The ordinance allows the City to lease a property at 3055-3061 16th Street to Dolores Street Community Services for $1 per year to provide Permanent Supportive Housing for formerly homeless and low-income households. It also exempts the property from certain contracting requirements while ensuring compliance with prevailing wage laws.
Ordinance 1) approving and authorizing the Director of Property and the Executive Director of the Department of Homelessness and Supportive Housing (“HSH”) to enter into a Lease and Property Management Agreement (“Agreement”) with Dolores Street Community Services to lease, operate, and maintain the real property and residential improvements at 3055-3061 16th Street (“Property”) for an initial five-year term to commence upon the first day of the month following the effective date of this Ordinance with one five-year option to extend, and base rent of $1 per year with no annual rent increases, and for net property management and operating costs to be paid by the City in a total five-year amount not to exceed $7,147,000; 2) determining, in accordance with Administrative Code, Section 23.33, that the below market rent payable under the Agreement will serve a public purpose, by providing Permanent Supportive Housing for formerly homeless and low-income households; 3) adopting findings that the Property is “exempt surplus land” under the California Surplus Land Act; 4) exempting the Property from contracting requirements in Administrative Code, Chapter 6, but requiring compliance with the prevailing wage and apprenticeship requirements of Administrative Code, Section 23.61; 5) authorizing the Director of Property and the Executive Director of HSH to make certain modifications to the Agreement and take certain actions in furtherance of the Agreement and this Ordinance, as defined herein; 6) ratifying all prior actions taken by any City employee or official with respect to the Agreement; and 7) affirming the Planning Department’s determination under the California Environmental Quality Act, and adopting the Planning Department’s findings that the Agreement is consistent with the General Plan, and the eight priority policies of Planning Code, Section 101.1.
How it got here
The resolution allows the Department of Homelessness and Supportive Housing to use up to $7.48 million in state grant funds to acquire a property at 3055-3061 16th Street for Permanent Supportive Housing aimed at Transitional Aged Youth, with operations supported through June 2026. It also commits approximately $1.6 million in matching funds for capital costs and ensures compliance with planning regulations.
The resolution approves the acquisition of a property at 3055-3061 16th Street for $5.715 million to support homeless housing initiatives and authorizes the Department of Homelessness and Supportive Housing to apply for state funding to assist with the purchase. It also confirms that the project complies with environmental regulations and city planning policies.