Thread by @_fruchtose

Hello San Francisco. I'm attending a meeting of the SF Board of Supervisors Budget and Finance Committee meeting for the approval of a loan to @TNDC to build 100% affordable housing at 2550 Irving St.

Jacob Noonan with Mayor's Office of Housing and Community Development is presenting. The loan will be used by TNDC to acquire the parcel for the development and to perform pre-development activities.

Supervisor Gordon Mar, representing District 4—where the project is located—says he'll pass on giving remarks until the Budget and Legislative Analyst's Office presents on the loan.

Severin Campbell, a contractor with BLA, says the loan is consistent with BLA policies, and recommends approval with slight amendments.

Gordon Mar speaking now, acknowledging this is a significant project. He says moderate and low-income households can no longer stay in the City, even in once-affordable neighborhoods like the Sunset. He says, "We have underinvested in affordable housing" in the Sunset.

Mar: According to the Sunset Forward plan, 54% of Sunset residents believe housing in the Sunset is unaffordable. And the City is losing rent controlled housing. "2550 Irving is one way to restore balance... It embodies our Sunset values."

Supervisor Mar notes this will be the 2nd 100% affordable housing project in the Sunset, after teacher housing at Shirley Chisholm Village.

Supervisor Mar says he insisted that "early and proactive neighborhood outreach" by @TNDC for 2550 Irving was important. That's because, as a 100% affordable project, it will be streamlined through SB 35. (Thanks @Scott_Wiener!)

Amy Chan w/ Mayor's Office of HCD notes that the project has a higher-than-average cost in part [over $900k per unit] because the project includes more family-sized units, and due to the cost of acquiring land in the Sunset.

Gordon Mar asks what MOHCD standards are for acquisition if the project costs more than average. Chan responds that they look at feasibility, including state funds. W/ Irving, "it's in a high opportunity area and we're proposing a family project," making it competitive for grants

Mar: "If the bulk of the financing is not secured, what will happen to the site?"
Chan says it's not a unique challenge, but 2550 Irving is uniquely positioned to get funds. MOHCD is advocating consistently at the state level for projects in the Bay Area.

Chan says acquisition cost per unit is comparable with other projects of similar size. She asks Jacob Noonan, and he concurs. Nick Menard with the Budget and Legislative Analyst's Office says the acquisition cost is consistent w/ their appraisal of the site, so they okayed it.

Supervisor Mar now bringing up environmental issues, since NIMBYs have objected to the project on those grounds: "There is toxic contamination on the site... as well as the surrounding neighborhoods... There are valid concerns in the neighborhoods about this."

Mar says there are two separate plumes of PCE [tetrachloroethylene] soil contamination around the site. Amy Chan says there's a process that's been going on, w/ a response plan involving the California Department of Toxic Substances Control.

Katie Lamont w/ TNDC says there will be measures in the response plan which includes a soil vapor barrier, sealing around utility piping, sample collection, monitoring, and neighborhood notification.

Supervisor Mar says he appreciates the response plan and the DTSC oversight, which includes public comment on the response plan. He notes that public comment will close on August 13. DTSC will ultimately approve the plan after this hearing, which is problematic.

Mar is asking why the environmental response plan wasn't approved before loan approval. Amy Chan (MOHCD) notes that there has been a lot of engagement since TNDC was chosen to develop the site, and Katie Lamont w/ TNDC will address to the response plan engagement.

Lamont is describing public participation to date, including meetings since February, and a community survey. Jacob Noonan with MOHCD also mentions that the response plan has been given tentative approval by CA DTSC already.

Supervisor Mar asks again, why was the response plan not approved before the loan presented for approval?

Katie Lamont: Due diligence is done concurrently w/ bringing the project to the Board of Supervisors. Community engagement has been quite lengthy, and TNDC will continue on engagement even following acquisition.

Lamont gets to the real meat of the answer: The SFBOS will be on recess in August, and the acquisition deadline is in August.

