Mayor

Transit or traffic

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Click here for the Clean Slate: Our printout guide to the Nov. 6 election

› steve@sfbg.com

San Francisco is at a crossroads. The streets are congested, Muni has slowed to a crawl, greenhouse gas emissions are at all-time highs, and the towers of new housing now being built threaten to make all of these transportation-related problems worse.

The problems are complicated and defy simply sloganeering — but they aren’t unsolvable. In fact, there’s remarkable consensus in San Francisco about what needs to be done. The people with advanced degrees in transportation and city planning, the mayor and almost all of the supervisors, the labor and environmental movements, the urban planning organizations, the radical left and the mainstream Democrats — everyone without an ideological aversion to government is on the same page here.

The city planners and transportation experts, who have the full support of the grass roots on this issue, are pushing a wide range of solutions: administrative and technical changes to make Muni more efficient, innovative congestion management programs, high-tech meters that use market principles to free up needed parking spaces, creative incentives to discourage solo car trips, capital projects from new bike and rapid-transit lanes to the Central Subway and high-speed rail, and many more ideas.

In fact, the coming year promises a plethora of fresh transportation initiatives. The long-awaited Transit Effectiveness Project recommendations come out in early 2008, followed by those from the San Francisco County Transportation Authority’s Mobility, Access, and Pricing Study (an unprecedented, federally funded effort to reduce congestion here and in four other big cities), an end to the court injunction against new bicycle projects, and a November bond measure that would fund high-speed rail service between downtown San Francisco and Los Angeles.

But first, San Franciscans have to get past a few downtown developers and power brokers who have a simplistic, populist-sounding campaign that could totally undermine smart transportation planning.

On Nov. 6, San Franciscans will vote on propositions A and H, two competing transportation measures that could greatly help or hinder the quest for smart solutions to the current problems. Prop. A would give more money and authority to the San Francisco Metropolitan Transportation Agency while demanding it improve Muni and meet climate change goals.

Prop. H, which was placed on the ballot by a few powerful Republicans, most notably Gap founder Don Fisher (who has contributed $180,000 to the Yes on H campaign), would invalidate current city policies to allow essentially unrestricted construction of new parking lots.

New parking turns into more cars, more cars create congestion, congestion slows down bus service, slow buses frustrate riders, who get back into their cars — and the cycle continues. It’s transit against traffic, and the stakes couldn’t be higher.

"If we are serious about doing something about global warming, it’s time to address the elephant in the room: people are going to have to drive less and take transit more" was how the issue was framed in a recent editorial cowritten by Sup. Sean Elsbernd, arguably the board’s most conservative member, and Sup. Aaron Peskin, who wrote Prop. A.

Peskin says Prop. H, which Prop. A would invalidate, is the most damaging and regressive initiative he’s seen in his political life. But the battle for hearts and minds won’t be easy, because the downtown forces are taking a viscerally popular approach and running against city hall.

The San Francisco Examiner endorsed Prop. H on Oct. 22, framing the conflict as between the common sense of "your friends and neighbors" and "a social-engineering philosophy driven by an anti-car and anti-business Board of Supervisors." If the Examiner editorialists were being honest, they probably also should have mentioned Mayor Gavin Newsom, who joins the board majority (and every local environmental and urban-planning group) in supporting Prop. A and opposing Prop. H.

The editorial excoriates "most city politicians and planners" for believing the numerous studies that conclude that people who have their own parking spots are more likely to drive and that more parking generally creates more traffic. The Planning Department, for example, estimates Prop. H "could lead to an increase over the next 20 years of up to approximately 8,200–19,000 additional commute cars (mostly at peak hours) over the baseline existing controls."

"Many, many actual residents disagree, believing that — no matter what the social engineers at City Hall tell you — adding more parking spaces would make The City a far more livable place," the Examiner wrote.

That’s why environmentalists and smart-growth advocates say Prop. H is so insidious. It was written to appeal, in a very simplistic way, to people’s real and understandable frustration over finding a parking spot. But the solution it proffers would make all forms of transportation — driving, walking, transit, and bicycling — remarkably less efficient, as even the Examiner has recognized.

You see, the Examiner was opposed to Prop. H just a couple of months ago, a position the paper recently reversed without really explaining why, except to justify it with reactionary rhetoric such as "Let the politicians know you’re tired of being told you’re a second-class citizen if you drive a car in San Francisco."

Examiner executive editor Jim Pimentel denies the flip-flop was a favor that the Republican billionaire who owns the Examiner, Phil Anschutz, paid to the Republican billionaire who is funding Prop. H, Fisher. "We reserve the right to change on positions," Pimentel told me.

Yet it’s worth considering what the Examiner originally wrote in an Aug. 2 editorial, where it acknowledged people’s desire for more parking but took into account what the measure would do to downtown San Francisco.

The paper wrote, "Closer examination reveals this well-intentioned parking measure as a veritable minefield of unintended consequences. It could actually take away parking, harm business, reduce new housing and drive out neighborhood retail. By now, Californians should be wary of unexpected mischief unleashed from propositions that legislate by direct referendum. Like all propositions, Parking For Neighborhoods was entirely written by its backers. As such, it was never vetted by public feedback or legislative debate. If the initiative organizers had faced harder questioning, they might have recognized that merely adding parking to a fast-growing downtown is likely to make already-bad traffic congestion dramatically worse."

The San Francisco Transportation Authority’s Oct. 17 public workshop, which launched the San Francisco Mobility, Access, and Pricing Study, had nothing to do with Props. A and H — at least not directly. But the sobering situation the workshop laid out certainly supports the assessment that drawing more cars downtown "is likely to make already-bad traffic congestion dramatically worse."

City planners and consultants from PBS&J offered some statistics from their initial studies:

San Francisco has the second-most congested downtown in the country, according to traffic analysts and surveys of locals and tourists, about 90 percent of whom say the congestion is unacceptably bad compared to that of other cities.

Traffic congestion cost the San Francisco economy $2.3 billion in 2005 through slowed commerce, commuter delays, wasted fuel, and environmental impacts.

The length of car trips is roughly doubled by traffic congestion — and getting longer every year — exacerbating the fact that 47 percent of the city’s greenhouse gas emissions come from private cars. Census data also show that more San Franciscans get to work by driving alone in their cars than by any other mode.

Traffic has also steadily slowed Muni, which often shares space with cars, to an average of 8 mph, making it the slowest transit service in the country. Buses now take about twice as long as cars to make the same trip, which discourages their use.

"We want to figure out ways to get people in a more efficient mode of transportation," Zabe Bent, a senior planner with the TA, told the crowd. She added, "We want to make sure congestion is not hindering our growth."

The group is now studying the problem and plans to reveal its preliminary results next spring and recommendations by summer 2008. Among the many tools being contemplated are fees for driving downtown or into other congested parts of the city (similar to programs in London, Rome, and Stockholm, Sweden) and high-tech tools for managing parking (such as the determination of variable rates based on real-time demand, more efficient direction to available spots, and easy ways to feed the meter remotely).

"As a way to manage the scarce resource of parking, we would use pricing as a tool," said Tilly Chang, also a senior planner with the TA, noting that high prices can encourage more turnover at times when demand is high.

Yet there was a visceral backlash at the workshop to such scientifically based plans, which conservatives deride as social engineering. "I don’t understand why we need to spend so much money creating a bureaucracy," one scowling attendee around retirement age said. There were some murmurs of support in the crowd.

Rob Black, the government affairs director for the San Francisco Chamber of Commerce, which is the most significant entity to oppose Prop. A and support Prop. H, was quietly watching the proceedings. I asked what he and the chamber thought of the study and its goals.

"We have mixed feelings, and we don’t know what’s going to happen," Black, who ran unsuccessfully against Sup. Chris Daly last year, told me. "The devil is in the details."

But others don’t even want to wait for the details. Alex Belenson, an advertising consultant and Richmond District resident who primarily uses his car to get around town, chastised the planners for overcomplicating what he sees as a "simple" problem.

Vocally and in a four-page memo he handed out, Belenson blamed congestion on the lack of parking spaces, the city’s transit-first policy, and the failure to build more freeways in the city. Strangely, he supports his point with facts that include "Total commuters into, out of, and within San Francisco have only increased by 206,000 since 1960 — more than 145,000 on public transit."

Some might see those figures, derived from census data, as supporting the need for creative congestion management solutions and the expansion of transit and other alternative transportation options. But Belenson simply sees the need for 60,000 new parking spaces.

As he told the gathering, "If someone wants to build a parking lot and the market will support it, they should be able to."

The San Francisco Planning and Urban Research Association (SPUR) is generally allied with the downtown business community on most issues, but not Props. A and H, which SPUR says could be unmitigated disasters for San Francisco.

"SPUR is a pro-growth organization, and we want a healthy economy. And we think the only way to be pro-business and pro-growth in San Francisco is to be transit reliant instead of car reliant," SPUR executive director Gabriel Metcalf told me in an interview in his downtown office.

He agreed with Belenson that the free market will provide lots of new parking if it’s allowed to do so, particularly because the regulatory restrictions on parking have artificially inflated its value. "But the negative externalities are very large," Metcalf said, employing the language of market economics.

In other words, the costs of all of that new parking won’t be borne just by the developers and the drivers but by all of the people affected by climate change, air pollution, congested commerce, oil wars, slow public transit, and the myriad other hidden by-products of the car culture that we are just now starting to understand fully.

Yet Metcalf doesn’t focus on that broad critique as much as on the simple reality that SPUR knows all too well: downtown San Francisco was designed for transit, not cars, to be the primary mode of transportation.

"Downtown San Francisco is one of the great planning success stories in America," Metcalf said. "But trips to downtown San Francisco can’t use mostly single-occupant vehicles. We could never have had this level of employment or real estate values if we had relied on car-oriented modes for downtown."

Metcalf and other local urban planners tell stories of how San Francisco long ago broke with the country’s dominant post–World War II development patterns, starting with citizen revolts against freeway plans in the 1950s and picking up stream with the environmental and social justice movements of the 1960s, the arrival of BART downtown in 1973, the official declaration of a transit-first policy in the ’80s, and the votes to dismantle the Central and Embarcadero freeways.

"We really led the way for how a modern dynamic city can grow in a way that is sustainable. And that decision has served us well for 30 years," Metcalf said.

Tom Radulovich, a longtime BART board member who serves as director of the nonprofit group Livable City, said San Franciscans now must choose whether they want to plan for growth like Copenhagen, Denmark, Paris, and Portland, Ore., or go with auto-dependent models, like Houston, Atlanta, and San Jose.

"Do we want transit or traffic? That’s really the choice. We have made progress as a city over the last 30 years, particularly with regard to how downtown develops," Radulovich said. "Can downtown and the neighborhoods coexist? Yes, but we need to grow jobs in ways that don’t increase traffic."

City officials acknowledge that some new parking may be needed.

"There may be places where it’s OK to add parking in San Francisco, but we have to be smart about it. We have to make sure it’s in places where it doesn’t create a breakdown in the system. We have to make sure it’s priced correctly, and we have to make sure it doesn’t destroy Muni’s ability to operate," Metcalf said. "The problem with Prop. H is it essentially decontrols parking everywhere. It prevents a smart approach to parking."

Yet the difficulty right now is in conveying such complexities against the "bureaucracy bad" argument against Prop. A and the "parking good" argument for Prop. H.

"We are trying to make complex arguments, and our opponents are making simple arguments, which makes it hard for us to win in a sound-bite culture," Radulovich said.

"Prop. H preys on people’s experience of trying to find a parking space," Metcalf said. "The problem is cities are complex, and this measure completely misunderstands what it takes to be a successful city."

When MTA director Nathaniel Ford arrived in San Francisco from Atlanta two years ago, he said, "it was clear as soon as I walked in the door that there was an underinvestment in the public transit system."

Prop. A would help that by directing more city funds to the MTA, starting with about $26 million per year. "I don’t want to say the situation is dire, but it’s certainly not going to get better without some infusion of cash to get us over the hump," Ford told the Guardian recently from his office above the intersection of Market and Van Ness.

The proposed extra money would barely get this long-underfunded agency up to modern standards, such as the use of a computer routing system. "We actually have circuit boards with a guy in a room with a soldering iron keeping it all together," Ford said with an incredulous smile.

The other thing that struck Ford when he arrived was the cumbersomeness of the MTA’s bureaucracy, from stifling union work rules to Byzantine processes for seemingly simple actions like accepting a grant, which requires action by the Board of Supervisors.

