the housing market.”

But a government plan to address the nationwide foreclosure crisis hit a roadblock in the Senate yesterday in the shape of a Republican from Nevada, Sen. John Ensign.

Ensign2.jpg

Sen. John Ensign (Nevada) wants $7 billion for renewable energy tax credits before he’ll support foreclosure bill.

This isn’t the first time that Ensign has played the role of lone obstructionist.

In September 2007, the Senate discovered that Ensign was using the “secret hold” to obstruct a bill that requires senators to file fund-raising reports electronically, rather than bury the identity of their benefactors in paper filings.

And for a short period in March 2006, Ensign blocked the nomination of Vice Admiral Thad Allen (who replaced FEMA director Mike Brown in the aftermath of Hurricane Katrina) to become the next Commandant of the U.S. Coast Guard.

But now Ensign, who reportedly has been tasked with assembling a staff to win back the U.S. Senate for Republicans in November 2008, is blocking a foreclosure rescue plan that has broad bipartisan support until he gets a vote on his amendment to provide almost $7 billion in renewable energy tax credits.

As a result, passage of the housing bill to create a multi-billion fund to aid thousands of homeowners refinance costly mortgages into more affordable government-backed loans, will likely be delayed until after July 4.

“In an election year, very few things are actually going to make it into law,” Ensign told reporters, “So if you actually want to get something done, you need to be on that train that is basically going to be leaving the station.”

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While Lennar spent $5 million to defeat a grassroots coalition that wanted 50 percent affordable housing in the Bayview, the City applied for $25 million in grants to bail out Lennar’s Shipyard development.

Here in San Francisco, Lennar Corp. has assured elected officials that there is no relationship between LandSource, a land and development company that filed for Chapter 11 bankruptcy on Sunday, June 8, and Lennar’s Bayview Hunter’s Point project.

In a June 9 letter to San Francisco Mayor Gavin Newsom, Lennar Corporation’s Chief Investment Officer Emile Haddad wrote, “We anticipate that there may be some effort to link LandSource to other Lennar ventures, including Hunters Point Shipyard. Let me be clear: There is no relationship between the two entities. Hunters Point has its own capital structure and financial partners.”

Haddad does not however explicitly mention that LandSource, which owns properties in California, Arizona, Florida, Texas and New Jersey, does have a relationship with Lennar Mare Island, which also filed bankruptcy June 8, leaving city officials in the already bankrupt Vallejo doubly stressed.

And nowhere does Haddad guarantee San Francisco a smooth, obstacle-free redevelopment of Bayview Hunters Point, which apparently is already facing a potentially fatal $25 million funding gap, according to City officials.

“Lennar is committed to continuing to work closely with our community partners and the City and County of San Francisco to overcome any obstacles and to work toward a successful venture,” Haddad writes. “You have my personal reassurance that we will keep you fully informed of any and all significant developments that may impact the project.”

“Likewise, we will continue to utilize the development’s partnership experience and qualifications to leverage all state and federal funding sources to enhance the project and ensure its timely completion.”

As for Lennar’s CEO Stuart Miller, he told investors that “notwithstanding the bleak operating environment, Lennar made significant progress during our second quarter.”

This progress included reducing unsold completed inventory. “We now have on average less than one completed unsold home per community.”
Lennar also reduced selling, general and administrative expenses by 60 percent.

Lennar.jpg
“Given our success with asset reduction, we have shifted our primary focus to the execution of an efficient homebuilding model through the repositioning of our product to meet today’s consumer demand and by aggressively reducing our construction costs.”

Sounds like a potential Triple Uhoh.

‘we are very pleased to end our second quarter with approx $880 million in cash and no outstanding borrowings under our credit facility. We have reduced our maximum joint venture recourse debt by approximately $1 billion from its peak level in 2006, which reflects a decrease of over 50 percent.”

“We recognize that the remainder of 2008 will likely see further deterioration in overall market conditions; however, we are confident that we will remain well positioned with a strong balance sheet and properly scaled operations to navigate the current market downturn as a leaner and more efficient homebuilder.”

Meanwhile, following a posting of a video showing some community members less than positive take on Lennar, someone replied with a video about Lennar’s homebuilding operations in Texas.

Seems like some folks in the Bayview aren’t the only ones, er, frustrated with Lennar.

Avoiding a Lennar meltdown

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EDITORIAL Millions of dollars in campaign money kept Lennar Corp.’s plans for southeast San Francisco alive. But the financial news isn’t looking good for the giant homebuilder — and the San Francisco supervisors ought to be worried.

Last week, Sup. Chris Daly released a document he obtained from the Redevelopment Agency showing that the city had quietly sought a $25 million grant from the state Department of Housing and Community Development to cover a projected loss in Lennar’s Hunters Point Shipyard project.

The problem: increased construction costs, trouble in the financial markets, and unforeseen environmental issues have eaten up all the money that Lennar and the city had made available for infrastructure improvements on the site. That means the roads, water and sewer pipes, and other basic stuff that project will need to go forward are no longer adequately funded. Without an influx of state money, the city argued, the whole shipyard project would either be "drastically reduced in scope" or put on hold for another two or three years.

