Supervisors

The Rainy Day Fund — a better way?

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By Tim Redmond

I get the concerns about Sup. Chris Daly’s proposal to amend the city’s Rainy Day Fund. But in the end, there’s probably a way to make it work that’s better than a lot of unpleasant alternatives.

The Rainy Day Fund was Tom Ammiano’s gift to San Francisco, a brilliant piece of legislation that has saved the public schools and will save hundreds of jobs and critical public services this year. The bill ensures that the city sets aside some of its money in good years, so there’s something to draw on in really bad times.

And these are really bad times.

Last year, money from the Rainy Day Fund saved the school district from laying off hundreds of teachers. In the wake of the governor’s assault on public education, the local schools will need another allocation to prevent this year’s disaster.

The way the bill works, the city can take up to half the money in the fund in dire times, and the schools can get up to 25%. That means there’s no temptation to raid all the money at one time.
If we hadn’t had the fund – and there were plenty of people who didn’t think it was a good idea when Ammiano introduced it – we’d be in way worse shape now.

What Daly wants to do – with the support of city employee unions – is amend the legislation to allow the supervisors, by majority vote, to take as much of the money as they need to preserve health and human services if the city’s deficit exceeds $250 million.

Ammiano is against that; he sees it as an attack on the idea of the fund, which is supposed to ease budget problems not just in one year but for the future as well. Sup. David Campos, who I respect and trust, is also against the Daly measure. “This year is bad, but next year is going to be bad, too,” he said.

And I get that, and I get that labor wants to preserve services (and jobs) right now, because once those jobs and services go away, it’s really hard to get them back.

So let’s recognize that both sides have a point, neither side is bad or evil, there are good progressives who disagree on this – and take a look at the numbers.

Fisher’s Folly at the Presidio

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By Tim Redmond

We won’t actually see what Don Fisher’s museum and monument to himself would look like until Sunday, or whenever John King of the Chronicle decides to tell us, since Fisher’s PR team released the drawings only to him.

That’s kinda sleazy and unfair; I hope King decides to utterly trash the design instead of deciding to (as Sfist suggests) pump his golden ejaculate over the museum plans for a glowing review.

But we do know this much: The Presidio Trust has released the basic outlines of what it wants to do with the Main Post area, and the Fisher museum (also known as CAMP, for Contemporary Art Museum Proposal) is very much a part of it. The 200,000-square foot museum, which would house all the modern art Fisher collected with the profits he made off the labor of child slaves in third-world sweatshops is supposed to be inoffensive because most of it will be underground and the roof will be green.

How special for us all.

The bottom line is that this particular land-use plan exists entirely because one very rich man asked the privatized Presidio board (of which was a founding member) to let him have a prime piece of real estate to house his masturbatory edifice. This thing doesn’t belong in a national park, where there is only limited public transit and where it will either be an expensive flop or will cause thousands of people to drive through a crowded neighborhood and into a park where people are hiking and riding their bikes. It’s about an inappropriate a use as you can imagine.

As the Presidio Trust Historical Association said in a press release I got this afternoon,

“We are very distressed by the Presidio Trust’s decision to promote the construction of a massive contemporary art museum, large hotel and theater in the heart of the National Historic Landmark District on the Presidio’s Main Post. The Trust has once again ignored the broad, nearly unanimous public opposition to its proposal.”

Fisher may have a little trouble here. The Trust board is appointed by the President, and there are several positions that open up this spring. If the Obama administration puts real environmentalists and preservationist on the board, they might look askance at Fisher’s Folly. (On the other hand, Obama will probably let Rep. Nancy Pelosi select the nominees, and she is not only close to Fisher, she’s the one who wrote the legislation privatizing the Presidio in the first place.)

The supervisors have passed a resolution calling on Fisher to build his museum in the city, somewhere, perhaps, near the other downtown museums, where there’s plenty of transit. Fisher won’t let MOMA (the logical curator of this kind of collection) touch it, because the folks there wouldn’t give The Don complete and utter control. But maybe he could build his personal monument nearby.

The foes of Fisher’s Folly want the city to do everything possible to encourage him to build downtown. If it looks like he’s going to get blocked at the Presidio, and we all smile nice and invite him to grace us with his artistic presence somewhere else within city limits, then we’ll get this grand museum AND save the Presidio. That’s fine, I guess – but frankly, when you’re dealing with Mr. Fisher, I prefer the stick to the carrot. Let’s fight him to the bitter end at the Presidio, and tell him if he wants to come downtown, we’ll allow him to look for a site with his own real estate brokers and submit a proposal to City Planning just like anyone else. No special favors for a guy who has done more to damage San Francisco in the past decade that just about anyone else alive.

Russoniello and Ryan in the cross hairs

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Text by Sarah Phelan.

As the city searches for a new police chief, the Board of Supervisors is intensifying efforts to oust the US Attorney for Northern California, Joseph Russoniello, and the former US Attorney for Northern California, Kevin Ryan, who is currently Mayor Gavin Newsom’s top crime advisor, and replace them with folks more in tune with San Francisco values.

Ryan and Russoniello, who were both appointed a year ago, have come under increasing scrutiny since July, when the mayor ordered the city to report undocumented youth to federal authorities the minute these youth are arrested on suspicion of committing a felony.

Immigrant rights groups nationwide have decried Newsom’s decision as robbing youth of their right to due process. But, city insiders say Newsom is refusing to reopen the conversation, in face of a Grand Jury investigation that Russoniello convened. Russoniello has claimed that the city’s previous policy direction, which included flying Honduran youth back to their families, was tantamount to harboring and thus was a violation of federal law.

At last Tuesday’s Board meeting, Sups. David Campos, John Avalos, Chris Daly, Eric Mar, Ross Mirkarimi and Board President David Chiu introduced a resolution urging President Barack Obama and Senators Barbara Boxer and Dianne Feinstein to appoint a new U.S. Attorney for the Northern District of California.

The resolution cites five examples that “highlight Mr. Russoniello’s questionable judgment,” and states that the Board “recognizes the importance of having a U.S. Attorney that understands San Francisco’s diversity, values and commitment to equal justice, especially as s/he works closely with the City’s law enforcement agencies on public safety measures. The resolution also observes that the Board “has a duty to safeguard the well being of its residents and ensure their equal protection.”

The next night, Campos, who came from Guatemala to this country at age 14 as an undocumented immigrant, joined speakers at an immigrant rights forum that denounced recent changes in the sanctuary city ordinance, called for the ouster of Kevin Ryan and expressed disappointment that Newsom did not attend the forum.

“I understand Newsom sent a representative and I appreciate that, but for a lot of people it would have meant a lot if the mayor had attended himself,” Campos told the Guardian.

With the heat on Newsom locally and statewide—many voters in the upcoming gubernatorial race are of immigrant descent and/or have undocumented relatives here—will the mayor meet community members face to face? Or is he afraid of alienating the powerful Police Officers Association and losing vital campaign contributions?

Mayoral spokesperson Nathan Ballard reportedly told the Chronicle that, “the mayor supports Ryan but ‘is willing and eager to listen to feedback from the community.”

Asked if the Mayor has scheduled a meeting yet, Campos told the Guardian, “Newsom has said he wants to meet with me and members of the community, so until I hear otherwise, I will believe that is what is going to happen.”

Stay tuned.

It’s a rainy day – today

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OPINION As San Francisco’s health and human services face unprecedented loss of funding under Mayor Gavin Newsom’s glaringly disproportionate budget cuts, forcing layoffs of city and nonprofit health care workers who work on the frontlines of a strained system, now is the time when the moral implications of budget decisions mean the most.

The midyear cuts alone have eliminated HIV/AIDS services for an estimated 2,660 San Franciscans. Many core health service programs are wrestling with the reality of closing their doors entirely when the next round of cuts arrives in June. As the city scrambles to come up with any and all possible solutions, Supervisor Chris Daly has introduced an amendment to the Rainy Day Fund that would offer up a much-needed safety net for San Francisco’s vital services.

Currently, San Francisco’s Rainy Day Fund contains a provisional trigger focused on protecting the San Francisco Unified School District during tough times. When the Controller’s Office identifies the need and pulls the trigger, Rainy Day Funds can be appropriated at the discretion of the mayor and the Board of Supervisors to offset the costs of maintaining education during the upcoming budget year.

Daly’s clause, which would take effect in years when the city’s deficit exceeds $250 million, would provide a similar safeguard to public health and human services, services that are no less critical than education but tend to bear the brunt of budget cuts during challenging economic times.

Some have argued that we should save this money for the (perpetual) "next year," with the timeless hypothetical that it could get worse. Yet for those who may lose their lives this year because of colossal cuts to vital services, this argument offers little consolation, and in fact begs the question of how we define a rainy day to begin with. While city workers are being asked to cut salaries and business leaders are being asked to support new revenue, now is the time to reach into our reserves to protect the programs that protect lives.

San Francisco’s HIV/AIDS services have become, in many ways, models for the rest of the country, yet the years of battling for and finessing of these services seem to be taken for granted as we brace ourselves for the possibility of losing them overnight. Strained as our safety net may be, it still provides much of the best care available for those at risk of or living with HIV/AIDS, and in these complex budget discussions, we have yet to hear a consideration of what it would cost to reconstruct such a landscape of services.

Finding solutions to this year’s budget crisis will not be easy. It will require a complex solution, and even with givebacks by city workers and even with new revenue, there will be significant cuts to programs. We need to think about all of the possibilities and understand that it will take extraordinary measures to protect a model health care system. Now is the time when San Franciscans need access to their safety net. Today is a rainy day, and baby, it’s cold outside.

Stephany Joy Ashley is on the steering committee for the Coalition to Save Public Health, an executive board member of the Harvey Milk LGBT Democratic Club, and the harm reduction coordinator of the St. James Infirmary.

Losing the tax argument

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EDITORIAL The lead topic on the local cable TV show City Desk News Hour Feb. 21 was the state budget, and a panel of local reporters were talking about the mix of tax increases and service cuts the Legislature finally passed. After a bit of back and forth, Scott Shafer, host of KQED’s California Report, piped up. "Everyone knows it’s a bad idea to raise taxes in a recession," he said.

Shafer, who was a press secretary to former Mayor Art Agnos, is hardly a conservative commentator. In fact, at the risk of damaging his credentials as an unbiased reporter, we might even call him a liberal. And to judge from the response of most of the panel, nothing he said was particularly controversial. Sure, raising taxes in a recession is bad; so is cancer, and violent crime. Next question.

But that’s not just a limited viewpoint — it’s factually inaccurate. Raising taxes during a recession can be an excellent economic idea, if it’s done right. Because the one thing almost every credible economist outside of the far-right intellectual swampland agrees on these days is that cutting government spending during a recession is a terrible idea — and if the only way to keep the public sector jobs, the social services, and the welfare payments going is to raise taxes, then raising taxes on those who can afford to pay is not only good politics, it’s good policy.