"Coming from an independent authority, I realized there were a lot more steps and procedures to getting anything done [at the MTA]," he said. "Some of the things in Prop. A relax those steps and procedures."

If it passes, Ford would be able to set work rules to maximize the efficiency of his employees, update the outdated transit infrastructure, set fees and fines to encourage the right mix of transportation modes, and issue bonds for new capital projects when the system reaches its limits. These are all things the urban planners say have to happen. "It should be easy to provide great urban transit," Metcalf said. "We’re not Tracy. We’re not Fremont. We’re San Francisco, and we should be able to do this."

Unfortunately, there are political barriers to such a reasonable approach to improving public transit. And the biggest hurdles for those who want better transit are getting Prop. A approved and defeating Prop. H.

"It’s clear to people who have worked on environmental issues that this is a monumental election," said Leah Shahum, director of the San Francisco Bicycle Coalition and an MTA board member. "San Francisco will choose one road or the other in terms of how our transportation system affects the environment. It will really be transit or traffic."

Shahum said the combination of denying the MTA the ability to improve transit and giving out huge new parking entitlements "will start a downward spiral for our transit system that nobody benefits from."

"We are already the slowest-operating system in the country," Ford said, later adding, "More cars on the streets of San Francisco will definitely have a negative impact on Muni."

But even those who believe in putting transit first know cars will still be a big part of the transportation mix.

"All of it needs to be properly managed. There are people who need to drive cars for legitimate reasons," Ford said. "If you do need to drive, you need to know there are costs to that driving. There is congestion. There are quality impacts, climate change, and it hurts transit."

"There are parking needs out there, and the city is starting to think of it in a more responsive way. We don’t need this to create more parking," Shahum said. "If folks can hold out and beat down this initiative, I do think we’re headed in the right direction."

Yet the Yes on A–No on H campaign is worried. Early polling showed a close race on Prop. A and a solid lead for Prop. H.

Fisher and the groups that are pushing Prop. H — the Council of District Merchants, the SF Chamber of Commerce, and the San Francisco Republican Party — chose what they knew would be a low-turnout election and are hoping that drivers’ desires for more parking will beat out more complicated arguments.

"The vast majority of San Franciscans call themselves environmentalists, and they want a better transit system," Shahum said, noting that such positions should cause them to support Prop. A and reject Prop. H. "But they’re at risk of being tricked by a Republican billionaire’s initiative with an attractive name…. Even folks that are well educated and paying attention could be tricked by this."

For Metcalf and the folks at SPUR, who helped write Prop. A, this election wasn’t supposed to be an epic battle between smart growth and car culture.

"For us, in a way, Prop. A is the more important measure," Metcalf said. "We want to focus on making Muni better instead of fighting about parking. We didn’t plan it this way, but the way it worked out, San Francisco is at a fork in the road. We can reinforce our transit-oriented urbanity or we can create a mainly car-dependent city that will look more like the rest of America."

Money and politics

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› sarah@sfbg.com

The upcoming election hasn’t generated much voter interest, with only a couple of measures that seem likely to have an impact. But corporate interests in San Francisco and beyond are still spending big money — in ways that are secretive, suspicious, and sometimes contradictory — to influence the election and win the gratitude of elected officials.

Although the final preelection campaign statements were due Oct. 25, the money continues to roll in. And perhaps most ominously, many campaign committees are spending far more than they are taking in, effectively using this accrued debt to hide contributors until after the election.

And almost invariably, the person at the center of such schemes — who facilitates the most creative and unsettling spending by downtown political interests — is notorious campaign finance attorney Jim Sutton, who also serves as Mayor Gavin Newsom’s treasurer (and didn’t return our calls for comment by press time).

Political donations are supposed to be transparent and reflect popular support for some campaign. But once again, this election is showing the disproportionate influence that corporations have on local politics and the difficulties faced in trying to accurately trace that influence.

There are "No on K" billboards all over San Francisco, showing a giant image of a man’s empty pocket alongside the dubious claim that "Proposition K will cut $20 million from Muni." The signs were created and funded by Clear Channel Outdoor.

Prop. K is an advisory measure that the Board of Supervisors placed on the ballot this fall to ask whether voters want to restrict advertising on public spaces like bus stops. But it was aimed at Clear Channel Outdoor’s contract to maintain 1,100 city bus shelters and sell advertising on them, which was approved by the Board of Supervisors on Oct. 23. In exchange, the CCO agreed to pay the Metropolitan Transportation Authority $5 million annually, plus 45 percent of its annual revenues from shelter ad revenues.

Nonetheless, the measure would put city voters on record as opposing the CCO’s basic business model, so the company fought back. The "No on K — Citizens to Protect Muni Services" filing suggests that there is no citizen involvement in the No on K campaign. So far, No on K has only received donations from Clear Channel Outdoor, including $120,000 in cash and $55,750 in in-kind contributions of radio time and ad space.

Maybe Clear Channel really is trying to help Muni get more money, rather than pad its own profits. After all, its parent corporation, Clear Channel International, donated $20,000 to support Muni reform measure Proposition A — authored by Board of Supervisors president Aaron Peskin — on Oct. 15, just days before Clear Channel Outdoor won its big bus transit deal with the city.

Yet following the corporate money even further makes it clear that altruism isn’t what motivates corporate spending. No on K also benefited from independent expenditures by the San Francisco Chamber of Commerce 21st Century Committee, a general-purpose committee created in 1999, which received major funding this year from the Gap ($10,000), Pacific Gas and Electric Co. ($7,500), Bechtel ($5,000), Catholic Healthcare West ($5,000), and Clear Channel Outdoor ($1,000).

The 21st Century Committee also spent $716 for newspaper ads opposing Prop. A, which would net the MTA at least $26 million per year from the city’s General Fund. Sutton — a former chair of the California Republican Party — and his associates effectively control the 21st Century Committee, which is also helping Newsom, his top client, avoid facing the Board of Supervisors in public. The committee has made independent expenditures opposing Proposition E, a charter amendment that would require the mayor to make monthly appearances before the board, something voters approved last year as an advisory measure. According to Newsom spokesperson Nathan Ballard, defeating that measure is the mayor’s top priority this election.

"I think he’s focused on his own race and also Question Time. There’s where he’s spending his resources," Ballard said when asked why Newsom isn’t campaigning or fundraising for the Yes on A and No on H campaigns, even though he supports those positions.

The 21st Century Committee has also made independent expenditures in support of Proposition C (which would require public hearings for measures that the board or the mayor places on the ballot), Proposition H (see "Transit or Traffic," page 18), Proposition I (which would establish an Office of Small Business), and Proposition J (Newsom’s wireless Internet advisory measure).

Each of these ballot measures has a committee dedicated to raising funds, but as of Oct. 25, only the Small Business Campaign (Yes on C) appeared to have no outstanding debts, or accrued funds, as they are called in campaign finance circles. Maybe that’s because the Small Business Campaign got $10,000 from the 21st Century Committee, $5,000 from PG&E, $2,500 from AT&T, $8,500 from the SF Small Business Advocates, and $1,000 from the Building Owners and Manufacturers Association of San Francisco’s political action committee.

Yes on C also got a $7,500 contribution from the Committee on Jobs Government Reform Fund, which has ties to Clear Channel, the MTA, and efforts to influence local transportation policy. Records show that on Nov. 4, 2005 — just before the election — the Committee on Jobs Government Reform Fund reported a $6,900 "loan" for radio airtime and production costs from Clear Channel to help defeat a measure that would have split the MTA appointments between the mayor and the Board of Supervisors.

Fast-forward to Oct. 3 of this year, when the Committee on Jobs, which reported its "loan" as accrued funds for almost two years, reported that this debt has now been forgiven. Which is odd, given that, as of Oct. 25, the Committee on Jobs had a cash balance of $778,000 — and had just received $35,000 from financier and Committee on Jobs board member Warren Hellman, $35,000 from AT&T, and $50,000 from the Charles Schwab Corp.

Equally interesting is the fact that the day after the Oct. 25 preelection filing deadline, the Committee on Jobs gave $25,000 to the Sutton-controlled No on E: Let’s Really Work Together Coalition. Such large late contributions require a notice to Ethics that can often escape notice by the media and voters.

The donation perhaps went to help balance the committee’s books; despite receiving $85,084 in monetary contributions, including $10,000 from attorney Joe Cotchett and society maven Dede Wilsey, No on E spent $110,244 before Oct. 25, leaving it with $26,610 in accrued debt.

No on E isn’t the only Sutton-controlled committee whose spending has outpaced donations received: as of Oct. 25 the Yes on H–No on A pro-parking committee and Newsom’s WiFi for All, Yes on J committee, not to mention the Gavin Newsom for Mayor campaign, were all registering large amounts of accrued debt.

Having these debts isn’t illegal. And it’s not unusual for a campaign to have a pile of unpaid bills at the time of its last preelection finance filing. But as Ethics Commission director John St. Croix told the Guardian, accrued funds "shouldn’t be used to hide who your contributors are. The idea of disclosure is to let voters know ahead of elections who is trying to influence their vote."

St. Croix points to the fact that committees are required to make reports every 24 hours in the 16 days before an election "so you know what they are spending on…. But if committees don’t report campaign contributions and people fundraise after the election, that could be a de facto way to hide who the contributors are."

And while Sutton has been characterized by many, including the Guardian (see "The Political Puppeteer," 2/2/04), as the dark prince of campaign finance, St. Croix says he doesn’t automatically suspect something is wrong just because a campaign has a lot of accrued debt.

"But if people suspect that to be the case and they file a complaint, Ethics investigates," St. Croix said, adding that for him, "really massive accrued funds would be a red flag."

Asked what he meant by massive, St. Croix said, "It depends on the office. You might expect a lot more to accrue in a mayor’s race or large campaigns that tend to do a lot of last-minute spending."

As of Oct. 25, Gavin Newsom for Mayor had received $1.1 million and spent $1.3 million, had a cash balance of $457,994 — and was reporting $97,548 in accrued debt, with $46,500 owed to Storefront Political Media, the company run by Newsom’s campaign manager, Eric Jaye.

Noting that Ethics’ job is "to get people to file on time and chase after those who don’t," St. Croix said that those who don’t file and are making major expenditures right before an election are the ones who will face the biggest fines. "They could face $5,000 per violation, which could be $5,000 for every contribution that was made to finance a smear campaign and wasn’t reported," he said.

The biggest fine the Ethics Commission has ever issued was $100,000 for Sutton’s failure to report until after the 2002 election a late $800,000 contribution from PG&E to help defeat a public power measure.

Compared to other years, the amounts of accrued debt in this election may look small, but former Ethics commissioner Joe Lynn points to a disturbing pattern in which Sutton-controlled committees were insolvent before the election, then raised funds later or, as in the case of the Committee on Jobs, magically saw their debts forgiven.

"If I am a candidate running for mayor, like Gavin Newsom, and I personally rake up $100,000 in debt and have a big financial statement, then that means there’s a creditor willing to advance me those funds," Lynn said. "But if the debt has been raked up by a ballot measure committee, then who is responsible? Why would vendors spend $10,000 for that committee unless they knew that debt was wired from the get-go?"

But the result is the same: voters don’t know who donated to the campaign until after the votes have been cast. A clear historical example of this debt scheme can be seen in the June 2006 No on D Laguna Honda campaign. In its last preelection report, No on D had $59,750 in contributions, $18,664 in expenditures — and $130,224 in debt.

But during the 16 days before the election, No on D suddenly got $110,000 in late contributions from the usual suspects downtown, including $2,500 from Hellman, $15,000 from Turner Construction, $10,000 from Wilsey, $2,000 from the San Francisco Chamber of Commerce, and $2,500 from the Building Owners and Manufacturers Association of San Francisco.

As Lynn explains, campaign finance laws only require disclosure of contributions, not expenditures, made in the 16 days before an election — and only $64,000 worth of the contributions used to pay off No on D’s accrued expenses were disclosed, with $10,000 each from the California Pacific Medical Center and Kaiser Permanente trickling in on or after Election Day.

This year campaign finance watchdogs like Lynn note that the Sutton-controlled Yes on H–No on A committee has been hiding its contributors. In its first preelection report, filed Sept. 22, Yes on H showed $113,750 in contributions, $111,376.18 in expenditures, and $69,806.98 in accrued debt.

