Board advances charter amendment to set baseline funding and property tax set-aside for affordable housing; item continued to Jan. 8

Supervisor Daly introduced a proposed charter amendment to establish a baseline appropriation and a property-tax set-aside to support affordable housing for 15 years. “It's my hope that momentarily, I, will have, some new language, colleagues, for you to re review, that, involves, the allowance of increasing affordability or a number of affordable, rental or homeownership units, in addition to replace the public housing units on housing authority sites,” Supervisor Daly said during the public hearing.

Supporters said the amendment would provide a guaranteed revenue stream for affordable housing and could be structured to deepen affordability and replace public-housing units on a one-for-one basis. “We have to be part of the effort to make it pass,” Supervisor Maxwell said, adding that the amendment offers “a shot” at preserving and improving public housing when other financing options had failed.

Controller's office staff described the fiscal structure the amendment would create. Monique Smuta of the controller's office said the proposal sets aside approximately $88,000,000 as a baseline from general fund-supported dollars (not including redevelopment funds) and would protect that baseline from reduction in any single year during the 15-year period. She said the property-tax set-aside — estimated at 2.5 cents per $100 of assessed value — would add an estimated $34,000,000 initially and that, under the controller’s growth assumptions, the combined annual allocation would grow from about $122,000,000 to roughly $254,000,000 over 15 years, producing a 15-year total estimate of $2,708,000,000.

Supervisors debated scope and safeguards. Daly and Maxwell said the amendment includes an exception to allow one-for-one replacement of public-housing units on Housing Authority sites while also providing funds to deepen affordability. Supervisor Duffy thanked community-based organizations and housing developers who have worked on the issue for years; Supervisor Ammiano emphasized taking the question to voters and engaging broad public participation.

The board approved amendments proposed on the floor to clarify use for public-housing replacement and affordability provisions. Supervisor Maxwell’s amendment (seconded by Supervisor Daly) to allow baseline funds to increase either the affordability depth or the number of affordable units on Housing Authority sites was adopted. After adopting the amendment the board voted to continue the item as amended to a committee of the whole on January 8 for further consideration and campaigning arrangements.

The board did not adopt final charter text or place the measure on the ballot at this meeting; rather, members approved amendments and scheduled further work and a continued committee hearing. The controller emphasized that the figures presented were assumptions and estimates and that the final fiscal effects would depend on voter approval and future revenue conditions.

The item drew two brief public commenters during the hearing: Diane Robine of the Independent Living Resource Center, speaking for the Community Alliance of Disability Advocates in support, and Patrick Monk, a registered nurse, urging passage to help residents remain in the city.

The board’s action was procedural: the amendment language was amended on the record and the item was continued to a committee-of-the-whole session on Jan. 8, 2008, to finalize language and begin preparation for a voter measure campaign.