Supervisors

The path to President Chiu

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By Steven T. Jones

How did David Chiu, the supervisor with the least experience in government, end up as president of the Board of Supervisors? And what does it say about the role that ideology and alliances will play in a city that’s wrestling with a dire economic situation?

I have some thoughts on both of those questions, but first, let’s run through how today’s voting went down because it illustrates the political dynamics now at work in City Hall. It’s important to understand that there was a split in the board’s progressive majority, which includes Chiu, John Avalos, David Campos, Eric Mar, Chris Daly, and Ross Mirkarimi.

After the last election in which the first four of those progressives first won their supervisorial seats, Daly (and to a lesser degree, Avalos) privately began to challenge Mirkarimi’s bid for president, for reasons both personal and political. But they pledged to vote for a progressive and began promoting the idea that one of the four freshmen get the job.

That move raised the possibility that Mirkarimi (a Green who was the top supervisorial vote-getter in November and a strong contender for mayor) might look for some moderate votes, or perhaps even support a moderate pick like Sophie Maxwell or Bevan Dufty. That was the stage that was set for today’s vote.

David Chiu wins

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On the seventh vote, Dist. 3 Sup. David Chiu has been elected president of the San Francisco Board of Supervisors.

Live from City Hall

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By Steven T. Jones

City Hall is packed with people here to watch the election of the new Board of Supervisors president, both in board chambers and the overflow area of the North Light Court. The nominees (in order of nomination) are Chris Daly (who nominated himself), Sophie Maxwell (nominated by Bevan Dufty), Ross Mirkarimi (nominated by David Campos), John Avalos, and David Chiu (those last two nominated one another).
Public comment is now underway and should take awhile. Stay tuned because I’ll announce the winner as soon as there is one.

Ammiano, Yee take on BART police

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By Tim Redmond

There’s action on the state level to force the BART Board to create some level of civilian oversight for the BART police.

The action comes in the wake of the fatal shooting Jan. 1 of Oscar Grant — an apparent case of gross police misconduct caught on numerous cell-phone videos.

Assemblymember Tom Ammiano and state Sen. Leland Yee are introducing legislation to require some form of civilian oversight for the BART police. The state has every right to do that; the BART police only exist as a force with full peace officer powers because the state Legislature granted BART that authority in 1976.

Yee and Ammiano were responding to the shooting and to a Guardian editorial pointing out the long history of problems with the BART police and calling for civilian oversight.

Sup. David Campos will introduce a similar resolution at the Board of Supervisors soon.

Meanwhile, the BART police are saying they can’t talk to the officer because he’s resigned. That’s such nonsense — the guy is no longer a cop, so Internal Affairs can’t question him, but he is, by any standard, a homicide suspect, and the BART police, Oakland police and Alameda County Sheriff’s office can all seek to question him.

In fact, it’s likely he resigned because his lawyer suspects there might be criminal charges.

Peskin’s going-way gift

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By Tim Redmond

Aaron Peskin, who has generally been a good Board of Supervisors president, gave the city a nice going-away present at his last meeting, moving to call a special election in June to look for ways to raise new revenue.

It’s got the mayor’s panties all in a wad:

Mayoral press secretary Nathan Ballard said Newsom is in the middle of sensitive negotiations with labor and business leaders that could result in broad support for any cost-cutting or revenue-raising measures, but that Peskin’s legislation “threw a money-wrench into the plan.”

In other words, Gavin Newsom wants to squeeze labor for every penny he can get, and cut as much as possible out of the city budget — and the prospect that all that blood on the floor might not be necessary, that there’s actually a chance of bringing in new revenue, screws up all of his plans.

Too bad. There’s no way to cut $500 million out of the city budget without losing very essential services. Peskin did the right thing; at the very least, new revenue ought to be part of the budget discussions.

The class of 2008: an agenda

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OPINION Every few years, San Francisco’s political landscape is remade. But we, the new arrivals of the Board of Supervisors’ Class of 2008, know that the last decade of district elections helped ensure that the supervisors truly represent our neighborhoods and our shared San Francisco values.

Despite various efforts by special interests to paint us as out of step with everyday San Franciscans, the very strength of our campaigns was that they were rooted in the lives of actual residents who understood the choices before them. We campaigned on the best of our experiences — neighborhood activism, labor and community organizing, running nonprofits and small businesses, and championing public education and police accountability.

Despite our different districts and diverse constituencies, we rallied voters around real San Francisco values — the faith in the role of government to protect the most vulnerable and bring forth justice and equity; the trust in grassroots democracy and neighborhood-based activism; the pursuit of a safe and clean environment and sustainable development; the belief in the sanctity of immigrant, labor, and LGBT rights; the dignity of working families, seniors, and people with disabilities; and the pursuit of housing justice and economic opportunity for all.

While the Class of 2000 paved the way on many of these progressive values, we enter public office ready to build on this foundation while rising to the new and enormous challenges of today. San Francisco is not just facing a fiscal crisis; we are facing a quandary in which city government cannot do all that it aspires to do.

Our agenda is no less ambitious for the crisis we are in. It is because of the crisis that we need to create opportunity, direction, and hope where there is violence, confusion, and despair. Our San Francisco values mean that we will tackle public safety by addressing the root causes of violence by seeking rehabilitation and restorative justice and push for real police reform by promoting the kind of community policing that is built on relationships between neighborhood residents and the police.

Our San Francisco values prompt us to make our city budget more transparent. We will initiate new programs only with the certainty that important services are not cut in the process. We will do our best to protect critical frontline city workers from privatization and layoffs.

We will work collectively to maintain the city’s commitment to its public schools; promote public transit; foster sustainable development and new affordable housing connected to green and well-conceived public infrastructure; promote community choice aggregation and public power based on renewable energy; support local businesses and the hiring of San Francisco residents; safeguard our sanctuary city to make sure that immigrants can live free from fear of ICE raids; and fight to keep our vital neighborhood services working and our parks, libraries, and senior centers thriving.

We are committed to ushering in a new tone of cooperation and unity in San Francisco. Despite the enormous challenges and contending political views within the city family, we will work to ensure that our neighborhoods always win out over special interests. After all, politics is about improving the lives of everyday people. We look forward to working with you in this noble effort.

Supervisor John Avalos represents District 11. Supervisor David Campos represents District 9. Supervisor David Chiu represents District 3. Supervisor Eric Mar represents District 1.

Offies 2008

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› tredmond@sfbg.com

Wow. What a year.

Sarah Palin ran for vice president. Joe the Plumber got his 15 minutes. Gavin Newsom made out with Sarah Silverman. Eliot Spitzer seemed to be the only one in New York with any money left to spend. Dana Rohrabacher dressed in drag to go to prison. And O.J. Simpson finally managed to get convicted of something…. It was a year for the ages. And it’s finally, finally over.

HEY, GIVE THE POOR WOMAN A BREAK — YOU CAN’T SEE FRANCE FROM ALASKA

Sarah Palin took a call from a Canadian radio comedian posing as French Prime Minister Nicholas Sarkozy and remained on the line, convinced she was talking to a foreign leader, for several minutes as the comedian told her his wife was hot in bed and that he loved the Hustler smut film Who’s Nailin’ Paylin?.

FROM ALASKA, YOU CAN SEE RUSSIA, AND RUSSIA’S COLD, AND IF IT ISN’T IT WOULD STILL LOOK COLD, SO WHAT’S THE BIG DEAL?

Palin said the "jury’s still out" on global warming and that even if the climate was changing, she didn’t know what was causing it.

KILLING YOUR WIFE IS NOTHING, BUT DON’T YOU DARE STEAL FOOTBALL CARDS

O.J. Simpson faced more than 30 years in jail for stealing some sports memorabilia he said belonged to him.

AND FOR A FEW WEEKS, THE ENTIRE STATE OF WORLD DISCOURSE GOT A LITTLE BIT SMARTER

Ann Coulter broke her jaw and had her mouth wired shut.

WHAT IS THE VALUE OF HUMAN LIFE COMPARED TO A $99 FLAT-SCREEN?

A temporary worker in a Long Island, N.Y., Wal-Mart died when bargain-crazy crowds smashed through the store’s front door.

AND HE STILL GOT MORE VOTES THAN MCCAIN

Absentee ballots in an upstate New York county listed "Barack Osama" as a presidential candidate.

SEE, IT ALL DEPENDS ON WHAT THE MEANING OF "YOU BETCHA" IS

The Alaska legislature concluded that Sarah Palin had violated ethics laws when she tried to have her ex brother-in-law fired from the state police. Palin immediately announced that she had been cleared of any wrongdoing.

AND THIS WAS THE GUY WHO RAN THE ECONOMY ALL THOSE YEARS?

Former Federal Reserve Chair Alan Greenspan admitted there was a "flaw" in his free-market approach to economic policy, but said he wasn’t sure exactly what went wrong.

GREAT MOMENTS IN PUBLIC POLICY

A Treasury Department spokesperson announced that the agency had set $700 billion as the amount for the financial bailout because "we just wanted to choose a really large number."

THEY SAVED VILLAGES THAT WAY IN VIETNAM, TOO, BUT YOU MANAGED TO DUCK THAT WAR, SO YOU WOULDN’T UNDERSTAND

George W. Bush addressed the massive federal bailout of the banking system by saying, "I’ve abandoned free-market principles to save the free-market system."

WHY THE RICH ARE DIFFERENT FROM YOU AND ME

John McCain admitted he didn’t know how many houses he owned.

PROOF POSITIVE OF THE VALUE OF A YALE EDUCATION

President Bush, addressing the state of the economy, announced that "if money isn’t loosened up, this sucker could go down."

WHOOPS, GUESS THAT ONE ISN’T WORKING OUT SO WELL, EH?

Levi Johnston, who impregnated Sarah Palin’s daughter, Bristol, described himself as a "fucking redneck" who didn’t want kids.

THE CASE FOR A FEDERAL BAILOUT, #422

P. Diddy announced that the economy and the cost of fuel had forced him to give up private jet travel.

ENTIRELY APPROPRIATE FOR A MAN WHO’S AN ASSHOLE

A book by Cliff Schecter reported that McCain had called his wife, Cindy, a "cunt."

WELL, THEY’RE A LOT MORE POLITE ABOUT THESE THINGS DOWN IN BRAZIL

A Brazilian former exotic dancer said she’d had an affair 50 years ago with John McCain, whom she called "my coconut desert."

BUT DON’T WORRY, HILLARY, BARACK LIKES YOU FINE

Samantha Power, an advisor to Obama, called Hillary Clinton "a monster."

THAT’S RIGHT — THE ONE WHO KICKED YOUR ASS. THAT ONE.

In a presidential debate, McCain referred to Obama as "that one."

SUCH HIGH PRAISE FROM SUCH A WONDERFUL MAN

Illinois Gov. Rod Blagojevich referred to Obama as "that motherfucker."

NATURALLY — SHE LIVES IN ALASKA, AND YOU CAN SEE ENERGY FROM THERE

McCain said that Palin "knows more about energy than probably anyone in the United States."

FORTUNATELY, HE NEVER GOT TO THE OVAL OFFICE, SO SOME OF US MAY ESCAPE CUSTODY

In a speech, McCain referred to Americans as "my fellow prisoners."

AS LONG AS THEY SIP IT SLOWLY, SO AS NOT TO BURN THEIR ITTY-BITTY MOUTHS

McCain proclaimed that "we should be able to deliver bottled hot water to dehydrated babies."

NEVER MIND GRAN TORINO, THE WRESTLER, AND MILK — THE OSCAR GOES TO . . .

A TV station in Germany reported that the East German secret police had made private porno movies in the early 1980s with titles like Private Werner’s Big Surprise and Fucking for the Fatherland.

WHERE IS PRIVATE WERNER WHEN YOU NEED HIM?

Eliot Spitzer, the crusading governor of New York, had to resign after a federal sting operation found he had spent more than $80,000 on high-end prostitutes from the Emperor’s Club. On an FBI wiretap, a prostitute named Kristen, after an assignation with Spitzer, told her boss she’d heard that the governor would "ask you do to do things that, like, you might not think were safe" but that "I have a way of dealing with that. I’d be like, listen dude, do you really want the sex?"

NOTHING WRONG WITH THIS PICTURE, YOU BETCHA

Palin gave a speech on the economy while TV cameras captured a farmer beheading turkeys and draining the blood from their carcasses.

ANOTHER HERO FROM MCCAIN’S STRAIGHT TALK EXPRESS

Joseph Wurzelbacher rose to fame as Joe the Plumber after he confronted Obama and said that the Democrat would force him to pay higher taxes. It later turned out that Joe wasn’t a licensed plumber, owed $1,182 in back taxes, and didn’t make anywhere near enough money to be affected by Obama’s tax plans.