Mar: It's very frustrating that official sign-off "didn't happen sooner, so that we wouldn't be in this awkward situation."

Moving on, he asks if the environmental response plan would impact competitiveness for state tax credits.
Amy Chan: No. Site control is the 1st step in the process of receiving grants.
Katie Lamont: Contamination in urban sites is common, so cleanup will give investors comfort.

Mar: How common is this?
Amy Chan, MOHCD: "This particular issue is common due to the site being in an urbanized area."
He's asking if other MOHCD-subsidized projects have required a remediation plan for toxic contamination.
Amy Chan is sure there are, but not specifically.

Jacboon Noonan, MOHCD, says they have other projects with vapor barriers. There's a residential requirement for a vapor barrier due to a soil test. The commercial use doesn't have that requirement.

Supervisor Mar: "Thank you for your responses. I think I'll leave it at that."

Having dispensed w/ environmental questions, Supervisor Matt Haney (D6) now has questions. He asks if the loan closing is conditioned on the response plan.

Jacob Noonan says there is preliminary approval by DTSC, but yes, "that is a requirement of the loan funding."

Matt Haney has no more questions.

Haney: I know there a lot of people who are waiting to give public comment.

Sunset District NIMBYs:

Board clerk says there are over 50 people in the queue😳

First commenter spoke very fast in favor of the project.

I forgot to mention, there's a 1-minute time limit due to the size of the crowd.

Second caller says people making minimum wage should be able to live in the Sunset, and affordable housing is key to a livable city.

Third caller lives three blocks from the project site and is calling in support. "It critically addresses the affordability crisis." He toured @TNDC-built affordable housing sites, and found found that they were well-built.

Fourth caller opposes the project as proposed, because they did not consider an "alternative" plan [to build a 4-story building]. And the project will pose serious health risks to someone he knows because their house will be in shadow.

The caller concludes that a Nextdoor survey shows 90% of neighbors oppose the project.

I have to log off for now. I'll cross my fingers that the loan passes! Thanks for reading.

I just called back in, aaaaaaaand there's still public comment. Caller says there will be 100 homes with 11 parking spaces. "Is Muni ready for 500 additional passengers on N Judah, since there are three projects going on? One on Irving, one on 43rd, one on Lawton."

Next caller is from MEDA (I missed their name) and supports the project.

Next caller supports the project. They've worked as a case manager for seven years and know how long it takes for people to be housed. Affordable housing improves mental health, builds community, and allows seniors to age in place.

Next caller lives in District 7. Family lost their home when they were 16 due to a $1000 rent increase. They support the project.

Next caller supports the project. They have experienced homelessness, and it's important that SF invests in affordable housing.

Next caller works for SFUSD. Unaffordability of housing is taking a toll on families and educators. So they want the Board to support the project at maximum capacity.

Next caller is a planner at @chinatowncdc. CCDC expresses enthusiastic support. Most affordable housing is built in eastern neighborhood. A recent BLA report shows that fewer than 20 affordable homes have been added to the west side in the last decade.

The board clerk says there are 30 callers in the queue.

Next caller supports the project. The average home price is > $1 million. This is no longer a working class neighborhood.

After 5 callers in support, the next caller says that the response plan is not adequate. TNDC is cutting costs to protect new residents, not neighboring homes. They say nobody opposes affordable housing. The controversy only arises when you look at *this* site.

Next caller says that the parking ratio is off, and the toxins underground will harm neighbors.

Laura Foote is calling in to say the project needs to be approved without delay, to show that we won't allow for delays not based in reality. If we show our departments that we'll allow them to get chewed up by the entitlement process, they won't be brave.

Foote: People who oppose housing worry this project is the first of many. They're right. It is the first of many.

I'm glad to see that most of the people calling in support this project! Next caller supports the project and says, "Please don't deny housing because you feel comfortable in the four walls of your home."

Next caller opposes the project because the public hasn't been able to comment on the DTSC. They also say this meeting violates Administrative Code 2(A)(5)(3).

