Category: Update

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A ‘poison pill’ in California’s budget deal ties state spending to construction

By Alexei Koseff : calmatters – excerpt

IN SUMMARY: A state budget is headed to Gov. Gavin Newsom for his signature, but it won’t take effect unless the Legislature makes changes to housing and infrastructure development rules that he has demanded…

After days of confusion in which a deal with Gov. Gavin Newsom threatened to unravel over his demand to include new housing and infrastructure regulations, the California Legislature passed an updated state budget on Friday.

With the start of a new fiscal year looming on July 1, budget negotiations — already challenged by a $12 billion and growing deficit — dragged on this week as Newsom and legislative leaders struggled to reach an agreement on waiving state environmental reviews for priority projects.

The details of that proposal were only made public Friday morning, hours before the budget vote, despite a poison pill that would invalidate the entire $321 billion spending plan if the Legislature does not also approve the infrastructure proposal, Senate Bill 131. Lawmakers are expected to take it up on Monday, alongside the housing measure Newsom sought, Assembly Bill 130, which was unveiled and then amended this week following fierce blowback from organized labor.

Officials involved in those negotiations have been loath to explain why the budget process staggered to such an odd and protracted conclusion this year, even as California is now set to adopt sweeping changes to how it builds without much public notice. Senate President Pro Tem Mike McGuire and Assembly Speaker Robert Rivas refused to speak with reporters after the vote…

The final budget relies on reserves and internal borrowing … (more)

Internal borrowing?

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New S.F. planning director’s appointment process was illegal, commissioner says

By Queer Lu : missionlocal – excerpt

Commission president wrangled votes for mayor’s pick to lead department, commissioner alleges, in violation of open meeting laws

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Kathrin Moore, Gilbert Williams and Theresa Imperial walk out of a planning commission meeting on June 18, 2025.

A San Francisco planning commissioner is challenging the legality of Mayor Daniel Lurie’s appointment of the city’s new planning director, Sarah Dennis Phillips.

Kathrin Moore, the planning commission’s vice president, emailed the city attorney’s office stating that Lydia So, the president of the commission, has “clearly and unequivocally” violated the law.

Moore recounted that So called her and two other commissioners separately the night before the June 18 vote suggesting that they “act in support of the Mayor’s wish to recommend a particular individual to the Mayor to be the new Planning Director,” according to an email addressed to Deputy City Attorney Austin Yang that was obtained by Mission Local…

Multiple City Hall veterans with varying views on development have told Mission Local that they think Dennis Phillips, who was the director of the Office of Economic and Workforce Development and a former city planner, is “fantastic” and “qualified for the job.”…

“The whole purpose of these laws like the Brown Act … is transparency,” Wheaton said. “It’s to try as much as we can to wring the politics out of politics, to try to get people to do things on the merits and to be proud of what they’ve done and not have it be done with secret phone calls.”… (more)

It seems the problem is not with the appointee but with the process. Given the massive number of processes that and being ignored and circumvented, it is heathy to revisit this one that is so bravely contested. We at least have a chance to discuss the importance of our elected and our civil servants following the law. So much is being made of the lack of legal process on the national front which is seemingly difficult to address. There is no reason not to investigate the problem when it is close to home. No one after all is able the law.

It would be good for the citizens of San Francisco to be aware of the law and the ramifications for ignoring it where the Brown Act is concerned. People might be more likely to recognize improper actions when they see them and speak up.

We have been investigating other cases involving questionable actions taken by other departments through sunshine requests. It appears that normal protocol for condudcting business that effects the public has been dropped by some departments. 

It will be interesting to see who is responsible for the decision to ignore the legal proceedings in such a public manner. What may the remedy be and how may we get back to legal proceedings?

 

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SF plan to add housing density set to go before lawmakers

: sfexaminer – excerpt (audio)

San Francisco’s yearslong, often-contentious campaign to redraw its zoning map reached a major milestone Tuesday when Mayor Daniel Lurie formally submitted the legislative package for his “family zoning” plan, which aims to add housing density throughout The City’s western and northern neighborhoods.

