Imperium

San Francisco County

Meeting on Budget, Housing, Opioid Litigation, and Code Updates

The San Francisco Board of Supervisors meeting on November 2, 2021, addressed a wide range of issues, including housing, budget matters, opioid litigation, and various code updates. Key actions included approving several ordinances related to affordable housing, tenant protections, and business enterprises. The Board also approved resolutions concerning homeless outreach, clean energy, and youth employment programs. A significant portion of the meeting was dedicated to discussing and taking action on settlements in opioid litigation against major distributors and manufacturers. Public comment focused on concerns about city contracts and the challenges faced by taxi medallion holders. Additionally, new legislation was introduced concerning cannabis taxes, graffiti abatement, housing revenue bonds, and other matters.

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Consent Agenda

Exempting certain affordable housing transfers from increased transfer tax rates.

The Board approved Ordinance No. 205-21, exempting certain transfers of rent-restricted affordable housing from increased transfer tax rates when the property value equals or exceeds $5,000,000, effective January 1, 2021. This action followed the Planning Department's determination under the California Environmental Quality Act.

Consent Agenda

Eliminating the Life Science and Medical Special Use District.

Ordinance No. 202-21 was approved, eliminating the Life Science and Medical Special Use District. The Board affirmed the Planning Department's determination under the California Environmental Quality Act and found consistency with the General Plan and Planning Code Section 101.1. The Board also adopted findings of public necessity, convenience, and welfare under Planning Code Section 302.

Consent Agenda

Clarifying requirements for Accessory Dwelling Units and tenant protections.

The Board passed Ordinance No. 208-21, clarifying application requirements for Accessory Dwelling Units (ADUs) under the local approval process. The ordinance also amended the Administrative Code to prevent landlords from removing certain tenant housing services without just cause, specifying that a building permit does not constitute just cause. Supervisor Haney was added as a co-sponsor. This action also made findings as required by the Tenant Protection Act of 2019, affirmed the Planning Department's environmental determination, and found consistency with the General Plan and Planning Code Section 101.1.

Consent Agenda

Extending deadlines for disability access improvements in public accommodations.

Ordinance No. 204-21, sponsored by the Mayor, Chan, and Haney, was approved. It extends the compliance deadlines for existing buildings with public accommodations to make primary entries and paths of travel accessible to persons with disabilities or receive a City determination of equivalent facilitation, technical infeasibility, or unreasonable hardship. The extension is for approximately two years, and also extends the period for granting extensions from those deadlines. The deadline for the Department of Building Inspection's report to the Board was also extended. Supervisor Haney requested to be added as a co-sponsor.

Consent Agenda

Extending temporary tenant protections due to COVID-19.

Ordinance No. 207-21, extending COVID-19 based limits on residential evictions from September 30, 2021, through December 31, 2021, was passed. Evictions are allowed only for non-payment of rent, violence, or health and safety issues.

Consent Agenda

Revising the Local Business Enterprise Program to increase opportunities and penalties.

The Board approved Ordinance No. 203-21, which revises the Local Business Enterprise (LBE) and Non-Discrimination in Contracting Ordinance (Chapter 14B). Key changes include: increasing LBE certification size thresholds and allowing automatic increases every five years based on the consumer price index; changing the LBE certification size threshold calculation from a three-year to a five-year average of gross annual receipts; increasing penalties for violations from up to 10% to up to 25% of the contract or subcontract amount; requiring prime contractors to include LBE subcontractors' approved payment requests in payment applications within 30 days of receipt of an invoice; authorizing separate LBE subcontract participation requirements for micro, small, and SBA-LBEs; extending the bonding assistance program to certain City-funded construction projects; authorizing a pilot Mentor-Protégé expansion program, a pilot micro-LBE set-aside program for certain design-build and construction manager/general contractor projects, and a pilot Neighborhood LBE program; and increasing the contracting Threshold Amount from $706,000 to $1,000,000 and the Minimum Competitive Amount from $129,000 to $200,000. Supervisor Haney requested to be added as a co-sponsor.

Consent Agenda

Reauthorizing non-citizen voting in school board elections and recall elections.

Ordinance No. 206-21, was passed reauthorizing non-United States citizen voting in elections for the Board of Education of the San Francisco Unified School District, including recall elections. Supervisors Safai and Haney requested to be added as co-sponsors.

New Business

Approving a contract amendment with Heluna Health for homeless outreach services.

Resolution No. 511-21 was adopted, approving the seventh amendment to the contract between the City and Heluna Health for the San Francisco Homeless Outreach Team. The amendment extends the contract term for 19 months, from November 30, 2021, through June 30, 2023, and increases the contract amount by $12,685,125 for a total not to exceed amount of $51,819,067.

