David Chiu San Francisco Examiner mayoral candidate questionnaire

1. Please explain your campaign platform in 20 words or less. I will keep San Francisco moving in the right direction by bringing people together to get things done. 2. Please list your votes on the local November ballot measures School Bonds Yes Road Repaving and Street Paving Bonds Yes Pension Reform: Lee supported version Yes Adachi Initiative No Amending Initiative Ordinances and Policy Declaration Yes Campaign Consultant Disclosures Yes School District Student Assignment System No 3. What is the worst budgetary problem in San Francisco and how will you address it? Over the past decade, San Francisco has experienced significant structural budget deficits due to short-term budget planning. To address these long-term fiscal challenges, in 2009, I was proud to be the chief sponsor of Proposition A, a successful budget reform ballot measure that instituted long-term fiscal planning. Prop A now requires a two-year balanced budget requirement, five-year financial forecasting, and future, unexpected revenue surpluses to be saved until the next recession. Based on Prop A, San Franciscos first five-year financial plan released this year shows that revenue growth will be vastly outpaced by increasing costs, driven largely by growth in retiree pension and health care liabilities. This course is simply not sustainable, which is why I partnered with Mayor Ed Lee and labor leaders to develop the consensus pension reform measure that will be put to voters this fall. This measure will save The City up to $1 billion over the next 10 years all while preserving a dignified retirement for our workforce. Passage of this measure is one of the biggest steps we can take toward remedying our long-term budget problems, and I will be actively supporting and campaigning for it through the fall. If the measure fails, whether or not I am elected mayor, I will head right back to the negotiating table with these stakeholders to try to reach another deal that will achieve the goals we all agree on and can win the approval of the voters. This problem must be solved and cannot be put off any longer. 4. What are your plans to attract and retain businesses in San Francisco? As a mayoral candidate who founded and ran a business, creating jobs and retaining businesses as we transition out of the Great Recession will be my top priority. To reverse the trend of San Francisco becoming the bedroom community for Silicon Valley, we need to compete for the next online, biotech, and green technology companies and the jobs

that come with them by fostering innovation right here in our city. Thats why I helped to champion legislation that will keep Twitter in San Francisco, providing an anchor tenant for revitalized Mid-Market and Tenderloin neighborhoods. Its also why I worked to craft legislation to eliminate the stock options tax on start-ups that otherwise would leave San Francisco just as they are about to expand their workforces. We also need to do more to make it easier to start, build and grow small businesses in our city. As a supervisor, Ive eliminated dozens of fees nickling and diming local businesses - money thats better used to hire employees and increase productivity - but there is even more red tape to be cut. We should be providing incentives for businesses of all sizes to hire now, which is why I proudly support the JobsNow2 program that provides subsidies to employers who employ San Franciscans. And I believe that we should be looking at a tax system that doesnt penalize businesses small and large for creating jobs here in San Francisco, which is why I have been working for years on replacing our regressive payroll tax with a tax on gross receipts. 5. Do you support San Francisco giving tax breaks to businesses that agree to locate in economically distressed areas such as the Tenderloin district or Mid-market area? I am the only mayoral candidate who was a primary champion of the Central Market Payroll Tax Exclusion Zone and was proud to help secure its passage. This policy will keep one of the premier tech companies in the world headquartered San Francisco and attract businesses, small and large, to revitalize the neighborhoods that have been plagued by shuttered windows and chained doors for years. The Central Market Payroll Tax Exclusive Zone is extremely targeted, applying only to companies that create new net jobs, and according to our city economists projections, would benefit our citys general fund, by retaining direct tax revenue from companies that would otherwise leave San Francisco and attracting new businesses to the area. Any tax exemption programs I would support in the future would need to live up to similar standards: they must be targeted, address a strategic opportunity, be revenue neutral or positive, benefit the community, and be governed by appropriate oversight. 6. What proposals do you have for creating job growth in The City? Creating jobs and fostering economic development has been my top priority as a supervisor and will continue to be so as mayor. In the aftermath of the Great Recession, I have spoken to hundreds of workers struggling to hang on - unsure of where their next paycheck will come from, or if it will come at all. I want to protect the jobs of today while making sure the jobs of tomorrow are created right here in San Francisco. I am proud to have helped to bring billions of dollars in economic activity and thousands of jobs to the city through projects like the Hunters Point Shipyard, Parkmerced, Treasure Island, Central Subway and the Americas Cup, and to have sponsored several pieces of legislation to ensure that more of our citys business goes to local firms with local workers. So many of the other issues that we care

