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OCII approves contract amendment to fund Hunters Point artist and kitchen relocation

Office of Community Investment and Infrastructure (OCII) Commission · August 5, 2014
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Summary

The Office of Community Investment and Infrastructure approved a contract amendment to extend and top up a relocation services contract with Overland Pacific & Cutler, adding $456,383 (to a not-to-exceed $645,143) to implement artist and commercial-kitchen moves tied to the Hunters Point Shipyard Phase 2 development.

The Office of Community Investment and Infrastructure on Aug. 5 conditionally authorized a second amendment to the personal-services contract with Overland Pacific & Cutler (OPC) to fund tenant relocation work tied to the Hunters Point Shipyard Phase 2 disposition and development agreement. The amendment extends the contract term to Dec. 31, 2017, and increases the budget by $456,383, bringing the not-to-exceed amount to $645,143, staff said.

The amendment covers the implementation phase of relocation planning for an on-site replacement commercial kitchen and consolidated artist studios, work that staff said was described but not funded in the contract signed in 2011. Thor Kislovsky, project manager for the Hunters Point Shipyard, told commissioners that the additional scope includes two relocation plans (kitchen and artist studios), oversight during moves, inventories of personal property, and claims and compensation recommendations. "We're requesting a scope and budget amendment to the existing contract for relocation services with the firm Overland Pacific and Cutler," Kislovsky said.

Staff presented a line-by-line budget that showed $127,643 expended from an original $188,760 budget and a remaining balance of roughly $61,000. The requested $456,383, which includes a 15 percent contingency, would be reimbursable to OCII by Lennar under the Phase 2 DDA, staff said. Subconsultants and allocations shown include approximately $395,000 to OPC, about $20,000 to Northern California Community Loan Fund (NCCLF), $15,000 to Ventura Partners, and roughly $20,000 for Shipyard Trust for the Arts (STAR).

Marty McKee, president of the Shipyard Trust for the Arts, outlined STAR's plan to seed an artist subsidy fund and described solar-energy savings that could contribute to affordability. "The solar is projected...to save between $18,000 and $28,000 a year," McKee said, adding that STAR aims to double proceeds from its annual auction to seed a fund. Staff and McKee estimated that completely subsidizing five artists who reported affordability concerns would cost about $19,000 per year.

Public commenters raised health and safety concerns tied to the site's Superfund history. "The people are dying," said Dr. Espinola Jackson during public comment, urging caution and additional scrutiny of activities on the shipyard site. Commissioners and staff acknowledged those concerns and noted that relocation work follows federal and state relocation laws and the terms of the DDA.

Commissioner Mondehar moved to approve the amendment; Commissioner Singh seconded. The Commission approved the item on a 3–0 roll call.

The amendment authorizes staff to move into the contract implementation phase: staff expects the replacement kitchen tenants to relocate in mid‑2015 and for artist relocation planning to be presented in March 2016 with moves late in 2016. The contract’s costs are reimbursable only on a time-and-materials basis from the developer, OCII staff said.