Committee reviews annual reports for four Community Benefit Districts and forwards items to full Board

The Government Audit and Oversight Committee heard OEWD staff and executive directors from four Community Benefit Districts on March 7, 2024 and voted unanimously to forward annual report items for Yerba Buena, Japantown, East Cut and the Tenderloin to the full Board.

OEWD CBD program director Jackie Hazelwood summarized the city’s review process. She said OEWD evaluates CBD performance using four benchmarks: comparison of current year budget to the management plan; confirmation of non-assessment revenue obligations; comparison of budget to actuals; and reporting of carryforward and designated projects. Hazelwood reminded the committee that CBDs are governed by California Streets & Highways Code §36600 and the San Francisco Business and Tax Regulations Code (Article 15).

Yerba Buena CBD (Executive Director Scott Rowitz) met all benchmarks. Rowitz highlighted service metrics for the reporting period including removing 513,000 pounds of trash, removing 10,000 instances of graffiti, and responding to more than 15,000 311 referrals routed to the CBD team. He described a regranting program that funded arts and safety projects and noted a leadership transition to his role.

OEWD said Japantown CBD met three of four benchmarks but missed benchmark 1 (budget compared to management plan) because a Block by Block contract was categorized wholly under environmental enhancements though it also provided hospitality and small-business services. OEWD recommended monitoring and suggested the CBD could request technical assistance or a management-plan amendment if the issue persists; Japantown reported a 35.53% ticket response rate in the period.

The East Cut CBD met all benchmarks and was credited with activating the interim Transbay terminal site, substantial stewardship of Salesforce Park (OEWD reported the CBD funded nearly 80% of programming and maintenance), and participation in the connected worker pilot (OEWD cited 174,311 service requests processed under the pilot program during the reporting period). East Cut Director Andrew Robinson also noted rapid residential growth and upcoming affordable housing projects.

The Tenderloin CBD met benchmarks except for an initial omission of carryforward reporting (benchmark 4), which the CBD later corrected in its FY22–23 filing. Tenderloin has a camera retrieval system (not live monitoring) that expanded significantly in the period, and the Safe Passage program transitioned from volunteer to paid staff with strong neighborhood hiring. Tenderloin Executive Director Kate Robinson described significant fundraising that augmented the assessment by approximately $5 million to support increased staffing and programs.

Committee members asked detailed questions about public-safety spending, ambassador programs and mitigation plans for construction impacts in Japantown. OEWD Deputy Director Chris Korgas clarified OEWD’s role as a neutral technical advisor—OEWD advises CBDs and flags legal constraints but does not recommend specific contractors or vendors.

Chair Dean Preston then moved to forward items 2–5 to the full Board with a positive recommendation; the committee recorded three ayes and the items were forwarded.