One more reason to trash Frankenstein

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Feinstein pans S.F. city services
Senator sides with PG&E on public power

Chuck Finnie, Susan Sward, Chronicle Staff Writers Thursday, October 31, 2002
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Public power politics led U.S. Sen. Dianne Feinstein to take a swipe at San Francisco's ability to provide even basic civic services on the eve of a decision whether it should host 2012 Olympics.

In a "Dear Friend" letter opposing the Proposition D public power measure on the city's Nov. 5 ballot, Feinstein wrote, "San Francisco has enough trouble keeping the streets clean and safe without taking on this completely new and very complicated responsibility."

The letter from the former San Francisco mayor was printed by Pacific Gas and Electric Co.'s campaign to defeat Proposition D and mailed to voters days before the U.S. Olympic Committee's meeting in Colorado Saturday to decide whether San Francisco or New York should host the 2012 summer Olympic games.

Feinstein declined -- through a spokesman -- to answer a question about how her letter might affect the Olympics bid.

Though Feinstein's statement was intended to urge voters to oppose Proposition D, critics said her remarks constituted a broad and unfair condemnation of city workers and could hurt the Bay Area's Olympics bid.

Board of Supervisors President Tom Ammiano, a chief Proposition D backer, called the letter a low blow and said it could cause trouble for other endeavors Feinstein supports such as landing the Olympic games and bolstering the city's tourism industry.

"I think it is a cheap shot," Ammiano said. "Is she applying this same logic to the bid for the Olympics? What if our competitors or the decision makers do?"

Alan Richardson, executive director of the American Public Power Association, said, "It is very disturbing when a former mayor of a major city says she basically doesn't think public servants could be up to the task of managing a major system important to San Franciscans. For a former mayor to indict her city in this fashion is unsettling."

Feinstein, whose support for PG&E dates back at least two decades, declined to respond to the criticism of her letter.

"Sen. Feinstein feels it's important that San Franciscans come together to work for the betterment of the whole city, and to try to tackle an issue like public power at this time would be a distraction from what's needed," said her spokesman Howard Gantman.

Tony Winnicker, spokesman for the Bay Area Sports Organizing Committee, which has made the bid for the Olympics, said:

"We don't take positions on ballot initiatives. Sen. Feinstein and Supervisor Ammiano have been strong supporters of the bid, and we look forward to their continued strong support. San Francisco is a great city, and great cities have civic debates about civic issues. San Francisco continues to be the world's favorite U.S. city."

Proposition D would have San Francisco secure electricity supplies for city consumers -- a responsibility that now falls to PG&E. It also would authorize a buyout of PG&E's local distribution network, with approval of the Board of Supervisors, following a cost-benefit study and a determination by the city controller that the price wouldn't contribute to electricity rate increases.

Yes-on-D forces say the city could do a better and cheaper job than PG&E of securing supplies for San Francisco, which faces looming energy shortages.

PG&E and other Proposition D foes say that the utility has sound plans for meeting the city's future energy needs and that the measure probably would prompt higher electricity rates.

Underlying the debate over Feinstein's remarks is the question of whether San Francisco could run a public power utility efficiently.

"The city's government has a terrible record of running things," says PG&E's No on D spokesman Dave Hyams. "Hetch Hetchy (the city's water system) is falling apart, the Muni was awful for years, homelessness is worse here than anywhere else, and our police solve fewer crimes than the cops in other cities."

Jerry Jordan, executive director of the California Municipal Utilities Association, disagrees.

"The city already runs a water and power department," Jordan said, noting that the city operates three hydropower plants in the Tuolumne River basin and a system delivering that power to the Bay Area. "The technical issues really aren't that complicated."

Since the 1920s, San Francisco has sold off hydroelectric power generated by its Hetch Hetch Water and Power system, leaving local consumers to rely on

PG&E.

The administration of Mayor Willie Brown, who also opposes Proposition D, took the senator's swipe in stride.

"I don't see it as a major critique of the city, but rather an expression of where our priorities should be," said P.J. Johnston, Brown's spokesman.

Assemblywoman Carole Migden, a Proposition D backer, said she thought Feinstein had been used.

"I think it is clearly a hysterical reaction from PG&E -- but one that unfortunately bears her name," Migden said."I believe the PG&E campaign took advantage" of the senator.

Although Hyams, the No on D campaign spokesman, says Feinstein wrote the letter herself, State Sen. John Burton, another Proposition D supporter, doubts it because "Dianne has always been a booster of San Francisco."