Budget Committee Discusses 10-Year Capital Plan, Amends Bond Schedule - April 19, 2023
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Budget and Appropriations Committee Reviews Ten-Year Capital Expenditure Plan, Amends Bond Schedule
The Budget and Appropriations Committee met on April 19, 2023, to consider the proposed Ten-Year Capital Expenditure Plan for fiscal years 2024–2033. The committee heard presentations from Brian Strong (Office of Resilience and Capital Planning), department heads, and extensive public testimony. After debate, the committee voted to amend the bond schedule, swapping the March 2024 public health bond with the November 2024 affordable housing/shelter bond, and continued the item to the April 26 meeting.
Public Comments & Testimony
- Multiple speakers from the Climate Emergency Coalition and 350 San Francisco urged the committee to include a dedicated climate mitigation bond in 2024, arguing the current plan underfunds emission reductions and defers critical projects. They called for a vote against the plan until a climate bond is scheduled.
- Joyce Calagos, Susan Green, Nancy Haber, Elena Engel, Corey Monteith, Sarah Greenwald, Joni Eisen, Paul Wormer, and Lawrence Baskett all expressed support for bold climate action, with some citing the UC Berkeley CLEAR report and the need for a multi-billion dollar measure.
- Charlie Shamus (Council of Community Housing Organizations) stressed the need for accelerated affordable housing funding, noting the 23.6 billion estimated need and the recent board resolution on regional housing bonds.
- Eileen Bogan criticized the plan for allowing enterprise departments (MTA, PUC) to receive general obligation bond funds despite governance and project concerns.
- David Pilpel supported the plan as written, noting minor typos, and suggested duplicating the file to allow further amendment.
- Francisco DeCosta called for attention to climate justice and indigenous land.
Discussion Items
- Presentation of the 10-Year Capital Plan: Brian Strong outlined the $41 billion plan, including $5.7 billion for general fund departments, and highlighted accomplishments since 2020 (e.g., 2,600 affordable housing units, seismic retrofits, new fire station). He explained the constrained bond program, policy of retiring debt before issuing new bonds, and proposed schedule: March 2024 public health bond ($200M for clinics and shelter at 1001 Polk St.), November 2024 affordable housing/shelter bond ($200M for 260 Golden Gate and other housing), and later bonds for transportation, parks, etc.
- Board President Peskin’s framing: He noted the elimination of odd-year elections, the regional housing bond (BAFA) potentially on November 2024, and the need to decide whether to swap the two 2024 bonds to avoid voter confusion. He suggested hearing from DPH, HSH, and MOHCD about fiscal impacts of a swap.
- Supervisor Safai’s concerns: He questioned the 1001 Polk Street shelter plan ($100M for 200 beds = $500k/bed) and the location in a drug-ridden area. He proposed moving the shelter conversation to November and using March for housing. He also noted the need for more general fund pay-as-you-go funding to reduce backlog.
- Supervisor Mandelman’s comments: He emphasized climate, public health, and affordable housing. He expressed frustration with DPH’s lack of plan for severe mental illness facilities and opposition to a March 2024 public health bond without addressing those needs. He supported a transportation bond for climate and noted the need for a decarb bond.
- Supervisor Ronan: She requested that future capital plans include estimated emissions reductions for each project to link to climate action goals. She supported exploring a regional transportation bond and noted the importance of timing relative to BAFA.
- Supervisor Walton: He underscored the challenge of timing bonds with regional measures and the need for affordable housing investment.
- Chair Chan: She questioned the split of shelter projects between March and November, and asked about the clarity of the affordable housing bond’s scope. She stressed maintaining the city’s AAA bond rating by adhering to the debt-retirement policy.