New Business

Approving amendments to CleanPowerSF's power purchase agreement to add energy storage.

Resolution No. 510-21 was adopted, approving amendments to CleanPowerSF's power purchase agreement with Blythe Solar IV, LLC, to add energy storage capability to the existing solar energy facility. The contract amount was increased by $83,096,000 for a total not to exceed cost of $220,280,744, commencing in October 2022, with no change to the term.

New Business

Retroactively approving grant agreements for the Mayor's Youth Employment and Education Program.

Resolution No. 516-21 was adopted, retroactively approving the original grant agreement, first amendment, and second amendment for Contract No. 1000009982 for the Mayor's Youth Employment and Education Program between the Japanese Community Youth Council and the Department of Children, Youth and Their Families. The total term is July 1, 2018, through June 30, 2024, for a total not to exceed amount of $39,662,265. Ben Rosenfield, Controller, and Anne Pearson, City Attorney, answered questions.

New Business

Approving the sale of real property in Alameda County for highway improvements.

Resolution No. 517-21 was adopted, approving and authorizing the General Manager of the San Francisco Public Utilities Commission (SFPUC) and/or the Director of Property to sell real property located along State Route 84 and Interstate 680 in unincorporated Alameda County to the State of California (Parcel No. 65) for public highway improvements, acting through its California Department of Transportation (Caltrans), and the Alameda County Transportation Commission (Alameda CTC). The sale amount is $152,952. The resolution also adopted findings declaring the property "surplus land" and "exempt surplus land" pursuant to the California Surplus Lands Act, determining that competitive bidding is impractical, affirming the Planning Department's CEQA determination, and finding consistency with the General Plan and Planning Code Section 101.1.

New Business

Retroactively approving a grant for mental health services for students.

Resolution No. 518-21 was adopted, retroactively authorizing the Department of Public Health to accept and expend a $6,000,000 grant from the Mental Health Services Oversight and Accountability Commission for the "Mental Health Student Services Act of 2019," for the period of October 1, 2021, through September 30, 2025.

New Business

Retroactively authorizing a grant for park and trail improvements.

Resolution No. 519-21 was adopted, retroactively authorizing the Recreation and Park Department to accept and expend $1,634,540 from the California Department of Parks and Recreation for the Crocker Amazon Playfield Project and Lake Merced Trail Improvement Project. The form of the grant contract was also approved, requiring the Recreation and Park Department to maintain the projects for the duration of the Contract Performance Period from July 1, 2019, through June 30, 2049, pursuant to Charter, Section 9.118(a).

New Business

Approving the annual report for the Greater Union Square Business Improvement District.

Resolution No. 514-21 was adopted, receiving and approving the annual report for the Greater Union Square Business Improvement District for Fiscal Year (FY) 2019-2020, as required by the Property and Business Improvement District Law of 1994 and the District's management agreement with the City.

New Business

Approving the annual report for the Fisherman's Wharf Community Benefit District and Fisherman's Wharf Portside Community Benefit District.

Resolution No. 515-21 was adopted, receiving and approving the annual report for the Fisherman's Wharf Community Benefit District and Fisherman's Wharf Portside Community Benefit District for Fiscal Year (FY) 2019-2020, as required by the Property and Business Improvement District Law of 1994 and the Districts' management agreements with the City.

New Business

Amending the Planning Code regarding laundromats and on-site laundry services.

An ordinance amending the Planning Code to add Laundromat as a defined term, to require conditional use authorization for uses replacing Laundromats, and to prohibit Accessory Dwelling Units that reduce on-site laundry services unless replaced was passed on first reading. It also affirms the Planning Department’s determination under the California Environmental Quality Act; and making findings of consistency with the General Plan, and the eight priority policies of Planning Code, Section 101.1, and findings of public necessity, convenience, and welfare under Planning Code, Section 302.

New Business

Amending the Planning Code to update inclusionary housing program requirements.

An ordinance amending the Planning Code to update inclusionary housing program requirements was passed on first reading. It affirms the Planning Department’s determination under the California Environmental Quality Act; and making findings of consistency with the General Plan, and the eight priority policies of Planning Code, Section 101.1, and findings of necessity, convenience, and welfare under Planning Code, Section 302. Supervisors Mandelman, Safai, and Haney requested to be added as co-sponsors.

New Business

Appointing Supervisor Rafael Mandelman to the California State Association of Counties.

