Budget and Finance Committee - 2026-02-04

Ordinance reappropriating $250,000 from general city responsibility to Department of Children, Youth, and Families to support District 10 safety plan including Hope SF sites, violence prevention events, safe passages, and youth services. Funds three positions at Young Community Developers nonprofit.

Hearing on $572.5 million Prop C reserve fund balance and expansion of childcare subsidies to families earning up to 200% AMI ($312,000/year for family of four). Department of Early Childhood presented spending plan including 89.3% TOT rebate structure, workforce development investments, and facility expansion. Committee expressed concerns about fiscal sustainability and federal funding risks.

Ordinance establishing permit categories for compact mobile food operations (pushcarts, pedal-driven carts) aligned with California Senate Bill 972. Creates three risk categories: low risk (prepackaged non-hazardous foods), moderate risk (prepackaged hazardous foods/limited prep), high risk (raw meat/poultry/fish prep). Amendments waive all city permit and license fees for CMFOs.

Ordinance approving hotel development incentive agreement with Bespoke Hospitality LLC (JMA Ventures) for Hearst Hotel at 5 Third Street and 17-29 Third Street. City to provide up to $40 million in net present value over 20 years as 89.3% rebate of transient occupancy taxes. Project converts 74% vacant historic office building to hotel. State awarded nearly $30 million historic preservation grant with April deadline.

Resolution authorizing SFPUC agreements with City of Daly City for Vista Grande drainage basin improvement project at Lake Merced. Includes license amendment extension (5 additional years, $23,500 fee), 50-year lease for overflow facilities ($2,000 fee), and sale of tunnel easements and stormwater facility easements ($71,000 purchase price). Total combined amount approximately $97,000.

Resolution retroactively authorizing SFPD to accept and expend $1,119,862 grant from California Department of Justice 2025 Tobacco Grant Program for Drug Market Agency Coordination Center (DMACC). Grant period November 21, 2025 through June 30, 2029. Funds enforcement against tobacco law violations including licensing, taxation, and sales to minors.

Resolution approving $14.5 million contract with Connections CA LLC for Sheriff's Office to operate RESET Center at 44 6th Street - alternative to jail for public intoxication/drug use arrests. Two-year two-month term with one-year option. 25-person capacity, 24/7 operation. $1.4 million tied to performance incentives including 75% officer satisfaction, 90% remain until sober, 25% connected to services at discharge.

Resolution authorizing tax collector to sell 13 parcels of tax defaulted real property at public and sealed bid auction. All parcels delinquent for nine years. Public auction April 20, sealed bid auction May 14. Two properties removed from list at Supervisor Chen's request: 674 Moscow Street and 41 Sears Street.

Ordinance amending Police Code to clarify procedures for alarm companies and users to claim refunds of overpaid alarm fees. Creates clear process and timeline mirroring business tax refund process. Does not create new fees or change payment amounts.

Hearing authorizing Clerk of the Board to submit proposed budget for FY 2026-27 and 2027-28. General fund requests total $152,651 for budget year and $733,466 for out year. Includes annualization of three Assessment Appeals Board positions ($469,939), AAB member stipend increases, BLA cost of living adjustment, and LAFCO funding ($445,158). Also appropriates $27,320 from Prop J outreach fund.