112,475 / 55.00% Yes votes ...... 92,042 / 45.00% No votes

See Also: Index of all Measures

The City's War Memorial Veterans Building, opened in 1932, is a local and national landmark. The building houses the Herbst Theatre and Green Room, which are used for public theatrical performances and cultural events. The building also houses offices and meeting rooms for veterans organizations. The building is administered by the City's War Memorial Department, which also runs the Opera House and Davies Symphony Hall. The War Memorial Veterans Building was damaged in the 1989 earthquake and does not meet current earthquake safety standards. It also does not meet current health, safety and building codes or disability access standards. Many of the building's systems # including fire, safety and electrical # are in need of repair or replacement.

The Proposal:

Proposition C would authorize the City to borrow $122,755,000 by issuing general obligation bonds to pay for repairs and improvements to the War Memorial Veterans Building.

The money would be used to:

• Repair earthquake damage;
• Strengthen the building against earthquakes;
• Upgrade building systems to meet current codes;
• Improve existing facilities; and
• Create new public arts and cultural facilities.

• Bond Redemption $ 122,755,000
• Bond Interest $ 89,671,928
• Debt Service Requirement = $ 212,426,928

It should be noted, however, that the City does not plan to issue all authorized bonds at one time; if these bonds are issued over several years, the actual effect on the tax rate would be less than the maximum amount shown above.

Also, this bond requires the War Memorial to reduce the impact to property tax payers by up to $3 million in revenues that may be raised by rental fees and other income. To the extent that these revenues are available for debt service, the impact on future taxes would be reduced.

Meaning of Voting Yes/No

A YES vote of this measure means:

If you vote "Yes," you want the City to issue $122,755,000 in general obligation bonds to repair and improve the War Memorial Veterans Building and strengthen it against earthquakes.

A NO vote of this measure means:

If you vote "No," you do not want the City to issue bonds for these purposes.

Televised Ballot Measure Discussions:

Check the SFGTV Cable Channel 26 Schedule for rebroadcasts.

Learn More About Bond Financing

Do you know the difference between Revenue bonds and General Obligation bonds?...You can.

How to Evaluate the Propositions

Decide for yourself

Note: Board amendment additions are double underlined.
Board amendment deletions are strikethrough normal.

Be it ordained by the People of the City and County of San Francisco: Section 1. A special election is hereby called and ordered to be held in the City and County of San Francisco (the "City") on Tuesday, the 5th day of November, 2002, for the purpose of submitting to the electors of the City a proposition to incur bonded indebtedness of the City for the project hereinafter described in the amount and for the purposes stated:

"VETERANS BUILDING SEISMIC SAFETY BONDS, 2002. $122,755,000 for the acquisition, rehabilitation, renovation, improvement, construction and/or reconstruction of the San Francisco War Memorial Veterans Building, and all other works, property and structures necessary or convenient for the foregoing purposes."
The special election hereby called and ordered shall be referred to herein as the "Bond Special Election."
Section 2. For purposes of this ordinance and the proposition to be voted on set forth in Section 6 hereof, "available annual revenues of the War Memorial Special Fund" shall mean those revenues on deposit, up to $3,000,000 per year, in the War Memorial Special Fund as established by Section 10.100-361 of the Administrative Code which shall be applied to reduce the amount of property tax impact.