CROSS DRESSING, GRASSY KNOLL VARIETY

Rep. Dana Rohrabacher (R., Orange County) dressed in drag and pretended to be a human-rights worker named "Diana" to sneak into a state prison and badger Sirhan Sirhan, whom the congressman believed was part of a vast Arab conspiracy to kill Robert Kennedy.

IT’S FINE TO BLAST THE QUEERS, JUST DON’T GO BADMOUTHING AMERICA

Barack Obama, who was stung by criticism that his former pastor criticized America, chose for his inaugural convocation a pastor who says homosexuality is a sin.

LET’S SEE. 90,000 CIVILIAN DEATHS, THE RISE OF AL QAEDA, WATER, FUEL, AND ELECTRICITY SHORTAGES, GANGS OF ARMED THUGS IN THE STREETS … CAN’T IMAGINE WHAT THIS DUDE WAS UPSET ABOUT

An Iraqi journalist who threw two shoes at Bush was beaten badly by security guards; Bush later said he "didn’t know what the guy’s beef was."

WHY HE WOULD COVER UP THAT BEAUTIFUL HAIR, WE’LL NEVER KNOW

Mayor Gavin Newsom wore a cowboy hat and rode a horse for a photo shoot at his wedding.

PERHAPS MS. SILVERMAN CAN GET HIM TO PUT HIS HANDS AROUND THE CITY BUDGET, TOO

Newsom groped comedian Sarah Silverman on stage at a Democratic National Convention party after she said she wanted to "sexually discipline" him.

FIRE IN THE HOLE

An unknown arsonist with an unknown motive set more than half a dozen portable toilets on fire in San Francisco.

THIS, FROM A MAN WHO WROTE THE BOOK ON POLITICAL SLEAZE IN CALIFORNIA

Former Mayor Willie Brown complained about progressives using techniques from "Tammany Hall or Richard Daly’s Chicago" to take over the local Democratic Party.

HEY, SOMEBODY’S GOT TO CHANNEL MR. MAGOO

Witnesses reported seeing Carole Migden talking on her cell phone and reading while rapidly changing lanes at 80 mph on the freeway shortly before she crashed into another car. One caller to the state police asked officers to "please get out here, she’s scary."

NOW THAT WE KNOW WHO’S REALLY IN CHARGE AT CITY HALL, WE CAN STOP WASTING OUR TIME WITH THE ELECTED OFFICIALS

Newsom’s press secretary said that reporters wondering about the mayor’s position on public power should ask Pacific Gas and Electric Co. consultant Eric Jaye.

MY GOD, YOU WOULDN’T WANT ANY HUNGRY PEOPLE TO ACTUALLY EAT THE MAYOR’S FOOD

Newsom spent more than $50,000 in city money protecting his slow-food victory garden near City Hall from homeless people.

I’M HAPPY TO WORK WITH YOU, AS LONG AS I DON’T HAVE TO TELL YOU ANYTHING AND YOU DON’T ASK ANY QUESTIONS

Newsom appeared before the Board of Supervisors to discuss his budget cuts, but didn’t actually hand out the budget proposal. Press aides handled that job two hours later.

SINCE THAT APPROACH HAS WORKED SO WELL WITH RAPE VICTIMS

Sam Singer, a $400-per-hour flak for the San Francisco Zoo, sought to blame the victims of a tiger attack by saying that they were drunk and asking for it.

WE’LL GET THOSE BUGGERS — AND THEIR LITTLE DOGS, TOO

California officials threatened to bombard the Bay Area by spraying hazardous moth pheromones from helicopters to eradicate an agricultural pest that has probably been around for decades and will almost certainly survive the assault anyway.

YOUR RATEPAYER DOLLARS AT WORK

PG&E spent $10 million to fight a public power proposal.

THE CROWDS CHEERED A DRAMATIC EVENT AS THE OLYMPIC SPIRIT OF INTERNATIONAL COOPERATION CAME TO ONE OF THE WORLD’S GREAT CITIES . . . OH WAIT, THAT MUST HAVE BEEN SOMEWHERE ELSE

Newsom decided to avoid protests by keeping the route of the Olympic torch relay secret.

ANOTHER SIGN OF POLITICAL BRILLIANCE FROM THE MAN WHO WOULD BE GOVERNOR

Newsom tried to mess with the supervisors by having voters support his Community Justice Center, which the voters then rejected.

WHEN THERE ARE NO PROBLEMS LEFT FOR THE WORLD’S GREAT RELIGIONS TO SPEND MONEY ON

The San Francisco Catholic archbishop helped convince Mormon leaders to join him in pouring millions of dollars into defeating same-sex marriage.

Peskin declares emergency, calls special election

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By Sarah Phelan

With the next regularly-scheduled election not until November 2009 — that’s nearly halfway through the fiscal year and too late to address the City’s staggering $575.6 million projected deficit, which threatens to kill or maim just about every program and service that local citizens hold dear–termed-out Board President Aaron Peskin used his last day on the Board of Supervisors to call for a June 2 municipal election “for the purpose of submitting revenue and fiscal measures to the voters.”

But, as Peskin’s resolution notes, to conduct an election on such short notice, the City must modify certain election procedures and deadlines. And such modifications are permissible if the Board finds an emergency

“The Board of Supervisors therefore finds that an emergency exists,” Peskin’s resolution states.

“This emergency ordinance will ensure that the City is able to submit and the voters are able to consider revenue measures designed to avoid the impending deficit threatening the public health, safety and welfare.”

Suggested measures include

**A possible increase in sales tax “and a possible dedication of the proceeds of the tax increase to emergency health and human services and to public protection.”
**A possible increase in the payroll tax
**A possible new residential utilities users tax
**A possible increase in the commercial utilities users tax
**A possible new parcel tax
**A possible new gross receipts tax on residential rental income
**A possible new gross receipts tax on commercial rental income
**A possible new gross receipts tax on all commercial transactions
**A possible new surcharge on the parking tax
**A possible amendment to the City charter to allow the City to appropriate up to 100 percent of the current balance in the Rainy Day Reserve, not to exceed 20 percent of the projected deficit in years in which budgetary deficit of $250 million or more is projected

A possible new charter amendment that would cap all set-asides at their Fiscal Year 2008-2009 level, allow the City to reduce its contributions during budgetary shortfalls, and provide that year-end surpluses be returned to the General Fund.

Peskin is proposing to modify the election code so the Board can consider such measures fewer than 30 days after receiving drafts and legislative digests, if both are delivered to the Clerk of the Board at least 72 hours prior to committee hearings and made available to the public at that time.

Wow. Sounds like the incoming Board is going to be pretty darn busy.

On a related note, Sup. Sean Elsbernd introduced a charter amendment for the November 3, 2009 election, requiring that “one-time revenues be spent only for one-time uses, unless otherwise authorized by the Board.” In other words, not on salaries. Stay tuned.

Chris vs. Ross on the board presidency

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The Guardian last week wrote an editorial endorsing Sup. Ross Mirkarimi for the presidency of the San Francisco Board of Supervisors. Sup. Chris Daly and Mirkarimi responded. Here are their letters that will appear in Wednesday’s Guardian. The president will be chosen by the new board on Thursday in a special board session following the swearing in ceremony of the supervisors at noon in the supervisors’ chambers at City Hall. B3

DALY MAKES THE CASE FOR AVALOS

I support John Avalos for board president because I believe he is the best choice to lead the new progressive Board of Supervisors in these tough times (See “The next board president,” 12/31/08). His progressive politics are grounded in decades of community and labor organizing work. Avalos is universally liked and respected (which seems to differentiate him pretty well from me!) and has an uncanny ability to bring people together.

Let’s be honest with everybody here. There are maybe five or six legislative assistants who are more involved in the day-to-day running of the board (and the city, for that matter) than several members of the board. Over the last four years, I have watched as Avalos adroitly guided the budget process, always taking time to hear from everyone while watching out for our city’s most vulnerable. He may know more about the city budget than I do. Putting the supervisor with the most hands-on budget experience in our top leadership spot is not risky, it’s smart.

I am not angry with Sup. Ross Mirkarimi, and I never claimed to be. Mirkarimi did, however, compromise the progressive position in 2007 when he chose to fund more cops over affordable housing and gave the People’s Budget little to no political cover when the mayor’s forces unleashed a full assault against our budget priorities.

Mirkarimi’s four years on the board does not automatically make him the best candidate, but it should provide him with enough insight to make the same choice I did to allow another progressive to lead.

Chris Daly

San Francisco

MIRKARIMI: IT’S ABOUT ISSUES

I thank the Guardian for the endorsement for Board of Supervisors president. The contest for the presidency needs to reflect our values and focus on record and vision.

The leadership fight thus far has taken on an unprogressive machine-like demeanor, bullying for a desired outcome. This sets a troubling tone, one that I haven’t responded to because the real fight is defending our city and those most vulnerable from the economic crunch that threatens to claim all. The real challenge is to innovate revenue enhancement and job creation measures that hedge against a sustained downturn. The real need is to develop an inclusive climate on the Board of Supervisors that respects our differences while advancing progressive governance. And the real difference is that I am independent enough where I see consensus building as a more effective method than division and dysfunction.

Ross Mirkarimi

San Francisco

Mayor Newsom’s YouTube hypocrisy

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OPINION Mayor Gavin Newsom’s "State of the City" YouTube fiasco — in which city SFGTV employees helped create 7.5 hours of non-mandated programming — is complete hypocrisy.

While the mayor touts technology and transparency of his efforts, he has opposed using available technology to broaden access to public meetings in City Hall, even though that is now mandated under the Sunshine Ordinance. Why are we getting Internet speechifying, rather than transparent access to City Hall meetings?

If you’ve ever wanted to listen in on what are now essentially secret, backroom policy discussions and decisions being made in San Francisco’s City Hall, you’re not alone.

If you’ve ever imagined being able to hear those conversations — while you’re sitting at home or in your office, during your drive to work, while on Muni/BART, enjoying a java in your favorite café, or really anywhere — the technology is already in place. You could use your iPod or MP3 player, or listen to a podcast, similar to using Books on Tape.

Right now only about 30 of the 80-plus regular City Hall meetings are televised and posted online for on-demand or downloaded viewing. Some of the remaining 50-plus meetings are at least audiotaped, but they require awkward and costly procedures to obtain them.

In an effort to increase transparency of San Francisco’s government, Sup. Ross Mirkarimi introduced legislation earlier this year to expand the recording mandate and require online posting within 72 hours after a meeting. Currently only policy bodies must audiotape their meetings, but Mirkarimi’s mandate extended the recording requirement to other City Hall agency and departmental hearings, and to lesser-known passive meeting bodies. It was such an obvious and popular idea that the Board of Supervisors overwhelmingly supported it and subsequently overrode Newsom’s veto.

Newsom continues to claim the enhanced transparency mandate would be too costly, but simple research has shown that the city has all the equipment, contracts, and staff in place to implement Mirkarimi’s transparency mandate today. In fact, any laptop or $40 digital recorder can make the recording, and posting online is similar to the few steps needed to upload a YouTube video.

It appears the mayor just doesn’t want anyone to see the sausage he’s making, unless he can script and control it. Other City Hall bureaucrats blocking this include Jack Chin, head of SFGTV; Angela Calvillo, clerk of the board; and Frank Darby, Calvillo’s administrator of the Sunshine Task Force. They all raise spurious complaints, pass the buck, and refuse to discuss reasonable accommodations, apparently following mayoral prohibitions despite the board’s veto override.

The Sunshine Ordinance requires all civil servants to prioritize compliance over any other duties when there is a conflict, and failure to obey the law is official misconduct.

It’s sad that Newsom, city employees, and City Attorney Dennis Herrera are doing everything they can (by action or by ignoring these daily violations) to prevent the ability of the media and the public to have this transparency. Needless to say, with the looming city budget deficit, our interest in following these detailed machinations is at an all-time high.

We should demand that City Hall’s foot-dragging cease, by implementing Mirkarimi’s legislation immediately.

Kimo Crossman is a government watchdog and a member of San Francisco’s Sunshine Posse. Crossman can be reached at kimo@webnetic.net. Open government advocates Joe Lynn and Patrick Monette-Shaw contributed to this report.

The next board president

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EDITORIAL We’ve had our fights with Aaron Peskin. He’s been on the wrong side of some key votes and issues, and he’s had a penchant for political games. But on balance, he’s been a good Board of Supervisors president. He made sure that progressives controlled the Budget Committee; he kept legislation on track; he helped put together the votes for good bills (and made sure that bad ones died) — and perhaps most important, he established himself as the leader of the loyal opposition, the person who took the front role in fighting the worst ideas of Mayor Gavin Newsom.

That’s a crucial role at a time when the mayor’s office is foundering, when the chief executive is thinking more about his political future than the city’s present problems, and when the center of policy leadership in San Francisco has shifted from the mayor to the board. It’s a job that requires experience and political acumen. And since the progressives fought mightily to keep a majority on the board, the top job simply must go to one of the six solid progressives who will be sworn into office Jan. 8.