Supervisor Mandelman was excused from voting, and the motion to appoint him to the California State Association of Counties, term ending December 1, 2022, was approved.

Remarks

Recognizing Tim Paulson for his service to the San Francisco Building and Construction Trades Council.

The Board recognized Tim Paulson on the occasion of his retirement from the San Francisco Building and Construction Trades Council after more than 40 years of public service.

Hearing

Hearing on an appeal of a conditional use authorization for a project at 575 Vermont Street.

A public hearing was held regarding an appeal of a Conditional Use Authorization for a proposed project at 575 Vermont Street. The President informed the Members that a settlement agreement between the parties had been reached, and the Appellant had withdrawn their appeal of the project by correspondence received on October 29, 2021. The Board then voted to Approve the project. The Board voted to table motions to both Conditionally Disapprove the Authorization, as well as a secondary Motion that the Clerk of the Board Prepare Findings related to disapproving said authorization.

Committee of the Whole

Hearing regarding litigation settlements related to opioid distributors and manufacturers.

The Board convened as a Committee of the Whole to hold a public hearing to consider proposed Ordinances (File Nos. 211071 and 211072) regarding existing litigation relating to the partial settlement of the lawsuit filed on behalf of the City and County of San Francisco and the People of the State of California against three large distributors of prescription opioids (AmerisourceBergen Corporation, Cardinal Health, Inc., and McKesson Corporation) for abatement funds in the range of $27 million to $50 million to be paid over 18 years, and the partial settlement of the lawsuit filed on behalf of the City and County of San Francisco and the People of the State of California against Johnson & Johnson and its subsidiary, Janssen Pharmaceuticals, Inc., for abatement funds in the range of $6 million to $11 million to be paid over nine years. The meeting was HEARD AND FILED. It included commentary from Anne Pearson (Office of the City Attorney); as well as one other Speaker.

New Business

Authorizing settlements in opioid litigation against AmerisourceBergen, Cardinal Health, McKesson, and Johnson & Johnson.

The board convened in Closed Session regarding the case detailed above. Upon reconvening, the board elected not to disclose its closed session deliberations. After the closed session, the Board took action on two ordinances relating to opioid settlements that were detailed in the Hearing. The first ordinance, 211071 authorizes a partial settlement of a lawsuit against AmerisourceBergen Corp., Cardinal Health, Inc., and McKesson Corp. The city is expected to receive 27-50 million over 18 years. The second, 211072, authorizes a partial settlement of a lawsuit against Johnson & Johnson, where the city is expected to receive 6-11 million over 9 years. The board unanimously PASSED both on First Reading

Public Testimony

Public comments regarding city contracts and the plight of taxi medallion holders.

Members of the public expressed concerns regarding a City contract with a car wash business and regarding the Municipal Transportation Agency and the plight of taxi medallion holders.

New Business

Recognizing November 7, 2021, as St. Gregory the Illuminator Armenian Church Day.

Resolution No. 512-21 was adopted, recognizing November 7, 2021, as St. Gregory the Illuminator Armenian Church Day in the City and County of San Francisco. Supervisors Mandelman and Melgar requested to be added as co-sponsors.

New Business

Making findings to allow teleconferenced meetings during the declared emergency.

Motion No. M21-153 was approved, making findings to allow teleconferenced meetings under California Government Code, Section 54953(e).

Legislation Introduced

Introducing an ordinance to temporarily suspend the Cannabis Business Tax.

Supervisor Mandelman introduced an ordinance amending the Business and Tax Regulations Code to suspend the imposition of the Cannabis Business Tax through December 31, 2022. It was assigned to the Budget and Finance Committee.

Legislation Introduced

Introducing an ordinance regarding graffiti abatement, lifting the suspension of certain violations and reinstating fees and fines.

Supervisor Peskin introduced an ordinance lifting the suspension of certain provisions of the Graffiti Removal and Abatement Ordinance regarding the issuance of certain violations and reinstating the collection of certain assessed fees and fines. It was assigned under the 30-day rule to the Public Safety and Neighborhood Services Committee.

Legislation Introduced

Introducing a resolution declaring the intent to reimburse expenditures for the 240 Van Ness Avenue (The Kelsey Civic Center) project.

The Mayor introduced a resolution declaring the intent of the City and County of San Francisco (“City”) to reimburse certain expenditures from proceeds of future bonded indebtedness in an aggregate principal amount not to exceed $73,400,000 in one or more series of bonds on a tax-exempt or taxable basis for 240 Van Ness Avenue (The Kelsey Civic Center). It was assigned to the Budget and Finance Committee.

