Lafco 2020 Year in Review            

Packet Materials

DATE: March 19, 2021 Item No. 5

LOCAL AGENCY FORMATION COMMISSION Agenda Packet Contents List

 Staff Memorandum from Bryan Goebel, Executive Officer  LAFCo 2020 Year in Review            

Completed by: Alisa Somera Date: March 12, 2021

(This list reflects the explanatory documents provided.)

San Francisco Local Agency Formation Commission City Hall 1 Dr. Carlton B. Goodlett Place, Room 409 San Francisco, CA 94102-4689 Tel. 415.554.6756 Fax. 415.554.5163

COMMISSIONERS

Cynthia Crews-Pollock, Acting Chair, Member of the Public March 19, 2021

Connie Chan TO: LAFCo Commissioners Board of Supervisors

Gordon Mar FROM: Bryan Goebel, Executive Officer Board of Supervisors

Shanti Singh SUBJECT: Item 5 _ LAFCo 2020 Year in Review Member of the Public- Alternate

The San Francisco Local Agency Formation Commission remains an important oversight and research body, contributing a number of reports in 2020 that shed light on inequities, and recommended policy steps to help address them. Bryan Goebel Executive Officer This report, released in January, highlights LAFCo’s major accomplishments in the in 2020. In its research, the LAFCo brings in a diversity of outside Inder Khalsa Legal Counsel perspectives, leveraging interns from a variety of graduate-level public policy programs and backgrounds, along with expert consultants. LAFCo is an ideal Alisa Somera venue for the study, incubation and development of challenging but popularly Clerk supported initiatives, such as the city’s community choice energy program.

Most notable in 2020 was the release of three surveys of app-based work in San Francisco, including the first representative survey of its kind in the country. These surveys, commissioned by LAFCo in 2019 and funded by private foundations, were the City’s first snapshot of this vulnerable workforce. Even though the Covid crisis cut the main representative survey short, the survey consultant team quickly regrouped, and conducted a survey assessing how the pandemic was impacting platform workers.

Like other public agencies, we shifted our focus to pursue research topics on Covid-related issues, producing a report on bank accountability, and the handling of PPP loans in San Francisco, analyzing a CPUC decision on utility disconnections, and recommending a series of steps to prevent a disconnections crisis. LAFCo research associates also completed research and recommendations to establish an e-bike rebate program for delivery workers, as well as a pilot project to determine how the City can help with the start-up of worker-owned cooperatives as alternatives to the big platform companies.

The LAFCo also completed an RFQ process for a renewable energy consultant, choosing Vanir, whose team has since produced three valuable reports on CleanPowerSF, helping to strengthen the Commission’s oversight role.

As executive officer, I’m extremely proud of the work we produced in 2020, and everyone who had a hand in it.

COMMISSIONERS

LAFCo 2020 Cynthia Crews-Pollock Acting Chair, Year in Review Member of the Public Matt Haney Board of Supervisors

Gordon Mar Board of Supervisors

San Francisco Local Agency Shanti Singh Member of the Public- Alternate Formation Commission January 2021 Bryan Goebel Executive Officer

City Hall Inder Khalsa 1 Dr. Carlton B. Goodlett Place Room 409 Legal Counsel San Francisco, CA 94102-4689 Alisa Somera T 415.554.6756 | F 415.554.5163 Clerk INTRODUCTION

The San Francisco Local Agency Formation Commission remains an important oversight and research body, contributing a number of reports in 2020 that shed light on inequities, and recommended policy steps to help address them. This report highlights LAFCo’s major accomplishments in the past year. In its research, the LAFCo brings in a diversity of outside perspectives, leveraging interns from a variety of graduate-level public policy programs and backgrounds, along with expert consultants. LAFCo is an ideal venue for the study, incubation and development of challenging but popularly supported initiatives, such as the city’s community choice energy program.