Our clear choice is Sup. Ross Mirkarimi. He’s compiled an excellent record in his first term, crafting environmental legislation (like the ban on plastic bags), leading the community choice aggregation (CCA) effort, and pushing effective, progressive approaches to crime. He has a long, distinguished record as an activist and organizer, running campaigns for sunshine and public power and for Terence Hallinan for district attorney and Matt Gonzalez for mayor. He devoted most of his first term to district and a few citywide issues and hasn’t done as much as some other supervisors to build his own political constituency on the board, so as president, he’d have to make an effort to help his colleagues promote their own legislation. He’s made no secret of his interest in running for mayor in three years, and he would have to make sure that his ambitions didn’t overwhelm his ability to keep good working relations with potential opponents on the board.

But he’s shown in his dealings with the police, the community, and the mayor’s office around crime in the Western Addition that he can be a forceful advocate and work toward effective consensus at the same time. And he’s well situated to lead the progressive coalition in developing its own agenda.

Mirkarimi would appoint good committees, make sure that the Local Agency Formation Commission (the center of public power efforts and the only agency focusing on the city’s alarming lack of an energy policy) remains in place (with strong leadership), and have no trouble standing up to the mayor. The progressives on the board should support him.

However, that’s not as simple a prospect as it ought to be. Sup. Chris Daly, who claims he is still angry at Mirkarimi for one vote on one bill several years ago, has told us he wants to see someone else elected board president. That’s foolish, and Daly ought to back off and support the most experienced progressive for the job. Splitting the left like this, and damaging a potential mayoral candidate, would do no good for the progressive movement. And those who argue that Mirkarimi, as a Green Party member, would be less effective are making matters worse — there’s no reason for the Greens and progressive Democrats to be fighting each other. But several of the newly elected supervisors — particularly John Avalos, a former Daly aide — have thrown their hats into the ring. That’s led several supervisors to suggest that a compromise candidate from the more moderate bloc ought to be seriously considered — possibly Sophie Maxwell or Bevan Dufty.

We understand Mirkarimi’s frustration with Daly’s ploy and his disdain for the prospect of putting a Daly ally in the top board position. And we agree with both Mirkarimi and Sup. Sean Elsbernd, who have argued that, with the nearly cataclysmic budget crisis and all the other issues facing the board, it would be risky to put a newcomer in the presidency.

But in the end, the board president ought to be someone we can count on to appoint progressives to key committees and fight the mayor’s regressive policies. And with all due respect to Maxwell and Dufty, we don’t see either of them in that role. So if the balloting drags on and it’s clear Mirkarimi can’t get six votes, he ought to be a statesman, put the progressive agenda first, and vote for another progressive.

Editor’s Notes

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› tredmond@sfbg.com

I was going to do New Year’s resolutions this week. I got started: turn the cell phone volume down when the kids are in the car and Aaron Peskin is on the line. ("That man sure does like to use the f-word when he talks about PG&E," my nine-year old noted this fall.) Stop shouting "Yo, asshole!" when cars come too close to my bicycle. (I know I can be way more creative and foul-mouthed than that.) Return Gavin Newsom’s phone calls. (Hey, the poor guy must be lonely.)

But really, it’s not all about me.

So instead, in honor of the end of the Bush Years and in the hope of a 2009 we can all be proud of, here are some things I would like to see other people do:

I would like to see the California Legislature and US Congress raise the gas tax enough to bring the price to about $3 a gallon, making sure SUVs remain unattractive forever.

I would like to see the new progressives on the San Francisco Board of Supervisors make open government a real priority; I would like to stop having to fight to get even routine information out of City Hall. I would like everyone in public office to read Bob Herbert’s column in Dec. 27’s The New York Times and understand that one reason FDR was successful with the New Deal was that he understood the importance of restoring faith in government; transparency, accountability, and oversight were a central part of the package.

I would like Anchor Steam to start making a light beer.

I would like someone to get Wi-fi installed at City Hall.

I would like Gavin Newsom to stop hiding behind Nathan Ballard.

I would like the right lane of the stretch of I-80 near Lake Tahoe repaved so those of us with small cars don’t get bounced up and down like ping pong balls.

I would like the federal drinking age lowered to 18.

I would like everyone to stop talking about the death of newspapers and stop pretending that blogs and citizen journalism can ever replace full-time trained reporters.

I would like the San Francisco police to stop turning immigrants over to the feds.

I would like the executive editor of Village Voice Media to shave his head, move to Tibet, become a monk, and accept the karmic implications of the way he’s lived his life.

I would like the state to tax the millionaires instead of the college students.

I would like some really rich person to die and leave $20 million for a public power campaign so that for once we could match Pacific Gas and Electric Co.’s money and have a fair fight.

I would like Barack Obama to appoint Arnold Schwarzenegger ambassador to some meaningless country so we can have a new governor.

I would like Newsom to liquidate his personal fortune and use the money to pay rent and grocery bills for the front-line city workers he’s laying off.

I would like the Catholic archbishop of San Francisco to quit the gay-hating.

I would like all my fellow dog owners to clean up the poo on the sidewalk.

I would like to be able to ride high-speed rail to Los Angeles before I start collecting Social Security. Happy New Year.

Up against ICE

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› sarah@sfbg.com

The San Francisco Immigrant Rights Defense Committee, a newly formed coalition of more than 30 community groups, is asking Mayor Gavin Newsom and the Board of Supervisors to sign a pledge supporting San Francisco’s immigrant community.

By signing the pledge, city officials would agree to uphold the city’s sanctuary ordinance, ensure that San Francisco police officers don’t act like immigration agents, and denounce racial profiling. They would also agree to denounce Immigration and Customs Enforcement (ICE) raids and ensure that immigrant youth get due process, that funding for immigrant communities continues, and that the city announce a specific date for implementing San Francisco’s municipal identification program.

The move could put Newsom in an awkward situation — the mayor doesn’t want to appear to be snubbing immigrant-rights leaders, but he also has moved in the past few months to distance himself from the city’s liberal sanctuary law.

So far the coalition has not heard back from Newsom, but some supervisors-elect and returning supervisors have already signed it, and the Mayor’s Office has signaled that the municipal identification program will kick in Jan. 15.

The move to get elected officials to sign a pledge comes at the end of a difficult year for the immigrant community. In May, the federal government challenged San Francisco’s sanctuary ordinance after immigration agents stopped a city juvenile probation officer in Houston.

The officer, who was repatriating a group of Honduran youths who had been busted for selling crack, believed he was acting in accordance with city’s policy. The federal agents, who took the young people into custody, eventually released the officer.

And it wasn’t long before US Attorney Joseph Russoniello, a staunch opponent of the sanctuary ordinance, convened a grand jury to see whether the city used the sanctuary policy to harbor immigrant felons from federal prosecution.

The city countered this attack by hiring high-powered criminal defense lawyer Cris Arguedas. But by then the damage to the city’s sanctuary policy had already been done: in June, someone leaked the details of confidential juvenile court cases to the San Francisco Chronicle. One day after the story hit the newsstands, Newsom — who until then was a staunch sanctuary ordinance supporter — did an about-face, announcing that he would require city officials to refer youth suspected of being undocumented and of having committed a felony to Immigration and Customs Enforcement (ICE) even before they have a hearing.

Immigrant rights groups decried Newsom’s new direction, calling it an overly broad policy that had the potential to lead to deporting innocent people who may not have family or relatives in their county of origin.

As Angela Chan of the Asian Law Caucus pointed out, based on Juvenile Probation Department data, in 2006 there were 288 petitions filed against Latin American juveniles, but only 211 were sustained. Had Newsom’s policy been in place, 77 juveniles who weren’t actually found to have committed a felony in San Francisco could have been reported to ICE when they were booked and might have been wrongly deported.

While Newsom’s gubernatorial ambitions were blamed for his sudden change of heart, critics also pointed the finger at his criminal justice director, Kevin Ryan. A Republican loyalist, Ryan was the only US Attorney to be fired for cause during US Attorney General Alberto Gonzales’ infamous purge of the Justice Department in December 2006.

His December 2007 hiring by Newsom was seen as a calculated move to make the mayor-who-would-be-governor look tough on crime and immigrants — cards that play well among voters in more conservative parts of the state.

It didn’t help that Ryan’s hiring coincided with Russoniello’s second term as US Attorney for the Northern District of California.

Public records obtained by the Guardian show that as the Chronicle series unfolded, Ryan and Newsom’s communications director, Nathan Ballard, began to question whether the city should even fund programs or organizations that serve undocumented youth.

With ICE raids intensifying — May 2 at El Balazo Taqueria, Sept. 11 at a private residence — and the community accusing the police of racial profiling, the San Francisco Immigrant Rights Defense Committee chose Dec. 18, International Migrants Day, to publicize its pledge.

As of press time, Newsom has refused to meet with the committee, and Chan from the Asian Law Caucus, told us that members are "feeling snubbed."

But Chan reports that SFPD Chief Heather Fong, who announced Dec. 20 that she will be retiring in April, 2009, did meet and listen to the coalition’s concerns. "She reiterated her position that the SFPD only collaborates when ICE is seeking a specific list of people," Chan said.

With Fong under attack from within her own department for her refusal to let officers collaborate with ICE, the community is now abuzz with rumors that a hardliner could now be handed the chief’s reins.

Meanwhile, Supervisor-elect John Avalos and Sups. David Campos and Chris Daly have signed the pledge, while Supervisor-elect Eric Mar and Sup. Bevan Dufty have signed modified versions. And at the Dec. 18 Migrants Day protest, Sups. Jake McGoldrick and Ross Mirkarimi and Supervisor-elect David Chiu (who noted that Sup. Carmen Chu, while absent from the rally, is an immigrant rights supporter) joined gay rights and labor and religious leaders in announcing support for the coalition’s platform, which seeks to make dignity, equality, and due process a reality for all San Franciscans, including immigrants.

As Eric Quezada, Dolores Street Community Services executive director, told the crowd, "We’re here to defend the fundamental human rights of all immigrants." *


P.S. The San Francisco Immigrant Rights Defense Committee is a growing alliance encompassing immigrant rights advocates, labor groups, faith leaders, and LGBT activists. The committee includes the ALDI, Arab Resource and Organizing Center, Asian Law Caucus, Asian Youth Advocacy Network, Bay Area Immigrant Rights Coalition, Central American Resource Center, Chinese for Affirmative Action, Communities United Against Violence, EBASE, Global Exchange, H.O.M.E.Y., Filipino Community Center, Instituto Familiar de la Raza, La Raza Centro Legal, La Voz Latina, Legal Services for Children, Mission Neighborhood Resource Centers, Movement for Unconditional Amnesty, Mujeres Unidas y Activas, PODER, POWER, Pride at Work, SF Immigrant Legal & Education Network, SF Labor Council, SF Organizing Project, St. Peter’s Housing, Tenderloin Housing Clinic, and Young Workers United.

Powerless

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> amanda@sfbg.com

GREEN CITY Sup. Sophie Maxwell, who represents a disproportionately polluted district that is host to the city’s only fossil fuel-burning power plant, has introduced legislation to change the way energy flows into and around the city.

The ordinance collates some past resolutions already affirmed by the Board of Supervisors — to close the Mirant Potrero Power Plant as soon as possible and to request that the San Francisco Public Utilities Commission conduct a transmission-only study to update the city’s Electricity Resource Plan (which is currently based on building a new peaker power plant in the city in order to shutter Mirant’s older, more polluting facility).

Maxwell’s legislation further calls on the city to provide 100 percent clean energy by 2040 — a mandate lifted directly from Proposition H, a clean energy and public power act that was voted down in November.

But the three elements of the ordinance, which was co-signed by outgoing Sup. Aaron Peskin, are somewhat lacking.

The clean energy goals outlined by Maxwell only apply to the SFPUC — not to anyone who gets a Pacific Gas and Electric Co. bill — and SFPUC power is already almost 100 percent clean, consisting mostly of Hetch Hetchy hydroelectric, solar, biomass, and a small amount of cogeneration. (Large hydro and cogeneration do not meet the state’s definition of renewable, but they are considered among the greenest kinds of "brown" power.)

Prop. H would have required the city to conduct an energy study, and specifically stated that the option of city-owned and operated power be considered as part of the study. Subject to board and mayoral approval, the city could have public power if it was determined to be the most efficient and economic way to provide 100 percent clean energy to all citizens by 2040.

Neighborhood and environmental activists, including Julian Davis, who ran the Prop. H campaign, Tony Kelly of the Potrero Boosters, and John Rizzo of the Sierra Club, said they weren’t consulted or even clued in that the Maxwell legislation was being introduced. Rizzo called the clean energy goals "window dressing," and said, "It doesn’t accomplish what Prop. H does."