And it’s infuriating that this point seems to have dropped out of the mainstream of debate. That’s a major failure of the Democratic leadership, in California and nationwide.

Historians can argue forever about the direct impact the New Deal had on ending the Great Depression. But it’s pretty clear that what Nobel Prize winning economist Paul Krugman calls the great jobs program of World War II turned the American economy around. And during World War II, tax rates, particularly on the wealthiest individuals and corporations, were exceptionally high. The top marginal income tax rate exceeded 80 percent. Corporations that made more than a modest return paid a high excess-profits tax. The high income tax rates on the richest Americans remained through the postwar boom era, a time when inequality declined and overall wealth grew.

That money went into the public sector, not just for the war but for retooling and rebuilding U.S. industry. High taxes on the rich paid for the interstate highway system, the University of California system, the California Water Project, the birth of the Internet. It took almost half a century for the Republicans and no-taxers to wreck the economic gains of that high-tax era.

And yet, despite all the consistent, clear evidence, we still hear the news media, the commentators, and even liberal Democrats saying that tax cuts are good for the economy and tax hikes are bad.

What we’ve got here is failure to communicate.

One of the most important goals of the next year or two, under the Obama administration, is to change the national debate over public and private priorities. That won’t be easy. President Obama has started off in the right direction, although the Republicans forced him to include several hundred billion in wasteful tax cuts in his stimulus bill. The tax hikes in the state budget plan are almost entirely regressive (sales taxes and a flat increase in the income tax.)

Here in California, and here in San Francisco, elected officials who claim to represent the Democratic Party’s future need to stop mouthing the old Republican line. None of the Democratic candidates for governor, including Mayor Gavin Newsom, have been our front about the need for more government spending, even if it means higher taxes on the wealthy (say, a business tax that hits harder on the biggest and less so on the small). In fact, Newsom has taken the opposite line, writing in a Feb. 13 San Francisco Chronicle op-ed piece that "we have to reduce spending." The San Francisco supervisors are at least talking about new revenue sources, but polls show that will be a hard sell.

Why do the polls show that? Because people like Newsom — and to some extent, the supervisors — aren’t using their bully pulpits to change the tone of the discussion, to make the case for economic sanity, to challenge the demented wisdom that’s brought us to this nightmare.

That has to change, now, or there will be no way out. *

Editor’s Notes

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› Tredmond@sfbg.com

You’d think Gavin and Jennifer were the king and queen or something, or that the San Francisco Examiner had turned into People magazine, to see all the fuss about the First Baby. Seriously, the Ex devoted a full two-page spread to the kid, who isn’t even past the first trimester. Sample baby names, a composite photo of what His or Her Little Highness might look like, an entire story on the political implications of fatherhood (hint: family photos look great in campaign mailers) … it’s not as if it’s been a slow news week.

Does anybody really care that much if a married couple decides to procreate? Jesus, when Willie Brown was mayor and impregnated his fundraiser, who was about 30 years younger than he was, it was a collective civic "whatever."

The mayor doesn’t typically take my phone calls (imagine that) so I passed along my best wishes through his press secretary, Nathan Ballard, who doesn’t take my phone calls, either, but does occasionally deign to respond to my e-mail. I don’t know if he got that one, since he never wrote back, so perhaps I’ll just say it again, in public:

Congratulations, folks. It’s a wonderful and crazy world out there, being working parents with busy careers and raising a kid. I hope you never need all the family services you’re about to cut.

Cloth diapers are much more ecological, but that absorbent stuff they use to make the disposables is so incredibly cool that you just want to take them apart with a scissors and pour colored water on them just to see how they expand. (Trust me, things like this will become fascinating at 5 a.m. when you’ve been up all night.) A tiny little square of that stuff sucks up about 50 times its weight in liquid. It’s one of the great inventions of the 20th century.

When the kid’s a little older, you can ride the Muni trains. That’s what my son and I used to do every weekend. You come to appreciate Muni as performance art. It doesn’t really matter when the train shows up or how slowly it moves; you aren’t going anywhere anyway. And you’ll meet all kinds of people who will give you all kinds of tips about child-rearing, and maybe a few about how to run San Francisco. And it only cost $1.50; kids still ride free.

Then it’s time to send your kid to public schools.

I get a lot of shit when I talk about this; my blog post complaining about the Obamas choosing a private school got all sorts of comments from all over the country, every single one of them negative. But I soldier on: elected officials should send their kids to public schools. If the San Francisco schools aren’t good enough for the mayor’s kid, then the mayor needs to be working harder to fix them. I know it’s none of my business, and that you have to do what you think is right for your own child and all that, but … if the mayor, or the president, or the school superintendent, or the school board members, or the supervisors choose private schools, then they’re saying that public education is good enough for the poor kids, but not for their own.

Hell of a statement, huh Gavin?

San Francisco has some great public schools, and I suspect you can figure out the admissions process. Or just gimme a call. I’ll pass along some tips.


No service area

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› Rebeccab@sfbg.com

A little less than an hour before the Tenderloin Health Resource Community Center is scheduled to open for the afternoon, a line forms outside and stretches down Leavenworth Street. If they arrive early enough at this drop-in center for the chronically homeless, people can get health services or be put on a list for a bed in a homeless shelter. For many, the drop-in center is simply a place to use the bathroom, have a snack, or take refuge from the street.

Once the doors have been unlocked, every seat inside the center is filled. Most clients are African American men. A few are in wheelchairs. One has a hacking cough. The atmosphere feels like a rundown waiting room at a doctor’s office, filled with dispirited patients. Standing quietly near the entrance is a security guard, dressed all in black with a pink mask covering her nose and mouth.

Tenderloin Health is contracted to provide services for 6,000 individual clients per year, according to Colm Hegarty, the organization’s director of resource development. In reality, it serves twice as many.

But it appears that the center’s days are numbered. Its initial city funding of $1 million a year was halved in 2008, Hegarty explained. In the latest round of deep budget cuts — dealt to address next year’s gaping budget deficit — the rest of its funded was eliminated.

While the decision hasn’t been finalized, Hegarty says, the center will likely have to close its doors for good June 30. It’s just one of many San Francisco health and human services programs that will be affected by looming budget cuts, which were mandated by Mayor Gavin Newsom to balance an unprecedented shortfall, projected at more than $500 million for the coming fiscal year, that was triggered by the economic downturn. Newsom, meanwhile, has twice vetoed legislation passed by the Board of Supervisors calling for a special election to ask voters to raise taxes to save programs such as this one.

For the clients of Tenderloin Health, just a stone’s throw from City Hall, the deep cuts have real-life consequences. "The question is going to become where will these people go?" Hegarty wonders.

Brendan Bailey, an occasional client at the drop-in center who says he’s currently staying in a shelter, echoed Hegarty’s concern. "I’d think that they would rather have them here than wandering the street," he said, gesturing toward the center’s crowded waiting room.

Jennifer Friedenbach, executive director of the Coalition on Homelessness, sounded a similar note at a recent Human Services Agency budget hearing, where it was announced that homeless shelters might also be shut during the day in an effort to save money.

"We were basically putting forth this idea that if they’re both going to close the Tenderloin Health and close the shelters during the day, it really ends up being a recipe for disaster in terms of people’s ability to get off the streets," Friedenbach said. "It just would be incredibly problematic … They need to be somewhere."

Another blow to homeless services are cuts to the Mission Neighborhood Resource Center, which operates a program that caters to homeless women. All told, Newsom wants 25 percent slashed from the Department of Human Services budget for the 2009-10 fiscal year. According to a list of proposed reductions presented to the San Francisco Human Services Commission Feb. 12, at least 62 staff positions will be eliminated. That figure doesn’t include layoffs that are taking effect in the next couple months as a response to the current year’s midyear budget adjustments.

Another eliminated component of human services is the agency’s Civil Rights Office, which consisted of two full-time staffers who were responsible for investigating complaints from clients who felt they had experienced some form of discrimination. When the Guardian contacted one of those staff members, she declined to comment but did acknowledge that her position had been written out of the budget.

Steve Bingham, an attorney with Bay Area Legal Aid, notes that state law actually requires the city to have a civil-rights mechanism in place. "The law doesn’t require that there be specific full-time people to do it. The law requires that somebody be designated and that certain work be done," he explained, adding that he’d been told the civil-rights responsibilities would now be shared among several staffers.

"I’m very disturbed that they’re basically going to divvy up responsibilities," he said. "We are constantly bringing to the attention of management in the department deficiencies that are essentially civil rights deficiencies. For example, somebody who just can’t process written information misses a meeting with a worker that he was informed about with a notice. Accommodation means that you figure out that that person needs a telephone call. If you miss a meeting with a worker, you get a notice that you’ve been terminated from benefits."

Human Services Agency executive director Trent Rohrer did not return repeated calls requesting comment about budget cuts.

Meanwhile, in the Department of Public Health, the consequences of deep budget cuts are already taking a heavy toll. Over Valentine’s Day weekend, 93 certified nursing assistants employed at Laguna Honda and SF General hospitals received pink slips, a blow that represents just one of several rounds of layoffs being administered in the wake of midyear budget cuts. (An earlier round, which included 19 CNAs, took effect Feb. 20.) The fallout from budget reductions for the 2009-10 fiscal year won’t take effect until May 1, according to Deputy Controller Monique Zmuda. Everyone the Guardian spoke with expects that round to be worse because there’s a much larger projected deficit.

Ed Kinchley, healthcare industry chair and executive board member of SEIU Local 1021, is employed as a social worker in SF General’s emergency room. He says the cuts have diminished the quality of service the hospital can provide. "Part of my job is trying to hook up the patients who are coming into the emergency room with services, and almost every week when I come into work, there’s some service we have had in the past that isn’t there anymore," he says.

"The biggest thing they’re doing is what we call ‘de-skilling,’" Kinchley continues. "For example, in the first round, they took 45 unit clerks — the clerical people who sit at the centralized desk and make sure the right labs get done and sent to the right place — and replaced them with clerks who don’t have any medical knowledge. That’s at the clinic where all the people go who are supposed to be getting quality care under Healthy San Francisco."

Reassignments are another issue, he says. When an African American nurse was reassigned, she was made to leave her post at a program that offered therapy for youth and adolescents that had suffered sexual abuse. Since many of those clients are African American, Kinchley points out, her removal diminishes the culturally competent service that was previously in place for these youth. Sometimes the new assignments shake up people’s lives: staffers in the process of completing nursing programs who were recently reassigned to completely different work hours, for instance, have had to abandon their studies because of the scheduling conflict.

The end result, in his opinion, is a decline in both the quantity and quality of service at SF General, even in the wake of voters approving a bond measure in the November election to borrow some $887 million to rebuild the facility.

"I have worked there since 1984," Kinchley says. "Right now, morale is lower than I’ve ever seen it."

As the cuts create ripple effects in the lives of health and human services staffers and the clients they serve, a City Hall fight over raising city revenue continues between the Board of Supervisors and the mayor. In the face of opposition from Newsom and the business community, the special election proposed for June 2 has been pushed back to late summer at the earliest.

