San Francisco Budget and Appropriations Committee Meeting Summary – June 18, 2025

The Budget and Appropriations Committee, chaired by Supervisor Connie Chan, met on June 18, 2025, to continue its review of the Mayor's Proposed Budget for FYs 2025-2026 and 2026-2027. Departments appeared to address proposed reductions recommended by the Budget and Legislative Analyst (BLA) office and to present trailing legislation. The meeting also included discussion of several fee ordinances and a lease amendment for a shelter expansion. The committee forwarded two administrative code items to the full board with positive recommendation and forwarded a resolution regarding a shelter lease to the full board without recommendation.

Consent Calendar

• The committee unanimously voted (5-0) to forward Items 5 and 6 (administrative code amendments regarding SOGI data transfer and Treasure Island Development Authority status) to the July 8 full board with a positive recommendation.

Public Comments & Testimony

• No public speakers appeared for any of the agenda items, including the shelter lease amendment (Item 10). Public comment was opened and closed for each item without participation.

Discussion Items

City Attorney – Programmatic Project Funding (Federal Litigation Support)

• The City Attorney's Office accepted all fiscal recommendations. The BLA flagged a policy item: a $1,060,000 per-year programmatic project to fund three new attorney positions (classification 817) for litigation against the Trump administration. City Attorney David Chu requested support, noting the office is "completely overwhelmed" and that the positions would help defend billions in potential liabilities and pursue revenue-generating affirmative cases. Chair Chan expressed support, calling it a legal fee investment, and Vice Chair Dorsey noted the office's value in protecting the city. The item remains under discussion.

Treasurer & Tax Collector – First Year Free Fee Waiver (Item 4)

• The department accepted all BLA recommendations. The ordinance would extend the waiver of first-year permit, license, and business registration fees for small businesses through June 30, 2026. The committee deferred action to a later meeting (June 20) for consolidated fee discussion.

Assessor-Recorder – Upward Substitution Recommendation

• The department agreed with fiscal recommendations but disagreed with a policy recommendation to deny an upward substitution (1824 Principal Administrative Analyst to 0922 Manager 1) in the public service division. Assessor Joaquín Torres argued the change supports efficiency and staff morale. Chair Chan opposed the substitution, citing a citywide 20% management growth and preferring a $1.6 million investment in six new FTE for appeals to generate revenue. President Mandelman suggested continued conversation. No vote taken.

Department of Human Resources – Deputy Director Position

• The department agreed with fiscal recommendations but opposed eliminating a vacant 0953 Deputy Director 3 position. Director Carol Eisen argued the role is critical for policy work (return-to-work, leave, civil service reform) and that the incumbent is on administrative leave as acting director of the Human Rights Commission. The BLA noted the position supervises only three employees, while other deputy directors supervise 19–60. Chair Chan signaled opposition to retaining the position, consistent with her stance on management vacancies.

Department of Technology – Management Positions and Work Order (Items TIS 11, 12, 13, 14)

• DT agreed with fiscal recommendations but opposed eliminating two vacant deputy director positions (Enterprise Applications and Network Services). Director argued the department's staff-to-management ratio is 17:1, above city average, and the roles are critical for high-risk systems (police operations, affordable housing internet). The BLA also recommended eliminating a redundant work order with the City Administrator for digital services, shifting billing to Admin Services in FY 2026-27. The City Administrator's office accepted that recommendation. Chair Chan suggested placing work order funds on reserve for flexibility. Items deferred.

Office of the City Administrator – Multiple Positions and Trailing Legislation

• The department agreed with 9 of 10 fiscal recommendations and accepted policy recommendation ADM 13 (work order shift for digital services). Disagreement remained on 7 policy recommendations involving positions in the Real Estate Division, Office of Contract Administration, Office of Cannabis, and TIDA. Deputy City Administrator Katie Patruccioni warned that eliminating two campus managers and a contracts deputy would be "completely untenable" and "catastrophic." Chair Chan noted many positions were not general fund supported, reducing direct savings. No vote taken.

Department of Public Works – Vehicles, Manager Positions, and Fee Ordinance (Items 8, DPW 7-14)

• DPW agreed with fiscal recommendations but opposed policy recommendations to eliminate four vehicle replacements and four vacant manager positions. Director Carla Short emphasized the vehicles' age (20+ years), lack of airbags, and 97% utilization rate. She argued the corridors program manager (vacant 5 years) is critical for a growing workforce development program, and other manager roles are needed for procurement oversight ($1 billion in contracts) and landscaping management. The BLA offered an alternative of downgrading the corridors manager from 0933 to 0932. The committee also considered Item 8, a fee ordinance updating DPW fees (subdivision, excavation, general fund) with modest CPI-based increases and waivers for small business permits. Action deferred.

Mayor's Office – Protocol Fund and Management Positions

• The department agreed with some fiscal recommendations but opposed a $100,000 cut to the Special Protocol Fund and elimination of two vacant management positions in the Finance and Policy Division. Budget Director Sophia Kittler said the fund had no spending as of May 30, and the positions may be filled (requiring layoffs). The BLA noted they appeared vacant in the budget system. Continued discussion.

Department of Public Health – Fee Ordinance (Item 9)

• DPH accepted all BLA recommendations, except a policy recommendation to eliminate a 0923 Manager 2 position serving as liaison between the Mayor's Office and health/homelessness agencies. Director Maureen Sia said the role is critical for coordination. The ordinance removes DPH permits for veterinary hospitals and laundry facilities, updates fees for solid waste, food safety, and tobacco penalties, and lowers certified farmers market permit fees by half. Action deferred.

Shelter Lease Amendment – 2177 Jerrold Avenue (Item 10)

• The resolution would authorize up to $3,055,982 for improvements to add approximately 82 shelter beds at an existing temporary shelter on Jerrold Avenue, with the lease running through January 1, 2039. Supervisor Walton (District 10) strongly opposed, arguing the community was not consulted and already hosts multiple shelters. He accused the mayor of ignoring district voice. The BLA flagged the item as a policy matter. The committee voted 5-0 to forward the resolution to the June 24 full board without recommendation.

Key Outcomes

• Items 5 & 6: Forwarded to the July 8 full board with a positive recommendation (5-0).
• Item 10: Forwarded to the June 24 full board without recommendation (5-0).
• Items 4, 7, 8, 9, and 11-18: Held over to the June 20 committee meeting for further discussion and consolidated fee action.
• No votes were taken on individual department budget reductions or fee increases during this meeting. The committee will continue deliberations on Friday, June 20, and Monday, June 23 (public comment).
• Chair Chan reiterated that she will consistently reject upward substitutions and vacant management positions recommended by the BLA, citing a citywide 20% growth in management positions over the last four years.
• The meeting recessed at 12:20 PM and will resume on Friday, June 20, 2025, at 10:00 AM.