A month later it has doubled its contributions, tripled its expenditures — and had increased its accrued debt to $77,509. Lynn predicts that Yes on H’s accrued debt will be paid down by late contributions after the election or forgiven later on.

"The solution to the debt scheme is twofold," Lynn said. "Prosecute people doing the scheme and pass a law prohibiting campaigns from making more expenditures than they have contributions. Technically there is nothing illegal about reporting more debt that you have the cash or contributions to pay, but no businessperson regularly offers services in situations where it isn’t clear that they will be paid."

Since the Oct. 25 filing deadline, late contributions have continued to pour into No on E big-time, for a total of $59,500. That includes $25,000 from the Committee on Jobs, $2,500 from Jonathan Holzman, $6,000 from Elaine Tsakopoulos-Kounalakis, $1,000 from Chris Giouzelis, $1,000 from Nick Kontos, $1,000 from Farrah Makras, $1,000 from Victor Makras, $1,000 from Makras Real Estate, $5,000 from John Pakrais, $1,000 from Mike Silva, $1,000 from Western Apartments, $5,000 from Maurice Kanbar, and $5,000 from the San Francisco Apartment Association PAC.

The Yes on A committee hasn’t used the accrued debt scheme, but it has been the second-largest recipient of late contributions. It received $57,000 in late contributions, with donations from Engeo ($1,000), Singer Associates ($2,500), Trinity Management Services ($10,000), Elysian Hotels and Resorts ($5,000), Luxor Cabs ($1,000), Marriott International ($15,000), the SF Police Officers Association ($2,000), Sprinkler Fitters and Apprentices ($1,500), Barbary Coast Consulting ($2,500), and SEIU International ($3,397.14).

No on H (Neighbors Against Traffic and Pollution) received $4,500 in late contributions, with donations from Norcal Carpenters, Alice and William Russell-Shapiro, and Amandeep Jawa. And in what looks like a classic case of hedging bets, Singer Associates has made a $2,500 late contribution to both Yes on H and No on H.

Steven Mele, who is treasurer for Yes on A and No on H, told the Guardian, "There’s some people that time their contributions, but their names are out there, reported on public sites. A lot of corporate money comes in prior to the last deadline, then some afterwards. If campaigns are running with a lot of accrued debt, then those people must have an idea of what money is going to come in."

Unlike the campaigns controlled by the Sutton Law Firm, Mele’s committees, which work with Stearns Consulting, are not carrying massive loads of unpaid debt. Yes on A had received $302,452 and spent $279,890 and had $17,749 in debt as of Oct. 25. No on H had received $134,458 and spent $124,088 and had no debt as of Oct. 25.
Mele also believes that while campaign finance rules were written to make the money trail more transparent, "They’ve resulted in the public being inundated with so much information that they tend to glaze over."

The Clean Slate

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RACES


Mayor:

1. Quintin Mecke

2. Ahimsa Sumchai

3. Chicken John Rinaldi

Sheriff: Mike Hennessey

District Attorney: Kamala Harris

PROPOSITIONS


Proposition A: YES

Proposition B: YES

Proposition C: NO

Proposition D: YES

Proposition E: YES, YES, YES

Proposition F: YES

Proposition G: YES

Proposition H: NO, NO, NO

Proposition I: YES

Proposition J: NO

Proposition K: YES

Campaign sewer overflows

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› amanda@sfbg.com

The flow of election cash is often a filthy river that you wouldn’t want to drink from, and a recent local lawsuit, coupled with a new bit of state legislation, has muddied the waters even more.

On Sept. 20, US District Court Judge Jeffery S. White granted a preliminary injunction preventing the city from enforcing key sections of its Campaign Finance Reform Ordinance.

Two local groups with a sordid history of influencing elections with large chunks of cash — the Building Owners and Managers Association and the Committee on Jobs — argued in court that campaign contribution limits violate the First Amendment by financially curbing the ability to communicate a message (see "Pressing the Scales," 8/22/07). The contribution limits of independent-expenditure committees stumping for candidates were set by the voter-passed Proposition O in 2000 after the 1999 reelection of Mayor Willie Brown, in which deep-pocketed business interests backed the mayor in exchange for preferential treatment by city hall.

Prop. O capped contributions to IEs at $500, and people and corporations are allowed to give no more than $3,000 total (e.g., $500 each to six committees).

Those caps are no longer enforceable.

Similar injunctions have been granted in San Jose and Oakland, also destroying local contribution caps in those cities. San Jose appealed to the 9th Circuit Court of Appeals and is waiting for a ruling. Ann O’Leary, a lawyer in City Attorney Dennis Herrera’s office, told us San Francisco is waiting to see what happens in San Jose before making the next move, though an appeal is planned regardless of that outcome. In the past the Supreme Court has ruled that the appearance of corruption in elections is sufficient grounds for restricting campaign contributions, and San Francisco’s history provides ample examples from which to draw to support that decision.

"We don’t know if it will get back to court before November 2008," O’Leary said of the case, "but it’s certainly something to watch in that election."

Meanwhile, over in Sacramento, legislators on cruise control recently passed a bill that may make it impossible for San Francisco to write its election laws anyway. Gov. Arnold Schwarzenegger just signed Assembly Bill 1430, and according to the legislative digest, the new law "prohibits local governments from adopting campaign finance ordinances that restrict communications between an organization and its members unless state law similarly restricts such communications, or by regulation by the Fair Political Practices Commission."

Proponents say the new law will resolve conflicting interpretations of campaign finance regulations, but opponents say it preserves wide-open loopholes in the Political Reform Act that local jurisdictions have tried to close. For example, a person may be prohibited by the city from giving more than $500 to support a certain candidate. That person can, however, give as much as $30,200 to the Democratic Party, which can then "communicate" a message of support for that candidate to its members.

A recent and egregious example: in San Diego the county Republican Party spent almost $1 million on local races in 2006.

The bill was authored by Carlsbad Republican Martin Garrick and flew through the State Assembly unopposed. Assemblymember Mark Leno told us it came to the Elections Committee, on which he sits, with no vocal opposition, so he gave it an aye. One of his aides, however, became concerned and started making calls. Eventually, Common Cause and the League of Women Voters rallied against it, but it only hit a speed bump in the State Senate. There was still too much support from the Democrats to kill it. Leno said, "It’s an uncommon situation to have the left and right supporting something that in fact runs counter to local election laws."

Only nine senators opposed the bill, including Carole Migden and Leland Yee. "She thought it was an end around campaign finance laws," Migden aide Eric Potashner told us.

San Francisco’s Ethics Commission also took a look at the bill and gave it a 5–0 thumbs-down, resolving to send a letter to both the mayor and the Board of Supervisors urging them to speak against it. Neither did. "The Mayor supports AB1430," his press secretary, Nathan Ballard, told us by e-mail. "He has some concerns about the local control issue, but ultimately those concerns are overridden by his belief that groups like labor unions and the Democratic Party should be allowed to communicate directly with their members."

The governor’s signature now makes it more difficult to pass future measures like Prop O.

Neither the injunction nor the new law seems to be affecting the Nov. 6 election — the FPPC won’t be ruling on AB 1430 until January, though the commission is holding a hearing for interested people to speak in Sacramento on Nov. 2.

Though BOMA and the Committee on Jobs stated in their filing for the injunction that the law harms their ability to raise and spend money for candidates in this November’s election, nothing on record with the Ethics Commission shows they’ve been putting up a lot of money for Newsom, Kamala Harris, or Michael Hennessey. But there’s always next year.

Mayor moving on peaker deal

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The Board of Supervisors had a little shake-up today in the middle of a conversation on the city’s deal to build a new peaker power plant.

One of the biggest selling points from proponents of the $230 million natural gas fired power plant has been that it will receive the “Reliability Must Run” contract from CA-ISO, the state energy agency that dishes out those kinds of things. Right now the Mirant Potrero plant has that RMR, and city officials and activists have been trying for several years to get that plant to close down because it spews more filth into the air than a newer one would. Without an RMR, which essentially pays the power plant owner to NOT run unless needed during peak energy hours, it becomes financially dicey to keep the lights on, but Mirant has never definitively said they’d pull the plug if the city built its own power plant. Some folks, including us, have expressed concern that we could end up with two power plants.

Supervisor Tom Ammiano was intending to slap a couple of amendments onto the resolution the board heard today regarding the peaker plant, one of which would have urged the PUC to get an iron-clad guarantee from Mirant that they’d shut down. In the middle of the supes grilling the PUC on the peaker contract, Sup. Aaron Peskin interjected with the late-breaking news that Mayor Gavin Newsom was at that very moment negotiating with Mirant for a signed agreement that the plant would shutter for good if their RMR is removed.

Some of the supes seemed a little surprised by the news, if not miffed. (Gav’s got a bit of a thing for trumping.) Rumors outside the chamber were that the Mayor’s office has been working on this for awhile, and part of the negotiation may have to do with some city assistance with cleaning-up of the old power plant site and maybe a little fast-tracking of the permitting process for Mirant to put it to some other, more lucrative use. (Condos, anyone? Anyone around here need another $2 million condo?)

No one from the Mayor’s office got up to speak about it (nor the Mayor himself, though it was his day to shine in front of the supervisors. More on that after Prop E passes.) They haven’t issued a press release yet, and I swung by the press office but no one there knew anything about it. Supes Mirkarimi, Daly, and Alioto-Pier voted still voted against the resolution.

UPDATE:

Sup. Ross Mirkarimi tells us we got it wrong — he introduced the resolution amendments, not Tom Ammiano. Sorry about that — we missed the beginning of the hearing, and got the amendments through a fax from Ammiano’s office. The hearing isn’t up on SFGTV yet, so we’ll take Mirkarimi’s word that the amendments are part of the resolution.

They urge the SFPUC to do two things:
1. secure the closure of Mirant as a condition before operating the peakers. (Mayor’s on that one.)

2. “…stipulate a controlled operating regimen that reduces the usage of the CT’s as renewable in-city generation capacity comes on-line consequent to implementation of City’s renewable energy plan under Community Choice Aggregation and other renewable power sources.” (So, essentially, curb the peakers as we put up the solar panels.)

Also, here are some PDFs which prove the point commenter Eric Brooks makes below that the peakers will spit out about the same amount of pollution as Mirant does now:

Testimony of Bay Area Air Quality Management District’s engineer Barry Young at 10/23 SFPUC hearing

Images that quantify the testimony

Halloween in Rock Rapids. What really happened on Halloween Eve in l95l in the almost famous town of Rock Rapids, Iowa

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By Bruce B. Brugmann

I was just settling down to get back into the business of blogging (I have been away at an assembly of the Inter American Press Association in Miami and a convention of the California First Amendment Coalition at USC in Los Angeles) when an ominous email from Washington, D.C., popped up on my computer.

At first I thought it was just more fear-mongering out of the Bush administration, but the head did intrigue me, “Millions of children could be exposed to dangerous toys on Halloween.” It was the announcement for a news conference call with reporters on Tuesday, to release a new report on the “toxic trade of deadly Halloween toys,” toys made in China and being recalled for containing dangerous levels of lead in violation of U.S. safety standards. Halloween was the news peg.

Meanwhile, the word was dire back in San Francisco. The mayor and city fathers were warning people to stay out of the Castro, the gay area that annually sees a tumultuous gathering of hundreds of thousands and police in full riot gear. “HALLOWEEN WARNING: KEEP CLEAR OF THE CASTRO,” trumpeted the San Francisco Chronicle in its Halloween morning edition. “City puts word out: There’s no party, just stay home.”

I was astounded. A full year has gone by since I wrote an almost famous blog disclosing in graphic detail, naming names, what really happened on Halloween Eve in 1951 in my almost famous hometown of Rock Rapids, Iowa. As Halloween seems to spin out of control, the story of Halloween in Rock Rapids is worth retelling, as anybody in the almost famous Hermie Casjens gang would argue. And so I am going to do so.

There weren’t any “deadly Halloween toys” nor any toxic trade thereof nor any tumultuous hordes creating a riot situation in Rock Rapids, but there was a bit of targeted hell raising on Halloween. In fact, it was understood that Halloween was the one night of the year when the more adventurous youth of the town could raise a little hell and hope to stay one step ahead of the cops. Or, in the case of Rock Rapids, the one and only cop, Elmer “Shinny” Sheneberger.

Shinny had the unenviable job of trying to keep some semblance of law and order during an evening when the Hermie Casjens gang was on the loose. Somehow through the years, nobody remembered exactly when, the tradition was born that the little kids would go house to house trick and treating but the older boys could roam the town looking to make trouble and pull off some pranks.

