OPENPUBLICA · PUBLIC MEETING RECORD
Record of Proceedings

San Francisco Budget and Finance Committee Meeting - July 15, 2026

Budget and Finance Committee — Wednesday, July 15, 2026
BodySan Francisco, California
SessionBudget and Finance Committee
DateWednesday, July 15, 2026
StatusFILED
Video Record
0:00 / 3:02:08

Transcript — Verbatim
0:13

Good morning.

0:13

The meeting will come to order.

0:15

Welcome to the July 15.

0:18

Um the budget and finance committee.

0:22

Uh, I am Supervisor Connie Chan, Chair of the Committee.

0:25

I am joined by Vice Chair, Supervisor Matt Dorsey, and member Supervisor Danny Sauter.

0:31

Uh uh, our clerk, it's Brent Halipa.

0:33

Mr.

0:33

Clerk, do you have any announcement?

0:35

Thank you, Madam Chair.

0:36

Just a friendly reminder to those in attendance to please silence also silence all cell phones and electronic devices uh to prevent interruptions to our proceedings.

0:46

And should you have any documents to be submitted as part of the file, it should be submitted to myself, the clerk.

0:51

Public comment will be taken on each item on this agenda.

0:54

When your item of interest comes up in public comment is called, please line up to speak on the west side of the chamber to your right, my left along those curtains.

1:02

And while not required to provide public comment, we do invite you to fill out a comment card and leave them on the trade by the television to your left by the doors.

1:10

If you wish for your name to be accurately recorded for the minutes, alternatively, you may submit public comment in writing in either of the following ways.

1:17

Email them to myself, the budget and finance committee clerk at B R E N T.org.

1:28

If you submit public comment via email, it will be forwarded to the supervisors and also included as part of the official file.

1:34

You may also send your written comments via U.S.

1:37

Postal Service to our office in City Hall at 1, Dr.

1:40

Carlton Big Place.

1:42

Room 244, San Francisco, California, 94102.

1:46

And finally, Madam Chair, items acted upon today, are expected to appear on the Board of Supervisors agenda of July 21st, unless otherwise stated.

1:55

Madam Chair.

1:57

Thank you, Mr.

1:58

Clerk.

1:58

And before you call item uh one, uh colleagues and uh to everyone here, I would like to take the privilege of the floor, if I may, to uh make some remarks.

2:10

So as everyone and uh well colleagues, as you know, I have made no secret of my intention to step down as chair of the budget committee at the end of this month in July.

2:21

I will also not be chairing the committee next week on July 22nd, and have already requested that Vice Chair Dorsey run that meeting.

2:31

So making today my last meeting as chair of this committee.

2:36

Um if I may serving these last four years as chair of the budget and finance and budget and appropriation committees, uh guiding the board board's work on the city's annual budget process has been a privilege.

2:51

Uh I have been very honored that my colleagues and two different board presidents have entrusted me with our crucial charge to oversee the committee's work to ensure we're upholding the highest standards of oversight for our city's contracts, leases, and spending, guarding against corruption and misconduct, safeguarding our public dollars, and I believe that work that we have done together these past four years have fulfilled that charge, and we have upheld the public's trust.

3:21

And when I say we, I just also wanted to give special thanks to Francis Shea, um, who has been really uh my partner in this um chairing the budget committees.

3:35

So finally, I do want to recognize and thank everyone who are the backbone of this committee, because let's face it, us politicians, uh the elected come and go, but the people who are here every day to make sure that we can do this job well, they are the vital part of the system that served the public.

3:57

So first and foremost, thank you.

3:59

Our clerk Brent Halipa um and the entire team at the clerk's office.

4:04

And of course, our budget and legislative analyst team, led by uh Nick Matnar.

4:10

Thank you.

4:11

And Christina, thank you.

4:13

Uh and then uh, of course, our controller team with, of course, you know, Greg Wagner, but really Devin is the real one who does the real job here in the committee, Devin McCaulay.

4:24

Uh, and of course, the mayor's budget director, Sophia Kittler and her team.

4:28

Thank you.

4:29

Uh, and last but not least, uh, and never really least, I would like to thank the SOGov TV team and apologize wholeheartedly for butchering their names every week on a weekly basis.