Next caller opposes the project. "It is too high. Seven stories is too much." And due diligence will be needed to clean up the site.

Next caller says there's a problem with TNDC's Notice of Funding Availability request, because community groups were not consulted properly.

Next caller says seven floors is too big. Four floors is okay. And the parking is not enough.

Next caller lives in D7. They support the project. The explosion of people living in their cars is shameful. We need projects like this to address it. Part of the reason this project costs so much is the time it takes for approval.

Next caller is a civil engineer who works for MEDA and lives in the west side. The soil contamination is common. PCEs in the soil are not alarming and the steps in the proposal are proven to work. "This is not something to stop affordable housing from being developed."

The caller also supports the height. Families being displaced affects the character of the neighborhood more than the size of the building.

Next caller lives in the Richmond and supports the project. The caller after that represents Self-Help for the Elderly and also supports the project.
The following caller is a planning commissioner in South Bay and supports 2550 Irving.

Next caller opposes the project and says Gordon Mar needs to represent the *current* residents. The project is too big. And a report shows there's over 20% vacancy in SF's housing. The project itself is unaffordable [?????] and "scratches the back of crony organizations."

I just spoke in support of the project, as well as the caller after me.

Caller lives in District 1 and works in crime prevention policy. The support the project. "Affordable housing is a fantastic way to deter crime... I look forward to having more neighbors and a more diverse neighborhood."

The next caller says there is "irrefutable evidence" of toxins in the soil. They say that the loan should be tabled and that remediation needs to occur.

Next caller supports the project. We have a shovel-ready project next to transit, and that will help chip away at the housing crisis.

Next caller supports the project. It has an innovative design that will reduce traffic with low levels of parking. And "100% affordable housing is good."

Next caller supports the project: "We shouldn't be building parking when our planet is building." And D4 hasn't built its fair share of housing. This project would build as much housing as was built in District 4 in the last decade.

Next caller supports the project. People always oppose housing when it's proposed next to them because they just don't want to live next to more neighbors.

Jane Natoli is calling in support. "Our actions are not meeting the scale of the problem [of the housing crisis]... We need more affordable housing throughout the west side."

Next caller lives two blocks away. Initially they supported it. Then they learned about the cost and toxins. "Why are we paying over market value for it? They say the project is shady: "No one reached out to me with a survey." Their neighbors also didn't receive a survey.

Next caller is Mick Del Rosario, calling in support, who says we need to do our part to help working families. We cannot wait any longer for affordable housing.

Next caller lives in District 4 and supports the project. "Affordable housing is a solution to combat the homelessness situation in the City." This would be the first ever family affordable housing project in the Sunset.

Next caller lives in District 8 and supports the project: The future residents of this project will have good schools and parks right and the corner, and they need affordable housing yesterday.

Next caller works for a non-profit and says this project should be built at maximum capacity.

Next caller lives in D4, opposes the project: Everybody needs a safe environment. And the parking is only 11 units for 300 people. "Even now we don't have enough parking spaces."

Next caller supports building the project without delay.

Next caller supports the project and lives in the Sunset. "The only way I'm only able to afford my apartment is because it's rent controlled." Affordable housing allows immigrants and low-income families to have a home.

Next caller is a D7 resident and supports the project: "@TNDC is an amazing developer." They can't wait to see projects like this built in district 7.

Next caller says this project is exactly what we need in the City. The Sunset has a reliably moderate climate. This project is near transit and has little parking. They're proud of this project.

Next caller lives down the street from the proposed project. They oppose "the massive size and density" because it will "overwhelm the existing neighborhood." The public should be allowed to comment on the remediation report before the loan is approved.

Caller: The neighobrhood residents here in the Sunset have proposed an alternative project which would create more affordable housing.

For context, this "plan" includes remediating 48 homes and turning them into fourplexes, but still spending $90M+. It's... ridiculous.

Next caller opposes the project: The fact that the people in D4 are incurring fatal health issues and that is not being investigated is a huge and immoral issue.