"I firmly believe that moving forward precipitously with a special election not only puts the success of needed revenue measures at risk, but bypasses our responsibility for finding long-term and enduring budget solutions," Newsom wrote in a Feb. 13 veto letter to the Board of Supervisors.

Labor, meanwhile, continues to advocate for raising city revenues, saying it’s the only way to stave off cuts to the most critical services. A group called the Coalition to Save Public Health, comprised in part of SEIU members, will host a forum called State of the City: Budget Crisis Town Hall to discuss across-the-board cuts (See Alerts for details).

"If the voters of San Francisco are willing to vote for a tax increase — or even if they’re not — if they’re given the opportunity to vote for it, then they’re not going to hold that against [Newsom]," Kinchley says. "The initiative is coming from the Board of Supervisors anyway. All he needs to do is get out of the way."

New push to legalize drugs

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By Steven T. Jones

At a time when the recession is forcing tax increases and deep cuts in government spending — and when California is being ordered by federal judges to substantially reduce its prison population — this would seem to be the ideal moment to end the costly, wasteful war on drugs.
That’s the hope of Assembly member Tom Ammiano, who tells the Guardian that next week he will introduce legislation to decriminalize and tax marijuana, a move that might instantly turn a huge drain on the public treasury (at least $17 billion a year nationally, and closer to $50 billion once related costs are figured in) into what saves the state from financial ruin, given that pot is California’s number one cash crop.
“This is long overdue,” said Ammiano, who will work on the measure with John Vasconcellos, who represented the Silicon Valley in the Legislature for 38 years and was the last legislator to really carry the banner for legalizing marijuana. In fact, Ammiano says he’s basically reintroducing Vasconcellos’s bill from 2004, which went nowhere.
Meanwhile, another former member of the Board of Supervisors, Carol Ruth Silver, this week resigned as director of SF’s Prisoner Legal Services program out of frustration with the large number of nonviolent drug users in the San Francisco jail, joining a new Law Enforcement Against Prohibition campaign for the legalization of all drugs.
As she told the Guardian, “The jail is full of people who should not be there.”

The wheels come off

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› sarah@sfbg.com

Criticism of Mayor Gavin Newsom’s handling of the city’s budget crisis has intensified since the mayor refused to attend consensus-building sessions at City Hall, instead choosing to promote his gubernatorial bid and push a flawed "local economic stimulus package" that will only make the deficit larger.

The wheels began to come off Newsom’s public relations machine when news hit that Newsom refused to attend roundtables that board president David Chiu convened to discuss the city’s financial emergency. These meetings marked the first time business and labor leaders were brought together since the mayor announced the city’s $575 million deficit two months ago.

"I’ve asked the mayor to convene these meetings, but obviously that hasn’t happened," Chiu told the Guardian last week. "He has said he plans to convene them soon."

Insiders say Chiu was told that the mayor, his chief of staff, and his budget analyst will not attend the roundtables until a June special election is off the table, but that Newsom is open to considering revenue measures for a November election. As a compromise, Chiu proposed moving the election to late summer.

Mayoral spokesperson Nathan Ballard told the Guardian that the mayor has been holding a series of meetings with labor, business, elected officials, and community leaders on the budget, but Ballard hasn’t yet fulfilled the Guardian‘s Sunshine Ordinance request for details and documents connected to those meetings.

"Some of those meetings have included Supervisor Chiu and other supervisors," Ballard said. "However, the mayor is not scheduled to attend meetings about a summer special election to raise taxes, which he opposes."

That position places Newsom squarely with the business community, which continues to maintain that it is too early to develop revenue measures and that structural budget reforms should be considered first.

On Jan. 29, Steve Falk, executive director of the San Francisco Chamber of Commerce, wrote to Chiu that "Any action to call a special election without the specifics of proposed tax measures and Charter amendments would be premature and doomed to failure. City government can take steps that either help to stimulate a quick recovery or, through the wrong actions, extend the downturn by placing greater burdens on local employers."

But labor groups believe that revenue boosts are necessary if San Francisco is to weather the economic tsunami, and that it’s unreasonable to demand that their members give back millions in negotiated pay raises while forgoing revenue options. These concerns, attendees report, are publicly aired at Chiu’s roundtables, and Newsom’s refusal to participate has left city workers feeling alienated.

"He wants Labor to come to the table, but the problem is, his whole approach is all stick and no carrot, all doom and gloom and no hope that there is revenue on the horizon," SEIU Local 1021’s Robert Haaland told the Guardian.

Noting that labor anticipates 2,500 layoffs in the coming year, on top of the 400 city workers who were laid off this month, Haaland said, "Our people provide frontline services. This is about the wheels of government coming off."

Sup. Bevan Dufty, who participated in Chiu’s roundtables with Sups. John Avalos and Sean Elsbernd, praised Chiu for bringing together stakeholders, even as he extended hope that Newsom will assume the leadership role. "It always helps to have people face-to-face," Dufty said. "David primed the pump, got people to start talking. I’m looking forward to the mayor taking it to the next level."

Dufty said Newsom was "disappointed with the board’s override of his veto [of the June special election], doesn’t see a June election working, and doesn’t understand why the board is reluctant to let it go…. But from our point of view, it’s hard to ask employees to give back $90 million in negotiated benefits if they are going to be laid off in three months anyway."

Falk, who represents almost 2,000 local businesses, wrote that "The business community recognizes that a $500 million budget shortfall can only be bridged through a combination of reductions in the size of city government, program consolidations, work-rule reforms, and new fees and revenues. However, any solution must be the product of discussions with all affected parties at the table. To date, these meetings have not happened."

Chiu replied to that letter by inviting key business and labor groups to his Feb. 8 City Hall roundtable. Attendees report that a productive dialogue ensued, and two days later, when the board overturned Newsom’s veto of its special election legislation, the impacts of that first roundtable were palpable.

"I respect the mayor’s perspective, but I believe that by getting on with the election, less damage will be done," Chiu explained as the supervisors pushed ahead with their plans to hold a special election this summer.

Elsbernd opposed the election but expressed frustration with the current situation: "The city is facing a multi-year problem. People are missing the big picture here. I don’t want to be part of brokering a deal that is simply going to be a Band-Aid. Let’s fix the problems now. "

"You could tell the impact of Sean having sat in on the discussions," Dufty observed. "Instead of ‘Get over it, this is the way it’s going to be,’ he understands that we have to work together."

Falk told the Guardian that he found Chiu’s roundtable "very productive."

"Everyone is feeling the pain of this recession," Falk continued. "People are losing jobs, businesses are losing sales, which results in layoffs, which results in a bigger strain on the city’s services. It’s all connected."

But he also noted that a special election on taxes requires a two-thirds vote. "That is a very difficult hurdle," Falk noted, "which is why we have to consider all the pieces, and as we do, the more we realize that June is out of the question."

Chiu continues to reach out to his critics, countering arguments that a special election will cost $3.5 million — and will be impossible to do by summer — with the observation that, done right, it could result in $50 million to $100 million in additional revenues and thereby spare some vital jobs and programs.

"We’re facing a $565 million budget deficit, so if we can raise $100 million, we’ll still have to cut $465 million. But it would save us from making the most painful cuts," Chiu said, noting he would support pushing the election to no later than Aug. 31 "if there were more firm agreement on elements of a plan that must include structural reforms, layoffs and wage concessions, and new revenues."

But Ballard said, "The mayor doesn’t support more revenue without real reform," while promising that Newsom would shortly announce "new cost-saving reforms."

Unveiled the next morning, Feb. 11, during a mayor’s breakfast with business leaders, Newsom’s so-called local economic stimulus package included more spending on tourism marketing, targeted reduction in the payroll and property taxes, a $23 million interest-free revolving loan program for local businesses, and tax relief for Healthy San Francisco participants. The package, which must be approved by the board, would actually increase the city’s budget deficit.

Chiu says he is open to discussing most ideas in Newsom’s economic stimulus package, but that he’s concerned about widening the deficit, telling us, "That is why this needs to be done in the context of an overall revenue package and not in a vacuum."

Editor’s Notes

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› Tredmond@sfbg.com

Two noteworthy meetings took place in the past couple of weeks. One was led by David Chiu, the president of the Board of Supervisors, the other by Ryan Chamberlain, a downtown political consultant. Other than the sfbg.com politics blog, no local media have been paying much attention. But both ad hoc gatherings could have tremendous political significance.

Chiu was trying to solve the budget crisis, or at least get a handle on it. He called together the major stakeholders in the hope that some sort of consensus, or at least reluctant, unhappy common ground, could be found on the worst fiscal crisis in 80 years.

Chamberlain invited a group of downtown power brokers and moderate-to-conservative political candidates to try to map out a strategy to oust the progressives from control of the board in 2010.

If Chiu succeeds, and crafts a budget compromise that most of the competing interests can accept, it will be a huge victory for the freshman supervisor — and a big win for the progressives he’s aligned with. Governing — actually making tough choices in tough times and finding workable solutions — is much harder than simply leading the opposition. And if the left in this town can show that we can run things better than the Newsom camp, Chamberlain and his big-money crew won’t do much better in 2010 than they did in 2008.

Chamberlain’s group is looking for new approaches and new strategies, and they’ll focus on things like "quality of life" (read: homeless people on the streets). Chiu ought to be able to tell the downtown folks (who, interestingly, are probably going to both meetings) that the Newsom administration’s budget cuts are going to make the homeless problem way worse.

So all this political and policy debate is going on quietly in San Francisco. And what’s most interesting is that the person who should have the most at stake in both areas isn’t even at the table. He’s too busy running for governor.

Budget talks, without the mayor

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EDITORIAL The president of the San Francisco Board of Supervisors, David Chiu, is doing something Mayor Gavin Newsom should have done a long time ago. He’s putting the key stakeholders in the budget debate — labor, small business, downtown, nonprofits, etc. — in the same room and talking about solutions.

And while none of the participants want to talk publicly, it’s clear that all sides think they are making progress. The most likely outcome ought to be a winner for everyone: a special election, delayed until July, when the public can vote on some revenue measures that would blunt the awful impact of a half-billion dollar budget deficit.

For this to work, everyone is going to have to give up something. The city employee unions will have to be willing to reopen contracts and accept either reductions in raises or some layoffs. Some political leaders’ pet projects and highly paid patronage employees will have to go. Downtown will have to accept some new taxes on the wealthy; small business will have to stomach a sales tax. And the supervisors will have to hold hearings on and negotiate a budget this summer before they know for sure that the money will be there to pay the bills.

We have actively pushed for a June election, to make sure the money is there when the budget is approved — but July is a perfectly acceptable compromise. In fact, it has a certain amount of political synergy. The mayor will present a bloody, brutal, budget in May that includes devastating cuts to essential programs. The supervisors can then offer the voters a clear choice: accept those cuts — or vote to approve a package of revenue measures on a special election ballot.

