Lennar

Mayor uses Shipyard to announce budget, Monday

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It’s 4 PM on a Friday afternoon, that hour when most employees are counting the seconds to the weekend—and wishing that Monday morning wasn’t only 65 hours away.

But does the Mayor’s Office know what time it is?

And if so, why have we only just found out that Mayor Gavin Newsom is planning to make his Monday morning budget announcement, at 10: 30 am, June 2, at the Hunters Point Shipyard?

The announcement will be made at
View Larger Map“>606 Hunter’s Point Shipyard.
(Unless, Newsom is planning a repeat of his disappearing Olympic Torch stunt.)

The location happens to be the San Francisco Police Department’s Tactical Operations center. Press are being asked to present press credentials for entry.

Could it be that this announcement is being made at the very last minute because the choice of location gives Newsom the appearance of impropriety? Newsom backing Prop.G on the June 3 ballot, the measure that developer Lennar has spent over $3.5 million in an effort to grab even more of San Francisco’s waterfront real estate, adding highly desirable land at Candlestick Point to the shipyard’s wastelands, so it can develop even more luxury condos?

Or could it be because he didn’t want to tip of supporters of Prop. F, the competing measure on the June 3 ballot that requires that 50 percent of development in the Bayview is affordable to people who actually live there—households that tend to make $68,000 and under and can’t afford to buy $500,000 condos and million-dollar townhouses?

Whatever the reasons, the running dogs of the press weren’t the only ones left in the dark about the budget locale.

No one on the Board of Supervisors was informed until 4PM, Friday afternoon, either. That’s when a mayoral aide came by the office of Sup. Ross Mirkarimi, who sits on the Board’s Budget and Finance Committee, to deliver the news of this hitherto top secret location.

Normally, Board members get an invitation at least 10-14 days beforehand.

Mirkarimi calls the move “highly unorthodox and outrageous.”

“What’s really unforgivable is that we are facing the worst budget deficit in San Francisco’s history,” Mirkarimi said. “The Mayor needs to be fostering collaboration, and enlisting the support of everyone he can, especially those who have influence on the budget process. It’s unfortunate that the casualty in all this is our desire to work together.”

3.26 million ways to reuse your Prop. G fliers

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As Prop. F supporters continue to liven up their shoestring campaign with dance, debate and rap songs,
yet another huge question is looming over the Prop. G campaign: What is San Francisco going to do about all the glossy Prop. G fliers that are choking up mailboxes citywide?

Since the Lennar-financed Prop. G campaign has already spent over $3.26 million to try and influence the June 3 vote, how about helping find 3.26 million ways to reuse the Prop. G mailers? (ways that don’t involve burning them, tempting as that may be, since that would make air quality worse)

We came up with the first three.

1. Wallpaper to cover the mold in your non-luxury dwelling.
2. Materials for your 2008 Halloween costume.
3. A year’s supply of bird cage liner.

Where in the world is Carmen Policy?

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carmenpolicy.jpg
Where in the world is Carmen Policy?

That’s what Prop. F supporters are wondering amid the deafening silence that has followed their invite to Lennar consultant and former 49ers president Policy to debate POWER community organizer Alicia Schwartz on Saturday, May 31, in the Bayview.

Back in February 2008, Policy made headlines when he was hired by Lennar executive Kofi Bonner to head what has since become the $3 million Prop. G campaign. That measure primarily involves a land exchange that would allow Lennar to build a new 49ers stadium atop the toxic Hunters Point Shipyard site, while building luxury condos and retail buildings on the former Monster Park site.

Prop. F campaign manager Chris Cassidy says that the Prop. F campaign, which would require 50 percent of all Lennar’s housing units to be truly affordable to the folks who currently live in the Bayview, decided to invite Policy to debate Prop. F’s Schwartz, “because of the money Policy has received from Lennar and because of his connections to the community from when he was president of the 49ers.”

Prop. G’s most recent campaign financial disclosures show that $40,915 was paid to Carmen Policy, $343,138 for attorneys’ fees, $1.3 million on advertising, and $767,607 on “consulting services.”

As Power’s Schwartz notes in a Prop. F press release, “Politics can be a contact sport, but it should also be a contest of ideals.”

Prop. F organizers say the debate will take place, with or without Policy, at 5030 3rd Street and Quesada Avenue, ( near the MUNI T-Line – Palou Ave. Stop) on Saturday May 31 – 6:30-8:00

Hey, at least Schwartz is challenging Policy to a dance-off…(watch Schwartz, third from left, do the Cha Cha slide).

Matt Smith loves prop. 98

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I almost don’t know what to say about Matt Smith’s SF Weekly piece in favor of Prop. 98. I know Smith gets a little unhinged when it comes to housing issues, but his faith in the free market to lower the price of housing in San Francisco – against all odds and all evidence – is just looney.

He starts off with the typical landlord/libertarian argument against rent control, which is that it screws up the marketplace:

Tens of thousands of other apartments are kept off the market through “hoarding,” as individual tenants remain in cheap and cavernous three-bedrooms, hang on to their old $200-a-month apartments long after they’ve moved in with a spouse, or are otherwise motivated to cling to their leases.

Except that Prop. 98 would allow existing tenants to stay in existing rent-controlled apartments, which lose rent control forever when they’re vacated. So the rent-controlled units would be even more valuable, and the incentive to “hoard” even greater. As would be the incentive for landlords to evict long-term tenants.

But wait, there’s more:

Studies also show that rent control discourages construction of new rental apartments New housing construction fell by one third in the seven years after San Francisco’s rent control law passed in 1979. During the 1990s, meanwhile, the number of rental units actually decreased by 7,500.

Ah, but all newly constructed units are exempt from rent control anyway. So something else must be going on here. Perhaps the number of rental units decreased because developers, who care nothing for the city’s housing needs, realized there’s more money to be made selling condos. It’s the same reasons Lennar Corp. broke its promise to build rental housing in Hunters Point: There’s more money in selling units right now than in renting them.

And, of course, we’re losing rental housing – not to rent control but to condo conversions, another way property owners can make money.

Smith seems to think that without rent control

“it’s reasonable to surmise … that downtown apartment construction would accelerate. Rents would stabilize or decline. …. Businesses would flock to San Francisco, which would have ample new office space and more, cheaper homes for their employees.”

Sounds idyllic, if you want to live in Manhattan, which I don’t.

In fact, Matt Smith’s vision of a “great city” is by nature one that’s constantly growing and ever-more dense. He berates the urban environmentalists:

San Franciscans replaced what had been a metropolitan vision of the future with one best described as suburban. Rather than being a great city, it would instead be a tranquil place to live.

Matt, you have no sense of history. After World War II, the captains of industry who had completely taken over planning and development policy, in the military model of command and control, to make the West Coast war machine work, decided they liked that way of doing business. So a handful of them sat down and planned the future of the Bay Area. Low-cost South of Market housing would be demolished to make way for hotels and a convention center. Following the suburban model, BART would connect outlying bedroom communities with a dense downtown office core. High-rise buildings would hold the economic center of the Pacific Rim. A network of freeways would cross the city in a Los Angeles-style grid.

That’s what the master planners who Smith lauds had in mind. And the people who lived here decided that it wasn’t fair that nobody asked them about it. So they fought back, cutting off the freeways, down-zoning neighborhoods, fighting over-development (which, by the way, hurts city coffers more than it helps) and trying to keep this a decent place to live.

Rapid growth is not always good, not always desirable. Cities are places where people live, and keeping them livable is a noble pursuit.

And when it comes to housing in a city like San Francisco, the market will never, ever solve the problem. I’ve written about this over and over, but here’s the latest.

Regulation – treating housing not just like a fungible commodity but like a necessity of life that the market can’t fairly provide – is the only way to keep San Francisco affordable.

“Fuck Lennar!”

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I’ve witnessed my share of political rallies, but Prop. F’s “We Shall Not be Moved” event at 3rd Street and Palou in the Bayview takes the bumpin’-block-party prize.

Wedged between three cash checking stores, a beauty parlor, and a T-Third station, the rally was awash with multilingual “Yes on F” signs, edgy urban chic and fighting words.

But beyond the many powerful speakers who showed up to stir up the crowd, the afternoon’s three most memorable moments involved song, dance and the spoken word.

Turfaholics’ Johnal performed to a funky remix of “San Francisco (Be Sure to Wear Some Flowers in Your Hair).

Prop. F supporters put a smile on the crowd’s face with their soulful attempts at the Cha Cha Slide.

And last but not least was hiphop emcee Cobe Obeah

Stay with the following video for a minute and you’ll get to the part where Cobe announces that he doesn’t usually cuss, then gets the crowd joining in a “Fuck Lennar!” chant, before delivering a final FU to San Francisco’s Mayor Gavin Newsom.

Assessing the deal

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› sarah@sfbg.com

Mayor Gavin Newsom stood with San Francisco Labor Council executive director Tim Paulson, flanked by Sup. Sophie Maxwell and representatives from megadeveloper Lennar, the San Francisco Organizing Project, and the Association for Community Organizations for Reform Now (ACORN) May 20 to announce "a historic community benefits agreement."

Lennar had been persuaded to promise more affordable housing and other giveaways in order to win some important new endorsements in their troubled bid to take control of Candlestick and Hunter’s points and cover them with about 10,000 new homes.

"This is a very big deal," Newsom said, plugging the Lennar-financed Prop. G and bashing Sup. Chris Daly for his leadership of the campaign to qualify Prop. F, which would require that half the new units be affordable to households making less than $75,000, a requirement that Lennar casts as a deal breaker.

"Prop. F is a pipe dream that guarantees you only one thing: what you already have," Newsom said. "We have to get the message out what a Trojan horse Prop. F is." Lennar’s top local executive, Kofi Bonner, added that the agreement "enables us to go forward, because now we have new allies."

The Labor Council’s ability to invigorate a campaign makes it an important ally. Yet Lennar’s giveaway of more than it had previously promised and the fact that the agreement comes just two weeks before the June 3 vote seem to indicate that the Prop. G supporters have grown desperate.

Lennar already has spent $3.26 million to promote Prop. G and oppose Prop. F, only to find polls showing Prop. F well ahead despite a campaign that has raised less than $10,000. The weak poll numbers clearly convinced Lennar and its backers in the political power structure that voters would be more likely to support Prop. G if Lennar came up with something that seemed legally binding.

But by supporting a deal that appears to pin down Lennar on levels of housing affordability and community investment, Newsom ironically seems to be validating the concern of Daly and Prop. F’s other backers that Prop. G lacks guarantees on these fronts (see "Promises and reality," 04/23/08).

Not even Newsom could deny that Prop. F’s presence on the political landscape pushed Lennar to seek a community benefits agreement with the Labor Council and ACORN, a group that had been a solid part of Daly’s affordable-housing constituency.

"It probably has," Newsom told the Guardian. "That said, I don’t think Prop. F should suggest the deal is better because of them. Perhaps it’s worse."

Daly dismissed Newsom’s attacks as more attempts to hurt Prop. F’s popularity by trying to attach it to Daly’s personal negatives. Daly also attacked the agreement as overstated in its promises and impossible to enforce.

"I really don’t know if there is any net gain from one deal to the next," Daly said. "And how is it enforceable? We’re not sure anything legally binding is on table now. If there was a development agreement then obviously we would have some surety, as we would if we had a development plan that had cleared the approval process — Lennar’s financial vulnerabilities notwithstanding."

Noting that the city has had "bad luck with big order projects before," Daly recalls how Lennar reneged on building rental units at the Shipyard’s Parcel A, where the developer also failed to properly monitor and control asbestos dust despite promising to do so.

The agreement, which doesn’t include the city or any government agency as a party, is certainly unconventional. But is the deal legally binding? And just who benefits from it?

The CBA purportedly commits Lennar to create 31.86 percent "affordable" housing units in the Bayview, contribute $27 million to provide affordable homes throughout District 10, rebuild the Alice Griffith public housing project, and give down payment and first-time homebuyer assistance on another 3 percent of the homes.

All told, Paulson claims the deal locks in an unprecedented 35 percent affordable housing into Lennar’s mixed-use proposal for the Bayview. The deal also obligates Lennar to invest $8.5 million in workforce development in District 10, hire locally, pay living wages, and allow worker organizing with a card check neutrality policy.

"This legally binding agreement is a way we can insure that our community gets the benefits it needs," said SFOP co-president and longtime Bayview resident Eleanor Williams.

Paulson said May 22 the deal is still being "lawyered up" to ensure its enforceability, and ACORN’s John Eller insists the deal was done with community input. "We have had numerous meetings in which the community was demanding accountability and clear commitments to the workforce and housing, including the possibility of home ownership," Eller told the Guardian.

But Julian Gross, director of the San Francisco–based Community Benefits Law Center, clarifies that the deal only becomes legally binding if Lennar builds a mixed-use project in Bayview/Candlestick Point. "A community benefits agreement gives people a way to work in a coalition," said Gross, who helped negotiate CBAs at Oakland’s Uptown and Oak to Ninth projects, and at Lennar’s development in San Diego’s Ballpark Village in 2005.

Michael Cohen, director of the Mayor’s Office of Economic Workforce and Development, said the city hopes to enter into its own legally binding agreement with Lennar over a mixed-use project by the end of 2009, once environmental reviews on the project are completed.

Given that the project is expected to take 12–15 years to complete, could Lennar change the CBA’s terms after it starts to develop the Bayview? Yes, says Donald Cohen of the San Diego–based Center for Public Policy Initiatives, but only if both sides agree to any changes.

"In a private deal between private parties, those parties can agree to change the terms of the deal at any time," Cohen explained.

That’s significant given the divisions over development within the Labor Council. As Paulson confirmed, the building-trade unions were pushing for outright endorsement of Prop. G and opposition to Prop. F, but he successfully pushed for the negotiations with Lennar, which lasted more than eight weeks and almost broke down several times, Paulson told us.

"I told them, I don’t think that’s where we are coming from because Prop. G doesn’t contain guarantees on affordable housing or jobs," Paulson said of his initial response to Prop. G supporters.

The agreement appears to stretch the definition of "affordable housing," reaching up to those earning 160 percent of area median income, which is essentially market-rate housing for the low-income southeast sector.

Prop. F supporter Alicia Schwartz of People Organized to Win Employment Rights said that what labor’s deal with Lennar means is that only 15.6 percent of the housing will truly be affordable to the folks who currently live in the Bayview. While "3,500 units sounds good," Schwartz observed, "Only 50 percent of them will be for families making 60 percent and less of area median income, while the other 50 percent are for 80 to 160 percent AMI. That means $500,000 condos, which 70 percent of the Bayview can’t afford."

Yet Cohen said it’s understandable that the Labor Council crafted a deal that caters to those with above-average incomes.

"Affordable-housing policies over the last 10 years have tended not to address the needs of many of their members," Cohen said. "Many families make more than $64,000, so they can’t qualify for affordable housing, but don’t make enough to buy. This provides a fantastic and large-scale opportunity to address the problem of the squeezing of the middle class in San Francisco."

Public records obtained from the Mayor’s Office show that prior to this latest deal, Lennar planned to build up to 75 percent market-rate housing at the site, including hundreds of million-dollar townhouses, thousands of high-rise units at $787,483, mid-rise units at $734,400, townhouses at $651,366, and low-rise units at $592,797.

But under the CBA, the top tier of condos that Lennar deems "affordable" cost about the same as the cheapest market rate units it had already planned to build, leaving only 1,566 rental units at rates truly affordable to San Francisco’s low-income workers.

Paulson believes the resulting agreement "ensures that residents, workers, tenants, and future homebuyers have a path to new jobs and housing." He also claims that it is tied to the land, "meaning that it would be transferable to other developers if Lennar pulls out."

Joseph Smooke, executive director of the Bernal Heights Neighborhood Center, said he believes the jobs agreements labor negotiated are good. "It’s the housing stuff where they gave away the store," Smooke said. "Why didn’t they stick to the jobs piece and support Prop. F?"

Pointing to the Board of Supervisors’ passage of policy saying that 64 percent of housing in eastern neighborhoods should be targeted at 80 percent of AMI and below, Smooke added, "There are ways to make 50 percent affordable work. This is free land. It’s not rocket science. But is it city policy to protect a developer’s stated desire for 18 to 22 percent profit?"

Meanwhile, Schwartz hopes SFOP and ACORN are being accountable to their base of low-income workers. "Lennar would like to tell you that if Prop. G doesn’t pass, nothing happens. But in reality, the community’s plan stays, plus now there is a 50 percent affordable-housing requirement," Schwartz said. "That’s a win-win."

"For Newsom and Lennar to say that Prop. F is a poison pill — the irony is not lost on the Bayview," Schwartz added, recalling the city’s failure to hold Lennar accountable for its promises and misdeeds. "We’re looking to change the way business is done in San Francisco." *

Hold out for Hunters Point

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EDITORIAL In the late 1980s, Mayor Art Agnos put forward a plan for development at Mission Bay, which at that point was an underused plot of land that used to be a Southern Pacific railroad yard. He negotiated with the developer, Catellus Corp., and cut what he insisted was the best deal the city could possibly get. He insisted that any more demands — for, say, increased affordable housing — would have so damaged the project’s finances that nothing would ever be built.

Development opponents took the issue to the voters — and the mayor’s plan lost. Catellus promptly came back with a much sweeter deal.