"Without the requested $25,021,079 Infill grant allocation, our infrastructure project faces a serious risk of being mothballed," city officials wrote. As Sarah Phelan reported at sfbg.com, the state rejected the application last week.

The shipyard project is the first piece of Lennar’s grand-scale Bayview Hunters Point redevelopment — and it’s already in serious financial trouble. The same issues that are causing problems at the shipyard will be in play when Lennar starts work on the 10,000 new housing units now approved for the Bayview–Hunters Point redevelopment area. Construction costs will be even higher in a year or two. The end of the mortgage crisis is not yet in sight. As Daly told us, the shortfall in the first part of the project "casts a very large shadow on the mixed-use development envisioned under the conceptual framework on Proposition G."

Then on June 8, a Lennar subsidiary that’s working on redeveloping the Mare Island Naval Shipyard property filed for Chapter 11 bankruptcy. That project is now in limbo as the development consortium — facing economic pressure and unable to get the necessary financing — seeks protection from creditors. Combined with the fact that Lennar’s bond ratings continue to tumble (Lennar debt was downgraded again June 10), San Francisco officials ought to be asking the obvious question: can this Miami-based developer actually pull off this project? Or is it possible that after all of the political debate over the Lennar plan, the lack of adequate affordable housing, the future of the 49ers, the toxic contamination of the site, and everything else, the entire massive project could collapse because Lennar doesn’t have the financial ability to finish it?

This, of course, is one of the inherent problems with the traditional redevelopment model. The city essentially will be giving a huge piece of public land to a single private company that will then be responsible for building an entire new neighborhood with homes, offices, stores, and parks. In theory the developer will make enough money to stay afloat until construction is finished — and the property taxes in the area will increase enough to fund necessary infrastructure (schools, roads, bus lines, water and sewer service, and other public amenities). But if the developer goes broke, the city is left hanging.

That’s what’s happening in Vallejo, where a city that already has serious financial problems is facing the possibility that environmental cleanup at Mare Island will grind to a halt, and that a $6 million municipal service fund — paid for in part by Lennar — could suffer.

The prospects for San Francisco could be far worse. Suppose the city goes ahead and transfers public land to Lennar — which then goes into bankruptcy. Would that city land be treated as a private asset and given over to whatever creditor or vulture fund picks up Lennar’s ghost?

Fred Blackwell, the director of the Redevelopment Agency, won’t return our phone calls, but the supervisors need to hold a hearing on this and force him and Lennar to provide some answers. The board needs an independent audit of Lennar’s finances, either by Budget Analyst Harvey Rose or an outside consultant. And until the city knows for sure that the developer can actually handle this project, the entire redevelopment process for Bayview–Hunters Point needs to be put on hold. *

Lennar files for bankruptcy at Mare Island

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mareisland.htm
Just as folks in San Francisco are beginning to wonder if Lennar is planning to mothball the Hunters Point Shipyard in face of a $25 million funding gap (reportedly related to lowered land prices), comes word that folks in Vallejo are beginning to wonder what Lennar Mare Island’s June 8 bankruptcy will means for their city’s already strained finances.

On Sunday June 8, Lennar Mare Island LLC, which has been involved in redeveloping the former naval station at Mare Island for eleven years. petitioned for a Chapter 11 bankruptcy, along with its parent company LandSource and 19 other Lennar-related subsidiaries.

The move came several couple of months after LandSource defaulted on a $1.24 billion loan–and five days after the June 3 election, in which Lennar Homes of California spent $5 million to pass Prop. G, which gives it the right to develop luxury condos at Candlestick Point, as well as at Hunters Point Shipyard.

Is Lennar mothballing Hunters Point Shipyard?

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The question may seem strange to voters who just gave Lennar the green light to redevelop the Shipyard and Candlestick Point by voting Yes on Proposition G.

But it sure looks like there’s a major financial problem at Lennar’s construction site on Parcel A of the Shipyard ( the first piece of land on the former naval base to be developed), judging from documents obtained from the City.

“Without the requested $25,021,079 Infill grant allocation, our infrastructure project faces a serious risk of being mothballed,” wrote Stephen Maduli-Williams, Deputy Executive Director of Community and Economic Development for the San Francisco Redevelopment Agency, on May 23, 2008. “The project would face increased costs from work stoppage, remobilization efforts and substantial change orders.”

Maduli-Williams was writing to Wanda Yepez, a grant program manager at the California Department of Housing and Community Development, to appeal a grant application that Yepez determined as ineligible a week earlier, on May 16, 2008.

In his May 23 appeal, Maduli Williams stated that, “In addition to setting national benchmarks in the percentage (in terms of total units developed) and affordability level of housing units created, this project sets benchmarks with its level of developer commitment/investment as well as other community benefits (Legacy Fund).”

Editor’s Notes

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› tredmond@sfbg.com

Mark Leno took a huge political gamble this spring, and if he had lost, he would have lost big.

It was hard enough challenging an incumbent state Senator in a Democratic primary (and pissing off a long list of people, some of them powerful and all of them with long memories). But when it became clear that Joe Nation — a centrist (at best) Democrat from Marin — was joining the race, Leno was facing a dramatic challenge.