It was all quite civilized. The Casjens gang would gather (no girls allowed) and set out about our evening’s business, being careful to stay away from the houses of watchful parents and Shinny on patrol. Dave Dietz and I specialized in finding cars with keys in the ignition and driving them to the other end of town and just leaving them. We tipped over an outhouse or two, the small town cliche, but one time we thought there was someone inside. We never hung around to find out. There was some mischief with fences and shrubs and swings hanging in back yards.

After an evening of such lusty adventures, we would go home about ll p.m. and tell our parents what we had been up to and how we evaded Shinny the whole evening and they would (generally) be relieved. Shinny would just drive around in his patrol car and shine his lights here and there and do some honking. But somehow he never caught anybody nor made any serious followup investigation. And the targets of our pranks never seemed to make police complaints. I once asked Paul Smith, the editor of the Lyon County Reporter, why he never wrote up this bit of zesty small town lore. “Bruce,” he said, “I don’t want things to get out of hand.” During my era, they never did.

Nonetheless, the city elders decided to keep Halloween devastation to a minimum and scheduled a dance in the Community Building, with the misbegotten idea the pranksters would give up their errant ways and come to the dance. The Casjens Gang would have none of this. In fact it was the year of the dance diversion that we made our most culturally significant contribution to Halloween lore in Rock Rapids. We happened upon a boxcar, loaded with coal, parked on a siding a block or so from Main Street, which also served as a busy main arterial highway for cars coming across northwest Iowa.

It is not clear to this day who came up with the idea of rolling the boxcar across Main Street and blocking all traffic coming from both directions. We massed behind the car and pushed and pushed but it wouldn’t budge. Then Bob Babl came up with a brilliant stroke: to use a special lever his dad used to move boxcars full of lumber for his nearby lumberyard. Bob slipped through a fence behind the yard and somehow managed to find the lever in the dark. We massed again, now some 20 or so strong, behind the car and waited for the signal to push. Willie Ver Meer climbed to the top of the car and wrenched the wheel that set the brakes. We heaved in unison and the car moved slowly on the tracks until it reached the middle of Main Street. Willie gave a mighty heave and ground the car to a dead stop, bang, square in the middle of the street. Almost immediately, the cars started lining up on both sides of the car, honking away. Grace under pressure. An historic event. Man, were we proud.

We slipped away and from a safe distance watched the fruits of our labor unfold. Shinny, the ever resourceful police chief, soon came upon the scene. He strode into the dance in the nearby Community Building and commandeered enough of the dancers to come out and help him move the car back onto its siding. We bided our time and then went back and pushed the car once again into the middle of the street. Jerry Prahl added a nice touch by rolling out a batch of Firestone tires onto the street from his Dad’s nearby store. Suddenly, Main Street was a boxcar- blocked, tire-ridden mess. Again, the cars started lining up, honking away. Then we fled, figuring we were now wanted pranksters and needed to be on the lam.

The Casjens gang and groupies have retold the story through the years at our regular get togethers at the Sportsmen Club bar at Heritage Days in Rock Rapids and at our all-Rock Rapids Cocktail Party and Beer Kegger held in the back lawn of the Mary Rose Babl Hindt house in Cupertino. We would jokingly say that the statute of limitations never runs out in Rock Rapids and so we needed to be careful what we said and ought not to disclose fully the involvement of Dave Dietz, Hermie Casjens, Ted Fisch, Ken Roach, Jerry Prahl, Bob Babl, Romain Hahn, Willie Ver Meer, and lots of others, some who were there working in peril, others who declared they were there safely after the fact.

Two years ago, just before Halloween, I was invited back to Rock Rapids to speak to a fund-raising event for the local high school. It was a a crisp clear night just like the night of Halloween in l95l and a perfect setting to tell the story publicly in town for the first time. The event was at the new community building, on Main Street, just a block or so from the old Community Building, and a block or so from the siding where we found the boxcar. I told the audience that Shinny had assured me the statute of limitations had run out in Rock Rapids and that I could now, 54 years later, tell the boxcar- across -Main -Street caper with no fear of prosecution. And so I did, with relish.

Chuck Telford was in the audience and I recalled that he had driven up to us that night, as part of a civilian patrol, and inquired as to what we were doing. When he could see what we were doing, he just quietly drove off. “Very civilized behavior,” I said. Afterward, I told Chuck I would back him for mayor, on the basis of that incident alone. Craig Vinson, then the highway patrolman for the area, came up to me and said he remembered the incident vividly because he was on duty that night and came upon the boxcar blocking the highway with long lines of honking cars. “I got ahold of Shinny that night and told him it was his job to move the boxcar and get it off the highway,” he said. Others said they had gotten a whiff of the story but were never able to pin it down. The high school principal and superintendent didn’t say much and, I suspect, were worried my tale might lead to the Rock Rapids version of the movie “Ferris Bueller’s Day Off.”

For years, I said in my talk, I didn’t think that Shinny ever knew exactly what happened or who was involved in the caper or how we pulled it off, twice, almost before his very eyes. Shinny retired in Rock Rapids and I saw him twice a year when I came back to visit my parents. But I never said anything and he never said anything but finally a couple of years ago I found the right moment and cautiously filled him in. He chuckled and said, “Let’s drink to it.” We did. And we have been drinking to it ever since. He calls me now and then in my office in San Francisco. He always tells the receptionist, “Tell Bruce, it’s Shinny. I’m his parole officer in Rock Rapids.”

Those were the days, my friends. The days of Halloweens without dangerous toys and toxic trade with China and riots on Main Street. B3

Good-bye Peakers, Hello Wi-Fi!

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This is brilliant. A tech company in Mississippi has bred wi-fi technology with electricity meters, and Burbank, CA, which has a power grid owned by the city is using the technology to cut down usage during peak times.

Why can’t San Francisco put $60 million toward this instead of bringing another fossil fuel power plant into the world?

As Naomi Graychase reports in this article, “An example of the immediate effect of this sort of load control,” says Fletcher, “ would be to send a signal to a grocery store that would turn down lights and turn down the A/C, so we can regulate power when there’s a shortage of power in the grid.”

Hmm…big power plant that runs on gas we have to buy from PG&E and puffs nasty smoke to an already smoky neighborhood…or…better switches and control of the power we use? This is a no-brainer: fossil fuels are so 20th century. WiFi is so 21. The kids love it. We could hip out the city’s Community Choice Aggregation plan with some of these, especially if we can get the Mayor to cut some sketchy back room deal to make them free!

Newsom’s interests vs. San Francisco’s

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I was writing a story about the long-term damage that Prop. H — which will entitle every land owner to build new parking lots, regardless of their traffic-inducing impacts or the desires of certain neighborhoods to limit parking — could do to San Francisco when Mayor Gavin Newsom called me. Actually, it was just Newsom’s voice in a robo-call urging me and others to vote against Prop. E, the mayoral question time measure, arguing that it won’t fill any potholes or put more cops on the street. Although Newsom is on record supporting the muni reform measure Prop. A and against Prop. H, the campaigns are frustrated that Newsom has done nothing to fundraise or campaign for them. “I think he’s focused on his own race and also question time. That’s where he’s spending his resources,” Newsom spokesperson Nathan Ballard told me when I asked about it.
So, there are two important measures on the ballot which will have a long term impact on quality of life in San Francisco. And there’s a measure that only affects Newsom personally, and perhaps his long term political ambitious if question time shows he can’t handle real unscripted debate. And Newsom ignores the big measures to focus on the small. If there was ever a telling testament to Newsom’s priorities — placing his own interests above San Francisco’s — this is it.

P.S. The Examiner had an interesting interview with London Mayor Ken Livingstone, who has a monthly question time with that city’s legislators that it tough but ultimately good for him and for democracy. “It keeps me in touch with the people.” One more reason Newsom should embrace it instead of fighting it.

Meet the Candidates: Michael Powers

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The Bay Guardian is profiling the candidates for the 2007 elections. We’ll be updating this entry as more information comes in. Post your thoughts or comments below.

Mayoral candidate Michael Powers

michael_powers.jpg

www.powersforthepeople.com

“As a candidate for Mayor it is my intent to accomplish the following tasks for my fellow residents. I will:

*make Muni free and introduce a community bicycle program with 10,000 bikes
as in Paris.

*protect our city’s skyline through slow growth rather than our present program
of Manhattanization.

*lower our crime rate by increasing the number of police officers we have on our
streets by use of Lateral Transfer hiring and insisting that sworn personnel are not
wasted on administrative duties.

*use our bike program to allow the homeless to become its supervised labor pool
in bike maintenance, thus teaching them a trade.

*encourage the promotion of Harvey Milk’s birthday as a national holiday.”

Visit the Guardian 2007 Election Center for updates, more interviews, and 2007 election news.

The story of Q

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› sarah@sfbg.com

With just a couple of weeks to go until San Franciscans elect their next mayor, Quintin Mecke, the 34-year-old program director of the Safety Network, has emerged as Gavin Newsom’s top challenger.

Since declaring his candidacy, the fresh-faced Mecke has been endorsed by almost every significant progressive entity in the city, including supervisors Chris Daly and Ross Mirkarimi, BART board member and Livable City director Tom Radulovich, the Harvey Milk LGBT Democratic Club, the San Francisco Tenants Union, and the Guardian.

"Of all the mayoral candidates, Quintin has the longest record of working in the community and on important issues facing the city," said Daly, who was the first to publicly endorse the Pennsylvania native, shortly after Mecke declared his candidacy in August.

But despite his solid list of endorsers, Mecke hasn’t managed to raise much money. He didn’t come close to taking advantage of the mayoral public financing program created by Mirkarimi and approved by the most liberal members of the Board of Supervisors. Mecke said his late entry made it impossible to raise the required $25,000 (from at least 250 donors who could prove San Francisco residency) by the Aug. 28 deadline.

"Had I had more time, I don’t think raising the $25,000 is that much of a challenge," Mecke, a former Peace Corps volunteer, told the Guardian at the time. But two months later Mecke has only raised $11,203, with Sup. Tom Ammiano and former mayoral contender Matt Gonzalez respectively contributing $250 and $100, although neither has endorsed him yet.

With Newsom sitting on a $1.8 million war chest, Daly admits that it would take a perfect storm for Mecke to win.

"The incumbent would have to stumble between here and the finish line," said Daly, who toyed with running until Aug. 8, at which point Mecke dove into the race, challenging Newsom’s record on public safety, homelessness, and affordable housing — issues that Mecke has been intimately involved with since moving here a decade ago.

Mecke’s move to California came shortly after he survived a near-fatal climbing accident in Alaska, which shattered all of his teeth when he fell 40 feet off a glacier. The fall also saddled Mecke, who didn’t have health insurance, with $90,000 in medical bills.

"It was a humbling experience, but people have to take responsibility for the situations they find themselves in," said Mecke, who worked for Ammiano on arriving in San Francisco and has since worked on the Ammiano, Mirkarimi, and Gonzalez campaigns.

Mecke also helped found the South of Market Community Anti-Displacement Coalition, served as president of the Mental Health Association of San Francisco, and helped author a report on homelessness that led him to publicly debate then-supervisor Newsom over his Care Not Cash initiative.

"Accountability without support is a form of cruelty," Mecke stated in 2002, a belief he still holds as he tries, as a member of the Homeless Shelter Monitoring committee, to get the city to implement universal shelter standards.

"If you raise the quality of life and safety standards in the city’s shelters, then more homeless people will want to enter them," Mecke said.

Mecke, a Western Addition resident, believes in community-driven responses to crime and violence. While Newsom claims that black-on-black violence has decreased under his administration, Mecke counters that African Americans make up only 7 percent of the city population but constitute 60 percent of the homicide victims. He thinks we need a real community policing program.

"We have 10 fiefdoms, 10 police districts," Mecke said. "That means that the oft-touted and talked about idea of community policing doesn’t really exist."

Newsom campaign manager Eric Jaye claims the only thing he knows about Mecke is that "he opposed Care Not Cash and he is supported by Sup. Chris Daly.

"But his own record? That’s a little bit harder," Jaye continued. "Mecke works for a city-funded nonprofit, but ironically, he’s unhappy with the violence prevention work the city is doing. Presumably he’s running because he thinks he can do a better job, but we’re proud of our progress on universal health care, our work on climate protection, our civic efforts, the fact that the eviction rate has plummeted, and that there’s more housing and affordable housing in the pipeline than [under] any other mayor in recent history."