It’s worth remembering that lesson, because next week voters will be faced with a stark choice for a massive Hunters Point–Bayview redevelopment plan. Mayor Gavin Newsom and his allies say the city has squeezed major concessions from the developer, Lennar Corp. The San Francisco Labor Council and two community groups have forced Lennar to sweeten the pot even more (see "Assessing the deal," page 11). At this point, the city’s supposed to have the best deal it can possibly get.

But with all due respect to the Labor Council, Association of Community Organizations for Reform Now (ACORN), and the San Francisco Organizing Project, it’s not good enough.

The battle — which is shaping up as a very close contest — involves dueling ballot measures Propositions G and F. Prop. G is the deal Newsom and Lennar are pushing; it would give the financially troubled developer the right to build 10,000 new housing units, office and retail space, and a new football stadium, along with 300 new acres of parks, in one of the city’s most economically depressed areas. Some of the new housing would be available at below-market rates. Prop. F raises the ante a big notch: it would require that half of all Lennar’s housing be available to people making less than the median area income, which is $75,000 for a family of four.

For the record, it’s worth noting that the new concessions labor got would never have happened if Sup. Chris Daly and a group of Bayview–Hunters Point activists hadn’t placed Prop. F on the ballot. In fact, organized labor wasn’t terribly involved in the redevelopment project until a couple of months ago. That’s when Lennar’s team of political consultants realized that they might be facing a shellacking at the ballot June 3.

The polls show that Prop. F is very popular — and for good reason. It’s a simple proposal that makes excellent intuitive and practical sense. As housing activist Calvin Welch likes to say, San Francisco doesn’t have a housing crisis — the city has an affordable-housing crisis. Multimillionaires don’t have trouble finding places to live. And unfortunately, much of the new housing being built in this city is targeted to the very rich: typical market-rate one-bedroom condos start at around $500,000 and soar quickly into the millions. The rest of the city is getting forced out, and the dramatic, profound gentrification is transforming San Francisco.

Even the city planning department recognizes what’s going on: the Housing Element of the city’s General Plan states that 64 percent — nearly two-thirds — of all new housing ought to be affordable.

But the vast majority of the residents of Bayview–Hunters Point could never afford the vast majority of the new housing units Lennar wants to build. Prop. F seeks to address the deep imbalance in the proposed housing mix.

Lennar is squealing, saying it can’t possibly make the project pencil out with that much affordable housing. The company’s political team pushed the Labor Council to side with them, and in exchange for endorsing G and opposing F, labor got some worthy goodies. The level of what Lennar calls affordable housing is now higher than 30 percent — but when you actually look at those numbers, only about half of the 30 percent is truly affordable to the neighborhood residents who face being forced out of town. There’s also a new job training program and a mandate that new businesses allow their staff to unionize through a simple card-check process (although the city would almost certainly mandate that anyway).

But the bottom line is that the deal labor cut doesn’t meet what ought to be the standard for all new housing in San Francisco. Even after all the concessions, roughly 70 percent of the new units will be available only to rich people. That’s not acceptable in a city that is rapidly losing its artists, writers, musicians, immigrants, students … just about everyone who makes San Francisco such an exciting place to live is now an endangered species. And labor’s deal fundamentally does nothing to change that.

Vote yes on F and no on G. And if Lennar won’t build enough affordable housing, let’s scrap this deal and find someone who will. *

Lennar coverage wins awards

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Just as San Francisco voters prepare to cast ballots that will determine whether controversial megdeveloper Lennar covers Candlestick and Hunter’s points in 10,000 new homes, the Guardian is being honored for stories that exposed the company’s local misdeeds. A series of stories by Sarah Phelan showed how Lennar (with the support of Mayor Gavin Newsom and other high-profile political allies) failed to monitor or control toxic dust at its Parcel A site on Hunter’s Point, allegedly retaliated against whistleblowers, and bought off allies in its campaign to avoid accountability for its actions. Phelan’s stories are being honored in the Association of Alternative Newsweeklies’ prestigious “Investigation Reporting” category, while Guardian coverage of the MediaNews merger and its facilitation by Hearst Corporation (owner of the Chronicle) is a finalist for AAN’s first-ever Public Service Award. The project was led by staff writer GW Schulz and was supported by a Guardian lawsuit that made public previously secret corporate documents.
Phelan’s stories are also being honored by the San Francisco Peninsula Press Club (at whose June 5 awards banquet finalists will learn whether they won first place or were a runner up), along with stories by three other Guardian writers and editors: Tim Redmond, Steven T. Jones, and Diana Scott.

Blasting Lennar’s land grab

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By Maria Dinzeo
While we’ve already dubbed Lennar Corporation “the corporation that ate San Francisco,” representatives from five Bay Area environmental organizations today held a press conference to blast the corporation for creating Prop. G to gobble up the rest of Bayview Hunter’s Point and Candlestick Point.

Esselene Stancil, a resident of Bayview since the 1950’s, says this is nothing new. Change is often promised, but it always falls short. “I have seen many changes in the Bayview, and this change is not for us. We have plenty of parks. What we need is to take care of the one’s we have. They promise us houses, but there are no houses being built out there that people will be able to afford.”

There will, however, be plenty of luxury condominiums, chiefly in the Candlestick Point area, complete with a bridge connecting their wealthy owners with the freeway. John Rizzo of the SF Chapter of the Sierra Club said that Prop. G’s plan to build a thoroughfare through Yosemite Slough is just another way of economically marginalizing Bayview residents. “This bridge is specifically for residents of the luxury condos in Candlestick Point so they don’t have to drive through the Bayview and look at poor people,” said Rizzo.

Rizzo also noted the dubious nature of the Prop. G campaign that promises the Bayview jobs, housing, and a new park. “It’s deceptive advertising. Lennar promises the Bayview a park, but what they deliver are 15-story luxury condos and an astro-turf parking lot,” he said. “The Bayview deserves real parks, and maintenance of those that already exist.”

Said Stancil, “It’s just another gimmick that these corporations always have. They are trying to blind us from the truth. But don’t let them fool you.”

Erin Brockovich hits Lennar in South Carolina

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Seems that Erin Brockovich is testing levels of methane and hazardous chemicals at a Lennar housing complex in South Carolina. The EPA previously tested the site and claimed all was well, but Brockovich is challenging those results. Hardly the kind of sound bite that Lennar’s well-financed Prop. G supporters in San Francisco were hoping for.

Endorsements

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>>Click here for the full-text version of this story

Wait, wasn’t the primary election back in February? Yes, it was — in a way. The California Legislature, in an effort to make the state more relevant (that turned out well, didn’t it?) moved the presidential primary several months earlier this year but left the rest of the primary races, and some key initiatives, for the June 3 ballot. There’s a lot at stake here: three contested Legislative races, two judicial races, a measure that could end rent control in California … vote early and often. Our endorsements follow.

National races

Congress, District 6

LYNN WOOLSEY


It’s an irony that the congressional representative from Marin and Sonoma counties is far to the left of the representative from San Francisco, but Lynn Woolsey’s politics put Nancy Pelosi to shame. Woolsey was against the Iraq war from the start and the first member of Congress to demand that the troops come home, and she continues to speak out on the issue. At the same time, she’s also a strong advocate for injured veterans.

Woolsey, who once upon a time (many years ago) was on welfare herself, hasn’t forgotten what it’s like to have trouble making ends meet. She’s a leading voice against cuts in social service spending and is now pushing a bill to increase food stamp benefits. She richly deserves reelection.

Congress, District 7

GEORGE MILLER


George Miller, who has represented this East Bay district since 1974, is an effective legislator and strong environmentalist. Sometimes he’s too willing to compromise — he worked with the George W. Bush administration on No Child Left Behind, a disaster of an education bill — but he’s a solid opponent of the war and we’ll endorse him for another term.

Congress, District 8

NO ENDORSEMENT


Cindy Sheehan, the antiwar activist, is moving forward with her campaign to challenge Nancy Pelosi as an independent candidate in November, and we wish her luck. For now, Pelosi, the Speaker of the House and one of the most powerful people in Washington, will easily win the Democratic primary.

But Pelosi long ago stopped representing her San Francisco district. She continues to support full funding for Bush’s war, refused to even consider impeachment (back when it might have made sense), refused to interact with war critics who camped out in front of her house … and still won’t acknowledge it was a mistake to privatize the Presidio. We can’t endorse her.

Congress, District 13

PETE STARK


You have to love Pete Stark. The older he gets, the more radical he sounds — and after 32 years representing this East Bay district, he shows no signs of slowing down. Stark is unwilling to be polite or accommodating about the Iraq war. In 2007 he announced on the floor of the House that the Republicans "don’t have money to fund the war or children. But you’re going to spend it to blow up innocent people if we can get enough kids to grow old enough for you to send to Iraq to get their heads blown off for the president’s amusement." He happily signed on to a measure to impeach Vice President Dick Cheney. He is the only member of Congress who proudly admits being an atheist. It’s hard to imagine how someone like Stark could get elected today. But we’re glad he’s around.

Nonpartisan offices

Superior Court, Seat 12

GERARDO SANDOVAL


There aren’t many former public defenders on the bench in California. For years, governors — both Democratic and Republican — have leaned toward prosecutors and civil lawyers from big downtown firms when they’ve made judicial appointments. So the San Francisco judiciary isn’t, generally speaking, as progressive or diverse as the city.

Sup. Gerardo Sandoval, who will be termed out this year, is looking to become a judge — and there’s no way this governor would ever appoint him. So he’s doing something that’s fairly rare, even in this town: he’s running for election against an incumbent.

We’re happy to see that. It’s heartening to see an actual judicial election. Judges are technically elected officials, but most incumbents retire in the middle of their terms, allowing the governor to appoint their replacements, and unless someone files to run against a sitting judge, his or her name doesn’t even appear on the ballot.

Sandoval is challenging Judge Thomas Mellon, a Republican who was appointed by Gov. Pete Wilson in 1994. He’s not known as a star on the bench: according to California Courts and Judges, a legal journal that profiles judges and includes interviews with lawyers who have appeared before them, Mellon has a reputation for being unreasonable and cantankerous. In 2000, the San Francisco Public Defenders Office sought to have him removed from all criminal cases because of what the defense lawyers saw as a bias against them and their clients.

Sandoval hasn’t been a perfect supervisor, and we’ve disagreed with him on a number of key issues. But he’s promised us to work for more openness in the courts (including open meetings on court administration), and we’ll give him our endorsement.

State races and propositions

State Senate, District 3

MARK LENO


It doesn’t get any tougher than this — two strong candidates, each with tremendous appeal and a few serious weaknesses. Two San Francisco progressives with distinguished records fighting for a powerful seat that could possibly be lost to a third candidate, a moderate from Marin County who would be terrible in the job. Two people we genuinely like, for very different reasons. It’s fair to say that this is one of the hardest decisions we’ve had to make in the 42-year history of the Guardian.

In the end, we’ve decided — with much enthusiasm and some reservations — to endorse Assemblymember Mark Leno.

We will start with the obvious: this race is the result of term limits. Leno, who has served in the state Assembly for six years, argues, convincingly, that he is challenging incumbent state Sen. Carole Migden because he feels she hasn’t been doing the job. But Leno also loves politics, has no desire to return to life outside the spotlight, and if he could have stayed in the Assembly, the odds that he would have taken on this ugly and difficult race are slim. And if Leno hadn’t opened the door and exposed Migden’s vulnerability, there’s no way former Assemblymember Joe Nation of Marin would have thrown his hat into the ring. We’ve always opposed term limits; we still do.

That said, we’ll hold a few truths to be self-evident: In a one-party town, the only way any incumbent is ever held accountable is through a primary challenge. Those challenges can be unpleasant, and some — including Migden and many of her allies — argue that they’re a waste of precious resources. If Migden wasn’t scrambling to hold onto her seat, she’d be spending her money and political capital trying to elect more Democrats to the state Legislature. But Leno had every right to take on Migden. And win or lose, he has done a laudable public service: it’s been years since we’ve seen Migden around town, talking to constituents, returning phone calls and pushing local issues the way she has in the past few months. And while there will be some anger and bitterness when this is over — and some friends and political allies have been at each other’s throats and will have to figure out how to put that behind them — on balance this has been good for San Francisco. Migden has done much good, much to be proud of, but she had also become somewhat imperious and arrogant, a politician who hadn’t faced a serious election in more than a decade. If this election serves as a reminder to every powerful Democratic legislator that no seat is truly safe (are you listening, Nancy Pelosi?), then the result of what now seems like a political bloodbath can be only positive.

The Third Senate District, a large geographic area that stretches from San Francisco north into Sonoma County, needs an effective, progressive legislator who can promote issues and programs in a body that is not known as a bastion of liberal thought.

Both Migden and Leno can make a strong case on that front. Leno, for example, managed to get passed and signed into law a bill that amends the notorious pro-landlord Ellis Act to protect seniors and disabled people from evictions. He got both houses of the Legislature to approve a marriage-equality bill — twice. During his tenure in the unpleasant job of chairing the Public Safety Committee, he managed to kill a long list of horrible right-wing bills and was one of the few legislators to take a stand against the foolish measure that barred registered sex offenders from living near a park or school. Migden helped pass the landmark community-aggregation bill that allows cities to take a big step toward public power. She’s also passed several key bills to regulate or ban toxic substances in consumer products.

Migden’s record isn’t all positive, though. For a time, she was the chair of the powerful Appropriations Committee — although she gave up that post in 2006, abandoning a job that was important to her district and constituents, to devote more time to campaigning for Steve Westly, a moderate candidate for governor. When we challenged her on that move, she showed her legendary temper, attacking at least one Guardian editor personally and refusing to address the issue at hand. Unfortunately, that isn’t unusual behavior.

Then there’s the matter of ethics and campaign finance laws. The Fair Political Practices Commission has fined Migden $350,000 — the largest penalty ever assessed against a state lawmaker — for 89 violations of campaign finance laws. We take that seriously; the Guardian has always strongly supported ethics and campaign-finance laws, and this level of disregard for the rules raises serious doubts for us about Migden’s credibility.

Sup. Chris Daly posted an open letter to us on his blog last week, and he made a strong pitch for Migden: "While there are only a few differences between Carole and Mark Leno on the issues," he wrote, "when it comes to San Francisco politics, the two are in warring political factions. Carole has used her position in Sacramento consistently to help progressive candidates and causes in San Francisco, while Leno is a kinder, gentler Gavin Newsom."

He’s absolutely right. On the local issues we care about, Migden has been with us far more than Leno. When the public power movement needed money and support in 2002, Migden was there for us. When the University of California and a private developer were trying to turn the old UC Extension campus into luxury housing, Migden was the one who helped Sup. Ross Mirkarimi demand more affordable units. Migden was the one who helped prevent a bad development plan on the Port. Migden stood with the progressives in denouncing Newsom’s budget — and Leno stood with the mayor.

The district supervisorial battles this fall will be crucial to the city’s future, and Migden has already endorsed Eric Mar, the best progressive candidate for District 1, and will almost certainly be with John Avalos, the leading progressive in District 11. Leno may well back a Newsom moderate. In fact, he’s made himself a part of what labor activist Robert Haaland aptly calls the "squishy center" in San Francisco, the realm of the weak, the fearful, and the downtown sycophants who refuse to promote progressive taxes, regulations, and budgets at City Hall. His allegiance to Newsom is truly disturbing.

There’s a war for the soul of San Francisco today, as there has been for many years, and Leno has often tried to straddle the battle lines, sometimes leaning a bit to the wrong camp — and never showing the courage to fight at home for the issues he talks about in Sacramento. We’ll stipulate to that — and the only reason we can put it aside for the purposes of this endorsement is that Leno has never really had much in the way of coattails. He supports the wrong candidates, but he doesn’t do much for them — and we sincerely hope it stays that way.

While Leno is too close to Newsom, we will note that Migden is far too close to Gap founder and Republican leader Don Fisher, one of the most evil players in local politics. She proudly pushed to put Fisher — who supports privatizing public schools — on the state Board of Education.

A prominent local progressive, who we won’t identify by name, called us several months ago to ask how were going to come down in this race, and when we confessed indecision, he said: "You know, I really want to support Carole. But she makes it so hard."

We find ourselves in a similar position. We really wanted to support Migden in this race. We’d prefer to see the state senator from San Francisco using her fundraising ability and influence to promote the candidates and causes we care about.

But Migden has serious political problems right now, baggage we can’t ignore — and it’s all of her own making. Migden says her problems with the Fair Political Practices Commission are little more than technical mistakes — but that’s nonsense. She’s played fast and loose with campaign money for years. When it comes to campaign finance laws, Migden has always acted as if she rules don’t apply to her. She’s treated FPPC fines as little more than a cost of doing business. This latest scandal isn’t an exception; it’s the rule.

Unfortunately, it’s left her in a position where she’s going to have a hard time winning. Today, the election looks like a two-person race between Leno and Nation. And the threat of Joe Nation winning this primary is too great for us to mess around.

Despite our criticism of both candidates, we would be happy with either in the state Senate. We’re taking a chance with Leno; he’s shown some movement toward the progressive camp, and he needs to continue that. If he wins, he will have a huge job to do bringing a fractured queer and progressive community back together — and the way to do that is not by simply going along with everything Newsom wants. Leno has to show some of the same courage at home he’s shown in Sacramento.

But right now, today, we’ve endorsing Mark Leno for state Senate.

State Senate, District 9

LONI HANCOCK


This is another of several tough calls, another creature of term limits that pit two accomplished and experienced termed-out progressive assembly members against each other for the senate seat of termed-out Don Perata. We’ve supported both Loni Hancock and Wilma Chan in the past, and we like both of them. In this one, on balance, we’re going with Hancock.