Like other public agencies, we shifted our focus to pursue research topics on Covid-related issues, producing a report on bank accountability, and the handling of PPP loans in San Francisco, analyzing a CPUC decision on utility disconnections, and recommending a series of steps to prevent a disconnections crisis later this year. LAFCo research associates also completed research and recommendations to establish an e-bike rebate program for delivery workers, as well as a pilot project to determine how the City can help with the start-up of worker-owned cooperatives as alternatives to the big platform companies, two projects that are advancing.

As executive officer, I’m extremely proud of the work we produced in 2020, and everyone who had a hand in it.

Bryan Goebel, Executive Officer

SFLAFCo JANUARY 2021 | LAFCo 2020 YEAR IN REVIEW 2 LAFCo 2020 HIGHLIGHTS

On-Demand-and-On-the-Edge: Ride- Recommendations to Address Labor hail and Delivery Workers Surveys Abuses in the On-Demand Sector

One of LAFCo’s main priorities in 2020 was to provide The LAFCo issued a set of policy recommendations in the City’s first in-depth snapshot of ride-hail and app- May to address the troubling findings in the UC Santa based delivery workers. A dearth of data—and a refusal Cruz-Jobs With Justice surveys, followed by a set of by the companies to share data—led the LAFCo in 2019 next steps. The main recommendation at the time to commission a unique, in-person, replicable survey, was that the City devote more resources to enforcing the first representative survey of “gig” workers in the existing labor laws. The other recommendations United States. In May, the survey team led by UC Santa sought to improve economic security for ride-hail Cruz Professor Chris Benner, in partnership with Jobs and delivery workers, promote accountability and With Justice and the Driver’s Seat Cooperative, released lawful operations among delivery and ride-hail the results of the main survey of 643 workers with companies, improve safety and health for ride-hail Uber, Lyft, DoorDash, Grubhub, Instacart and Shipt. It and delivery workers, and promote public health revealed a highly diverse workforce with a majority of and safety. At least two of these recommendations people of color and a significant immigrant population. are moving forward. The LAFCo has partnered with Most of the work is performed predominantly by the Department of Environment to apply for funding people for whom it is close to full-time work and their to advance an e-bike rebate program and pilot for primary source of income. Another survey assessed delivery workers. In addition, the LAFCo is helping to Covid impacts on app-based workers, who became an develop a research and pilot program to determine essential frontline workforce. That survey revealed that how the City can support the establishment of workers were largely dissatisfied with how platform worker-owned ride-hail and delivery cooperatives. companies have responded to Covid. Two-thirds reported the apps were not providing training and information on how to protect themselves and their “Locally and at the state level, we must customers. A third survey, released in October, focused hold these companies accountable for on delivery workers with DoorDash, Instacart and protecting their workers, and I am proud Amazon Flex, with similar findings about the work being of this groundbreaking study for bringing a primary source of income for most with the earnings very low after expenses. The findings underscored these issues to light.” the importance of enforcing existing labor laws and finding new ways to address the economic, safety, and — Former LAFCo Chair Sandra Lee Fewer public health concerns facing this critical workforce.

SFLAFCo JANUARY 2021 | LAFCo 2020 YEAR IN REVIEW 3 The Impact of the LAFCo- An E-bike Rebate Program for Commissioned Surveys App-based Delivery Workers of On-Demand Work In LAFCo’s recommendations to improve labor The three surveys commissioned by LAFCo proved conditions among on-demand workers, we to be a pivotal data point to help voters make an encouraged the City to explore an e-bike rebate informed decision on Proposition 22, a measure program for delivery workers. This was based on one approved by California voters which keeps app- of the survey findings that showed an encouraging based workers as independent contractors instead interest among ride-hail and delivery drivers in of employees. A link to the findings appeared in the switching from a car to an e-bike, if given an incentive. California Voter Guide. The New York Times cited USF graduate student and LAFCo research associate the findings in an editorial opposing Proposition 22. Jackson Nutt-Beers was tasked with examining best The findings were also covered or cited by Wired, practices and exploring e-bike rebate programs TechCrunch, Vice, the San Francisco Examiner and the nationally and internationally. He produced a San Francisco Chronicle, among other publications. report presented to the Commission in September Presentations were also given to a number of City that recommended the City establish a pilot e-bike departments, including the SFMTA, the Department rebate program for delivery workers. This idea is of Environment, the Planning Department and now moving forward. The LAFCo has partnered with the Transportation Authority. The work was also the Department of Environment, which will lead frequently cited on Twitter, and the findings and the effort with community partners, including GRID recommendations were presented in a webinar Alternatives and the San Francisco Bicycle Coalition, before a group of city partners belonging to the Urban the SFTMA and SFPUC. Funding is currently being Sustainability Directors Network. A $150,000 grant sought for what would be a four-year program. from the Ford Foundation, and a $30,00 grant from the Chavez Family Foundation, helped close a critical funding gap in early 2020 that allowed the survey “Now that these results are out, the work to proceed. The surveys and data are also survey will help the city to shape policy proving useful for other cities grappling with similar labor issues, and provide a replicable methodology as it relates to gig workers. What’s for representative surveys of on-demand work. become clear is that gig workers need better economic security, unemployment benefits and access to good healthcare.”

