Birdseye view of San Francisco, CA

BACKGROUND

Date Established: June 1990

Date Plan Amended: October 1997

Plan Amendment Approved by SOMPAC: March 2005

Plan Amendment Approved by the San Francisco Redevelopment Agency: October 2005

Plan Amendment Adopted by the Board of Supervisors: December 2005

Plan Amendment Signed by the Mayor: December 2005

The 68.81acre Project Area is located in the central city area of San Francisco. Its focus is the Sixth Street corridor, a mixed-use community located south of Market Street up to Harrison Street, which is characterized by a prevalence of older commercial and residential buildings, including many single room occupancy ("SRO") residential hotels and several commercial and light industrial users.

The Project Area contains approximately 423 parcels and 381 buildings. Some parcels have more than one building, and approximately 47 parcels function as parking lots, storage lots, vacant lots or have buildings currently in some phase of construction. According to results of a 2002 field survey, more than half (53%) of the land use, not including streets, in the Project Area is residential. This includes detached and attached housing units , SRO residential hotels, and live/work units. More than one -third (38%) of the land use is commercial, including land uses such as tourist hotels and motels, offices, and retail stores. The remaining land uses, less than ten percent (9%), comprise all other land use categories: parking lots, public/institutional uses (schools, recreation centers, churches, etc.), industrial, warehouse, and vacant lots.

The Board of Supervisors adopted the South of Market Earthquake Recovery Project's Redevelopment Plan on June 11, 1990, in response to the Loma Prieta Earthquake in October 1989. Under the Community Redevelopment Financial Assistance and Disaster Project Law provisions of the CRL, the redevelopment plan was adopted solely for the purposes of repairing, restoring, and/or economic development assistance to neighborhood-serving businesses and related establishments. 

In an effort to expand the revitalization efforts in the earthquake recovery project area to properties not directly affected by the earthquake, the Agency as been working to amend the existing plan. Since the Agency contemplated that the Plan Amendment would potentially result in the relocation or displacement of low-and-moderate-income households, the San Francisco Board of Supervisors adopted the "Articles of Formation for a Redevelopment Project Area Committee for the South of Market Redevelopment Project" on March 28, 1997. The Project Area Committee ("PAC") election was held on April 24, 1997. The Agency has been working closely with the PAC on the Plan Amendment. The PAC approved the Plan Amendment March 2005.

The Plan Amendment seeks to enhance the Agency's role in providing affordable housing opportunities, increasing opportunities for community service facilities to meet the demands of a growing and diverse residential population, and implementing revitalization efforts on Sixth Street to encourage a mixed-use, neighborhood-serving business district. The PAC endorsed the Plan Amendment at its March 28, 2005 meeting. The Agency Commission endorsed the Plan Amendment at its October 4, 2005 meeting. The Planning Commission and the San Francisco Board of Supervisors adopted the Plan Amendment December 2005, in accordance with the CRL.

After receiving the recommendation of the Planning Commission, approval by the Agency Commission, and adoption by the Board of Supervisors, the Plan Amendment will:

• Alleviate the existence and inhibit recurrence of the physical and economic blighting conditions described in the Preliminary Report.

• Achieve redevelopment goals and objectives for revitalizing the Proposed Project Area.

• Assist in furthering the goals and objectives of the City's General Plan.

The Plan Amendment would enhance the ability of the Agency to implement a comprehensive program to alleviate the adverse conditions of blight in the Project Area. The Plan Amendment would convert the earthquake recovery Project Area to a standard redevelopment project area, expand the boundaries of the existing earthquake recovery Project Area to a standard redevelopment project area, expand the boundaries of the existing earthquake recovery Project Area, establish goals and objectives to alleviate physical and economic conditions of blight, authorize the Agency's use of eminent domain in certain limited circumstances, and increase the tax increment and bonded indebtedness caps and the time limits by which the Agency can incur and retire tax increment financing to fund its program in the Project Area. The main elements anticipated to implement the Plan Amendment's redevelopment program are outlined below, organized according to the goals and objectives contained in the Plan Amendment.

• Improve residential conditions and encourage residential activity

• Improve economic conditions and encourage business activity

• Promote area quality of life and social services

• Address infrastructure and transportation needs

• Assure appropriate neighborhood land uses and design

STATUTORY AUTHORITY FOR PROJECT AREA COMMITTEES

A Project Area Committee ("PAC") is required to be formed when there are a substantial number of low or moderate income residents in the Project Area  and the proposed redevelopment plan either includes the authority of eminent domain or calls for public improvements that may result in the displacement of residents. (Health & Safety Code § 33385.) The legislative body calls upon the residents and existing community organizations to form the PAC. Members of the PAC are not appointed by the legislative body. Rather, they are elected representatives of residential owner occupants, residential tenants, business owners, and existing community organizations. (Health & Safety Code § 33385, subd. (c). )

The PAC is required to review the proposed plan and make a report to the legislative body. If the PAC recommends against approval of the redevelopment plan, the legislative body must adopt the plan by a two-thirds vote rather than by a simple majority. (Health & Safety Code § 33366.)

The PAC continues to play a role after the adoption of the Redevelopment Plan for three years from the date of adoption, subject to one year extensions. The PAC is required to review and may report on any amendments to the plan that add new territory. (Health & Safety Code § 33385.5.) Further, the Agency is required to consult with, and obtain the advice of the PAC, "...concerning those policy matters which deal with the planning and provision of residential facilities or replacement housing for those to be displaced by project activities," and "...consult with the committee
on other policy matters which affect the residents of the project area." (Health & Safety Code § 33386.)