about health, safety, family security, education must rest on a foundation of economic stability. There are 6 broad strategies for job creation that I will employ: Create an Environment for Small Businesses to Flourish by consolidating fees and permitting processes, increasing the number of City contracts awarded to local small businesses, and increasing access to loan programs that enable businesses to expand. Support High-Growth Industries, not just in the technology sectors, but in artisanal manufacturing, social enterprise, and other industries that create opportunities for people without a college degree and who have barriers to employment. Ensure Access to Career Pathways For All San Franciscans by aggressively implementing and enforcing the local hire ordinance, strengthening partnerships between business and education institutions, and addressing barriers that prevent individuals from accessing workforce services and employment. Reform our Business Tax by replacing the payroll tax with a gross receipts tax that is more equitable and does not disincentivize hiring. Strengthen our Neighborhood Commercial Corridors by increasing investment in physical infrastructure (e.g., T-Third Street Muni line, parklets, streetscape improvements); highlighting and expanding local institutions; and expanding support for existing neighborhood economic development programs. Protect Workers from Abuse by strengthening our Office of Labor Standards Enforcement, and connecting employees with information about their rights and benefits.

7. Do you support San Franciscos policy of requiring contractors who bid on large public projects to guarantee that a significant percentage (at least 20%) of the work will be performed by city residents? Yes, I supported the percentage requirement for city contractors to hire local employees. As a Small Business Commissioner before I was elected to public office, I learned that most city contracts are awarded to non-San Francisco businesses and not to businesses that reflect our citys diversity. As supervisor, I have passed legislation to tilt the contracting playing field in some areas toward more diverse, local contractors. If elected mayor, I would support greater reform in The Citys contracting process to ensure that contracts are awarded appropriately. 8. Over the past decade, growth in the salary and benefits of city employees has forced the city to reduce services in a variety of areas. Are city employees overpaid? Are benefits too generous? If so, what can be done about this? I do think that in recent years, there has been a growth of middle and upper management throughout city government, and we need to make sure that our city government focuses on rank-and-file workers who are delivering basic city services. In some areas, our city

employees are paid disproportionately to their counterparts in our Bay Area counties, and we need to consider salary parity in such instances. Regarding pension and health care benefits, I certainly agree that we need to better control these looming liabilities, and thus worked for several months this year with Supervisor Sean Elsbernd, Mayor Ed Lee, business and labor leaders to develop a comprehensive, consensus pension reform measure that will be put to voters this fall. This measure will save The City up to $1 billion over the next 10 years all while preserving a dignified retirement for our workforce. As described in my answer to Question #3, passage of this measure is one of the biggest steps we can take toward remedying our long-term budget problems, and I will be actively supporting and campaigning for it through the fall. 9. The state could soon allow cities and counties to add more local taxes. What additional taxes, if any, would you propose for San Francisco? While we need to do everything we can to create jobs, since a growing economy will increase city revenues, we also need to look at new sources of revenue. The size of our recent budget deficits have meant that we should not only rely on service cuts to achieve budgetary balance. With Mayor Lee and many of my colleagues, I am supporting a halfcent sales tax for the ballot this November to replace the 1 cent rollback of the sales tax at the state level. The Board of Supervisors just unanimously decided to send this measure to the voters. For the November 2012 ballot, I support and have advocated for a reform of the business tax and a return to pre-2003 Vehicle License Fee levels. Both will likely be general taxes requiring majority approval. 10. What should be done to make Muni more efficient? What changes should be made to address the MTAs annual operating deficit? I do not own a car and often depend on Muni to get around The City, so I know first hand the challenges of late, crowded, and slow-moving buses, light-rail vehicles and cable cars. In the recent era of fare increases and reduced service, I have pushed successfully to restore Muni service cuts and crafted a reform package to require performance audits, explore governance challenges, and establish written work order agreements. That being said, Muni is not working as it should for San Francisco, and all San Franciscans know this all too well. Muni would absolutely be a priority for me as mayor, and I believe I would be more committed to a world-class transportation system than any mayor in recent history. Our beleaguered Muni system connects San Franciscans to jobs and schools, and public transportation is central to our economic development. When Muni fails, our city fails. The problems of funding are real for Muni. The recession saw revenues plummet for transportation agencies throughout the Bay Area. I support new revenue for the MTA and Muni, but the agency also has to get its management and labor houses in order. Over the past years, I have led the fight at the Board of Supervisors to ensure adequate Muni funding, and would continue to do so as mayor. I would also continue to be a leader in supporting a restoration of the Vehicle License Fee to the levels before Gov. Arnold

