Budget and Finance Committee OKs $9.46 million now for Pier 27, holds remainder pending EIR and mitigation plans

The San Francisco Budget and Finance Committee on Tuesday authorized a partial release of $9,456,741 from previously appropriated reserves to advance Phase 1 work on the Pier 27 mixed‑use cruise terminal project, while keeping the remainder of the $17.9 million request on committee reserve.

The port’s project manager, Elaine Forbes, told the committee the funds would cover immediate needs including project management and design, long‑lead structural steel orders and other preparatory work tied to a compressed schedule related to the 34th America’s Cup event. Forbes said the port plans to include termination options in steel purchase orders so fabrication or installation could be stopped if the project is disapproved.

Budget analyst Mr. Rose said the phase‑1 budget totals $60,162,000 and that the $17.9 million under consideration would be a portion of those costs. He noted the project’s estimated completion is January 2013 and recommended approval of the port’s request in concept. The committee’s action authorized only the $9,456,741 identified as immediately needed and left $8,450,894 on reserve.

Environmental and public‑health advocates urged the committee to delay any appropriation until mitigations for lost shoreside power benefits are specified. Terry Shore of Turtle Island Restoration Network told supervisors the relocation of a shoreside power system — a publicly funded project intended to let visiting cruise ships plug into the electrical grid and turn off diesel engines — risks about 97 tons of air‑pollution reductions annually and that the port had not proposed compensating mitigations for the period when shore power would be unavailable. Diane Bailey of the Natural Resources Defense Council echoed the request for written mitigation commitments and said the EIR lacked substantial mitigation proposals. Jennifer Clary of San Francisco Tomorrow said the shore‑power system is a public health asset and asked the committee to table the item for roughly two weeks to allow fuller port engagement with stakeholders.

Forbes acknowledged the concerns and said CEQA review is underway with more than 1,400 public comments. She said the port is coordinating with the Bay Area Air Quality Management District and the U.S. EPA as part of the EIR process and that mitigations should be considered through that review. Forbes emphasized the timing risk: delaying long‑lead purchases could increase costs and jeopardize the America’s Cup schedule, but the port recognizes the risk and has structured orders to allow cancellation if the projects are not approved.

Chair Carmen Chu moved to release $9,456,741 now and leave the remaining amount in the committee’s reserve; the motion was accepted without objection. The committee forwarded the partial release and the remaining reserve designation as its recommendation to the Board of Supervisors. The EIR and port responses to public comments remain pending; Forbes said the CEQA decision was anticipated in February (date given by port staff as the target during the meeting).