But Mecke points out that the city’s health care initiative was Ammiano’s brainchild and that Newsom failed to deliver on his "wi-fi for all" promise by stubbornly pushing a flawed proposal and refusing to engage with its critics.

"Newsom’s only successes are initiatives proposed and led by members of the Board of Supervisors," said Mecke, who accuses Newsom of "making every decision within the framework of a national model while promoting some future candidacy."

He faults Newsom for asking for mass resignations this fall and sees the fact that Newsom is raising piles of cash to defeat Proposition E, which would require the mayor to make monthly appearances before the Board of Supervisors, as further evidence of his cowardice.

"San Francisco need to demand of this race that there’s public accountability," Mecke said. "Newsom seems to fear any form of nonscripted public interaction. When you go to his fake Question Time–town hall meetings you don’t actually get to ask the mayor your own question. He selects what he wants to hear."

Needed: a campaign against privatization

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EDITORIAL It’s time for San Francisco to declare war on privatization.

The local threat is very real: as we reported in last week’s special anniversary issue, Mayor Gavin Newsom’s administration has moved to turn over a long list of city services — from housing for the mentally ill to the operation of the public golf courses — to the private sector. Should this happen, if history is any guide, the city would wind up losing millions, the quality of services would decline, and the economy would suffer as hundreds of well-paid, unionized employees lost their jobs.

Equally important, the public would lose control over the institutions that were and are created and run for its benefit.

Privatization is a recipe for corruption. There always has been and always will be some level of graft, corruption, and incompetence in government operations; there will always be the occasional city employee who sleeps on the job, fudges time cards, doesn’t do the job right, and somehow manages to avoid being fired. But that sort of small-time problem amounts to peanuts in comparison to what happens when large amounts of public money are turned over to the private sector.

Private companies are out to make profits — and for the most part they keep their finances secret. Many of the worst scandals in American history have involved kickbacks, backroom deals, and bribery aimed at sending taxpayer dollars into the coffers of big contractors, and these continue today. And the argument that the private sector is more efficient often turns out to be utterly false; the absolute worst waste of money in the nation’s health care system, for example, is the phenomenal overhead involved in private insurance plans. As much as 30¢ of every dollar spent on private-sector health care goes to administrative overhead and profit. The public Medicare system operates on about 5 percent overhead.

Of course, the public has no way of keeping track of where most of the private health care money goes; the insurance companies keep that information to themselves. So do most other private contractors that take public money. And even if you don’t like the way the system is managed, you don’t have much choice — insurance executives aren’t elected by anyone and aren’t accountable to the community.

San Francisco has a history of allowing private operators to take over public resources, and the results have been almost universally bad. One of the reasons the 1906 earthquake caused such devastation was that the private Spring Valley Water Co. — looking only for quick profits and not at long-term maintenance or service — failed to keep its pipes in good repair. When the city really needed water, to put out the postquake fires, it wasn’t available. That fiasco led city officials to develop a municipal water system, which now delivers some of the best, cleanest, and cheapest water in the country.

Of course, Congress gave San Francisco the right to build that water system, which uses a dam in Yosemite National Park, only on the condition that it also develop public electric power. Instead, in the greatest privatization scandal in the history of urban America, Pacific Gas and Electric Co. wound up initially controlling much of the output of the dam, and it still controls the city’s electric grid. The result: some of the highest electric rates in the nation and terrible, unreliable service.

San Francisco officials led the way to the privatization of the Presidio, turning over a national park to an unaccountable quasi-private board that operates as a real estate developer. The results: A giant commercial office complex, built with a $60 million tax break. Plans for high-end condos. Traffic problems, neighborhood problems — and a stiff bill to the city’s taxpayers, who have to subsidize private businesses that operate in a federal enclave without paying local taxes.

And if Newsom has his way, the pattern will continue: the mayor’s signature project this past year, for example, has been an attempt to let a private company control the city’s broadband communications infrastructure. Tens of millions in city contracts go every year to private nonprofits that fight like hell to avoid sunshine and accountability.

Enough is enough — San Franciscans of every political stripe need to organize to fight back. This city needs a new political coalition, a campaign against privatization.

There are all sorts of specific policies and legislation that ought to be on the agenda. For starters, privatization expert Elliott Sclar, a Columbia University economist, argues that any private business that takes city money to provide public services ought to be required to abide by open-government laws. That means every scrap of information related to that contract — including financial projections, executive salaries, profit and loss statements, and operating overhead figures — would be public record. All meetings of boards, panels, or other policy-making entities involved in managing the contract would be open to the public. If a private business doesn’t want to abide by those rules, fine; it can stick to private-sector work and stop bidding on government contracts.

Beyond that, the city needs to set up a task force to look at every private contract San Francisco hands out and determine why the city isn’t doing the work itself. If selling electricity is so profitable (and it clearly is, or PG&E wouldn’t be fighting so hard to keep its illegal monopoly), why can’t the city take over the job and bring in some revenue? If there’s money to be made building bus shelters and selling ads on them — and clearly there is, since Clear Channel Communications, a giant private company, went out of its way to get a contract with the city to do so — why can’t San Francisco make that money for the General Fund? If a private company can make money running the golf courses, why can’t the city?

Sure, there are times when it makes sense to bring in an outside contractor. We’d argue, for example, that the Board of Supervisors needs an independent budget analyst, not tied to City Hall, to monitor budgets and spending. But there are millions of dollars going out City Hall’s door every year to private outfits that aren’t accountable to the public. And there are millions of dollars that ought to be available for badly needed public services that the city is losing because some private operator is making a profit on public resources.

Organized labor has every reason to oppose privatization and ought to play a lead role in creating a new coalition. So should the public-power coalition and the folks who have been demanding sunshine for the nonprofits. But everyone who uses public services and pays taxes in San Francisco is affected when city money gets stolen, wasted, or diverted. It ought to be a broad-based coalition.

There’s an opportunity to turn things around here and make San Francisco the model city that it ought to be. There’s no time to waste.

Milk Club tonight — Leno and Migden

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The harvey Milk LGBT Democratic Club meets tonight to consider a parliamentary procedure that could lead to an an early endorsement for state Sen. Carole Migden, who faces a challenge in next June’s primary from Assemblymember Mark Leno. Not surprisingly, the sleaze is flying

We haven’t endorsed in this race, and we won’t until next spring, but I have said, repeatedly, that both sides ought to play fair and keep it clean and try to avoid doing long-term damage to the progressive community. If Migden manages to disenfrancise Leno supporters at Milk, it will be one of those ugly moves that hurts the club’s credibility.

Everyone tries to pack club endorsements. The Milk Club rules are designed to block that, and this may be an unintended consequence. But there are plenty of people who are clearly legit, long-term members of the Milk Club, and if there’s any question about who gets to vote, it ought to be decided in a way that is as democratic as possible.

Migden’s a former club president, and has a lot of strong Milk allies. She’s been a Milk person for years, and Leno has been much more closely allied with the more moderate Alice B. Toklas Club. Migden doesn’t need to play any games here; Leno’s the underdog for this endorsement anyway.

By the way, perhaps the Milk Club members could ask Sen. Migden why she’s so fond of Republican Don Fisher,, and whether she will take the $7,200 he’s given her campaign and turn it over to the Yes on A/ No on H campaign.

And to keep the debate lively, they can ask Assemblymember Leno why he’s so supportive of Mayor Gavin Newsom.

Halloween Specials

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Well, ain’t this special!
A Special Report from the Controller and the Legislative Analyst is recommending the establishment of an Office of Special Events.
The impetus for this special study came, says the report, from Sup. Bevan Dufty in the wake of Mayor Gavin Newsom’s decision to cancel a City-sponsored Halloween this year.
The report is already getting activists nervous.
That’s because one of its main thrusts is reviewing “whether the Entertainment Commission’s unfulfilled responsibility to attract and support special events (including those without sponsors) should officially be transferred to some other unit.”
That unit would most likely be contained within the Mayor’s Office.
Now, Piss-poor communication between the Mayor’s Office and the Entertainment Commission over Halloween 2007 became an open secret this year, after a public records request unearthed emails in which commissioners complained that the Mayor’s Office has been trying to avoid meeting with them to discuss plans to shift the event to the waterfront.
This may be why the Special Report recommends that the two be required to communicate in future, or it could be because, as the Special Report notes, a recent Civil Grand Jury found that “communication between the Entertainment Commission and the Mayor’s Office has not been sufficiently good to allow such efforts [promoting the development of a vibrant entertainment and late-night entertainment industry] to move forward.
Either way, it’s an interesting development ten days before this year’s non-event looms, and a tacit admission that no one in Room 200 is expecting to be able to kill Halloween 2008, which occurs on a Friday.
The report, which reviews the role of all the City’s major special events, not just Halloween, finds that San Francisco could benefit economically and culturally from additional special events, but that no city agency is currently focused on “attracting, creating and promoting” such events.
It suggests that the Convention and Visitors Bureau, which receives 56 percent of its $14 million budget from the City’s hotel tax to promote SF as a tourist destination, or another non-profit such as SF’s Grants For Arts, could play a larger role.
It also recommends that “ unsponsored events like Halloween are likely best managed by the Mayor’s Office in cooperation with a Private event producer.”
Stay tuned.

Fisher and his powerful friends

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Why does Republican billionaire Don Fisher have such influence in San Francisco? Why does Mayor Gavin Newsom subvert good planning simply because Fisher tells him to, then sit on the sidelines while Fisher tries to fool voters into creating gridlock in our downtown? Why would Senator Carole Migden want Fisher — who wants to subvert the public education system with vouchers and charter schools — to serve on the State Board of Education, let alone sing his praises in public while appointing him? Why does anyone still listen to the Fisher-sponsored SFSOS, which still draws elected officials to its luncheons? Is our political system so thoroughly corrupted by money that self-proclaimed liberal Democrats are willing to crawl in bed with such an ideological Neanderthal?
At the Yes on A, No on H rally in front of the Gap yesterday, near where they had parked the rented white Hummer (which H deems a “low-emission vehicle,” exempt from parking restrictions), Board of Supervisors president Aaron Peskin framed the issue for those of us who don’t want or need Fisher’s money: “San Franciscans have a clear choice. We can either pursue the Republican policies of the last century and continue to clog our roads and pollute our cities and poison our air, or we can move into the 21st Century.”

Jerry Brown gives City green light to sue Jew

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Photo by Charles Russo

The sun may be shining, but it’s raining legal cats and dogs for suspended Sup. Ed Jew.

On the eve of a preliminary hearing by the City’s Ethics Commission into charges of official misconduct by Supervisor Jew, California Attorney General Edmund G. Brown Jr. has granted City Attorney Dennis Herrera’s application for leave to sue in quo warranto to remove Jew from the Board of Supervisors for failure to comply with the City Charter’s residency requirements .

The ruling comes a little more than three weeks after Mayor Gavin Newsom initiated official misconduct proceedings against Jew and suspended the District 4 supervisor, replacing him, at least for now, with political rookie Carmen Chu.

City Attorney Herrera says that in llight of the Ethics Commission’s preliminary hearing tomorrow, he intends, “to carefully evaluate” the legal options.
“In the coming days, I will decide how best to represent the City’s interest in concluding a crisis that has clouded the legitimacy of San Francisco’s representative government for too long,” Herrera said in a press release.

Tomorrow’s preliminary Ethics Commission hearing takes place at 1:30 p.m. in Room 416, City Hall.

Wee butts a-Wogglin’

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By Duncan Scott Davidson

If they could bottle the Woggles, the world wouldn’t need anti-depressants.

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The wriggly Woggles

I arrived at 12 Galaxies not exactly depressed, but just having one of those decidedly non rock and roll, rapidly-approaching-middle-age moments: fuck, it’s late. I’m tired. Maybe I should’ve stayed home, went to bed early. The place was more than half empty, which burned me a bit, as it’s the fucking Woggles here, people. From Hot-lanta, G-A? You may have heard of them? The Guardian’s own Cheryl Eddy wrote a pick about them last week, I guess that wasn’t enough. The next time they’re in town, I’m making damned sure the mayor is sober enough to declare it “San Francisco Woggles Day” or some such shit. I mean, I overcame my “adult moment” to get my ass to the club…what’s your excuse?