The effort will be a whole lot easier if the mayor stops being such an obstructionist — and if his allies on the board are willing to join with what could be an emerging consensus. Under state law, any new taxes San Francisco enacts this year would require a two-thirds vote of the people — a tough threshold. But if the supervisors and the mayor agree unanimously to declare a budget emergency (and a deficit that equals half the discretionary money in the general fund is by any standards an emergency), then a simple majority can approve a tax hike.

So far the mayor has been almost entirely missing in action here. Although his press secretary, Nathan Ballard, told us the mayor has been meeting with budget stakeholders, that’s news to many of the people in Chiu’s group. Even business leaders, who in the past have been loyal to the mayor, are now openly criticizing his absence from the discussions. It’s crazy — Newsom is running around the state, working on his campaign for governor, while the work of keeping his city from a total meltdown is going on without him. Newsom absolutely must engage here, and start attending Chiu’s meetings. He’s been insisting he won’t support a June election, allegedly because there’s no broad coalition calling for it. But that coalition may be coming together to talk about an election in July — and Newsom isn’t even paying attention.

Meanwhile, three of the supervisors — Sean Elsbernd, Michela Alioto-Pier, and Carmen Chu — have also opposed a special election, and they’re going to have to change their tune. Even Republicans in the state Legislature — who signed a pledge never to support any tax increases — worked with the governor on a budget plan that includes some significant tax hikes. The Democratic moderates on the San Francisco Board of Supervisors shouldn’t be able to get away with refusing to look for new sources of revenue — soon, as part of the next year’s budget — to keep the city from fiscal calamity.

Money talks

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› news@sfbg.com

The economy’s a mess, and the housing crisis, financial meltdown, and skyrocketing unemployment rates have left a lot of San Franciscans short of cash. But the flow of big downtown money into political campaigns hasn’t slowed a bit.

In fact, a tally of all 2008 monetary and in-kind political contributions logged in the SF Ethics Commission Campaign Finance Database shows that even in the face of the worst financial crisis since the Great Depression, money spent on local political campaigns in the city swelled to a whopping $20.6 million. That grand total, which does not include loans or so-called "soft money" like independent expenditures, is higher than that of any previous year recorded in the Ethics database, which tracks campaign spending back to 1998.

A review of the entire database paints of picture of how influence money flows in San Francisco: Six of the top 10 donors over the past 10 years are big businesses and downtown organizations that promote the same conservative political agenda. The campaign cash often wound up in the same few political pots — a handful of supervisorial campaigns and some coordinated political action committees.

And despite spending ungodly sums of money, downtown lost more races than it won.

More than half the total money spent in 2008 came from one source: Pacific Gas and Electric Co., which plunked down $10.2 million last fall for the No on Proposition H campaign against the San Francisco Clean Energy Act. That November ballot measure, which lost under PG&E’s barrage, would have paved the way for public power, initiating a process to make the city the primary provider of electric power in San Francisco with a goal of 50 percent clean-energy generation by 2017.

The powerful utility wasn’t only the biggest spender last year — it claims the No. 1 slot on a list of all campaign contributions spanning from 1998 to 2008, which the Guardian compiled using Ethics data. PG&E dropped a juicy $14.7 million into local political campaigns over that period, beating out runner-up Clint Reilly by more than $10 million.

Below are brief introductions to the 10 biggest spenders, 1998-2008.

They’ve got the power. The colossal sums PG&E has forked over to influence ballot measures over the years puts the utility in a category all its own. SF isn’t the only municipality where the company has poured millions into defeating a public power proposal. In 2006, when Yolo County put measures on the ballot to expand the Sacramento Municipal Utility District (SMUD), which would have edged PG&E out of the service area, the utility spent $11.3 million to try and keep it from happening.

Pay to the order of Clint Reilly. Reilly, the former political consultant, now runs a successful real estate company. While his name routinely comes up on the roster of campaign contributors, he owes his status as No. 2 to his 1999 campaign for SF mayor, into which he poured some $3.5 million of his own money. "Most of the money we give is for Democratic candidates or progressive politicians, or neighborhood-oriented issues," said Reilly, who also served as president of the board of Catholic Charities.

Committee on really high-paying jobs? Third in line is the Committee on Jobs, a political action committee that aims to influence local legislation affecting business interests. The PAC is bankrolled in part by the Charles Schwab Corporation, Gap, Inc., and Gap founder Don Fisher — all of whom surface on their own in our Top 30 list. With a grand total just shy of $3 million, the committee coughed up about $100,000 in campaign-related spending in 2008. Much of that funding went to similar political entities, including the SF Coalition for Responsible Growth, the SF Chamber of Commerce 21st Century Committee, and the SF Taxpayers Union PAC (see "Downtown’s Slate," 10/15/2008). This past November, the COJ also backed the Community Justice Court Coalition, formed to pass Proposition L, which would have guaranteed first-year funding for Mayor Gavin Newsom’s small-crimes court in the Tenderloin. Prop. L failed by 57 percent.

Bluegrass billionaire. San Francisco investment banker and billionaire Warren Hellman has dropped nearly $1.2 million over the years into local political campaigns, our results show. Dubbed "the Warren Buffet of the West Coast" by Business Week for his sharp financial prowess, Hellman co-founded Hellman and Friedman, an investment firm, in 1984. Hellman is known for putting on Hardly Strictly Bluegrass, an annual SF music festival. While he tends to contribute to downtown business entities such as the Committee on Jobs and the Golden Gate Restaurant Association, in 2008 he devoted $100,000 to supporting a June ballot measure, Proposition A, that increased teacher salaries and classroom support by instating a parcel tax to amp up funding for public schools.

Fisher king. Don Fisher, founder and former CEO of Gap, Inc., is another one of SF’s resident billionaires. While Gap, Inc. turns up in 17th place in our results, Fisher himself has poured more than $1.1 million into entities such as the Committee on Jobs, SFSOS, the San Franciscans for Sensible Government Political Action Committee, and other conservative business groups. Fisher’s total includes money from the "DDF Y2K family trust," a Fisher family fund that shows up in Ethics records in 2000. In that year, $100,000 from that trust went to support the Committee on Jobs’ candidate advocacy fund, and another $40,000 went to a pro-development group called San Franciscans for Responsible Planning.

Not a very affordable campaign, either. Sixth up is Lennar Homes, the developer behind the massive home-building project at Hunters Point Shipyard, which the Guardian has covered extensively. The vast majority of its $1 million reported spending was directed to No on Prop. F, a campaign sponsored by Lennar to defeat a June ballot measure that would have created a 50 percent affordable-housing requirement for the Candlestick Point and Hunters Point Shipyard development project. The measure failed, with 63 percent voting it down.

Chuck’s bucks. Charles Schwab Corp., which set up shop in San Francisco in the mid-1970s, is an investment banking firm that reports having $1.1 trillion in total client assets. The corporation ranks seventh in our Top 30 list, with some $973,000 in donations. In 27th place is Charles R. Schwab himself, the company’s founder and chairman of the board (and the guy they’re referring to in those "Talk to Chuck" billboards posted all over SF). If Schwab’s individual and corporate donations were combined, the total would be enough to bump Warren Hellman out of fourth place. Schwab’s dollars are infused into the Committee on Jobs, the San Francisco Association of Realtors, the Golden Gate Restaurant Association, SF SOS, and other downtown-business interest organizations. "We’re a major company here in the Bay Area and a major employer," company spokesperson Greg Gable told the Guardian. "We’re interested in political matters across the board — it’s not limited to any one party." But it’s limited to one pro-downtown point of view.

The brass. The San Francisco Police Officer’s Association is another major player, spending some $913,000 since 1998 on political campaigns. The organization backed candidates Carmen Chu, Myrna Lim, Joseph Alioto, Denise McCarthy, and Sue Lee for supervisors in 2008, contributions show. All but Chu lost.

At your service. SEIU Local 1021 and SEIU 790 crop up frequently in Ethics data, with a grand total of about $860,000 in spending over the years. SEIU representatives recently turned out en masse at a Board of Supervisors meeting to urge the supervisors to support a June 2 special election to raise taxes in order to boost city revenues and save critical services from the hefty budget cuts that are coming down the pipe.

Friends in high places. No real surprises here: the Friends and Foundation of the San Francisco Public Library contributed its money to, well, ballot measures that would have affected the library. In 2000, for example, the F and F plunked $265 thousand into an effort called the "Committee to Save Branch Libraries — Yes on Prop. A."

Top 30 San Francisco campaign donors, 1998-2008

1. Pacific Gas & Electric $14,831,486
2. Clint Reilly $4,138,089
3. Committee on Jobs $2,970,857
4. Warren F. Hellman $1,191,970
5. Don Fisher (incl. Don & Doris Fisher Y2K trust) $1,164,286
6. Lennar Homes $1,002,861
7. Charles Schwab Corporation $973,176
8. S.F. Police Officers Association $913,834
9. SEIU Local 1021 & SEIU Local 790 $860,979
10. Friends & Foundation of the S.F. Public Library $858,082
11. California Academy of Sciences $818,154
12. Residential Builders Association of S.F. $753,857
13. Steven Castleman $665,254
14. S.F. Association of Realtors $647,299
15. S.F. Chamber of Commerce $614,824
16. SEIU United Health Care Workers West & Local 250 $585,937
17. Gap, Inc. $573,959
18. California Issues PAC $556,238
19. Corporation of the Fine Arts Museums $541,474
20. Wells Fargo $464,899
21. Building Owners & Managers Association of S.F. $464,027
22. Bank of America $429,316
23. Golden Gate Restaurant Association $422,685
24. SF SOS $407,491
25. AT&T Inc. and affiliates $404,704
26. Clear Channel $391,783
27. Charles R. Schwab (individual) $362,250
28. Yellow Cab Cooperative $344,907
29. S.F. Apartment Association $280,376
30. San Franciscans for Sensible Government PAC $279,009

Wolf mugged, more Ryan fallout

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Text by Sarah Phelan

With Congress about to reconsider a media shield bill, here’s another reason why legislators should protect reporters from being forced to reveal confidential sources: it could help prevent reporters from getting mugged by the folks who they might otherwise meet in prison while being held in contempt for refusing to reveal their sources.

That at least seems to be the take away message from the February 4 mugging of Josh Wolf, who says he was attacked outside Volare’s Pizza on Haight Street by Terrell Trammell, 28, who he met when both were inmates of Dublin Federal Correction Center.

Wolf, who spent a record-breaking 226 days in prison for protecting source materials from then US Attorney Kevin Ryan, who has since become Mayor Gavin Newsom’s director of Criminal Justice, wrote about the attack in the Palo Alto Daily Post, where he works as a reporter.

Trammel was in Dublin at the same time as Wolf, following a series of violent events that included Page Street Mob members trying to murder Trammel in 2004, in retaliation for the murder of mob member Eugene Hill.

But on the night of February 4, both Wolf and Trammell were “free”, when Wolf ran into Trammell while waiting for food at Volare’s Pizza.