Imagine if Nation had won. Imagine if a progressive (if sometimes ethically challenged) lesbian from San Francisco had been tossed out of office and replaced with a straight white guy who was pals with the landlords and the insurance industry. The rap on Leno would have been vicious: he would have been the one blamed for losing a San Francisco seat, a queer seat, a progressive seat … it’s not fair, of course, since Carole Migden was the one who made herself vulnerable, but politics often isn’t fair.

And this would have been ugly. I was wincing to think about the comments the next day. Leno’s political career would have been toast. And this is a guy who loves politics, loves holding office. Talk about going all-in.

But Leno pulled it off, putting together a coalition of progressives and moderates and winning convincingly. And his job is only beginning.

Leno has to mend a lot of fences. A lot of people still don’t think he should have taken on Migden, and some of her supporters are going to be bitter for quite a while. Many think his victory empowered the wrong side of the Democratic party: the Gavin Newsom wing, the squishy center. A lot of people (including me) wonder how Leno will come down on the key contested supervisorial races this fall, when Newsom’s forces and the progressives will be fighting — literally — for the future of San Francisco.

If Migden had won, there would be no doubt about the future alignments: people who were with her would be in the game, and people who opposed her would be punished. That’s how she operated, for better and for worse. Leno is different; he’s willing to work with people who opposed him and try to build bridges. He tells us he’s not always going to be with Newsom on local issues and endorsements — and if that’s true, and if he keeps in mind that he needed the progressives to win (and that Newsom’s buddies at Pacific Gas and Electric Co. and the big landlords groups did their best to bump him off) — we may see some fascinating new political coalitions emerging. (We may also see more issues like Propositions G and F, in which Newsom, Leno, and the entire power structure supported the Lennar Corporation’s land grab.)

But first, there’s the Democratic County Central Committee.

The DCCC controls the local party, and the party’s money, and the party’s endorsements, all of which will be critical this fall. The progressive slate organized by Sups. Aaron Peskin and Chris Daly did very well, and now could control the committee.

But Scott Wiener, part of the more moderate wing, is still the party chair. Wiener’s a decent and fair guy, but he likes Plan C (a group that has horrible pro-downtown politics). Someone’s going to run against him. Then we’ll see what side everyone’s on.

Read the Potrero Boosters letter to Newsom opposing the Mirant retrofit (PDF)

Election as prologue

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› steve@sfbg.com

San Francisco politics shifted June 3 as successful new coalitions altered the electoral landscape heading into the high-stakes fall contests, when seven of the 11 seats on the Board of Supervisors are up for grabs.
Progressives had a good election night even as lefty shot-caller Sup. Chris Daly suffered a pair of bitter defeats. And Mayor Gavin Newsom scored a rare ballot box victory when the southeast development measure Proposition G passed by a wide margin, although voters repudiated Newsom’s meddling with the San Francisco Public Utilities Commission by approving Prop. E.

But the big story wasn’t these two lame duck politicians, who have served as the two poles of local politics for the past few years. It was Mark Leno, who handed Sen. Carole Migden her first electoral defeat in 25 years by bringing together progressives and moderates and waging an engaged, effective ground campaign. In the process, he may have offered a portent of things to come.

The election night speech Leno gave just before midnight — much like his entire campaign — didn’t break along neat ideological lines. There were solidly progressive stands, like battling the religious right’s homophobia, pledging to pursue single-payer health care, and blasting Pacific Gas & Electric Co. for funding sleazy attack pieces against him, reaffirming his commitment to public power.

But he also thanked Newsom and other moderate supporters and heaped praise on his political consulting firm, BMWL, which has run some of downtown’s nastiest campaigns. "It was clean, it was smart, and it was effective," Leno said of his campaign.

The Migden campaign, which had the support of Daly and many prominent local progressives, often looked dirty by comparison, marred by past campaign finance violations that resulted in Migden getting slapped with the biggest fine in state history and by Daly’s unethical misuse of the Guardian logo on a mailer that made it appear as if we had endorsed Migden.

Old alliances seemed to crumble around this election, leaving open questions about how coalitions will form going into an important November election that’s expected to have a crowded ballot and huge turnout.

UNITY AND DIVISION


There are things that unite almost all San Franciscans, like support for public schools. In this election that support came in the form of Prop. A — a measure that will increase teacher salaries through a parcel tax of about $200 per property owner — which garnered almost 70 percent of the vote.

"These numbers show that people believe in public education. They believe in what we’re doing," school superintendent Carlos Garcia told a jubilant election night crowd inside the Great American Music Hall.

Also uniting the city’s Democrats was the news that Barack Obama sewed up the party’s presidential nomination June 3, ending a primary battle with Hillary Clinton that had created a political fissure here and in cities across the country.

"The winds of change are blowing tonight. Let me congratulate Barack Obama on his victory," Leno said on election night, triggering a chant of "Yes we can" from the crowd at the Upper Market bar/restaurant Lime.

Local Clinton supporters were already switching candidates on election night, even before Clinton dropped her campaign and announced her support for Obama four days later.

