City and County of San Francisco Wednesday, March 03, 2021
[Music]
>>chair haney: the meeting will come to order. This is the March 3, 2021 budget and appropriations committee meeting, I am met
haney joined by supervisors
ronen, safai and mar and our
clerk is missed linda wong.
I'd like to thank sfgov tv for broadcasting this meeting.
Any announcements?
[Inaudible]
>>linda wong: members will be participating in the meeting remotely. They can post questions to the
various orders and directives. Committee meetings can
participate . [Inaudible] Public comments will be available on each item
on channel 6 and sfgov.Org by
streaming the number across the stream.
Comments .
[Inaudible] By calling
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Meeting id is 187 516 8993 .
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.
Submit public comments by email
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part of the official file. This concludes my announcement .
>>chair haney: thank you so much .
Can you please call item 1 .
>>linda wong: item number one
is an overview of the
department of homelessness and
supportive housing budget 2021 through 2022 and 2022 through
2023. Members of the public will provide comments on this item by dialing 1-415-655-0001,
meeting id 187 516 8993 and
press pound twice and if you have not already done so press 187 516 8993 to speak.
Wait until the system indicates you have been on muted.
>>chair haney: thank you so much Madame Clerk.
I want to welcome the representatives, especially interim director stuart con was
going to provide a presentation
. I noticed my colleagues on the
budget appropriations committee are aware of this but this will
be an opportunity for us to hear a bit of a preview of the
department of homelessness and supportive housing budget, their plan, their overall vision and this will of course not
be anywhere near to the last opportunity for us to have a dialogue with them, asking them to appear early to have
this conversation before spring budget meetings and this was a top requested priority of both
our committee and the board of supervisors to have him appear so with that I'm going to turn it over to you , interim
director. And we have somebody who is in the
.
Who are we joined by?
>> can you hear me?>>chair
haney: thank you, yes.
I can hear you . >> good afternoon chair haney and members of the budget
appropriations committee. Do you still have some background noise? I don't know if it's hard for others to hear .
>>chair haney: is someone calling in from the floor or something? Can we meet that person or get them to mute? Iq .
They are still on muted
.
>>linda wong: this is a public comment line and it has to be on muted for us to accept the comments. I believe it's coming from our
ct staff.If you can please use your mind
.
I will just proceed and do the
best I can. It's a little hard for me to
hear .
>>chair haney: I've never heard that having before.>> I will
wait then share.
Madame Clerk.
Who controls that line.
>>linda wong: it's controlled
by our staff from the department
of technology. We've been requesting her to
mute termite.
I believe it's muted right now.
Our apologies.
>>chair haney: sorry about that . >>abigail stewart khan: everybody has to be flexible during the time of covid so
thank you for working on the
technology issue. Abigail stuart con, I use she
he pronouns and I'm joined by gigi whitley, agency director of administration and finance devlin snyder, editor of policy and legislative affairs.
We look forward to sharing with you information about our proposed budget for fy 2122 2223 and I just want to note we appreciate the chair offices
support of hard stop at 2:30 as
we have a previously scheduled and critical workshop focused on diversity equity and inclusion which we will talk about today so thank you for helping us keep that critical appointment with our team.
As we dive into this discussion
today I want to take a moment to thank both mayor reed and members of this board for your
leadership in homelessness and
while we do not always agree on
policy decisions and trade-offs , I genuinely feel honored to work in a community starts from
a place of compassion for those most vulnerable and as a result of that compassion and expertise our response for people experiencing homelessness as lead the nation . This pandemic has laid bare the inequities in our society and people experiencing homelessness have suffered increased fear, isolation and risk. Artie said change team city
partners and unprecedented collaboration on providers in the homelessness response
system have stepped up time and again to
bring that compassion, creativity while relying on best practice data and science behind the virus.
In this last year hs h and our partners have been able to open spaces in hotels and care for people more than any other
community and this was recently acknowledged by the los angeles times as one of the ways we help people experiencing homelessness and also interim our hospital system is not overwhelmed.
The city has reorganized shelters, rapid rehousing,
permanent supportive housing in every aspect of our system of care including outreach for covid. People keeping keeping people sheltered and house has kept
rates at or below the general
population for a full year. Unfortunately and tragically this has not been the case in
other communities resulting in huge outbreaks among people experiencing homelessness. Our community has press forward with shelter expansion and opened new to new centers
opened by two new operators and
starting this month will we will be in contract for expansion of our new flexible which is permanent supportive housing long-term and rapid rehousing, medium-term and a scattered site meeting community-based approach with funded slots in the hundreds and plans to reach 900 slots. We been awarded significant
competitive resources and are opening over 500 units of site-based meaning building
prominent supportive housing area beyond what was in the pipeline and I know there's a lot of interest in planning the way to expand that further for the right resources. While the speed of rehousing
people has been stubbornly and unacceptably slow we are lamenting significant changes this month and I am pleased
that additional resources are being brought to support this the lift up this critical priority . I want to take a moment to thank and honor the work of the 80 hs h team and our exceptional city partners at the ccc and beyond and our nonprofit organizations.
Next slide please. The city is now entering a phase of recovery planning to continue to protect the health and safety of our workforce and those experiencing homelessness while continuing to work to reduce homelessness during this time of uncertainty and economic turmoil. The overall goal for hs h remains to substantially equitably and sustainably reduce homelessness for all populations our values. Equity is our overarching consideration in everything we do and we spent this last year running to the forefront. We are committed to continue the work of the city and community partners to creatively use state, local and federal and every resource available despite the crisis
and further strengthen our program. Ace hsa began the year focused on the mayor's recovery program
is a bold expansion of housing prevention and shelter.
I know many of you other policy directions you would like to see this committee take on related to homelessness these should be considered but they
all, there will always be a question of priorities and trade-offs both financial resources made available and the human resources allocated to our department to get this work done. In advance of this hearing to
receive chair haney core
principles and budgets and I wanted to spend a little bit of time passing on those upfront before we dive into our numbers . I want to spend some time talking about the ways in which
we are centering racial equity
at hsh . Internally we published our first racial equity act with action plan and we have brought on board not only an equity
consultant and homelessness equity consultant and we're in
the process of developing a racial equity roadmap which
takes our internal current
racial equity plan and expands
it to the homelessness response system. We're actively hiring for a equity officer prioritized and have resources to implement this work. Hsh has not had resources and
staffing on equity until now.
On the providers side we were pleased to advocate for a $10 million bonus from low-wage provider staff through the proxy funds released by the board in December and we've been through procurement have
expanded our provider network. Additionally our deputy director of programs meets monthly with hsh's providers of color to understand their obstacles and what technical assistance and support are
needed to elevate their work. From a system of care perspective on equity we know people experiencing homelessness in san francisco are disproportionately black. According to the last time count 36 percent compared to fewer than six percent black people in the city. Tragically this is the case nationally not only in san francisco and the root causes
are all the historic inequities that we are all either understanding or more deeply
coming to understand that every single aspect of our society. While hsh cannot affect all these root causes our role is to
reverse that disproportionality
of people experiencing homelessness, ensuring we build housing justice. Based on our recent analysis findings show that black african-american people are
disproportionately 40 percent
being prioritized and referred to housing. However we need to continue to work and do more. Are partnering with 13 community-based organizations to provide community-based
culturally responsive access to coordinated entry with special
extension to neighborhoods and populations where the need is highest. Continuing our shelter in place
program and committing housing resources there furthers our
equity goal as significantly more than 36 percent of people
in hotels are black and latinx. We intend to reopen dolores center. And we recently opened the
lower navigation center in partnership with third street youth services who have deep experience serving the youth
community which excuse me, the youth who identify significantly as lgbtq or are
black or brown.
Moving to our commitment to integrity and public service we
are committed to transparent processes, community engagement, authentic
stakeholder input and publicly accessible data. I can assure you from the top it's about ethics, transparency and public interest .
This commitment includes our continued progress on our 2020
on conducted by the bla to put
forth for recommendations that hsh largely agreed with and are quickly moving forward.
Of those that we finally have a fully staffed hr team to support additional hiring of vacancies which were happy to later in the presentation.
As noted we are standardizing our performance contract monitoring and this is a high priority for our work in this coming calendar year.
To promote integrity , accountability and transparency across our system of care. In terms of the covid-19
response, covid has impacted
every poor conant component of our response. Through the continued
implementation of the mayors homelessness recovery plan that
invests in an expansion of shelter and housing and prevention this is our path to recovery. Highlights include implementing
, continuing to implement mitigation guidance across the
system, maintaining significant temporary shelter which we've been able to do safely
including safe sleep hotels and implementing the largest expansion of supported housing and other housing resources in the last 20 years. We are reactivating our congregation's following public health guidance and have met
the benchmark of the thousand
beds set forth in the mayor's recovery plan. Chair haney required inquired about innovation and impact. San francisco continues to be a
leader in innovative solutions
to address homelessness and we continue to collaborate with partners, learn from each other and innovate in our system of care.
We received calls from other
communities looking to develop navigation centers, safely, parking and other approaches that have been piloted in san
francisco . The root is human centered design for what we call learning labs or other collaborations with people with lived experience at the center
of designs and solutions. A critical part of our impact is
providing transparency to demonstrate impact.One
innovation that probably nobody is writing home about but that is critical is we developed a data warehouse. As we confronted covid we found we were interacting with so many different databases across the city as the city partnered to respond and we created a
data warehouse which allows us to pull data and present
dashboards and we've created multiple public dashboards in the last year. While this work is hard and slower than we might like we are able to slowly but surely bring more understanding and transparency to the
homelessness response than was
possible before the departments formation. And we look forward to presenting new dashboards very shortly towards the mayors homelessness recovery program
and congregant shelter system. We've been awarded to civic bridge projects which support
our communications work towards addressing homelessness and finally we engage with stakeholders.Every day,
every hour and we will continue to do that with people with
lived experience, provide our
partners the local homelessness coordinating board, board of
supervisors, community members and the general public. Where developing a public
calendar and resources so the public can better understand where and how to engage with our system of care in addition to our weekly update calls with our provider community. They are strategic work
advisory committees, quarterly leadership meetings with
executive directors and regular
meetings with provider networks . Next slide please. The chair inquired about our budget development process and I'm pleased to report here.
The first public meeting hosted
by the local homelessness coordinating board on January 22 where we presented our two-year budget priorities and the mayor's budget instructions. The second meeting was also posted by lapd on February 8 and we presented an overview of our two budgets similar to what we will be sharing with you today . We also held stakeholder budget input sessions included
meetings with provider network cochairs and as hpn and hsn, a special meeting with our provider leadership, a meeting
with the strategic advisory committee and we were grateful to meet with the san francisco youth commission. So what are our budget priorities and major changes this year? Next slide please. You for keeping up with me.I appreciate that . We are focused on maintaining
funding for core services even
though we are required to meet the mayor's budget directive. We are in our budget proposal
we maintain everything
including adult rapid rehousing in the flex pool including
flexible housing subsidy pools
which are in process as we work to develop equitable
contracting processes and contract with providers to bring these resources online. We are driving in a laser
focused way to implement equity action plans which will continue to partner with rdi consultants through
philanthropic donations and they will guide our internal
and external work and as I noted the able to hire our first ever staff for cheap
equity officer which came , which we gained the ability to
provide in the last month . We are driving towards the implementation of the mayors homelessness recovery plan which is where you will see our expansion which was announced in 2020 and as I've noted guides the next 2 years of recovery and we need to prioritize infrastructure and capacity needs including capital planning proposals such as proposals to address in equities in older, get shelters that serve predominately black and brown individuals and an investing and updating our infrastructure. I will turn this over to Miss
Whitney to go into these budget priorities in greater detail. thank you.