"I was surprised by the Maxwell ordinance," said Sup. Ross Mirkarimi, one of the authors of Prop. H, which Maxwell, Peskin, and six other supervisors endorsed. "We hadn’t learned of it until the day it was introduced. I believe it’s going in the right direction but I’d like to see it more committed to its insistence on public power — not just elements of Prop. H, but public power so that we are able to be clear about what forms of energy independence, clean energy, renewable that the city should administer."

Maxwell’s aide, Jon Lau, said they did reach out to Mirkarimi’s staff, as well as Mayor Gavin Newsom’s office, and the legislation was written broadly so that there was "something here for everybody if you’re interested."

"The ordinance she introduced is sort of agnostic toward public power," he said. "But it could and should be part of the analysis to the extent that we study residential needs in the city. It’s totally relevant to have a public power analysis." He called public power a "flash point," and said, "The whole conversation would be about that."

Rizzo said the legislation doesn’t demand anything of PG&E, in terms of clean energy goals, but Lau said they don’t have the authority to legislate a private company’s energy procurement. "We can’t just dictate goals for PG&E."

The board doesn’t have the authority to close Mirant either — the gas and diesel power plant operates with a Reliability-Must-Run contract and the state’s grid operator, California Independent System Operator (Cal-ISO), has said Mirant must run or be replaced by some other in-city, instantly available power generation.

The plant also operates with a water permit from the Regional Water Quality Control Board, and though City Attorney Dennis Herrera, Maxwell, and Peskin recently sent a letter urging no renewal of the permit, which expires Dec. 31, the water board seems to be waiting for the plant to close by some other means rather than taking up the issue. "I’m currently reworking the permit reissuance schedule without Potrero because Potrero’s status is really more like ‘to be determined’ at this point," wrote water board staff member Bill Johnson in an e-mail to the Guardian. Because the board hasn’t acted on it, the permit will automatically be extended on Jan. 1, 2009, meaning the plant will be operating indefinitely until the water board makes a final decision or some other way to close it is found.

There’s almost unanimous approval throughout the city that beefing up transmission lines would be better than building a power plant or allowing Mirant to keep operating. Transmission is also one way the city could gain more control of energy resources and potentially save, and even make, some money.

On Dec. 15, Barbara Hale, assistant general manager for power, sent a request to Cal-ISO asking that two new SFPUC transmission proposals be considered as part of the state’s regional planning. They include upping the voltage of existing lines between the Hetch Hetchy dam and Newark, and adding a new line between Newark and Treasure Island, which would allow Hetch Hetchy power to travel exclusively on city-owned lines. The city currently pays PG&E $4 million per year to carry Hetch Hetchy power from Newark into the city — a fee San Francisco has been paying since 1925 when the city, during construction of the transmission lines between Yosemite and the Bay, mysteriously ran out of copper wire just a few miles shy of PG&E’s Newark station.

The new line would run under the bay, using an existing SFPUC water pipeline right-of-way. "This pathway will allow transmission lines to traverse the environmentally sensitive Don Edwards Regional Wildlife Preserve [in Newark] that is likely to be a bottleneck between PG&E’s pivotal Newark substation and the substation serving the Peninsula," the letter states. The SFPUC also predicts some possible cost recovery from Cal-ISO for building the Newark line because it would improve regional reliability. The agency also says it’s exploring partnerships with other municipal utilities for joint ownership.

New board, old pain

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› sarah@sfbg.com

One of the first tasks awaiting the new Board of Supervisors in January 2009 is to make unprecedented cuts to the city budget as San Francisco seeks to balance a $125 million mid-year shortfall and address a projected $450 million deficit for the fiscal year that begins July 1, 2009.

"It’s hard to understand the magnitude of what lays at our doorstep," termed-out board president Aaron Peskin told the incoming supervisors when it became clear that he lacked the votes to enact a proposed package of cuts before his last day in office (see "Sharing the pain," 12/17/08).

"This is going to require a huge amount of selflessness, of sharing the pain among those who can share it the most and the least," warned Peskin, whose last day on the job is Jan. 6.

Newly sworn-in Sup. David Campos cited the magnitude of cuts as one of the reasons he voted not to move Peskin’s legislation out of a committee last week.

"I need more time to understand the proposal", said Campos, who took office in early December, only to find himself confronting "the worst crisis since the Depression," as Mayor Gavin Newsom called it during a visit to the board.

"And this way, the new board gets to weigh in," added Campos, who joins seven returning supervisors — Michela Alioto-Pier, Carmen Chu, Chris Daly, Bevan Dufty, Sean Elsbernd, Sophie Maxwell, and Ross Mirkarimi — and three new supervisors: John Avalos, David Chiu, and Eric Mar.

The decision to delay budgetary cuts until 2009 also secured an extra month of grace for community service providers. Peskin and the Mayor’s Office agreed that cuts scheduled for mid-January won’t kick in until Feb. 20.

But, as Daly noted as he urged the board to kill Newsom’s million-dollar, Tenderloin-based Community Justice Court, the 409 pink slips that were recently issued predominantly to front-line city workers have not been rescinded.

"And folks will have to find many more millions to avert terrible community cuts," Daly observed. Peskin warned that the CJC could cost $2 million annually if the federal government isn’t willing to fund it next year.

Daly argued that defunding the CJC was a "no-brainer," citing the project’s lack of community support and the fact that the services it aims to divert people to — substance abuse, mental health, and homeless programs — are up for cuts.

But Daly failed to get a veto-proof super-majority after Sup. Gerardo Sandoval, who was elected to the Superior Court in November, recused himself, and Sup. Bevan Dufty, who has his eye on Room 200, voted in favor of the mayor’s project.

"I don’t see this as a new program, but one that tries to tie together what’s already in the community justice system," Dufty said.

With the bad fiscal news expected to snowball in 2009, Daly says he plans to call for hearings to examine the possibility of more cuts to upper-level city managers.

"It’s incumbent upon us to make sure there is not fat left in the city budget, especially when it comes to upper-level managers, as we are trimming the resources available to those who are more vulnerable," Daly explained.

Conservatism’s last stand?

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As Tom Ammiano moved from the San Francisco Board of Supervisors to the California Assembly at the start of the month, he went from the budgetary frying pan right into fiscal fire, a place where the Republican Party’s "no new taxes" pledge has finally turned the political heat up to an unbearable level.

"I think the state’s road is very, very difficult, and the city’s road is very difficult," Ammiano told the Guardian. "There is a failure of leadership on [Gov.] Arnold [Schwarzenegger’s] part. I’m not giving [Mayor Gavin] Newsom an A+, but he at least came to the board."

The difference lies with the anti-tax pledge by the influential right-wing group Americans for Tax Reform that all Republican legislators have signed. Combined with the requirement for two-thirds of the Legislature to approve state budgets, the pledge has made it impossible to close a state budget deficit pegged at $40 billion over the next 18 months, a gap that could shut down state government by March.

"No matter how nice the Republican next to me is, or how gay friendly, they’re doctrinaire and they have everyone by the cojones," Ammiano said.

Senator Mark Leno says now is the time for Democrats to aggressively fight back against an inflexible anti-tax stand that has eroded critical government services for a generation and has now finally reached a crisis point. The conservative crusade has been led largely by ATR head Grover Norquist, who once famously said he wants to shrink government to the level where he can drown it in the bathtub.

"Every Republican has signed a pledge to someone who wants to drown government in a bathtub — Grover Norquist. So nothing will happen until we rip up those pledges," Leno told me, noting that the two-thirds vote margin is just three Republicans each in the Assembly and Senate. "Six human beings are bringing us to our knees."

Even the conservative editorial page writers of the San Francisco Examiner (who endorsed John McCain for president) on Dec. 15 wrote, "the deficit has become so overpowering that — hate it all we want — California cannot continue functioning in 2009 without at least temporary tax raises."

Yet Norquist and the Republican legislators in his thrall haven’t softened their position one bit and instead hope to win deep cuts with this game of brinksmanship. "Now it’s up to the governor to come up with a budget that doesn’t borrow money and doesn’t raise taxes," Norquist told the Guardian.

He said the problem is that California hasn’t adopted a system of making a searchable, detailed list of all government expenditures available to the public, as they have in states like Texas, Missouri, Kansas, Oklahoma, and Alaska.

"Ralph Nader and I have joined in sending three letters to your governor asking them to go transparent," he told us. "To say you’ve cut the budget as much as possible without having 30 million Californians help look at what makes sense and how to cut the budget is not serious. There’s not been a serious effort in California to scrub the budget, period."

Norquist did not return Guardian calls with follow-up questions about the fact that few credible government watchers think the budget gap can be closed with cuts alone or whether the current standoff — which even Schwarzenegger blamed on legislative Republicans — could hasten the demise of conservatism. But for now, conservatives are standing firm.

Senate Republican leader Dave Cogdill put out a statement saying, "Raising taxes doesn’t solve the underlying problem of California’s budget, which is the state spends more than it takes in." His statement may not be true — after all, raising taxes does indeed address that problem — but his caucus is sticking to it for now.

"Republicans remain strong against tax increases and that’s particularly important now when the nation is facing a recession," Sabrina Demayo Lockhart, press secretary for the Senate Republican Caucus, told the Guardian.

Leno called the tax pledge "childish and irresponsible," and akin to Democrats saying they won’t consider any spending cuts. "What kind of honest negotiations can there be when they’ve signed that pledge?" Leno said.

Lockhart countered that, "we’re bargaining in good faith for California taxpayers." Asked about the potentially devastating impact to the economy of shutting down all state spending and projects, Lockhart denied the Republicans were being irresponsible: "The responsible thing to do is project California taxpayers and jobs."

The Legislative Analyst’s Office last year put out a report entitled California’s Tax System: A Primer in which it wrote "California’s tax burden is about average," and in fact less than the industrial states’ average of under $12 for every $100 of personal income. And US tax rates are about 15 percent less than those in the European Union.

Leno has reached out to business leaders to have them try to talk some sense into the Republicans. Ironically, despite the Republicans rationalizing their pledge in the name of not wanting to hurt economic growth, the collapse of the bond market combined with the budget impasse threatens to cut off all state spending and send the already weakened economy into a nose dive.

"I wouldn’t think that anyone with a business mind or business concerns would in any way support the status quo right now," Leno said.

Leno said that even the Chambers of Commerce in San Francisco and Los Angeles are advocating for a reinstatement of the vehicle license fee, something that Schwarzenegger has voiced openness to even though his crusade against it helped sweep him into office five years ago. LAO figures show the lack of a VLF, by the end of the current fiscal year, will have cost the state $43.3 billion since it was repealed.

Leno said the Democrats are planning ballot measures for next year to raise revenue and repeal the two-thirds budget vote requirement, which only California, Rhode Island, and Arkansas have. As the state’s budget crisis devastates state services as well as those at county and city levels, Leno hopes this will be Norquist’s final stand.

"No one expects we can make $40 billion in cuts," said Leno, who hopes that the situation illustrates the intellectual bankruptcy of the right-wing stance.

"We do know there’s opportunity in crisis," Leno said. "It’s getting really ugly now and everybody knows it."

Editor’s Notes

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› tredmond@sfbg.com

San Francisco’s not ready to make $118 million in budget cuts.

I realize the city can’t operate at a deficit, and if payment due exceeds accounts received, something has to be done. But it can wait a few weeks. In fact, the final decisions ought to wait for the new Board of Supervisors to take office in January. The city won’t go broke in the meantime.

But Mayor Gavin Newsom is rushing his cuts through, demanding 400 layoffs and taking a hatchet to the Department of Public Health. There are all sorts of alternatives — our editorial in this issue looks at how the city can bring in more revenue. There’s also a lot more sanity needed as the board and the mayor look at what could be devastating reductions in essential public services.

For example: I like the 311 program. It’s convenient. But I’d rather wait longer for my non-emergency call to be answered than to have public health workers lose their jobs. And the 311 budget hasn’t been touched.

Police and fire are, of course, essential — but it’s insane to give the cops and firefighters, who are among the best-paid city workers, a 7.5 percent pay hike this year while social service workers are getting laid off.

It’s lovely to have more fire stations per square mile than any other big city in California, but there are nowhere near as many fires as there were when the system was designed, and closing some down would save millions.

How come the mayor still has seven people in his press office, most of whom are paid to keep the press from finding out what’s going on?

Why are we talking about cutting the $800,000 Small Business Assistance Center, which actually helps the most important sector of the economy, when there’s $10 million, much of it redundant, in the mayor’s Office of Economic Development?

Why is Dean Macris, the former city planning director, still hanging around and getting paid?

Wouldn’t an across-the-board wage freeze be better than layoffs? What about capping the pay for city employees at $150,000 a year? What about capping police overtime?

What about having all these discussions in public, before the mayor sends out pink slips?

Or would that just make too much sense?

