Board approves multiple affordable housing financings; supervisors warn PG&E infrastructure costs are raising project bills and causing delays

The San Francisco Board of Supervisors on April 25 adopted a series of resolutions to finance multiple 100% affordable housing developments and to increase loan amounts for projects where construction costs rose.

Items approved on the consent calendar included finance authorizations for Sunnydale Hope SF Block 3A (an 80‑unit project) and Hunter’s View Phase 3 (118 units), plus amended loan agreements and state grants tied to those developments. The board also approved loan amendments for projects at 4840 Mission Street and 555 Larkin Street.

Supervisor Sandra Lee Fewer (note: transcript identification: Supervisor Chan) and others raised a specific funding concern: the additional funds requested for some projects would be paid to Pacific Gas & Electric (PG&E) to cover costs associated with electrification, trenching and transformer upgrades. Supervisor Chan told colleagues that the extra money “is actually gonna be paid to PG and E for their work of obstructing the the to power, electrify and and also the design of trenching,” and she urged support for the projects despite frustration that funds were diverted from housing pipelines.

Supervisor Shamann Walton (note: later speakers) and Supervisor Ronan described the problem as a recurring one: PG&E’s timelines and costs have increased project budgets and delayed openings. Ronan said he would introduce a resolution supporting state legislation (SB 83) to strengthen PUC oversight of utilities and hold them accountable for delays that affect public projects.

Supervisor Safaie said some projects required substantial trenching due to aging infrastructure and that the San Francisco Public Utilities Commission (PUC) had told project leaders it was constrained from using ratepayer funds on some of the required upgrades because the upgraded infrastructure would be customer‑owned and repaid by energy generation. That constraint, he said, further limited local options to reduce costs.

City staff and the mayor’s office of housing and community development (MOHCD) presented the loan documents and terms to the board. The resolutions authorized issuing revenue notes, amended and restated loan agreements, and execution of standard state agreements for grant awards. Several supervisors emphasized the projects’ importance and urged colleagues to approve the financing while continuing to press for cost controls and regulatory fixes.

Votes on the financing measures were recorded as adopted (items 15–21 and related resolutions). Supervisors said they would pursue city and state solutions to reduce utility‑related cost burdens on affordable housing projects.