—TechCrunch

SFLAFCo JANUARY 2021 | LAFCo 2020 YEAR IN REVIEW 4 Cooperatives as an Alternative Preventing a Disconnections to ‘Gig’ Economy Platforms Crisis in San Francisco

The LAFCo recommended the City explore a ride- In November, the LAFCo issued a report on how hail and delivery cooperative as an alternative San Francisco can prevent a power disconnection to the big platform-based companies. We noted crisis during and after the COVID pandemic. Coro that San Franciscans clearly value these services, Fellow and LAFCo research associate Adiba Khan but that the companies’ business models are not was tasked with analyzing a California Public Utilities sustainable. University of San Francisco graduate decision on disconnections and taking a deeper student and LAFCo research associated Ryan Powell dive into this issue. Her report highlighted how was brought on to conduct further research. He the City’s most vulnerable utility customers are produced a report recommending the City facilitate struggling to pay their bills and facing a looming the establishment of a pilot delivery cooperative crisis as those charges pile up and their financial while outlining many of the concerns and challenges. situation worsens. While there is a moratorium This would be an opportunity for the City to lead in place barring disconnections during the the way in supporting a cooperative restructuring pandemic, there is currently no guarantee those of “gig economy” platforms and rethinking a system customers whose utility debt is rising won’t have that has exploited workers for the past decade. their power shut off when the pandemic ends. The The LAFCo is currently developing a proposal to report was presented to LAFCo Commissioners advance this recommendation, in a program that on November 20, 2020, and shared with could potentially involve multiple City departments. CleanPowerSF Executive Director Mike Hyams, who is reviewing it for potential action with his team.

Featured in TechCrunch Featured in Mindful Mobility

SFLAFCo JANUARY 2021 | LAFCo 2020 YEAR IN REVIEW 5 Completed a Request for Vanir Reports Analyzing Qualifications Process for a CleanPowerSF Renewable Energy Consultant Vanir’s first task as LAFCo’s renewable energy In July, the LAFCo successfully completed an consultant was to review CleanPowerSF’s Integrated RFQ process for a renewable energy consultant, Resource Plan, a roadmap for serving their customers’ choosing Vanir, whose team has a rich background energy demand, energy resource planning, and in renewable energy issues and working with investment over the next 20 years. The Vanir team, local governments. Vanir was brought on to led by Jenny Whitson, provided helpful feedback and support LAFCo’s oversight role of CleanPowerSF, turned a report around for the LAFCo Commission which includes evaluating all aspects of within a very short time frame. Their next report CleanPowerSF’s development, operation and objectively assessed how CleanPowerSF measures management. Vanir scored highest among a up to neighboring community choice energy total of four firms which submitted responses programs, finding that the program is doing well to the original RFQ. The LAFCo Commission in comparison, but identified a few areas that subsequently approved a one year contract with could be improved. Their team then moved on to Vanir for a not-to-exceed amount of $150,000. evaluating CleanPowerSF’s Local Renewable Energy Report, which urged the San Francisco Public Utilities Commission to develop a plan for the City to acquire and build cost effective renewable energy resources on City-owned property by 2030. Vanir’s analysis noted some inconsistencies in the report and served more as a preliminary evaluation of sites and called on the LAFCo Commission to ask CleanPowerSF to provide a more detailed plan and timeline to build out identified projects and the roll out of local and equitable programs. The Vanir team’s professionalism, expertise and combined reports have already helped LAFCo achieve its goal to strengthen oversight of CleanPowerSF.