ARTICLES OF FORMATION OF A PROJECT AREA COMMITTEE
FOR THE SOUTH OF MARKET REDEVELOPMENT PROJECT

Section 1.    PURPOSE

The purpose of these ARTICLES OF FORMATION OF A PROJECT AREA COMMITTEE FOR THE SOUTH OF MARKET REDEVELOPMENT PROJECT ("the PAC Articles") is to implement the provisions of Section 33386(b) of the California Community Development Law (Health and Safety Code Section 33000 et. seq.) ("Redevelopment Law") requiring procedures to be established for the formation of a project area committee ("PAC") when a PAC is required under Section 33385(a) or 33385.3 of the Redevelopment Law.  The PAC Articles shall be endorsed by resolution of the Board of Supervisors and shall be implemented pursuant to the Redevelopment Law and the Procedures for the Election of Members of Project Area Committees in the City and County of San Francisco ("election Procedures") as adopted by the Board of Supervisors of the City and County of San Francisco.

Section 2.    DEFINITIONS

All terms shall have the meanings set forth below or when first used. Capitalized terms not defined herein shall have the meanings set forth in the Election procedures.

    2.1 - Project

                      "Project" means the South of Market Redevelopment Project which is proposed to be adopted pursuant to the Community Redevelopment Law of the State of California (Health and Safety Code Section 33000 et. seq.) and for which a preliminary has been adopted by the Planning Commission of the City and County of San Francisco (the "Preliminary Plan").

    2.2 - Project Area

                       "Project Area" means the area selected and designated by the Planning Commission of the City and County of San Francisco, as the project area described in the Preliminary Plan.

    2.3 - Project Area Committee

                       "Project Area Committee" or "PAC," means the Project Area Committee formed in accordance with these PAC Articles for the South of Market Project Area.

Section 3.    COMPOSITION OF THE PAC

    3.1 - The PAC shall be composed of members from the following categories:
(a) Residential Owner-Occupants;
(b) Residential Tenants;
(c) Business Owners; and representatives of Community Organizations.

    3.2 - The total membership of the PAC shall be twenty one (21), divided among the membership categories as follows:

            (a) Two (2) members shall be Residential Owner-Occupants (exclusive of a Single Room Occupancy Hotel (SRO) resident owner who may run in the business owner category) elected to serve on the Pac.

            (b) Seven (7) members shall be Residential Tenants elected to serve on the Pac; of which four (4) will be SRO tenants and three (3) will be other (non-SRO) tenants.

            (c) Six (6) members shall be representatives of Business Owners elected to serve on the PAC, of which two (2) will be SRO business owners, one (1) will be another (non-SRO) residential business owner, one (1) will be a Sixth Street retail commercial business owner, one (1) will be a service or light industrial owner, and one (1) will be a wholesale business owner.

            (d) Six (6) members shall be representatives of Community Organizations appointed to serve on the PAC, of which at least one (1) will represent either youth, teen or family organizations.  The Community Organizations shall be elected pursuant to the Election        Procedures.  Each of the Community Organizations elected to serve on the PAC shall appoint one person, 18 years of age or older, to serve as the representative PAC member for the organization. The names of all persons so appointed shall be submitted to the
Agency promptly following the election.

Section 4.    FORMATION OF THE PAC

    4.1 -The Agency shall publicize the opportunity to serve on the PAC by providing written notice by first
            class mail to all residents, businesses and community organizations, including religious institutions
            and other non profit organizations in the Project Area at least thirty (30) days prior to the formation
            of the PAC.

    4.2 -The Agency shall provide notice of all meetings or hearings relative to the formation and selection of
            the PAC in the same manner as required in Section 601 of the PAC Election Procedures for notice
            of the election and pre-election informational meetings.

    4.3 -At least one public meeting shall be held to explain the establishment of, functions of and
            opportunities to serve on the PAC. Notice of the public meeting(s) shall be published and mailed
            in the manner set forth in Section 4.2 above.

    4.4 -At the public meeting(s) copies of the following shall be distributed:
            a) The PAC Election Procedures;
            b) The Articles of Formation for the Project Area;
            c) Chapter 4, Article 6.5 of the Community Redevelopment Law (Health and Safety Code
                Section 33385 et. seq.) (governing project area committees);
            d) Section 33347.5 of the Health and Safety Code (report of the project area committee);
            e) Section 33366 of the Health and Safety Code (vote required to adopt the redevelopment plan); and
            f) The Preliminary Plan for the Project Area.

    4.5 -The election of PAC members shall be conducted in accordance with the Election Procedures. 

  Section 5.     PAC OPERATIONS

    5.1 -The PAC shall be deemed to exist as of the date the Board of Supervisors enacts a resolution
            confirming the election of PAC members as provided in the Election Procedures.

    5.2 -The members of the PAC will serve without compensation.

    5.3 -The PAC members shall comply with the provisions of the Political Reform Act (Government Code
            Section 81000 et. seq.). 

    5.4 -The PAC shall conduct its meetings in conformity with the Ralph M. Brown Act, California
            Government Code Section 54950 et. seq.). 

    5.5 -The PAC shall adopt by-laws governing its administration and operations; such by-laws shall be
            consistent with these PAC Articles.

Section 6.     AMENDMENT OF THESE PAC ARTICLES

The Board of Supervisors may amend these PAC Articles by resolution after a public hearing pursuant to the Redevelopment Law.

Goals and Objectives South of Market Project Area Committee