"As a strong Hillary person, I’m so excited to be working for Obama these next five months," DCCC District 13 member Laura Spanjian, who won reelection by placing fourth out of 12 slots, said on election night. "It’s my number one goal this fall."

Leno also sounded conciliatory themes. In his election night speech, Leno acknowledged the rift he created in the progressive and LGBT communities by challenging Migden: "I know that you upset the applecart when you challenge a sitting senator."

But he vowed to repair that damage, starting by leading the fight against the fall ballot measure that would ban same-sex marriage and overturn the recent California Supreme Court decision that legalized it. He told the crowd, "I invite you to join together to defeat the religious right."

A day later we asked Leno about whether his victory represented a new political center in San Francisco and he professed a desire to avoid the old political divisions: "Let’s focus on our commonalities rather than differences," he said, "because there is real strength in a big-tent coalition."

But this election was more about divisions than unity, splits whose repercussions will ripple into November in unknown ways. Shortly before the election, Daly publicly blasted "Big Labor" after the San Francisco Labor Council cut a deal with Lennar Corporation, agreeing to support Prop. G in exchange for the promise of more affordable housing and community benefits.

On election night, Newsom couldn’t resist gloating over besting Daly, whose affordable housing measure Prop. F lost big. "I couldn’t be more proud that the voters of San Francisco supported a principled proposal over the political proposal of a politician," Newsom told us on election night, adding, "Today was a validation of community investment and involvement over political games."

While Daly and some of his progressive allies have long warned that Leno is too close to Newsom to be trusted, one of the first points in Leno’s speech was the celebrate the passage of Prop. E, which gives the Board of Supervisors more power to reject the mayor’s appointees to the San Francisco Public Utilities Commission. "As an early supporter I was happy to see that," Leno said.

Susan Leal, the former SFPUC director who was ousted by Newsom earlier this year, said she felt some vindication from the vote on Prop. E, but mostly she was happy that people saw through the false campaign portrayals (which demonized the Board of Supervisors and erroneously said the measure gave it control over the SFPUC.)

"This is one of the few PUCs where people are appointed and doing the mayor’s bidding is the only qualification," Leal told us on election night.
Sup. Tom Ammiano, who will be headed to the Assembly next year, agreed: "It shows the beauty contest with the mayor is over and people are willing to hold him accountable."

ANALYZING THE RESULTS


On the day after the election, during a postmortem at the downtown office of the San Francisco Planning and Urban Research Association, political consultants Jim Stearns and David Latterman sized up the results.

Latterman called the Prop. E victory "the one surprise in the race." The No on E campaign sought to demonize the Board of Supervisors, a strategy that clearly didn’t work. Firing Leal, a lesbian, helped spur the city’s two major LGBT groups — the Harvey Milk and Alice B. Toklas Democratic clubs — to endorse the measure, which could have been a factor when combined with the high LGBT turnout.

"This may have ridden the coattails of the Leno-Migden race," Stearns said.

In that race, Stearns and Latterman agreed that Leno ran a good campaign and Migden didn’t, something that was as big a factor in the outcome as anything.
"Migden did too little too late. The numbers speak for themselves. Leno ran a really good race," Latterman said, noting how Leno beat Migden by a large margin in San Francisco and came within a few thousand votes of beating Joe Nation on his home turf of Marin County.

"It was a big deal for Leno to get so close to Nation in Marin," Stearns said.

Leno told us the polling his campaign did late last year and early this year showed he had a strong advantage in San Francisco, "so with that, I invested a lot of time and energy in Marin County."

Stearns attributed the big Prop. G win to its large base of influential supporters: "The coalition-building was what put this over the top." Daly chalked it up to the $4 million that Lennar spent, saying it had bought the election. But Stearns, who was a consultant for the campaign, didn’t agree: "I don’t think money alone ever wins or loses campaigns."

Yet he said the lack of money and an organized No on G/Yes on F campaign did make it difficult to stop the Lennar juggernaut. "You need to have enough money to get your message out," Stearns said, noting that "Nobody knew that the Sierra Club opposed [Prop. G]."

In the one contested judge’s race on the ballot, Gerardo Sandoval finished in a virtual dead heat with incumbent Judge Thomas Mellon. The two will face off again in a November runoff election because a third candidate, Mary Mallen, captured about 13 percent of the vote.

"How angry is Sandoval with Mallen now?" Latterman asked at the SPUR event. "If that 13 percent wasn’t there, Sandoval wins."

Both Latterman and Stearns agreed that this election was Sandoval’s best shot at unseating a sitting judge. "He’s going to face a tougher test in November," Stearns said.

The other big news was the lopsided defeat of Prop. 98, which would have abolished rent control and limits on condo conversions in addition to its main stated aim of restricting the use of eminent domain by local governments.

"It just lost bad," Latterman said of Prop. 98, the second extreme property rights measure to go down in recent years. "It just needs to go away now…. This was a resounding, ‘Just go away now, please.’<0x2009>"

LOOKING FORWARD


Aside from the Leno victory, this election was most significant in setting up future political battles. And progressives won a big advantage for the battles to come by picking up seats on the city’s two Democratic County Central Committees, a successful offensive engineered largely by Daly and Peskin, who were both elected to the eastside DCCC District 13.