Next caller lives in District 5 and supports the developer: There are way too few affordable housing units in the City. Every new affordable housing building has a lottery for residence w/ thousands of applicants.

Next caller lives/works in D1 and supports the project. Through non-profit work they have seen the crisis. This project is a great solution to the growing crisis the west side is facing. They urge the Board to approve the loan.

Next caller says they're calling on behalf of 100 families to strongly oppose the project. "Seven stories is too high." And the budget costs $1M/unit, coming from Prop A tax dollars. That money should be spent more wisely. The appraisal says this land is best to build 75 units.

Next caller was born in the Richmond and works for the City. They strongly support the affordable housing project, and it should not be delayed.

Next caller lives in D1 and supports funding the loan.

Next caller lives close the site, but has a question about who's eligible to live here. They say a lot of teachers and workers won't be qualified. B/c of a large percentage of unhoused residents, seniors won't be allowed. This project needs to be inclusive.

Next caller: "If you look at the rendering, I haven't heard a single architect say, 'that looks good.'" The Planning Dept has been made aware the general plan amendment was improperly referred. "It's completely out of scale and jarring in appearance."

Next caller says we'll need to upzone most of the west side. More housing needs to be built near jobs and transit—in San Francisco.

The next caller is speaking Cantonese [I think], so I'm unable to tell what they're saying. Although I did hear them say "TNDC" and "community engagement."

Interpreter: The resolution lacks transparency. We weren't notified at all. Most of the Irving St merchants oppose the resolution. And 800 residents oppose as well. We think our supervisor doesn't represent our voice and the TNDC didn't do good community outreach.

Next caller owns the building across the street from 2550 Irving. "The way it will be built will be hugely offensive to the building because it will cut off some of the light and cause a lot of problem."

Landowner continues: Nobody is against affordable housing. But if you're putting money on the table for a loan, why do it when there's 100% certainty that there's litigation to follow?

Lorraine Petty of Senior and Disability Action says we need to build this project as fast as possible. The objections can be resolved and should not be allowed to delay the project.

Mike Chen in District 2 supports the project. People making minimum wage can qualify for this project. This project will help SF affirmatively further fair housing. It's good to have affordable housing in high resource neighborhoods.

Next caller lives a few blocks away from the site, says there's a "lack of diligence" and a "lack of community interaction as well." And there's no design presented, so we could be stuck with a huge white elephant at the end of this.

Next caller: There's no reason to approve this loan today, because the purchase time can be extended. And it violates the general plan.

Next caller lives btwn Irving/Judah and wants the project reduced to four stories and more parking spots added. A larger project would lead to more congestion.

Anastasia Yovanopoulos with SF Tenants Union is calling in support and hopes that it will move forward. [Very short comment lol]

Next caller says the project should be approved. Many of the people opposed are calling Supervisor Mar a communist. If the loan is not approved, it says those comments are more important.

Next caller is also a Cantonese speaker. Interpreter, translating, says many of these callers are from outside District 4. TNDC hasn't listened to neighbors on the street.

Next caller: "TNDC wants to buy contaminated property and build on it without clearing it up."

Next caller: "PYATOK designed a brilliant project in Palo Alto called Professorville." But TNDC doesn't do that. They mute neighbors in Zoom meetings with them.

That was the last public comment.

We're back to committee discussion.

Gordon Mar: "I've been very clear about my support for this project.... I campaigned on bringing affordable housing to the Sunset... But getting the details right is extremely important."

Mar says the loan is only to acquire the site and most of the details are still to be finalized, based on the financing plan.

Mar: Regarding environmental oversight, "transparency and process matter... I do have reservations to approve the loan ahead of" DTSC's approval of the remediation plan. "I believe it would be prudent to postpone approval of the loan" until after the response plan is approved.

Mar: We've received many emails that the project is contentious. I believe it's possible to build consensus and take steps to bring the neighborhood together. TNDC will need to work more closely with neighbors and must improve community engagement.