“For too long, San Francisco made it easier to block homes than to build them,” Lurie said, during a press conference to highlight the legislative advance.

Lurie delivered his remarks in front of a five-story affordable development in San Francisco’s Westwood Park neighborhood that was built in the wake of a previous round of upzoning…

City leaders must approve an up zoning plan that passes muster with California authorities by January 2026 or risk penalties that include state funding cuts as well as the loss of more control over local development decisions.

But even as Lurie’s legislative package moves forward, a number of key companion measures — intended to address widespread unease about the up zoning proposals — remain very much on the drawing board.

Those measures include separate legislative packages that would add additional safeguards for tenants and small businesses. They have been drawn up in collaboration with progressive housing activists who warn that if The City fails to act, the proposed up zoning ordinance could unleash a wave of evictions, as redevelopment projects proliferate and displace longstanding tenants.

“At this point, it seems like everyone’s working diligently” to draft the companion measures, People Power Media cofounder Joseph Smooke, who has been helping to lead the advocacy campaign surrounding the rezoning effort.

Nevertheless, Smooke said, “we’re cautious of course, because the schedules could become out of sync quickly.”

Advocates are also pushing The City to adopt stronger preservation standards for historic buildings and to draw up an inventory of sites that are suitable for the development of publicly-funded affordable housing.

During the Tuesday morning press conference, Planning Department officials said The City is still on track to pass the companion measures alongside the central rezoning legislation.

“We’re ensuring that this plan reflects local voices and local values, and will continue to do that as it moves through the adoption process,” said Sarah Dennis Phillips, who has been leading the Office of Economic and Workforce Development but is now set to replace Planning Director Rich Hillis after he recently announced plans to resign from the role…. (more)

 

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VC billionaire Michael Moritz’s foundation gives $3.4M to S.F. immigrant defense

by JOE RIVANO BARROS : missionlocal – excerpt

Gift is latest of $36 million donated by foundation to San Francisco city departments

The personal foundation of Michael Moritz, the venture capitalist billionaire who has been one of the most active donors in San Francisco politics, has given $3.4 million to the San Francisco Public Defender’s office to hire more immigrant defense attorneys in light of President Donald Trump’s recent crackdown.

The gift by the Crankstart Foundation, Moritz’ vehicle for philanthropy, would pay for three additional attorneys and a paralegal for the next four years. The public defender’s office applied for the funds and was awarded the gift on March 11. It’s set to be approved by the Board of Supervisors in the coming weeks.

The “immigrant defense unit” of the public defender’s office, which currently has six attorneys, is rare: It is one of a few across the country that provides free legal counsel for immigrants in deportation proceedings. It was started in 2017 in response to the anti-immigrant wave during Trump’s first term. .. (more)

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Supervisors debate Over Budget this week

By Tim Redmond : 48hills – excerpt

Dates for budget item considerations by the SF Board of Supervisors this week…

The supes will learn, we hope, more specifics on the mayor’s budget cuts this week as the Budget and Appropriations Committee begins what will be a long series of hearings on the individual departments’ budget proposals.

The supes can’t directly add money to the mayor’s budget, although they can cut. Typically, the Budget and Legislative Analyst finds millions in cuts that the supes can then negotiate with the mayor to fund as “add backs.”…

And what, exactly, is going to be cut?…

On Wednesday/11, the committee will start with these agencies: Assessor/Recorder, Treasurer and Tax Collector, Technology Department, Board of Appeals, City Administrator, Health Service System, Civil Service Commission, Human Resources, Department of Elections, Department of General City Responsibility Controller, Human Services Agency, Building Inspection, Planning Department, Ethics Commission, Public Works, Board of Supervisors

Thursday/12, Asian Arts Museum, Fine Arts Museum, Academy of Sciences, Arts Commission, War Memorial, Child Support Services, Early Childhood, Recreation and Park, Homelessness and Supportive Housing, Public Health, Mayor’s Office/Housing and Community Development, Human Rights Commission/Status of Women, Department on Children, Youth, and Their Families, Office of Economic and Workforce Development.

