SAN FRANCISCO — A public integrity review presented Nov. 18 by the Office of the Comptroller and a companion analysis by the Budget & Legislative Analyst found weaknesses in the city’s oversight of ‘friends of’ organizations and flagged specific risk points in the San Francisco Parks Alliance’s relationships with city departments.
The Comptroller’s audit described arrangements in which contractors and permit applicants donated to Parks Alliance subaccounts and Parks Alliance then made payments — in some cases for staff appreciation, volunteer events or reimbursements — that were not processed through the city’s standard financial and procurement systems. The audit documented large inflows to an SF Parks Alliance public‑works subaccount in the 2015–2020 period and warned the pattern could create the appearance of pay‑to‑play when donors also had ongoing contract or permit relationships with city departments.
Amanda Sabrina of the Comptroller’s Office said, "These subaccounts have operated like city accounts but were outside the city's financial systems, and that created opportunities for steering purchases and for reimbursements occurring outside city controls." The BLA’s Fred Brussell reviewed multiple existing agreements between the Parks Alliance and Recreation & Parks (including playground MOUs, the Conservatory of Flowers license, and revenue arrangements tied to the Golden Gate Park 150th anniversary) and urged stronger conflict‑of‑interest language, budget detail, and contractor‑selection rules for in‑kind services.
Vice Chair Connie Chan moved that the committee invoke its rules and issue a subpoena to the San Francisco Parks Alliance seeking a list of Recreation & Parks subaccounts at the Alliance, five years of transactions tied to those subaccounts, and the source of funds for the subaccounts. The committee voted to issue the subpoena. Chan also moved to continue accept‑and‑expend items tied to Parks Alliance grants (Rec & Park and Port items) to the call of the chair while the committee and staff obtain additional records and the subpoenaed documents are reviewed.
Parks Alliance board chair Liz Farrell told the committee the Alliance has begun implementing reforms: eliminating anonymous donations over $100 from public reporting, publishing donor lists on its website, and upgrading donor‑management tools. Farrell said one large anonymous donor that accounted for the largest anonymous block has agreed to be identified publicly.
What’s next: The committee authorized a subpoena for Parks Alliance account records and continued multiple accept‑and‑expend items pending review; the committee also asked the Comptroller and BLA to extend their review to Recreation & Parks subaccounts and to provide further detail on revenue and fee arrangements related to events such as the SkyStar observation wheel.