Beyond the bloody cuts

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EDITORIAL There’s actually a bright side to the brutally depressing budget struggles in San Francisco and Sacramento. This could be the year Californians finally start to recognize that they can’t have a functioning state, with the services everyone wants, without paying taxes. It could be the end of the Republican lie that the budget problem is only on the spending side, the end of the famous no-new-taxes pledge — and the end to the requirement that two-thirds of the Legislature pass any budget, an archaic rule that is crippling California.

And with a little leadership from the new supervisors at City Hall, this could be the year San Francisco takes a serious look at how local government is financed.

This is no time for modest, cautious proposals. The budget situation is alarming. California is looking at $40 billion in cuts over the next 18 months — more than a third of the entire state budget. San Francisco is looking at $500 million in red ink — roughly half the discretionary spending from the general fund. Filling those holes with cuts alone would be devastating.

This isn’t your average budget battle, where everyone fights to save a few hundred thousand dollars here and a million there for a crucial program. This is, by all accounts, something of an order that the state and local government haven’t seen since the 1930s.

So small-time, piecemeal fixes aren’t going to work. Here’s what the state and the city need to be talking about.

AT THE STATE LEGISLATURE


The first thing that has to go is the two-thirds rule. It’s become almost a farce — a handful of Republicans, who have sworn never to raise taxes under any circumstances, are holding the world’s sixth-largest economy and a state of more than 37 million people hostage to their failed ideology. Enough talk: the Democrats need to mount a massive signature drive for a special election this summer to repeal that requirement.

There are many fair ways to raise taxes to bring in enough revenue to stave off devastating cuts. Raising the income tax levels on the highest wage earners makes the most sense. Gas prices are way down; raising the state gas tax by a few cents a gallon won’t bring prices even close to last summer’s level. We’re nervous about taxing services (medical care, for example, is a "service"), but a carefully crafted tax that exempts essentials ought to be on the table. California is the only oil-producing state that doesn’t tax oil at the wellhead; that’s a no-brainer. So is restoring the vehicle license fee; Gov. Schwarzenegger’s decision to eliminate that fee has cost the state $40 billion over the past five years.

AT CITY HALL


Step one: the mayor has to recognize that there’s no way to solve a half-billion dollar shortfall with cuts alone. Step two: the mayor needs to back off from the layoffs and cuts for a few weeks until the supervisors and the community stakeholders have a chance to meet, talk, and look at all the options. Step three: some far-reaching changes have to be on the agenda, right now.

We like the idea of a city income tax. Technically, under state law, all the city can do is tax income earned within local borders, meaning that commuters would pay (good) and San Franciscans who work out of town would escape payment (bad). But overall, the concept is better than anything else out there. A local income tax that exempts, say, the first $50,000 (assuring that lower-income people pay nothing) with progressive rates skewed toward charging very high wage-earners the most could bring in significant revenue in the fairest way possible.

We’d like to see a progressive business tax — raise the rates on the biggest companies. We could live with a short-term hike in the local sales tax; frankly, we could live with most short-term revenue increases. The supervisors need to look at what new taxes make the most sense and prepare for a special election in the spring to put a revenue package before the voters. And everyone — including the mayor — needs to campaign hard for it.

The city also needs to look at the rainy-day fund, money set aside for bad economic times. Only a small amount of the close to $100 million now in that fund is available in any one year, but that rule might have to be changed.

This crisis is an opportunity — a chance to examine how the city’s current revenue sources are unfair, unstable, and unwieldy. Why are business taxes flat (big corporations and small businesses pay the same rate)? Why does San Francisco rely so much on property and transfer taxes, which shift radically with economic ups and downs? And of course, a public power system would generate enough money to cover a huge part of the deficit. The supervisors need to find an immediate revenue-based solution, but should also start creating a serious task force to overhaul the entire revenue side of the budget. Today.

Sharing the pain

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› sarah@sfbg.com

When Mayor Gavin Newsom walked across City Hall to the Board of Supervisors Chambers last week to announce that the city is facing a $576 million budget deficit, it looked as if he was putting political differences aside and genuinely inviting the board to "share the challenge" of bridging the 2008-09 budget chasm.

For years, voters and supervisors have urged Newsom to appear before the board for monthly policy discussions. And for as many years, Newsom has refused, claiming such invites were "political theater." Now that he’s finally made the trek, critics say the context makes the gesture more theatrical than substantive.

Within minutes of Newsom’s unannounced Dec. 9 visit to the board, City Hall insiders began to fear that the Newsom was only pretending to walk the unity talk: details of his $118 million in proposed mid-year solutions were not made available before the appearance, giving the two sides little to discuss and raising questions of due process.

"If the mayor was interested in real collaboration with the board, he would introduce his mid-year proposal to the board for our deliberation, just like the annual budget," Sup. Chris Daly told the Guardian. "But after we asked in three different ways, we found that he will be making over $70 million in cuts unilaterally — without the board’s approval. Now we have to figure out how to get the public a seat at the budget table."

Unlike during the normal budget process, the mayor has tremendous power to make cuts mid-year. But with details slow to emerge, the legislators weren’t the only ones left in the dark about the proposal, which includes slashing the Department of Public Health’s budget by 25 percent, cuts that DPH director Mitch Katz told the supervisors is going to require fundamentally changing how government runs.

Several City Hall workers told the Guardian how, in the days after Newsom made his budget deficit announcement, Controller Ben Rosenfield was seen running from department to department, trying to track down the program-level details.

Supervisor-elect John Avalos, who has a deep understanding of the budgetary process from his years as a legislative aide to former Budget Committee chair Daly, confirmed that the mayor’s $118 Million proposal "doesn’t tell you much."

"There is $47 million in increased revenue that has come in that offsets the shortfall, and there’s a higher-than-expected census at San Francisco General Hospital that allows us to recoup some money. But although there are all kinds of service/non-service cuts in Newsom’s proposal, we have no details to work with," Avalos told the Guardian.

Two days after his board appearance, Newsom penned an op-ed for the San Francisco Chronicle in which he again appeared to be holding out his hand to the board. But Avalos, a candidate for president of the board, observed that Newsom continues to protect his own pet projects, which include the 311 Call Center, the Community Justice Center, and the Small Business Assistance Center.

"The pain needs to be shared and minimized all round," Avalos warned. "The mayor needs to come forward and help us, not simply cut all the programs that the Republicans want to see cut. There is this huge backlash from folks saying, ‘Why do we spend $1 billion on our public health system? Maybe we don’t need public health.’ But our services are there for a reason."

Avalos said he worries that if we cut all these programs now, it will be very hard to get them back down the line. "When revenue is back, the focus will be on things that are important, but not on services that help the most vulnerable folks," Avalos predicted.

Within three days of Newsom’s appearance before the board, Peskin had figured out a mechanism whereby the public could weigh in on Newsom’s cuts: he introduced legislation that combines the mayor’s $118.5 million proposal with an alternative $8.5 million in cuts that Peskin has proposed.

"So, now there’s a de facto collaboration," Peskin told the Guardian. Peskin’s package of alternative cuts — which has since been pared back to $5.5 million because duplication with the mayor’s list was found — includes budget reductions in the Mayor’s Office of Economic and Workforce Development, Emergency Management Department, Fire Department, Police Department, Mayor’s Office of Criminal Justice, the 311 call center, and city grants to the opera, ballet, and symphony. Peskin is also proposed wage freezes that could save another $35 million.

Peskin’s counter-move allows the public to weigh in on the combined proposals. It requires department heads to publicly defend cuts to programs, services, and personnel — cuts that were developed, per Newsom’s request, behind closed doors. Or as Daly put it: "The mayor’s and the board’s proposals need to be deliberated not through a staff member to the mayor, but in full view of the public."

The board also wants to publicly discuss the layoffs, which Newsom said would total 399, a number that rose to 409 when the list was actually released. Peskin’s legislation also provides an avenue for fired workers or their representatives to publicly air discontent. A list of eliminated positions obtained by the Guardian shortly before press time shows that most of the positions were service providers making less than $70,000. Although union officials have complained that the ranks of highly paid managers has grown sharply since Newsom became mayor (visit sfbg.com for the complete list and more analysis).

SEIU’s Robert Haaland estimates that 75 percent of layoffs targeted line workers in service jobs. "As far as we can tell, the pain is all at the bottom," Haaland told the Guardian.

And while Haaland didn’t openly support Peskin’s counter-proposal — a citywide sliding scale of pay cuts in which the highest earners take a bigger hit and an across-the-board union wage freeze — he acknowledged that at least the proposal targets the powerful Police Officers Association and the Municipal Executives Association, and not just SEIU workers.

Haaland claims that under Newsom’s behind-closed-doors method, "the institutional bias of department heads tends to come into play" in making layoff decisions.

"It’s human nature. No one talks about it, and I don’t know that there’s a grand conspiracy," Haaland said, expressing his belief that it’s easier for managers to cut people they don’t work with than those around them or people at the top. "They also tend to target the union activists, the members who are a pain in the butt, and who they don’t like."

Newsom told the Chronicle in a Dec. 15 article that "labor is going to be a principal part of the solution." Tim Paulson, executive director of the San Francisco Labor Council, told the Guardian that "the SFLC is listening to its affiliates to see if there are any collective strategies." But Haaland observed that the city is "contractually obligated to the unions," which may further complicate ongoing negotiations.

With Sup. Bevan Dufty advocating to restore more than $500,000 in HIV/AIDS funding cuts and Sup. Sophie Maxwell is trying to avoid cuts at the Small Business Center, newly sworn-in Sup. David Campos stressed the need for a meaningful vetting process.

"It’s important for us to have a process that sheds light on the human impacts of the proposed cuts so we have a better sense of what it means to citizens of San Francisco," Campos said at a Dec. 12 board committee hearing.

Campos also made it clear that he is not afraid to target the arts, arguing that deep-pocketed patrons can help ease their pain, even as advocates countered that attacking entertainment will further deplete the city’s coffers by potentially hurting tourism. "As much as we appreciate the need to support the arts, we’re going to have to look at other avenues some of those folks can turn to, to get the funding that is needed," Campos warned. "People who have the greatest needs don’t have those options. "

With repeated rounds of painful cuts predicted in the next six months, Peskin told a Dec. 12 Government Audits and Oversight Committee hearing that it’s critical for the board to express its priorities. "These include keeping Rec and Park facilities open, providing basic mental health services, and preserving public sector jobs," Peskin said. "It’s also important that everyone share the pain, but not necessary that everyone share the pain equally."

Outside the meeting, laid-off worker Allanda Turner described her pain and the devastation she feels at being let go in the midst of a recession. "I’m a parent. I just purchased a home. I’m feeling almost no hope at all," said Turner, who fears she will be applying for the medical services, unemployment, and food stamps that she refers clients to as part of her job with the city’s Human Services Agency.

"The mayor always says he advocates for the poor, but we are the most underpaid," she said. Meanwhile, while her colleagues claim that their department "gave Newsom what he wanted" by adding layoffs to an original list of cuts that included fewer jobs.

"These are unit clerks, employment specialists, eligibility workers, and line workers," said Sin Yee Poon, a DHS contract manager. "Eight of them are child-protection workers."

There will be one last meeting of the current Board of Supervisors in January, and both incoming and outgoing members are already specuutf8g that unless Peskin’s legislation passes with a veto-proof majority, the mayor will veto it and this period of symbolic unity will come to an abrupt end.

"We have the capacity, the ingenuity, and the spirit to solve this," Newsom told the board. "It’s going to take all of us working together. It’s in that spirit that I am here. The mid-year solution — difficult and painful as it is — it’s the easy part. The difficult part comes in the next four months."

But as legislators explore the possibility of adding to their budget tools in the future through charter amendments and special elections, one aide stressed the importance of taking an active role now.

"It’s important for the board to set the stage now for the budget discussions in the spring."

Save the Small Business Assistance Center

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As hard times get harder, the small business community is ever more essential to San Francisco

By Bruce B. Brugmann

(Scroll down for this week’s editorials, after the jump)

As the mayor’s drastic package of cuts fall on the Supervisors at their Tuesday meeting,
the questions abound: Why so fast? Why not more discussion and more hearings? Why make the cuts as several supervisors leave the board? Why not wait until the new board is sworn in in January? Why let Mayor Newsom drive the cuts, the agenda, and the timing almost unilaterally?

And there is a key question our editorial points out for Wednesday’s edition:

“Why are we talking about cutting the $800,000 Small Business Assistance Center, which actually helps the most important sector of the economy, when there’s $10 million, much of it redundant, in the mayor’s Office of Economic Development?”

As hard times get harder, the small business community is ever more essential as the city’s economic engine. Small businesses create the most net new jobs in the city, according to major Guardian studies. According to a 2006 study by Economist Kent Sims, Former Mayor Frank Jordan’s economic chieftan, small businesses helped moderate the 2000 to 2004 recession’s negative employment and earnings impact on San Francisco households.