>> gigi whitley, administrative
finance for hsh. High-level our budget includes
a number of initiatives as the director mentioned but there is more work to be done over the
last few months on our budget and one of those key issues will be what is the level of funding for the emergency
response that included in hsh's portion of the budget and that could include money for shelter
in place controls as well as safe recovery but the other
part of our budget is ongoing work with our cdr homes committee to identify the next
two years of strategic
investment for the proper
sequence so that is additional ongoing work that's coming. Art of the planning processes that we are working on in
anticipation of supporting any
final changes to hsh's budget
in coordination with the mayors office is a plan to implement
$147 million in the 20/20 health ngo recovery bond,
working in partnership with the department of public health and
san francisco health plan to begin planning for accounting in which you will hear me talk about later in the presentation and then ongoing work with regional partners and our
partners at an ocd around
prevention and prevention strategy.
So our proposed budget is for the coming year, it's $578.5
million , that's a change from
the prior year of 273.6 million . As you can see from the slide
most of that is special revenue . That was one time in our budget
, most particularly due to the covid pandemic and 12.2 million is the net difference in our general fund support. Most of that was due to a one time allocation for local matching funds for the states project home key initiative
which enabled us to purchase with our nonprofit partners 363
new units of permanent supportive housing.The budget is relatively flat over the second year of the budget. And decreases slightly by 3.3 million, mostly with one time
revenue from the state.
Next slide please.
So this slide really walk you through what was the major change the year-over-year in the departments budget.
As I mentioned there was a lot of one-time resources and this table shows you a summary of what those resources were. 140 million to support the fema response . We do anticipate some level of
fema support next fiscal year
but that isn't yet budgeted or
requested here.
We had a 1 time allocation to
accept and extend home key funds from the state. That was one time money that
ended up going directly to the call applicant and did not go through our budget so that was a one-time source. It was 39 million in one time proxy revenue that was allocated in our budget.
A net $9.8 million reduction
the whole person state care initiative winds down and I'll talk more about that in the next slide.
23 million in one-time state
funds for homelessness. Allocated last year and then a slight decrease in work orders and other revenue sources. Next slide please.
So the ongoing general fund
investments I'm pleased that we
were able to comply with the
mayors direction without making any current service level reductions and still being able
to continue expansion that were funded by the mayor, the board
in the last two-year budget. So we were able to comply with
the instructions without any service reductions or programmatic reductions.
Our budget still includes new funding and ongoing funding to
support the mayors office of
community development , housing
and community development pipeline of supportive housing units.
902 of those and that includes 757 units for family, older
adults and four and ocd and hundred unit building that the
board approved last fiscal year for chronically homeless adults. There's also a variety of ongoing shelter investments in our budget, funding for
windows vista family shelter,
$1 million to operate and locate a new state parking site
when the parking site at the upper yard closes. Funding to replace the family
shelter that closed this year. Ongoing funding to increase capacity and one of our adult shelters, chelsea place and
then a work order with
department of public health to
expand health services for the new centers that opened this year. The other thing that this is continuing is the board during the budget process divided 2.3
million to start a flex pool
for both families and those funds are in our budget and are increasing every year. Next slide.
This is a picture of our budget
by programmatic area for the
fiscal year 2122 . You can see the majority of our funding , 367 million
101 million or 17 percent goes for shelter and navigation centers and other temporary interventions. We have a large chunk of money
in our budget for prevention so that part of our budget has
found to about 11 percent. Two percent of our budget is really a work order to the
department of public health for healthcare services behavioral
health and medical health both in our housing sites and are shelters. We have 10.3 million or two percent of our budget for
outreach. A small budget for admin and about two percent and another
two percent for delivery and much of that includes our staffing that directly supports
programs like homeward bound or a portion of our permanent
supportive housing.Next slide please. This shows our budget , proposed
budget by expenditure type you will see this big job, 46 percent of programmatic projects
, that reflects the program proxy money so I would
expect somewhere before you in
June that would be allocated to various projects and interventions. The other big portion of our budget is direct funding to
grantees and our nonprofit providers that accounts for 228
million or 40 percent of our budget. The nonpersonnel services you
see is really pleasing costs
for both shelter and permanent supportive housing predominantly area and a small amount for materials and
supplies, capital and I mentioned work orders. Those are our work orders to their apartment of public
health as well as mohcd and
four percent of our budget goes
to support our salaried staff.
Next slide. This provides a summary of our
positions.
our budget cycle increased our
fte to 164.2 fte. Much of that was calculation of
temporary salaries and a part
of the budget process was bla and the board accepted the
bla's recommendation that we come up with a staffing plan for what it is going to require to manage such a rapid expansion in funding and
growth.The difference in departments from the adopted
budget is really around the fte added now that are hitting the budget this year and that flattens out in this second year of the budget.As
director stuart mentioned, our budget has more than doubled in the last 4 years.
Our the pace of our infrastructure including our own staffing has not kept pace.
We still have critical staffing
needs to monitor and expand
housing and housing subsidies.
Prevention, programs like vehicle triage . Budgeting, accounting,
contracting , all of those positions will help us move more efficiently and faster. We have a lot of new requirements were mandated data recording. Which requires additional
staffing and higher than previous volume of public
information and retention and request. Next slide.
The department also submitted a proposal to capital planning committee and the committee on information technology for a variety of gas.
For cbc we've asked for some
initial funding to go beyond the 2016 public health and safety bond.
This is the equity issue that
director stuart con mentioned
to help improve our existing adult and family shelters so
most of the 2016 bond went to kind of those critical health and safety issues. But we are asking for money to
go beyond those initial health
and safety issues that are project as well as for the department of public works to study what it would take to
help seismically retrofit these shelters. We've also requested some seed money to help locate a new family shelter.
I mentioned earlier that we
have ongoing operating funding
to replace first friendship but we have not yet identified a permanent site.
And finally our request is not for money but for approval to move forward with the new
grants management system .
Since the department was formed we've been using the carbon system which is hsa's legacy system and given the volume of
new money we want to have an up-to-date system that will allow us to move money out the door more quickly. Next slide.
So one of our proposals to help reach target was to increase
revenue in the department. Just the final year of the whole island with the
department of public health , we were not anticipating this but there was $11 million made available from the state to
continue that through December 2021 and that his has really been critical to help us
maintain navigation and stabilization for needed entry and care for nations services. Many of those services are
being done at the rate so we have care coordinators working
in each of the shelter in place hotels help transition folds to
a permanent exit. The state has released some initial information about the future of person care which would be closer collaboration with the local county health plans and we have started
working with dph to be part of that conversation to take advantage of that new revenue source to take it vantage of being able to continue these funds for the health and well-being of people experiencing homelessness and keeping them stably house the
next slide.
So this chart reflects our 7.5
percent general fund reduction project over 2 years which is part of the mayor's budget instruction so that we about a $30.4 million reduction in ongoing general fund support
and then another $11.3 million contingency. It was important in conversations with the mayor's office and knowing that we are in the middle of a pandemic with a massive expansion coming
with proposition c that we not reduce any current services so
again, we were able to take advantage of the $11 million or
2.7 million in additional state money to help meet that target and we anticipate about $6.3
million with cal being able to
continue services that would otherwise impact the general fund. The other kind of good news
that we got during the preparation process for the
budget was that as we all know, the biden harrison ministration
had granted 100 percent of 63
housing costs. I think costs could be female reimbursable for eligible clients area that has allowed us to free up some other state and federal grant money that we otherwise would have to spend
here and not available to support sit next year she board and mayor choose to do that area we were able to also
leverage additional funds by reallocating and reorganizing our coc portfolio so we have a
new project opening at the hotel that was going to be
funded by the raps that we were able to use federal funds to
that and free that money.
We also have about $3 million
though in increases in leases for city shelters, resource centers, permanent supportive housing and our master lease site so that at a cost of about $3 million.
Next slide. This slide gives you an overview of things we were not
able to meet within our target reduction but are still
important priorities that we heard from our community
partners . one of those is although we have $1 million programmed in the budget for a new state parking site, given the sites to construct a site and ongoing
operating project there's about
a $3.5 million gap remaining. For a new date parking program. There's about a $6 million gap
to influence legislation to psh
grant 30 percent of tenant income.
We were excited to get a $1.2
million ad back to continue a portion of the initiative but
we were not able to get $6 million to continue that. All of these are ongoing discussions with the mayor's
office as he develops proposals or our budget for June.
As director stuart con
mentioned we were able to use
one-time proxy money to provide nonprofit worker equity pay on a one-time basis .
We know there's a request for a level of funding to continue but that is not yet programmed in our budget and then through
the community input process as
well as in our internal staff
identified 5.5 million in
additional requests for
existing shelter housing and service programs as well.
Next slide. This provides an overview of sort of the baselevel funding for our city, our homes and that will be a conversation with the mayor and the board and on committees moving forward most of that falls into housing , connections and shelter and 225, excuse me,
255.7 million is accounted for in those previous slides.
Next slide.
We were before you in December and asked for a portion of the
$295 million budget and finance reserve and so this is what has been programmed so far. For proxy funds , about 20 million for housing including
that massive expansion and flexible for rapid rehousing,
ongoing psh for the new home key project, service and operating costs as well as that bonus pay for providers.
About 3.4 million for prevention and problem-solving including bonus pay for
providers and funding to
immediately help triage clients
who aren't eligible for permanent supportive housing
but could use funds to get to a permanent exit from
homelessness through sip and 25 million for our emergency shelter program including sleep
and must go anywhere were
having a 200 percent shelter. Next slide.
And we're both here to take your questions. Thank you very much for your
patience.
>>chair haney: thank you for your presentation and for your work . Colleagues, I will let you all
go first area supervisor safai .
>>supervisor safai: thank you, chair. I wanted to dig in a little bit
on allocation for safe sleeping versus safe parking.
You noted that you have a
shortfall there and you've allocated 5.9 for safe sleeping.
Can you talk more about that and talk a little bit more
about I don't want to say lack
of commitment that the lack of
allocation for safe parking and
prioritizing this.
We no longer have that.
It's being dismantled this week . There's obviously a stated need for it. There's over a significant number of people sleeping in vehicles. Last time we did the homeless count of 80 percent of the
increase prior to covid were people living in vehicles and I don't see that commitment reflected in this budget so can
you talk about that director
khan? >>abigail stewart
khan: thank you supervisor safai.
I agree about the need for intervention in this area. We spent considerable time talking with the President About his need in this community and we know there's an increase in people living in their vehicles. What you see in our budget proposal represents what's been allocated and what we were due while making, while meeting
the mayor's instructions and as
we noted we know there's an increased need but there is in fact a gap that will be a decision for the mayor and the board in terms of putting priorities for funding allocations area I'm happy to
try to unpack a little bit more about the safe parking allocation which has a similar
challenge. We are taking over the safe parking program in the next year , we've been highly involved
and as we transitioned into the homelessness response system those sites , many of those
sites are not permanently available to us so while we have ongoing operating
allocated additional resources both for staff and for
development of this site is required.
I think we all agree about the importance of this. It's a matter of allocating the
resources , both the human resources and the fiscal resources so we heard that loud and clear from the community
and we agree wholeheartedly and we're looking forward to the
ongoing conversations with the board and the mayor about how to bring resources to bear
those two critical needs I see that allocation based on proxy dollars, those are new dollars and the way you allocated it out in your budget, those are, that's new revenue that we won to the courts that's been sitting there in an account . Correct me if I'm wrong, if I'm seeing it the wrong way but proxy oversight money is coming
in now as your beginning to allocated based on a larger
kind of priority and I see at least on one of the last slide
it was 5.9 million for safe sleeping but there was nothing
allocated other than $1 million
for safe parking so that's an internal priority decision that
you made quick I think I
understand your question. Deputy director whitley was saying and I May turn to your her here shortly, we expect to be back with you.