‘I talked to him about Greg Anderson,” Wolf recalls, referring to the Barry Bonds’ trainer, who was also at Dublin during Wolf’s tenure, ” and how I’d heard they were going after his wife,” Wolf recalls, And who has the better pizza in town. He asked me where I was working, and and I asked him, and he said, right here

“As I walked home with a box of pizza in one hand and two sodas in the other, I heard Trammell call from across the street, “Got a light?”” Wolf writes for the Daily Post. ” I awkwardly fished out a lighter from my pocket as he crossed the street. But when I went to hand it to him, I was greeted with a punch to the face. The pizza went flying.”

Wolf also describes how a friend of Trammell’s joins in, and how Trammel reaches into Wolf’s pocket and takes his iPhone, and then runs away.”

Reached by phone, Wolf told me that once he contacted Sup. Ross Mirkarimi about the attack, “everyone was bending over backwards to help,” and how he subsequently found himself in the awkward position of having to identify Trammell in a line-up, but that it was either do that or “wait for him to come back for me, like the school yard bully.”

Asked why Trammel attacked him, Wolf wasn’t sure: the iPhone seemed a likely motive, but then again, Wolf didn’t exactly “follow prison code,” while he and Trammel were inside.

Wolf also noted that while he was incarcerated the Board of Supervisors passed a resolution in his support, but that as far as he knows, Mayor Gavin Newsom never signed the resolution. Fact or Fiction? Stay tuned.

Downtown marshals its forces

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By Tim Redmond

The folks who got their collective asses kicked in last fall’s elections also got the message — that their politics, their candidates and their messages aren’t working — and they’re quietly meeting to map out a new strategy to try to take back some seats on the Board of Supervisors in 2010.

A meeting earlier this week, convened by former SFSOS staffer Ryan Chamberlain, drew representatives of the Chamber of Commerce, the Committee on JOBS and candidates like Scott Wiener, a Democratic County Central Committee member who is planning to run in District 8.

“What we’re doing isn’t working,” Chamberlain told us. “The progressives are winning.”

So downtown is looking to build grassroots operations — and the message right now is “quality of life.” That means cracking down on homeless people, cleaning up the streets, more cops, probably a move toward allowing more condo conversions (homeowners tend to vote more moderate than renters, so these folks love the idea of having more owners and fewer renters in town).

Chamberlain wouldn’t give us a list of who attended, but one source familiar with the meeting told us the Chamber and JOBS were well represented. Wiener confirmed that he was there, but wouldn’t say anything else about the meeting. Sup. Sean Elsbernd told us he was invited, but couldn’t make it.

So let’s remember: The progressive victories last November were hard-fought. This is still a battle for the soul of the city, and the other side isn’t anywhere near ready to concede. In fact, the downtown guys have plenty of money and sophisticated political strategists and they’re lining up candidates.

“Don’t do it, Gavin”

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By Steven T. Jones

At a time when even Mayor Gavin Newsom’s allies are complaining that he’s disengaged with running the city at this crucial time, largely because of his gubernatorial ambitions, it seemed like an odd time for the Newsom campaign to send out a campaign plea called “Don’t do it, Gavin” that began like this:
“When I first started talking to friends and family about running for Governor, I was excited at how much enthusiasm there was for the idea. It’s not a decision I’m going to take lightly – but of course it’s nice to hear friends say they support the concept.
“That’s why I was a little taken aback when I asked my father what he thought. Without hesitation the man whose opinion I value most came out and said it: “Don’t do it Gavin.”
“I think my father must have seen my face – because he immediately said – “Of course I think you would do a great job – it’s just that nobody is going to be able to solve the state’s problems. I don’t want to see you fail in a job that’s impossible to do right now.”
Then he goes on, like the petulant son he is, to explain that he just wants to do it anyway, without ever really articulating why or explaining why he’d be a good governor (you can read the whole letter on the jump if you don’t trust my conclusion).
Take your dad’s advice, Gavin. Don’t do it. Honor your hollow promise to work with the Board of Supervisors on finding a way out of this budget mess. Do your job.

P.S. In my e-mail exchange with Newsom flak Nathan Ballard for my last post about the mayor’s avoidance of budget realities, he went on to explain that Newsom will indeed offer a budget plan: “Rest assured that the Mayor will deliver a balanced budget, as he always does, on June 1.” So, while everyone else works to solve an immediate problem, Newsom is going to sit it out for the next four months. Unbelievable!

Newsom still MIA

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By Tim Redmond

You know the mayor is in serious trouble when his business allies say he’s missing in action. From the Chron this morning:

Scott Hauge, a San Francisco business owner who is president of the advocacy group Small Business California, said the meetings that Chiu organized this week were the first occasions small business has been brought into City Hall talks since budget negotiations started heating up several weeks ago.

“The mayor has not brought us to the table, which is very frustrating because we are the major employers in San Francisco and we are really hurting right now,” said Hague, adding that he’s worked with every mayor since Dianne Feinstein and that it is unprecedented to have a board president, not the mayor, convene these types of discussions.

While nobody who has been attending Board President David Chiu’s meetings will talk about the details, I’m getting the clear impression that business (including the Chamber of Commerce and the Committee on JOBS) and labor (particularly SEIU Local 1021) are actually making progress toward a July special election that could help prevent a total meltdown in city services.

And Newsom didn’t even send a representative to the meetings.

My favorite comment from the mayor:

“But I guess the question is, what more can I do? I can make things up to do today in order not to go down there (to San Jose)

Newsom has to “make things up to do today?” How about talking to the key stakeholders and trying to arrange a deal on a budget that everyone can live with?

Nathan Ballard, the mayor’s press flak, told us that

The mayor has been meeting with labor, business and the supervisors to work together on solutions.

But nobody in business or labor or on the board of supervisors seems aware of that.

Public safety adrift

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› sarah@sfbg.com

Shortly into his first term as mayor, Gavin Newsom told a caller on talk radio — who was threatening to start a recall campaign if the mayor didn’t solve the city’s homicide problem — that Newsom might sign his own recall petition if he didn’t succeed in reducing violent crime.

But Newsom didn’t reduce violence — indeed, it spiked during his tenure — nor did he hold himself or anyone else accountable. Guardian interviews and research show that the city doesn’t have a clear and consistent public safety strategy. Instead, politics and personal loyalty to Newsom are driving what little official debate there is about issues ranging from the high murder rate to protecting immigrants.

The dynamic has played out repeatedly in recent years, on issues that include police foot patrols, crime cameras, the Community Justice Court, policies toward cannabis clubs, gang injunctions, immigration policy, municipal identification cards, police-community relations, reform of San Francisco Police Department policies on the use of force, and the question of whether SFPD long ago needed new leadership.

Newsom’s supporters insist he is committed to criminal justice. But detractors say that Newsom’s political ambition, management style, and personal hang-ups are the key to understanding why, over and over again, he fires strong but politically threatening leaders and stands by mediocre but loyal managers. And it explains how and why a vacuum opened at the top of the city’s criminal justice system, a black hole that was promptly exploited by San Francisco-based U.S. Attorney Joseph Russoniello, who successfully pressured Newsom to weaken city policies that protected undocumented immigrants accused of crimes.

Since appointing Heather Fong as chief of the San Francisco Police Department in 2004, Newsom has heard plenty of praise for this hardworking, morally upright administrator. But her lack of leadership skills contributed to declining morale in the ranks. So when he hired the conservative and controversial Kevin Ryan as director of the Mayor’s Office of Criminal Justice — the only U.S. Attorney fired for incompetence during the Bush administration’s politicized 2006 purge of the Department of Justice, despite Ryan’s statements of political loyalty to Bush — most folks assumed it was because Newsom had gubernatorial ambitions and wanted to look tough on crime.

Now, with Fong set to retire and a new presidential administration signaling that Russoniello’s days may be numbered, some change may be in the offing. But with immigrant communities angrily urging reform, and Newsom and Ryan resisting it, there are key battles ahead before San Francisco can move toward a coherent and compassionate public safety strategy.

SHIFTING POLICIES


The combination of Ryan, Fong, and Newsom created a schizophrenic approach to public policy, particularly when it came to immigrants. Fong supported the sanctuary city policies that barred SFPD from notifying federal authorities about interactions with undocumented immigrants, but Ryan and many cops opposed them. That led to media leaks of juvenile crime records that embarrassed Newsom and allowed Russoniello and other conservatives to force key changes to this cherished ordinance.

Russoniello had opposed the city’s sanctuary legislation from the moment it was introduced by then Mayor Dianne Feinstein in the 1980s, when he serving his first term as the U.S. Attorney for Northern California. But it wasn’t until two decades later that Russoniello succeeded in forcing Newsom to adopt a new policy direction, a move that means local police and probation officials must notify federal authorities at the time of booking adults and juveniles whom they suspect of committing felonies

Newsom’s turnabout left the immigrant community wondering if political ambition had blinded the mayor to their constitutional right to due process since his decision came on the heels of his announcement that he was running for governor. Juvenile and immigrant advocates argue that all youth have the right to defend themselves, yet they say innocent kids can now be deported without due process to countries where they don’t speak the native language and no longer have family members, making them likely to undertake potentially fatal border crossings in an effort to return to San Francisco.

Abigail Trillin of Legal Services for Children, cites the case of a 14-year-old who is in deportation proceedings after being arrested for bringing a BB gun to school. "He says he was going to play with it in the park afterwards, cops and robbers," Trillin says. "His deportation proceedings were triggered not because he was found guilty of a felony, but because he was charged with one when he was booked. He spent Christmas in a federal detention facility in Washington state. Now he’s back in San Francisco, but only temporarily. This boy’s family has other kids, they are part of our community. His father is a big, strong man, but every time he comes into our office to talk, he is in tears."

Another client almost got referred to U.S. Immigration and Custom Enforcement (ICE) even though he was a victim of child abuse. And a recent referral involved a kid who has been here since he was nine months old. "If the mayor genuinely wants to reach out to the immigrant community, he needs to understand how this community has perceived what has happened," Trillin said. "Namely, having a policy that allows innocent youth to be turned over to ICE."

Social workers point out that deporting juveniles for selling crack, rather than diverting them into rehabilitation programs, does nothing to guarantee that they won’t return to sell drugs on the streets. And making the immigrant community afraid to speak to law enforcement and social workers allows gangs and bullies to act with impunity.

"This is bad policy," Trillin stated. "Forget about the rights issues. You are creating a sub class. These youths are getting deported, but they are coming back. And when they do, they don’t live with their families or ask for services. They are going far underground. They can’t show up at their family’s home, their schools or services, or in hospitals. So the gang becomes their family, and they probably owe the gang money."

Noting that someone who is deported may have children or siblings or parents who depend on them for support, Sup. John Avalos said, "There need to be standards. The city has the capability and knows how to work this out. I think the new policy direction was a choice that was made to try and minimize impacts to the mayor’s career."