Sims also found that small businesses released less than l0 per cent of their employees during the recession while large businesses released more than 20 per cent of their employees, despite the fact that the two groups of businesses had similar shares of pre-recession private employment. Further, he found that small business layoffs generated about 2l per cent of the negative employment and earnings impacts on San Francisco households in 2003, compared with 79 per cent for large businesses. And of course we all know that it is the small businesses that keep our neighborhoods friendly, vibrant, and economically productive. For example, on the economic point, the Guardian’s Shop Local campaign may put $l00 million into the local economy, immediately. (We are asking our 600,000 or so readers to spend at least $l00 in a locally owned business.)

You get the point. Now more than ever, small business ought to be nourished and protected, not put to the slashers once again at City Hall. The supervisors need to keep the Small Business Assistance Center in the budget and, if necessary, slash the mayor’s $10 million Office of Economic Development. And then the supervisors should take a deep breath, postpone the final vote until the new board comes in, and start considering the realistic progressive agenda advanced in the editorial and stories in the Guardian. B3

7.5 better ways to balance the budget

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OPINION In Mayor Gavin Newsom’s seven-and-a-half-hour YouTube series on the state of our city, he spends barely 30 seconds addressing the budget deficit.

Newsom’s mid-year budget cut plan is completely out of touch with the fundamental priorities of our city. At a time when residents are feeling the impact of the recession in their daily lives, the mayor’s plan guts our public health safety net by slashing programs that serve seniors on fixed incomes and by reducing frontline healthcare workers.

What’s more, the mayor’s mid year cuts leave untouched his bloated senior staff and protects management-heavy departments around City Hall.

So, in response to the effort to balance the budget by slashing tens of millions in health services for the city’s neediest, a coalition of health workers, health providers, and patients are putting forward alternative ways to address the city’s budget problem that are worth our time and thought.

Among the ideas offered by the Coalition to Save Public Health are the following:

1. Start at the top, not at the bottom. Since the mayor first took office, the number of highly paid managers has skyrocketed while the number of employees providing basic city services has stagnated. It’s time to tighten our belt at the management level and eliminate all but the most essential positions that pay more than $100,000 per year.

2. Practice what you preach. In November 2007, the mayor announced a non-essential hiring freeze to deal with the budget crunch. Newsom then promptly spent hundreds of thousands of dollars hiring new senior staff including highly paid and duplicative special assistants for climate control initiatives, "neighborhood empowerment," and a new greening czar. All new staff hired since November 2007 who are paid more than $100,000 should be cut.

3. Cut duplicative programs. The city spends more than $10 million per year on small business outreach and economic development. The Mayor’s Small Business Assistance Center duplicates those services and costs nearly $800,000 every year.

4. Listen to the voters — cut the Community Justice Court. Proposition L was rejected by more than 57 percent of the San Francisco electorate. It’s time to listen to the voters and preserve revenue by cutting current-year funding for the CJC.

5. Save on spin, spend on substance. A recent controller’s report found that the city spent more than $10 million in salaries for public relations and public information staff, including funding for seven people in the Mayor’s Office of Communications last year. The mayor should cut all unnecessary PR staff and reduce his spin operation to two people.

6. Cut the fat, not the bone. Both police and fire unions are due for 7 percent pay increases. As the city cuts salaries or lays off staff across the board, the mayor should work with the board to reopen fire and police contracts.

7. Eliminate unnecessary drivers. For years, the Fire Department’s battalion chiefs have relied on "chief’s aides" to chauffer them around the city. The estimated cost for these positions is more than $2 million.

7.5 Cut in half the city’s contribution to the opera and symphony. In the current year, the city is contributing close to $4 million in General Fund revenue to the operation of the opera, symphony, and ballet. We can’t afford to subsidize organizations with enormous endowments while we slash services for people in need.

Aaron Peskin is president of the Board of Supervisors.

Tap dreams

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› amanda@sfbg.com

On Dec. 2 two water conferences were held in San Francisco, attended by very different groups of people.

Downtown, in a room deep within the Hyatt Regency hotel, executives from PepsiCo, Dean Foods, GE, ConAgra, and other major companies gathered for the Corporate Water Footprinting Conference. The agenda that the conference made public included a presentation by Nestlé on assessing water-related risks in communities, Coca-Cola’s aggressive environmental water-neutrality goal, and MillerCoors plan to use less water to make more beer.

But what these giant corporations, which are seeking to control more and more of the world’s water, really discussed the public will never know. Only four media representatives were permitted to attend — all from obscure trade journals not trafficked by the typical reader — and both the Guardian and the San Francisco Chronicle were denied media passes.

The event was sponsored by IBM, and tickets were $1,500 — out of reach for many citizens and environmentalists who might have liked to attend.

And why might people take such a keen interest in the kind of corporate conference that probably occurs routinely in cities throughout the world?

Because there’s almost universal agreement that the world is in a water crisis — and that big businesses see a huge opportunity in the privatization of water.

Only one half of 1 percent of all the water in the world is freshwater. Of that, about half is already polluted. Although water is a $425 billion industry worldwide — ranking just behind electricity and oil — one in six people still don’t have access to a clean, safe glass of it. If the pace of use and abuse remains, the 1.2 billion people living in water-stressed areas will balloon to more than 3 billion by 2030.

That includes California. On June 4, Gov. Arnold Schwarzenegger declared a statewide drought after two lackluster seasons of Sierra snowfall. Scientists are predicting the same this winter. You can see how the state is mishandling the issue by looking at some recent legislation. Schwarzenegger and Sen. Dianne Feinstein have proposed a $9.3 billion bond to build more dams, canals, and infrastructure. At the same time, the governor vetoed a bill that would have required bottled water companies to report how much water they’re actually drawing out of the ground.

In that context, while the big privatizers were hobnobbing at the Hyatt, activists were attending a very different event, the "Anti-Corporate Water Conference," held at the Mission Cultural Center. It was free and open to the public and the media. More than 100 people gathered to hear a cadre of international organizations share information on how to keep this basic human right — water — in the hands of people.

Speakers included Wenonah Hauter, director of Washington, DC-based Food and Water Watch; Amit Srivastava of Global Resistance, a group that works to expose international injustices by Coca-Cola; Mark Franco, head of the Winnemem Wintu Tribe, which lives among water bottling plants near Mount Shasta; and Mateo Nube, a native of La Paz, Bolivia, and the director of Movement Generation Justice and Ecology Project.

Nube spoke about water as a commons, requiring stewardship, justice, and democracy. "We’re literally running out of water. Unless we change the way we manage, distribute, and consume water, we’re going to have a real crisis on our hands," he said. Nube’s remarks tied together the tensions of control and revolt, democracy and privatization, ecological balance and human need — all enormous issues, all related to water and water scarcity, which the Worldwatch Institute has called "the most under-appreciated global environmental challenge of our time."

BASIC NEED, INFINITE MARKET


Water is a basic human need, perhaps even more important than clean air, food, and shelter. People will never strike against water and stop drinking.

And that means, from a capitalistic point of view, it’s a perfect, nearly infinite market. "As water analysts note, water is hot not only because of the growing need for clean water but because demand is never affected by inflation, recession, interest rates or changing tastes," wrote Maude Barlow in her 2007 book Blue Covenant.

If scarcity drives price, anyone with a stake in the water industry stands to gain from an increasingly water-stressed world. As Barlow also reported, "In 1990, about 51 million people got their water from private companies, according to water analysts. That figure is now more than 300 million." By controlling the resource and choosing when and if they engage with the public it allows some of the biggest water abusers to set the terms of a critical ongoing debate.

The fact that humans need water raises important questions: should water be classified as a basic human right available to everyone? Is water part of the commons? If so, should corporations be allowed to control the taps or bottle it, mark up the price, and sell it for profit?

Not much polling has been done on people’s opinions of water, but during 35 informal on-the-street interviews conducted by the Guardian, 31 people said it is a basic human right. The other four said it was subject to the laws of supply and demand.

This week marks the 60th anniversary of the United Nations Universal Declaration on Human Rights, and Barlow, who has been appointed special advisor on water to the UN, will be addressing the General Assembly on the fact that water is still missing from the original 30 Articles.

"The reason that water was not included in the original 30 Articles in the Universal Declaration of Human Rights is that no one at that time could conceive there would be a problem with water," Barlow told the Guardian. "It’s only in the last 10 years that the concept of water as a human right has come to the fore."

The problem has its roots in the inherent conflict between conservation and profit. Saving water is relatively cheap, but there’s no money to be made by eliminating waste. Developing expensive new water sources, though, is a potential private gold mine.

As Barlow points out in her book, technology is becoming an integrated part of the solution to the water crisis. Desalination plants, water recycling facilities, and nanotechnology are all being thrown at the problem — in some cases before a full assessment of use and abuse has occurred.

While technological solutions may be warranted in some places, Barlow worries that relying on them bypasses any true attempts at efficiency and conservation. "I’m not going to say there’s no place for water cleanup," she told the Guardian. "What I’m concerned about is we’re going to put all the eggs in the cleanup basket and not nearly enough in the conservation and source protection basket. What I’m concerned about is the idea that technology will fix it. Meanwhile, don’t stop polluting, don’t stop the over-extraction, allow the commercial abuse of water, allow the agricultural abuse of water because what the heck, there’s tons of money to be made cleaning it up. I think that’s the wrong way of coming at it."

The technological fix is one way the state’s water crisis may slowly seep into private sector control, and a couple of examples show what can happen when private companies don’t play nice with the public, how citizens constantly battle with state agencies to enforce regulations, and how the public process could and should be honored.

GET THE SALT OUT


In theory, California has plenty of water — its 700 miles of coastline border the giant reservoir known as the Pacific Ocean. But humans can’t drink salt water — and some companies see a nice industrial niche in that dilemma. Build a plant that takes out the salt, and suddenly there’s plenty for all.

Several small desalination facilities already exist throughout the state, mostly cleaning water reservoirs brined by agriculture. But another 30 desalination plants have been proposed for the coast as a way to deal with future water shortages.

One is in Carlsbad, near San Diego, where Poseidon Resources is constructing the only large-scale desalination plant that the state has permitted to date. It’s a 10-year-old project that, so far, doesn’t even have a pipe in the ground.

Despite Poseidon’s ability to grease the wheels with local officials, the facility is controversial. It sits next to a fossil-fuel burning peaker power plant, and will be desalinating the power plant’s discharge water, thus shielding its negative environmental impacts by claiming its the power plant that’s sucking up seawater and damaging marine life — the desalination plant is just making use of the wasted water.

That argument doesn’t sit well with Joe Geever of the Surfrider Foundation, who pointed out that part of the power plant is scheduled for a retrofit to air-cooling, and talk is of a potential state ban on using water for this type of cooling system. There are other more environmentally benign seawater extractions, he said, like drilling and capturing subsurface sources, that the desalination plant could have used.

Mostly, he contends, the plant subverts conservation. "Per capita consumption of water in San Diego is much higher than other places," he said. "In southern California we waste an enormous amount of water on growing grass. There’s a lot to be saved."

Poseidon, a private company, is footing the bill for the plant’s construction, but the financing scheme is predicated on a future increase in the cost of water. As Poseidon’s Scott Maloni explained to the Guardian, the contract with the San Diego Water Authority states that the cost of desalinated water can never be more than the cost of imported water. It can, however, walk in lock-step with it — and by all accounts the price to pipe water to sunny southern California is going to increase. Maloni said his company was taking an initial loss but would start paying itself back as imported water costs increase. Eventually rates will be set halfway between the real cost of desalinated water and the higher cost of imported water.

What kinds of guarantees are there that this will happen? Nobody knows. "They’ll say anything, but when it comes to showing you a contract, we’ve never seen anything," said Adam Scow of Food and Water Watch. "There’s a lack of regulation with a private company controlling the water."

The plant now has no less than three lawsuits hanging over it, all filed with state agencies in charge of permitting and oversight — the Coastal Commission, the State Lands Commission, and the San Diego Regional Water Quality Control Board. All basically contend that the state didn’t do enough to require Poseidon to implement the most environmentally sound technology that’s least harmful to marine organisms, as required by state law.

Geever stresses that desalination is an energy-intensive way to get water. "Every gallon of water you conserve is energy conserved," he said. "Not only could San Diego do more conservation, but they don’t recycle any wastewater to potable water standards. That’s much less energy intensive."

Poseidon counters by saying that it invested $60 million in energy efficiency measures for the plant and will be installing solar panels on the roof. Perhaps most telling is that the company sees itself as vending reliability. "It’s not the current cost of water the San Diego Water Authority is concerned about, but the future cost for an acre-foot," Maloni said. "There’s a dollar figure you can put on reliability. Public agencies are willing to pay us a little more for that."