Our proposed budget for the mayor which was submitted on the 22nd or 23rd does not include additional proxy dollars.
So what you're seeing in the slides that Miss Whitley presented is the past allocation of seed both in the buckets that are available and what has been put into our budget. Any increase or expansion in these areas would require additional resources.
So this topic will come up for
discussion I would imagine with the proxy oversight committee and in an ongoing way through
this budget process .
>>supervisor safai: my question
is is that 5.9 million for safe
sleeping, that continuation is that new money? Is that a new allocation? What have you allocated for safe sleeping in previous years and how does that relate to that 5.9 million? Is that a new determination under proxy that you've
allocated ?
>>abigail stewart khan: deputy director can you get into the
details here denmark?
>>gigi whitley: what I've
presented is the current year snapshot coming out of the
proxy recommendation which is
that portion but the entire
program this year for 250+ ,
five sites I believe is $18 million. So going forward in the next
budget year we have not allocated any of that seed money. We cannot propose that as part of our budget.
We want to have a conversation and hear the priorities of our
city, our homes committee and understand your priorities and the mayor's priorities before allocating those funds as far as the mayor's proposed budget
so we are silent on the in this budget proposal.
What you're seeing before you
is only the portion of proxy funds that are fulfilling $18 million commitment that the city started this year and as you know safe sleep, this is the first year for safe sleep, that was part of the covid response.
>>supervisor safai: did that come out of proposition c money left in mark how is that 18 million based on or 250, 10?
That seems like a lot.
>>gigi whitley: the budget was
anticipated fema resources . Those did not come to fruition.
Fema made a determination that target and assistance that our
congregation shelter was not eligible. So it was , it's a combination
of state grant revenue , a
little bit of general funds and we were before the board in
December to help fill this $5
million gap of funding to maintain an $18 million program this year.
>>supervisor safai: so that $18
million , that comes out to $72,000 per tent .
Versus you know, the safe parking program which comes out to about $15,000 per parking spot.
That's a significant budget
allocation.
For that program.
Is that what you normally spend or was that the first year you've allocated dollars for safe sleeping?>>gigi
whitley: safe sleep was part of
the covid response and was put up at the covid command center,
not necessarily by hsh. We manage the budget and the contracts so you're correct it is an expensive endeavor.Some
of that is covid pricing which are city partners have experienced across the board. We are conducting analysis and a look at how to bring organization across that new function of the homelessness response system. Standards of care, standard
ratios of case management.
but three is an expensive cost. The triage center has you know
was put up before covid so had more ability for scrutiny of contracting, more cost reductions and savings as we do with the rest of
our portfolio.
>>supervisor safai: I think I
heard your deputy director say you urgently thought you were going to get reimbursed for fema dollars and then that didn't happen. So I guess I'm trying to
understand going forward is this 5.9 million that your
allocating or proposing in your budget, that sounds like a continuation of the program and your allocating 5.9 million for it to keep you going in the
next year, is that right?
>>abigail stewart khan: deputy director whitley can the numbers.
That slide was about the money that was unlocked in December as part of the urgent need work of the seed committee so we can set aside that five number. Going forward the commitment is to maintain safe sleep and I
believe deputy director whitley
is allocating $18 million to that cost going forward, is
that correct?
>>gigi whitley: I apologize, I don't think I'm very being very clear. We have when the budget was
adopted in October , safe sleep
was slated to wind down so
there is $4 million in the proposed budget for safe sleep.
There's not additional balance to get to the 18 million allocated.
That will be a conversation obviously with the mayor about what level of sleep sleep she wants to propose in her budget and then a conversation with the budget director how to pay
for it but that isn't what I reflected there was not a
proposed budget, it reflected
our current budget.
>>supervisor safai: got it. That makes sense and I guess that makes sense, we will see how it goes forward whether how this committee responds to my request to you when I see that is also to see a firmer
commitment to safe parking I
think that is something that I
think in this past year to be successful, it's something there's a need for, that need is not going away and might have even increased.
And so I think that should be , there should be a stronger reflection of that in your
budget . Hopefully there can be further conversations with proxy oversight committee to see if
there's a commitment or a
desire for that committee to support that allegation.
The second thing , I'm just going to ask one more question. I know my colleagues want to ask questions. The thing I didn't necessarily
see jumped out in some of our
conversations we had previously about housing kind of on the larger sense but hotel acquisition or acquisitions. can you point to the funding
area that you are anticipating that will be in? I know there were savings carried over from the previous year, different dollars and
other additional dates money. I just want to see where you're reflecting that in your budget ?
Or proposed budget.
>>abigail stewart khan: are proposed budget reflects the commitment to expand housing both through acquisition and a
scattered site approach. Aligned to the mayors homelessness recovery plan so we have resources sort of in
our proposal and coming to be able to meet that massive
expansion and as you know supervisor, there's tremendous
interest in the city family and across the board in further acquisition.
We are waiting to understand
and partnering deeply with the
home committee to set
parameters, goals around equity, geographic equity and the types of resources as well
as reviewing all of the buildings and portfolios that are available and being offered so that if and when state funding becomes available we
would be both financially ready and from a human resources
perspective ready to take action about beyond the mayors homelessness recovery goal. Deputy director whitley,
anything you would add?
>>gigi whitley: just quickly for the chair, gigi whitley.
There was a variety of about $196 million appropriated in
the budget last year for housing.
That's as you saw from the confusing slide I showed only 20 million of that was off reserve . So we have another allegation coming up in the new budget. That still leaves about 176
million to be allocated that
could go to , that's already appropriated in our budget that
could go to weekly leverage or acquire property .
I also mentioned expects the
number that I knew. I just didn't know where you were reflecting it, I was looking at your overall budget allocation and I just wanted to
see where you had it reflected.
Okay.
Thank you Mister Chair.
Oh wait, on page, I don't know,
our overview you have housing, general families under 30, shelter , 292 million.
Those are the different
allocations and then in your budget you talk about
allocating some of that money as it breaks down based on
category. I'm just trying to see what
that overall final number was,
not the money you said the
hundred 70 million but if it's on the slide that breaks it
down families under 30,
prevention, shelter.
Where is the funding allocation
that it talks about how many in
particular and housing
purchases how they can be utilized or drawn
from?
>>gigi whitley: are not able to see that level of detail in that
chart, that's showing you editorially.
>>supervisor safai: we can follow up, thank you Mister
Chair.
>>supervisor walton: just going back to supervisor safai's comments because I've been
probably asked before the
budget for safe parking sites for a couple of months at this point.
Without taking apart a whole bunch can you walk me through the costs and why is it so difficult to set aside the resources needed for the safe parking site?
>>abigail stewart khan: deputy director whitley talked about what our gap is.
And we as you know are very committed to this and I agree with you about the need.
The resources and expansion
that hsh has received has been
directed towards the covid response and additionally in order to maintain our current
programming we don't have the
ability to significantly expand
without priority and resource allocation by the mayor or the
processing committee so we would love to set aside response at the moment it would require us to pass something else so we are looking to, we are looking forward to that
continued policy priority.
>>supervisor walton: covid did not create the need for a safe parking spot. We had that need before other resources came from anywhere else as a response so this
priority should be rescinded in the budget. It should have nothing to do with covid because we needed a safe parking site hired to covid. We knew that site was temporary so the response about covid recesses not being able to cover , that's unacceptable.
And director stewart khan you stated this has been identified by a large number of stakeholders I can only take
this as it either hsh is
ignoring input but this has been identified as a need prior to the pandemic. Maybe not to the level of large numbers but most definitely a need tires to the pandemic. So either way, this money
should be reflected in the budget. And I guess my question is this is it some type of negotiation
tactic?
>>abigail stewart khan: a negotiation tactic?
No, this is something hsh would like to move forward on and we are looking forward to having those resources allocated in order to make target.
Are not able to include them in
our budget proposal but as you know, this is a key priority for the department.I hear you saying it doesn't feel like it and I agree that funding allocations are an expression of priorities so we need resources to bring to bear on this issue .
>>supervisor walton: quite
frankly you made the statement several times how many stakeholders identify with those other needs. My only other question , when
you said you're currently actively hiring for chief equity officer, what does
actively hiring me?
>>abigail stewart khan: thank
you for that question. Actively hiring, it's a posted position. We've recruited and we are beginning our interview process
this month.
>>supervisor walton: thank you. I am done, chair haney . >>chair haney: supervisor mar.
>>supervisor mar: I wanted to
echo mike colleagues questions
and points around the need to
prioritize safe parking site
programs and one follow-up question I had on that.
You said that the safe sleeping
sites program with a covid
response and the plan right now at least right now is to wind that
down.
But is that the same plan with the state parking site port
program? Do you guys do that as a
response?
>>abigail stewart khan: no, that was something that was established before the pandemic . we know there's a critical need .
We piloted the site at the vehicle triage center in district 11. What we have allocated now for ongoing is 1 million and additional resources that would be needed to find a new site and to allocate ongoing funding to maintain a site in the city . So we also just to clarify, we
didn't talk about winding down safe parking. Excuse me, safe sleep . That is something we are
evaluating and moving into the polio as we move forward
.
>>supervisor mar: I had a question about the permanent supportive housing program.
Call seem to summarize, is
there a budget increase to
scattered sites program and how many units of permanent
supportive housing?
>>abigail stewart khan: yes
, deputy director whitley can the specific numbers but that's where the vast numbers of our expansion of permanent
supportive housing is coming is through a flexible pool and we are in contract, moving into
contact with nine providers the unit positions and services so they individuals to find sites and support them to stabilize
in their sites throughout the community. Are there numbers you can direct
to? We are in the early days of our
budget process with the mayor .
>>gigi whitley: the expansion
of the flex pool for seniors
and families was both in our adopted budget but the majority of that was funded by funds that were released this year. If that were to continue and we
fund the fall wind down next year it's about a $12 million total programs portion of that is during this fiscal year and a portion of that would be a
conversation with our cdr homes either coming back to you getting additional funds on
reserve for that charge of expansion or to have that conversation as part of the budget but it's about a $12 million expansion.
>>supervisor mar: got it and that came from our city, our
home fund extension.
>>gigi whitley: there was a $2.3 million add back adopted by the board and the bulk of
the expansion as the supervisor state is our city and homespun .
>>supervisor mar: thank you and is there like a baseline funding
amount on the general fund? A budget for flexible subsidies, how much is that western mark
?
>>gigi whitley: this was a new and innovative program that kicked off in 2020 and we
kicked it off with
philanthropic partnerships with the goal of sustaining it with ongoing city revenue. We used the opportunity and changing rental market to
rapidly expand this program with the support of the our city,
our home committee.
>>supervisor mar: I had a
question
, you said there is
nine service providers that we
are working with on this. The scattered sites program. I have a question about the nonprofit pay equity. That was mentioned in the slide
around some budget proposals
that aren't included right now.
That was about $10 million. Can you just speak a little bit
more about that?
And what that would cover
.
>>gigi whitley: to make sure I'm being clear, the $10 million that we talked about in our presentation was a one-time
bonus pay related to covid that
had already been distributed or
is in the process of being distributed to our nonprofit providers in order to account for the changing conditions that they're operating in during covid you are noting in our slide of things that we
think are critically important and we have heard from communities that were not able
to integrate into our proposal to the mayor given the requirements to make budget reductions and to meet the mayor's instructions. That ongoing capacity is a challenge for our city and our community. and we hear that from our providers loud and clear.