Hancock has a lifetime of experience in progressive politics. She was elected to the Berkeley City Council in 1971, served two terms as Berkeley mayor, worked as the US Department of Education’s western regional director under Bill Clinton, and has been in the State Assembly the past six years. On just about every progressive issue in the state, she’s been an activist and a leader. And at a time when the state is facing a devastating, crippling budget crisis that makes every other issue seem unimportant, Hancock seems to have a clear grasp of the problem and how to address it. She’s thought through the budget calculus and offers a range of new revenue measures and a program to change the rules for budget passage (two-thirds vote in the legislature is needed to pass any budget bill, which gives Republicans, all but one who has taken a Grover Norquist–inspired pledge never to raise taxes, an effective veto).

Chan, who represented Oakland in the assembly for six years, is a fighter: she’s taken on the insurance industry (by cosponsoring a major single-payer health insurance bill), the chemical industry (by pushing to ban toxic materials in furniture, toys, and plumbing fixtures), and the alcoholic-beverages lobby (by seeking taxes to pay for treatment for young alcoholics). She’s an advocate of sunshine, not just in government, where she’s calling for an earlier and more open budget process, but also in the private sector: a Chan bill sought to force health insurance companies to make public the figures on how often they decline claims.

But she seems to us to have less of a grasp of the budget crisis and the level of political organizing it will take to solve it. Right now, at a time of financial crisis, we’re going with Hancock’s experience and broader vision.

State Assembly, District 12

FIONA MA


We were dubious about Ma. She was a pretty bad supervisor, and when she first ran for Assembly two years ago, we endorsed her opponent. But Ma’s done some good things in Sacramento — she’s become one of the leading supporters of high-speed rail, and she’s working against state Sen. Leland Yee’s attempt to give away 60 acres of public land around the Cow Palace to a private developer. She has no primary opponent, and we’ll endorse her for another term.

State Assembly, District 13

TOM AMMIANO


This one’s easy. Ammiano, who has been a progressive stalwart on the Board of Supervisors for more than 15 years, is running with no opposition in the Democratic primary for state Assembly, and we’re proud to endorse his bid.

Although he’s certain to win, it’s worth taking a moment to recall the extent of Ammiano’s service to San Francisco and the progressive movement. He authored the city’s domestic partners law. He authored the living wage law. He created the universal health care program that Mayor Newsom is trying to take credit for. He sponsored the 2002 public-power measure that would have won if the election hadn’t been stolen. He created the Children’s Fund. He authored the Rainy Day Fund law that is now saving the public schools in San Francisco. And the list goes on and on.

Beyond his legislative accomplishments, Ammiano has been a leader — at times, the leader — of the city’s progressive movement and is at least in part responsible for the progressive majority now on the Board of Supervisors. In the bleak days before district elections, he was often the only supervisor who would carry progressive bills. His 1999 mayoral challenge to incumbent Willie Brown marked a tectonic shift in local politics, galvanizing the left and leading the way to the district-election victories that brought Aaron Peskin, Matt Gonzalez, Jake McGoldrick, Chris Daly, and Gerardo Sandoval to office in 2000.

It’s hard to imagine the San Francisco left without him.

Ammiano will do a fine job in Sacramento, and will continue to use his influence to push the progressive agenda back home.

State Assembly, District 14

KRISS WORTHINGTON


This is another tough one. The race to replace Loni Hancock, one of the most progressive and effective legislators in the state, has drawn two solid, experienced, and well-qualified candidates: Berkeley City Council member Kriss Worthington and former council member Nancy Skinner. We like Skinner, and she would make an excellent assemblymember. But all things considered, we’re going with Worthington.

Skinner was on the Berkeley council from 1984 to 1992 and was part of a progressive majority in the 1980s that redefined how the left could run a city. That council promoted some of the best tenant protection and rent control laws in history, created some of the best local environmental initiatives, and fought to build affordable housing and fund human services. Skinner was responsible for the first local law in the United States to ban Styrofoam containers — a measure that caused McDonald’s to change its food-packaging policies nationwide. She went on to found a nonprofit that helps cities establish sustainable environmental policies.

Skinner told us that California has "gutted our commitment to education," and she vowed to look for creative new ways to raise revenue to pay for better schools. She’s in touch with the best economic thinkers in Sacramento, has the endorsement of Hancock (and much of the rest of the East Bay Democratic Party establishment), and would hit the ground running in the legislature.

Worthington, Berkeley’s only openly gay council member, has been the voice and conscience of the city’s progressive community for the past decade. He’s also been one of the hardest-working politicians in the city — a recent study by a group of UC Berkeley students found that he had written more city council measures than anyone else currently on the council and had won approval for 98 percent of them.

Worthington has been the driving force for a more effective sunshine law in Berkeley, and has been unafraid to challenge the liberal mayor, Tom Bates, and other leading Democrats. His campaign slogan — "a Democrat with a backbone" — has infuriated some of the party hierarchy with its clear (and intended) implication that a lot of other Democrats lack a spine.

"All of the Democrats in the assembly voted for 50,000 more prison beds," he told us. "We needed a Barbara Lee [who cast Congress’ lone vote against George W. Bush’s first war resolution] to stand up and say, ‘this is wrong and I won’t go along.’"

That’s one of the things we like best about Worthington: on just about every issue and front, he’s willing to push the envelope and demand that other Democrats, even other progressive Democrats, stand up and be counted. Which is exactly what we expect from someone who represents one of the most progressive districts in the state.

It’s a close call, but on this one, we’re supporting Kriss Worthington.

State ballot measures

Proposition 98

Abolition of rent control

NO, NO, NO


Proposition 99

Eminent domain reforms

YES, YES, YES


There’s a little rhyme to help you remember which way to vote on this critical pair of ballot measures:

"We hate 98, but 99 is fine."

The issue here is eminent domain, which is making its perennial ballot appearance. Californians don’t like the idea of the government seizing their property and handing it over to private developers, and the most conservative right-wing forces in the state are trying to take advantage of that.

Think about this: if Prop. 98 passes, there will be no more rent control in California. That means thousands of San Francisco tenants will lose their homes. Many could become homeless. Others will have to leave town. All the unlawful-evictions laws will be tossed out. So will virtually any land-use regulations, which is why all the environmental groups also oppose Prop. 98.

In fact, everyone except the Howard Jarvis anti-tax group hates this measure, including seniors, farmers, water districts, unions, and — believe it or not — the California Chamber of Commerce.

Prop. 99, on the other hand, is an unapologetic poison-pill measure that’s been put on the ballot for two reasons: to fix the eminent domain law once and for all, and kill Prop. 98 if it passes. It’s simply worded and goes to the heart of the problem by preventing government agencies from seizing residential property to turn over to private developers. If it passes, the state will finally get beyond the bad guys using the cloak of eminent domain to destroy all the provisions protecting people and the environment.

If anyone has any doubts about the motivation here, take a look at the money: the $3 million to support Prop. 98 came almost entirely from landlords.

This is the single most important issue on the ballot. Remember: no on 98, yes on 99.

San Francisco measures

Proposition A

School parcel tax

YES, YES, YES


Every year, hundreds of excellent teachers leave the San Francisco Unified School District. Some retire after a career in the classroom, but too many others — young teachers with three to five years of experience — bail because they decide they can’t make enough money. San Francisco pays less than public school districts in San Mateo and Marin counties and far less than private and charter schools. And given the high cost of living in the city, a lot of qualified people never even consider teaching as a profession. That harms the public school system and the 58,000 students who rely on it.

It’s a statewide problem, even a national one — but San Francisco, with a remarkable civic unity, is moving to do something about it. Proposition A would place an annual tax on every parcel of land in the city; the typical homeowner would pay less than $200 a year. The money would go directly to increasing pay — mostly starting pay — for teachers. The proposition, which has the support of almost everyone in town except the Republican Party, is properly targeted toward the newer teachers, with the goal of keeping the best teachers on the job past that critical three to five years.

Parcel taxes aren’t perfect; they force homeowners and small businesses to pay the same rate as huge commercial property owners. The way land is divided in the city most big downtown properties sit on at least five, and sometimes as many as 10 or 20 parcels, so the bill will be larger for them. But it’s still nowhere near proportionate.

Still, Prop. 13 has made it almost impossible to raise ad valorum property taxes (based on a property’s assessed value) in the state, and communities all around the Bay are using parcel taxes as a reasonable if imperfect substitute.

There’s a strong campaign for Prop. A and not much in the way of organized opposition, but the measure still needs a two-thirds vote. So for the sake of public education in San Francisco, it’s critical to vote yes.

Proposition B

City retiree benefits change

YES


San Francisco has always offered generous health and retirement benefits to its employees. That’s a good thing. But in this unfortunate era, when federal money is getting sucked into Iraq, state money is going down the giant deficit rat hole, and nobody is willing to raise taxes, the bill for San Francisco’s expensive employee benefit programs is now looking to create a fiscal crisis at City Hall. Officials estimate the payout for current and past employees could total $4 billion over the next 30 years.

So Sup. Sean Elsbernd and his colleagues on the Board of Supervisors have engineered this smart compromise measure in a way that saves the city money over the long run and has the support of labor unions (largely because it includes an increase in the pensions for longtime employees, partially offset by a one-year wage freeze starting in 2009) while still offering reasonable retirements benefits for new employees.

Previously, city employees who worked just five years could get taxpayer-paid health benefits for life. Under this measure, it will take 20 years to get fully paid health benefits, with partially paid benefits after 10 years.

It’s rare to find an issue that has the support of virtually everyone, from the supervisors and the mayor to labor. Prop. B makes sense. Vote yes.

Proposition C

Benefit denials for convicts

NO


On the surface, it’s hard to argue against Prop. C, a measure promoted as a way to keep crooks from collecting city retirement benefits. Sup. Sean Elsbernd’s ballot measure would update an ordinance that’s been on the books in San Francisco for years, one that strips public employees found guilty of "crimes of moral turpitude" against the city of their pensions. A recent court case involving a worker who stole from the city raised doubt about whether that law also applied to disability pay, and Prop. C would clear up that possible loophole.

But there are drawbacks this measure.

For starters, the problem isn’t that big: cases of rejected retirement benefits for city workers are rare. And the law still uses that questionable phrase "moral turpitude" — poorly defined in state law, never clearly defined in this measure, and as any older gay person can tell you, in the past applied to conduct that has nothing to do with honesty. The US State Department considers "bastardy," "lewdness," "mailing an obscene letter" and "desertion from the armed forces," among other things, to be crimes of moral turpitude.

Besides, Prop. C would apply not only to felonies but to misdemeanors. Cutting off disability pay for life over a misdemeanor offense seems awfully harsh.

The law that Elsbernd wants to expand ought to be rethought and reconfigured for the modern era. So vote no on C.

Proposition D

Appointments to city commissions

YES


Prop. D is a policy statement urging the mayor and the supervisors to appoint more women, minorities, and people with disabilities to city boards and commissions. It follows a study by the Commission on the Status of Women that such individuals are underrepresented on the policy bodies that run many city operations.

Despite the overblown concerns raised by local Republicans in the ballot arguments, this advisory measure would do nothing to interfere with qualified white males — or anyone else — getting slots on commissions.

Vote yes.

Proposition E

Board approval of San Francisco Public Utilities Commission appointees

YES


"The last thing we need is more politics at the San Francisco Public Utilities Commission," was the first line in Mayor Gavin Newsom’s ballot argument against Prop. E. That’s ironic: it was Newsom’s recent political power play — including the unexplained ousting of SFPUC General Manager Susan Leal and the partially successful effort to reappoint his political allies to this important body — that prompted this long overdue reform.

The SFPUC is arguably the most powerful and important of the city commissions, controlling all the vital resources city residents need: water, power, and waste disposal chief among them. Yet with the mayor controlling all appointments to the commission (it takes a two-thirds vote of the Board of Supervisors to challenge an appointment), that panel has long been stacked with worthless political hacks. As a result, the panel never pursued progressive approaches to conservation, environmental justice, public power, or aggressive development of renewable power sources.

Prop. E attempts to break that political stranglehold by requiring majority confirmation by the Board of Supervisors for all SFPUC appointments. It also mandates that appointees have some experience or expertise in matters important to the SFPUC.

If anything, this reform is too mild: we would have preferred that the board have the authority to name some of the commissioners. But that seemed unlikely to pass, so the board settled for a modest attempt to bring some oversight to the powerful panel.

Vote yes on Prop. E — because the last thing we need is more politics at the SFPUC.

Proposition F

Hunters Point-Bayview redevelopment

YES


Proposition G

NO


On the face of it, Proposition G sounds like a great way to restart the long-idle economic engine of the Bayview and clean up the heavily polluted Hunters Point Shipyard.

Who could be against a plan that promises up to 10,000 new homes, 300 acres of new parks, 8,000 permanent jobs, a green tech research park, a new 49ers stadium, a permanent home for shipyard artists, and a rebuild of Alice Griffith housing project?

The problem with Prop. G is that its promises are, for the most part, just that: promises — which could well shift at any time, driven by the bottom line of Lennar Corp., a financially stressed, out-of-state developer that has already broken trust with the Bayview’s low-income and predominantly African American community.

Lennar has yet to settle with the Bay Area air quality district over failures to control asbestos dust at a 1,500-unit condo complex on the shipyard, where for months the developer kicked up clouds of unmonitored toxic asbestos dust next to a K-12 school.

So, the idea of giving this corporation more land — including control of the cleanup of a federal Superfund site — as part of a plan that also allows it to construct a bridge over a slough restoration project doesn’t sit well with community and environmental groups. And Prop. G’s promise to build "as many as 25 percent affordable" housing units doesn’t impress affordable housing activists.

What Prop. G really means is that Lennar, which has already reneged on promises to create much-needed rental units at the shipyard, now plans to build at least 75 percent of its housing on this 770-acre waterfront swathe as luxury condos.

And with the subprime mortgage crisis continuing to roil the nation, there is a real fear that Prop. G’s final "affordability" percentage will be set by Lennar’s profit margins and not the demographics of the Bayview, home to the city’s last major African American community and many low-income people of color.

There’s more: The nice green space that you see in the slick Lennar campaign fliers is toxic and may not be fully cleaned up. Under the plan, Lennar would put condo towers on what is now state parkland, and in exchange the city would get some open space with artificial turf on top that would be used for parking during football games. Assuming, that is, that a deal to build a new stadium for the 49ers — which is part of all of this — ever comes to pass.

In fact, the lion’s share of a recent $82 million federal funding allocation will be dedicated to cleaning up the 27-acre footprint proposed for a new stadium. In some places, the city is planning to cap contaminated areas, rather than excavate and remove toxins from the site.

If the environmental justice and gentrification questions swirling around Prop. G weren’t enough, there remains Prop. G’s claim that it will create 8,000 permanent jobs once the project is completed. There’s no doubt that the construction of 10,000 mostly luxury homes will create temporary construction jobs, but it’s not clear what kind of jobs the resulting gentrified neighborhood will provide and for whom.

But one thing is clear: the $1 million that Lennar has already plunked down to influence this election has overwhelmingly gone to line the pockets of the city’s already highly paid political elite, and not the people who grew up and still live in the Bayview.

But there’s an alternative.

Launched as a last-ditch effort to prevent wholesale gentrification of the Bayview, Proposition F requires that 50 percent of the housing in the BVHP/Candlestick Point project be affordable to those making less than the median area income ($68,000 for a family of four).

That’s a reasonable mandate, considering that the city’s own general plan calls for two-thirds of all new housing to be sold or rented at below-market rates.

And if the new housing is built along Lennar’s plans, it will be impossible to avoid large-scale gentrification and displacement in a neighborhood that has the highest percentage of African Americans in the city, the third highest population of children, and burgeoning Latino and Asian immigrant populations.

Lennar is balking at that level, saying a 50-percent affordability mandate would make the project financially unfeasible. But if Lennar can’t afford to develop this area at levels affordable to the community that lives in and around the area, the city should scrap this redevelopment plan, send this developer packing, and start over again.

San Francisco has an affordable housing crisis, and we continue to doubt whether the city needs any more million-dollar condos — and we certainly don’t need them in a redevelopment area in the southeast. Remember: this is 700 acres of prime waterfront property that Lennar will be getting for free. The deal on the table just isn’t good enough.

Vote yes on F and no on G.

Proposition H

Campaign committees

NO


This one sounds just fine. Promoted by Mayor Gavin Newsom, Proposition H is supposedly aimed at ensuring that elected officials don’t solicit money from city contractors for campaigns they are sponsoring. But it lacks a crucial legal definition — and that turns what ought to be a worthy measure into little more than an attack on Newsom’s foes on the Board of Supervisors.

The key element is something called a "controlled committee." It’s already illegal for city contractors to give directly to candidates who might later vote on their contracts. Prop. H would extend that ban to committees, typically run for or against ballot measures, that are under the control of an individual politician.

Take this one, for example. Since Newsom put this on the ballot, and will be campaigning for it, the Yes on H campaign is under his control — he would be barred from collecting cash from city contractors, right? Well, no.

See, the measure doesn’t define what "controlled committee" means. So a group of Newsom’s allies could set up a Yes on H fund, raise big money from city contractors, then simply say that Newsom wasn’t officially aware of it or involved in its operation.

When Newsom first ran for mayor, the committee supporting his signature initiative — Care Not Cash — raised a fortune, and the money directly helped his election. But that wasn’t legally a "controlled committee" — because Newsom never signed the documents saying he was in control.

