Budget and Finance Committee - 2026-02-11

Ordinance amending health, business, and tax regulations codes regarding mobile food facility permits, compact mobile food operations, and mobile support unit definitions was continued to February 25 at Supervisor Fielder's request to support existing vendors utilizing micro kitchens.

Resolution approving lease agreement with Doublewood Investment Inc for 47,000 rentable square feet at 111 Pine Street for SF Employees Retirement System, with 10-year initial term, two 5-year extension options, $2,000,000 annual base rent with 3% increases, and up to $4,700,000 tenant improvement contribution. Continued to February 25 at Vice Chair Dorsey's request for strategic review of city real estate decisions on Market Street corridor.

First amendment to office lease for Public Defender's mental health unit at 258A Laguna Honda Boulevard with Chiu Laguna LLC. Three-year term from March 1, 2026 through February 28, 2029 at $5,000 monthly base rent ($58,000 annual), with one 3-year extension option. Rate negotiated down from $35/sq ft to $29.49/sq ft with paint, carpeting refresh, and first month abated.

Resolution adopting fixed two-year budgetary cycle for Airport, Port, and Public Utilities Commission for fiscal years 2026-2027 and 2027-2028, with two-year budgets due for introduction on May 1.

Ordinance appropriating $311,000 from general reserve to MTA for one hour free parking at Portsmouth Square Garage from February 8 through March 8, 2026, and free transit fares for Lunar New Year parade on March 7, 2026.

Resolution approving tenth amendment to paratransit broker agreement with Transdev Services Inc, extending term by two years from June 30, 2026 through June 30, 2028, increasing contract amount by $31,000,000 for total not to exceed approximately $31,000,000 additional. Program serves seniors and people with disabilities with 95% on-time performance and 9% overall satisfaction.

Ordinance appropriating $18,500,000 from Port Harbor Fund for stabilization, removal, and disposal of dry docks at Pier 68, including Dry Dock Number 2 (currently unstable and taking on water) and the Eureka. Combined with existing $1,500,000 settlement funds for $20,000,000 current fiscal year, with additional $41,200,000 planned for FY 2026-27 for total project cost of $61,200,000.

Resolution retroactively approving amendment number 50 to Treasure Island Land and Structures Master Lease with US Navy, extending term one year through November 30, 2026. Lease premises includes two buildings under TIDA commercial portfolio, DPW Corporation Yard, and multi-use recreational path.

Resolution approving amendment number two to contract with Vitalant for blood and blood products for DPH/Zuckerberg SF General Hospital, extending contract by five years through September 30, 2031 (total 10 years) and increasing amount by $18,500,000 for total not to exceed $28,200,000. Sole source procurement as only provider able to deliver within one hour to SF General.

Resolution retroactively authorizing Environment Department to accept $299,091 grant from Tech Clean California for heat pump water heater installations in up to 30 family childcare provider facilities through Low Income Investment Fund partnership, term January 2026 through March 31, 2027.

Three resolutions approving purchase and sale agreements for subsurface sewer tunnel easements for Lower Allemane Area Stormwater Improvements Project: 491 Gavin Street (9.2 sq ft, $2,500), 495 Gavin Street (298.2 sq ft, $25,000), and 499 Gavin Street (693 sq ft, $32,000). Tunnel will be 10-foot diameter, over 50 feet deep, installed by horizontal directional drilling.

Two resolutions reauthorizing city's general fund commercial paper program not to exceed $250,000,000 principal amount, with new bank credit facilities: $150,000,000 letter of credit with TD Securities and $100,000,000 revolving credit agreement with BMO Bank, both with 3-year terms. Annual maintenance costs approximately $1,600,000.