We also note we are grateful to
our providers for letting us know how meaningful that one-time bonus was for their staff and acknowledging their critical role they played in the healthcare response during covid so we look forward to
continued conversations and trying to get resources allocated to that end.
>>supervisor mar: that's a helpful clarification and what
was that $10 million one time?
>>gigi whitley: the source of
that was proxy. And it was taken off of budget.
Taken off of reserve by the budget and finance committee of the board last December.
One of the things just to frame
up that I think all the questions are showing is complicated here is we had a different budget cycle last year hsa is also experiencing a standard budgeting process because of the timelines of the committee so what we're presenting here now is our
proposal irregardless of the allocations ongoing from the
committee so we are very early days in our budget proposal to the mayor's office so that's one conversation that needs to continue and then we are looking forward and actively talking to the wonderful
members of the our city our home committee to create
alignment, understanding what their priorities are and how we can work together to strategically unlock those funds area so we would come back to you again as this goes
on with much more information and in partnership with the our city, our home committee going
forward.
>>supervisor mar: chair, I don't have any other questions.
>>chair haney: thank you
colleagues.
Supervisor ronen .
>>surpervisor ronen: thank you
hsh and my colleagues for ants asking such great questions. The question I had was on the support candles and whether or
not the request from fema has been widened in order to
reimburse for people with , in a
greater pool that are experiencing homelessness to be
able to use those hotels.
>>gigi whitley: this was a
topic of discussion at the ordinance hearing. The controller's office I
believe on questions would defer to their expertise.
What the command center is responsible for is for implementation the expanded criteria based on the guidance of the department of public health which also meet fema
criteria so that's what they're operationalizing now.
In short, yes but it's a little bit more complicated about how the department of public health is interpreting things locally
and doctor board appeared in front of the board and spoke to some of that but I don't want to speak for public health .
>>surpervisor ronen: I wasn't able to attend the hearing so I can go back and look at that. That relates to my next question which is is there any
capacity within our entire system for people that are currently sleeping on the
streets and want a safer space .
>>abigail stewart khan: there's
capacity in contradiction capacity in hotels and outreach team and what the command center calls our referral partners including jail and the
surf team and the hot team are all actively referring into our
system of care.
>>surpervisor ronen: would you say there's significant capacity or give us a ballpark, are there one or two at each one or
is that capacity on each?
>>gigi whitley: the changes on a day-to-day basis so certainly a
more constricted capacity as we
actively move people out of the hotels into housing, there's more capacity. Director rourke spoke at the hearing about bringing more rooms back online which is
happening rapidly in the hotels so there will be capacity for over 500 people to move into hotels and there is, we have been able to meet the need of
our referral partners. I don't know how to qualify their significant capacity but
throughout the entire pandemic we've been able to meet the
needs of our referral partners for cognitive shelter. One of the things that congregate, and shelter and appropriately so is that intakes or deposit sites wherever there is a positive case and we're doing a significant amount of testing in our country sites. But even with those pauses we've been able to day ahead of the curve and maintain and be able to meet the needs of our referral partners.
>>surpervisor ronen: by those
referral partners you mean the drop-in centers and teams .
>>gigi whitley: also jail,
health and significantly, probably the number one
referral is hospital discharge. So people come from the
street to the hospitals and are discharged into our system of care. This has always been a challenge in the system of care. During the pandemic is particularly important to prioritize that and one of the things is the la times noted article notes is how significant the alternative shelter system which is included safely and are congregate and expansion has
been in protecting the hospital
system from getting overloaded during congregate or excuse me, during covid because of that discharge. It's a daily challenge. A daily stretch for those working on this . And it requires tremendous collaboration but we have been
able to meet that ongoing need
.
>>surpervisor ronen: it would be helpful if you don't have it
on hand right now but if you could send me sort of if there's a daily average of capacity at those different options
, that would be helpful. Because that has not been the case throughout this pandemic that there was capacity. That's good to
hear.
So I'd be interested to know how much capacity .
>>gigi whitley: that's one of
the dashboards where working on
publishing so people can see
that on a daily basis. We've been able to maintain capacity with the exception of early in the pandemic when we pause all shelter intake and
everything not challenging. Since that time as we pre-inflated and have continued to expand and backfill the hotels and expand safe sleep we've been able to meet the
capacity needs of our referral partners.In an ongoing way but I'm happy to send you those numbers.
>>surpervisor ronen: ranks .
>>abigail stewart khan: I want to note our time and our 2:30
stop for our equity-based workshop. I imagine members of the
committee ongoing questions and we'd be happy to talk with
anybody in meetings, we have monthly meetings with all of you but it's critically important to me that I prioritize this or the department.
>>chair haney: supervisor safai
.
Supervisor, are you there?
>>supervisor safai: sorry, I didn't realize I was muted. I know you have questions but why don't you go ahead.
I wanted to follow back up and get the point of clarity on slide 17 that they had regarding the safety sleeping. I can go after you if there's
time.
>>supervisor safai: I did want to follow up quick on this
issue of whether there's been
capacity because we are often
told when we interact with a stock or other
, the hot team
that there isn't capacity and there's nothing to offer people on the streets so we sometimes
have this sort of I understand that some of the referral partners it sounds like feel like that you are able to
provide for the referrals but
if it's your understanding that throughout the pandemic that there was capacity for people are on the street to easily get off the streets , even if they
weren't sip hotel eligible?
>>abigail stewart khan: as I noted earlier in the pandemic
there were extremely restricted and limited capacity area at our shelter system went from
taking care of 2000 people to sheltering about 500. We've now either safely
reinstated shelters or open new shelters and where over 1000 shelter beds available now. The ebbs and flows with pauses
in shelter intake. I checked this on a daily basis
with a centralized referral
process that happens and on a daily, generally speaking throughout the year our referral partners are with the exception of early in the pandemic, there's both summer
and on have been able to get allocated out every day. We work collaboratively with a stock when they're planning larger focus areas so that we
have the success that they need, the shelter beds they need and the safe sleep that they need. Do we always need more? Absolutely . Have we tried to stay above and work collectively across the system of care?Yes. The discharges from the
hospital remain the number one
priority and those are allocated for hospital discharge and then to the
referral partners.
>>supervisor safai: I will say
sometimes there's a disconnect because we have different
levels of the system and you all are not responsible for the street-level response and I know were talking about larger
scale budget things but we are
often told there is not capacity other than things that
are limited like a safe , one safe sleep spot. I did want to run through because I wanted to make sure these were addressed and hopefully some of these can be addressed when you come back
another time. In the next round.
Which are some of the questions that I put forward in the letter that I sent you.
I do appreciate you addressing many of them upfront. One of them is and I think this is very important for all our departments is if there's anything that is changed about the way that you ensure transparent and effective contract spending oversight in
this year's budget, or not just in the
budget but generally. How do you as the department
look at measurements and evaluation on contracts generally .
Of course we did have a really
awful and expensive crop, public corruption scandal in our city government and I'm
wondering how you as a department have responded to
that and what are some of the changes you've made as a result
?
>>abigail stewart khan: thank you for that question.
So if I'm understanding your question correctly there are several ways in which we address this and have always
addressed it.
First, we have a goal in our strategic framework which is going to be an important focus around performance-based contracting. So we need to move our community forward from how many
things did you do to what were your outcomes so we can change
the dialogue and that's a critical work area for the department and in terms of your questions about transparency and contracting, I'm looking
for my notes but hsh has
approximately... Excuse me, I don't want to quote you the
wrong numbers. Hsh has, I'm going to get this number wrong so I'm not going to say until I find but we have several contracts at any given
time in 20 of these were done through the emergency ordinance
which is a real focal point for your questions. Hsh has really put in above and beyond the standards of care
around that emergency ordinance . And has done since it was created . We recognize it was a potential
area of risk for our department
so we've used it sparingly but effectively to move things quickly to take care of people homelessness. We do it since everybody that has
, wants to work on contract comes from a prior procurement process so they've already been established as having qualification , then we do a
lighter procurement process for
those who qualify for a certain
work area that we are procuring. Again in the sort of 20 times that we use it they responded
with a budget proposal and we will be through that so basically we sort of used it as sparingly as possible in order to
, and I'm sorry supervisor, I should be able to see more effectively on the. All of that detail information supervisor is in the
controller's six-month report.
>>chair haney: for that and the department of homelessness and supportive housing along with many who were going to hear
from today are two of the larger that don't have
oversight committee so I especially want to make sure we are getting some attention to
that and making sure there is evaluation and oversight
function that is happening.
>>abigail stewart khan: as of July 2020 we had over 230.
I was correct, 22 of which have
been procured through the
shelter emergency ordinance. One other point of clarity, deputy director wesley would
like to clarify she misquoted the number safely and really just wants to make sure she's getting that right for you all . I know supervisor safai was focused on deputy director wesley.
>>gigi whitley: my apologies, I was reading the wrong line item but this is requested in the
controller's six-month report. The current six-month budget for safe sleep is $16.1 million, not .
My apologies.
>>chair haney: 16.1. And that for
how many people?
>>gigi whitley: there's 264 slots in safe sleep .
So there's more people because there's more, often more than
one person they tend when they are in a family but those are the slots.
Last I looked it was over 320
people.
>>chair haney: I have a number of questions but I recognize we have a diminishing amount of time together. I did want to ask about the 30
percent rent standard and I appreciate you flying that.
I think that our hope was that we were going to be able to get
to that standard for everyone
who was in supportive housing.
At least by next fiscal year and that likely would require
some sort of investment is not in the whole thing, in this year .
Could you maybe seek to how your speaking about that and how you think we're going to
get there if it doesn't appear
in either of the current , my understanding is in either of the new fiscal years in your budget
?
>>abigail stewart khan: thank you for the question chair.As you know as we build new supportive housing we accept that standard so from a values perspective we are all 100 percent aligned with you and it's been a product of trying to find the resources and city
priority settings to make those resources available. So we noted that .
It's a series of trade-offs. As we look to expand more
permanent supportive housing which I know is of utmost importance to most if not all members of this board, we have to figure out the balance and
where the resources go. So these are policy questions for the mayor and for the board and we look forward to
collaborating around them.
>>chair haney: I appreciate that and I when we pass the
ordinance unanimously that we communicate that this is a
policy priority that I'm sure there will be further communication in committee here
and I really do appreciate the commitment with renewable housing to maintain those standards and what I'm concerned about is the antiquities, really arbitrary and equities around the fact
that there are people who are in housing that is not renewable that should be held to that standard as well are not and so just to flag but I
recognize we will have more time to discuss that.
Last thing , I just wanted to maybe when you come back you can spend more time on this.If there are any longer-term goals that you have for the
department over the next 3 to 5
years and how the budget that you're bringing in front of us is setting you up for success
and making investors into those more long-term goals, I especially for homelessness where we always think
collectively want to be able to be looking towards how we are
getting to a point where we are ending street homelessness in san francisco.
How we are looking at setting
goals, percentages, numbers and those kinds of things around where you were trying to get to .
I think it would be a helpful thing and I don't know if you
want to say anything about that now but I would love to see more of that in our
conversations moving forward.
>>abigail stewart khan: I think your timing is excellent there.
A couple things to keep in mind before we step away to our equity workshop is that hsa is
in the middle of a five-year strategy and that strategy remains critical.
The mayors homelessness recovery plan essentially supercharges that strategy and
the unlocking of prophecy allows us to build the funding gaps that were present when we published the strategy in 2017 .
