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Supervisors approve Central Shops transfer and increased project budget after debate; two supervisors dissent
Summary
After extended debate about oversight and tenant relocation, the Board approved supplemental authorizations and a project cost increase for the Central Shops relocation and associated jurisdictional transfers, passing the resolution 9-2 with Supervisors Kim and Peskin voting no.
The San Francisco Board of Supervisors on April 4 approved a resolution authorizing supplemental authorizations for jurisdictional transfers tied to the relocation of the city's central fleet maintenance shop (Central Shops) and an increase in project development costs. The measure passed by roll call, nine in favor and two opposed (Supervisors Jane Kim and Aaron Peskin).
The item authorized transfers including 1800 Gerald Avenue from the General Services Agency's Office of Contract Administration to the San Francisco Public Utilities Commission (SFPUC) wastewater enterprise, jurisdictional transfers for 555 Selby Street and 1975 Galvez Avenue, and a leasehold transfer for 450 Tollan Street, subject to amendments to an existing memorandum of understanding among the agencies. The transfers are intended to create functionally equivalent facilities enabling relocation of Central Shops.
Supervisor Jane Kim spoke at length in opposition, saying she had voted reluctantly previously for a single-source procurement and that she could not support the current increase in project price. Kim asked that the project be re-scoped to ensure only necessary construction elements continue and said she was disappointed the board had not been explicitly informed earlier of a tenant occupying 1975 Galvez Ave when the city purchased it. John Updike, director of real estate, acknowledged there were two tenants at the property and said the Department of Real Estate had amended due diligence and transparency processes and reported that relocation solutions for both tenants fit the project timeline and budget.
Supervisor Norman Yee said he shared process concerns but ultimately supported the item because of the project's importance to the Bayview community. Supervisor London Breed and others emphasized the project's citywide infrastructure importance. Supervisor Kim and Supervisor Peskin recorded "no" votes. The roll call recorded nine ayes and two noes; the resolution was adopted.
Ending: The board moved to its next item after adopting the resolution. The record shows follow-up commitments by real estate staff to provide clearer tenant, cost and risk information in future transmittals.