"On the DCCC level, we took back the Democratic Party," said Robert Haaland, a progressive who was reelected to the DCCC District 13.

"The fight now is over the chair. The chair decides where the resources go and sets the priorities, so you can really do a lot," Haaland told us.

Many of the fall supervisorial contests feature races between two or three bona fide progressives, so those candidates are going to need to find issues or alliances that will broaden their bases.

In District 9, for example, the candidates include housing activist Eric Quezada (who lost his DCCC race), school board president Mark Sanchez, and Police Commission member David Campos — all solid progressives, all Latino, and all with good bases of support.

Campos finished first in his DCCC District 13 race just ahead of Peskin. Speaking on election night at the GAMH, Campos attributed his strong showing to walking lots of precincts and meeting voters, particularly in the Mission, an effort that will help him in the fall.

"A lot of Latino voters are really eager to be more involved [in politics]," Campos said. "Speaking the language and being an immigrant really connects with them."

Campos thinks public safety will be a big issue on voters’ minds this fall, an issue where he has strength and one that progressives have finally seized. "Until Ross Mirkarimi came along, progressives really weren’t talking about it," Campos said.

So, does Campos’ strong DCCC showing make him the front runner? When I asked that question during the SPUR event, Latterman said he didn’t think so. He noted that Sanchez has always had strong finishes on his school board races, citywide contests that includes the Portola area in District 9 but not in DCCC District 13. In fact, Latterman predicted lots of acrimony and close contests this November.

"If you like the anger of Leno vs. Migden, we’ll have more in the fall," Latterman said of the competitive supervisorial races.

Leno hasn’t been terribly active in local contests since heading to Sacramento, and he told us that his focus this fall will be on state ballot fights and the presidential race. He hasn’t made endorsements in many supervisorial races yet, but his two so far are both of progressives: Ross Mirkarimi in District 5, and David Chiu in District 3. And as he makes more supervisorial endorsements in the coming months, Leno told us, "I will be fighting for progressive voices."

Sarah Phelan contributed to this story.

And so it begins

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› sarah@sfbg.com

Mayor Gavin Newsom chose a telling site for the June 2 release of his budget: the San Francisco Police Department’s Special Tactical Operations Center at Hunters Point Shipyard. And if its relationship to Proposition G, the mayor’s plan to let Lennar Corporation develop the southeast part of the city, wasn’t clear enough, Newsom made it explicit.

"You’ll have the opportunity to support Proposition G and reject Proposition F, the one that is getting in the way," Newsom told department heads and the press as police, who warned budget protesters that it is illegal to campaign on city property, looked on in silence. It is also illegal for the mayor to campaign for ballot measures on city property.

In his speech, Newsom labeled as the "heroes" of this year’s budget the unions that have agreed to unpaid days off, including the Laborer’s Union, the Deputy Sheriff’s Association, Firefighters Local 798, and the Municipal Executives Association. Conversely, he vowed to remember that the police, nurses, and lawyers unions wouldn’t amend the contracts Newsom negotiated last summer.

Sounding more like a gubernatorial candidate intent on winning over Orange County voters than the leader of the most progressive city in the nation, Newsom said, "We are living within our means and being fiscally prudent, without out-of-control borrowing and without tax increases. But we still have a $338 million shortfall."

But there has been widespread criticism of the mayor’s plan as details emerge of its massive cuts to health and human services, while increasing the city’s budget for street repaving, pothole repair, and police academies.

"It’s the least democratic, least transparent budget process in many years, in terms of lack of information from the Mayor’s Office to the city departments and the community-based organizations that are affected," said Coleman Advocates for Children and Youth organizer Chelsea Boilard. "In the past, programs were given a heads-up. This year it continues to be a frantic scramble."

According to Boilard, city departments were still finding out the extent of the cuts even after Newsom made his presentation, including the news that the budget addbacks approved by the Board of Supervisors last year are not being continued in the 2008-09 budget.

"A nightmare," was how Debbi Lerman of the San Francisco Human Services Network described the budget.

"If we listen to mayor’s presentation, everything is rosy, revenue-wise. It’s just a spending problem. But from the community’s perspective, it’s shocking," Lerman said, citing $15.5 million in cuts to the Department of Public Health, $3.5 million in cuts to the Human Services Agency, and a 20 percent cut to domestic violence programs.

"And [the cuts] have been a constantly moving target," Lerman added. "We’re mere weeks away from the implementation of this budget, but no one knows which clients, programs, or services will be lost, though we are sure that there will be a lot of layoffs in our sector. The mayor should not balance his budget on the backs of the poor."

She believes the city needs to look at some non-essential services during a bad budget year and see what can be deferred to the future — and find ways to increase its revenue.

"The mayor is not a stone. He does get it to some degree. But it’s unfortunate that he’s not chosen to put forth revenue measures at this point," Lerman said.

Robert Haaland of Service Employees International Union Local 1021 agrees that the city has a revenue problem. He also believes that it’s not OK to ask the city’s lowest-paid workers to make concessions, again and again: "[SEIU 1021] has repeatedly stepped up to the table, we’d like to see some others do it."