Opening act Top Ten, featuring the always entertaining Tina Lucchesi (Bobbyteens, Trashwomen, Deadly Weapons, et al) on vocals, was onstage, so that was a plus. The guitar player, or should I say bad-azz axewoman, Erin McDermott, had on this most awesome denim vest that looked heisted from Neil Young’s closet circa ’73, but like tailored to be sexy and not Canadian. I just checked their Myspace, and her favorite band is Cheap Trick, so, you know, that cements my marriage proposal right there. I missed openers Les Hormones, who I heard were fab, which is good, since they’re fighting an uphill battle with the French appellation. French Appalachian? Now, that’s another story. That shit would be hot.

But really, it was all about the reigning kings of the garage, the Woggles, and once again, they didn’t disappoint. Thankfully, the club was more crowded by the time they came on. The Woggles are the type of band that are so cool, they make you think shit like “I can totally rock a three-tiered, blood red, silk ruffle shirt with matching ruffle cuffs. Chicks will totally dig me in that.” And the next thing you know, you’re wondering what the fuck this thing is doing in your closet.

41st Anniversary Special: Bilking the links

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By now, even most nongolfing residents of San Francisco have heard the dire refrain coming from City Hall: San Francisco’s public golf courses are sucking millions of dollars from the city treasury! Dozens of media stories have trumpeted this bleak pronouncement, and city leaders are using the shortfall to push for outsourcing control of the century-old open spaces. But a Guardian review of the Golf Fund shows that the links are not nearly as down-and-out as pro-privatization forces have led us to believe.

Recreation and Park Department accounting documents we obtained show revenues at the city’s six publicly owned golf courses last year were up nearly $1.5 million from 2005 to 2006 and more than $2.2 million dollars from 2004 to 2005, an increase of nearly 30 percent. But the cost of a lavish contract with a large, out-of-state golf-management corporation has risen precipitously over the same time frame and drained most of these new funds.

For the 2006–07 fiscal year the city shelled out more than $3.25 million to Kemper Sports Management to operate the pro shop and clubhouse at the Harding Park Golf Course and its nine-hole neighbor, Fleming. By comparison, in 2004–05, Kemper’s tab at Harding and Fleming was a still eye-popping $2.07 million, but that number is nearly $1.2 million less than what the city had to pay last year. These increased costs, as well as a hefty loan repayment for Harding Park’s botched remodel in 2002 and 2003, have eaten up the links’ improved revenue and forced the city to throw in an extra $1.4 million from the General Fund to keep golf solvent.

"What’s going on up at Harding is a disaster," Bob Killian told the Guardian. Killian ran the city’s golf operations profitably for two decades until 2001. "When I was in charge we had contracts with various managers for the pro shops and the restaurants, and they made us money. They paid us. Now, Harding is run at a deficit. Where the fuck is the money going? What’s it for? Nobody knows. It’s all this big secret…. It’s a scandal."

Kemper’s seven-year deal is unique, to say the least. At every other publicly managed course, the city leases control of the pro shops and clubhouses to outside companies. In exchange for a flat fee paid into city coffers, those companies bear all of the risk and reap most of the rewards of operating the facilities. But at Harding, the city pays Illinois’s Kemper $192,000 per year, regardless of its performance, to act as an on-site manager, plus a 5 percent incentive fee for gross revenues over $6 million. But those guaranteed sums are only the beginning of the bill.

Kemper hires staff, rents golf carts, and orders the supplies to be sold in the pro shop and the clubhouse. Unlike in the city’s lease arrangements at other courses, though, the company bears none of the risk. It simply invoices the city for its expenses, and the city signs the tab. And the tab just keeps growing.

One public-golf insider who declined to be identified for fear of retribution said, "They’ve got this enormous staff there, managers and assistant managers and assistants to assistants of managers. It’s a golf course, not a hospital! I hear the payroll for the restaurant alone is like $600,000. And it’s only open for one shift a day…. They stock their pro shop with top-of-the-line gear that just sits there. If they order 20 Arnold Palmer shirts and only sell two, who cares? The city still pays for all 20."

In an e-mail to the Guardian, Kemper’s general manager at Harding, Steve Argo, told us it has between 60 and 80 employees, depending on the season. Citing this seasonal variability and "competitive reasons," he did not break down those numbers between management and nonmanagement, as we requested.

Both Argo and Katharine Petrucione, Rec and Park’s chief financial officer, attributed much of the added costs at Harding to the opening of a new permanent clubhouse there in late 2005. Argo said the increased revenues from the clubhouse have "more than covered the city’s increase in payments." But while Rec and Park’s ledgers do show that concessions revenues at Harding and Fleming have gone up since the clubhouse opened, the increase in Kemper’s bill has gone up nearly as much. All in all, with Kemper’s multimillion-dollar deal and loan payments for the over-budget remodel at the course, accounts still put the course at more than $500,000 in the red — even though a round of golf there now costs well over $100 and Kemper is still making a handsome profit.

It doesn’t end there. Petrucione said Kemper’s contract costs taxpayers even more than meets the eye. Because the company submits monthly and yearly budget projections as well as reams of invoices and expenses for reimbursement, Rec and Park staffers spend hours examining Kemper’s paperwork and activities — essentially managing the manager. When we asked her for an accounting of how much the Kemper contract costs the city in staff hours for these oversight duties, Petrucione replied, "It definitely requires more time and effort … than a lease agreement [like those at every other course] would."

During a recent radio interview, Sup. Jake McGoldrick called Rec and Park’s deal with Kemper "the worst contract I’ve ever seen." He added, "We don’t have a golfer problem. Golfers are coming out and playing. We have an accountancy problem."

The golf insider we spoke with echoed McGoldrick’s sentiments: "Business is up like 30 percent this year, but Kemper’s contract is jeopardizing the whole department…. If we redid the greens, tees, and fairways [at the other courses], just Band-Aid stuff like that, we would have the premier municipal system in the country. But instead they’ve given this cushy deal to a company from Chicago with no connection to San Francisco. It’s so unfair."

Despite the controversy over Kemper’s all-expenses-paid arrangement, Mayor Gavin Newsom, Rec and Park general manager Yomi Agunbiade, and others at City Hall have been using the deficits largely brought on by Kemper’s contract to push for more private control of the city’s links. In June the Mayor’s Office put forward a plan to outsource not just clubhouse and pro-shop management but all golf operations at the city’s premier courses, including Harding. The proposal was tabled after several contentious hearings at the Board of Supervisors, but many observers expect that it will make its way back to the board in the near future.

"In a perfect scenario, the city could [manage the courses efficiently], but the city has proven that it doesn’t have the ability to do it," Sup. Sean Elsbernd told us in July. Elsbernd has been one of the most vocal supporters of bringing in private golf management.

But McGoldrick, Killian, and other opponents of the idea point out that the city provided quality, inexpensive golf for nearly 100 years. They worry that private managers will find profit in higher greens fees, more part-time workers, and lower salaries and fewer benefits for full-time staff. But beyond those concerns, they see the mayor’s plan as yet another example of publicly owned assets being offered up for private gain.

The courses, McGoldrick told us, are "priceless…. We can’t just dump [them] because you’ve got folks from the Mayor’s Office and his Rec and Park Department who don’t want to be bothered."

In his endorsement interview with the Guardian, Newsom said about the golf courses, "You gotta deal with the reality of where we are and what our core competencies are. Golf courses do not reflect a core competency of government. We’re losing hundreds of thousands of dollars and about to lose over a million dollars a year, and that comes from somewhere. So rather than continuing to do what we’ve done and hope for a different result, we’re looking at best practices across the country and finding ways to manage our assets differently, and I’m not apologetic for exploring those things."

41st Anniversary Special: Private practice

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› gwschulz@sfbg.com

Low-income tenants cheered late last year when the San Francisco Department of Public Health ended its housing contract with the John Stewart Co. But no one expected the alternative would be a secret $5 million deal between DPH officials and a preferred vendor.

In fact, the DPH has opened a new chapter in privatization by creating a dubiously accountable, quasi-independent nonprofit while paying someone else to operate it with a sole-source contract.

The health department leases several single-room-occupancy hotels in San Francisco that house mental health and substance-abuse patients through a program called Direct Access to Housing, part of a laudable nationwide trend toward deinstitutionalizing such medical clients and changing how the formerly homeless receive services.

The Camelot on Turk Street and Le Nain on Eddy Street were among those managed by John Stewart until last autumn. Mercy Housing oversaw two more. But there were problems; tenants complained about the Stewart company’s management, and political organizers last year charged that desk clerks at some of the buildings prevented them from registering tenants to vote.

"If you’re part of a larger company that just sees themselves as a more generic property-management company," said Marc Trotz, director of the health department’s housing office, "there isn’t necessarily the training and skills development that needs to be there to handle the complexities that come up on a daily basis with the population we’re dealing with."

So the health department’s answer was to broker an exclusive $5 million contract with a nationwide nonprofit based in San Francisco known as the Tides Center. Tides doesn’t do any of the heartwarming outreach we tend to associate with nonprofits. Instead, the outfit handles the boring administrative functions like payroll and human resources for community projects created by others.

The project in this case is Trotz’s brainchild Delivering Innovation in Supportive Housing, which essentially exists as a nonprofit only on paper. There’s no board of directors. There are no federal tax forms outlining expenses and revenue. And Tides doesn’t itemize projects like DISH in its annual financial statements. So there’s no easy way for the public to track the money that goes into the project.

Yet DISH has so far never been forced to compete for property-management contracts like any other nonprofit wanting to do business with the city. That means the DPH gets the best of both worlds, paying someone in the private sector to manage its books and not having to subject its pet project to the competitive atmosphere of contract bidding.

Further, since Tides is technically the employer of record for DISH’s 60 or so employees, they exist in an ethereal world where they don’t fall under the city’s salary and benefits structure, but unions can’t reach them unless they’re willing to organize all 200 projects managed by Tides nationally.

Needless to say, none of this is sitting well with the nonprofits and unions that insist they weren’t informed of the plan until it was off and running.

"I feel like at union nonprofits, the turnover’s much lower, the training’s higher, and if a manager is abusing a tenant, for instance, a union worker can make a complaint to a city agency, write them up, do something without being afraid for their jobs," said Sarah Sherburn-Zimmer, a former organizer for the Tenderloin Housing Clinic. "And we just give better care."

The THC, whose workers are represented by Service Employees International Union Local 1021, says it was never formally invited to bid on DISH, despite the fact that it does extensive work with the city and manages more than 1,500 units of low-income housing.

"All they had to do to find out was send a letter or call us…. The fact that they made the effort to set up their own entity kind of shows that’s what they wanted to do," THC director Randy Shaw said.

The Tides contract so annoyed Board of Supervisors president Aaron Peskin that he drafted a resolution pointing out that Mayor Gavin Newsom signed an executive order in 2004 calling for maximum competition in city contracts.

"This Board of Supervisors has been on record for years in wanting to make sure contracts are competitively and fairly bid," Peskin told the Guardian. "This whole thing seems rather bizarre. The government was in essence contracting with itself."

The health department’s Trotz dismisses this criticism, saying sole-source contracts were designed in the first place to allow for agreements like the Tides deal, which he calls a pilot project. Next time, he promises, the department will open the contract to bids. Trotz added that Tides is responsible if a DISH employee screws up, and it faces an annual monitoring probe by DPH staffers, just like any other contractor.

"I know now that THC and the union seem to be upset by this," Trotz said. "What we’re saying is we’ve heard that and we are doing what we always intended to do, which is run a two-year pilot and put a [request for proposals] out on the street and ready for people to apply to prior to the start of the next fiscal year."

Of course, no one’s suggesting Tides and DISH will necessarily do a poor job handling supportive housing. Shaw said lefties were the first to argue nearly three decades ago that nonprofits could address public health much more sensitively than did Dianne Feinstein’s mayoral administration of the 1980s. Last year the health department did $174 million worth of business with nonprofits. While unions have been slow to organize nonprofits, the trend is growing, but Tides and DISH seem structured to stiff-arm them when covert, sole-source contracts haven’t done that already.

"This obviously was a secret decision," Shaw said. "[The DPH] never consulted with anybody. They just did it. I don’t want to comment on the health department beyond what I’ve said. But this experience has left people very cynical about dealing with the health department [and] the way they handled the whole thing."

41st Anniversary Special: Wrecked park

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The San Francisco Recreation and Park Department has a long history of maintaining parks, community centers, and other recreational offerings. In fact, it controls more land in the city than any other entity, public or private. But after seeing its budget repeatedly slashed during lean fiscal years, the underfunded department has become a prime target for some controversial privatization schemes.