But Matt Dorsey, spokesperson for the City Attorney’s Office, told the Guardian that the Sanctuary City ordinance never did assure anyone due process. "The language actually said that protection did not apply if an individual was arrested for felony crimes," Dorsey said. "People have lost sight of the fact that the policy was adopted because of a law enforcement rationale, namely so victims of crime and those who knew what was going on at the street level wouldn’t be afraid to talk to police."

Angela Chan of the Asian Law Caucus, along with the San Francisco Immigrant Rights Defense Committee, a coalition of more than 30 community groups, has sought — so far in vain — to get the city to revisit the amended policy. "The city could have reformulated its ordinance to say that we’ll notify ICE if kids are found guilty, do not qualify for immigration relief, and are repeat or violent offenders," Chan said. "That’s what we are pushing. We are not saying never refer youth. We are saying respect due process."

Asked if Newsom will attend a Feb. 25 town hall meeting that immigrant rights advocates have invited him to, so as to reopen the dialogue about this policy shift, mayoral spokesperson Nathan Ballard told the Guardian, "I can’t confirm that at this time."

Sitting in Newsom’s craw is the grand jury investigation that Russoniello convened last fall to investigate whether the Juvenile Probation Department violated federal law. "Ever since the City found out that the grand jury is looking into it, they brought in outside counsel and everything is in deep freeze," an insider said. "The attitude around here is, let the whole thing play out. The city is taking it seriously. But I hope it’s a lot of saber rattling [by Russoniello’s office]."

Dorsey told the Guardian that "the only reason the city knew that a grand jury had been convened was when they sent us a subpoena for our 1994 opinion on the Sanctuary City policy, a document that was actually posted online at our website. Talk about firing a shot over the bow!"

Others joke that one reason why the city hired well-connected attorney Cristina Arguedas to defend the city in the grand jury investigation was the city’s way of saying, ‘Fuck You, Russoniello!" "She is Carole Migden’s partner and was on O.J. Simpson’s dream team," an insider said. "She and Russoniello tangled over the Barry Bonds stuff. They hate each other."

Shannon Wilber, executive director of Legal Services for Children, says Russoniello’s theory seems to be that by providing any services to these people, public or private, you are somehow vioutf8g federal statutes related to harboring fugitives. "But if you were successful in making that argument, that would make child protection a crime," Wilber says, adding that her organization is happy to work with young people, but it has decided that it is not going to accept any more referrals from the Juvenile Probation Department.

"We no longer have the same agenda," Wilber said. "Our purpose in screening these kids is to see if they qualify for any relief, not to deport people or cut them off from services."

Wilber’s group now communicates with the Public Defender’s Office instead. "Between 80 and 100 kids, maybe more, have been funneled to ICE since this new policy was adopted," Wilber said. "This is creating an under class of teens, who are marginalized, in hiding and not accessing educational and health services for fear of being stopped and arrested for no good reason, other than that their skin is brown and they look Latino".

Wilber understands that the new policy direction came from the Mayor’s Office, in consultation with JPD, plus representatives from the US Attorney’s office and ICE. "They bargained with them," Wilber said. "They basically said, what are you guys going to be satisfied with, and the answer was that the city should contact them about anyone who has been charged and booked with a felony, and who is suspected of being undocumented."

She hopes "something shifts" with the new administration of President Barack Obama, and that there will be "enough pressure in the community to persuade the Mayor’s Office to at least amend, if not eliminate, the new policy," Wilber said "The cost of what the city is doing, compared to what it did, is the flashing light that everyone should be looking at."

"It costs so much more to incarcerate kids and deport them, compared to flying them home," she explained. "And we have cast a pall over the entire immigrant community. It will be difficult to undo that. Once people have been subjected to these tactics, it’s not easy to return to a situation of trust. We are sowing the seeds of revolution."

WEAKEST LINK


When Newsom tapped Republican attorney Kevin Ryan to head the Mayor’s Office of Criminal Justice a year ago, the idea was that this high-profile guy might bring a coherent approach to setting public safety policy, rather than lurch from issue to issue as Newsom had.

Even City Attorney Dennis Herrera, who isn’t considered close to Newsom, praised the decision in a press release: "In Kevin Ryan, Mayor Newsom has landed a stellar pick to lead the Mayor’s Office of Criminal Justice. Kevin has been a distinguished jurist, an accomplished prosecutor, and a valued partner to my office in helping us develop protocols for civil gang injunctions. San Franciscans will be extremely well served by the talent and dedication he will bring to addressing some of the most important and difficult problems facing our city."

But the choice left most folks speechless, particularly given Ryan’s history of prosecuting local journalists and supporting federal drug raids. Why on earth had the Democratic mayor of one of the most liberal cities in the nation hired the one and only Bush loyalist who had managed to get himself fired for being incompetent instead of being disloyal like the other fired U.S. Attorneys?

The answer, from those in the know, was that Newsom was seriously flirting with the idea of running for governor and hired Ryan to beef up his criminal justice chops. "If you are going to run for governor, you’ve got to get to a bunch of law and order people," one insider told us.

Ryan proceeded to upset civil libertarians with calls to actively monitor police surveillance cameras (which can only be reviewed now if a crime is reported), medical marijuana activists with recommendations to collect detailed patient information, and immigrant communities by delaying the rollout of the municipal identity card program.

"In the long run, hopefully, dissatisfaction with Ryan will grow," Assembly Member Tom Ammiano told us last year when he was a supervisor. "He could become a liability for [Newsom], and only then will Newsom fire him, because that’s how he operates."

Others felt that Ryan’s impact was overstated and that the city continued to have a leadership vacuum on public safety issues. "What has happened to MOCJ since Ryan took over?" one insider said. "He doesn’t have much of a staff anymore. No one knows what he is doing. He does not return calls. He has no connections. He’s not performing. Everyone basically describes him with the same words – paranoid, retaliatory, and explosive – as they did during the investigation of the U.S. attorneys firing scandal."

"I’ve only met him three times since he took the job," Delagnes said. "I guess he takes his direction from the mayor. He’s supposed to be liaison between Mayor’s Office and the SFPD. When he accepted the job, I was, OK, what does that mean? He has never done anything to help or hinder us."

But it was when the sanctuary city controversy hit last fall that Ryan began to take a more active role. Sheriff’s Department spokesperson Eileen Hirst recalls that "MOCJ was essentially leaderless for five years, and Ryan was brought in to create order and revitalize the office. And the first thing that really happened was the controversy over handling undocumented immigrant detainees."

One prime example of Ryan’s incompetence was how it enabled Russoniello to wage his successful assault on the city’s cherished sanctuary ordinance last year. Internal communications obtained by the Guardian through the Sunshine Ordinance show efforts by the Newsom administration to contain the political damage from reports of undocumented immigrants who escaped from city custody.

Newsom solidly supported the Sanctuary City Ordinance during his first term, as evidenced by an April 2007 e-mail that aide Wade Crowfoot sent to probation leaders asking for written Sanctuary City protocols. But these demands may have drawn unwelcome attention.

"This is what caused the firestorm regarding undocumented persons," JPD Assistant Chief Allen Nance wrote in August 2008 as he forwarded an e-mail thread that begins with Crowfoot’s request.

"Agreed," replied probation chief William Siffermann. "The deniability on the part of one is not plausible."

Shortly after Ryan started his MOCJ gig, the Juvenile Probation Department reached out to him about a conflict with ICE. They asked if they could set up something with the U.S. Attorney’s Office but the meeting got canceled and Ryan never rescheduled it.

Six weeks passed before the city was hit with the bombshell that another San Francisco probation officer had been intercepted at Houston Airport by ICE special agents as he escorted two minors to connecting flights to Honduras. They threatened him with arrest.

"Special Agent Mark Fluitt indicated that federal law requires that we report all undocumenteds, and San Francisco Juvenile Court is vioutf8g federal law," JPD’s Carlos Gonzalez reported. "Although I was not arrested, the threat was looming throughout the interrogation."

Asked to name the biggest factors that influenced Newsom’s decision to shift policy, mayoral spokesperson Nathan Ballard cites a May 19 meeting in which Siffermann briefed the mayor about JPD’s handling of undocumented felons on matters related to transportation to other countries and notification of ICE.

"That morning Mayor Newsom directed Siffermann to stop the flights immediately," Ballard told the Guardian. "That same morning the mayor directed Judge Kevin Ryan to gather the facts about whether JPD’s notification practices were appropriate and legal. By noon, Judge Ryan had requested a meeting with ICE, the U.S. Attorney, and Chief Siffermann to discuss the issue. On May 21, that meeting occurred at 10:30 a.m. in Room 305 of City Hall."

Ballard claims Ryan advised the mayor that some of JPD’s court-sanctioned practices might be inconsistent with federal law and initiated the process of reviewing and changing the city’s policies in collaboration with JPD, ICE, the U.S. Attorney, and the City Attorney.

Asked how much Ryan has influenced the city’s public safety policy, Ballard replied, "He is the mayor’s key public safety adviser."

Records show Ryan advising Ballard and Ginsburg to "gird your loins in the face of an August 2008 San Francisco Chronicle article that further attacked the city’s policy. "Russoniello is quoted as saying, "This is the closest thing I have ever seen to harboring,’" Ryan warned. And that set the scene for Newsom to change his position on Sanctuary City.

PUSHED OR JUMPED?


When Fong, the city’s first female chief and one of the first Asian American women to lead a major metropolitan police force nationwide, announced her retirement in December, Police Commission President Theresa Sparks noted that she had brought "a sense of integrity to the department." Fellow commissioner David Onek described her as "a model public servant" and residents praised her outreach to the local Asian community.

Fong was appointed in 2004 in the aftermath of Fajitagate, a legal and political scandal that began in 2002 with a street fight involving three off-duty SFPD cops and two local residents, and ended several years later with one chief taking a leave of absense, another resigning, and Fong struggling to lead the department. "It’s bad news to have poor managerial skills leading any department. But when everyone in that department is waiting for you to fail, then you are in real trouble," an SFPD source said.

Gary Delagnes, executive director of the San Francisco Police Officers Association, hasn’t been afraid to criticize Fong publicly, or Newsom for standing by her as morale suffered. "Chief Fong has her own style, a very introverted, quiet, docile method of leadership. And it simply hasn’t worked for the members of the department. A high percentage [of officers] believe change should have been made a long time ago."

But Newsom refused to consider replacing Fong, even as the stand began to sour his relationship with the SFPOA, which has enthusiastically supported Newsom and the mayor’s candidates for other city offices.

"The day the music died," as Delagnes explains it, was in the wake of the SFPD’s December 2005 Videogate scandal. Fong drew heavy fire when she supported the mayor in his conflict with officer Andrew Cohen and 21 other officers who made a videotape for a police Christmas party. Newsom angrily deemed the tape racist, sexist, and homophobic at a press conference where Fong called the incident SFPD’s "darkest day."

"Heather let the mayor make her look like a fool. Who is running this department? And aren’t the department’s darkest days when cops die?" Delagnes said, sitting in SFPOA’s Sixth Street office, where photographs and plaques commemorate officers who have died in service.

