San Francisco Government Audit and Oversight Committee Regular Meeting – April 18, 2024
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San Francisco Government Audit and Oversight Committee Regular Meeting – April 18, 2024
The Government Audit and Oversight Committee of the San Francisco Board of Supervisors met on April 18, 2024, at approximately 11:15 AM (PDT) to discuss four major agenda items and approve several settlement agreements. The committee was chaired by Supervisor Dean Preston, joined by Vice Chair Catherine Stefani and Supervisor Connie Chan. Supervisor Shamann Walton participated as a guest for the first item. The meeting lasted over five hours due to extensive public testimony and deliberation.
Dreamkeepers Initiative Hearing
- Overview: Supervisor Walton introduced a hearing on the Dreamkeepers Initiative (DKI), launched in 2021 with an annual allocation of $60 million to reinvest in San Francisco's Black communities. Since inception, cumulative funding totals $180 million over three fiscal years (FY22–24).
- Financial Status (per CFO Samuel Thomas): Over $140 million has been spent or encumbered; $59 million expended on grants; $22 million for homeowner assistance; $3.2 million in mini-grants for basic needs; $3.1 million for entrepreneurs; 52 market-rate homes purchased via down-payment assistance; 196 scholars supported in post-secondary education.
- Public Comment: Over 50 speakers expressed strong support for DKI, citing positive impacts on youth, seniors, small businesses, mental health, and cultural preservation. Speakers included representatives from Curry Senior Center, Hope SF, Samoan Community Development Center, and many grantees.
- Discussion: Director Dr. Cheryl Davis and Dr. Sai emphasized the initiative's return on investment and community-led model. Supervisor Chan raised concerns about potential budget cuts and rumors of supervisor opposition; Chair Preston and Vice Chair Stefani affirmed their support. Supervisor Walton stressed that DKI represents only 0.0043% of the city's budget.
- Outcome: The committee voted unanimously to continue the item to the call of the chair.
Delays in Disbursement of Funds to Fix Elevators in Single Room Occupancy Housing
- Background: In June 2022, $10 million was allocated for elevator modernization in SROs. Despite repeated promises, the Notice of Funding Availability (NOFA) was not issued until February 16, 2024—coinciding with a San Francisco Chronicle investigation.
- HSH Presentation: Deputy Director Emily Cohn and Director Salvador Menjivar explained the NOFA process, eligibility (privately owned buildings with master lease, 50% owner match, minimum 5-year lease), and timeline: proposals due May 16, 2024, awards in summer/fall 2024. They cited staffing shortages and competing priorities (acquiring 10 new buildings, wage equity) as reasons for delays.
- Public Comment: Tenants and elevator union members described dangerous conditions—trapped residents, fire department rescues, seniors unable to leave apartments. Speakers urged immediate action.
- Discussion: Chair Preston criticized the two-year delay and lack of urgency, pressing for expedited timelines. Supervisor Safai noted that the funds were allocated but not prioritized by the administration. The mayor's office representative agreed to explore tightening schedules.
- Outcome: The committee voted to continue the item to the call of the chair, with a request for HSH to report back on expedited timelines and a requirement that awarded projects begin work within a set period.
SFHA's Housing Choice Voucher Program
- Context: Supervisor Safai sponsored a hearing on the Housing Authority's decision to contract out the HCV program after a HUD mandate due to a $20 million shortfall in 2019. The contract with Nan McKay & Associates (worth up to $32 million over three years) led to a breach of contract lawsuit (filed November 2023) for poor performance.
- SFHA Presentation: CEO Tanya Ledgister stated that HUD required outsourcing; competitive bidding selected Nan McKay. The authority has since split the program between two contractors: one for tenant-based (8,000 households) and one for project-based (7,500 households) vouchers. No payments have been missed, but litigation will determine damages.
- Public Comment: One speaker criticized the lack of due diligence, noting Nan McKay's prior poor performance in Chicago.
- Discussion: Supervisor Safai questioned why the authority did not vet Nan McKay's track record (Chicago Housing Authority removed them in 2016). Ledgister replied that procurement rules limited review to submitted proposals. Safai encouraged exploring whether the HUD mandate could be lifted to bring work back in-house. He also emphasized the need for transparency and accountability.
- Outcome: The committee continued the item to the call of the chair for follow-up on lessons learned and potential policy changes.
Military Equipment Use Policy 2023 Annual Report
- Presentation: Captain Alejandro Kabebe presented the Sheriff's Office first annual report under AB 481. The inventory includes drones, mobile command vehicles, breaching shotguns, AR-15 rifles, sniper rifles, MP5s, automatic pistols, flashbangs, chemical launchers, and the Arwen 37mm launcher. Actual deployments in 2023 were minimal: drone used for six days (Bataan memorial, APEC summit, a suicide intervention), rifles used for training and high-risk transport/APEC/Fainstein memorial. No complaints were received.
- Request for New Equipment: The department seeks approval to purchase a new ground robot (replacing an obsolete scout robot) and a kinetic breaching tool for the special response team.