Schwarzenegger reversed the fee that had been in place for decades; this item alone could generate more than $50 million per year. Fortunately, San Francisco has a plan to improve Muni reliability and travel times: implementation of the MTAs Transit Effectiveness Project (TEP) would go a long way toward helping us fulfill our Charters Transit First mandate. We have a real opportunity to improving speed, reliability, and capacity on the Muni rapid network routes through downtown, as called out in the TEP. Unfortunately, the TEP has languished. I support accelerating the implementation of the recommendations in the TEP to achieve 10 to 30 percent time travel savings, dramatic operating cost savings and reliability increases on each line. Specific improvements would include bus stop consolidation, bus prioritization at traffic signals, proof of payment and ticket machines to speed boarding and permit all-door boarding on the busiest lines, and bus bulb-outs to reduce traffic delays and improve accessibility and passenger comfort. I support more transit-only lanes for rail and bus. Through the TEP, the MTA should develop a plan for converting light-rail and bus lines to low-floor vehicles to increase accessibility and speed boarding. The MTA must prioritize capital funding toward essential maintenance and capital improvements that enhance reliability, safety and access, including but not limited to shops and maintenance facilities, track and wires and electrical substations, train control and vehicle locators. 11. Homelessness still seems to be the foremost topic on the minds of voters. What's your plan to get people off the streets, especially when they refuse help? Unfortunately, our citys homeless debate often swings between the ideological pendulum of a law-and-order approach that criminalizes behavior associated with homelessness (sitting and lying on a sidewalk, public urination, aggressive panhandling), versus a liberally social approach of providing services to our homeless. The two sides rarely acknowledge how they can work in tandem. As a former criminal prosecutor who has seen the benefits of using a carrot-and-stick approach, I believe that law enforcement can work to properly incent a homeless person to take advantage of good social services, supportive housing, alcohol and drug treatment, job training, and mental health services. As a supporter of San Franciscos Community Justice Center and a former judgearbitrator of the Lower Polk community court, I would support the continued integration of these dual approaches. 12. In 2010, The City amended its Police Code to prohibit sitting or lying on a public sidewalk in San Francisco between 7 a.m. and 11 p.m., with certain exceptions. Do you support this policy? I did not support the sit-lie law because there are better approaches to the underlying issues targeted by the law, and because I did not think the law would make a significant impact on the quality of life in our neighborhoods. The lack of impact of the sit-lie ordinance has been anecdotally confirmed in recent months by feedback from residents throughout The City and in the press.

12. Do you support the Parkmerced and CMPC developments as currently proposed? I was the critical vote in favor of the Parkmerced development, which I voted for because it is the right decision for the resident tenants, for the larger neighborhood and for San Francisco as a whole. As part of the project, I made changes to address the concerns raised by some Parkmerced tenants, to ensure the right balance between protecting existing tenants while providing a tremendous opportunity to add much-needed housing and community improvements to the west side of The City. I support building a new hospital at Cathedral Hill, but it must be built the right way. I support the mayors efforts to negotiate a Development Agreement and efforts by community stakeholders to negotiate a Community Benefits Agreement. This model of community engagement proved successful with the Hunters Point Shipyard project and should be applied to CPMC. 13. Do you support increasing the number of permits to allow the conversion of rental properties into condos? As long as we also develop new affordable housing and increase our rental housing stock, I would consider a broader compromise on condo conversions that would help owners who have been waiting for the lottery for years. I would not support increasing condo conversions without broader policy solutions that address the lack of affordable housing and the diminishing rental housing stock in San Francisco. 14. Some people in San Francisco think that all tenants should be protected by rent control, regardless of the tenants income or wealth. Other people in San Francisco think that tenants should be protected by rent control only if they are lower or middle class, and cannot afford to pay market-level rents. What is your opinion on this issue? While means-testing for rent control sounds like a fair policy to help lower- or middleclass tenants, it would create the perverse incentives for landlords to hold out to rent to wealthier tenants rather than to rent to all tenants. I do not support undermining rent control which would push lower- and middle-class tenants out of San Francisco. 15. In 2009, San Francisco began turning over undocumented youths arrested for felonies to federal immigration authorities for possible deportation. The Board of Supervisors subsequently directed The City not to turn over undocumented youths unless they have been convicted of a felony, rather than simply arrested. What is your opinion on this issue? As a former criminal prosecutor who knows firsthand the importance of building trust between law enforcement and immigrant communities, I have been a strong supporter of San Franciscos status as a Sanctuary City, including ensuring the undocumented students are not deported without due process. I have always and consistently opposed using local law enforcement officials to enforce federal immigration law.