Mar: We must go above the formal requirements of SB 35 and get public engagement to be good neigbors. I have a set of amendments I'd to present, and then make a motion to continue this item until the DTSC oversight process is complete.

Mar says he emailed the committee the amendments, including several "whereas" and "resolved" clauses. One of the "whereas" clauses includes the intent for the City to acquire the site, and another is stating intent to house those living in SROs.

Another her clause Mar wants to add is about finding balance between height and scale of the building and providing as much housing as possible.

Mar's amendments are accepted unanimously. Now Supervisor Safaí is making comments. He says he knows the process is like baptism by fire, just for trying to build affordable housing in a district which has built very little.

Safaí: It used to be that a janitor's salary could buy a home in District 11. Today, homes in my district go for $2M. The cost of housing is extremely out of reach, and Supervisor Mar reflects that in his comments. We need to provide affordable housing everywhere in this City.

Safaí: A 3-,4-, 5-story building [of affordable housing] does not pencil out. "But I leave the final parameters to Supervisor Mar."

Safaí on the soil report: TNDC has committed to a vapor mitigation system. It stabilizes a very local contamination. And off-site environmental conditions were studied, and all the information said the samples were below acceptable risk levels.

Safaí: "We have such a dramatic housing crisis in this City that every story we remove are homes for families." It doesn't mean we'll approve anything, but "we have to do more in terms of building affordable housing and spreading it around equitably."

Safaí: "I believe this is a good opportunity to purchase land." Negotiations with the current landowner are coming to an end. Respectfully, I think we can continue to have a conversation about what concerns were heard about today, but we don't want to jeopardize the loan.

Supervisor Haney has a question about MOHCD's portfolio in District 4.
Amy Chan: "We currently have [a 103-unit project] in the pipeline. I don't believe we have any other new construction" coming up.

Haney: "Just to be clear, in District 4, there is not any MOHCD City-sponsored new construction? In this district, it's zero?"
Amy Chan, MOHCD: "That is correct."

Haney also confirms with Chan that D4 has had 18 affordable units built in the last decade.

Haney: We know that subsidized affordable housing is a big part of the solution to letting people stay in the City. This project will mean that 98 families will be able to stay in SF and live in the Sunset. This is an opportunity we need to be celebrating.

Haney: "It's absolutely shameful" that 100% affordable housing has never been built in District 4.

Haney is going over the number of the tens of thousands of multi-family housing units, including affordable units, built in District 6 in the last decade.

Haney: "I'm not only supportive of this project but overjoyed that it is happening." Wherever you stand on this project, you should be proud that Supervisor Mar has done everything he can to hear everyone's voices.

Haney: Having heard the responses about the fact that the loan is conditioned on DTSC, "I am going to support us moving forward with this today, although I appreciate the position of Supervisor Mar." Community engagement will continue after today.

Haney: "TNDC" has "Tenderloin" in the name, but this is a citywide affordable housing developer with an incredible reputation. The people who live in this building will add to the neighborhood and only be a benefit to the neighbors.

Supervisor Haney is turning the floor back to Supervisor Mar

Mar: "It sounds like I'm not going to get support on my motion to delay the loan" until the DTSC site plan is complete.

Mar: The fact that this site is next to single-family homes is not the City's traditional approach to developing affordable housing. But this loan will allow the site to be acquired, and the details have yet to be worked out.

Mar: "I move that we move [2550 Irving] forward to the full Board with a positive recommendation... and I ask that I be added as a co-sponsor."

The clerk is taking the roll on the motion.

Safaí: Aye
Mar: Aye
Haney: Aye

Supervisor Haney says 2550 Irving St will go to the full Board of Supervisors. There are no more items, so the meeting is adjourned.

Thanks for reading!

TLDR: NIMBYs said the housing project would be unsafe b/c of dry cleaning chemicals in the soil. Mar wanted to delay site acquisition until the state approves a cleanup plan. Safaí and Haney disagreed b/c the deal is conditioned on cleanup. Mar acquiesced. Project moves forward.