Mayor Newsom Announces $1 Billion in Capital Investments for Job Creation

The funds will be submitted as part of the enterprise department budgets submitted on May 1, 2009

04/23/09 - Mayor Newsom today announced that San Francisco’s enterprise departments plan for over $1 billion for infrastructure projects that are already underway or will begin in the coming year, which will create or preserve thousands of jobs. These investments will be in addition to hundreds of millions in federal stimulus funding the City expects to receive during the coming year.

"As San Francisco faces tough choices, the city's enterprise departments are helping stimulate the economy, improve infrastructure, and create jobs in San Francisco," said Mayor Newsom. "Moving forward, it’s imperative that city departments continue to address and preserve our vital infrastructure, because it will help determine the fate and future of our city and the region."

The Mayor will issue his proposed budget for enterprise departments on May 1. The enterprise departments of the City and County of San Francisco include the San Francisco International Airport (SFO), the Municipal Transportation Agency (MTA), the Public Utilities Commission (PUC) and the Port of San Francisco (Port). Enterprise departments do not receive money from the City’s General Fund. Much of their funding will center on infrastructure related projects with particular focus on economic recovery and job creation.

The MTA: The federal stimulus package provides an initial allocation of $67M to the MTA, which is the largest transit agency allocation in the region. It will be used to fund a dozen "shovel ready" projects designed to rehabilitate, update and renew transit vehicles, facilities and vital systems as well as to improve customer convenience features. In addition to the federal stimulus funding, the SFMTA's 10-year capital plan includes over 300 projects. MTA plans to spend approximately $335M on infrastructure projects during FY 2010, creating and retaining an estimated 10,000 jobs.

The Port: The Port has $161 million worth of new capital projects that will get underway in 2009. Those projects will create 1,161 jobs and will also yield future economic returns by revitalizing our waterfront. Upcoming projects include: construction of the new Cruise Terminal; redevelopment of Pies 19 or 23; the Backlands/Eco-Industrial Park; the Brannan Street Wharf Park; Blue-Greenway Parks; Pier 43.5 Promenade Park; Dilapidated Pile and Wharf Removal; and Pier 50 Repairs.

The Airport: The Airport’s budget includes $444.6 million in infrastructure projects that are currently underway or will begin in the coming year. These projects will create 3,385 jobs. During the next 5 years, the Airport plans a total of $882 million in capital projects, creating 6,360 jobs. Upcoming airport capital projects include:

Terminal 2/Boarding Area D Renovation Project: $ 365.7 million; 2,758 total jobs
Explosive Detection Systems Infrastructure Project: $17.3 million; 40 total jobs
Runway 28R-10L Overlay and Reconstruction Project: $16.5 million; 90 total jobs
Pre-Conditioned Air Project: $6.7 million; 32 total jobs
Energy Efficiency Projects (Partnership with Public Utilities Commission): $37.6 million; 271 total jobs
Roadway Viaduct Improvement Project; 194 total jobs
The PUC: Over the next 10 years, the PUC will create 63,525 jobs through infrastructure projects. Over the next five years, the $4.4 billion Water System Improvement Program alone is estimated to create 28,000 jobs and 10.4 million "craft hours" for electricians, plumbers, laborers, heavy equipment operators and other building and construction trades.

The Sewer System Master Plan involves projects to rebuild the PUC’s sewer system and treatment plants and solar energy and renewable power projects. This will create an additional 35,000 jobs between now and 2019.

The PUC and the Mayor's office are working together to aggressively pursue federal stimulus monies for shovel-ready clean water, renewable power and wastewater projects. So far, San Francisco expects to receive $7.7 million in energy efficiency block grants.