Prop. H does nothing to change that rule, which means it would only affect campaign committees that a politician admits to controlling. And guess what? Newsom almost never admits that, while the supervisors, particularly board president Aaron Peskin, are a bit more honest.

When Newsom wants to clearly define "controlled committee" — in a way that would have brought the Care Not Cash effort under the law — we’ll go along with it. For now, though, vote no on H.

San Francisco Democratic County Central Committee

The DCCC is the policy-making and operating arm of the local Democratic Party, and it has a lot of influence: the party can endorse in nonpartisan elections — for San Francisco supervisor, for example — and its nod gives candidates credibility and money. There’s been a struggle between the progressives and the moderates for years — and this time around, there’s a serious, concerted effort for a progressive slate. The Hope Slate, which we endorse in its entirety, has the potential to turn the San Francisco Democratic Party into a leading voice for progressive values.

There are other good candidates running, but since this group will have consistent support and is running as a slate, we’re going with the full crew.

13th Assembly District

Bill Barnes, David Campos, David Chiu, Chris Daly, Michael Goldstein, Robert Haaland, Joe Julian, Rafael Mandelman, Aaron Peskin, Eric Quezada, Laura Spanjian, Debra Walker

12th Assembly District

Michael Bornstein, Emily Drennen, Hene Kelly, Eric Mar, Jake McGoldrick, Trevor McNeil, Jane Morrison, Melanie Nutter, Connie O’Connor, Giselle Quezada, Arlo Hale Smith

Alameda County races

Superior Court judge, Seat 21

VICTORIA KOLAKOWSKI


There are two good candidates running for this open seat. Dennis Hayashi, a public-interest lawyer, would make a fine judge. Victoria Kolakowski would make history.

Kolakowski, who works as an administrative law judge for the California Public Utilities Commission, would be the first transgender person on the Alameda bench and, quite possibly, in the entire country. That would be a major breakthrough and important for more than just symbolic reasons: transpeople have extensive interactions with the judicial system, starting with the work to legally change their names; and, all too often, members of this marginalized community wind up in the criminal justice system. Having a sitting TG judge would go a long way toward educating the legal world about the importance of trans sensitivity.

Kolakowski is eminently qualified for the job: as a private intellectual property lawyer and later an ALJ at the CPUC, she’s handled a range of complex legal issues. She currently oversees administrative hearings that are very similar to court proceedings, and she has a calm and fair judicial temperament.

That’s not to denigrate Hayashi, who also has an impressive résumé. He’s spend much of his life in public-interest law, working for many years with the Asian Law Caucus, and he was co-counsel in the historic case that challenged Fred Korematsu’s conviction for refusing to report to a Japanese internment camp during World War II. He’s run the state’s Department of Fair Employment and Housing and was a civil rights lawyer in the Clinton administration.

We’d be happy to see either on the bench, but we’re going to endorse Kolakowski.

Board of Supervisors, District 5

KEITH CARSON


Keith Carson, the leading progressive on the board, has no real opposition this time around. He’s been a voice for protecting the fragile social safety net of the county, and we’re happy to endorse him for another term.

Oakland races

City Attorney

JOHN RUSSO


John Russo, who has made no secrets of his political ambition, failed in a bid to win the State Assembly seat for District 16 in 2006, and now he’s running unopposed for reelection. Russo has voiced some pretty ridiculous sentiments: he told a magazine for landlords in May 2006 that he opposed all forms of rent control and was against laws requiring just cause for evictions. That’s a horrible stand for a city attorney to take in a city with a huge population of renters. But Russo is smart and capable, and he’s one of the few city attorneys who consistently supports sunshine laws. We’ll endorse him for another term.

City Council, District 1

JANE BRUNNER


An attorney and former teacher, Jane Brunner spends a lot of time pushing for more cops; crime is the top issue in the North Oakland district she represents. And while we’d rather see anticrime approaches that go beyond hiring more officers, we appreciate that Brunner takes on the police department over its hiring failures. We also find her far more preferable on the issue than her opponent, Patrick McCullough, a longtime neighborhood activist who has become something of a celebrity since he shot a teenager who was hassling him in front of his house in 2005.

Brunner is one of the council’s strongest affordable housing advocates and has worked tirelessly for an inclusionary housing law. She deserves reelection.

City Council, District 3

NANCY NADEL


Nadel is hardworking, effective, a leader on progressive economic and planning issues, and one of the best members of the Oakland City Council. She asked the hard questions and demanded improvements in the giant Oak to Ninth project (although she wound up voting for it). She’s pushing for better community policing and promoting community-based anticrime efforts, including a teen center in a part of her district where there have been several homicides. She was a principal architect of the West Oakland industrial zoning plan, which she hopes will attract new jobs to the community (although she also pissed off a few artists who fear they’ll be evicted from living spaces that aren’t up to code, and she needs to address the problem). We’re happy to endorse her for another term.

City Council, District 5

MARIO JUAREZ


Somebody has to try to oust Ignacio De La Fuente, and this time around, Juarez is the best bet. A small-businessperson (he runs a real-estate operation with around 60 employees), he has some surprisingly progressive positions: he not only supports inclusionary housing but told us that he wanted to see the percentage of affordable units increased from 15 to 25 percent. He wants to see community policing integrated fully into Oakland law enforcement. He suggested that Oakland look into putting a modest fee on all airport users to fund local education. And he’s in favor of stronger eviction controls and tenant protections.

De La Fuente, the City Council president, has been the developers’ best friend, has run meetings with a harsh hand, often cutting off debate and silencing community activists, and needs to be defeated. We know Juarez isn’t perfect, but his progressive grassroots-based campaign was strong enough to get him the nod of both the Democratic Party and the Alameda County Greens. We’ll endorse him, too.

City Council, District 7

CLIFFORD GILMORE


Neither of the candidates in this race are terribly impressive, but incumbent Larry Reid has been so terrible on so many issues (supporting big-box development, inviting the Marines to do war games in Oakland, supporting condo conversions, etc.) that it’s hard to imagine how Clifford Gilmore, director of the Oakland Coalition of Congregations, could be worse.

City Council, at large

REBECCA KAPLAN


Rebecca Kaplan is exactly what the Oakland City Council needs: an energetic progressive with the practical skills to get things done. As an AC Transit Board member, she pushed for free bus passes for low income youths — and defying all odds, managed to get all-night transit service from San Francisco to the East Bay. She did it by refusing to accept the conventional wisdom that transit agencies on the two sides of the bay would never cooperate. She put the key players together in a meeting, convinced the San Francisco supervisors to allow AC Transit buses to pick up passengers in the city late at night, and put through an effective program to get people across the bay after BART shuts down.

Kaplan is running for City Council on a progressive platform calling for affordable housing, rational development, and community policing. Her latest idea: since Oakland has so much trouble attracting quality candidates for vacancies in its police department, she suggests the city recruit gay and lesbian military veterans who were kicked out under the Pentagon’s homophobic policies. Her proposed slogan: "Uncle Sam doesn’t want you, but Oakland does."

Vote for Rebecca Kaplan.

School Board, District 1

JODY LONDON


The Oakland schools are still stuck under a state administrator; the district, which was driven by mismanagement into a financial crisis several years ago, paid the price of a state bailout by giving up its independence. The school board has only limited authority of district operations, though that’s slowly changing. The state allowed the board to hire an interim superintendent, meaning issues like curricula and programs will be back under local control. So it’s a time of transition for a district that has had horrible problems, and the board needs experienced, level-headed leadership.

We’re impressed with Jody London, a parent with children in the public schools who runs a small environmental consulting firm. She has been active in the district, co-chairing the 2006 bond campaign that raised $435 million and serving on the bond oversight committee. She has a grasp of fiscal management, understands the challenges the district faces, and has the energy to take them on.

Her main opposition is Brian Rogers, a Republican who has the backing of outgoing state senator Don Perata and is a big fan of private charter schools. Tennessee Reed, a young writer and editor, is also in the race, and we’re glad to see her getting active. But on balance, London is the clear choice.

School Board, District 3

OLUBEMIGA OLUWOLE, SR.


Not a great choice here — we’re not thrilled with either of the two contenders. Jumoke Hinton Hodge, a nonprofit consultant, is too willing to support charter schools. Oluwole, who works with parolees, has limited experience with education. But on the basis of his community background (he’s on the board of the Oakland Community Organization) and our concern about Hodge and charter schools, we’ll go with Oluwole.

School Board, District 5

NOEL GALLO


Noel Gallo, the incumbent, is running unopposed. He’s been a competent member of the board, and we see no reason not to support his reelection.

School Board, District 7

ALICE SPEARMAN


Alice Spearman, the incumbent, isn’t the most inspiring member of the board — and she’s known for making some ill-considered and impolitic statements. But her main opponent, Doris Limbrick, is the principal of a Christian school and has no business running for the board of a public school district. So we’ll go with Spearman again.

Alameda County measures

Measure F

Utility users tax

YES


Measure F extends and slightly increases the utility tax on unincorporated areas of the county. It’s not the greatest tax, but it’s not terrible — and it provides essential revenue to pay for services like law enforcement, libraries, and code enforcement. The parts of Alameda County outside any city boundary have been dwindling as cities expand, but the county provides the only local government services in those areas. And, like every other county in California, Alameda is desperately short of cash. So Measure F is crucial. Vote yes.

Oakland Measure J

Telephone-user tax

YES


Measure J would update a 40-year-old tax on phone use that goes for local services. The tax law applies only to old-fashioned land lines, so cell phone users get away without paying. This isn’t the world’s most progressive tax, but Oakland needs the money and Measure J would more fairly share the burden. Vote yes.

Lennar drops another million on June election

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They say money talks. So what does Lennar’s latest campaign expenditures tell you?

One day after our latest article about Lennar’s plans to takeover the Bayview came out, the developer’s most recent campaign filings show that between March 18 and April 19, Lennar Homes spent another million dollars to influence the Battle for the Bayview.

To date, this an out-of-state developer has spent a total of $2.23 million to defeat Prop. F (which requires that 50 percent of Lennar’s proposed 10,000 new units of housing be truly affordable to people living in the Bayview)supporting instead an initiative that would allow it to build at least 75 percent of these new units as luxury condos.

Promises and reality

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› sarah@sfbg.com

The Lennar-financed "Yes on G" fliers jammed into mailboxes all across San Francisco this month depict a dark-skinned family strolling along a shoreline trail against a backdrop of blue sky, grassy parkland, a smattering of low-rise buildings, and the vague hint of a nearly transparent high-rise condo tower in the corner.

"After 34 years of neglect, it’s time to clean up the Shipyard for tomorrow," states one flier, which promises to create up to 10,000 new homes, "with as many as 25 percent being entry-level affordable units"; 300 acres of new parks; and 8,000 permanent jobs in the city’s sun-soaked southeast sector.

Add to that the green tech research park, a new 49ers stadium, a permanent home for shipyard artists, and a total rebuild of the dilapidated Alice Griffith public housing project, and the whole project looks and sounds simply idyllic. But as with many big-money political campaigns, the reality is quite different from the sales pitch.

What Proposition G’s glossy fliers don’t tell you is that this initiative would make it possible for a controversial Florida-based megadeveloper to build luxury condos on a California state park, take over federal responsibility for the cleanup of toxic sites, construct a bridge over a slough restoration project, and build a new road so Candlestick Point residents won’t have to venture into the Bayview District.

Nor do these shiny images reveal that Prop. G is actually vaguely-worded, open-ended legislation whose final terms won’t be driven by the jobs, housing, or open-space needs of the low-income and predominantly African American Bayview-Hunters Point community, but by the bottom line of the financially troubled Lennar.

And nowhere does it mention that Lennar already broke trust with the BVHP, failing to control asbestos at its Parcel A shipyard development and reneging on promises to build needed rental units at its Parcel A 1,500-unit condo complex (see "Question of intent," 11/28/07).

The campaign is supported by Mayor Gavin Newsom, Sen. Dianne Feinstein, and District 10 Sup. Sophie Maxwell, as well as the Republican and the Democratic parties of San Francisco. But it is funded almost exclusively by Lennar Homes, a statewide independent expenditure committee that typically pours cash into conservative causes like fighting tax hikes and environmental regulations.

In the past six months, Lennar Homes has thrown down more than $1 million to hire Newsom’s chief political strategist, Eric Jaye, and a full spectrum of top lawyers and consultants, from generally progressive campaign manager Jim Stearns to high-powered spinmeister Sam Singer, who recently ran the smear campaign blaming the victims of a fatal Christmas Day tiger attack at the San Francisco Zoo.

Together, this political dream team cooked up what it hopes will be an unstoppable campaign full of catchy slogans and irresistible images, distributed by a deep-pocketed corporation that stands to make many millions of dollars off the deal.

But the question for voters is whether this project is good for San Francisco — particularly for residents of the southeast who have been subjected to generations worth of broken promises — or whether it amounts to a risky giveaway of the city’s final frontier for new development.

Standing in front of the Lennar bandwagon is a coalition of community, environmental, and housing activists who this spring launched a last minute, volunteer-based signature-gathering drive that successfully became Proposition F. It would require that 50 percent of the housing built in the BVHP/Candlestick Point project be affordable to those making less than the area median income of $68,000 for a family of four.

Critics such as Lennar executive Kofi Bonner and Michael Cohen of the mayor’s Office of Economic and Workforce Development have called Prop. F a "poison pill" that would doom the Lennar project. But its supporters say the massive scope and vague wording of Prop. G would have exacerbated the city’s affordable housing shortfalls.

Prop. F is endorsed by the Sierra Club, People Organized to Win Employment Rights, the League of Conservation Voters, the Chinese Progressive Association, St. Peter’s Housing Committee, the Harvey Milk LGBT Democratic Club, Coleman Advocates for Children and Youth, the Grace Tabernacle Community Church, Green Action, Nation of Islam Bay Area, the African Orthodox Church, Jim Queen, and Supervisor Chris Daly.

Cohen criticized the coalition for failing to study whether the 50 percent affordability threshold is feasible. But the fact is that neither measure has been exposed to the same rigors that a measure going through the normal city approval process would undergo. Nonetheless, the Guardian unearthed an evaluation on the impact of Prop. F that Lennar consultant CB Richard Ellis prepared for the mayor’s office.

The document, which contains data not included in the Prop. G ballot initiative, helps illuminate the financial assumptions that underpin the public-private partnership the city is contemputf8g with Lennar, ostensibly in an effort to win community benefits for the BVHP.

CBRE’s analysis states that Lennar’s Prop. G calls for "slightly over 9,500 units," with nearly 2,400 affordable units (12 percent at 80 percent of area median income and 8 percent at 50 percent AMI), and with the San Francisco Redevelopment Agency "utilizing additional funding to drive these affordability levels even lower."

Noting that Prop. G. yields a "minimally acceptable return" of 17 to 18 percent in profit, CBRE estimates that Prop. F would means "a loss of $500 million in land sales revenue" thanks to the loss of 2,400 market-rate units from the equation. With subsidies of $125,000 allegedly needed to complete each affordable unit, CBRE predicts there would be a further cost of "$300 million to $400 million" to develop the 2,400 additional units of affordable housing prescribed under Prop. F.

Factoring in an additional $500 million loss in tax increments and Mello-Roos bond financing money, CBRE concludes, "the overall impact from [the Prop. F initiative] is a $1.1 to $1.2 billion loss of project revenues … the very same revenues necessary to fund infrastructure and community improvements."

Yet critics of the Lennar project say that just because it pencils out for the developer doesn’t mean it’s good for the community, which would be fundamentally and permanently changed by a project of this magnitude. Coleman’s Advocates’ organizing director Tom Jackson told us his group decided to oppose Prop. G "because we looked at who is living in Bayview-Hunters Point and their income levels.

"Our primary concern isn’t Lennar’s bottom line," Jackson continued. "Could Prop. F cut into Lennar’s profit margin? Yes, absolutely. But our primary concern is the people who already live in the Bayview."

Data from the 2000 US census shows that BVHP has the highest percentage of African Americans compared to the rest of the city — and that African Americans are three times more likely to leave San Francisco than other ethnic groups, a displacement that critics of the Lennar project say it would exacerbate.

The Bayview also has the third-highest population of children, at a time when San Francisco has the lowest percentage of children of any major US city and is struggling to both maintain enrollment and keep its schools open. Add to that the emergence of Latino and Chinese immigrant populations in the Bayview, and Jackson says its clear that it’s the city’s last affordable frontier for low-income folks.

The problem gets even more pronounced when one delves into the definition of the word "affordable" and applies it to the socioeconomic status of southeast San Francisco.

In white households, the annual median income was $65,000 in 2000, compared to $29,000 in black households — with black per capita income at $15,000 and with 14 percent of BVHP residents earning even less than $15,000.

The average two-bedroom apartment rents in San Francisco for $1,821, meaning households need an annual AMI of $74,000 to stay in the game. The average condo sells for $700,000, which means that households need $143,000 per year to even enter the market.

In other words, there’s a strong case for building higher percentages of affordable housing in BVHP (where 94 percent of residents are minorities and 21 percent experience significant poverty) than in most other parts of San Francisco. Yet the needs of southeastern residents appear to be clashing with the area’s potential to become the city’s epicenter for new construction.

San Francisco Republican Party chair Howard Epstein told the Guardian that his group opposed Prop. F, believing it will kill all BVHP redevelopment, and supported Prop. G, believing that it has been in the making for a decade and to have been "vetted up and down."