Delagnes supports the proposal to give the new chief a five-year contract, which was part of a package of police reforms recommended by a recent report that Newsom commissioned but hasn’t acted on. "You don’t want to feel you are working at the whim of every politician and police commission," Delagnes said. But he doubts a charter amendment is doable this time around, given that the Newsom doesn’t support the idea and Fong has said she wants to retire at the end of April.

"I’d like to see a transition to a new chief on May 1," Delagnes said. "And so far, there’s been no shortage of applications. Whoever that person is, whether from inside or outside [of SFPD], must be able to lead us out of the abysmally low state of morale the department is in."

Delagnes claims that police chiefs have little to do with homicide rates, and that San Francisco is way below the average compared to other cities. "But when that rate goes from 80 to 100, everyone goes crazy and blames it on the cops. None of us want to see people killed, but homicides are a reality of any big city. So what can you do to reduce them? Stop them from happening."

But critics of SFPD note that few homicide cases result in arrests, and there is a perception that officers are lazy. That view was bolstered by the case of Hugues de la Plaza, a French national who was living in San Francisco when he was stabbed to death in 2007. SFPD investigators suggested it was a suicide because the door was locked from the inside and did little to thoroughly investigate, although an investigation by the French government recently concluded that it was clearly a homicide.

Delagnes defended his colleagues, saying two of SFPD’s most experienced homicide detectives handled the case and that "our guys are standing behind it."

A NEW DIRECTION?


Sparks said she didn’t know Fong was planning to retire in April until 45 minutes before Chief Fong made the announcement on Newsom’s December 20 Saturday morning radio show. "I think she decided it was time," Sparks told the Guardian. "But she’s not leaving tomorrow. She’s waiting so there can be an orderly transition."

By announcing she will be leaving in four months, Fong made it less likely that voters would have a chance to weigh in on the D.C.-based Police Executives Reform Forum’s recommendation that the next SFPD chief be given a five-year contract.

"The mayor believes that the chief executive of a city needs to have the power to hire and fire his department heads in order to ensure accountability," Newsom’s communications director Nathan Ballard told the Guardian.

According to the city charter, the Police Commission reviews all applications for police chief before sending three recommendations to the mayor. Newsom then either makes the final pick, or the process repeats. This is same process used to select Fong in 2004, with one crucial difference: the commission then was made up of five mayoral appointees. Today it consists of seven members, four appointed by the mayor, three by the Board of Supervisors.

Last month the commission hired Roseville-based headhunter Bob Murray and Associates to conduct the search in a joint venture with the Washington-based Police Executive Research Forum, which recently completed an organizational assessment of the SFPD. Intended to guide the SFPD over the next decade, the study recommends expanding community policies, enhancing information services, and employing Tasers to minimize the number of deadly shootings by officers.

"The mayor tends to favor the idea [of Tasers] but is concerned about what he is hearing about the BART case and wants closer scrutiny of the issue," Ballard told us last week.

Potential candidates with San Francisco experience include former SFPD deputy chief Greg Suhr, Taraval Station Captain Paul Chignell, and San Mateo’s first female police chief, Susan Manheimer, who began her career with the SFPD, where her last assignment was as captain of the Tenderloin Task Force.

"It would be wildly premature to comment on the mayor’s preference for police chief at this time," Ballard told the Guardian.

Among the rank and file, SFPD insider Greg Suhr is said to be the leading contender. "He’s very politically connected, and he is Sup. Bevan Dufty’s favorite," said a knowledgeable source. "The mayor would be afraid to not get someone from the SFPD rank and file."

Even if Newsom is able to find compromise with the immigrant communities and soften his tough new stance on the Sanctuary City policy, sources say he and the new chief would need to be able to stand up to SFPD hardliners who push back with arguments that deporting those arrested for felonies is how we need to get rid of criminals, reduce homicides, and stem the narcotics trade.

"The police will say, you have very dangerous and violent potential felons preying on other immigrants in the Mission and beyond," one source told us. "They would say [that] these are the people who are dying. So if you are going to try and take away our tools — including referring youth to ICE on booking — then we will fight and keep on doing it."

While that attitude is understandable from the strictly law and order perspective, is this the public safety policy San Francisco residents really want? And is it a decision based on sound policy and principles, or merely political expediency?

Sup. David Campos, who arrived in this country at age 14 as an undocumented immigrant from Guatemala, says he is trying to get his arms around the city’s public safety strategy. "For me, the most immediate issue is the traffic stops in some of the neighborhoods, especially in the Mission and the Tenderloin," said Campos, a member of the Public Safety Committee whose next priority is revisiting the Sanctuary City Ordinance. "I’m hopeful the Mayor’s Office will reconsider its position. But if not, I’m looking at what avenues the board can pursue.

"I understand there was a horrible and tragic incident," Campos added, referring to the June 22, 2008 slaying of three members of the Bologna family, for which Edwin Ramos, who had cycled in and out of the city’s juvenile justice system and is an alleged member of the notoriously violent MS-13 gang, charged with murder for shooting with an AK-47 assault weapon. "But I think it is bad to make public policy based on one incident like that. To me, the focus should be, how do we get violent crime down and how do we deal with homicides?"

Campos believes Ryan has sidetracked the administration with conservative hot-button issues like giving municipal ID cards to undocumented residents, installing more crime cameras, and cracking down on the cannabis clubs. "I’m trying to understand the role of the Mayor’s Office of Criminal Justice," Campos said, raising the possibility that it might be eliminated as part of current efforts to close a large budget deficit. "In tough times, can we afford to have them?"

The change in Washington could also counter San Francisco’s move to the right. Federal authorities, swamped by claims of economic fraud and Ponzi schemes, might lose interest in punishing San Francisco for its Sanctuary City-related activities now that President Barack Obama has vowed to address immigration reform, saying he wants to help "12 million people step out of the shadows."

"It’s hard to believe that there isn’t going to be some kind of change," another criminal justice community source told us. "A lot of this is Joe Russoniello’s thing. Sanctuary City ordinances and policies have been a target of his for years."

Rumors swirled last week that Russoniello might have already received his marching orders when Sen. Barbara Boxer announced her judicial nomination committees, which make recommendations to Obama for U.S. District Court judges, attorneys, and marshals.
Boxer will likely be responsible for any vacancies in the northern and southern districts, while Feinstein, who is socially friendly with the Russoniello family, will take charge of the central and eastern districts. Criminal justice noted that Arguedas, who San Francisco hired to defend itself against Russoniello’s grand jury investigation, is on Boxer’s Northern District nomination committee.
Boxer spokesperson Natalie Ravitz told the Guardian she was not going to comment on the protocol or process for handling a possible vacancy. "What I can tell you is that Sen. Boxer is accepting applications for the position of U.S. Attorney for the Southern District (San Diego), a position that is considered vacant," Ravitz told us. "Sen. Feinstein is handling the vacancy for the U.S. Attorney for the Eastern District. Beyond that I am not going to comment. If you have further questions, I suggest you call the Department of Justice press office."
DOJ referred us to the White House, where a spokesperson did not reply before press time. Meanwhile Russoniello has been publicly making the case for why he should stay, telling The Recorder legal newspaper in SF that morale in the U.S. Attorney’s San Francisco office is much improved, with fewer lawyers choosing to leave since he took over from Ryan.
That’s small consolation, given widespread press reports that Ryan had destroyed morale in the office with leadership that was incompetent, paranoid, and fueled by conservative ideological crusades. Now the question is whether a city whose criminal justice approach has been dictated by Ryan, Fong, and Newsom — none of whom would speak directly to the Guardian for this story — can also be reformed.

Ma’s JROTC bill needs to die

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EDITORIAL With California in a cataclysmic budget crisis and a long list of problems on the agenda of the state Legislature, Assemblymember Fiona Ma has announced a bill that would force the San Francisco school district to bring back a military recruitment program. It’s an unusual tactic, and one with questionable legal grounds. It’s also inappropriate and bad public policy.

The school board has been debating the Junior Reserve Officers Training Program for years. Supporters promote the program, which costs the district $1 million a year, as a leadership training opportunity; for a lot of district kids, it was an alternative way to meet a physical education requirement. In reality, though, JROTC is, and always has been, part of the Pentagon’s effort to convince young people to join the military.

High school students, the target of the program, have always been vulnerable to recruiters. That’s why the military brass love anything that gets them into high schools. JROTC cadets are besieged with recruitment calls, and those efforts continue even after the kids have left the program.

The local queer community has been pushing hard to end JROTC in San Francisco, in part because of the Pentagon’s ridiculous don’t-ask, don’t-tell policy on gay service members. But even after that policy ends (and under President Barack Obama, it’s likely gay people will be serving openly in the military soon), JROTC is a terrible program for the San Francisco schools. If the best leadership training this progressive city can offer is through a model based on the values of the Army, something is very wrong.

And that’s what the school board ultimately decided. The board has voted to discontinue JROTC, as of this summer, and is moving to adopt an alternative leadership program.

But a few JROTC supporters, with the assistance of the local Republican Party, placed an advisory measure on the November 2008 ballot calling for the program’s continuation. With most activist energy going to support the Obama campaign and the efforts to elect progressive supervisors, the measure passed. But it contained no legal mandate, and the school board members, even those who support JROTC, have generally agreed that it would be a bad idea to revisit the issue. A clear majority of the board is prepared to let JROTC die and replace it with something better.

We can’t figure out why Ma has suddenly decided to make this a state issue. She told us that "the voters of San Francisco have spoken, and all I am doing is upholding the will of the voters." But the voters also elected school board members who think it’s best to eliminate JROTC.

More important, this simply isn’t Sacramento’s business. The Ma bill needs a two-thirds vote to pass, which means it depends on Republican support — and as Assemblymember Tom Ammiano says, "Do we really want the Republicans in the state Legislature to tell San Francisco what to do?" Even School Board member Hydra Mendoza, who supports JROTC, is opposing the bill: "It’s not appropriate," she told us, "for the state Legislature to overturn a decision of the San Francisco school board."

This would set a horrible precedent: every time the city schools took a progressive stand on some program, someone in Sacramento could come along and try to undo it.

Mayor Gavin Newsom should speak out against this bill, and Ma should withdraw it. If she doesn’t, the Legislature should reject it. *

Board overrides mayor, June election on table

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“Colleagues, the mayor’s veto is overturned.”
So said Board President David Chiu, as the Board of Supervisors overturned Mayor Gavin Newsom’s February 6 veto of legislation that former Board President Aaron Peskin introduced as his going away gift to San Francisco voters–a gift that involved declaring a fiscal emergency so that a June 2 special election would be possible.

Overturning Newsom’s veto allows the Board to keep this June 2 special election on the table. And they still have until March 3 before they need to decide whether to pull the plug on that plan. If they do, Chiu has also proposed
legislation that would open the door to an August election, if the Board decides that would work better.

Newsom vetoed the Board’s June special election legislation late last Friday afternoon, and he has stated that he prefers to wait until November.