- Fiscal Impacts of a Swap: DPH’s Greg Wagner estimated $9.9M escalation and $2.5M design costs if the public health bond were delayed to November. HSH’s Gigi Whitley estimated $5M escalation for the shelter project. Douglas Sleg (Deputy City Administrator) noted total escalation of $16M if both are delayed. MOHCD’s Lydia Ely stated that the affordable housing bond funds are needed by mid-2025, so an earlier bond would save escalation costs.
Key Outcomes
- Motion to Amend: Supervisor Safai moved to amend the resolution to revise the bond schedule so that the affordable housing and shelter bond appears on the March 2024 ballot and the public health and shelter bond appears on the November 2024 ballot. The motion was seconded by Supervisor Ronan and passed 4-0 (Vice Chair Mandelman absent).
- Continuance: The committee voted 4-0 to continue the item to the April 26, 2023 meeting for further consideration, as the amendment is substantive and requires additional time.
- Next Steps: The amended resolution will be considered at the April 26 committee meeting, with a final deadline of May 1 for administrative code compliance.
Meeting Transcript
The meeting will come to order. Welcome to the April 192023 meeting of the budget and appropriation committee. I'm Supervisor Connie Chan, Chair of the Committee. I am joined by Supervisor Supervisors Hilary Ronan and Shaman Walton. Our clerk, it's Brent Halipa. And I would like to thank Helena Mendoza from SFGov TV for broadcasting this meeting. Hopefully we shortly will be joined by Vice Chair Rafael Mendelman and Supervisor Asha Safaye. Mr. Clark, do you have any announcement? Thank you, Madam Chair. With our return to the chamber, just a friendly reminder for those in attendance. So please make sure to silence all cell phones and electronic devices. Also can we refrain from any flash photography? The Board of Supervisors and its committees are now convening hybrid meetings that allow in-person attendance and public comment while still providing remote access and public comment via telephone. The board recognizes that equitable public access is essential, and we'll be taking public comment as follows. First public comment will be taken on the item on this agenda. Those attending in person will be allowed to speak first, and we'll take those awaiting on the telephone line for those watching remotely and streaming through uh sfgovtv.org. The public comment call in number streaming across the screen. That is 415 65501 with a meeting ID of 24840353728, then press pound twice. When connected, you will hear the meeting discussions, but you'll be muted and in listening mode only. Uh when your item uh when the item comes up in public comment is called, those joining us in person should line up to speak, and those on telephone should dial star three uh to also be added to the telephone line. Uh uh, if you're on your telephone, please remember to turn down uh your TV and all listening devices you may be using. Each speaker will be allowed up to two minutes to speak unless otherwise stated. Alternatively, you may submit public comment in writing in either of the following ways. Email them to myself, the budget and appropriations committee clerk. Pardon at B R E N T dot J A L I P A at S F G O V dot O R G. If you submit public comment via email, it will be forwarded to the supervisors and also included as part of the official file. He may also send your written comments via U.S. Postal Service to our office at City Hall. That's one, Dr. Carlton B. Gillett Place, Room 244, San Francisco, California 94102. Hi, and finally, Madam Chair, uh the item acted upon today are expected to appear on the Board of Supervisors agenda of April 25th, unless otherwise stated. Madam Chair. Thank you, Mr. Clerk. I just want to acknowledge that board president Peskin has uh joined us in the chamber uh for this item. Um and Mr. Clerk, please call item number one. Oh, and uh before I do that, uh Madam Chair, with the appearance of the president, we are now convened uh as a special meeting for the board of supervisors. Uh and item number one. Uh is uh the resolution adopting the city's 10-year capital plan expenditure plan. Oh, sorry, 10-year capital expenditure plan for fiscal years 2024 to 2033, pursuant to the administrative code. Members of the public who wish to provide public comment uh should call 415-655-0001 with the meeting ID of 2484 035-3728, then press pound twice. And if you already haven't done so, how please dial star three to lineup to speak. He prompt will indicate that you have raised your hand. And uh please wait until the system indicates you have been unmuted, and then you may begin your comments. Madam Chair. Thank you, Mr. Clark.
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