Such resolution was passed by two-thirds or more of the Board of Supervisors and approved by the Mayor of the City (the "Mayor"). In such resolution it was recited and found that the sum of money specified is too great to be paid out of the ordinary annual income and revenue of the City in addition to the other annual expenses thereof or other funds derived from taxes levied for those purposes and will require expenditures greater than the amount allowed therefor by the annual tax levy.
The method and manner of payment of the estimated costs described herein are by the issuance of bonds of the City not exceeding the principal amount specified.
Such estimate of costs as set forth in such resolution is hereby adopted and determined to be the estimated cost of such improvements and financing, as designed to date.
Section 4. The Bond Special Election shall be held and conducted and the votes thereafter received and canvassed, and the returns thereof made and the results thereof ascertained, determined and declared as herein provided and in all particulars not herein recited such election shall be held according to the laws of the State of California and the Charter of the City (the "Charter") and any regulations adopted pursuant thereto, providing for and governing elections in the City, and the polls for such election shall be and remain open during the time required by such laws and regulations.
Section 5. The Bond Special Election is hereby consolidated with the General Election scheduled to be held in the City on Tuesday, November 5, 2002. The voting precincts, polling places and officers of election for the November 5, 2002 General Election are hereby adopted, established, designated and named, respectively, as the voting precincts, polling places and officers of election for the Bond Special Election hereby called, and reference is hereby made to the notice of election setting forth the voting precincts, polling places and officers of election for the November 5, 2002 General Election by the Director of Elections to be published in the official newspaper of the City on the date required under the laws of the State of California.
Section 6. The ballots to be used at the Bond Special Election shall be the ballots to be used at the November 5, 2002 General Election. The word limit for ballot propositions imposed by San Francisco Municipal Elections Code Section 510 is hereby waived. On the ballots to be used at the Bond Special Election, in addition to any other matter required by law to be printed thereon, shall appear the following as a separate proposition:
"VETERANS BUILDING SEISMIC SAFETY BONDS, 2002. Shall the City incur $122,755,000 of bonded indebtedness for the acquisition, rehabilitation, renovation, improvement, construction and/or reconstruction of the San Francisco War Memorial Veterans Building, and all other works, property and structures necessary or convenient for the foregoing purposes, and reduce the property tax impact by requiring the application of available annual revenues of the War Memorial Special Fund to pay the principal and redemption price of, interest on, reserve fund deposits, if any, and/or financing costs for the obligations to be authorized hereby?"
Each voter to vote in favor of the issuance of the foregoing bond proposition shall mark the ballot in the location corresponding to a "YES" vote for the proposition, and to vote against the proposition shall mark the ballot in the location corresponding to a "NO" vote for the proposition.
Section 7. If at the Bond Special Election it shall appear that two-thirds of all the voters voting on the proposition voted in favor of and authorized the incurring of bonded indebtedness for the purposes set forth in such proposition, then such proposition shall have been accepted by the electors, and bonds authorized thereby shall be issued upon the order of the Board of Supervisors. Such bonds shall bear interest at a rate not exceeding applicable legal limits.
The votes cast for and against the proposition shall be counted separately and when two-thirds of the qualified electors, voting on the proposition, vote in favor thereof, the proposition shall be deemed adopted.
Section 8. For the purpose of paying the principal and interest on the bonds, the Board of Supervisors shall, at the time of fixing the general tax levy and in the manner for such general tax levy provided, levy and collect annually each year until such bonds are paid, or until there is a sum in the Treasury of said City, or other account held on behalf of the Treasurer of said City, set apart for that purpose to meet all sums coming due for the principal and interest on the bonds, a tax sufficient to pay the annual interest on such bonds as the same becomes due and also such part of the principal thereof as shall become due before the proceeds of a tax levied at the time for making the next general tax levy can be made available for the payment of such principal.
Section 9. This ordinance shall be published in accordance with any state law requirements, and such publication shall constitute notice of the Bond Special Election and no other notice of the Bond Special Election hereby called need be given.

Section 11. Pursuant to Section 53410 of the California Government Code, the bonds shall be for the specific purpose authorized herein and the proceeds of such bonds will be applied only to the project described herein. The City will comply with the requirements of Sections 53410(c) and 53410(d) of the California Government Code.
Section 12. Pursuant to Proposition F approved by the voters of the City in November, 2001, the Veterans Building Seismic Safety Bonds are subject to, and incorporate by reference, the provisions of Article V of Chapter V of the San Francisco Administrative Code ("Proposition F Requirements"). Pursuant to Proposition F Requirements, to the extent permitted by law, one-tenth of one percent (0.1%) of the gross proceeds of the Veterans Building Seismic Safety Bonds shall be deposited in a fund established by the Controller's Office and appropriated by the Board of Supervisors at the direction of the citizen's bond oversight committee established by Proposition F Requirements to cover the costs of said committee.

APPROVED AS TO FORM:

DENNIS J. HERRERA, City Attorney

By:

THERESA ALVAREZ
Deputy City Attorney