Commission approves $1 million disbursement for Mexican Museum facade at 706 Mission

The commission authorized a fourth grant disbursement agreement of up to $1,000,000 to the Mexican Museum and 706 Mission Street Co LLC to fund the museum’s portion of a facade screen and tenant improvements at the 706 Mission Street project. Commissioner Scott moved the item; Chair Bustos seconded and the measure passed 3–0 with Commissioner Brackett absent.

The project team told commissioners the mixed-use development combines the original museum site and the Aronson Building and includes about 190 condominium units, a 480‑foot tower and roughly 48,000 square feet of museum shell spread across four floors. "The proposed fourth grant disbursement agreement would disperse $1,000,000 of grant funds directly to the developer on behalf of the museum pursuant to the budget contained in the disbursement agreement," said Hilde Myle, development services manager for OCII, during the presentation.

Staff said the funding request is drawn from a 2010 grant agreement established to support the museum; the agreement totaled approximately $10,500,000, roughly $2.78 million has been dispersed to date, and about $7.8 million remained available. The facade screen’s total cost was described as approximately $3,600,000, with the developer contributing its public-art fee and other savings and the museum covering the $1,000,000 portion requested through the disbursement agreement. Staff indicated the disbursement would follow OCII compliance procedures, including small-business-enterprise and contract-compliance requirements, and estimated the funds could be dispersed by June 2020 if approved.

Commissioners raised questions about small-business participation and subcontractor details. "The project started off with a consultant team of about 12 consulting firms with a participation of 66.8%," said Raymond Lee, contract compliance supervisor, and he later said construction participation is approximately 22.9% with about 30 small businesses participating on packages. Chair Bustos asked staff to provide the names of subcontractors and additional detail in the record.

Public comment included a statement of support for the museum from Oscar James, a long-time Bayview–Hunters Point resident, who urged the commission to include Bay Area Mexican‑American history as part of the museum’s content.

The motion to authorize the fourth grant disbursement was approved by roll call: Commissioner Scott — Yes; Chair Bustos — Yes; Vice Chair Rosales — Yes; Commissioner Brackett — Absent. The commission directed staff to return with any requested compliance and subcontractor detail and to proceed with steps required to disburse funds under the agreement.