4:44

So for the final time, I would like to thank, and I know that I will still make this not right, but please forgive me.

5:00

Matthew, thank you so much to Matthew Eknall, Jaime Avateri, Suze Eat Nose, Eugene Labadia, Kalina Mendoza, uh James Kawana, and Jeanette uh Eknotov from ASICAF TV for podcasting this meeting.

5:14

So now, on to the meeting, because we have to get back to work.

5:18

Um just a reminder to the public.

5:21

We will have the budget and legislative analyst report for most of the items on today's agenda.

5:26

And uh for those item, as I as a chair have set it up to be uh is that uh is that uh I oftentimes has the department presentation first, followed by the budget and legislative analyst, then we take questions and public comment.

5:41

And the reason why I have done this um just it may not be the same uh after this.

5:46

The reason why I've done this is because I always believe that the department and the budget analyst analyst should be really come as a pair in their presentation to give a full picture of what this item is about.

5:59

So allowing this body to ask those questions and make comments before we interrupt those presentations, because I think you know, sometimes I learn from the fact that that answer is just one slide away when you're interrupt to ask the questions, and the same for the report that we would get um out oftentimes actually help answer those questions, not just for ourselves but the public.

6:21

So, but I see that Vice Chair Dorsey have some remark, so I will go to the Vice Chair Dorsey before we call item number one.

6:28

Vice Chair Dorsey.

6:29

Thank you, uh Chair Chan.

6:30

And before we get started, I just did want to follow up on your um outgoing remarks, and I know we will have an opportunity to customarily at the full board when we pass the first vote.

6:40

We all we all say things, but I did want to begin by thanking you, Chair Chan, um, for your steady leadership and tireless work on this budget process, um, not just this year, but in previous years.

6:54

Um I know from many years of working here in City Hall that chairing the budget committee is never easy.

7:00

It's one of the toughest jobs in this building, and that is especially true in a year defined by difficult fiscal realities.

7:07

Um but you led these proceedings with professionalism, patience, and a genuine willingness to work collaboratively.

Discussion Breakdown — Share of Meeting
Parks and Recreation█████████████13%
Homelessness████████████12%
Early Childhood Education██████████10%
Budget and Finance██████████10%
Affordable Housing█████████9%
Procedural███████7%
Technology and Innovation███████7%
Procurement█████5%
Engineering And Infrastructure█████5%
Summary of Proceedings

San Francisco Budget and Finance Committee Meeting - July 15, 2026

The Budget and Finance Committee met on July 15, 2026, chaired by Supervisor Connie Chan, with Vice Chair Matt Dorsey and Member Danny Sauter. Chair Chan announced her intention to step down at the end of July, receiving thanks from colleagues. The committee acted on 17 items, including contracts, land deals, housing projects, the Sheriff's Office overtime budget, and a ballot measure. Most items passed unanimously, but the Sheriff's overtime and foreclosure exemption measure prompted extended discussion.

Chair’s Remarks & Acknowledgements

  • Chair Chan thanked committee staff, the Budget and Legislative Analyst (BLA), the Controller’s Office, and the Mayor’s Budget Office for their support over her four years as chair.
  • Vice Chair Dorsey and Member Sauter expressed gratitude for Chan’s leadership.

Public Comments & Testimony

  • On Items 3 & 4 (PG&E land/easement), speakers Jacqueline Bryant (A. Philip Randolph Institute) and Kurt Grimes supported the India Basin park acquisition and McLaren Park safety improvements, citing community benefits.
  • On Item 6 (Pasha terminal amendment), a letter from Pasha’s director was read in support.
  • On Items 15 & 16 (ambassador services), two residents spoke in favor, describing how ambassadors reduced crime and improved quality of life in SOMA and Mid-Market.
  • On Item 17 (foreclosure exemption ballot measure), one speaker supported the amendment.

Discussion Items

Item 1 – Early Educator Wage Support Contract Amendment

  • Department of Early Childhood (DEC) presented: the amendment increases the grant to Children’s Council by $70.5 million (total $234.9 million) to extend wage supports for early educators. DEC reported that 3,000+ educators receive wage supplements, with base wage increases averaging 47% and over $13,000 for family child care providers. BLA recommended adding quantitative performance targets and improving data tracking; DEC accepted recommendations. Approved unanimously.

