This week, the Senate approved Senate Bill 1545 (DeSaulnier) with a strong bipartisan vote of 30-2. SB 1545 would prohibit the expenditure of any additional public funds on the relocation of the Metropolitan Transportation Commission headquarters until after an audit is completed by the State Auditor and all issues raised in that audit (if any) are resolved.
“Legislative Counsel’s very strong opinion, as well as the Senate’s overwhelming vote in support of SB 1545 today, should send a clear message to MTC,” said Senator Mark DeSaulnier (D-Concord). “I call on MTC, yet again, to stop risking millions of dollars of taxpayer money and cease spending any additional funds on its headquarters. I also ask them to engage in discussions on the most prudent way to sell the building and protect taxpayer dollars.”
On August 24, 2011, the Joint Legislative Audit Committee unanimously approved a request from DeSaulnier for the State Auditor to audit the proposed move of MTC’s headquarters. The audit is focused in part on whether it is appropriate for MTC to use toll payer money to fund the purchase and improvements of the office building. The audit is scheduled to be completed in June.
SB 1545, an urgency measure which would take effect immediately upon signature of the Governor, would apply to MTC, the Bay Area Toll Authority, and to the Bay Area Headquarters Authority (BAHA). BAHA was created by MTC to make all decisions related to the move of the MTC headquarters.
Last December, BAHA voted to spend $1,000,000 for “architectural and engineering services” for the new building. Additionally, BAHA approved another $140,000 annually for “property management services.” BAHA has already spent $93 million to acquire the building, an old post office at 390 Main Street in San Francisco. All of these decisions were made even though the audit is pending.
On May 4, 2012, Legislative Counsel Diane Boyer-Vine opined that the “purchase would exceed the statutory authority of BATA and MTC, and would be an impermissible use of bridge toll revenues.” The Legislative Counsel opinion is attached.