So we're still working towards that. One of the things that will be a challenge to our whole community is that we were not
able to conduct the point in time count this year so we will conduct next year and we will be meeting, critically beating that data and other data resources to help set that goal . One thing to note at the strategic planning for our next strategy will take place this
year and next year for the next strategic planning so I think your question is really well-timed and we all look together as a community or what goals we need to set and how we're going to get there to alleviate this tremendous manager in crisis.>>chair
haney: great, thank you. I know it is 2:30.
Just to be clear, so your entire staff, all of you are needing to leave now or is there anyone who is able to answer any questions that
additional members May have?
>>abigail stewart khan: as we shared with your office we have a previously scheduled ethical internal meeting at our leadership, members of our diversity equity committee and are consultants to advance our
work plan. I am very sorry that that happened on the same day you call the hearing and was assured that an hour and a half
would be sufficient for this.
>>chair haney: it sounds to me
like I'm getting somewhat of a different message from what we
said back to back but I'm sort
of at a loss if you all are leaving
, that is what it is.
Supervisor safai, did you want to put your
question out there?
>>supervisor safai: I can follow up with you director stewart khan. I want to go over page 17 and i guess I wasn't clear 100 percent and I know your deputy tried to explain it in terms of what was done the previous year, I got that . Just trying to understand what your allocation for safe sleeping his but we can make a real determination of what the cost per test would be going forward. We can follow up on that.
>>abigail stewart khan: happy to follow up on that. And we would need to partner with the covid command center
that oversees safe sleep .
>>chair haney: I just wanted to know what was coming out of your budget and we will check
on and it command is the right spot we will work with you on
that together .
>>abigail stewart khan: thank you.
>>chair haney: thank you for
the presentation, thank you chair haney.
>>chair haney: we wish you the best of luck with your equity workshop and we will make sure when we return we have adequate time and do not conflict with any other important meetings that you have.
So with that, I'll let you all
go to your meeting and Madam Clerk, is there any public comment on this item west and mark
?
>>linda wong: currently there
are 11 callers in the queue. To provide public comment
please press *3 to be added to the queue and for those on hold continue to wait until you have
been muted.
>>caller: jordan davis, thank you very much for bringing up the issue around the right now, the 30 percent plan is huge.
This is really necessary that
we get these funds that are intended to be waited for 21 years and we just don't want
any bs. We need to get this fully funded.
We just have to be created. Everyone get on the line and tell them why this is important .
It's too long overdue.
This is not hard to do and when the mayor cited, she should
have made a commitment to fund this year and I'm amazed that people aren't, that the mayor
is just still these
negotiations happening which is commonly a stalling tactic thanks for bringing this up and
please increase the funding this year. I yelled my time .
>>linda wong: next speaker
please.
>>caller: as Miss Stewart khan
said in the past year of the budget for the department of homelessness and supportive housing has double, and the
population of on house individuals has steadily increased but it certainly has not double .
So that raises the question where is all this money going?
So Miss Stewart khan says that
a lot of this money is going to their nonprofit partners.
And these nonprofit partners do
not have incentives to actually
reduce homelessness because if they did that
, then they
wouldn't get contracts anymore. But let me give you the exact
number that this contract, 228 million or 42 percent of the budget. That's a lot of money. That changed hands without oversight , one of the supervisors noted.
And while I do appreciate that
they are going to switch to an
outcomes related method of giving out these contracts
,... They are in this five year
process. I mean, how much longer are you
going to keep funneling money into this
blackhole?
I mean, people in san francisco
are watching. And we know that our money is not going where it's supposed
to .
>>linda wong: thank you for your comments, next speaker
please.
>>caller: my name is donovan me, I'm a retired paramedic and
I'm here in support of hashtag 30 right now which you've already brought up for open discussion
today so thank you. I'll be. First I would like to talk about the money.
the budget legislative analyst
puts the cost of 30 right now
about 6.1 million per year or 12.2 million for 2 years. The proposed budget this year
for hsh is 567 million
. So the point I'm making here is
that this.1 is the drop in the bucket. And of course there's a strong argument to be made in the long
run this reciprocity will save the city money. Finally the city is estimating budget surplus of 125 million for this fiscal year.
The money is not a problem. What I believe is that we have a political problem . Secondly I'd like to talk about fairness.
The federal standard for is that no tenant paid more than 30 percent of their income for rent. There are several thousand tenants in support of housing
in san francisco who are benefiting from this 30 percent standard. But there are still over 2000 other people in the same type of supportive housing who are still paying two percent of
their income towards rent. If anybody can give me any kind of a reason as to why this is acceptable , I would love to hear it. It's not there. It's not acceptable and we can fix it.
Thirdly, I spent 30 years on the ambulance and on the streets of san francisco and over that time and sure I delivered care to thousands of people living in supportive housing. Though I have some appreciation
of how difficult it is to live
as a low income person in san
francisco.
>>linda wong: next speaker
please.
>>caller: my name is todd snider and I live in district 5, iq for
this opportunity to provide comment.
I'll keep my remarks brief here . I just want to say that we know from past experience that the majority of the people living on our streets were formerly housed here in san francisco area so I'm asking you to summon the political courage and the will to actually fully fund the 30 percent standard,
30 right now so that our
brothers and sisters, mothers,
fathers and children can't afford to live in the city it
out undo financial burden.
It was passed overwhelmingly . This is just a question of political will.
It's not money, so I demand you fully fund and implement
the budget for 30 right now
this year rather than kicking
the can down the road because you lack the courage to stand behind your work.
I feel the remainder of my time .
>>linda wong: next speaker
please.
>>caller: good afternoon, thank you.
I am a member of district 5
under supervisor max haney.
To recall making markle, it's not the ability to survive
something, the ability to block . People are not thriving, this is not fair . Do not fund this and not
consider lasting, living,
arriving as basic human being
needs to have a house is not fair. It's not that difficult .
If you had to trade places you would want the same . I yield the rest of my time .
>>linda wong: I just want you
to know there are 14 callers listening and seven in q area next
speaker please.
>>caller: good afternoon supervisors, I'm the director of external affairs and policy as well as the cochair , I want
to thank hsh for their budget presentation and supervisors for your questions. I think there's a lot more
conversation that needs to be had around the strategic clarity for the department and housing budget. I'll get just a couple of examples.
The first is the family system and there's a couple of interlocking parts to this.
There are 40 family subsidies immediately referenced that have been allocated through a
budget address and allocated subsidies for
families. Those need to roll out as soon as possible. We have a lot of families who
are having trouble getting prioritized for the housing options that are available as well as families , families with
younger children that don't qualify for certain subsidies depending on the eligibility
requirements and really we need proper family city of housing options and placement as soon as possible.
We also need to shore a family emergency housing system and shelter system and make sure there are same-day options
available for families by themselves without shelter. A big part of this is
supporting the providence foundation. And refurbish family replacement shelters. It would be wonderful to be
having that conversation with
hsh and how specifically that will be budgeted for and what the timeline is also in terms of flexible lysing funding to
put families aside.Not necessarily in a brick-and-mortar shelter but
supporting families with
flexible funds . Either because there's a problem in their unit and they need to vacate or because there finding themselves in a desperate situation. The second major strategic priority that I would really
like to talk about is the
future of public shelter.
>>linda wong: next speaker
please.
>>caller: my name is carly, I'm
a resident in chair haney's district. I see the human suffering that
happens at the hands of the pandemic every day outside my door and I want to second those that we fund the 30 percent
back contribution standard for the permanent supportive housing this year.
Not next year, not 2 years from now but this year.
I think it's great that hsh is
focusing on learning about
racial equity . I think funding the 30 right now ordinance would actually go a long way towards support our most full mobile residents who would benefit from this large
majority seniors and disabled
residents and frankly it would be a much better way of
materially supporting equity beyond going to a workshop and
I think the last thing I'll say is if we can't respond quickly to support our residents who are in the during the time of
such mass death and economic
crisis been really , what are we doing?
I yield the rest of my time.
>>linda wong: next speaker
please.
>>caller: I am formerly homeless
, I'm an sro resident and community organizer with
community housing partnership absolutely goes without saying
that hashtag 30 right now is an equity issue, it's a class issue and it's a gap that we can close now and we absolutely
should.If you ever live in a
state of finding and all of your belongings are around you and your having to share that space and on top of that,
having to pay an exorbitant amount of rent , it's just unacceptable and it further
divides the class disparity in our city as this is one of those things we could do now to believe that tension and
relieve those issues for people and it's something we should do. The 30 right now is compact
campaign supported including dolores street community services, physical community services, congregant house community board and housing partnership and when I brought
this to our residents and brought up the issue that people are having to pay 50 percent and more for their rent in an sro the overwhelming response was that was cool and how dare people do that so we can do it now and we should do it now.
Iq so much for your time.
>>linda wong: next speaker
please.
>>caller: I live in district 2
but my son lives in district 5 and he's right now paying 75 percent of his income which is
an ssi check and unless I help him every month
, he's definitely not eating enough and not getting what he needs.
To me it's so clear this is the first place you can stop people becoming homeless again. $6 million when you consider
the budget of this amazing city
, this is where you can see
results right away.I don't know why people are waiting. This is important to do this year, not 12 months from now. Please help the people who need most. I go and see other places in the city and there are no homeless camps there. Rich people know how to get these people off their
sidewalks but when , so they're
all in the very poor area and we need to help these people. We really need to help these
people .
>>linda wong: thank you for your comments, next speaker
please.
>>caller: this is jennifer
freeman block of the coalition for the homeless and I'm
thanking you so much for having this hearing and for the department , for their
presentation. We have so much right now in
terms of opportunity . Just a tremendous amount of
opportunity.
Probably it's something that we haven't seen in a long time, the opportunity to move the dials area sleep on homelessness .
We're not seeing the kind of political will , the kind of pushing from the very top that
is...
>>linda wong: Miss Freda and
bob, are you still there? Perhaps we can go back to the caller .
There are currently 11 callers
listening and two in the queue. If you haven't done so please
dial *3 not to be added to the
queue and wait until the system indicates that you have been on
muted.
Speed .
>>caller: my name is
christopher micah. I'm an sro resident in district
6 , formerly homeless person and disabled
person.
I am calling because I want to
encourage that the 30 ordinance be fully funded this year .
There's obviously no reason it
shouldn't be . I also briefly wants to have
people think about poverty and
the violence of that and what
it means to be destitute and
disabled and not have a way to
take care of yourself. And on top of that just do not have money.
30 right now will help people
in a material way that is extremely important.
And I encourage you to pass it,
thank you .
>>linda wong: next speaker
please.
>>caller: I am a resident of district 7 and a member of the
democratic socialists of america of san francisco and I'm calling to ask that 30 percent grant contribution
standard so permanent supportive housing which was passed this year be fully
funded and implemented area this year, not next year, not 2023 for another time down the road this year.Fully funding and implementing this standard will put more tenants in their homes and that further exacerbation of the health
crisis .
As others mentioned it's not a radical idea, it's in line with
the federal standards for supportive housing which is why I receive almost unanimous support across the city. This commission voted to recommend legislation and support the 30 right now campaign again. This resolution was also
unanimously passed supporting
implementation legislation. I'd also like to note that we
can afford this if we make cuts
to law enforcement budget and
cities spend 6,000,002 police
tenants, we can take money away
from killing black and brown people and put that money
towards helping black and brown people pay their rent so once again asking for this committee, the mayor and hsh making sure the standard would be implemented this year.
Thank you .
>>linda wong: next speaker
please speak.
>>caller: my name is austin speaking on behalf of the commission and I appreciate supervisors ronen in her capacity in the system for
sleeping on the streets . Not only are we considering capacity, we should also
consider quality of the housing
supply and services.