Items 3 & 4 – PG&E Land Acquisition (India Basin) and Easement (McLaren Park)

  • Supervisor Walton’s office and Recreation & Park Department presented: the city will buy a 14,000 sq ft parcel at 5000 Hunters Point Blvd for $575,000 (from Open Space Acquisition Fund) to complete India Basin Waterfront Park, and grant PG&E an underground easement in McLaren Park for $950,000, which will fund the Visitation Avenue Pedestrian and Bicycle Safety Project. The transactions are interconnected. BLA noted both prices exceed appraised values. Public speakers supported. Approved unanimously.

Item 5 – Lease for Former Fog City Diner Site (1300 Battery St)

  • Port of San Francisco presented: a new restaurant “Moonchild” will operate under a restructured ground lease; base rent $5,000/month with 15% increases every five years, plus percentage rent. The port aims to reoccupy a dark storefront. Approved unanimously.

Item 6 – Pasha Terminal Agreement Amendment (Pier 80)

  • Port presented: the amendment eliminates a $50,000/month management fee (saving $600,000/year), revises revenue sharing for events and tariff revenue, and allows shared use for cruise operations. Pasha expressed support. Approved unanimously.

Item 7 – In-Kind Gift of Consulting Services (Fuse Corps)

  • Mayor’s Office of Housing (MOHCD) presented: the city will accept $2.5 million in pro-bono executive consulting from Fuse Corps across five departments (DPH, HSH, MOHCD, Planning, HSA) for projects like accelerating affordable housing lease-ups. Approved unanimously.

Items 8 & 9 – Affordable Housing Projects (1234 Great Highway & 1939 Market St)

  • Item 8: amendment to loan for 1234 Great Highway (216 senior units) increases pre-development funding by $3.2 million (total $27.2 million) to repay higher-interest debt during a state funding delay. No total cost increase. Approved.
  • Item 9: ground lease for 1939 Market St to Mercy Housing (187 units, LGBTQ+ senior preference). 75-year lease, $15,000/year base rent. BLA noted gap financing still pending board approval. Approved.

Items 10-12 – Citywide Contracts (Microsoft, Copiers, Plumbing)

  • Item 10: amendment with Zones LLC for Microsoft products increases contract to $115 million, extends 3 years. DT estimates $10.5 million savings via discounts and unused license management. Approved.
  • Item 11: amendment with Canon for copier leases increases to $15.3 million. Approved.
  • Item 12: amendment with Sigillo Supply for plumbing supplies increases to $15.5 million, extends 2 years. Approved.

Item 14 – Sheriff’s Office Overtime Appropriation

  • Sheriff’s CFO presented: the ordinance appropriates $1.9 million from prisoner revenue and shifts $12.1 million from other budget lines to cover a projected $7.5 million overtime deficit in FY 25-26. Overtime driven by staffing minimums, new annex, court orders, and deputy shortages. BLA criticized the late submission (budget exceeded in February 2026) and recommended policy oversight; the Sheriff had already reduced overtime 25% since March 2026. Chair Chan expressed frustration and urged the department to improve capital planning and work with the Capital Planning Committee. Approved unanimously.

Items 13, 15, 16 – HSH Lease & Ambassador Services

  • Item 13: new 10-year lease for Bay Shore Navigation Center (128 beds) at 125 Bayshore Blvd, initial rent $655,000/year with 3% annual increases. Approved.
  • Items 15 & 16: release of $2.4 million and $4.4 million from reserve funds to continue and expand community ambassador services at shelters and in SOMA/Tenderloin neighborhoods. BLA recommended direct contracting and better coordination with DEM. Speakers testified to the ambassadors’ effectiveness. Approved (hearings filed, funds released).

Item 17 – Ballot Measure to Eliminate Foreclosure Transfer Tax Exemption

  • Supervisor Mattmoon presented: the measure would close a loophole used by large investors, generating an estimated $100-150 million annually. Three amendments were read (ensuring compatibility with other ballot measures). After public comment, the committee accepted the amendments and then continued the item to the July 22 meeting.

