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Committee forwards leases, donation portal changes and DPH lease; filming fee item continued
Summary
The committee forwarded lease amendments at SFO, two Proxy Development lease extensions, a DPH lease at 1360 Mission, and administrative code changes for a city donation portal with a minor clarifying amendment; the filming fee ordinance was continued one week.
At a Budget and Finance Committee meeting, supervisors advanced several administrative and property items to the Board of Supervisors with recommendation and accepted non‑substantive clarifying amendments where needed.
Item 2: SFO lease modification — Kathy Weidner said Cathay Pacific plans to expand exclusive lounge space in the international terminal by 5,664 square feet and that tenant improvements (about $2 million) will be borne by the airline. The budget analyst explained the airport already received the equivalent additional rent under a temporary permit, so shifting the payment into a lease would not change the airport’s breakeven fiscal position. The committee moved the lease modification forward with recommendation without public comment.
Item 4: Donation portal and administrative code changes — Monique Zmuda (Controller’s Office) described an online donations portal and proposed code amendments to (1) create a Recreation and Park Gift Fund, (2) broaden the Mayor’s Earthquake Emergency Relief Fund into a General Disaster Recovery Fund, and (3) change administration of the Mayor’s Fund for the Homeless from the Department of Public Health to the Human Services Agency. Recreation and Park requested adding the word "facilities" to the ordinance text to cover donations for both programs and facilities; the committee accepted the small clarification and forwarded the item.
Items 6 & 7: Proxy Development lease extensions — Rod Selena introduced two resolutions extending lease and sublease terms for parcels in Hayes Valley (Parcels K and L) occupied by the Proxy project. John Updike and Douglas Burnham said the extensions are term changes only, requested non‑substantive corrections to date references, and explained permitting delays related to using reconditioned shipping containers. The committee accepted the technical changes and forwarded both items with recommendation.
Item 5 (filming fee ordinance) was continued for one week at Supervisor Farrell's request. Item 8, a five‑year lease for Department of Public Health space at 1360 Mission Street (approximately 6,300 sq ft), was presented by John Updike and Mr. Rose; the negotiated lease reduces the base rental rate and shows a first‑year rental reduction of $26,577 and a five‑year total cost range of $707,896–$750,624. The committee sent this lease forward with recommendation.
All forwarded items were sent to the Board of Supervisors for final action.