And to the same point study in 2017 and 18, houses and stated the following are there priorities having their own
bathroom, having their own independence and access to services.We cannot let go of this and as we're looking at expansion of our services we
want to jump on the point that 30 percent is not some radical idea and it is a long-standing
standard.
It's greatly impacted all of us and we need this level of mourning and grief and also do something about it, about one third of abortive housing tenants are rent driven and
about 3/5 of all are under eviction for nonpayment last year were generated.
So please support this right now and keep looking out for not just capacity but also quality of our housing services . Thank you and I healed my time
.
>>linda wong: I believe there's one
more caller in the queue. Members of the public who wish to provide comment again we
press *3 now.
Our next speaker please.
>>caller: this is jennifer freeman block again. My call dropped earlier.
I was just saying we have such a tremendous opportunity that this week I haven't seen in my work in 26 years here working on homeless issues in san francisco . It's so dramatically moved the dial on the homeless issue. On the other side of it, we
have a tremendous threat of
massively expanded homeless
populations with you know, with
the economy and with hundreds of thousands of people in san francisco currently on unemployment.
So we need to really focus in on this. We need to take advantage of the real estate market.
We need to do acquisitions area we need to buy hotels and make
sure we are not ignoring populations of families which we are currently doing.
We need to be housing people coming out of the hotels and
getting folks back into hotels
and taking advantage of the vacancies that we have in permanent housing.But we need to move the dial and it really be laser focused on getting as many people into
stable situations as possible
and really focusing on those permanent solutions.
And so I just really want to
urge this committee to look
under every rock and I'm totally confident you will be doing that .
Turn every stone to really pool resources, of course we have three but we need to leverage that money and we need to do a whole lot more than what we're doing currently area and I think that that's a citywide
effort that goes beyond the homeless department and it's
really going to be kind of like an all in effort to really
address this crisis but I'm very concerned.It's really bad out there for people right
now that are on house.
>>linda wong: thank you for your comments. Mister Chair there are no other callers in the queue.
>>chair haney: thank you so much Madame Clerk.
Public comment is now close I
want to thank everyone for calling in and of course as you all know there will be additional time for a
conversation with hsh and we
definitely communicated to them that our expectation is they will stay for all of the
questions and public comments the next time and we have some questions we're going to submit to them in writing as well. Colleagues, is there anybody
else anybody wants to say? I realize we don't have hsh hear anything else before I filed this hearing? Okay,
seeing none, I do want to acknowledge all the folks who
called in specifically about the 30 percent rent standard and certainly that will be a priority moving forward and continuing conversations to make sure that gets done. With that I want to make a
motion to file the hearing.
Is there a second western mark .
>>supervisor safai: second .
>>supervisor walton: clarifying
question , sorry chair haney. Is that
complete?
>>chair haney: I believe they
have another version and my notes are saying we are filing
it.
The hearing that we have as part of the regular budget
process will be introduced separately as part of the budget process so the particular topic is one that we will not be revisiting.
>>supervisor walton: thank you.
>>chair haney: roll call vote
seconded by supervisor safai .
>>linda wong: [Roll call vote] >> .
[Roll call vote] There are 4 ayes.
>>chair haney: that hearing will be filed.
Can you call the next item .
>>linda wong: hearing two on the review of the mayor's
office of policy and community development budget for fiscal
year 2021 through 2022 and through 2023. Members of the public will provide public comments by
calling 1-415-655-0001,
meeting id 187 516 8993, then rest #, #. If you haven't done so press *3
to sleep speak. Raise your head to indicate you have been on muted.
>>chair haney: thank you, we are joined by eric shaw ,
benjamin mccloskey, lidia ellie, brian hsu, maria benjamin and amy chan on the
mayor's housing community development and I'll turn it over to you director shaw.
>>eric shaw: thank you very much chair haney. I think our presentation is
coming on now. >> I am working on that. I do not see the ability to
share my screen. Maybe someone can help with
that.
>>eric shaw: my name is eric shaw, director of the office
for community development and I'm pleased to be here to
present the budget for the next two years and in fiscal year 2122 and fiscal year 2223 and
to enumerate our budget
priorities.M.O.H. Cd mohcd remains committed to our core mission of supporting families
with supportable housing opportunities and essential services to build strong communities. Our current budget for fy 2021 is $197 million including 114 positions across our 4 divisions of housing, community
development and low market rate programs, finance and administration. Here we see the divisions broken up function. Housing division focuses on
creating affordable housing. Creative outlet teams works with community-based partners and organizations in an effort to create inclusive and
equitable san francisco for all residents. Our homeownership low market rate division and lament inclusionary housing programs to ensure affordable housing accessible to its people that it's meant to serve and lastly finance administration team at the human technological resource disparity to manage diverse
investments in policy. Mohcd's budget for the next two years are presented in the context of priorities will be implemented with change objectives and targeted populations for approved in 2020 after the expensive committee outreach process. Our main goals are to recover
from the covid-19 pandemic and ensure the communities are
stabilized and making sure these communities remain house and we create housing
opportunities for vulnerable residents.
I returned to Mister Mccluskey for finance administration to discuss the budget. >> that afternoon, before i
talk about the mohcd budget proposals for the mayor's
office for the next two budget years I want to give a little bit of a budget overview of mohcd's budget. Approximately 60 percent of our budget does not go through the
boards annual aao budget process and is appropriated by the board at other times or in other ways.
Just as a point of information,
those funding sources that the board looks at at other times
include geodon's, federal and state grants that you review
through the exception to spend process and some of the development impacts fees that the city collects loan repayments of affordable housing loans and other
miscellaneous things such as legal settlements.
So all of those are built with other times.
Within the aao budget for this
current year, mohcd's total budget is approximately $197 million.
That includes one-time revenues of $57 million from development
agreements and that revenue is
dedicated to affordable housing
developments. Our budget includes about $44
million of general funds money to fund grants to ceos. Of that amount $5 million is approved by the board for just
the current year though it's not continuing into the second
year of the budget last year.
The housing trust fund is approximately $40 million and
in addition to the current year
budget has a placeholder for $20 million for a possible
housing trust fund loan. We've heard in the previous
departments presentation about the local operating subsidy program that the work order
from hsh to mohcd which supports affordable housing units for formerly homeless households. Our current year budget has $12 million on the need to be
appropriated and a former san francisco redevelopment agency housing asset revenue. About $4 million in general fund investments, $4 million to
make payments to other
departments such as real estate for at least of our office space and the attorney for their advice. $2.4 million for patrol districts and $2 million to help support the ongoing
staffing transition at the san francisco housing authority.
Our proposed budget for fiscal
year 2122 is approximately $126
million and that a reduction of $71 million from the current
year.
On the increases side of things however, we have increases of
$5.9 million of increased loss subsidies due to new buildings entering the program.
You noted in hsh's presentation over the next 2 budget years
more than 750 new units of housing for formerly homeless
households are going to be entering into the loss portfolio. $2.8 million continuation of rental subsidies and assistance
which would creatively funded by one-time funding . Increase in housing trust fund
of $2.8 million for the charter and $1.2 million operating
subsidy for midtown apartments to deal with their ongoing
deficit issues. On the decreasing side of
things for this fiscal year that $57 million that I
mentioned previously in one time revenue both through development agreements and $20
million one time revenue related to a possible affordable housing loan or
payment, those items go away . The other major increase is 8.7 million in grants to nonprofit partners
, 5 million of that as
I mentioned previously his one-time funding from the general fund and then $3.7
million in the mayor's budget
instruction.In the second
year of the proposed budget , we are proposing about $135
million which is an increase of about $9 million from
2122. The major increases are about
$5 million of debt service for
osf certificates of participation, another increase in the loss program before the half million dollars and another increase to the housing
trust fund for the charter.
Relatively minor decreases in the second year of the proposed budget
, $1.9 million for senior operating subsidy is not
included due to one time loading in the budget previously and then emergency rental assistance and
commercial rental revenue are relatively small decreases there.
For mohcd's specific mayoral budget instruction target , our
budget reduction target for both years of the budget are
$3.7 million with an additional
$1.2 million contingency amount .
The majority of mohcd's budget is not eligible to contribute to these budget reduction
targets as funds are legally obligated to be spent on activities related to affordable housing area only unrestricted general fund dollars can be used for the budget reduction target and
that falls predominantly almost exclusively in our general
funded grant portfolio to ceos.
If we are required to implement the mayor's office primary
budget reduction target he proposed to reduce general fund grants to ceos by approximately 10 percent from fiscal year 2122's budget. With that I will head back over
to eric to further discuss our, more of the policy side of our
budget the next few years.
>>eric shaw: thank you benjamin.
Our housing stabilization
programs were crucial over the last year to the cbo's financial systems and their vulnerable tenants starting
with and lamenting a nonprofit organization to reach the community and especially those organizations of primary focus
serving indigenous clients.68
percent of our assistance is
latino reflecting the deeply
targeted systems that disproportionately high number
of covid cases in the pandemic.
Our targeted housing recovery
efforts span across affordable housing programs. Recommendation to private
owners, we rolled out residual receipts policies which allow
project owners to retain more cash flow to deploy the projects in need and 52 projects have been applied to date. We provided technical assistance and monitoring of rehab programs to provide
protection for workers and
maintained and expanded our pipeline to the recent request
of qualifications for nine new
developments across the city. We've made a number of homeownership and low market
related efforts including disturbing or housing trust fund emergency loan program to serve low income housing experiencing job losses last April.
The covid help program provided relief by a full year of
monthly dues and this program also assisted homeowners who have forbearance loan payments
and foreclosure on moratoriums.
Our nations
, our hope sf , hope sf articles partner in the nations largest effort to transport the city's best of public housing and to vibrant
and thriving neighborhoods was deeply involved in across a number of initiatives. Resident leaders help to distribute 400 laptops into neighbors which access access to reliable free internet hotspots. Staff partnered with communities to deliver supplies each week to reach 940 households.
Hope sf response time was established to help residents
with low income, medical bills and lastly staff assisted residents applying for
unemployment assistance and heightened financial coaching to help plan for the months ahead. Before close I would like to
provide insight into our contracting process to see how we track performance and the intentionality behind our grants.We track public
requests for all funding opportunities with each of our divisions. Mohcd invests all of its
funding in accordance with
state and monitoring requirements and we are strengthening and working across the agency to ensure the organizations that received grant funding due to's with grant agreements and have
appropriate financial systems in place. Committed to using data to inform our decisions prioritizing black and brown community partners and tying performance measurements to group outcomes of black brown and low income residents.
The id prioritizing fundings to administrations that have a track record of improving outcomes to low income housing and with that thank you for your leadership and we appreciate the opportunity are investments to recover from this pandemic. My team and I are happy to
address your questions.
>>chair haney: thank you so much, I appreciate that.
Supervisor walton .
>>supervisor walton: thank you director shaw and clean.
A few questions and I guess the
first one as we talk about if you're going to set general
fund dollars to fill the cbo's,
what other programs or services does the general fund money provide
most?
>>benjamin mcclusky: it's extremely limited. We only have 5000 people within mohcd, maybe seven max are funded in total or in part by
unrestricted general fund dollars.
We had funding dedicated to the hope sf program into including
the upcoming debt service requirements for participation. That's funded by the general
fund and we also have our rent payment of approximately $1.2
million for the department of
real estate but beyond that we don't really have a lot of unrestricted general fund items .
>>supervisor walton: what cbo's with this effect? You have a horrible track record in supporting black organizations so I'm afraid when I ask you something you're going to reduce funding for cbo's, you're basically saying black organizations are going to suffer .
>>eric shaw: I think the procurement process for this
year, we don't identify
specific organizations for the cuts.