Friday/13 is when some of the most controversial proposals will come before the panel: City Attorney, Office of the Superior Court, Environment Department, Law Library, Public Library, Retirement System, Rent Board, Emergency Management, Juvenile Probation, Adult Probation, Public Defender, Fire Department, Sheriff’s Department, Police Accountability, Department of Inspector General, District Attorney, Police Department…

Also: Lurie has said he will fund the new Office of the Inspector General, which has funding mandates in the charter, but nobody has been hired yet …(more)

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What did the director of Rec-Park know and when did he know it?

By Tim Redmond : 48hills – excerpt

The Government Audit and Oversight Committee will hold a hearing Thursday/5 on the allegations of financial mismanagement at the San Francisco Parks Alliance and the impact that’s had on city agencies.

Sups. Jackie Fielder and Shamann Walton called for the hearing, and have asked the Recreation and Parks Department, as well as the Parks Alliance, to appear and answer questions.

Among the issues that should, and I suspect will, come up: What role has Rec-Park Director Phil Ginsburg played in the management, direction, financing, and operations of the private alliance? What did he know about the current mess, and when did he know it?… (more)

UPDATE:

S.F. supervisor seeks to subpoena ex-leaders of collapsed parks nonprofit

By Michael Barba : sfchronicle – excerpt (audio)

A city supervisor is seeking to subpoena the former leaders of the collapsed San Francisco Parks Alliance, compelling them to testify about the demise of a prominent and politically connected nonprofit that is the subject of multiple investigations.

Supervisor Shamann Walton plans to subpoena the Parks Alliance’s last CEO, Robert Ogilvie, and his predecessor, Drew Becher, as well as its former treasurer Rick Hutchinson.

His request for a subpoena, which needs approval from his colleagues, comes after the Parks Alliance began to wind down its operations this week ahead of a scheduled hearing on its collapse and outstanding debts to the city at a Board of Supervisors committee.

The hearing was supposed to be held Thursday, but has since been postponed…

The Parks Alliance was in the grips of a deepening financial crisis long before its decision to shutter. Its board chair, Louise Mozingo, admitted in a leaked email obtained by the Chronicle that the organization had misspent $3.8 million in restricted funds on its operating expenses.

The shutdown left small neighborhood groups around San Francisco that entrusted the nonprofit to safeguard their money unsure about the fate of their savings. Before all of its board members resigned and itsremaining staffers were terminated, the Parks Alliance hired an outside firm to liquidate its remaining assets through a process akin to bankruptcy...

“I want to know how the city will collect the outstanding dollars and how the Parks Alliance could get away with using city and organization resources for their own operations,” he said.

Supervisor Jackie Fielder, who joined Walton in his call for a hearing, still plans to introduce a motion Thursday calling for a full audit of the San Francisco Recreation and Parks Department, including its long-running financial ties to the Parks Alliance, her office said.

The district attorney, controller and city attorney are investigating…(more)

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S.F. official knew imploding nonprofit was ‘cash poor.’ Should he have rung the alarm?

By Michael Barba  : sfchronicle – excerpt (audio)

Nearly a year ago, the city’s top park official received an ominous message.

The San Francisco Parks Alliance, the big and politically connected nonprofit that Recreation and Park Department General Manager Phil Ginsburg had relied on for years as a conduit for private dollars to fund public projects, was facing “dire cash flow shortages.”

The words came not from a whistleblower, but directly from the nonprofit’s then-CEO, who admitted the problem in a message to a key donor last June that was forwarded to the city. Ginsburg sought assurances from the Parks Alliance that the funding it held for his department was secure.