Which gets back to a comment Barlow made about capitalizing on crisis. "We are frightened half to death and everyone who looks at it, right-wing or left-wing, sees that. … They use the crisis to say we have no alternative except to go into massive desalination plants."

And, as Peter Gleick, president of the Pacific Institute pointed out, San Diego wasn’t calling for proposals to bring it more water. "Poseidon wanted to build a desalination plant and it came to San Diego. That’s one way to do it. The other way is for a municipality to say we want a desalination plant, we’re opening it up to bids, let’s have a competition. That didn’t happen, and instead we have one contractor."

Geever added, "Poseidon has been really successful at lobbying politicians and convincing regulators to give them permits."

Which points to one of the chronic ills of managing water systems, particularly in California where water has always been political. "In the 20th century decisions about water were made by white males in back rooms," said Gleick. "It solved a lot of problems, but it led to a lot of environmental problems. The days when water decisions made in back rooms should be over. And they aren’t over, and that’s part of the problem."

DELTA BLUES


Nowhere is that more obvious than the delta, where the state’s two most prominent rivers — the Sacramento and the San Joaquin — meet the Pacific Ocean just north of San Francisco. It’s ground zero for one of the most charged political fights in the state.

Two-thirds of California’s water comes from the delta. About 80 percent of it goes to cropland, watering about half of the state’s $35 billion agricultural industry, much of it through historic water rights that have been granted to a small lobby of powerful growers who sell their surplus rights for profit. Another 18 percent goes to urban water needs, and — in spite of the fact that this is the largest estuary on the west coast of North and South America — only 2 percent of the water remains for natural environmental flows.

Delta issues are legion and begin at the headwaters of the Sacramento River, near Mount Shasta, a land Mark Franco describes as an Eden. "The deer, salmon, and acorns that we eat — everything that we need is there," Franco told the Guardian. "It’s such a beautiful place. Now they’re drying it, that Eden."

Franco is head of the Winnemem Wintu, or "little water people" tribe, and is fighting the first phase of water diversions from the Sacramento River, 200 miles north of the capitol where companies like Coca-Cola, Crystal Geyser, and now, potentially, Nestlé, pump millions of gallons a year into small plastic bottles and ship it around the country to sell in groceries and convenience stores.

"Here in the US, people have become soft. They’ve become so used to just having things directly handed to them that they no longer understand where their water comes from," he said at the anti-corporate water conference. "Realize this: those springs on Mount Shasta are not an infinite supply of water."

After the Sacramento feeds the bottled-water companies, what remains wends its way south, with more diverted directly to farmers and into the State Water Project, which pipes it to drier southern regions. What’s left empties into the delta.

A lack of fresh water, flagging environmental preservation, increasing agricultural needs, and leveed island communities that are seismically unsafe and sinking, all mean the delta is failing as an ecosystem, and has been for some time. Chinook salmon and delta smelt populations are collapsing to such an extent that court orders have halted a percentage of water diversions and salmon fisherman were forced to dock their boats this year. Levees are crumbling, causing islands to flood and raising ire among landowners. Farmers with historic water rights are fiercely protective of them, while environmentalists are lobbying them to use more conservation and efficiency.

Nearly all stakeholders agree that the status quo won’t hold.

The challenge is finding a solution. Ending exports seems impossible, limiting them means massive investments in other resources. No one agrees on what will really save the endangered salmon and smelt or improve conditions for the 700 other native plants and animals.

In 2006, the governor convened a seven-member Delta Vision Blue Ribbon Task Force, which released a strategic plan in October calling for balancing co-equal goals of ecological restoration and water reliability.

The plan also specifically recommended a dual conveyance system similar to what was proposed in a study by the Public Policy Institute of California. It combines some through-delta pumping with a peripheral canal around the delta. PPIC crunched the numbers and determined that the canal was economically better than any of the four options they had weighed.

The peripheral canal idea isn’t new, but it’s been controversial since it was first proposed almost three decades ago. The plan was ushered by then-Gov. Jerry Brown, but defeated by voters in 1982 after a major organizing effort by environmentalists. (Whether voters will cast ballots on it this time remains to be seen, though the Attorney General’s Office, now headed by Brown, has counseled the Department of Water Resources, which is charged with implementing whatever plan is decided upon, that a vote of the people isn’t required.)

Shortly after its release in July, the PPIC report was criticized by five elected Congressional Democrats — Reps. George Miller, Ellen Tauscher, Doris Matsui, Mike Thompson, and Jerry McNerney. "The PPIC report should not be used to ignore the many things that can be done today to restore Delta health, including providing necessary fish flows, undertaking critical ecosystem restoration projects, and making major investments in water recycling and improved conservation measures," Miller said.

Numbers used by the PPIC report have also been criticized by Jeffrey Michael, a business professor at the University of the Pacific in Stockton. In an analysis of PPIC’s work, Michael said the group had used inflated population figures, as well as high costs for desalinated and recycled water, therefore resulting in a report that made it look like it was too expensive to end delta exports altogether and replace them with other water sources.

The PPIC said the state’s population would be 65 million by 2050, that desalinated water costs $2,072 per acre-foot, and recycled water goes for $1,480 per acre-foot — numbers that were scaled to 2008 dollars from 1995 figures. Michael contends that if the numbers were adjusted to reflect actual costs, the peripheral canal wouldn’t look like such a sweet deal.

Maloni, of Poseidon Resources, said the desalinated water cost would be $950 per acre-foot for San Diego, including a $250 subsidy. A similar plant the company is hoping to construct in Huntington Beach will be about $50 more per acre foot.

When asked if $2,100 per acre-foot was a reasonable figure for desalinated water in California, Maloni said, "That’s nuts."

What does all this illustrate? That even among a small cast of purported experts there’s little consensus on several fundamental issues.

Adding more fuel to the fires of public skepticism is that a third of the funding for the PPIC report came from Stephen D. Bechtel Jr. — heir to the Bechtel Corp., which has come under tremendous criticism for its moves to privatize water around the world.

"That is very upsetting to us. They would stand to gain a lot with a contract to build a peripheral canal," said Barbara Barrigan-Parrilla of Restore the Delta.

PPIC’s Ellen Hanak said the funding didn’t affect their findings. "It’s really much more linked to the fact that the foundation is really interested in the environment and water is a part of that."

Linda Strean, the PPIC’s public affairs officer, told the Guardian that it was Bechtel himself who wrote the check, not the foundation. It’s the first time Bechtel has given to PPIC.

But considering Bechtel’s past performance managing water, it doesn’t inspire much confidence.

BECHTEL’S BIG ADVENTURES


In April, Cesar Cardenas Ramirez and César Augusto Parada, traveled from Guayaquil, Ecuador, to San Francisco. The two men were on a fact-finding mission: they wanted to know more about the company that owns Interagua, the company that is supposed to deliver the drinking water that only occasionally comes out of the taps in their homes.

One of the first things they discovered is that 50 Beale St. doesn’t necessarily advertise itself as the home of Bechtel — one of the world’s largest private corporations, with global construction and infrastructure contracts amounting to billions of dollars annually.

In Guayaquil, water service has been problematic for decades. During the 1990s the country received a loan from the Inter-American Development Bank to improve basic infrastructure. The money was given directly to the government, but like many World Bank and International Monetary Fund loans granted throughout Latin America at the time, it was predicated on an eventual privatization of the water service contract.

The money helped — water conditions improved, and the city seemed to be on track to bring service to outlying areas. But in 2000, the city, abiding by the loan conditions, requested bids to run the water and sewage systems. No bids were received. Leaders scaled back provisions that kept some control in the hands of the government, and they got one response. In 2001, Interagua, a company owned by Bechtel, took over water service.

"Since the contract, nobody has been able to drink the tap water," Cardenas, who represents the Citizen’s Observatory for Public Services, a watchdog group formed in Guayaquil to monitor the water contract between the government and Interagua, told the Guardian. "Prior to the contract you could drink the tap water, although there were some sections of the city where the plumbing was old and inadequate."

Even though Interagua is managing a public service, because it’s a private company, information about its exact responsibilities have been elusive. The Observatory does know that Interagua pays nothing for the water it draws from the local river, is guaranteed a 17 percent rate of return, and that it has a minimum mandate to expand service. What’s also known is its citizens’ experience — during the first six months of the contract, some rates were increased 180 percent.

Bechtel’s SF office refused to meet with the two men or answer their phone calls, e-mails, and letters, which highlights the inherent problem with corporate control of water — a lack of accountability. Bechtel didn’t answer any of the Guardian‘s detailed questions regarding the Interagua contract, and only provided a three-page letter originally drafted to the World Bank in December 2007, that paints a rosy scene of productivity and accomplishment in Guayaquil.

"At present, over 2.1 million residents of Guayaquil (84 percent of the population) are connected to the municipal potable water system, and more than 90 percent of the customers have 24-hour per day, uninterrupted service." The letter goes on to state that coverage is expanding with new connections, water quality meets public health standards, prices have decreased, and procedures are in place to help customers who have higher than average bills.

"There are things that have improved, yes," said Emily Joiner, who spent last summer in Ecuador and is author of the book Murky Waters, a history of water issues in Guayaquil published by the Observatory in 2007. But the bottom line is that citizens pay for the service, but they can’t drink the water.

"You still don’t drink the water anywhere in the city at any time," said Joiner. People buy bottled water or boil it. "Bottled water is expensive, as a percentage of income," she said.

Whereas water service was previously priced more like a progressive income tax, with the lowest consumers paying the lowest rates, Interagua has flattened out the rate structure and now big water consuming businesses are paying the same as residents. "It’s pricing some families out of the market," Joiner said. "It’s great for business. It’s not great for people who don’t have enough water to bathe or wash their clothes."

The Observatory would like the water system turned back over to the government. The local authority, which once ran the water service and is now charged with overseeing Interagua, fined the company $1.5 million for not meeting goals for expanding service. According to Joiner, there’s been no follow-up on whether the company is meeting those goals now.

The Observatory also filed complaints with the World Bank, which attempted a settlement, but, according to Joiner, representatives from Interagua refused to sit down at the same table as Cardenas. "The process stalled," Joiner said. "Interagua said the issue had become too politicized. César [Cardenas] has a reputation for rabble-rousing, and at the time he was lobbying for constitutional amendments outlawing privatization. Interagua considered it negotiating with a hostile party."

A new constitution was passed in September that does, in fact, outlaw privatization, but still allows existing contracts to be honored if they pass a government audit.

In the meantime, the local rumor is that Bechtel is arranging to sell Interagua to another company. Bechtel wouldn’t confirm this, and no one could say more beyond what was reported in speculative articles in Guayaquil’s local newspapers.

It wouldn’t be the first time Bechtel bailed on an international water contract. In what was part of a massive privatization of a variety of Bolivia’s national services, in 1996 the World Bank granted the city of Cochabamba a $14 million loan to improve water service for its 600,000 citizens. Like Ecuador, there were strings attached: a future privatization of the city’s water service. It was sold to Aguas del Tunari, the sole bidder — also a subsidiary of Bechtel. Almost immediately rates increased by nearly 200 percent for some families. In January 2000, people stopped paying, started rallying, and the water war began.

Led by La Coordinadora for the Defense of Water and Life, organizers shut down the city, physically blockading roads and demanding the regional governor review the contract. The battle went on into February, resulting in injuries to 175 people and the death of one. Originally the government announced a rate rollback for six months, but the Bechtel contract remained. "The [Bechtel] contract was very hard to get a hold of," Omar Fernandez of the Coordinadora told Jim Schulz of the Democracy Center. "It was like a state secret." Once they did examine a copy of it, Bechtel’s sweetheart deal for a guaranteed 16 percent profit was exposed and people demanded a full repeal.

Eventually, the residents got it, and though decent water service in Cochabamba is still elusive, the water war has become the poster child for successful grassroots activism.

"One of the most inspiring struggles around community control of water happened in Cochabamba, Bolivia, in the year 2000, when international corporation Bechtel — based here in San Francisco — privatized the municipal water system and hiked the water rates for citizens by 30 to 40 percent. Thankfully, there was a popular upsurge. It was a very bitter struggle and people succeeded in turning control back to public hands.

"This success changed the public debate in Bolivia," said Mateo Nube, a native of La Paz, Bolivia, who spoke at the anti-corporate water conference. "People said ‘enough’ to privatization, enough to corporate control. We need to seize control of our government."

You don’t have to go to Bolivia to find water-privatization battles. In 2002, catching wind that the city of Stockton was on the brink of privatizing its water services, the Concerned Citizens Coalition rallied signatures for a ballot measure against the idea. Weeks before the vote, the Stockton City Council narrowly approved one of the west’s largest water privatization deals — a 20-year, $600 million contract with OMI-Thames. The ballot measure still received 60 percent approval, and activists took the issue to court arguing there hadn’t been a proper CEQA process. In January 2004, according to the Concerned Citizens Coalition Web site, "San Joaquin County Superior Court Judge Bob McNatt ruled in our favor — we won on all points. The judge ruled that privatizing, in and of itself, needed environmental review." The city appealed, but eventually dropped the suit and OMI walked away in March 2008.