There are ongoing efforts to privatize city golf courses, supported by Mayor Gavin Newsom and Rec and Park general manager Yomi Agunbiade (see “Bilking the Links,” page 22). And there are ongoing fears that the city intends to privatize its popular Camp Mather vacation spot, something the RPD studied a few years ago and Sup. Jake McGoldrick has fought and highlighted.

Rec and Park has identified $37 million in needs at Camp Mather — the product of a private study the agency has been unable to fully explain to the public (see “From Cabin to Castle,” 4/4/07) — but left Camp Mather off a big bond measure planned for February 2008.

“They say $37 million you need up here, and how much you got in there for the ballot measure? Zip, zero,” McGoldrick told the Guardian. “It’s a familiar pattern: you underfund the hell out of something, and then you turn around and say, ‘We, the public sector, cannot handle taking care of this.'<0x2009>”

Rec and Park spokesperson Rose Dennis denies there are plans to privatize Camp Mather or that its omission from the bond measure is telling. “Many people disagreed — including you — with the funding needs and whether we could back it up,” she explained as the reason for its omission from the bond measure.

In his Oct. 1 endorsement interview with the Guardian, Newsom said, “We actually made some commitments just this last week with Sup. McGoldrick to help support his efforts, because he’s very protective of Camp Mather, and I appreciate his leadership on this, to help resource some of the needs up there without privatizing, without moving in accordance with your fears.”

And while Newsom said he hoped to avoiding privatizing Camp Mather, he refused to say he wouldn’t: “I’m not suggesting it’s off the table, because I’m not necessarily sure that the conditions that exist today will be conditions that exist tomorrow, and I will always be open to argument.”

But at least the Camp Mather and golf arguments have been happening mostly in public. That’s what voters intended in 1983 when they passed Proposition J, which requires public hearings, a staff study, and a vote by the Board of Supervisors before city services can be privatized. Yet over the past couple of years, there’s been an effort to quietly shift operations at a half-dozen rec centers away from city programs and toward private nonprofits.

It’s called Rec Connect. Its supporters bill it as an innovative effort to bring much-needed recreation programs to underserved, low-income neighborhoods. “This is a pilot program to see if a collaboration between a community-based organization and a rec center yields a richer program and a more engaged community,” said Margaret Brodkin, director of the Department of Children, Youth and Their Families, which created the program and oversees that and other uses of the city’s Children’s Fund.

But to members of the Service Employees International Union Local 1021 — which includes most city employees and has filed grievances challenging Rec Connect — the program is a sneaky attempt to have underpaid, privately funded workers take over services that should be provided by city employees, who are better paid, unionized, and accountable to the public.

“The city took funds from the city’s coffers and gave them to the Department of Children, Youth and [Their] Families,” Margot Reed, a work-site organizer for the union, told the Guardian. “DCYF is using these funds, through Rec Connect, to contract out to private nonprofits work that rec staff were doing for a quarter of the cost.”

Brodkin was the longtime director of Coleman Advocates for Children and Youth — a perpetual thorn in the side of City Hall and the author of the measure that set aside some property taxes to create the Children’s Fund — before Newsom hired her to head the DCYF. She sees her current role as a continuation of her last one, and she sees Rec Connect as an enhancement of needed services rather than a privatization.

“There is a commitment that no jobs would be lost. I’m a big supporter of the public sector,” Brodkin said, while acknowledging that the RPD is chronically underfunded. “I am certainly aware of the resources issue at Rec and Park…. I’d be a happy camper if the Rec and Park budget was doubled. But I’d still believe in this program and say it offers a richer experience.”

Rec Connect began in 2005 with a study that looked at unmet recreational needs and evaluated facilities that might be good places to bring in community-based organizations to offer specialized classes. The whole program was financed through a mix of public funds and grants from private foundations. The three-year pilot program started just over a year ago.

“The Rec Connects,” Newsom told the Guardian, “are a way of leveraging resources and getting more of our CBOs involved and using these great assets and facilities, instead of limiting use to the way things have been done.”

Rec Connect director Jo Mestelle denied that the initiative is a privatization attempt.

“Rec and Park brings the facilities, the sports, and traditional recreation. The CBOs bring the youth-development perspective and nontraditional programming,” Mestelle said. “Hopefully, together we build a community that includes youth-leadership groups and advisory councils.”

Few would dispute the need for more after-school or other youth programs, particularly in the violence-plagued Western Addition, where some of the Rec Connect centers are. But the means of providing these programs is something new for San Francisco, starting with the fact that even though Mestelle works in the DCYF office, her salary is paid for entirely by private foundations.

That relationship and those funders aren’t posted anywhere or immediately available to the public, but Brodkin agreed to provide them to the Guardian. They include the Hellman Family Philanthropic Foundation ($50,000), the Hearst Foundation ($50,000), the San Francisco Foundation ($128,000), the Haas Foundation ($100,000), and the SH Cowell Foundation ($150,000).

Brodkin and Mestelle characterized those foundations as fairly unimpeachable, and Brodkin defended the arrangement as part of a national trend: “The thing that’s odd about SEIU’s perspective is this is happening all over.”

That’s precisely the point, SEIU’s Robert Haaland says.

“It’s been a strategy since the ’70s to, as [conservative activist] Grover Norquist calls it, ‘starve the beast,'<0x2009>” or defund government programs, Haaland said. “On a national level there is a lot going on that impacts us locally.”

Minutes from a recent Recreation and Park Commission meeting confirm that rec center directors have only about $1,000 each year to cover the cost of buying basketballs, team jerseys, referee whistles, and other basic sports and safety supplies. The SEIU grievance also notes that recreation staff positions have decreased by a third just as senior management positions increased by a third.

“We don’t have enough dollars for $20-an-hour rec center staff who are directly responsible for the kids and are well known to the community. We believe kids deserve great coaches, consistency, longevity, and commitment,” Reed said.

SEIU Local 1021 chapter president Larry McNesby is also the Rec and Park manager who oversees Palega Park, one of the Rec Connect sites. He told the Guardian that while his rec directors are “under pressure from the mayor to show him numbers of people that they are serving,” Rec and Park’s new online registration fails to reflect the “hundreds of drop-ins” that rec staff serve on a daily basis.

But he said the department has been set up to fail by chronic underfunding.

“I’d love Rec Connect and DCYF to be on a level playing field, because my directors could out-recreate theirs any day,” McNesby said. “You can’t just eliminate our jobs and replace them with someone who makes just above minimum wage.”

Actually, Brodkin and Mestelle note that negotiations with SEIU over Rec Connect have resulted in a guarantee that no jobs will be replaced and an agreement by the city as to 250 different tasks that the Rec Connect CBOs can’t perform. Still, they say the program brings innovation to a stagnant city agency.

“Before Rec Connect the rec centers always had a Ping-Pong table and some board games, but some of them were really poor, many were tired looking, none had computers or Internet. So we’ve had to think outside the box. Rec [and] Park is a big department, and it’s not always efficient,” Mestelle said.

Public records show that in 2006, the DCYF, whose primary function is to administer grants, sent $1 million in public money to Rec Connect from the Children’s Trust Fund, a pool of cash the city gathers each year by levying 3¢ per dollar of property tax.

Both Rec Connect and city workers stress the importance of offering a range of good programs to young people. “Our work is at a more social level,” McNesby says. “Every minute a kid spends in a rec center is a minute they’re not breaking into a car or victimizing someone or being victimized.”

The question is who should provide those programs. “It’s society’s value system that controls where the money goes,” Rec and Park spokesperson Dennis said. “It’s a really provocative discussion. There are some very compelling trade-offs argued in convincing fashion by intelligent people on both sides. These aren’t easy decisions.”

But the union people say that when it comes to Rec Connect, that discussion isn’t happening in public forums in a forthright way. As Reed said, “Gavin Newsom never went to the voters and said, ‘Here’s what we want to do: cut the rec staff and bring in private nonprofits.'”

Green City: Meeting the Climate Challenge

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GREEN CITY It is easy to become discouraged by environmental problems, but a few San Franciscans are reminding us that we have collective power to make positive change. And we might even have a little fun along the way.

Paul Scott came up with the idea of the San Francisco Climate Challenge, a citywide contest to reduce household energy consumption. Scott is a lawyer and founding member of One Atmosphere — a nonprofit created by North Beach neighbors concerned with sustainability and conservation. "I think a lot of folks are concerned about climate change, but frustrated by the seeming inaction by the government to solve the problem," Scott told the Guardian. "The purpose of the San Francisco Climate Challenge is to give people something they can do right now."

A joint project by One Atmosphere, the Sierra Club, and SF Environment, the Climate Challenge officially starts Oct. 25 and registration ends the day before. Two top prizes of $5,000 (cash!) will be awarded for greatest overall energy savings and greatest percentage reduction in energy use. Winners will be determined by comparing last November’s Pacific Gas and Electric Co. bill with this November’s bill, so participants must pay their own utility bill and have lived in their current home — apartment, condo, or house — for at least a year.

Private residences account for about 20 percent of San Francisco’s carbon emissions, so the SF Climate Challenge is specifically focused on reducing household emissions. "Hopefully, this contest will increase people’s awareness of what they can do and the environmental damage done by normal activities," said Jonathan Weiner of One Atmosphere. "Simple changes can have significant impacts."

And what are some of these simple changes to make at home? Turn off lights when you leave a room, replace incandescent lightbulbs with compact fluorescents, wear a sweater instead of turning up the heat. And something that people often forget is that appliances use energy even when they’re turned off. So plug your television and stereo into a power strip and, when you’re done watching TV or listening to music, turn that power strip off.

"Eliminating unnecessary, wasteful use and being more efficient with the energy we do use is important," said Aaron Israel of the Sierra Club’s San Francisco chapter. "But you don’t have to eat in the dark or live like a monk. There are very easy things you can do if you’re just a little bit more aware."

Contest participants can sign up for the Climate Challenge as individuals or teams. So far, there teams have been created by neighborhoods, social groups, and sports teams. Even the Board of Supervisors has formed a team, with supervisors Michela Alioto-Pier, Aaron Peskin, and Sean Elsbernd already committed to participating. Word on the street is that even the Mayor’s Office may compile a team.

The Climate Challenge is also about building community. "This is an initiative to bring together a bunch of folks around how we, as residents in the city, can do things differently," said Mark Miller of One Atmosphere. "The more we see how we’re connected, the more we see how much we affect each other."

Making simple, painless changes at home is a great place to start taking responsibility for the health of our communities, city, and planet. Hopefully, the San Francisco Climate Challenge will inspire people to think about the environment in terms of the positive changes we can make instead of the overwhelming problems we feel helpless to fix.

"We need to paint a vision of our own lives that is better in the future than it is right now, so we are all motivated to take action," said Cal Broomhead of SF Environment. "How can we transform our neighborhoods so they’re more sustainable? We have collective power to make change."

To register for the San Francisco Climate Challenge, or to see a list of sponsors, prizes, and energy-saving tips, go to www.sfclimatechallenge.org. Or attend this upcoming event to learn more: ClimatePalooza, Fri/Oct. 19, 7 p.m., $12 or free with sign up for the SF Climate Challenge, at the Swedish American Hall, 2170 Market, SF. Live music by Ryan Auffenberg, Hyim, Valerie Orth, Sheldon Petersen, and Pixie Kitchen. Call (415) 861-5016 for more information. *

Comments, ideas, and submissions for Green City, the Guardian‘s weekly environmental column, can be sent to news@sfbg.com.

41st Anniversary Special: Connect the Connects

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› steve@sfbg.com

Mayor Gavin Newsom has created an entirely new branch of city government that is private, funded by undisclosed corporate donations, staffed by volunteers who are often city employees or his campaign donors, and unaccountable to any internal controls or outside scrutiny.

Yet rather than being a cause for concern, Newsom has touted San Francisco Connect and its four subprograms — Project Homeless Connect, Tech Connect, Green Connect, and Project Children and Families Connect — as his proudest achievement, a model he is actively exporting to other cities.

According to its Web site, "The mission of SF Connect is to mobilize residents and sectors for a stronger San Francisco. SF Connect is about engaged residents volunteering their talent and time for the City, as well as innovative partnerships between the private, public, and social [nonprofit] sectors."