Jonathan Vernick, executive director of Baker’s Place, which is facing the prospect of having to close one floor of its medical detox program, argues that many of the mayor’s proposed cuts are in conflict with Newsom’s stated goal of getting the homeless and inebriated off the street. "Ironically, this budget seems to fail to meet a simple criteria — that the proposed cut actually saves money," Vernick said. "All I can see is cuts that by end of fiscal year will have dismantled a system that’s been working for 35 years."

John Eckstrom of the Haight Ashbury Clinics believes the budget cuts will decimate the model of integrated services. "These are very deep cuts," said Eckstrom, who expects to lay off 40 to 50 of his 170 employees.

"It’s a testament to the willpower of the nonprofits that we are able to stay alive," Eckstrom said. "But what are the mayor’s priorities? There’s his rhetoric that says it’s not a revenue problem, and then there’s the reality."

With the Board of Supervisors set to conduct public budget hearings throughout June, Board President Aaron Peskin sees Newsom’s proposal as a "law and order budget."

"Domestic violence programs have lost $750,000 in funds, substance abuse programs have been taken to the woodshed, and mental health programs are being cut by 25 percent," said Peskin, criticizing the mayor for "introducing and extolling new programs while failing to protect the safety net of human and health services that San Francisco has put together over many years."

"Last time we had a budget like this, Mayor Willie Brown was much more forthright and honest about its disastrous impact on the poor," Peskin added. "This administration has cloaked this disaster in a press blitz. But any way you dress it, it’s a pig."

As chair of the Board’s Budget and Finance Committee, Sup. Jake McGoldrick was equally blunt in his criticisms as he set about deciphering the details of Newsom’s proposal

McGoldrick refuted as "a deception" Newsom’s claim of having cut 1,085 jobs. "The real number is 99.08 positions," McGoldrick said, factoring in preexisting vacancies, Newsom’s three proposed police academy classes, and the 26 staff positions for Newsom’s 311 program, not to mention other new proposed programs and initiatives.

Upset that Newsom has budgeted $500,000 for a Community Justice Court that will divert people to the kinds of programs that Newsom’s budget is undermining, McGoldrick told the Guardian that he "aims to identify at least $30 million to $40 million in deceptions and redirect these funds to top priority human needs and services that are already woefully underfunded."

"The mayor is trying to pump all the problems over to the Board of Supervisors," McGoldrick said. "It’s going to be a labor of love to figure out how to direct money to folks who are hurting now."

Peskin said he expects the supervisors to discuss three new revenue proposals in the next month in order to avoid another slash-and-burn budget next year. These proposals include a property transfer tax, closing a payroll tax loophole on partnerships, and preserving the city’s 911 fee, which is under legal attack.

As of press time, the Mayor’s Office had not returned calls about revenue creation. Maybe Newsom’s handlers were busy figuring out how to deal with a budget protest slated for 6 p.m. June 11 outside the his residence in the Bellaire Tower building, 1101 Green St.

Organized by Jennifer Friedenbach, executive director of the Coalition on Homelessness, the protest aims to draw attention to what Friedenbach calls "Mayor Newsomator’s plans to terminate the poor."

These plans include closing the Ella Hill Hutch Homeless Shelter as well as the Tenderloin Health Homeless Drop-in, and the almost total elimination of the SRO Families United Program. The Board has until July 31 to adopt a revised budget.

Uh-oh: Lennar’s $25 million shipyard funding gap

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Sup. Chris Daly wants an immediate hearing into the fiscal health of Lennar’s construction project at Hunters Point Shipyard, (you know, the one where they repeatedly messed up the asbestos dust monitoring).

Daly made his request at the June 10 Board of Supervisors meeting, following the discovery that the San Francisco Redevelopment Agency has applied for, but has so far been denied, a $25 million grant to subsidize infrastructure costs at the site.

The agency filed its grant application with the California Department of Housing and Community Development in April 2008. During that same period, Lennar spent an estimated $5 million to successfully persuade voters to support Proposition G, which will allow Lennar to develop luxury condos at Candlestick Point, as well as at the Shipyard.

(At the last minute, Lennar appeared to sweeten Prop.G’s terms, by negotiating a community benefits deal with the San Francisco Labor Council, including promises of 32 percent affordable housing and job creation investment. But tthe deal stretches the definition of “affordable” to way above what your average Bayview Hunters Point resident earns. And it only becomes legally binding, if, and when, something gets built at Candlestick/Hunters Point.)

Holding up a big fat binder, stufed with spreadsheets, financial data and grant applications, Daly read aloud to his fellow supervisors from documents that suggest that there is a serious financial shortfall at the Parcel A site, where Lennar graded an entire hillside in preparation for developing a 1,500 unit condominium complex.

“This raises questions about Parcel A and the mixed use project,” said Daly, citing from documnents that claim that the receipt of gap funding, “will restore the ability of the SFRA and the Developer to continue the development.g

As the agency’s own grant application states, “The Gap Funding in the amount of $25,021,079 provided by the infill infrastructure grant will enable the San Francisco Redevelopment Agency and the land master developer to continue the development of the Shipyard.”