Legislation Introduced

Introducing a resolution declaring the intent to reimburse expenditures for the 4200 Geary Boulevard project.

The Mayor, along with Chan, introduced a resolution declaring the intent of the City and County of San Francisco (“City”) to reimburse certain expenditures from proceeds of future tax-exempt bonded indebtedness in an aggregate principal amount not to exceed $58,009,000 in one or more series of bonds for 4200 Geary Boulevard (San Francisco, California 94118). It was assigned to the Budget and Finance Committee.

Legislation Introduced

Introducing a resolution authorizing the issuance and sale of bonds for the San Francisco Unified School District.

The Mayor introduced a resolution authorizing the issuance and sale of bonds of the San Francisco Unified School District; prescribing the terms of sale of not to exceed $284,250,000 of said general obligation bonds. It was assigned to the Budget and Finance Committee.

Legislation Introduced

Introducing a resolution approving the conveyance of real property at 1979 Mission Street for affordable housing development.

The Mayor, along with Ronen, introduced a resolution approving an agreement for the conveyance and acceptance of real estate at 1979 Mission Street for future affordable housing development. It was assigned to the Budget and Finance Committee.

Legislation Introduced

Introducing a resolution adding the commemorative street name “Ruth Asawa Plaza” to the 1700 block of Buchanan Street.

Preston, along with Chan, introduced a resolution adding the commemorative street name “Ruth Asawa Plaza” to the 1700 block of Buchanan Street in recognition of artist Ruth Asawa. It was assigned to the Land Use and Transportation Committee.

Legislation Introduced

Introducing a resolution recognizing November as National Native American Heritage Month.

Ronen, along with Chan, Mandelman, Preston, Walton, Peskin, Safai, Melgar, Mar and Stefani, introduced a resolution recognizing November as National Native American Heritage Month. It was referred for adoption without committee reference at the next board meeting.

Legislation Introduced

Introducing motions regarding Mayoral appointments to the Sheriff’s Department Oversight Board and the Redevelopment Successor Agency Oversight Board.

The Mayor nominated several people to various positions. These nominations need approval or rejection. Nominations were made to Mark Gonzales, Julie Soo, Dion-Jay Brookter, and Timothy Kojo Minta. These nominations were assigned to the Rules Committee

Legislation Introduced

Introducing a request for hearing to examine issues surrounding housing for seniors.

Mar, along with Stefani, requested a hearing to examine the housing continuum for seniors, strategies to plan for such housing, and comprehensive reporting from a variety of departments and agencies. It was assigned to the Public Safety and Neighborhood Services Committee.

Legislation Introduced

Substituting and assigning a hearing on balancing housing and transportation coverage.

The board decided to substitute and assign a hearing for issues on balancing housing, transportation, and service consistency. Originally requested by Melgar, Mar, and Mandelman, the hearing will request Municipal, Disability, Planning, Transporation, Economic, and Resillience authorities to report. This was assigned to the Land Use and Transporation Committee

Legislation Introduced

Introducing a hearing to review external auditors' financial report and audit plans.

Preston requested a hearing to review external auditors' Comprehensive Annual Financial Report (CAFR), Single Audit, Management Letters, and plans for the City audit. External auditors Macias Gini & O'Connell and KPMG LLP are expected to report. This was assigned to the Government Audit and Oversight Committee

Legislation Introduced

Introducing a hearing on hiring report on the implementation of Mental Health SF.

Ronen requested a hearing on the hiring report on the implementation of Mental Health SF. The Department of Human Resources and Department of Public Health are expected to report. This was assigned to the Government Audit and Oversight Committee

Legislation Introduced

Introducing a proposed ordinance to delete the Trial Courts Courthouse Construction Fund.

The board deliberated a proposed ordinance from the Controller to terminate penalties for court construction. It would delete the Trial Courts Courthouse Construction Fund and reduce amounts added to court-imposed penalties to support courtrooms. This was assigned under the 30-day rule to the Budget and Finance Committee.

Legislation Introduced

Introducing a resolution to accept and expend a grant for the Automobile Insurance Fraud Program.

The board considered a resolution from the District Attorney to retroactively accept and expend a grant from the California Department of Insurance for the Automobile Insurance Fraud Program. It was assigned to the Budget and Finance Committee.

Legislation Introduced

Introducing a resolution to approve an amendment to the agreement for behavioral health services.

The board considered a resolution from the Public Health Department to approve an amendment to an agreement between Bayview Hunters Point Foundation for Community Improvement and the Department of Public Health for behavioral health services. It was assigned to the Budget and Finance Committee.