While a BVHP redevelopment plan has been in the works for a decade, the vaguely defined conceptual framework that helped give birth to Prop. G this year was first discussed in public only last year. In reality, it was hastily cobbled together in the wake of the 49ers surprise November 2006 news that it was rejecting Lennar’s plan to build a new stadium at Monster Park and considering moving to Santa Clara.

As the door slammed shut on one opportunity, Lennar tried to swing open another. As an embarrassed Newsom joined forces with Feinstein to find a last-ditch solution to keep the 49ers in town, Lennar suggested a new stadium on the Hunters Point Shipyard, surrounded by a dual use parking lot perfect for tailgating and lots of new housing on Candlestick Point to pay for it all.

There was just one problem: part of the land around the stadium at Candlestick is a state park. Hence the need for Prop. G, which seeks to authorize this land swap along with a repeal of bonds authorized in 1997 for a stadium rebuild. As Cohen told the Guardian, "The only legal reason we are going to the voters is Monster Park."

As it happens, voters still won’t know whether the 49ers are staying or leaving when they vote on Props. F and G this June, since the team is waiting until November to find out if Santa Clara County voters will support the financing of a new 49er stadium near Great America.

Either way, Patrick Rump of Literacy for Environmental Justice has serious environmental concerns about Prop. G’s proposed land swap.

"Lennar’s schematic, which builds a bridge over the Yosemite Slough, would destroy a major restoration effort we’re in the process of embarking on with the state Parks [and Recreation Department]," Rump said. "The integrity of the state park would easily be compromised, because of extra people and roads. And a lot of the proposed replacement parks, the pocket parks … don’t provide adequate habitat."

Rump also expressed doubts about the wisdom of trading parcels of state park for land on the shipyard, especially Parcel E-2, which contains the landfill. Overall, Rump said, "We think Lennar and the city need to go back to the drawing board and come up with something more environmentally sound."

John Rizzo of the Sierra Club believes Prop. G does nothing to clean up the shipyard — which city officials are seeking to take over before the federal government finishes its cleanup work — and notes that the initiative is full of vague and noncommittal words like "encourages" that make it unclear what benefits city residents will actually receive.

"Prop. G’s supporters are pushing the misleading notion that if we don’t give away all this land — including a state park — to Lennar, then we won’t get any money for the cleanup," Rizzo said. "But you don’t build first and then get federal dollars for clean up! That’s a really backwards statement."

The "Yes on G" campaign claims its initiative will create "thousands of construction jobs," "offer a new economic engine for the Bayview," and "provide new momentum to win additional federal help to clean up the toxins on the shipyard."

Michael Theriault, head of the San Francisco Building and Construction Trades, said his union endorsed the measure and has an agreement with Lennar to have "hire goals," with priority given to union contracts in three local zip codes: 94107, 94124, and 94134.

"There will be a great many construction jobs," Theriault said, though he was less sure about Prop. G’s promise of "8,000 permanent jobs following the completion of the project."

"We endorsed primarily from the jobs aspect," Theriault said. The question of whether the project helps the cleanup effort or turns it into a rush job is also an open question. Even the San Francisco Chronicle, in a January editorial, criticized Newsom, Feinstein, and Pelosi for neglecting the cleanup until "when it seemed likely that the city was about to lose the 49ers."

All three denounced the Chronicle‘s claims, but the truth is that the lion’s share of the $82 million federal allocation would be dedicated to cleaning the 27-acre footprint proposed for the stadium. Meanwhile, the US Navy says it needs at least $500 million to clean the entire shipyard.

Sup. Ross Mirkarimi said the city should wait for a full cleanup and criticized the Prop. G plan to simply cap contaminated areas on the shipyard, rather than excavate and remove the toxins from the site.

"That’s like putting a sarcophagus over a toxic wasteland," Mirkarimi told us. "It would be San Francisco’s version of a concrete bunker around Chernobyl."

Cohen of the Mayor’s Office downplays the contamination at the site, telling us that on a scale of one to 10 among the nation’s contaminated Superfund sites, the shipyard "is a three." He said, "the city would assume responsibility for completing the remaining environmental remediation, which would be financed through the Navy."

But those who have watched the city and Lennar bungle development of the asbestos-laden Parcel A (see The corporation that ate San Francisco, 3/14/07) don’t have much confidence in their ability to safely manage a much larger project.

"Who is going to take the liability for any shoddy work and negligence once the project is completed?" Mirkarimi asked.

Lennar has yet to settle with the Bay Area Air Quality Management District over asbestos dust violations at Parcel A, which could add up to $28 million in fines, and investors have been asking questions about the corporation’s mortgage lending operations as the company’s stock value and bond rating have plummeted.

To secure its numerous San Francisco investments, including projects at Hunters and Candlestick points and Treasure Island, Lennar recently got letters of intent from Scala Real Estate Partners, an Irvine-based investment and development group.

Founded by former executives of the Perot Group’s real estate division, Scala plans to invest up to $200 million — and have equal ownership interests — in the projects, which could total at least 17,000 housing units, 700,000 square feet of retail and entertainment, 350 acres of open space, and a new football stadium if the 49ers decide to stay.

Bonner said that, if completed, the agreement satisfies a city requirement that Lennar secure a partner with the financial wherewithal to ensure the estimated $1.4 billion Candlestick Point project moves forward even if the company’s current problems worsen.

Meanwhile, Cohen has cast the vagaries of Prop. G as a positive, referring to its spreadsheet as "a living document, a moving target." Cohen pointed out that if Lennar had to buy the BVHP land, they’d get it with only a 15 percent affordable housing requirement.

"Our objective is to drive the land value to zero by imposing upon the developer as great a burden as possible," Cohen said. "This developer had to invest $500 million of cash, plus financing, and is required to pay for affordable housing, parks, jobs, etc. — the core benefits — without any risk to the city."

But Cohen said the Prop. F alternative means "nothing will be built — until F is repealed." He also refutes claims that without the 49ers stadium, 50 percent affordability is doable.

"Prop G makes it easier to make public funds available by repealing the Prop D bond measure," Cohen explained. "But Prop. G also provides that there will be no general fund financial backing for the stadium, and that the tax increments generated by the development will be used for affordable housing, jobs, and parks."

But for Lennar critics like the Rev. Christopher Mohammad, who has battled the company since the Islamic school he runs was subjected to toxic dust, even the most ambitious promises won’t overcome his distrust for the entity at the center of Prop. G: Lennar.

In a fiery recent sermon at the Grace Tabernacle Community Church, Mohammad recalled the political will that enabled the building of BART in the 1970s. "But when it comes to poor people, you can’t build 50 percent affordable. That will kill the deal," Mohammad observed.

"Lennar is getting 700 prime waterfront acres for free, and then there’ll be tax increment dollars they’ll tap into for the rebuild," he continued. "But you mean you can’t take some of those millions, after all the damages you’ve done? It would be a way to correct the wrong."

Progressive power play for the DCCC

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The word from the San Francisco Elections Office is that all hell has broken loose as the city’s top progressive political leaders file to run for the Democratic County Central Committee in a bold and surprising move to seize control of the political body from moderates like Mayor Gavin Newsom, Rep. Nancy Pelosi, and U.S. Sen. Dianne Feinstein. And the word is that Team Newsom was caught flat-footed, able to get only a couple administration loyalists — Mike Farrah and Catherine Dodd — to file before today’s 5 p.m. deadline.

But the lineup on the left is a who’s who list of top progressives: supervisors Chris Daly, Jake McGoldrick and Aaron Peskin, Public Defender Jeff Adachi, school board members Eric Mar and Kim-Shree Maufis, likely supervisorial candidates Debra Walker and Eric Quesada, mayoral runner-up Quintin Mecke, and McGoldrick’s son Jamie. If elected, they would join incumbent progressives such as Robert Haaland, Michael Goldstein, and Rafael Mandelman.

“I think what you’ll see is a more progressive central committee,” said Bill Barnes, chief of staff for Assembly member Fiona Ma and a progressive member of the DCCC who is also running for reelection.
Control of the DCCC would allow local progressives, most of whom have endorsed Barack Obama for president, to take advantage of the opportunity to push a more innovative political agenda and try to pressure the party to move to the left.

They are also likely to use a coordinated campaign this year to present progressive policy options to San Franciscans just as Newsom is working to sell a Lennar-sponsored development proposal on the June ballot and using a power grab on city committees to try to take control of the public agenda.

Affordable Housing Initiative on June ballot

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It’s official. The Affordable Housing requirement for the Candlestick Point and Hunters Point Shipyard Mixed Use Development Project Initiative, has qualified for the June 3 ballot.

This means that voters will decide on two BVHP-related measures this summer: the Lennar-led Mixed Use Project for Candlestick Point and the Shipyard, and the community-led Affordable Housing requirement, which demands that 50 percent of housing to be built as part of the Lennar led project, be affordable

Michael Cohen of the Mayor’s Office of Economic and Workforce Development complained, at a SF4Democracy presentation last night. that the community initiative has been drawn up without an economic feasibility report. Cohen also told the Guardian, when I asked about Lennar’s troubled financial picture, that it’s not written in stone that Lennar would be the Candlestick/Shipyard project developer.

Either way, it looks like issues around Lennar’s less than perfect environmental monitoring performance at the Shipyard won’t be going away any time soon.

Political football season

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› sarah@sfbg.com

With Mayor Gavin Newsom predicting a big budget deficit and seven Board of Supervisors seats up for grabs, everyone knew 2008 would be acrimonious.

But few suspected the war between Newsom and the supervisors would get so nasty so soon, even before the lunar Year of the Rat had officially dawned. The most telling development was the swift and nasty retaliation board president Aaron Peskin endured after he requested that Newsom return the $750,000 the mayor siphoned from the San Francisco Municipal Transportation Agency to pay the salaries of seven mayoral aides.

At the Jan. 29 Board of Supervisors meeting, Peskin publicly called for "an end to the budget shell game that has resulted in monies being shifted from Muni and other city departments to fund political employees who do not work for or directly improve services for the departments paying for their positions." Newsom’s predecessor, Willie Brown, was the master of such budget games, but Peskin said, "There are those who defend this shell game by saying it is a long-standing practice here at City Hall. That may be true. But it doesn’t make it right."

Peskin’s demands came at a horribly awkward moment for Newsom: two months earlier the newly reelected mayor announced an immediate hiring freeze and across-the-board cuts to city departments, citing a projected $229 million budget deficit in fiscal year 2008–09. His administration blamed this looming deficit in part on the creation of 700 new city positions, including 100 new police officers and 200 public health nurses, plus pay raises for nurses, firefighters, and police officers.

Also blamed were a projected windfall loss of property transfer taxes and a bunch of voter-approved spending requirements, including the November 2007 voter-approved and Peskin-authored Proposition A, which transfers $26 million more annually from the city’s General Fund to the MTA.

Newsom press secretary Nathan Ballard defended the use of MTA funds to pay mayoral staff salaries, claiming that all but one of the positions have a direct relationship to the work of the MTA, including the new director of climate change initiatives, Wade Crowfoot. "I know it’s not pretty, but it is an efficient way of getting city business done. We are following the letter and the spirit of the law," Ballard reportedly told the San Francisco Chronicle.

But within a week the mayor’s point person on transportation, Stuart Sunshine, announced he’ll be leaving City Hall in February, while the Mayor’s Office scrambled to explain why Brian Purchia, who developed Newsom’s reelection campaign Web site last year and who last month started working in Newsom’s press office for $85,000 per year, was hired as an MTA employee.

"The MTA has not and will not be paying any part of his salary," Ballard responded by e-mail Jan. 24 to a Guardian inquiry. "As of January 28, Purchia will be on a Mayor’s office requisition." Ballard also blasted Peskin in the Chronicle and the San Francisco Examiner, using incendiary language normally reserved for political campaigns and rarely employed by city employees talking about the president of the Board of Supervisors.

Retaliation for Peskin’s publicly announced MTA refund request has also included two splashy Chronicle hit pieces attacking Peskin and the board that ran on the front page, above the fold, on two consecutive days. One includes a photo of Peskin alongside extracts from a five-month-old letter that was possibly leaked by the Mayor’s Office (the confidential letter was copied to Newsom chief of staff Phil Ginsburg) in which Port of San Francisco director Monique Moyer alleges that Peskin made bullying late-night phone calls last August, when the Port was trying to get a measure passed to increase building heights along the Embarcadero — a land-use issue that was resolved last year.

But Peskin isn’t the only elected official to get his wrists slapped by the mayor in recent weeks.

In mid-January, Newsom upbraided San Francisco’s entire delegation in Sacramento for lending their support to the board-approved affordable-housing City Charter amendment, which will be on the November ballot and seeks to set aside $33 million annually in affordable-housing funds for the next 15 years.

As Sens. Carole Migden and Leland Yee and Assemblymembers Fiona Ma and Mark Leno noted in a Jan. 7 letter to Peskin, local voters have not approved a renewal of the 1996 housing bond, and the board’s proposed amendment builds on prior successful ballot measures to fund libraries, parks, and children’s programs, which have been successfully implemented without significant budget impacts.

But Newsom wrote the delegation Jan. 11 to express his "disappointment."

"I cannot support the Charter Amendment, because it has significant implications for the future fiscal health of our City and the backbone of our public health care system — San Francisco General Hospital," Newsom claimed, noting that the General Hospital bond is also on the November ballot. Then again, Newsom is also backing a Lennar Corp.–financed measure that would approve the building of 10,000 housing units at Candlestick Point but wouldn’t guarantee affordability levels (see "Signature Measures," page 10).

Meanwhile, fearing that Newsom is seeking to exert excessive control over several key commissions, the Board of Supervisors’ progressive majority is seeking to ensure that the seven members of the MTA board are elected officials beginning November 2009 and to divide the power to nominate members of the San Francisco Public Utilities Commission between the supervisors and the mayor.

These moves are coming at a time when Newsom has decided to replace three members of the MTA board who had alternative-transportation credibility but whose loyalty he apparently questioned: San Francisco Bicycle Coalition executive director Leah Shahum, Peter Mezey, and Wil Din. To fill those slots, Newsom appointed disabled-rights activist Bruce Oka, attorney Malcolm Heinicke (both of whom served on the Taxi Commission, which Newsom hopes to merge into the MTA this year), and Jerry Lee, a member of the Transportation Authority’s Citizen Advisory Committee.

But the Board of Supervisors can block the mayor’s MTA picks — and that showdown looks likely, in light of Newsom’s alleged misuse of MTA funds and his refusal to heed Peskin’s call for a mayoral representative to appear before the board to explain Newsom’s vision for the MTA.

Meanwhile, Sup. Jake McGoldrick told the Guardian he introduced a Charter amendment to make the MTA board seats elected positions. He argues that Prop. A not only increased the MTA’s budget but also reduced the board’s MTA oversight, so the body now needs to be more answerable to San Franciscans.

"It’s about not having accountability at the legislative branch," McGoldrick said. "The MTA ridership and residents need to have a way to voice their concerns."

McGoldrick said the mayor’s early removal of MTA members and his raid on MTA funds are troubling.

"Their removal reinforces what’s going on, how the MTA is viewed as a milking machine for the Mayor’s Office," McGoldrick said, noting that he asked for a budget analyst’s report on the MTA several weeks ago to keep the discussion objective and that he also asked for an accounting of the 1,600 to 1,700 jobs that Newsom declared frozen last fall. That report should be available at any time.

"I wanted to see which jobs were frozen and which were defrosted," McGoldrick said, "but I didn’t want it to become a political football."

However, with battles between the board and the mayor likely to get even intenser during the coming budget and election seasons, it’s starting to look like 2008 could be one long political football season.

Follow Lennar’s Money

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Sup. Chris Daly has a juicy item on his blog. He’s uncovered that Lennar has already spent $500,000 to try and qualify a mixed-use development at Candlestick Point and Hunters Point Shipyard for the June 2008 ballot. This Lennar financed project is being framed as the Bayview Jobs, Parks and Housing Initiative.

But just who has benefited from Lennar’s spending spree, so far?

The city’s campaign finance data base shows that the biggest beneficiaries have been business lawyers Paul, Hastings, Janofsky and Waller; political consultants Terris, Barnes and Walters; campaign law and lobbying firm Nielsen, Merkamer, Parrinello, Mueller and Naylor, Sam Singer’s public relations firm, Singer Associates, Ground Floor, the public affairs firm run by Jim Stearns and Alex Tourk, and David Binder’s polling research. Oh, and then there’s the $17,500 Lennar paid to Pacific Petition, a petition circulation subvendor, to gather signatures to qualify this puppy for the ballot.

Meanwhile, supporters of the Bayview Affordable Housing initiative, which seeks to ensure that 50 percent of all housing built at Candlestick Point and the shipyard be affordable, are likely going to have to rely on community volunteers to qualify their competing measure for the June 2008 ballot.

Q. Which initiative do you think is most likely to benefit the people who currently live in the Bayview?

p.s As Lennar argues that it can’t afford 50 percent affordable housing in the Bayview, it’s worth noting that in 2006, Lennar President and CEO Stuart Miller made $1 million in salary, but his bonus decreased (from $21.5 million in 2005, paid half in stock and half in cash) to $4. 7 million, paid entirely in cash. Poor baby.

