Budget committee advances multiple reserve releases and appropriations, delays two major procurement items

The San Francisco Board of Supervisors Budget and Finance Committee met in a specially timed session and moved several budget items to the full Board while delaying two major procurement decisions for further review.

The committee forwarded a resolution enabling the ABAG Finance Authority to issue up to $17,000,000 in tax‑exempt bonds to finance capital facilities used by nonprofit institutions, including a loan to Burke School. Jennifer Gridley, president of Burke School’s board of trustees, was present to answer questions. The committee moved the resolution to the full Board with a recommendation.

On transportation, the committee considered Municipal Transportation Agency staffing reductions proposed in an ordinance that would decrease total MTA staffing by two positions. Deputy controller Monique Smuta described two requested deletions (a manager position in the controller’s office and a position at the Fine Arts Museum) and the committee agreed to continue the item for one week so the measure can complete two Board readings and allow coordination with the mayor’s signoff timeline.

The committee also approved a resolution to accept and spend $3,693,215 in federal bus and bus facility funds for design and construction of Muni’s Islas Creek motor‑coach maintenance facility and purchase of automatic vehicle locator equipment. Judson True of the MTA said the project’s original two‑phase plan has been combined into one phase to save construction costs and reduce facility wear, a change that pushed the project’s groundbreaking later than originally scheduled. True said additional funding — including Prop K and anticipated federal dollars — will be requested from the transportation authority as needed.

On departmental reserves, the committee approved releasing $49,523 from a previously set reserve to cover Juvenile Probation overtime costs linked to an earlier population peak. Allison McGee, director of administrative services for probation, said the facility census peaked at about 156 a few weeks earlier and is currently around 117; she described coordinated efforts with courts and attorneys to lower the population and noted recent hiring of additional juvenile‑hall counselors.

The committee amended and moved forward an ordinance appropriating $1,003,073 from state‑mandated prior‑year election reimbursements to cover higher ballot and election processing costs tied to the November 2006 special election. Department staff described added paper, translation and increased security costs after a warehouse break‑in; budget analyst Deborah Newman recommended several technical adjustments to reduce or reclassify certain rent and sheriff costs, which the committee accepted before forwarding the measure.

The proposed five‑year telecommunications procurement that would use the state’s CALNET 2 contract with AT&T was debated at length. Rod Locks of the Department of Telecommunications described the city’s current arrangement (about $900,000 per month in telecom services), noted that 22 buildings are connected to fiber (15 internally wired), and said an RFI on VoIP will be issued in the coming months. Budget staff estimated annual savings of roughly $850,000 under CALNET and an avoided cost of about $5,000,000 per year compared with nondiscounted tariffs. Supervisor Tom Ammiano pressed the department on the pace of city fiber expansion and said he intends to pursue board legislation directing more aggressive fiber deployment. Given ongoing questions and timing around the mayor’s budget submission, the committee voted to continue the AT&T contract item for one week.

The committee released $150,000 in Prop H public‑education enrichment funds that had been placed on reserve for the San Francisco Unified School District to support televising meetings and related one‑time capital costs. Young Lee of the district said web streaming began in August and live broadcasts started in November.

Claire Murphy, executive director of the San Francisco Employees’ Retirement System, asked the committee to reserve approximately $249,204 for temporary salaries and related fringe benefits to retain investment‑division professionals. Budget staff recommended commissioning a consultant study before committing recurring funds; the committee agreed to place the item on reserve for future review.

Several remaining May‑budget items, including airport, port and retirement system budget items, were read and technical adjustments from the mayor’s office were presented by Nani Coloretti, the mayor’s budget director. The mayor will present the full budget on June 1. The committee adopted budget analyst recommendations where noted and, where departments were not yet present or additional information was needed, continued remaining items for one week. The committee adjourned without further action.

Votes at a glance

• Item 1 — Resolution authorizing ABAG Finance Authority bonds (up to $17,000,000) — moved to full Board with recommendation; motion passed without objection.

• Item 2 — Ordinance to decrease MTA staffing by two positions — continued for one week for amendment and timing; motion to continue passed without objection.

• Item 3 — Resolution to accept and expend $3,693,215 FTA bus/bus‑facility funds for Islas Creek facility — moved to full Board with recommendation; passed without objection.

• Item 4 — Release of reserves to Juvenile Probation: release $49,523 now and request controller consider remaining $27,406 based on deficit — motion approved without objection.

• Item 5 — Ordinance appropriating $1,003,073 for election costs (Nov 2006) — amended per budget analyst recommendations and forwarded with recommendation; passed without objection.

• Item 6 — Ordinance approving a five‑year telecommunications master agreement via CALNET 2 with AT&T (contracts > $10,000,000) — continued for one week; motion passed without objection.

• Item 7 — Release of $150,000 Prop H funds to SFUSD — motion approved without objection.

Next steps

Several items were forwarded to the full Board for final action; two major items (MTA staffing ordinance and the AT&T/CALNET contract) were continued for one week to allow additional review and coordination with the mayor’s budget submission. The mayor will present the full budget on June 1 and departments scheduled for return appearances include the airport, port and the retirement system.

Sources and attribution

Quotes and attributions in this article come from the committee record and from speakers who appeared in the transcript, including Chair Chris Daley, Vice Chair Tom Ammiano, Judson True (MTA), Rod Locks (Department of Telecommunications), Allison McGee (Juvenile Probation), Deborah Newman (budget analyst), Nani Coloretti (mayor’s budget director) and Claire Murphy (retirement system).