- Public Comment: None.
- Discussion: Chair Preston and Supervisor Chan commended the transparency and community engagement (zero attendees at January 2024 community meeting). The sheriff's legal counsel confirmed the robot is for surveillance only. The MP5 submachine guns are out of service for 10 years and not used.
- Outcome: The committee voted unanimously to forward the resolution to the full Board of Supervisors with a positive recommendation.
Closed Session Settlements
- Items 5–13 comprised eight ordinances and four resolutions authorizing settlements of lawsuits and unlitigated claims ranging from $36,000 to $800,000. No public comment was offered. Chair Preston noted that his questions had been answered beforehand, making a closed session unnecessary. The committee approved all items to the full board.
Key Outcomes:
- All four regular agenda items were continued to the call of the chair or forwarded to the full board.
- The Dreamkeepers Initiative received strong reaffirmation of support; continued monitoring of budget.
- HSH is expected to report back on expediting elevator repair timelines and requiring commencement dates in awards.
- The Housing Authority will explore options to possibly lift the HUD mandate and improve contractor vetting.
- The Sheriff's Office military equipment report was approved with commendation for transparency.
Meeting Transcript
Good morning. Uh, this meeting will come to order. Welcome to the April 18, 2024 regular meeting of the government audit and oversight committee of the San Francisco Board of Supervisors. I am Supervisor Dean Preston, Chair of the Committee. I'm joined by Vice Chair Catherine Stephanie and Supervisor Connie Chan. Uh, and here with us as well. Uh, for the first item is uh Supervisor Walton. Our committee clerk is uh Monique Creighton, and we want to thank uh SFGov TV for staffing this meeting. Madam Clerk, do you have any announcements? Yes, public comment will be taken on each item uh on this agenda when your item of interest comes up and public comment is called. Please line up to speak on your right. Please note that we have comment call cards. Alternatively, you may submit public comment in writing in either of the following ways. Email them to the government audit and oversight committee clerk at M O N I Q E. T-O-N at SFgov.org. If you submit public comment via email, 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. One, Dr. Carlton B. Goodlick Place, Room 244, San Francisco, California, 94102. If you have documents you would like to be included as part of this file, please submit them to me before the end of the meeting. Please make sure to silence all cell phones and electronic devices to prevent any interruptions to today's proceedings. Uh finally, items acted upon today are expected to appear on the Board of Supervisors agenda of April 30th, 2024, unless otherwise stated. Thank you, Madam Clerk. Please call item one. Item one is a hearing on the resources allocated for the Dreamkeepers Initiative, specifically on which programs have been funded by the allocated 120 million and accessing other needs that the Dreamkeepers Initiative can support. Thank you, Madam Clerk. Um, and uh Supervisor Shaman Walton is here with us today. I want to thank Supervisor Walton for uh all of uh your work in uh in getting this program started in the first place and uh with the the ongoing work with the human rights commission and other departments um to uh to ensure that these funds are getting uh out the door and also that we're having uh transparency and oversight, and you've called for a number of hearings on this, and I think they've been very beneficial. Um I will say, as the supervisor in District 5, I uh especially appreciate all the work as many of our uh organizations in District 5 have directly benefited uh from the Dreamkeeper initiative. So uh Supervisor Walton, with my thanks, uh the floor is yours uh and you can uh give any remarks you'd like as well as introducing our speakers today. Thank you so much, Chair Preston, and thank you, colleagues. Uh it's good to see a good turnout this morning. So I'll just uh start off with some pretty brief words. According to several sources, dreams are supposed to last about five to twenty minutes. But we all know that some of our dreams take a lifetime, like achieving equity, righting the wrongs of the past, or even achieving fair treatment. As stated on the San Francisco Human Rights Commission's website, the Dreamkeeper Initiative was launched in 2021 to reinvest $60 million annually into San Francisco's diverse black communities. Inspired by Langston Hughes' line, the Dreamkeeper Initiative seeks to address and remedy racially disparate policies so that the dreams of young African Americans and their families are no longer deferred, and they have the needed resources to support and thrive in San Francisco. Today we're here to learn about all the great work of the Dreamkeeper Initiative and about how everyone is working together to make a difference in an impact. This extremely small yearly commitment to the black community has led to tremendously positive outcomes in areas such as youth development, economic opportunity, community-led change, arts and culture, workforce, home ownership, and these resources and supports are accessible to San Francisco families who are most in need. When I say small investment, I mean a very minimal investment compared to the entire city and county budget of San Francisco. Contrary to false narratives and ignorant commentary, the Dreamkeeper Initiative makes up less than 0.0043% of the city and county of San Francisco's budget. And yet the outcomes of the initiative have proven fruitful for this entire city. We will continue to highlight the fact that this is a very small percentage of the budget, especially when you factor in the fact that black people are overcriminalized in this city. Black people are disproportionately homeless in this city. Black people have the highest infant mentality rates in this city. Black people are most likely to die by violence in this city. Black people have the biggest gaps in achievement in the education system in this city. Black people are disproportionately racially profiled in this city.
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