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Indybay Feature

Supes Challenge Health Department's No-Bid, Anti-Union Contract

by Randy Shaw via Beyond Chron
Tuesday, June 26, 2007 : Board President Aaron Peskin is challenging a $5.2 million no-bid contract that the San Francisco Department of Health (DPH) is seeking to hand to a non-union, non-organizable entity that it created to manage its supportive housing sites. DPH's action undermines Mayor Newsom's repeated highlighting of the importance of competitive bidding, and contradicts the spirit of the mayor's 2004 order requiring department heads to identify "all possible opportunities" to bid out sole source contracts before they are renewed.
In this case, DPH made a backroom deal with an entity -- a property management company it created known as "DISH" -- that is a project of the Tides Center, and whose workers cannot vote to join a union. SEIU has filed a formal grievance against the DPH contract, and Supervisor Peskin will submit a resolution at today's Board meeting requiring DPH to issue a formal Request for Proposal (RFP) for the contract.

From his first days as a San Francisco Supervisor, Gavin Newsom preached the gospel of competitive bidding and avoiding sole-source contracts. Newsom promoted this agenda upon becoming mayor in 2004, and soon even contracts long held by groups were put up for bid.

But the San Francisco DPH appears to care little about the Mayor's policies regarding bidding and contracting out city services to non-union contractors. DPH has violated both the Mayor's policy and the city's master contract with SEIU by entering into a backroom $5.2 million deal with an unincorporated association known as DISH, that it created to manage its supportive housing. DPH's action has aroused opposition on the Board of Supervisors, and President Aaron Peskin is urging his colleagues to pass a resolution requiring that the DISH deal go out for competitive bidding.

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