Daly’s affordable housing power play

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Sup. Chris Daly appears to be coming up just short in a power play to force affordability standards on the 10,000 housing units that Mayor Gavin Newsom, Lennar Corp., and other top power brokers are trying to build through a June ballot measure. Daly has been working with Bayview-Hunters Point activists — including those with People Organized to Win Employment Rights (POWER) and Center for Self-Improvement — to craft a ballot measure that calls for rental housing in the area to be affordable by those making half the city’s median income or less and for housing sales to be affordable by those at 80 percent of the median income or less. Daly needs the signatures of four supervisors by 5 p.m. today to place it on the ballot, but right now he only has Sup. Ross Mirkarimi. Supporters of the measure just minutes ago lined up to testify during the public comment portion of today’s Board of Supervisors meeting, citing the dire need for affordable housing to stem the black exodus from the city, while the African-American ministers who have been close to Lennar and Newsom urged the supervisors not to sign it. While Daly tells us there’s still a chance to get signatures from Tom Ammiano and/or Gerardo Sandoval (who at one point, Daly said, seemed inclined to support it but may have gotten worried about how it might affect his run for judge at the same time), but it doesn’t look good. Lennar representatives and their allies have been circulating through City Hall since the measure was completed on Friday, lobbying hard against it. Now, activists may have to gather signatures if they hope to qualify the measure for the June ballot.

Newsom’s gambit

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Gavin Newsom, flanked by his sister, Hillary Newsom Callan, her two young daughters and his fiancee, Jennifer Siebel, prepares to be sworn in for a second term as Mayor of San Francisco by his father, retired Judge William Newsom.

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Promises, promises. Newsom takes the oath, using an old family Bible, held by Siebel.

Mayor Gavin Newsom’s 2008 inaugural address under City Hall’s caverous domed rotunda looked like a rehearsal for his upcoming wedding to actress Jennifer Siebel, what with the choir trilling, the reverend pronouncing his blessings, the family Bible, the bucket loads of roses, and Newsom’s sister’s cute little kids running all around.

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Siebel clutches Newsom’s niece, Talitha Callan, while the Mayor listens to event emcee Carlos Garcia, before launching into his hour-long inaugural address

Less adorable was the fact that Newsom’s speech contained a not so thinly veiled attack on the November 2008 charter amendment, which seeks to set aside $2.7 billion in city funds for affordable housing over 15 years.

The amendment would give affordable housing the same baseline of funding that the city already allocates to the Recreation and Park Department Fund and the Library Preservation Fund—and less than it already sets aside for the Children, Youth and Families Fund.

Sounds reasonable to those of us who have no hope of owing a home in San Francisco and are either having difficulty cobbling together the rent each month for our lowly studio/room/apartment/shack in the City, or are already displaced to the East Bay.

It’s a point that a super majority of the Board of Supervisors, along with State Senators Carole Migden and Leland Yee, and Assemblymembers Mark Leno and Fiona Ma, all seem to get, given their support for the affordable housing set aside.
But not, apparently, Newsom, who smeared this amendment as “a political gambit,” while pushing a Lennar-backed measure that promises to build 10,000 housing units at Candlestick Point, but does not specify what percentage of these units would be below market rate, for rent, or affordable, to people who currently live in the Bayview.

“In the next four years we are going to keep offering real solutions on affordable housing, not fall prey to political gambits that offer attractive promises but not sound policy,” Newsom said, during his address.

But is the newly resworn-in Mayor’s resistance to the Board’s affordable housing charter amendment rooted in the fact that it would require the Mayor’s Office of Housing to prepare an affordable housing plan every three years, present an annual affordable housing budget and do so before the rest of the Mayor’s annual budget proposals are finalized?

All these steps are crucial, in terms of transparency, accountability–and ensuring that the affordable housing needs of low-income and working class folks get top priority, instead of becoming an annual political football. They are also logical steps, for those seeking sustainable solutions to homelessness and climate change, as Newsom claims to be doing.

But instead, Newsom continues to lend his support to the Lennar-backed measure on the June 2008 ballot, even though Lennar broke its promise to build rentals at its Hunters Point Shipyard Parcel A site, where it is constructing 1,500 condominiums, and failed to live up to its promise to proactively protect local residents from asbestos dust.

Let’s Newsom sees the light, uses his political capital to support the affordable housing charter amendment, and thus lives up to his promise to protect all of the City’s residents, for the next four years.

Homes for whom?

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› sarah@sfbg.com

After years of letting the free market dictate San Francisco’s housing mix — as a result steadily losing ground on the city’s affordable housing goals — the Board of Supervisors appears primed to place an ambitious bond measure on the fall 2008 ballot to address the housing imbalance.

Winning the necessary support from two-thirds of voters won’t be easy, coming on a ballot with the majority of supervisorial seats up for grabs, the presidential election, and a likely bond measure for rebuilding General Hospital. But Sup. Chris Daly, author of the affordable-housing bond measure, believes it’s a good time to have progressives focus on this most important of problems facing the city.

Last summer affordable-housing funds became a political football in a budget showdown between Daly and Mayor Gavin Newsom, a fight Newsom won, leading to a budget that prioritizes clean streets and a beefed-up Police Department over affordable housing. Newsom’s reelection campaign, which was just gearing up at the time, successfully cast Daly as the villain after the occasionally hotheaded supervisor threatened to bolster housing funds by cutting Newsom’s "pet projects," as Daly called them, which included a community justice center, a Police Academy class, street trees, and the Small Business Assistance Center.

Daly clearly lost that duel when he was savaged by the media and removed from his chair on the Budget Committee by board president Aaron Peskin. But now Daly has bounced back on the issue and secured solid support for his measure, which progressives and affordable-housing activists are already gearing up to fight for next year.

"Just because Newsom had a significant political operation this year does not mean that the affordable-housing issue went away," Daly told the Guardian after securing support for the amendment from six of his colleagues and a broad coalition of housing activists.

The measure would set aside $2.7 billion in city funds for affordable housing over 15 years. It is cosponsored by Sups. Tom Ammiano, Jake McGoldrick, Ross Mirkarimi, Gerardo Sandoval, Sophie Maxwell, Bevan Dufty, and Peskin and backed by Coleman Advocates for Children and Youth (which has made affordable family housing its top priority), the San Francisco Organizing Project, and the Housing Justice Coalition.

The measure would give affordable housing the same baseline of funding that the city already allocates to the Recreation and Park Department fund and the Library Preservation Fund — and less than what it sets aside for the Children, Youth and Families fund, the police fund, and the fire station maintenance fund.

"If we don’t have affordable housing, who is going to use the parks and the libraries?" housing activist Calvin Welch asked.

The amendment would also require the Mayor’s Office of Housing to prepare an affordable-housing plan every three years, present an annual affordable-housing budget, and complete these steps before the rest of the mayor’s budget proposals are finalized.

"I hope these provisions will bring some much-needed transparency and clarity to the affordable-housing process so we can avoid the train wreck of last year," Welch said.

In a June 8 editorial still posted at Newsom’s www.actlocally.org reelection Web site, the San Francisco Chronicle appears to have bought the mayor’s spin that Daly’s request to prioritize housing was all just political theater.

"There was nothing wise or efficient about Supervisor Chris Daly’s bald political ploy to strip $37 million from Mayor Gavin Newsom’s budget priorities and shift most of it into affordable housing," the Chronicle claimed. "Now let’s be clear. We know that San Francisco does need housing. Newsom’s budget also acknowledges the shortage, pumping $217 million into housing programs."

But, according to Welch, "the lie was that Newsom allocated $217 million when he really only allocated $78 million and the board added a further $10 million to the pot…. Newsom was taking credit for more than he was actually allocating and using those other funds to imply that he’d already used a massive amount of the General Fund when he was, in fact, allocating less than the year before. So he was actually talking about a cut."

Newsom press secretary Nathan Ballard told the Guardian that the total affordable-housing budget for fiscal year 2007–08 was $226 million — and of that total budget, "just approximately $90 million is General Fund dollars.

"The balance of funding (the difference between $226 million and $90 million) is a whole variety of other funding sources," he added, listing inclusionary housing in-lieu fees, redevelopment funds, jobs housing linkage fees levied on private development, federal and state sources, and other funds, many of which accumulate over many years, further distorting the budget picture.

But Welch said the housing situation is grim. As he told us, "The truth is that 92 percent of the city’s population can’t afford housing."

Daly’s affordable-housing amendment awaits a Jan. 8 board vote, following a request by Maxwell to allow for affordable housing to be built on sites used under the San Francisco Housing Authority — the so-called Hope SF program — a request Daly supports.

"My issue with Hope SF is [with] any proposal to build a large number of market-rate units on public housing sites," Daly explained, referring to a central tenet of the Newsom-created program.

Meanwhile, a June 2008 ballot measure being pushed by Newsom, Sen. Dianne Feinstein, and a host of other prominent local power brokers threatens to drain what little money the city does have for affordable housing in order to subsidize a massive push by Lennar Corp. to build 8,000 to 10,000 new houses in Candlestick Point, Hunters Point, and the Bayview.

Other than committing to replace low-income Alice Griffith public housing units at a one-to-one ratio, the Bayview Jobs, Parks and Housing Measure does not specify what percentage of the Lennar-built homes will be considered affordable or sold below market rates. Publicly, backers of the measure are presenting the efforts as focused on building a new stadium for the San Francisco 49ers, even though the team has said it would rather move to Santa Clara. Yet the campaign is also keenly aware of the public support for more affordable housing, at least if its ground-level pitches are any indication.

A paid signature gatherer who was recently working the 24th Street BART station (and who also told a Guardian source he was getting the unusually high sum of $2.50 per signature) presented the proposal to passersby as "an affordable housing measure."

Polishing SPUR

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› amanda@sfbg.com

Wedged among the commerce, tourism, and white-collar businesses north of Market Street is the slim entry to 312 Sutter, easy to miss unless you happen to be searching for the San Francisco Planning and Urban Research Association. SPUR occupies the fourth and fifth floors of the building — and occupies them completely. Cubicles are close and overstuffed. Conversations compete. Space for meetings is a hot commodity. Four bicycles, ridden to work by staff members, are crammed in a side room where languish a half century’s worth of policy papers, photographs, and planning documents generated by the active public interest think tank.

It looks more like a struggling nonprofit than one of the most influential policy organizations in town, one supported by the city’s richest and most powerful interests.

"This is why we’re building the Urban Center," said Gabriel Metcalf, the youthful executive director of the 48-year-old organization, clad in a dark suit and sipping from a Starbucks coffee cup while he roams the fourth floor office space searching for any available real estate to sit and talk.

He settles on an open-faced workroom with empty seats. They circle a table covered with a thick ledger of plans for SPUR’s new Urban Center, a $16.5 million, 12,000-square-foot four-story building at 654 Mission that the group is building with more than $8 million in public money.

Plans for the center include a free exhibition space, a lending library, and an evolution of the group’s current public education program, now consisting of noontime forums, to include evening lectures and accredited classes. Though the center will house meeting rooms for SPUR’s committees and offices for its staff, the suggestion is that the new space will be a more public place.

And SPUR seems to be searching for a new public image.

For years the organization was synonymous with anything-goes development, ruinous urban renewal, and an economy policy that favored big business and growth at all costs. Today SPUR’s staffers and some board members present a different face. The new SPUR features open debate and seeks consensus; phrases like sustainability and public interest are bandied about more than tax cuts and urban renewal.

But San Francisco progressives are a tough crowd, and SPUR’s history — and, frankly, most of its current political stands — makes a lot of activists wonder: Has SPUR really changed its spurs? And can a group whose board is still overwhelmingly dominated by big business and whose biggest funders are some of the most powerful businesses in town ever be a voice of political reason?

As one observer wryly noted, "I’ve yet to see SPUR publicly denounce a development project."

SPUR considers itself a public policy think tank, a term that conjures an impression of lofty independence. But the group has, and has always had, a visible agenda. SPUR members regularly advocate positions at public meetings, and the group takes stands on ballot measures.

And it has a painful legacy. "We have a dark history," Metcalf admits, referring to the days when "UR" stood for "urban renewal," often called "urban removal" by the thousands of low-income, elderly, and disabled people, many African American and Asian, who were displaced by redevelopment in San Francisco.

That history — and the fact that SPUR’s membership is largely a who’s who of corporations, developers, and financiers — has caused some to raise questions about the public money the group has received for the new Urban Center.

"They’re not an academic institution," said Marc Salomon, a member of the Western SoMa Citizens Planning Task Force who’s butted heads with the group. "There’s no academic peer review going on here. The only peer review is coming from the people who fund them."

Yet prominent local progressives like artist and planning activist Debra Walker, veteran development warrior Brad Paul, and architect and small-business owner Paul Okamoto have joined the SPUR board in recent years. "There’s a bunch of us that have come in under the new regime of Gabriel Metcalf because there’s a real aching need for a progressive dialogue about planning," said Walker, who thinks SPUR is making concerted efforts to inform its policies with the points of view of a broader constituency. "I think SPUR is engaged in those conversations more than anyone."

SPUR defines its mission as a commitment to "good planning and good government." Though a wide range of issues can and does fall under that rubric, the 71 board members and 14 staff tend to focus on housing, transportation, economics, sustainability, governmental reform, and local and regional planning, and their agenda has a dogged pro-growth tinge.

SPUR likes to trace its history to the post–1906 earthquake era, when the literal collapse of housing left many people settling in squalid conditions. The San Francisco Housing Association was formed "to educate the public about the need for housing regulations and to lobby Sacramento for anti-tenement legislation." A 1999 SPUR history of itself places its genesis in the Housing Association, though other versions of the group’s history suggest a slightly different taproot.

According to Chester Hartman’s history of redevelopment in San Francisco, City for Sale (University of California Press, 2002), the 1950s were a time when corporate-backed regional planners were envisioning a new, international commercial hub in the Bay Area. They were looking for a place to put the high-rise office buildings, convention centers, and hotels that white-collar commerce would need. Urban renewal money and resources were coming to the city, and San Francisco’s Redevelopment Agency identified the Embarcadero and South of Market areas as two of several appropriate places to raze and rebuild.

The agency, however, was dysfunctional and couldn’t seem to get plans for the Yerba Buena Center — a convention hall clustered with hotels and offices — off the ground. The Blyth-Zellerbach Committee, "a group the Chamber of Commerce bluntly described as ‘San Francisco’s most powerful business leaders, whose purpose is to act in concert on projects deemed good for the city,’<0x2009>" as Hartman writes, commissioned a report in 1959 by Aaron Levine, a Philadelphia planner, which identified the Redevelopment Agency as one of the worst in the nation and recommended more leadership from the business community. The San Francisco Planning and Urban Renewal Association was born, funded by Blyth-Zellerbach, whose leaders included some corporations that still pay dues to SPUR, like Bechtel, Bank of America, Wells Fargo, and Pacific Gas and Electric Co.

John Elberling, a leader of the Tenants and Owners Development Corp., a group representing the people who were trying to stay in the area, was one of many activists who litigated against the city’s plan and managed to wedge some affordable housing into the developers’ vision of South of Market. SPUR, he told us, was "explicitly formed to support redevelopment issues in the ’60s and ’70s."

By 1974, when Paul began fending off redevelopment efforts around the Tenderloin and directed the North of Market Planning Coalition, "all through that period SPUR was viewed by the community as a tool for the Chamber of Commerce," he said.

In 1976, "Urban Renewal" became "Urban Research," a move away from the tarnished term. The 1999 commemoration of SPUR’s 40th anniversary is a somewhat sanitized history that never presents the faces of the people who were displaced by the program; nor does the analysis nod significantly toward the neighborhood groups and activists who were able to mitigate the wholesale razing of the area.

That’s still a soft spot for SPUR, some say. "They’re uncomfortable with questions of class. Those questions tend to be glossed over," said Tom Radulovich, executive director of Livable City and a SPUR board member from 2000 to 2004.

Metcalf doesn’t duck the issue. "If you’re a city planner, you’ve got to meditate deeply on urban renewal, even though you didn’t do it. It’s the only time in urban history that planners were given power, and that’s what they did with it," he said.

Besides a long friendship with powerful businesses, SPUR has frequently enjoyed an intimate relationship with city hall. "They morphed in the ’80s into a good-government, good-planning group, but in fact they were really tight with the [Dianne] Feinstein administration," Elberling said. "One of the ways you got to be a city commissioner was by being a member of SPUR. Feinstein’s planning and development club was SPUR."

Mayor Feinstein’s reign is often remembered as a boom in downtown development — at least until 1985, when San Franciscans for Reasonable Growth succeeded in passing Proposition M, a measure severely limiting annual high-rise development. SPUR opposed the measure and still supports increased height and density along transit corridors in the city.

"SPUR always goes with more," Radulovich said. "Sometimes there’s a trade-off between sustainability and growth, and I don’t have much confidence they won’t go with growth."

A March SPUR report, "Framing the Future of Downtown San Francisco," is one example of a cognizance of other options, weighing the pros and cons of expanding the central business district or transforming it into a "central social district": "While office uses remain, the goal of a CSD is to create a mixed-use, livable, 24-hour downtown neighborhood." Another line in the report offers a telling look at how SPUR thinks: "Economic growth in the CSD model may be diminished as the remaining sites for office buildings become used for new residential, retail, or other non-office uses."

Retail means, in fact, economic growth. A 1985 Guardian-commissioned study of small businesses in San Francisco, "The End of the High-Rise Jobs Myth," found that most of the new jobs created in the city between 1980 and 1984 were not in the downtown office high-rises but around them. Businesses with fewer than 99 employees had generated twice as many jobs as those with more employees.

