Supervisors approve first reading of Central Shops relocation despite objections over sole-source contracting

The San Francisco Board of Supervisors on Feb. 2 approved on first reading two ordinances to move forward with the city's Central Shops relocation project, a key step in rebuilding the Southeast Wastewater Treatment Plant.

Supporters said the project was urgent because of failing treatment infrastructure and ongoing odor and safety problems in the Bayview/Hunter's Point neighborhood. Opponents and several supervisors pressed city staff and the Public Utilities Commission for more documentation about why the administration sought to waive competitive bidding and award the design-build delivery to a single team.

The project package presented as items 13 and 14 asked the board to: (1) authorize the director of real estate to execute a project delivery agreement with Oryx Development (and named architect and general contractor) to design and construct improvements at 555 Selby Street, 1975 Galvez Avenue and 450 Tolland Street with a total anticipated project delivery cost of $55,000,000 and to waive certain administrative code contracting requirements; and (2) appropriate a $62,200,000 transfer from the San Francisco Public Utilities Commission wastewater enterprise fund to implement the Central Shops relocation in fiscal years 2015'16 and 2016'17 and place $45,000,000 on a budget reserve.

Supervisor Mark Farrell and Supervisor Jane Kim, among others, said they supported the goal of rebuilding the wastewater facility but could not support waiving competitive bidding without clearer…