Committee backs added city contribution for tenant improvements at Alemany site for clinic, arts space

The Budget & Finance Committee on Oct. 19 voted to recommend to the full Board of Supervisors an increased city contribution toward tenant improvements at 3545 Onondaga (the former Alemany Emergency Hospital) so that Volunteers in Medicine (doing business as Clinic by the Bay) and ArtSpan can occupy the site.

Vice Chair Ashish Safaei and department staff said the site has encountered unexpected underground conditions and power‑service coordination issues that raised construction costs since the project was first bid. Staff said the city’s contribution for tenant improvements was increased to roughly $2.12 million to finance necessary subsurface and power infrastructure work; department representatives said nonprofit tenants have raised substantial private funds for interior improvements but the city needs to cover certain capital items to complete the project.

Supervisor Chan pressed the team on prior scoping and asked when work would be completed; staff responded that PG&E/PUC engineering and transformer installation were nearly complete and estimated the remaining construction would take roughly four to five months, putting likely completion in spring 2023 but leaving open the possibility of additional change orders. The Budget and Legislative Analyst reviewed the fee and funding history and recommended approval given the funding set aside and the policy considerations noted in the report.

The committee voted unanimously to forward the amended resolution to the full board with a positive recommendation. The department said it will return if additional funding or contract adjustments are needed as final engineering and bids are reconciled.