While the numbers may be different today, the concept that neighborhood-serving retail keeps a local economy healthy has only grown stronger, as has public sentiment against chain stores. Yet SPUR opposed a proposition calling for conditional-use permits for formula retail, which voters approved in 2006.

Over the years SPUR’s political record has been checkered. Though the group talks the good-government talk, it opposed propositions establishing the city’s Ethics Commission and reforming the city’s Sunshine Ordinance. According to Charley Marsteller, a founder of Common Cause and a longtime good-government advocate in San Francisco, "Common Cause supported initiatives in 1995, 1997, 1999, 2000, 2002, and 2005. SPUR opposed all of them."

This November, SPUR came out in favor of Proposition C, which calls for public hearings before measures can be placed on the ballot, but opposed Question Time for the mayor. The group gave a yes to the wi-fi policy statement and approved establishing a small-business assistance center — contrary to past stances.

SPUR isn’t afraid to defend its positions. "Those who disagree with a conclusion SPUR reaches object to us presenting our ideas as objectively true rather than as values based," Metcalf notes in the May SPUR report "Civic Planning in America," in which he surveys other similar organizations.

"And in truth, evidence and research seldom point necessarily to one single policy outcome, except when viewed through the lens of values. We want to stop sprawl. We want housing to be more affordable. We want there to be prosperity that is widely shared…. Perhaps it’s time to grow more comfortable with using this language of values," he writes.

Paul, who’s now program director for the Haas Jr. Fund and has served on the SPUR board for seven years, says the group is indeed changing. "Over the last six to eight years I’ve noticed a real shift on the board," he said. "We have really intense and interesting discussions about issues. People feel they can speak their mind."

Okamoto, a partner in the Okamoto Saijo architectural firm, thinks this is the result of a fundamental shift in planning tactics, due to a more recent and deeper comprehension of the coming environmental crises. "Global climate change is moving things. I think SPUR’s going in the same direction," he said. Okamoto joined SPUR "because I’d like to see if I could influence the organization toward sustainability. Now we have a new funded staff position for that topic."

And yet the fact remains that only 5 of the 71 board members — about 7 percent — can be described as prominent progressives. At least half are directly connected to prominent downtown business interests.

And a list of SPUR’s donors is enough to give any progressive pause. Among the 12 biggest givers in 2006 are Lennar Corp., PG&E, Wells Fargo, Westfield/Forest City Development, Bechtel, Catellus, and Webcor.

In the past 10 years SPUR’s staff has doubled, signaling a subtle shift away from relying mainly on the research and work of board members. One of the newest positions is a transportation policy director, and that job has gone to Dave Snyder, who helped revive the San Francisco Bicycle Coalition in 1991, founded Livable City, and spent seven years on SPUR’s board before taking the job.

Having occupied the new post for a year, he said, "If I left, it wouldn’t be because I didn’t like SPUR. The debates we have at the staff level are more open than I expected."

Proposition A, the November transportation reform measure, is one example of the group’s new approach. The group voted a month earlier than usual to endorse a measure that was directly in opposition to the interests of one of its biggest funders, Gap billionaire Don Fisher (the Gap is also a member of SPUR). According to Walker, when the SPUR board vetted the endorsements the number of no votes for Prop. A was in the single digits. "I was so surprised," she said.

SPUR opposed Proposition H, a pro-parking countermeasure largely funded by Fisher, and worked with progressives on the campaign.

Metcalf noted it was the ground troops who made all the difference. "We don’t have [that kind of] power, and there are other groups that do. We wrote it, but we didn’t make it win. The bike coalition and [Service Employees International Union Local 1021] did," he said.

Sup. Aaron Peskin, who brokered much of the Prop. A deal, called it a sign of change for SPUR. "They probably lost a lot of their funders over this."

Radulovich is still dubious. He jumped ship after witnessing some disconnects between the board and its members. Though SPUR asks members to check their special interests at the door, Radulovich couldn’t say that always happened and recalled an example from an endorsement meeting at which a campaign consultant made an impassioned speech for the campaign on which he was working.

As far as his board membership was concerned, Radulovich said, "there were times I definitely felt like a token…. Development interests and wealthy people were much better represented."

Some say that isn’t about to change. "SPUR has been, is, and I guess always will be the rational front for developers," said Calvin Welch, a legendary San Francisco housing activist. "The members of SPUR are real estate lawyers, professional investors, and developers. Its original function was to be the Greek chorus for urban renewal and redevelopment."

Welch and Radulovich agree SPUR doesn’t represent San Franciscans, and Welch suggests the Dec. 4 Board of Supervisors hearing on an affordable-housing charter amendment was a case in point. "The people who got up to speak, I’d argue that’s San Francisco, and it doesn’t look a fucking thing like SPUR."

SPUR recently applied for a tax-exempt bond capped at $7 million from the California Municipal Finance Authority to help pay the cost of SPUR’s new Urban Center. It’s a standard loan for a nonprofit — SPUR is both a 501(c)(3) and 501(c)(4) — but some neighborhood activists raised questions about whether SPUR’s project is an appropriate expense for taxpayer cash.

"There’s no city money going toward the Urban Center, but by using tax-exempt bond financing they’re depriving the US Treasury of tax revenues," Salomon said. "The people who are funding SPUR can afford to buy them a really nice building, with cash."

The Urban Center also received a $231,000 federal earmark from Rep. Nancy Pelosi, whose nephew Laurence Pelosi is a former SPUR board member. Another $967,500 will come to SPUR from the California Cultural and Historical Endowment, which voters set aside through Proposition 40 to fund projects that "provide a thread of California’s cultural and historical resources."

Metcalf said SPUR isn’t sitting on a pile of cash: "We’re not that wealthy. We just don’t have that level of funding." The group’s endowment is small, and according to its 2006 annual report, revenues were $1.8 million, 90 percent of that from memberships and special events. The annual Silver Spur Awards, at which the group celebrates the work of local individuals, from Feinstein to Walter Shorenstein to Warren Hellman, is one of the biggest cash cows for SPUR, typically netting more than half a million dollars.

So far most of the funds for the Urban Center have come from donations raised from board members, individuals, businesses, and foundations. Metcalf defends the use of public funds. "For a group like SPUR that needs to be out in front on controversial issues, our work depends on having a diverse funding base. The Urban Center is part of that," he said.

The new headquarters is modeled on similar urban centers in Paris and New York, places that invite the public to view exhibits and get involved in answering some of the bigger planning questions cities are facing as populations increase and sprawl reigns. According to SPUR, this will be the first urban center west of Chicago, and the doors should open in 2009.

Walker, who’s been a board member for about a year, isn’t ready to say SPUR has been transformed. "It’s in my bones to be skeptical of SPUR," she said. "I have a different perspective than most of the people who are on SPUR, but the membership is different from the people who are funding it. I still think we need to have a more progressive policy think tank as well."

Walker recruits for SPUR’s membership development committee and said some of her suggestions have been well received. "The reality is, the progressive community is really powerful here when we come together and work on stuff. You can’t ignore us. Rather than fight about it, SPUR is offering some middle ground."

Young people and their ideas for SF

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Everyone gets all misty about kids. They’re the future and our greatest natural resource, blah, blah, blah — or so they say. That’s why voters placed Prop. H a few years ago, which sent tens of millions of dollars in city money over to the school district. But are we willing to actually listen to what young people have to say? Because they have some pretty good ideas sometimes.
For example, the San Francisco Youth Commission earlier this month unanimously approved resolutions calling for some of that Prop. H money to go toward free Muni passes for students, new bike racks at schools that don’t now have adequate facilities, and a study of health impacts on young people related to the asbestos dust Lennar has been kicking up next to schools on Hunters Point.
The Community Advisory Committee on Prop. H is holding a hearing tomorrow to discuss recommendations for allocating $15 million in Prop. H money and the youth and their supporters plan to be there (Saturday, 1:30 p.m. at 555 Franklin Street). For more information, contact the Youth Commission office at YC office at 554.6446 or email kevin.liao@sfgov.org and diana.pang@sfgov.org. Because it’s all about the children, right?

Question of intent

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› sarah@sfbg.com

Sen. Dianne Feinstein, former mayor Willie Brown, Sup. Sophie Maxwell, and Mayor Gavin Newsom in recent weeks have come out in support of a proposed ballot measure that would allow Lennar Corp. to develop thousands of new homes at Candlestick Point, create 350 acres of parks, and possibly build a new 49ers stadium at Hunters Point Shipyard.

The campaign for the Bayview Jobs, Parks and Housing Initiative just launched its signature drive, but the measure should qualify relatively easily for the June 2008 election, given new low signature thresholds and the campaign’s powerful backers.

The measure would give Lennar, which is also involved in Treasure Island and much of the Bayview–Hunters Point redevelopment area, even more control over San Francisco’s biggest chunks of developable land.

But should San Franciscans really reward Lennar with more land and responsibilities when the financially troubled Florida developer has a track record in San Francisco and elsewhere of failing to live up to its promises, exposing vulnerable citizens to asbestos dust, and using deceptive public relations campaigns to gloss over its misdeeds?

As the Guardian has been reporting since early this year (see "The Corporation That Ate San Francisco," 3/14/07), Lennar failed to monitor and control the dust from naturally occurring asbestos while grading a hilltop in preparation for building condominiums on Parcel A of the former Hunters Point Naval Shipyard.

Last month the Bay Area Air Quality Management District’s Board of Directors asked staff to pursue the maximum fines possible for Lennar’s violations, which could run into millions of dollars, particularly if they are found to be the result of willful or negligent behavior.

"It’s clear to everyone in the agency that this case needs to be handled well," BAAQMD spokesperson Karen Schkolnick told the Guardian. "It’s in everyone’s interest, certainly the community’s, to get resolution."

The air district gives parties to whom it issues a warning three years to settle the matter before it goes to court. Lennar officials have publicly blamed subcontractors for failing to control dust and leaving air-monitoring equipment with dead batteries for months on end, but the BAAQMD is treating Lennar as the responsible party.

"It’s air district policy to deal with the primary contractor, which in this case is Lennar, although additional parties may be held liable," Schkolnick said.

Accusations of willful negligence also lie at the heart of a Proposition 65 lawsuit that was filed against Lennar for alleged failures to warn the community of exposure to asbestos, a known carcinogen (see Green City, 8/29/07).

Filed by the Center for Self Improvement, the nonprofit that runs the Muhammad University of Islam, which is next to Parcel A, the suit alleges that the construction activities of Lennar and subcontractor Gordon N. Ball "caused thousands of Californians to be involuntarily and unwittingly exposed to asbestos on a daily basis without the defendants first providing the adjacent community and persons working at the site with the toxic health hazard warnings."

Now fresh evidence from another whistle-blower lawsuit filed by three Lennar employees (see "Dust Still Settling," 3/28/07) shows that higher-ups within Lennar reprimanded and reassigned a subordinate who told subcontractors to comply with mandated plans or face an immediate suspension of construction activities at the Parcel A site.

In an April 21, 2006, BlackBerry message that was copied to Lennar Urban senior vice president Paul Menaker and other top Lennar executives, Lennar Urban’s regional vice president Kofi Bonner wrote to Gary McIntyre, Lennar/BVHP’s Hunters Point Shipyard Project manager, "Gary why do you insist on sending threatening emails to the contractor. If you can no longer communicate directly without the threat of a shutdown … perhaps we should find another area of responsibility for you to oversee. Such emails should only be sent as documentation of [a] conversation."

McIntyre says he was just trying to do his job, which involved ensuring that subcontractors abided by the long list of special health and safety criteria that were developed for this particularly hazardous work site, located in an area long plagued by environmental injustice.

The shipyard is a Superfund site filled with toxic chemicals, and although the 63-acre Parcel A had been cleaned up enough to be certified for residential development, it sits atop a serpentine hill full of naturally occurring asbestos, a potent carcinogen. So the Department of Public Health and the BAAQMD both insisted on a strict plan for controlling dust, which Lennar used to sell the community on the project’s safety.

Yet when McIntyre began insisting in writing that Lennar and its subcontractors adhere carefully to those rules, he was removed from his job. In a work evaluation signed Oct. 17, 2006, Menaker described McIntyre as "a good company spokesperson as it relates to Hunters Point Shipyard" but claimed that he required major improvement in his leadership and communication skills.

"As a manager, he needs to focus on achieving his ultimate mission, rather than focusing on details. Poor communication skills have led to incomplete and often incorrect information being disseminated," Menaker wrote.

The ultimate mission for Lennar — which has seen its stock tank this year as it’s been roiled by a crisis in the housing market — was to get Parcel A built with a minimum of problems and delays. And as concerns about its behavior arose, its communication strategy seemed to be more concerned with positive spin and tapping testimony from financial partners than with putting out a complete and correct view of what was happening.

Whether or not McIntyre was a good Lennar employee, he was at least trying to do right by the community, as records obtained through the lawsuit’s discovery process show. As McIntyre wrote in a three-page response to Menaker’s evaluation, "Our BVHP Naval Shipyard project has unique environmental requirements and compliance therewith is mandatory."

But the record is clear that Lennar didn’t comply with its promises, raising serious questions about a company that wants to take over development of the rest of this toxic yet politically, socially, and economically important site.

BUYING ALLIES


So who is really behind the Bayview Jobs, Parks and Housing Initiative, which does not even have the support of the 49ers, who say they’d rather be in Santa Clara?

The measure was submitted by the African American Community Revitalization Consortium, which describes itself as "a group of area churches, organizations, residents and local merchants, working to improve Bayview Hunters Point." Yet this group is backed by Lennar and draws its members from among those with a personal financial stake in the company’s San Francisco projects.

AACRC founders Rev. Arelious Walker of the True Hope Church of God in Christ in Hunters Point and Rev. J. Edgar Boyd of the Bethel African Methodist Episcopal Church of San Francisco are both members of Tabernacle Affiliated Developers, one of four Bayview–Hunters Point community builders who entered into a joint venture with Lennar/BVHP to build 30 percent of Lennar’s for-sale units at Parcel A. TAD is building the affordable units while Lennar develops the market-rate homes.

Neither Walker nor Boyd disclosed this conflict of interest at a July 31 Board of Supervisors hearing where they and the busloads of people Lennar helped ferry to City Hall created the illusion that the community was more concerned about keeping work going on Parcel A than temporarily shutting down the site while the health concerns of people in the Bayview were addressed.

Referring to reports from the city’s Department of Public Health, which claimed that there is no evidence that asbestos dust generated by the grading poses a threat to human health, Walker and Boyd warned that even a temporary shutdown of Lennar’s Parcel A site would adversely affect an already economically disadvantaged community. There is no way to test for whether someone has inhaled asbestos that could pose long-term risks, and Lennar supporters have used that void to claim all is well.

But even if community benefits such as home-building contracts, better parks, and job training opportunities do trickle down to Bayview–Hunters Point residents, will those opportunities outweigh the risk of doing business with a company that has endangered public health, has created deep divisions within an already stressed community, and is struggling financially?

In a recent interview with the Guardian, Minister Christopher Muhammad, whose Nation of Islam–affiliated nonprofit filed the Prop. 65 suit "individually and on behalf of the general public," described Lennar as "a rogue company that can’t be trusted."

"I’m concerned about the health of the community, as well as the other schools that border the shipyard," Muhammad said. "Our contention is that Lennar purposefully turned the monitors off. If you read the air district’s asbestos-dust mitigation plan, it appears that there was a way to do this grading safely. And the community went along with it. The problem was that Lennar was looking at their bottom line and violated every agreement. They threw the precautionary principle to the wind, literally. And the city looked the other way."

And even if Rev. Walker truly believes the June 2008 Bayview ballot measure is "a chance for all of us to move forward together," does it make financial sense, against the backdrop of a nationwide mortgage meltdown, to give Lennar permission to build thousands of homes at Candlestick Point when this measure doesn’t even specify what percentage of the 8,000 to 10,000 proposed new units would be rented or sold at below-market rates?

Lennar/BVHP has already reneged on promises to build rental units at its Parcel A site, and on Aug. 31, Lennar Corp., which is headquartered in Miami Beach, Fla., reported a third-quarter net loss of $513.9 million, compared to third-quarter net earnings of $206.7 million in 2006. Its stock continues to tumble, hitting a 52-week low of $14.50 per share on Nov. 26, down from a 52-week high of $56.54.

On Nov. 2, Reuters reported that Standard and Poor’s had cut Lennar’s debt rating to a junk-bond level "BB-plus" because of Lennar’s "exposure to oversupplied housing markets in California and Florida." And on Nov. 16 the Orange County Register reported that Lennar is shelving a condominium-retail complex in Long Beach and keeping high-rise condos it built in Anaheim vacant until the housing market bounces back.

Redevelopment Agency executive director Fred Blackwell, who was hired Aug. 30, told us his agency’s deposition and development agreement with Lennar wouldn’t let the company indefinitely mothball its housing units: "The DDA gives Lennar and the vertical developers the option to lease the for-sale units for one year, prior to their sale."

While the agency has been criticized for failing to do anything about Lennar’s problems on Parcel A and letting the company out of its obligation to build rental units, Blackwell said it is able to hold Lennar accountable.

"I feel like the DDA gives us all the tools we need," Blackwell told us. "We have opportunities to ‘cure’ whatever the contractor’s default is, but we can’t just arbitrarily shut things down."