But it wasn’t until 10 months later that Ginsburg halted his department’s relationship with the Parks Alliance and alerted other city officials. By then, the group had misspent millions of dollars earmarked for specific projects to cover its operating expenses and was headed toward potential insolvency…

The district attorney, city attorney and controller are investigating, and Mayor Daniel Lurie has frozen the flow of funding between the nonprofit and all agencies. Supervisor Shamann Walton is holding a hearing on the crisis at City Hall next week, and Supervisor Jackie Fielder has called for a full audit of Ginsburg’s department and its financial ties to the nonprofit.

The Parks Alliance has served as a pass-through for big donors to help fund city projects such as the construction of a state-of-the-art tennis center in Golden Gate Park and the opening of a new waterfront park in the Bayview. It also acts like a bank for more than 80 small community groups around San Francisco that pay the nonprofit a small fee to collect donations and grants on their behalf and disperse the money when they need to use it to care for playgrounds, trails and other parks projects

Former Supervisor Aaron Peskin, a longtime critic of Ginsburg and the Parks Alliance, said Ginsburg should have reported the organization’s financial problems months earlier to the mayor, the controller and other agencies that fund the nonprofit.

Peskin said Ginsburg had erred in protecting and championing the Parks Alliance for years, even after the organization in 2020 became implicated — but not charged — in an FBI bribery investigation. The nonprofit was used to funnel about $1 million from waste company Recology to disgraced former Public Works head Mohammed Nuru, who spent the donations on parties and merchandise for his staff.

“The public and the mayor need to know that this scandal was preventable and happened in large part because the general manager of rec and park was so closely tied to and invested in the Parks Alliance,” Peskin said. “If people are not held accountable, it sends a message to the public and to the rest of the government that there are no consequences.”…(more)

 I’m shocked! Shocked I say.” to hear that Ending Nuru’s reign at the Parks Alliance under a cloud did not end the corruption and abuse at the all to powerfully connected denounced non-profit. Ginsburg’s name popping up is no surprise. How could he have not have noticed that something was amiss with his department finances?

So many questions were never answered when Nuru left.

How much money was laundered through the agency that so many non-profits trusted to provide banking services for them?

Why were the investigations into Parks Alliance affiliates stalled after the Nuru incident was exposed?

How much momentum was lost by the switch between parties that cut off the initial FBI investigations based on complaints filed by whistleblowers?

How many cases were left out of the investigation? No doubt the successor to Nuru 1 cannot be far removed from the top of the power pyramid.

Has no one noticed that a lot of city departments and affiliates use the same PR firm? No one sees any conflicts during an election?

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In wake of nonprofit’s implosion, Fielder calls for audit of S.F. parks department

by MARGARET KADIFA :  missionlocal – excerpt

Parks Alliance art for donor campaigns

District 9 Supervisor Jackie Fielder will today submit legislation calling for an audit of San Francisisco’s Recreation and Parks department.

The move comes after a nonprofit affiliated with the department, the Parks Alliance, has come under fire for possibly misspending at least $3.8 million in donations.

Both the San Francisco District Attorney’s Office and the San Francisco City Attorney’s Office have recently launched investigations into the Parks Alliance, according to the San Francisco Chronicle…

As a city department, Rec and Parks is a separate entity from the Parks Alliance. But, the Parks Alliance has often served as a conduit for private money to flow into city projects, operating like “a city account without city oversight,” as the controller’s office put it in a 2020 audit of the Alliance…

This isn’t the first scandal at the Parks Alliance. In 2020, the since-convicted and incarcerated head of Public Works, Mohammed Nuru, used a Parks Alliance account as his personal slush fund to underwrite boozy holiday parties. Nuru was in 2022 convicted of fraud and sentenced to seven years in federal prison.