16. More than 5,000 children have left San Francisco over the last decade. What's your plan to keep families living in San Francisco? In addition to the disturbing trend of family flight, too often these days, I hear from San Franciscans who arent sure if they have a place in our city anymore. Families who have no choice but to move because they don't have access to good jobs, schools, childcare or parks. Tenants fighting evictions or homeowners fighting foreclosures. Whether it is day laborers from the Mission, African-Americans from the Bayview, Chinese seniors in public housing, or families in SROs living on less than $10,000 a year, if were going to succeed as a city, we need to make sure people of diverse backgrounds can live here. This will take much effort in many areas. First, we need to expand quality, accessible childcare, early education and elder care options for all families. I believe that city government can help provide adequate funding for childcare and help connect families with community-based organizations that provide these services. Second, we need to improve our public schools. We simply cannot tolerate schools that are failing our children, or continue to have families flee our city because of them. I assisted with the passage of the last school parcel tax, which increased teacher salaries and makes infrastructure improvements to San Franciscos schools. While the mayor does not directly manage the SF Unified School District, City College or SF State, I am committed to engaging teachers, parents and students in crafting my education priorities for San Francisco. I am proud to have received the endorsements of former Board of Education Presidents Norman Yee, Mark Sanchez and Eric Mar. Third, we need to invest more in open spaces and parks, as well as make neighborhoods more family friendly. I helped to pass the last bond measure to invest in our San Franciscos declining parks, and have worked to see that the monies are well-spent. As past chair of Lower Polk Neighbors, I have shown my deep commitment to making our neighborhoods cleaner and safer, a commitment that has continued in my work as Board President. Fourth, we need to focus on improving Muni. Many San Franciscans rely on Muni to get to work to support their families, and many children take the bus to school. We have to understand that a late bus is not just a late bus. A late bus means economic hazard for a parent - getting to work late generates uncertainty and heightens the potential for dismissal. Lastly, we need to build more affordable housing. As the past chair of the one of our citys largest affordable housing organizations, I have worked and will continue to work on increasing our citys affordable housing stock for years to come. 17. What are your plans to curb gang violence in The City? As a former criminal prosecutor and judge-arbitrator for a neighborhood community court, I know that public safety requires extensive collaboration between our police department, district attorney, court system, probation and social service programs that can

prevent crimes in the first place. No single strategy will solve the problems of gang violence, but there are several things we can do to make San Franciscans more secure. First, I believe strongly in community policing, and will make it a cornerstone of our citys public safety strategy as mayor. That means promoting formal and informal mechanisms for residents to collaborate with the police department, and supporting beat patrol officers to build effective relationships. Second, good data analysis is crucial to effective policing. The SFPD should continue to integrate the CompStat model into its everyday policing, and we need to implement our JUSTIS program to share data between law enforcement agencies, particularly concerning gang activity. Third, the SFPD must continue to implement ongoing reforms and modernization. Additionally, with many police officers retiring, we need trained professionals to replenish the ranks. In this years budget, I supported funding for a new Police Academy class because its critical for long-term public safety. Fourth, while gang injunctions can be one tool in law enforcements arsenal to curb gang violence, as the former president of the Youth Leadership Institute, I believe we must also invest in after-school programs, programs for at-risk youth, truancy programs, youth employment and other programs to address the root causes of youth violence.