The organizations apply for funding. What we're looking at right now is trying to think about the procurements going forward for
this rp is trying to understand I think there's three things.
One is cutting programs are not prioritizing the funding of programs that we believe we
would be outside of safety protocols so if that was community affairs, in person events, moments like that that May have been funded in the
past . Those will not be prioritized because they're not in line with the public health order. The second part of that is that
we are looking at opportunities
to supplant anticipated funding
that's coming in from federal
resources that May be able to offset funding that May have went in through general funds, so for example I know the mayors announced at least $26 million in federal resources for rental assistance. And that that time in the past, those at funding May have come
from general fund and we know those resources are going to be coming in and I think in addition to that this year I
think we are eyes I told you, prioritizing and really making sure that you're looking at the recording requirements to match the impacts for communities for programs that
impact). And relaying that back to what they reported in their future impacts.
So in this instance right now,
I think we have put systems in place to make sure we try to minimize impacts as much as possible on organization. And I assure you that I heard you last year around ensuring we understand how best to invest in african-american coalitions .
>>supervisor walton: I appreciate that and I would even say you should probably go
a step further and say no black organization would be impacted because of all the history of mistreatment of black organizations by the
department. How much money is there in
relief for that fund.
>> Mister Chair, I will take a see if fiona miller is on board.
Are you there? >> if not, you can give me the information.
One, how do we get it but I
would love to know how we get more resources and opportunities to support the families
.
I'm going to just follow up with what resources are in there, how do they get it and
what are the possibilities for
resident walton, I believe the majority or all that funding is through the philanthropic society hope sf, not the city
side.
>>supervisor walton: and then as we look at, we're talking
about the portfolio, how many new homeowners last year were
black homeowners and do you
have a breakdown and I know you
put that before .
>>eric shaw: I think you know in our program in particular,
we get additional weight and in that space. I believe the number of
african-american that were put
in bmr units is 10.
I'm not sure what the total number of units was so that would be on the for-sale side. I will also note that we did
not fund or have a program last year which was another down payment assistance program because those numbers, those
dollars were repurposed for
covid assistance and we were uncertain about how the market was going to be in the ability
to deliver the accounts associated with that but I can get you additional information on that site. >> I'd like to see the breakdown of all the homeowners , what it looks like.
>> I will note that cost this year to as we launched the new
down payment assistance program we have been working with homeownership to make it clear that there's a priority around
enhanced cultural competency. For all communities but especially african-american communities and as we think about the dream keeper initiative I know we are working with them a portion of that will be going to target homeownership opportunities and
we are in the process of still
understanding how to align that
priority with our existing program and also making sure that we are mindful of fair
housing requirements.
>>supervisor walton: in terms of your racial equity plan, what successes do you , can you tell us about your plan .
>>eric shaw: our plan initially, the one that's published focused on internal with a lot of focus on internal
equity so I can say now we've
seen an increase in our
higher-level leadership of managers of color in particular and we do have a small leadership but our new
directors hire was latinx. We propose a number of
substitutions including have
parity housing side community side where we saw there wasn't fully alignment in categorization of jobs so we proposed a part of the budget
and substitutions to ensure
that we continue to get parity
and then once again as we think about the new positions that
we've been hiring,... Switch is not the right way. We've enhanced outreach to new
channels, for example black planning and urban development, page focusing on crew which is
focused on women and people of color. We found different challenges to also advertise jobs and we have some in terms of the diversity of the applicant
pool.
>> thank you director shaw and i'm looking forward to reading that data about bmr and
homeownership with ethnicity.
>> thank you, supervisor . >> thank you director shaw
. For all of your important work, I just had, actually just follow up on resident walton's
question around the proposed cuts to the cbo contracts and I definitely fully support protecting funding to the black lead and black organizations.
I know I think my office did
request a list of the cbo
contracts that we're interested
in taking a look at that but I
was wondering if you could talk a little bit more about how you would approach the these cuts. I think it would be eight or $9 million in the next year. . How can the cuts be distributed , is it going to be across-the-board or
?
>>eric shaw: thank you for that question supervisor mar. We are still in the process of
finalizing what is going to look like.
But once again, I think that there's an orientation that come up in terms of how we're looking at this next year's distribution of funds. We are making more explicit
priorities so direct services as we shared before, particularly as it relates to covid we are working closely to align with the economic recovery proposals.I guess you shared ownership for and mohcd was part of the vulnerable communities recovery.
And really tying outcomes, really focusing on outcomes and
impact. For lining up our
organizations, serving who they said they were going to serve and members who said they were going to do that and really understanding and making sure
that that proposed programs or projects outside of these
direct services for economic recovery once again, not in line with safety protocols. That would end up being the basis where we were going to try
to, that we will focus our investments for the upcoming
year.
>> so it's not 10 percent
across-the-board . Of all organizations. The question now and we
understand that there May have
been some pre-pandemic programs
that function that haven't been able to get it and we're looking now at can they deliver
the impact in services and
economic recovery in the future solicitations. So it's not just every program gets a 50 percent cut, there's going to be evaluation of the programs to meet the equity and impact goals. That are going to identify by both the mayor and the recovery committee.>> thank you , thank
you for sharing that and in, I
had a sort of follow-up
question .
On that more focused on the geographic distribution of program dollars .
And certainly appreciate the
focus on investments in communities and neighborhoods that are most impacted by
displacement and in the greatest need for community stabilization but all of your important programs and strategies are addressing needs throughout the city and so I just am interested in understanding the geographic distribution of program dollars
and you in terms of programs like rental assistance and
homeowner programs.
The emergency response that you guys have done and also even community development including cultural districts. Is that something you don't
necessarily have ready to
present right now that you'd be happy to follow up.
>>eric shaw: the cultural
districts here, those are playspace already so I know
that this year there was 210
million that I think we were
able to provide an additional
supplemental $265 million in
funds that's additional funding was available to cultural districts.That was in line
with how we saw the procurement that once again economic recovery, how that looks with
specific communities. Brian, brian shoe is on and I think he can talk about the
geographic diversity geographic distribution of our funds I will note that outside the
community grants that we shared before and we shared with the supervisor, the housing side even though it's not private to
this budget we been working to ensure we are trying to get
additional geographic diversity on both the small site and on the housing development side going forward and trying to
understand the unique nature of
working in districts and
working in different areas that
we have not previously so director, if you have information on the geographic distribution of the plans I can show you around.
>> one item of clarification in terms of the amount for the
cultural district, it's 210,000 . I think it might have come out as
210 million. >> I wanted to make sure people
realize that area in terms of
the geographic distribution
supervisor mar .
[Please stand by]
That's an area where there May not be perception of concentrated needs because of
the size of the neighborhood. For our district, you might have
the largest number of low-income families with children.
And maybe spread out more in that district.
So we're happy to work with you.
We are aware in some
neighborhoods, there isn't quite the same infrastructure of nonprofit organizations as there are in some other districts.
So we've been happy to support
that and to help grow them with you >> I want to express the appreciation of the work you've
been doing with us particularly with the accordable housing project and investments.
And then, also on the community development side as well.
And I just had one other final
kind of more specific question.
And that's for the funding for
smallize accusations. That's been an important strategy for the board and
particularly for many of us.
And we've been able to move to small size acquisitions forward in district 4 recently.
And this is an incredibly
important strategy to expand
accordable housing and preserve housing. In neighborhoods like this.
Is there funding in the -- what
funding in the budget currently
is allocated to small size acquisitions?
>> supervisor, I'm pulling up the numbers.
I believe that we have some
projects in the queue that total $53 million.
There is currently, I believe
unencumbered for new projects, $19 million. But we also fund through a
series of other funding sources. And I think, you know, as well I believe through the past program.
And there is I believe around $100 million in the program right now.
I just want to note for the committee as well that we are in
the process right now of updateing those small sites guidelines.
So we're trying to be thoughtful
around investments that position us -- position these projects for success as we think about the new guidelines going forward.
And so we're going to be finding
that we May see some timing on acquisitions -- an expansion of the timeline for acquisitions, because we want to make sure we are acquiring and in line when the new guidelines are being developed. Those guidelines are anticipated
to be completed in the summer. We're doing both.
We're scoping out potential projects. Also, we want to roll it out in
line with those new guidelines. >>> great. Thanks for sharing that update
and your work on the important strategy.
Chair haney, I don't have other questions.
>> Member Haney: thank you,
supervisor
supervisor mar. Supervisor. >> thank you.
You have $100 million in the program.
What was other amount?
>> Eric Shaw: $53 million currently in the pipeline.
And then, there's about $19 million that is not
allocated for specific projects at this moment.
>> so $19 million plus $100 million? Around $120 million.
And then you're in the process
of redoing guidelines. Some will be reviewed. It would be great if you come
back since this is a budget
allocation, you know, if you
could come back to this committee and give us update once you finalize those guidelines. That's important to all of us. i know we're in the process. We've done the largest small sites acquisition to date in my district. I was excited about that. We're reviewing another one. We're working with your office
on the nonprofit partners.
So it's a big deal to all of us.
So I I want to thank you for
your hard work and commitment to
that that's the biggest question I had. The second was I didn't catch,
how much do you have allocated in our budget for the program?
How much is allocated annually?
>> Eric Shaw: I want to ask maria benjamin on our team to give that answer.
I should have it.
Benjamin, do you have it?
>> supervisor, within the
A.A.O., the board's annual
budget process, so going back to the portion of the presentation
where I explained that only
about 40% of most budget is
going through the process. >> yeah. >> the federal program which is separate and cbgd.
>> and D.O. Bonds as well. There's $4 million for down
payment assistance in the housing trust fund.
And the majority of the rest of
the balance of the down payment
assistance program, which is approximately $20 million or $30 million. Maria would be able to confirm
exactly, is coming from G.O. Bond issuances. >> so that was from our previous bond.
And then, our current bond? >> correct. >> my understanding was the previous bond, not the one we
recently passed, but the previous bond was almost fully allocated and utilized.
So we were really pretty much
almost 100% in the recent bond?
>> that's true, supervisor, except for down payment assistance.
We are in the process of doing a lottery process for additional down payment assistance dollars.
And we did not do that process last year.
So we have from 2015, G.O. Bond
money and 2019 G.O. Bond money
dedicated to down payment assistance.
>> Member Safai: that adds up
to $20 million to $30 million. That would be another thing director shaw.
If you could come back. Another thing, my district, this
is the program -- my part of down has the highest usage for doubt. You know that. One of the things I've heard as
part of the feedback is that
sometimes the amount of time it
takes, you know, to close based
on the guidelines, a lot of
times people fall out of contracts or outbid. What I would like for your consideration, is something
similar to the housing accelerator fund, where you might be able to put moneys in an account or work with a foundation or otherwise to speed up this process. That doubt can then repay.
So people could actually close on properties, and maybe accelerate the timeline. If we could follow up with that, I'm happy to work with your office on that.
Essentially, we want to try to
accelerate that program and make
people's offers more competitive. Thank you.
>> supervisor ronen.
>> Member Ronen: thank you. Hi, director shaw, nice to see you.
Just had a couple of questions.
Starting with how much of your
housing development money comes from the general fund versus a community development? I'm sorry.
I did Miss The beginning of your presentation, so I hope I didn't Miss That.
I apologize if I'm asking you to
be repetitive.
>> Eric Shaw: supervisor, benjamin?
>> supervisor ronen, benjamin Mccluskey.
The pure general fund, basically zero. The only pure general funds that
supports housing development is
the portion that supports hope ff and certificates of
participation that the city is issuing to support hope S.F.
Within the housing trust fund,
which is a special revenue fund
of the city, defined by the
charter, we have set aside approximately $20 million a year
of the housing trust fund, is
currently going to housing
development.