Green Connect (and "partners" that include Pacific Gas and Electric Co. and Oracle), does cleanup and tree planting. Tech Connect (and partners Netgear.com and Hewlett Packard) works on "digital inclusion." And Project Homeless Connect (Gap, Visa, AT&T, Blue Shield, IBM, the Hotel Council, and Charles Schwab among its partners) does homeless outreach events.

During his endorsement interview with the Guardian, we asked Newsom about the programs and how they allow the private sector to take a more active role in delivering public services on behalf of city government, sometimes with the help of public resources. Is that a model he likes?

"Oh, you’d better believe that!" Newsom said. "Am I for actual responsibility and civic service and duty? You’d better believe it. I think it should be mandated for everyone who graduates from our public education system. I think they should be forced to give back and contribute in community service. What the Connects are all about is community service and connecting the dots. The Rec Connects, which may be what you’re referring to, is a way of leveraging resources and getting more of our [community-based organizations] involved."

All of those involved with SF Connect also seem to sing its praises. But there’s another side to Newsom’s feel-good approach to delivering public services: they often displace social services delivered by qualified providers, supplement underfunded city services with private providers rather than simply fixing and funding them, provide wedges for corporations to take over public spheres (as the Google-EarthLink wi-fi deal through Tech Connect very nearly did), and allow corporations to buy influence with unregulated contributions to a politician’s pet program.

"If you look at the ways of privatizing, volunteering is one, and it sounds nice," said Margot Reed, an organizer with Service Employees International Union Local 1021.

Yet that volunteerism sometimes replaces services that previously were provided by government or nonprofit agencies whose contracts and performance could be scrutinized. But Newsom’s approach through SF Connect doesn’t allow that kind of transparency.

To illustrate the problem, the Guardian made a Sunshine Ordinance records request to the Mayor’s Office, asking for a complete breakdown of the budgets of all the Connect programs. The office refused to provide the information, referring us instead to SF Connect, but that organization has a history of refusing to provide the Guardian and other media organizations with its budget and donor lists.

Last year the San Francisco Chronicle fought the Newsom administration for two months to get it to reveal the donor list, finally winning the release of the names of donors who had agreed to be disclosed (some asked for their money to be returned instead). SF Connect’s donors included PG&E, which gave $25,000; Google investor Ron Conway, who gave $100,000; Wells Fargo Bank, which gave $20,000; and Carmen Policy (the former 49ers top dog who was recently named to push a June ballot measure on a new stadium that Newsom wants to build), who gave $2,500. Other donors included Newsom appointees, contributors, and companies that do business with the city.

When we tried to get a current list of donors, staffers didn’t respond to Guardian phone calls or e-mails.

We also asked Newsom’s office for a complete breakdown of city staff time, money, and other resources that have gone into supporting the Connect programs, knowing that city staff have been involved in their events and e-mails have gone out from city offices.

"There is no line item in any budgets nor any reporting within our office on time spent coordinating with SF Connect," Joe Arellano from the Mayor’s Office of Communications responded by e-mail after repeated requests for answers.

That’s probably because there seems to be no clear line drawn between where the private SF Connect ends and where the public-sector Mayor’s Office begins. Call the phone number on the San Francisco Connect Web site for Project Homeless Connect, and it rings at the desk of Judith Crane in the Department of Public Health.

Even getting a list of privatization proposals by Newsom hasn’t been easy. The Mayor’s Office cited technical inadequacies when we asked it to search all of Newsom’s speeches, press releases, e-mails, and other documents for the words "public-private partnership," a favorite Newsom phrase.

We know that he’s unsuccessfully sought to privatize jail health services, security at the Asian Art Museum, and the city’s golf courses (see "Bilking the Links," page 22) and to create a citywide wireless Internet system run by Google and EarthLink.

But ask Newsom about it, as we did, and you’ll hear his semantic gymnastics: "Privatization is failing, so I’m not pro-privatization. I don’t look to privatize. I look for ways to manage more creatively and more efficiently."

41st Anniversary Special: Bus stop

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› gwschulz@sfbg.com

There’s a money room in the basement of 1 South Van Ness, where the Municipal Transportation Agency, which operates Muni, is headquartered. Workers literally count by hand bags of cash and coins taken in as fares from passengers throughout the day.

When Muni recently needed to pull some of those unionized bean counters away from the money room to staff kiosks around the city where transit passes are sold, its managers hoped to replace them with workers from a private contracting outfit.

The plan unsettled the Service Employees International Union Local 1021, which persuaded Muni against the idea and instead encouraged it to create 10 new full-time city positions to cover the work that was needed. But the MTA’s immediate turn to the private sector is telling.

Powerful local unions would no doubt fight it, but public-transit consultants working with the city have insisted that the outright privatization of San Francisco’s municipal transit system is worth consideration. Advisors to the Transit Effectiveness Project, first unveiled by Mayor Gavin Newsom during a 2006 speech, insist nothing is too controversial for debate.

"There’s nothing we’ve been told to take off the table," a consultant hired by the city told the San Francisco Chronicle late last year.

The Transit Effectiveness Project’s final recommendations are expected next year, when it’s likely Newsom will be starting his second and final term. Big segments of Muni have already been privatized over the years. In fact, Controller’s Office records show the MTA has privatized far more formerly public services over the past two decades than any other city department by far.

In 1983 voters passed Proposition J, authorizing the city to contract out services performed by city workers who’d passed civil service exams to prove their skills as long as the Board of Supervisors passed a resolution certifying a cost savings. The MTA issued $46.5 million worth of private contracts last year covering 689 positions, according to figures maintained by the Controller’s Office.

Muni has used private security guards since 1975, and 400 private workers handle paratransit services, which aid the disabled. Towing, janitorial, meter-collection, and citation-information services have all been privatized. In total, the MTA’s purported cost saving is as much as $20 million per year.

But that’s a sliver of MTA’s $680 million budget, and there are perennial fears of more privatization pushes. This fall’s Muni reform measure, Proposition A, nearly went to the ballot with language that could have allowed millions of dollars in new privatized work at Muni without review from civil service commissioners, but it was removed at the insistence of labor leaders.

San Diego privatized many of its transit services in the ’80s, gradually contracting out services as public employees retired. By last year about half of San Diego’s bus routes were managed by three private contractors, including Violia, an Illinois company that also runs Muni’s paratransit services. Labor leaders say service in San Diego suffered under privatization, and they oppose similar changes here.

"Whenever you contract out a department, whenever you let go of control, then you don’t have control of the product," Cristal Java, an organizer for SEIU Local 1021, told the Guardian.

Prop. A’s language was changed to preserve union jobs if new routes and lines are introduced that may otherwise have been susceptible to privatization, but there are no assurances that city officials won’t eventually point to Muni’s widely bemoaned system deficiencies and claim that further contracting out is necessary.

"We see the same operational problems, and hiring new full-time, permanent people is a way to deal with it instead of contracting out," Java said. "The unions, allies, and MTA got together to make Prop. A something that worked for everyone."

41st Anniversary Special: Privatize the airport?

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› gwshulz@sfbg.com

In August 2006 the five commissioners who oversee San Francisco International Airport discussed renewing a small contract with a consulting outfit called John F. Brown Co.

The contract’s value doesn’t matter as much as the advice the outfit was giving. Brown is helping San Francisco prepare for 2011, when an agreement SFO maintains with several airlines is set to expire.

This, the folks at the airport realize, is a very big deal — one that could cost the city hundreds of millions of dollars and tempt city officials to try to privatize one of San Francisco’s most lucrative assets.

The contract that will expire four years from now is basically a lease the airlines pay in exchange for using SFO facilities like runways and terminals. The agreement was established in 1981 as part of a legal settlement with the airlines, and it permits the city to draw millions of dollars in concession revenue from the airport into San Francisco’s General Fund. Last year the city received nearly $22 million from the airport.

But San Francisco is one of the few cities in the nation that are allowed to take money that the airlines pay for landing and use it to subsidize other city services. And the airlines have shown little desire to keep paying fees that are above what the airport needs to break even on its operations.

Nobody is talking publicly about what will happen after 2011, but it’s entirely possible that the airlines, with the support of the federal government, will refuse to keep subsidizing San Francisco’s General Fund. So $22 million per year in city revenue could suddenly dry up.

If the mayor is someone like Gavin Newsom, he or she will be looking for an easy answer — and a lot of people will argue that San Francisco should follow the trend set by airports in Chicago, Indianapolis, and Pittsburgh and head toward a private management contract.

The Reason Foundation, a libertarian Los Angeles think tank, concluded in the 1990s that SFO could be worth as much as $888 million to the private sector; that number is almost certainly higher now. Imagine, for a moment, the deal the city would be offered: lose $22 million per year in revenue — or get close to $1 billion in cash by turning over the airport to a private operator on a long-term contract.

But the airport’s past experiments with privatization suggest that giving SFO to the private sector might not be such a good idea.

In 2001, Congress created a pilot program in which five cities, San Francisco among them, privatized their security screening of passenger, checkpoint, and baggage operations. Federal airport officials here hired Illinois company Covenant Aviation Security.

An investigation last year revealed that Covenant and SFO officials relying on surveillance cameras conspired to tip off personnel working at checkpoints when undercover federal inspectors were on their way to test possible security breaches.

A whistle-blower first revealed the scheme. Covenant, which partnered in the security venture with global weapons designer Lockheed Martin, was nonetheless rehired by the federal Transportation Security Administration late last year with a $314 million contract lasting until 2010, signed just weeks after an inspector general for the TSA’s parent bureaucracy, the Department of Homeland Security, revealed the results of its probe.

What is perhaps the airport’s greatest privatization disaster began in 1997 and didn’t end until earlier this year. Managers at the airport formed a private, for-profit company called SFO Enterprises, which they hoped would join a consortium of other airports doing consulting and managing work around the world. The initial consulting contract was with a Honduran airport.

The plan turned into a disaster, leaving the airport in Honduras worse off. By the time San Francisco’s controller caught up with the scheme in an investigation completed in January, he declared the city could lose as much as $1.5 million, with much of it poorly accounted for.

Editor’s Notes

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› tredmond@sfbg.com

These are some of the things that Mayor Gavin Newsom has moved to turn over to the private sector in the past four years:

Housing for the mentally ill

Public golf courses

Camp Mather

The entire city broadband infrastructure

The city’s new power plants

Homeless outreach

Environmental cleanup

Recreation programs

Jail health services

Security guards at public institutions

Development of tidal energy

Reconstruction of public housing

And, of course, Pacific Gas and Electric Co. still controls the city’s power grid (illegally).

Yet when we talked to the mayor about privatization recently, he told us he’s generally against it. "Privatization is failing," he said. "So I’m not pro-privatization. I don’t look to privatize."

What’s going on here?

Well, for starters, the mayor isn’t being entirely candid. Newsom’s administration has been moving aggressively to adopt programs with names like "public-private partnerships" to take over jobs that ought to be in the public sector. Even when there’s something that is clearly the job of government — like building the information highway that will be more important than roads and bridges in the future — the mayor tries first to get the private sector to do it. "I look for ways to manage more creatively and more efficiently," Newsom said.

That’s in part because, for all his talk of bold initiatives, the mayor is a timid chief executive. At a time when politicians of all stripes around the nation are afraid to talk about tax hikes, afraid to talk about the value of the public sector, afraid to do anything that might remind people that Ronald Reagan was wrong, letting the private sector take the lead is easy and painless. As Sup. Jake McGoldrick told us, "I suspect that [Newsom] succumbs to the path of least resistance there because of the tremendous amount of pressure that the private sector puts on trying to gain control over public assets."

It would take a fair amount of effort and public money to keep, say, the golf courses under city control. Giving them to a private company is easy. Maybe the courses ought to be turned into soccer fields; that costs money too. Perhaps the easiest thing is to let the Fisher family, of Gap fame and fortune, pay for it (the way the family paid for the new playing surface at Garfield) — and then put up big "Gap Field" signs with blue jean ads, let the Fishers hold private parties there on Sundays, or charge admission … or something else "creative and efficient."

That’s how it works these days: instead of taxing the rich and spreading the benefits around through a democratic system, we let the rich set the agenda. If Don Fisher’s willing to pay for new soccer fields, then we get new fields. Maybe he (or some other private outfit) wants to save the golf courses; OK, we’ll do that instead.

Newsom isn’t Reagan or Grover Norquist; he’s not a rabid ideological promoter of privatization. He’s just a tame elected official who won’t stand up and fight, who won’t make it clear that San Francisco isn’t for sale, who won’t put his immense political capital on the line to preserve the public sector for the public. And for that, he is a failure.