But many in the community aren’t convinced. With the grim housing picture and the 49ers saying they’d rather be in Santa Clara, the only certain outcome from passage of this ballot measure would seem to be a mandate for the city to turn over valuable public lands and devote millions of dollars in scarce affording-housing funds to subsidize the ambitions of a corporation with a dubious track record that is actively resisting public accountability.

True, Lennar has promised to rebuild the Alice B. Griffith public housing project without dislocating any residents, and the measure also allows for the creation of 350 acres of parks and open spaces, 700,000 square feet of retail stores, two million square feet of office space, and improved transit routes and shoreline trails.

But although the rest of the shipyard is contaminated with a long list of human-made toxins, would passage of the initiative mean an early transfer of the shipyard from the Navy to the city and Lennar? And with that shift, the requirement that we put even more faith in this corporation’s ability to safely manage the project?

In October, Newsom, who was running for reelection at the time, told the Guardian he was worried about Lennar’s ability to follow through on "prescriptive goals and honor their commitments."

"We have to hold them accountable," Newsom told us. "They need to do what they say they’re going to do. We need to hold them to these commitments."

But how exactly is the mayor holding Lennar accountable?

In March, when the Guardian asked Newsom’s office if he intended, in light of Lennar’s Parcel A failures, to push ahead with plans to make Lennar the master developer for the 49ers stadium and Candlestick Point, the Mayor’s Office of Communications replied by referring us to Sam Singer, who has been on Lennar’s PR payroll for years.

On Nov. 18 the Chronicle reported that Singer was on the campaign team for the Bayview ballot initiative, along with former 49ers executive Carmen Policy, Newsom’s campaign manager and chief political consultant Eric Jaye, Newsom’s former campaign manager Alex Tourk, political consultant Jim Stearns, and political advertising firm Terris, Barnes and Walters, which worked on the 1997 49ers stadium bond and the 1996 measure for the Giants’ ballpark, both approved by voters.

In recent months Lennar has asked the Guardian to send questions to its latest PR flack, Lance Ignon, rather than Singer. In reply to our latest round of queries, about lawsuits and air district violations, Ignon forwarded us the following statement: "The record is abundantly clear that at each and every stage of the redevelopment process, Lennar has been guided by a commitment to protecting the health and safety of the Bayview–Hunters Point community. Lennar has fully cooperated with all relevant regulatory agencies and public health professionals to determine whether grading operations at the Shipyard pose a health threat to local residents. After months of exhaustive analysis, numerous different health experts — including [the Agency for Toxic Substances and Disease Registry] — concluded that the naturally occurring asbestos did not present a serious long-term health risk. Lennar will continue to work with the San Francisco Department of Public Health and other regulatory agencies to ensure the health of the community remains safeguarded."

Actually, the ATSDR report wasn’t quite that conclusive. It took issue with the faulty dust monitoring equipment at Parcel A and noted that exposure-level thresholds for the project were derived from industrial standards for workers who wear protective gear and don’t have all-day exposure. "However, there are studies in the scientific literature in which long term lower level/non-occupational exposures (from take home exposures and other areas of the world where naturally occurring asbestos occur) caused a low but epidemiologically detectable excess risk of mesothelioma," the ATSDR-DPH report observes.

It’s not surprising to see Lennar gloss over issues of liability, but it’s curious that Newsom and other top officials are so eager to push a proposal that would give Lennar control of Candlestick Point and perhaps result in a 49ers stadium on a federal Superfund site — without first demanding a full and public investigation of how the developers could have so miserably failed to enforce mandatory plans at Parcel A.

This fall the Newsom administration was peeved when the San Francisco Board of Education, which includes Newsom’s education advisor Hydra Mendoza, and the Youth Commission unanimously called for a temporary shutdown of Lennar’s Parcel A site until community health issues are addressed.

These demands were largely symbolic, since major grading at the site is complete, but the Mayor’s Office shot back with a Nov. 2 memo including the request that city department heads and commissions follow the example of the Hunters Point Shipyard Citizens Advisory Committee and the Bayview Project Area Committee, which have said they won’t hear further testimony on the dust issue "unless and until credible scientific evidence is presented to contradict the conclusions of the DPH, CDPH, UCSF and others that the construction dust at the Shipyard had not created a long-term or serious health risk."

Such complex points and counterpoints have been like dust in the air, preventing the public from getting a clear picture of what’s important or what’s happened at the site. But a careful review of the public record shows that, at the very least, Lennar has failed to live up to its promises.

PAPER TRAIL


As records obtained through a whistle-blower lawsuit’s discovery process show, Lennar employee McIntyre was reprimanded for e-mailing a group of Lennar subcontractors including Gordon N. Ball, Luster National, and Ghirardelli Associates and demanding that their traffic-control plan implementation be in place before Gordon Ball/Yerba Buena Engineering Joint Venture "begin using (oversize construction equipment) scrapers or articuutf8g trucks on Crisp Road."

In court depositions, Menaker, who became McIntyre’s supervisor in April 2006, claimed he "never told McIntyre that he should not raise issues related to what he perceived to be deficiencies in Gordon Ball’s dust control measures.

"Rather, I repeatedly advised him that management by e-mail would not accomplish the goal of improving Gordon Ball’s performance and that he needed to communicate with Gordon Ball and others on the project in a more effective fashion. As a result of my observations of his job performance and the feedback from others … on Aug. 1, 2006, we brought in other professionals to assist with duties initially assigned to McIntyre."

But public records reveal that things continued to go awry at the site, long after the bulk of McIntyre’s construction field-management duties were transferred to David Wilkins, an employee of Lennar subcontractor Luster National.

According to a report filed by the city’s Department of Health, on July 7, 2006, the DPH’s Amy Brownell drove to the Lennar trailers and informed McIntye that Lennar was in violation of Article 31, the city’s construction-dust ordinance, after she observed numerous trucks generating "a significant amount of dust that was then carried by the wind across the property line." She even observed a water truck on the haul road doing the same thing as it watered the road.

On Aug. 9 — eight days after McIntyre was relieved of his field-construction management duties and seven days after Lennar declared it could not verify any of its air district–mandated asbestos-monitoring data — Brownell drove to the Lennar trailers and spoke with McIntyre’s successor, Wilkins, about dust problems generated by hillside grading, haul trucks, and an excavator loading soil into articulated trucks.

"Every time [the excavator] dumped the soil into the trucks, it created a small cloud of visible dust that crossed the project site boundary. There was no attempt to control the generation of dust," Brownell observed in her Aug. 9, 2006, inspection notes.

On Sept. 21, seven weeks after McIntyre’s transfer, Brownell issued Lennar an amended notice of violation when it came to her attention that construction-dust monitors hadn’t been in place for the first two months of heavy grading.

On Dec. 8, 2006, five months after McIntyre’s reassignment, Lennar got slapped with another violation after DPH industrial hygienist Peter Wilsey observed on Nov. 30, 2006, that "dust from the work, particularly from the trucks on the haul road, was crossing the property boundary."

And on Aug. 17, a year after McIntyre left, the DPH issued Lennar its most recent violation for not controlling dust properly. But this time the notice included a 48-hour work suspension period to establish a dust-control plan monitor to be supervised by DPH staff, with costs billed to Lennar.

"The issuance of notices of violations shows the regulatory system is working," Brownell told the Guardian. "Dust control on a gigantic project like this is a continuous, everyday process that every single contractor has to do properly. That’s Lennar’s issue and problem. At DPH, we feel we have enough tools to do inspections, which Lennar gets billed for. And if they violate our requirements again, we’ll shut them down again. Or fine them."

So far, the DPH has not chosen to fine Lennar for any of its Parcel A dust violations.

"We considered it for this last violation but decided that shutting them down for two days was penalty enough," Brownell says, adding that while she’d "never just rely on air monitors, a monitor helps when you’re having problems with dust control, because then you can say, ‘Here’s scientific proof.’<0x2009>"

And scientific proof, in the form of monitoring data during the long, hot, and dusty summer of 2006, would likely have triggered numerous costly work slowdowns and stoppages. According to a memo marked "confidential" that the Guardian unearthed in the air district’s files, Lennar stated, "It costs approximately $40,000 a day to stop grading and construction" and "Gordon Ball would have to idle about 26 employees at the site, and employees tend to look for other work when the work is not consistent."

After Rev. Muhammad began to raise a storm about dust violations next to his nonprofit Muhammad University of Islam, Lennar Urban senior vice president Menaker accused him of being a "shakedown artist" when he refused an offer to temporarily relocate the school.

But Muhammad told the Guardian he refused the offer "because I didn’t want the school to be bounced around like a political football. And because I was concerned about the rest of the community."

Muhammad said he’s trying to sound the alarm about Lennar before it takes over all of Hunters and Candlestick points. As he told us, "This city is selling its birthright to a rogue company."

TRIGGER TIME


So what does the BAAQMD intend to do about Lennar’s enforcement record past, present, and future?

At an Oct. 29 hearing on asbestos dust, the BAAQMD Board of Directors unanimously instructed staff to pursue the maximum fines possible for Lennar’s Parcel A violations.

Air district staff tried to reassure the public that the "action levels" the BAAQMD set at the shipyard are health protective and provide a significant margin of safety.

Health impacts from unmonitored exposures, BAAQMD staffer Kelly Wee said, "are well within the guidelines," claiming a "one in three million" chance of developing asbestos-related diseases.

BAAQMD board member Sup. Chris Daly, who as a member of the Board of Supervisors voted July 31 to urge a temporary shutdown of Lennar’s Parcel A site, praised the air district for "moving forward with very conservative action levels.

"But these levels are political calls that are not necessarily scientific or health based," Daly added. "The initial violation, the one that, according to Lennar, CH2M Hill is responsible for, we don’t know what those levels of asbestos were, and that’s when the most significant grading occurred.

"The World Health Organization and [Occupational Safety and Health Administration] scientists are very clear that any level of exposure to asbestos comes with an increased health risk, and if you are already exposed to multiple sources, this becomes more serious," he said, referring to the freeways, power plants, sewage treatments plants, and substandard housing that blight the community, along with the area’s relatively high rate of smoking.

The BAAQMD’s Wee told the organization’s board that Lennar did not conduct proper oversight of its contractors and did not properly document the flow of air through its monitors but did discover and report its lapses in August 2006.

"Lennar exceeded the air district’s work shutdown level on at least 23 days in the post–Aug. 1, 2006, period, which is when the developer was monitoring asbestos dust," Wee observed, noting that the air district has two additional notices of violation pending against Lennar for 2007: one for overfilling dump trucks, the other for failing to maintain enough gravel on truck-wheel wash pads.

BAAQMD spokesperson Schkolnick later confirmed to the Guardian that the air district issued Lennar a notice of violation on Oct. 26 for failing to control naturally occurring asbestos at Parcel A, where grading is finished, but Lennar subcontractor Ranger is digging up the earth again to lay pipes.

"It’s time for the board to make sure the air district is as aggressive as possible to protect residents and sensitive receptors," Daly said. "Asbestos is carcinogenic. The state and federal government knows it. That was why there was an asbestos-dust mitigation plan. The air district asked for air monitoring because of the site’s proximity to a school. The air monitors were sold not just to the city but to the public as the major safeguards to the community, especially sensitive receptors, but during the most gigantic grading period and perhaps the most gigantic exposures, we don’t know what the levels of asbestos were."

Fellow BAAQMD board member Sup. Jake McGoldrick, who was a key swing vote against urging a Lennar work stoppage at the Board of Supervisors meeting in July, is now joining Daly in demanding full enforcement of the law.

"The July 31 resolution had no way to force Lennar or the SFRA to do anything," McGoldrick told the Guardian, explaining why he’s now taking a stronger stance. "It seemed that we’d reached the conclusion that the community didn’t want to shut down the project, since it included 31 percent affordable housing, and that the work was essential in terns of revitalizing the area and that the evidence presented seemed to show that everything is now under control."

But because the coalition of Lennar supporters — who didn’t mention they are on Lennar’s payroll until after the July 31 resolution failed — is now pushing a ballot measure to vastly expand Lennar’s control in our city, McGoldrick is demanding answers and accountability.

"We want to look into whether Lennar screwed up deliberately, and if so, fine them to the hilt," McGoldrick said. "But let’s get the project on Parcel A going, because the grading has been completed and it will be beneficial to the community."

McGoldrick claimed that in July he and Daly knew they had an air district hearing coming.

"And we knew where the strongest action could be taken in terms of sticking it to Lennar and showing them we won’t just be looking over your shoulder, we’ll be standing on it," McGoldrick told us.

"A fine means we have warned you — and we’ve got a gun to your head. It means if you don’t act properly, we can pull the trigger," McGoldrick said, noting that at the time of the July 31 vote the Parcel A grading was essentially done and no one could present any solid evidence that the public health had been harmed.

"So now the question is: did you or did you not do this? [A maximum fine of] $75,000 a day for 383 days, even if it’s not a lot of money to Lennar — it’s a lot of embarrassment," McGoldrick said.

But if Lennar tries to delay settling with the air district to avoid fines until after the June 2008 election, will its perceived unwillingness to face consequences backfire at the ballot box — and soil Newsom’s reputation as a great environmentalist in the process?

As McGoldrick observed, "Some of us are having serious second thoughts about going forward with Lennar. Our feeling is, you should sit down and cooperate with the air district and settle this thing with them. And you know darn well that we are standing there, ready to pull the trigger."

He framed the issue this way: "We’re saying to the Mayor’s Office, you guys have a responsibility [to ensure Lennar is accountable] before you give them another 350 acres — on top of the 63 acres they already have — just to save the mayor’s butt, since he blew it with the Olympics and the 49ers."

LENNAR BY THE NUMBERS

Number of days Lennar Corp. had been in violation of air district monitoring rules, according to the Sept. 6, 2006, citation: 383

Fine, per day, for vioutf8g the air district’s plan: $1,000–$75,000, depending on intent

Maximum fine Lennar faces: $28.7 million

Fine, per day, for vioutf8g the city’s construction-dust plan: $5,000

Number of cited violations of city’s construction-dust control plan: 5

Daily cost Lennar claims for stopping work at Parcel A: $40,000

Amount Lennar paid subcontractors for grading Parcel A: $19.5 million

Amount Lennar paid Sam Singer Associates for public relations work in 2005: $752,875

Amount Lennar paid CH2M Hill for environmental consulting work: $445,444

Parcel A acreage: 63

Acreage Lennar controls on Treasure Island: 508

Percentage of rental units promised at Treasure Island and Yerba Buena Island: 27

Number of rental units Lennar is building at Parcel A: 0

Acreage in the Bayview Jobs, Parks and Housing Initiative: 780

Number of rental or below-market-rate homes in Bayview initiative: Unknown

Lennar’s share price Nov. 26: $14.50 (a 52-week low)

Lennar’s stock’s 52-week high: $56.54

Editor’s Notes

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› tredmond@sfbg.com

Asbestos is nasty stuff. It’s the scariest kind of environmental contaminant: you often can’t see it, you can’t smell it, you can’t taste it, it hangs around for a while, and it’s hard to get rid of. Asbestos fibers are tiny, invisible to the naked eye — and once they get in the air, they don’t tend to settle quickly. A single fiber can take eight hours to fall six feet in utterly still air; with the wind blowing, the stuff can float around for days or weeks. If you inhale it, you don’t typically notice, and there’s no easy test for exposure. But it sticks around in your lungs forever and can cause cancer and other deadly diseases 10 or 20 years down the road.

At that point, of course, it’s nearly impossible to prove exactly where and when you were exposed.

I learned all of this years ago when I was writing about asbestos contamination in the San Francisco public schools. For years the stuff was used as insulation (and as linings in automotive brake pads), and for good reason: it’s essentially a rock that you can weave into something resembling cloth. And because it’s a rock, it’s tough and doesn’t burn. Of course, when the insulation coverings get old, as they did in the schools, and the asbestos starts to leak out, you have a public health emergency of such major proportions that schools have to be shut down and lots of expensive, difficult remediation work done.

Now there’s another asbestos story in San Francisco, and it’s a more tricky one: Lennar Corp., which has the master redevelopment contract in Bayview–Hunters Point, has been digging up an area that’s full of naturally occurring asbestos. The area badly needs economic development, so it’s harsh to ban any type of construction there. And I think it’s possible to build safely in the area — but it’s complicated and expensive, and since there are residents (and schoolkids) nearby, there’s zero margin for error. You have to be willing (or forced) to watch every whiff of dust, to monitor the air with sophisticated equipment — and to shut down work the moment it appears that the dust isn’t being or can’t be controlled.

That doesn’t mesh well with a financially troubled company that is trying desperately to avoid costly construction delays.

As Sarah Phelan reports on page 16, a Lennar manager who was threatening to shut down work because subcontractors weren’t controlling asbestos-laden dust was fired and is now suing. The Bay Area Air Quality Management District is threatening multimillion-dollar fines. Yet Lennar is still complaining that any effort to shut down the site, even for short periods of time, would be unfair — because, the company says in a confidential memo, that would cost $40,000 a day.

This doesn’t sound like a company that can be trusted — yet Mayor Gavin Newsom now wants to give the outfit even more public land. A measure headed for the June 2008 ballot would allow Lennar to develop thousands of homes at Candlestick Point — and possibly build a new stadium for the 49ers. The stadium deal is pure political bullshit; Newsom doesn’t want to be accused of "losing" the local football team, so he’ll toss whatever public cash he can scrape up in the Niners’ direction. But the team wants to leave, the stadium does little for the neighborhood economy, and Lennar is going to keep cutting corners (and public safety) to improve its bottom line.

Sounds like a bad deal to me.

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