The proposed audit of Recreation and Parks would not directly review Parks Alliance funding. The Parks Alliance was most recently audited in 2020 by the controller. The proposed 2025 audit would more broadly review partnerships between the department with nonprofit organizations, according to a press release from Fielder’s office… (more)

 

 

 

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Supervisor Calls For Hearings Into Whatever’s Going On at Beleaguered SF Parks Alliance

By Joe Kukura : sfist – excerpt

The cancellation of the free movies in the park series may just be the tip of the iceberg of the financial problems of the SF Parks Alliance, and Sup. Shamann Walton is calling for hearings into why the group doesn’t seem to have money it should have.

We should start here by pointing out that the SF Recreation and Parks Department and the SF Parks Alliance are two different groups, despite having very similar names. SF Rec and Parks is a city department that manages SF’s public parks. The SF Parks Alliance is a nonprofit that organizes free movie nights in the parks, playground renovations, or giant Ferris wheels in parks.

And the SF Parks Alliance is able to take private donations that Rec & Parks, as an official city department, cannot legally collect themselves. Thus, the SF Parks Alliance also collects donations and grants for some 80 or so smaller neighborhood or “Friends of So-and-So Park” groups, helps these groups raise funds, and then “stores” their money like a bank so they don’t have to apply for nonprofit status themselves.

This all sounded like a noble arrangement, until the whole Mohammed Nuru scandal showed that Nuru was using the Parks Alliance as something of a slush fund for staff parties, merch, and shwag. That all blew over with Nuru now in prison, but new questions arose about the SF Parks Alliance after they laid off about two-thirds of their staff within the last six months, and their director abruptly stepped down… (more)

Looks like the Nuru curse never left the Parks Alliance. We look forward to a very detailed report on where the money went, including any funds that went into the recent ballot initiatives. We hope the PR and legal firms that represent most of the city departments and their close associates will be investigated as well.

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NO DAY AT THE ZOO

Via sfstandard email…

There’s nothing better than two controversies crashing into one another. That’s what happened late last month after the San Francisco Zoo director quietly suggested the closure of Upper Great Highway, now called Sunset Dunes, was screwing them over. 

In an April 25 memo, SF Zoo CEO Tanya Peterson said the highway’s closure had caused decreased attendance, impacted staff and volunteer commutes, and confused drivers in the area. The note was meant to be internal, Peterson later said, but it wound up in the hands of the campaign to recall Supervisor Joel Engardio, which blasted it out to supporters.

Asked for comment Friday, Peterson added that other factors may have impacted attendance, such as Sunset Dunes protesters and competing Easter weekend events. Then things got interesting.

By Saturday, the zoo director had issued an entirely new statement calling the April memo “premature” and saying she was “thrilled to witness the beautiful opening of Sunset Dunes and see first-hand how important parks are to our community.”

In the background was PR guru Sam Singer, whose firm represents both the Stand with Joel campaign and the San Francisco Zoo, which has had its share of bad press over the years. In a phone call, Singer said it was a “matter of fact” that protesters had caused traffic disruptions during Sunset Dunes’ opening weekend. Sunset United Neighbors, a neighborhood group that endorsed the recall and shared Peterson’s initial memo with members, issued a clarification Saturday.

Asked whether his relationship with both the zoo and the anti-recall campaign presented a conflict of interest, Singer acknowledged the optics but said the recall camp “politically damaged themselves” by blasting out the memo prematurely. On Sunday, Peterson issued yet another statement: “While we appreciate Mr. Singer’s long-standing relationship with SF Zoo, we amended our analysis independently. We look forward to working with everyone to enhance our Zoo and our community…

Conflicts are growing as the opponents dig in their heels for the next round. The Zoo is finding itself in the place that the SF Museums have already gone, as the anti-car people continue to cut their businesses. Parks are free. Museums and Zoos count on paying customers to survive. Those seeking free fun do not intent to pay for anything. PR professionals should know better than to wear too many hats at one time. It is getting harder for city agencies and departments to keep from stepping on each other’s toes, especially during budget cutting season. PR might be considered a bit of an extravagance.