“The infill infrastructure grant will be instrumental in moving forward the Capital Improvement Project in light of exisiting market conditions and increased construction costs.”

“Without the receipt of the grant, it will face delays in the timing of the completion of the infrastructure and creation of much needed parks.”

Hmm.

Daly’s cache of documents also reveal that the Shipyard Legacy Fund has shrunk from $30 million to $5 million. This raises serious doubts about the City’s ability to deliver on a list of promised community benefits at the Shipyard.
According to the SFRA’s own documents, “The Legacy fund is charged with reinvestment of the Agency’s proceeds from net land sales back into the BVHP community with an emphasis on employment, housing and financial/asset development, youth development, elder services, arts/culture & recreation and environment/safety.”

Stay tuned.

Optimism in the Face of Defeat in the Bayview

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Text and Photos by Umayyah Cable

Having just left the HQ of the F is for Fairness campaign in the Bayview, I must report that the vibe was generally optimistic despite the fact that Prop F was decidedly dragging it’s feet through the election mud. Members of the campaign were staying positive as they gathered in a rented space on 3rd street, eagerly refreshing the SF Departments of Elections results page. Here’s a glimpse of the evening:

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As I was uploading these images I now find that Prop F has officially failed. Which makes the above pictures out dated and bittersweet.

While talking with members of the campaign, many of whom happen to also be members of the Grace Tabernacle Church in the Bayview, I was struck by a specific emotional aspect of Prop F that I hadn’t previously considered. In speaking with Jesse, a congregation member who wore a “YES on F” T shirt in Spanish, and a windbreaker jacket proudly emblazoned with an “I voted!’ sticker, I really got a sense of what this decision could actually mean for this community. Jesse spoke of raising his 9 children in the neighborhood (who are now raising his 27 grandchildren), coaching baseball, and looked on with pride and affection at the group of teenagers sitting across the hall from us.

If Lennar has its way with the Bayview and Hunter’s point neighborhoods of San Francisco, all those things which Jesse and many others hold dearest to them: children, family, and fostering a tight knit community, will be replaced by an overpriced playground for yuppies. Lennar will take its mountain of paper money and replace children and community with materialism and greed. And what’s a city without children? Futureless, directionless and growthless.

I must say, the results are somewhat disheartening. But given the optimism I witnessed this evening, I have some renewed faith that this community wont give up without a fight.

Cold wind in the Bayview

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When the chill wind of early returns showed Prop. G leading Prop. F in the polls, (67 percent to 33 percent ) the folks at the Prop. F campaign HQ put it down to all the money that Lennar spent to influence the election.

Inside the Prop. F party at 5030 Third Street, supporters munched on pizza, listening to the Nation of Islam’s Minister Christopher Muhammad expounding on “the $4 million of known money that Lennar has spent, not to mention the unknown slush funds.”

“I’m encouraged just by the fact that we forced them to spend so much,” Muhammad said, berating, “the Labor Council’s leadership for selling out its leadership in a backroom deal.”

Muhammad was referring to the community benefits agreement that the SF Labor Council negotiated with Lennar at the last minute, with Lennar promising to develop 32 percent affordable housing units at Bayview/Candlestick Point.

Bishop Ernest Jackson joined Muhammad in casting aspersions on Lennar ‘s deal with the SF Labor Council, by pointing to what he called Mayor Gavin Newsom’s “secret press conference” about the 2008-09 budget at the Hunters Point Shipyard on June 2, as a clue to why Labor capitulated to Lennar and Newsom’s demands.

Noting that Newsom announced his budget in a “police station surrounded by all kinds of weaponry and armored personnel carriers,” Jackson claimed that Newsom “held the unions hostage”.

“Newsom used the budget cuts as veiled threats over people of conscience,” Jackson said. “But the Prop. F movement proves there is another constituency in the Bayview. The City had no idea it would have its own cyclone in the southeast sector. This same groundswell can look at its supervisor and say, you’re not doing the right thing.”

Meanwhile, Muhammad was expressing his belief that San Francisco is going to the dogs, literally, a view he aired in the heart of the Bayview, earlier this week, as the following video shows:

“There are now more dogs than blacks living in the city,” Muhammad said, “San Francisco is becoming a playground for young urban multimillionaires.”

City Hall: Absentee results

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Well, the minute we posted that last entry we got some absentee results — and it looks like Lennar’s money carried the day. Prop. G is winning handily, Prop. F is going down hard.

But there’s fascinating news: Prop. E, the PUC reform measure that PG&E spent a fortune trying to kill, is ahead even in the absentees and will probably win.

Gerardo Sandoval is well ahead in the judicial race, but there may still be a runoff.

Leno is beating Migden handily in the city, and Joe Nation is way behind. That’s good news for Leno, who needs a big win in SF to overcome what will probably be a Nation advantage in the north counties.

City Hall: Props F and G

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Talking to Jim Stearns, one of the political consultants involved in what now will be the most expensive ballot campaign ever, I got an interesting perspective on G and F. Stearns says all the polling showed the measures moving together — when the campaign pushed Yes on G, the Yes on F vote moved up, too. When they tried to trash Prop. F, the Prop. G vote went down.