>> Member Ronen: okay. >> and then, other primary funding sources for housing development are G.O. Bonds and
impact fees.
>> Member Ronen: yeah. Okay.
And on the housing development fund, your -- or on housing
development, you're projecting a $57 million reduction in the
one-time impact fees for affordable housing development.
Can you comment on what you anticipate in future years? Is this a one-time thing, or
something you anticipate going forward? >> sure.
The $57 million is compromised of two different development agreements that the board approved.
And we appropriated the funds through the budget process. The first is related to the project at 180 jones.
And the second is related to the development agreement legal
settlement with the academy of art university. And so those two together added
up to the $57 million. So those things that go through
the budget process are more of a
one-time project basis kind of
thing, where there's a market
rate project that is not
following the normal impact fee contribution methodology to the city that requires special board approval through a development
agreement or a legal settlement or some other means.
We appropriate those through the budget process.
So there's really no way to
predict what that looks like for the future. [Beep]
>> Member Ronen: okay. Okay.
And can you comment on what is
happening with the tax credit market?
And if that is impacting at all
our projected gap contributions
to affordable housing projects?
>> Eric Shaw: I can weigh in.
And lidia, I can ask, there were changes in the federal legislation that set a floor on
tax credits for the 4% tax credits.
So it's worked out for us.
It's created a sense of cost savings.
I think you know for -- at some point, the pricing for tax credits were significantly lower.
I think it was 85 cents on the dollar.
And the $900 million federal bill, not this current one, they set a floor.
So we've been able to see deals that are coming in now, where
tax credits are getting pricing
closer to almost that dollar. At 99 cents.
That's reduced the cost to say make more money available for
other O.C.D. Projects.
We've seen cost savings on two projects that have gone to committee that were able to get enhanced pricing with the change in legislation.
We know some projects actually
were delaying their timing to make sure they can take advantage of more resources
being available through tax credits.
Through the tax pricing.
>> Member Ronen: so... So are
the gap that developers --
nonprofit developers look at omcd to help fund, those aren't getting larger then. I know they were getting larger.
You're saying because of this new federal floor, that that sort of is taking care of the issue? I want to make sure I understand.
>> Eric Shaw: it creates more certainty on the tax credit deals. because we know now that we know there's more certainty on the prices.
Because there was a race to the -- we were seeing a decrease in pricing.
Now with the new federal legislation, it's created
certainty we'll see almost a one-to-one on that cost. We had deals initially.
We even in this past year I've
been mostly d-director, we were at 85 cent pricing.
And now we're able to see a dollar.
We've been able to reduce the gap.
>> Member Ronen: good news.
>> Eric Shaw: it's been good.
>> Member Ronen: and do you
know or have you been able to
find any federal sources to
off-set our local operating subsidies program?
Especially the new -- or the
relatively new senior operating
subsidy that former President -- had created? I don't know if that was a couple of years ago or last year.
It's combining into one in my brain.
>> Eric Shaw: so I see benjamin turned off his camera. I can tell you I don't know on the lost program. I know on the senior side, there was senior housing at some point
was funded through a hud program that has expired.
I think we're continuing to monitor not just san francisco
but the housing directors
throughout the country, where the hud is going to go on specific resources for targeted populations. I know there's other questions
around veterans, around seniors.
And actually, there has been
some recommendations made from
the high cost -- pardon me.
Form of housing directors to hud around need of gaps that are there. And continue to have that there. So there's nothing certain as of yet. But we know that there's going
to be a lot of action on the
part of hud, on the part of V.A.
We're looking not just at hud, but the department of environment as it relate to say climate change. We're trying to find spaces where there May be additional
resource that is could go into housing. Benjamin, I think you could discuss that.
>> supervisor, as far as we have
been aware, the main possible
funding source to support or
off-set the lost program is through housing authority
housing vouchers. We were able I think it was about three or four years ago, we were able to work with the housing authority.
And we did have an allocation of
vouchers assigned to lost
properties that reduced the
impact on the general fund by $4 million or $5 million a year at least. But those are -- I don't know
the specifics of how those get allocated.
But that is the main source that we've used in the past.
>> Member Ronen: okay. Okay.
And then, sort of related but on a slightly different topic, of
course, we're all terrified about what happens once the
eviction moratoriums lift in san
francisco, knowing how indebted many tenants are to their landlords during this crisis
when they've been unemployed.
I'm wondering what nycd is doing
to prepare for this potential
eviction nightmare we're facing down?
And if there is any federal rent
relief dollars that you're aware
of that are coming down?
Are you including prop-I revenues in your budget?
And how are you allocating those? I'd love to hear in general. And again, because I had to step out briefly, if you already
addressed this, I so apologize,
but I missed it.
>> Eric Shaw: Madam Supervisor,
we haven't. I think the
mayor's announced
three weeks ago there was
$26 million in direct rental
assistance grant from the feds
to san francisco. There is additional amount of
money that's gone to the state.
>> Member Ronen: is this $26 million new money that we --
>> Eric Shaw: $26 million new money.
It's supposed to be the $900 million, the initial package.
And there was a block grant to the state of which san francisco
is anticipating to receive
around $28 million. So what has been happening now
in that instant is, we were waiting for guidance from treasury.
So when that was done during the trump transition and the transition to the biden administration, there was a
change in the guidance in the federal treasury about how those funds could be used.
And I believe sb-91 set in
criteria around the block grant
funding, and the criteria for
how san francisco would frame how it could use its money
related to -- in line with sb-91. We are currently working right
now to identify how to reconcile
the federal treasury requirements for our direct
payment -- or direct assistance.
And then, what the block grant requirements will be from the state.
But we know we're looking to utilize existing infrastructure.
I believe we have $7.5 million,
May go up to $9 million.
And get up to assistance done
previously most lie through philanthropic. I think there will be additional that came through C.A.R.E.S. Act funding that is there as well.
We anticipate right now,
$26 million direct. $28 million through a block grant from the state in the state program.
And then, we are monitoring what
additional rental assistance May come through this current legislation, being considered by the senate.
Are any potential iterations of
C.A.R.E.S. Act? And we're monitoring that
instance if there will be an extension of the eviction at the state or federal level.
>> Member Ronen: when you present your budget next -- so
you haven't allocated there to
different tronches?
Whether you'll use money for
direct subsidies? or whether or not we will beef
up the right to council to help fight evictions?
Or do you have that sort of item
how that money will be used?
>> Eric Shaw: actually, there's criteria being provided for direct assistance, with some overhead.
So there's not a lot of
flexibility in those trunches.
So I think on the federal side from the initial regulations
I've seen, it includes utilities
as well. One said that the wind that was quoted for us is including of
internet service as utility.
Now, for covering utility costs. But there are pretty clear
guidelines how the funding can
be used on both the state program and then the state program and accordance what the guidelines are for the federal government.
>> Member Ronen: okay. Okay. Thank you.
>> Eric Shaw: the anticipation now is direct assistance, given
the fact that we knew there was a need for that.
There was a gap from what we have to give to staff what is coming in.
>> Member Ronen: yeah.
Unfortunately, it's pretty huge gap.
But that would be great when you
present your budget to us
officially -- this is sort of the unofficial early hearing, if that could be clearly delineated. So we're seeing, then, what is
going to happen with the prop-I money as well.
Thanks so much.
>> Eric Shaw: thank you. >> thank you, director shaw. Why don't we go to public comment now.
If there's public comment.
>> Clerk: yes, Mr. Chair, maria
is checking to see if there's callers in the queue.
If members of the public wish to provide public comment, press
star 3 now to be added to the queue. Those on hold, continue to wait
until the system indicates you've been unmuted. At least currently, there's four
callers listening and one in the queue.
Please unmute the first caller.
>> hi, good afternoon, supervisors.
My name is diana flores, director of organizing programs. I just want to thank you all for
getting a head-start on the
equitable budget that will be
inclusive of recovery for all.
We know that most of the presentation alluded if they
were to implement the mayor's budget instructions, C.B.O.S
would be impacted in such cuts.
We want to remind the board many
of the C.B.O.S in most of these portfolio include workers'
rights, immigrant rights, and tenant rights networks that include educational services and
pivotal in the moment to be
resourceful and adaptive to be
responsive to the crisis.
We also recommend a baseline as much as the treasury guidelines
overhead allows for outreach in education. As we know counseling navigation and tenant rights, immigration
rights, and workers' rights are inseparable in this moment. Thank you all.
>> Clerk: thank you for your comments. Could you please confirm is
there any other speakers in the queue? For those on hold, if you would
like to speak on item number 2, please press star 3 now.
Mr. Chair, there is no other caller in the queue. >> thank you. Public comment is closed.
Director shaw, I did have a few
questions that I wanted to go into.
And some of them, you know,
there was some questions related to acquisitions.
And I wanted to ask you if you
might be able to share and maybe this is something you could come
back to us with a little bit
more about the number of acquisitions the department has done over the last few years.
And how much -- you know, where they have been located? How many units?
If you could talk a bit more about sort of the overall acquisition strategy.
>> Eric Shaw: for small sites
in particular, Mr. Chair?
>> chair haney:
>> Eric Shaw: I don't have that information.
I'll see if lidia has background
on that.
Lidia, are you available? I see her. She's not talking.
>> hi. Sorry.
Good afternoon chair haney.
I would like to put together a sound presentation to you on that question. I could kind of scramble and get
you some numbers right now.
But I feel like we should get a solid presentation to you.
we'd be happy to share that with
this committee or with you. I understand that supervisor safai was asking similar questions. Maybe we could combine the responses in one. >> lidia, I don't have a full break-down in terms of districts.
But I know in total, we
preserved over 500 units of
small and large sites throughout the city.
We've preserved a number of
sites in district 6.
We can get a break down for you.
>> supervisor haney: what is the funding gap for affordable projects in the pipeline?
Maybe you could speak to the next five years or what is the
gap that we're looking at in
terms of the pipeline?
>> the gap in terms of
>> can you be more specific, supervisor? >> we have a number of projects
that don't yet -- or potential
projects or we know will be a project.
And not yet identified funding
sources -- project is within its development. We go through pre-development. There's other investments. Staff financing.
So in this instance now, I
believe -- and we have raised
with you that for the R.F.Q. That we've tried to make the
appropriate budgeting on our
side to get these projects to predevelopment. We understand on the development
side because of the projects
R.F.Q. Were tied to impact fees,
that we're maybe trying to
tranche the nine sites into
those that have funding into existing bond sources now that May be funded through impact
fees to make sure we do the appropriate timing.
We don't try to oversubscribe ourselves in terms of projects
and not having the funding.
So I will say that we try not to have that gap. Lidia, do you want to add anything? >> yes, thank you. Eric described it correctly.
If you look at our pipeline for this year, for instance, we
don't have gaps, because we've reversed engineered our project
list to meet the resources that we have.
If you look at our next year's
budget, we do have some gaps.
It's quite a significant gap. Because again we have to tailor
our pipeline to meet the resources we have. What our pipeline doesn't show is the opportunities we have to turn down that never make it onto the pipeline because there
aren't resources available to
fund them.
>> okay.
Colleagues, anymore questions or comments? All right.
Well, you all got out on good time. [Chuckling]
>> I want to make a motion to file this hearing.
And is there a second? >> second. >> all right.
Second from supervisor mar.
Roll-call vote, please.
>> Clerk: on that motion, vice
chair safai.
[Roll-call vote]
>> Clerk: there are five ayes. >> all right. madam clerk, is there any -- that hearing is filed.
Is there any other further business? >> there's no further business, Mr. Chair. >> all right. Thank you, all.