Key Outcomes

  • All items except Item 17 were approved unanimously and forwarded to the full Board of Supervisors.
  • Item 17 was amended and continued to the July 22, 2026 meeting of the committee.
  • The committee noted the pending Government Audit and Oversight audit of Sheriff’s overtime and urged collaboration with the Capital Planning Committee.
  • Chair Chan’s final meeting as chair was recognized with appreciation.

Meeting Transcript

Good morning. The meeting will come to order. Welcome to the July 15. Um the budget and finance committee. Uh, I am Supervisor Connie Chan, Chair of the Committee. I am joined by Vice Chair, Supervisor Matt Dorsey, and member Supervisor Danny Sauter. Uh uh, our clerk, it's Brent Halipa. Mr. Clerk, do you have any announcement? Thank you, Madam Chair. Just a friendly reminder to those in attendance to please silence also silence all cell phones and electronic devices uh to prevent interruptions to our proceedings. And should you have any documents to be submitted as part of the file, it should be submitted to myself, the clerk. Public comment will be taken on each item on this agenda. When your item of interest comes up in public comment is called, please line up to speak on the west side of the chamber to your right, my left along those curtains. And while not required to provide public comment, we do invite you to fill out a comment card and leave them on the trade by the television to your left by the doors. If you wish for your name to be accurately recorded for the minutes, alternatively, you may submit public comment in writing in either of the following ways. Email them to myself, the budget and finance committee clerk at B R E N T.org. If you submit public comment via email, it will be forwarded to the supervisors and also included as part of the official file. You may also send your written comments via U.S. Postal Service to our office in City Hall at 1, Dr. Carlton Big Place. Room 244, San Francisco, California, 94102. And finally, Madam Chair, items acted upon today, are expected to appear on the Board of Supervisors agenda of July 21st, unless otherwise stated. Madam Chair. Thank you, Mr. Clerk. And before you call item uh one, uh colleagues and uh to everyone here, I would like to take the privilege of the floor, if I may, to uh make some remarks. So as everyone and uh well colleagues, as you know, I have made no secret of my intention to step down as chair of the budget committee at the end of this month in July. I will also not be chairing the committee next week on July 22nd, and have already requested that Vice Chair Dorsey run that meeting. So making today my last meeting as chair of this committee. Um if I may serving these last four years as chair of the budget and finance and budget and appropriation committees, uh guiding the board board's work on the city's annual budget process has been a privilege. Uh I have been very honored that my colleagues and two different board presidents have entrusted me with our crucial charge to oversee the committee's work to ensure we're upholding the highest standards of oversight for our city's contracts, leases, and spending, guarding against corruption and misconduct, safeguarding our public dollars, and I believe that work that we have done together these past four years have fulfilled that charge, and we have upheld the public's trust. And when I say we, I just also wanted to give special thanks to Francis Shea, um, who has been really uh my partner in this um chairing the budget committees. So finally, I do want to recognize and thank everyone who are the backbone of this committee, because let's face it, us politicians, uh the elected come and go, but the people who are here every day to make sure that we can do this job well, they are the vital part of the system that served the public. So first and foremost, thank you. Our clerk Brent Halipa um and the entire team at the clerk's office. And of course, our budget and legislative analyst team, led by uh Nick Matnar. Thank you. And Christina, thank you. Uh and then uh, of course, our controller team with, of course, you know, Greg Wagner, but really Devin is the real one who does the real job here in the committee, Devin McCaulay. Uh, and of course, the mayor's budget director, Sophia Kittler and her team. Thank you. Uh, and last but not least, uh, and never really least, I would like to thank the SOGov TV team and apologize wholeheartedly for butchering their names every week on a weekly basis. So for the final time, I would like to thank, and I know that I will still make this not right, but please forgive me. Matthew, thank you so much to Matthew Eknall, Jaime Avateri, Suze Eat Nose, Eugene Labadia, Kalina Mendoza, uh James Kawana, and Jeanette uh Eknotov from ASICAF TV for podcasting this meeting. So now, on to the meeting, because we have to get back to work. Um just a reminder to the public. We will have the budget and legislative analyst report for most of the items on today's agenda. And uh for those item, as I as a chair have set it up to be uh is that uh is that uh I oftentimes has the department presentation first, followed by the budget and legislative analyst, then we take questions and public comment. And the reason why I have done this um just it may not be the same uh after this.

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