So it’s entirely possible that both measures will pass — which will, of course, infuriate Lennar Corp.

Lennar spending records sums on Prop. G

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Tonight’s election results will demonstrate how much money matters in local politics, and whether megadeveloper Lennar is able to essentially buy exclusive development rights for southeast San Francisco. That’s because the $3.9 million and counting that Lennar has spent to approve Prop. G and kill Prop. F could be the most expensive local measure campaign in California history, according to former Common Cause of SF head Charles Marsteller.
To confirm that, I called Bob Stern at the Center for Governmental Studies — the guru of California electoral reform — who had a more qualified answer. Campaign finance records show PG&E spent almost $10 million last year to defeat a package of four public power measures in Yolo and Sacramento counties. PG&E also spent more than $3 million to defeat the Prop. D, the 2002 public power measure in San Francisco. And Stern was trying to get final figures for an expensive 2006 ballot fight in Sacramento over a new stadium. Yet he said Lennar is way up there, well beyond anything he’s seen in his native Southern California.
“It is clearly one of the most expensive,” Stern said. “It’s an enormous amount of money for a local race.”

Come on, vote, dammit

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The Chronicle reports that turnout so far is really slow. That’s bad for saving rent control (No on 98), stopping Lennar Corp. (no on G), electing a progresive judge (Sandoval) and stopping Joe Nation from becoming the next state Senator.

If you’re reading this, go vote. If you’re not sure where you vote, check here. If you don’t know who to vote for, our recommendations are here

It only takes a few minutes, and your boss has to give you time off if you need it. Go on, head to the polls now.

Will the real Newsom stop campaigning?

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As we predicted , Mayor Gavin Newsom used today’s budget announcement at at the Hunters Point Shipyard to campaign.
But there were, in fact, two Newsom’s at today’s event, but only one was told to shut it.

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‘You can’t campaign here, it’s city property,” police told the guy, who was wearing a Newsom mask and protesting the Mayor’s Budget.

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“I’m not campaigning,” the guy replied, his voice muffled by his mask, as his friend, who was wearing a Ronald Reagan mask handed out fliers that listed nine ways in which “Mayor Newsom terminates poor with massive budget cuts.”

(These included closing the Ella Hill Hutch shelter, Caduceus Outreach services, SRO Families United program, and a 22 percent cut of residential substance abuse and mental health treatment programs budgets.)

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But no one said diddley when the guy who one was wearing a very well tailored suit and presenting the Mayor’s $6.5 billion budget, began to campaign by unashamedly pushing Prop. G, which out-of-town developer Lennar has spent $4 million to promote.

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“You can’t have a budget speech about the future of the City and the structural challenges we face without talking about it,” Newsom said.

Nor did anyone say squat, when Newsom began to bash the competing Prop. F, which requires that 50 percent of housing built at the Shipyard and Candlestick Point be affordable to families of four who make $65,000 and under, which is the average median income for that size household in the Bayview.

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Yes, it was cool to be inside the SFPD’s unit, without being on the wrong side of the law.

What the Prop F-Prop. G battle is really about

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I’ve gotten a lot of calls about the two redevelopment measures, and while I think our endorsements make the case for F and against G pretty well, let me add something else.

In many ways, this is the first of a long series of battles that will determine whether Southeast San Francisco becomes a high-end residential community. That’s what Gavin Newsom wants to see, and it’s what a lot of downtown and big-money forces want to see, and frankly, it’s what the more moderate and conservative political activists want, too.

Because the more rich people you bring into San Francisco, and the more poor and working-class people you drive out, the more likely to are to change the progressive voting patterns of this town and get rid of politicians who want to tax big business and provide public services to the needy.

This is not conspiracy thinking — dontown political strategists talk openly about it. As Calvin Welch likes to say, “Who lives here, votes here.” W e know that; they know that.

I appreciate the fact that labor got some concessions out of the Lennar Corporation . But in the end, even if the labor deal holds up, the numbers are brutal: If Lennar agrees to build about 32 percent affordable housing, that means that 68 percent of the new housing in Bay View Hunters Point will be exclusively for millionaires.

That’s the calculus. A developer promising to build one-third affordable units is also promising that two-thirds of the new housing will be affordable only to the very richest segment of American society, the top tenth of the top tenth, the people who can put down $200,000 cash and pay a mortgage of $6,000 a month on a one-bedroom condo. If two thirds of the next generation of San Franciscans are people with that kind of money, the city will change, dramatically.

Sup. Chris Daly’s call in Prop. F for 50 percent affordable ought to be the absolute minimum floor. Again, that means half the new housing will go to the superrich, and only the superrich.

Lennar says it can’t do the project at that level. I personally think that’s horseshit — remember, they’re getting the land essentially free. But if the best Lennar can do is build housing two-thirds of which is unreachable to the vast majority of the people who make this such a wonderful, diverse and creative city, then we need to send Lennar packing and find someone who can do better.

This is the future of San Francisco, folks. That’s why I’m yes on F and no on G.