SFLAFCo JANUARY 2021 | LAFCo 2020 YEAR IN REVIEW 6 ACKNOWLEDGMENTS

The San Francisco Local Agency Formation Commission would like to acknowledge and thank the following individuals for their valuable contributions and work in 2020.

Former Chair Sandra Lee Fewer Legislative Aide Chelsea Boilard Legislative Aide Angelina Yu

Angela Calvillo, Clerk of the Board of Supervisors Alisa Somera, LAFCo Clerk and Legislative Deputy Director, Board of Supervisors Junko Laxamana, Deputy Director, Assessing Bank Accountability: The Administration and Finance, Board of Supervisors Victoria Chow, Accountant, Board of Supervisors COVID-19 Community ‘Stress Test’ John Tze, IT Administrator, Board of Supervisors Billy Shiu, IT Administrator, Board of Supervisors Shortly after the first shelter-in-place, LAFCo Wilson Ng, Deputy Director of Operations, shifted its research on establishing a public bank, Board of Supervisors to assessing bank accountability during the Covid All the staff in the Clerk of the Board’s Office and SF Gov TV who make the LAFCo meetings happen crisis, at the direction of the Chair. We brought on Coro Fellow Cara Yi who produced a report on bank Keally McBride, Professor of Politics, University of San responses to the pandemic to identify gaps and Francisco, and the entire 2020 research methods USF vulnerabilities. Lack of bank transparency proved a graduate class big barrier in the research, and the report urged the LAFCo research associates: City take important steps to keep banks accountable Adiba Khan Dan Raile during the crisis and its aftermath. One of the main Jackson Nutt-Beers Ricky Tran findings was that only half of the City’s 46 banks Ryan Powell Lea Troeh had committed to implementing Federal Insurance Winston Parsons Cara Yi Deposit Corporation (FDIC) recommendations to LAFCo Legal counsel at Richards, Watson & Gershon: support crisis response, such as waiving ATM and Inder Khalsa Jessilyn J. Ho overdraft fees, along with late payment fees on credit Diana K. Chuang Isra Shah cards. The report’s five recommendations included The labor survey and research team: engaging with communities of color to document requests for relief and track the granting of Covid-19 Chris Benner, Professor UC Santa Cruz assistance with banks and issuing a statement of Erin Johansson, Research Director, intent to hold banks accountable for community Jobs With Justice Education Fund Kung Feng, Executive Director, accessibility, fair practices and good faith efforts in Jobs With Justice San Francisco the Covid crisis response. The recommendations and Hays Witt, Driver’s Seat Cooperative report were shared with the Office of the Treasurer Sarah Mason, graduate student, UC Santa Cruz and Tax Collector for consideration and presented Ankit Sharma, graduate student, UC Santa Cruz Yi-Chen Liu, graduate student, UC Santa Cruz to the LAFCo Commission on May 15, 2020. Andrea Prebys-Williams, Jobs With Justice San Francisco and her team of 18 surveyors Jobs with Justice San Francisco survey manager Peter Estes

The Vanir team: Jenny Whitson Rosemarie Ampil Nicole Amweg

CleanPowerSF

Mike Hyams, Director Graphics designer Michelle E. Interiano

SFLAFCo JANUARY 2021 | LAFCo 2020 YEAR IN REVIEW 7 SAN FRANCISCO LOCAL AGENCY FORMATION COMMISSION

City Hall 1 Dr. Carlton B. Goodlett Place Room 409, San Francisco, CA 94102-4689

T 415.554.6756 | F 415.554.5163