But most folks on the Board (especially now that they have seen the depth and horror of the cuts that the City faces) aren’t buying the mayor’s wait-another-nine-months-and-see plan.

Tomorrow’s Supes meeting: next round on special election

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By Rebecca Bowe

As expected, Mayor Gavin Newsom has vetoed an ordinance approved on Jan. 27 by the San Francisco Board of Supervisors modifying regular election procedures in order to pave the way for a special election to be held on June 2. The election would give voters an opportunity to decide on a number of tax measures that could raise city revenues in the face of a looming $576 million city budget deficit for the 2009-10 fiscal year.

“I understand the argument that revenue measures passed in June will bring in funding sooner than measures passed in November,” the mayor wrote in a letter explaining his decision. “However, if new tax and revenue measures put on the ballot in June do not pass due to a lack of unified support and planning, not only will the City incur the significant expense of a $3.5 million election, it will also critically damage our chances for success in November.”

A 20-foot high controversy

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By Rebecca Bowe

At the Feb. 3 Board of Supervisors meeting, District 6 Supervisor Chris Daly expressed disgust at what he called “pay-to-play politics” and charged that Mayor Gavin Newsom had insisted upon a 20-foot height extension for the proposed redevelopment of the New Mission Theater as a favor to a developer who’d given him a political boost.

“At the very least, there is a massive and unprecedented appearance of impropriety and I think ethical malfeasance,” Daly told his colleagues. Before the meeting, he handed out photocopies of a blog post he’d written to back up his argument.

Nathan Ballard, Mayor Newsom’s press secretary, refuted Daly’s claim. “If the legislation had gone forward, the project would have been killed,” Ballard wrote in an email to the Guardian. “We reject Supervisor Daly’s false allegations. The Mayor made his decision, as he always does, on the merits alone.”

PG&E: Blackout at Just For You restaurant

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BREAKING NEWS: PG&E electricity goes out at a restaurant just four blocks or so from the Potrero Hill power plant

By Bruce B. Brugmann

And so about 2 p.m. this afternoon (Thursday, 2/5/09), I walked in to the Just For You restaurant, just four blocks or so from the Potrero Hill power plant in the heart of Dogpatch. I wondered if PG&E had known I was coming in for my regular lunch of fried oysters.

For lights were out, the place was empty, and the proprietor, the normally jolly Arienne Landry, was sitting disconsolately in the corner with some friends and workers.

Arienne said that the electricity was off in the whole area and that PG&E had told someone who called that it would be back on at 3 p.m. “But they always say they can’t guarantee power,” she said, shaking her head at her shortened, expensive lunch hour. I asked if PG&E know I was coming. Arienne laughed.

I asked how much she was out in money. She said about $200 to $300. Arienne, who was reported in the Potrero View as a possible candidate for district supervisor, said she needed the money and would write to PG&E and ask for a reduction in her PG&E bill or other form of compensation. She said she would also copy the California Public Utilities Commission, the SF Board of Supervisors, and the Small Business Commission.
She said she would also ask the CPUC, the board, and the SBC to do a study of PG&E’s treatment of San Francisco restaurants and other small businesses on service, reliability, rates, and collection policies.

It looks to me as if she has a good and timely issue. PG&E is a notorious no or slow pay for damages to small business, but the company is quick and tough as hell on small businesses that are slow pay, which many are these days. We get lots of complaints at the Guardian about PG&E hardball policies on small business and on their customers.

Now more than ever, PG&E should be giving a break to small businesses and not shove them against the wall on compensation for blackouts and slow pay and other increasing small business concerns.

We’ll follow Arienne’s request for compensation for damages. And we urge other small business people and their customers/residents to email us their problems with PG&E service and rates. There’s no reason, except for PG&E resistance, that the CPUC and SF shouldn’t start monitoring how PG&E treats our local small businesses. More: they should provide ombudsperson help during these tough times.

Meanwhile, I must report that the power at Just For You did go back on a few minutes before 3 p.m. And I did get my usual lunch of fried oysters with lots of red cajun sauce. They were better than ever today. B3, who sees from my office window the fumes of the Potrero Hill plant, pumping poisons into the city every minute of every day, courtesy of PG&E and Hearst journalism

June 2 special election gets a green light

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By Rebecca Bowe

On Feb. 3, the Board of Supervisors voted 8-3 to adopt a resolution calling for a municipal special election on June 2, setting the stage for an epic ballot battle over budget choices.

With Supervisors Michela Alioto-Pier, Carmen Chu and Sean Elsbernd dissenting, the board approved the election, which will ask voters to decide on new tax measures in an effort to raise city revenues.

The election was proposed as a partial solution to the city’s looming $576 million budget deficit for the 2009-10 fiscal year, which Supervisor Ross Mirkarimi described as a “tsunami … that the city is being hit by.” The cuts will deliver painful blows across the board, affecting citywide health and human service programs in particular. At last week’s meeting, hundreds turned out to express concern about how deep cuts will leave some of the city’s most vulnerable populations at risk.

Without a net

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› news@sfbg.com

The Board of Supervisors heard more than four hours of public comment at its Jan. 27 meeting, as hundreds of labor representatives, public-health workers, homeless advocates, hospital staffers, and others crowded into the board chambers to sound off on the deep budget cuts that many charged would leave they city’s critical-services safety net in shreds.

The message was chilling.

On the ground, the budget cuts Mayor Gavin Newsom is proposing translate into staggering losses in services that segments of the city’s most disadvantaged populations rely on. Among those who will lose their jobs: some San Francisco General Hospital staffers who are trained to watch the cardiac monitors. "They are the first responders when someone goes into cardiac arrest," nurse Leslie Harrison told the board during public comment. "This is a life and death job — literally."

The Huckleberry House, which was established in 1967 and provides assistance to more than 7,000 homeless youth each year, may face closure.

Homeless shelters are already being forced to turn away two out of three clients seeking a bed due to lack of space, according to Coalition on Homelessness Executive Director Jennifer Friedenbach.

Demand for hot meals from the St. James Infirmary, a clinic for uninsured sex workers, has tripled since the onset of the recession, Executive Director Naomi Akres told the Guardian. As a result of the cuts, the clinic will lose its ability to continue either the food program or an outreach program that aims to get people off the streets.

Other areas that face funding reductions, according to a tally of midyear reductions issued by the mayor’s office, include some programs that administer STD testing and HIV prevention services, the Adult Day Health programs at Laguna Honda Hospital, aid for foster care, and the Single Room Occupancy Collaborative (which assists low-income tenants living in dilapidated hotel rooms across the city). San Francisco’s Human Services Agency will lay off 67 staffers.

Of the $118 million in midyear cuts rolled out by the mayor’s office last December, some $46 million will be shed from health, human welfare, and neighborhood-development services.

The midyear reductions, which will begin to take effect Feb. 20, are aimed at addressing a steep drop-off in revenue for the 2008–09 fiscal year. Now, health and human services providers and others across the board are anxiously looking ahead to the next round of blows, which will be dealt to address a projected $576 million deficit for the 2009–10 fiscal year, which begins in July. That figure could be reduced to $461 million after budget cuts, according to Deputy Controller Monique Zmuda.

Newsom has known about the gravity of the current budget problem since late October, when City Controller Ben Rosenfield issued a memo projecting fiscal disaster. "Since the adoption of the budget in July, the City’s economic outlook has significantly worsened, particularly since the onset of the global financial market upheavals that began in September," the memo states. It goes on to predict a worst-case scenario of $125 million in tax-revenue shortfalls for the 2008–09 fiscal year.

Cuts in frontline services don’t have to be the only answer. Supervisor Chris Daly has introduced an alternative budget proposal, which includes reductions in funding for management positions, cuts in the city’s subsidy to the symphony, and a reduction in the size of the mayor’s press office in an effort to free up funds that could then be diverted back to critical services. "I don’t think any of the choices are good. There’s really only the lesser of the evil," Daly noted at the meeting.

The choices the city faces were described in clear terms. "I’m sorry to say it, but you have some tough decisions in front of you," Friedenbach told supervisors when it was her turn at the podium during public comment. "You have to choose between abused children, or the symphony. You have to choose whether you want to decimate the mental-health treatment system — or do you want to get rid of the newly hired managers since the hiring freeze? You have to decide whether you want to cut half of the substance-abuse treatment system — or do you want to create a new community justice center that will have nowhere to refer its defendants?" Rather than choose, however, supervisors voted 6–5 to send Daly’s alternative package back to the Budget and Finance Committee for further consideration. The swing vote was Board President David Chiu, who was elected president with the support of the progressive bloc.

Had Chiu voted for Daly’s alternative, it wouldn’t have mattered much — the mayor would almost certainly have vetoed it.

Eight supervisors — enough to override a veto — did demonstrate a willingness to move forward with a June special election. With Supervisors Sean Elsbernd, Michela Alioto-Pier, and Carmen Chu dissenting, the board voted to waive deadlines that would have prevented new tax measures from being placed on a June 2 ballot.

Several different tax ideas are under discussion. According to a list of preliminary estimates calculated by the Office of the Controller, slight increases over the current rates of taxes levied on business registration, payroll, sales, hotel-room stays, commercial utility users, parking, property transfers, and Access Line fees together could bring the city an estimated $121.6 million per year.

Other proposals include creating parcel taxes for both residential and industrial property, gross-receipts taxes on rental income for commercial and residential properties, a local vehicle license fee, and a residential utility users tax. If all of those proposed new taxes were voted into effect, the city would have the potential to raise an additional $112.9 million.

The problem: under state law, unless the mayor and supervisors unanimously declare an emergency, any tax increase would require a two-thirds vote to pass.

Supervisor John Avalos voiced strong support for the special election. "I think that the people of this city are still grappling with the meaning of the crisis that we’re in," Avalos told his colleagues.

Avalos amended out the possible new parcel tax, increased parking tax, and utility-users taxes, and instead proposed two new revenue measures that could be added to the ballot: a vehicle-impact fee, and "a possible new tax to discourage the consumption of energy that produces a large carbon footprint."

It won’t be easy to pass any of these proposals. Business interests are mobilizing against the very idea of a special election. In an e-mail newsletter distributed by the San Francisco Chamber of Commerce, a "call to action" urged supporters to contact Supervisors and voice opposition to the emergency election.

The language in the Chamber of Commerce message closely resembled that of Small Business California, which put out a message to the small-business community warning that higher taxes "would be the straw that breaks the already strained back of our local businesses, resulting in more layoffs and acceleration of our downward spiral."

Labor organizer Robert Haaland asked supervisors why they would be afraid of allowing voters to decide on the tax-revenue measures. A poll commissioned by his union, SEIU Local 1021, demonstrated that a significant portion of voters would rather raise revenues than allow vital services to disintegrate.

Even if new revenue is raised, Haaland told us, no one is under the illusion that there won’t be painful cuts. "Everyone’s going to feel some pain," he said. "It’s a question of how much pain."