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OCII approves $11.46 million MOU with Public Works to build Transbay Block 2/3 Phase 1 infrastructure
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Summary
The Office of Community Investment and Infrastructure approved a memorandum of understanding with San Francisco Public Works to fund and deliver streetscape and utility work for Transbay Block 2 affordable housing projects, not to exceed $11,463,624; commissioners approved 3–1 with Commissioner Lim dissenting.
The Office of Community Investment and Infrastructure on Oct. 1 authorized a memorandum of understanding with the City and County of San Francisco, acting through San Francisco Public Works, to design and deliver Phase 1 streetscape and infrastructure improvements serving the Transbay Block 2 affordable housing projects.
OCII Development Specialist Laura Scheifele told commissioners the work includes widening sidewalks on Main and Beale streets, extending Clementina Street with a new sewer line and lighting, installing signalized crossings and a raised mid‑block crossing on Clementina, and relocating a 20‑inch transmission water main parallel to Blocks 2 and 3. The agreement’s total not‑to‑exceed amount is $11,463,624, the staff presentation said.
The MOU covers construction management and project administration by Public Works, environmental monitoring, ADA/access compliance reviews and coordination with the city’s contract monitoring division (CMD) on Small Business Enterprise (SBE) participation. Scheifele said construction is anticipated to start in January 2025 with completion targeted by July 2026 to align with temporary certificate of occupancy targets for Block 2 buildings.
Director Koslovsky and CMD’s George Bridges described outreach and compliance plans: public advertisements and flyers, outreach to OCII project area citizens’ advisory committees, and a bid outreach strategy aimed at SBEs and hyper‑local firms. Public Works identified NTK Construction as the lowest qualified bidder in the advertised procurement, staff said.
Commissioners pressed staff on oversight and contracting rules. Scheifele and Bridges said CMD will coordinate SBE goals and compliance monitoring while Public Works administers the construction contract; they also noted City Charter §9.118(a) requires Board of Supervisors approval for revenue contracts over $1,000,000, and that ordinance was on the Board calendar, allowing award on schedule, staff said.
Commissioner Lim voted no, citing unresolved concerns about how OCII’s and the city’s SBE and local‑preference programs align. The motion to approve carried on a roll call of 3 ayes, 1 no, 1 absent.
The commission’s action authorizes OCII to reimburse Public Works for city agency services performed under the MOU; staff said contract award and final execution are contingent on required Board of Supervisors approvals.
What’s next: Public Works expects to award the construction contract by November and to present the contract to the Public Works Commission for award on Oct. 28, according to staff.