PUBLIC AGENCY, PUBLIC PROCESS


Bechtel also failed to hold on to a more local contract, a $45 million deal with the SFPUC to manage the first phase of its multibillion dollar Water System Improvement Project. After a 2001 story by the Guardian exposed Bechtel’s exorbitant billing for services that resulted in few gains (see "Bechtel’s $45 million screw job," 9/12/01), the contract was revoked by the Board of Supervisors and granted to Parsons, which runs it now.

Years later, in 2007, when the SFPUC released a draft of the Environmental Impact Report for the $4.4 billion project, massive public outcry arose against it. The plan outlined major seismic upgrades for miles of aging water infrastructure between San Francisco and Yosemite National Park, where the headwaters of the Tuolumne River are captured by a giant dam in Hetch Hetchy Valley and gravity-fed to the city. While the EIR projected little additional water use for San Franciscans, it called for diverting an additional 25 million gallons of water per day from the Tuolumne to meet the needs of 23 wholesale customers in San Mateo, Santa Clara, and Alameda counties.

The Pacific Institute and Tuolumne River Trust collaborated on a study showing that 100 percent of the anticipated water increases were for those wholesale customers — most of it for outdoor water use. The SFPUC hadn’t factored in any increased conservation, efficiency, or recycling measures, nor had it independently questioned the growth numbers.

The EIR received upwards of 1,000 public comments, more than any other document ever generated by the SFPUC. Environmental groups rallied, writing editorials, flooding public meetings, and asserting a different vision of the Bay Area’s water future and stewardship of its primary, pristine water resource.

And it worked. "We got about 95 percent of everything we wanted out of the WSIP process," said Jessie Raeder of the Tuolumne River Trust. "We do consider the WSIP a huge win for the environmental community … because we were able to organize and get a seat at the table and discuss this with the PUC." She said the Bay Area Water Stewards, a coalition of environmental groups, met with the PUC nearly every month and slowly the initial additional river diversions were pared down to a possible 2 million gallons. Also, a cap has been placed on any diversions until 2018, which gives agencies time to implement conservation and efficiency measures.

The SFPUC feels positive about it, too. "We are really thrilled that the program EIR was approved by the Planning Commission, approved by the PUC, and not appealed," said spokesperson Tony Winnicker. He said there were really controversial elements and the trick was balancing the competing interests of wholesale customers and environmental groups. "It took a really hard-nosed look at our demand projections and what we could really do for conservation." He concedes there are still controversies, in particular over the Calaveras Dam, which the Alameda Creek Alliance opposes. "It would be hubris for us to say it’s been a complete success."

"This is a process that would only occur through a public agency," Winnicker added.

"What we saw with the WSIP was a solution where everything was fully transparent," Raider added. "It was all a public process, and there was plenty of opportunity for public input."

Which is really what a public water utility should be doing. "When you’re talking about public water, it isn’t them, it’s us," said Wenonah Hauter, director of Food and Water Watch. "A public water system is only as good as the people involved with it."

DRINK LOCALLY


"This conference isn’t a public event," organizer Andrew Slavin told the Guardian when we tried to gain admittance to the Corporate Water Footprinting Conference. While water activists rallied outside deriding the corporations inside for greenwashing their images, Slavin said that the fact that the conference wasn’t open to the public proved that the corporations weren’t trying to do environmental PR. "If they’re trying to do greenwashing this isn’t the place to do it. The aim is to try to share information."

Slavin pointed to representatives speaking from the Environmental Protection Agency, the SFPUC, and NGOs like the World Wildlife Fund. From an environmental perspective, if these companies are going to be using water, isn’t it worth working with them to reduce their impacts?

"There are companies I call water hunters," explained Maude Barlow. "They destroy water to make their products and profit. Unfortunately, some of the companies that are leading this conference are bottled water companies. I don’t know how you can become ‘water neutral’ if your life’s work is draining aquifers."

Many water activists consider bottled water the low-hanging fruit as far as getting people to change behaviors. San Francisco banned the use of tax dollars to buy it, and the SFPUC has been promoting its pristine Hetch Hetchy tap water, gravity-fed from Yosemite National Park. "Bottled water companies are basically engaged in a multiyear campaign. Their marketing approach is you can’t trust the tap, your public water isn’t safe," Winnicker said.

Slavin said he thought it was weird to protest the conference, because the corporations are genuinely trying to avoid conflicts. He pointed to a company called Future 500 that has created a business out of mediating between corporations and communities. "It’s hard for companies to speak to people so they use other companies to do it," Slavin said.

In fact, representatives from Future 500 appeared to be the only conference attendees who stepped outside to watch the protest.

"I think it’s great," Erik Wohlgemuth of Future 500, said of the protest. "I think press should have been there. I think more of these voices should have been there. My personal view is they need to come up with some sort of reduced rate to allow these nonprofits to attend these kinds of conferences."

Jeremy Shute, a representative from global infrastructure company AECOM who was standing with Wohlgemuth, said, "There’s a tremendous amount of research and thought going into these questions and it would be great if that knowledge could be shared."

But is that going to happen when private companies cite "proprietary interest" as a reason for not sharing more information about their businesses? Or when they don’t have to abide by public records laws, leaving their contracts shielded from public scrutiny? Or when they refuse to answer calls from their constituencies and the media? In which case, should those advocates be in the same room as some of the biggest water users in the world? When pressed with the question, Slavin seemed stumped. "Why didn’t we invite them?" he asked. Then, after a long, thoughtful pause, he said, "I don’t know."

————————

WATER, BY THE NUMBERS

One-half of 1 percent of the world’s water is fresh. [1]

Of that .5 percent, about 50 percent is polluted. [2]

One in 6 people don’t have access to clean, safe water. [3]

Five food and beverage giants — Nestlé, Unilever, Coca-Cola, Anheuser Busch, and Groupe Danone — consume almost 575 billion liters of water per year, enough to satisfy the daily water needs of every person on the planet. [4]

The average human needs about 13 gallons of water each day for drinking, cooking, and sanitation. [5]

An average North American uses about 150 gallons of water each day. [6]

An average African: 1.5 gallons. [7]

An average San Franciscan: 72 gallons. [8]

The average Los Angeles resident: 122 gallons. [9]

About half the water used by a typical home goes for lawns, gardens, and pools. [10]

50 percent of US water comes from non-renewable groundwater. [11]

86 percent of Americans get their water from public water systems. [12]

80 percent of California’s homes get water from public systems. [13]

The 20 percent of CA households receiving water from privately-owned systems pay an average of 20 percent more for it. [14]

Of the 4.5 billion people with access to clean drinking water worldwide, 15 percent are buying it from private water companies. [15]

It takes 3 liters of water to produce 1 liter of bottled water. [16]

Tests of 1,000 bottles of water spanning 103 brands revealed that about one-third contained some level of contamination. [17]

The bottled water industry is worth $60 billion a year. [18]

Water is the third biggest industry in the world, worth $425 billion, ranking just behind electricity and oil. [19]

About 70 percent of CA’s water lies north of Sacramento, but 80 percent of the demand is from the southern two-thirds of the state. [20]

[1] www.gwb.com.au/gwb/news/mai/water12.htm

[2] Maude Barlow, interview with SFBG

[3] foodandwaterwatch.org/world/utf8-america/water-privatization/ecuador/bechtel-in-guayaquil-ecuador

[4] The Economist magazine

[5] www.ens-newswire.com/ens/mar2002/2002-03-22-01.asp

[6] www.canadians.org/water/publications/water%20commons/section4.html; environment.about.com/od/greenlivinginyourhome/a/laundry_soaps.htm

[7] montessori-amman-imman-project.blogspot.com/2008/01/in-news-interview-with-ariane-kirtley.html; answers.yahoo.com/question/index?qid=20080304195801AAnrv4Y

[8] sfwater.org/mto_main.cfm/MC_ID/13/MSC_ID/168/MTO_ID/355

[9] www.nwf.org/nationalwildlife/article.cfm?articleId=928&issueId=68

[10] American Water Works Association

[11] www.canadians.org/integratethis/water/2008/May-28.html

[12] www.foodandwaterwatch.org/water/private-vs-public

[13] California Public Utilities Commission

[14] Black and Veatch’s 2006 California Water Rate Survey

[15] www.canadians.org/water/publications/water%20commons/section2.html

[16] www.pacinst.org/topics/water_and_sustainability/bottled_water/bottled_water_and_energy.html

[17] Natural Resources Defense Council study, "Pure water or pure hype?" (1999)

[18] www.bottlemania.net/excerpt.html

[19] www.timesonline.co.uk/tol/money/article4086457.ece; thegreenblog.leedphilly.com

[20] www.energy.ca.gov/2005publications/CEC-700-2005-011/CEC-700-2005-011-SF.PDF

Ricky Angel and Katie Baker assisted with research.

Cut half the general fund?

6

by Tim Redmond

I’m not kidding. That’s what the numbers right now suggest. San Francisco over the next year could face a budget deficit of $576 million — almost half of the entire discretionary money that the city has to spend.

Mayor Gavin Newsom, frankly, is entirely missing in action on this one. He’s been hiding out, doing his budget discussions in secret, playing Where’s Waldo (even showing up that the board meeting without a budget plan) and leaving City Hall and thousands of city workers, nonprofits and activists wondering what the hell is going on. The lack of leadership is mind boggling.

In the vacuum, the Coalition to Save Public Health has proposed a series of alternative cuts, and Sup. Aaron Peskin, writing in tomorrow’s Bay Guardian, suggests that the board consider them. The proposals include eliminating unnecessary jobs that pay more than $100,000 a year, cutting back the mayor’s seven-person PR staff, cutting the money the city gives to the Opera and Symphony and re-opening the police and fire contracts. These are all good ideas — and they might, in the best of all circumstances, add up to ten or 20 percent of the deficit.

The reality is that the mayor is going to be making some brutal cuts now — and it will be much worse in a few months, when the supervisors have to deal with the next fiscal year’s budget. You can’t cut half a billion dollars out of San Francisco city government without eliminating a lot of essential programs. Public health? Decimated. Parks and Rec? A wreck. Muni? Service will get way worse, fares may go up, and the city’s commitment to public transit will be at risk. What’s the city do for you? Get ready to give it up.

And you think the job market is bad now and the recession starting to hit the city hard? Imagine when a few thousand city employees join the unemployment lines.

So what are we supposed to do? Let me make a suggestion.

The worst thing a government agency can do in a recession is cut spending. The feds can borrow money and keep spending, but the city can’t. So we simply need to face the fact that this is an emergency, a crisis, the worst situation since the 1930s – and we need to look for new revenue.

We can’t mess around with half steps, either. We need big money, right now – and the best, most fair and progressive way to get that is with an income tax.

Now, the city can’t just impose an income tax on residents, the way New York City and Philadelphia do. The California Constitution pre-empts that. But the city CAN levy a tax on all income earned within the city. So the commuters pay, too (although residents who live here and work somewhere else don’t; it’s an imperfect world). Oakland passed a tax on income earned in the city in the 1970s, and the issue went all the way to the state Supreme Court, which ruled in Weekes v. City of Oakland that the tax was perfectly legal (the City Council dropped the tax anyway). Here’s an opinion on it.

The nice thing about income taxes is that they hit the rich harder than the poor. In fact, San Francisco could exempt, say, the first $100.000 of income, then use a progressive scale to make sure that only well-off people paid anything, and the richest paid the most. Even in a recession, there are rich people in this town, people who have done very well under the Bush tax cuts – and shifting money from the rich to the poor during a recession is excellent economics.

And an income tax could actually bring in enough cash to make a real difference.

Of course, the rich people who pay it can deduct the local tax from their state and federal returns – so a lot of the money actually comes to SF from Washington and Sacramento.

Passing something like this would be a huge political challenge – it would have to go on the ballot, and nobody wants new taxes, and the Chamber of Commerce types would howl and raise huge sums to defeat it. It could only work if the entire City Hall establishment, starting with the mayor, was willing to go out and campaign, hard, for the measure. Make it temporary – the tax would expire in two years. Make it progressive – nobody who is hurting financially would pay a heavy burden. And tell the voters: We tax the rich, or we close libraries, and eliminate Muni lines, and take cops off the streets, and close fire stations, and let sick people die because they can’t see doctors – and watch the local economy fall even deeper into recession as city spending plummets.

Because that’s what we’re talking about here. These are the choices.

There’s a good chance the state will have a special election in the spring – a tax measure could go on the ballot then. Or the city could hold its own special election. And if the city income tax doesn’t fly, I’m open to something – anything – else. But is has to be big, and we have to move on it now.

Any takers?