Proposition C — New Inspector General Would Fight Local Corruption

Appears in the voter information pamphlet as “Proposition C: Inspector General”

San Francisco City Hall at night.

Yesica Prado/San Francisco Public Press

See our November 2024 SF Voter Guide for a nonpartisan analysis of measures on the San Francisco ballot, for the election occurring Nov. 5, 2024. The following measure is on that ballot.


In the wake of years of FBI probes and ongoing scandals, Proposition C aims to fight corruption in San Francisco by creating a local inspector general position for investigating government fraud, waste and abuse of city resources. 

Listen to a summary of what this ballot measure would do.

Support

The measure’s supporters hope it would let San Francisco lead the effort to root out bad actors at City Hall.

“Rather than having the FBI get to the bottom of our dirty laundry, we can have our own city do it,” said Aaron Peskin, president of the Board of Supervisors, at a July public meeting. Peskin wrote the measure and is running for mayor. 

Proponents argue that the measure would improve government accountability, increasing efficiency and saving taxpayers money. Its backers include all members of the Board of Supervisors, former Controller Ed Harrington and California Assemblymember Phil Ting, among other current and former city officials. 

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Opposition

The measure’s opponents include Larry Marso, an official opponent of multiple measures on the San Francisco ballot, and Jay Donde, president of the Briones Society, a local Republican group. Marso argued that voters should fight corruption by electing better politicians, rather than by creating more bureaucracy with a new position. Donde said that because the mayor and Board of Supervisors would be involved in approving the inspector general’s appointment, that person would lack the independence to hold those officials accountable and effectively fight corruption.

Nate Horrell, legislative aide to Peskin, called the appointment model “pretty standard” and said that requiring approval by different government bodies helps ensure proper checks and balances. Horrell added that the inspector general would have budgetary independence from the mayor, because its position would be funded through the City Services Auditor.

Local groups TogetherSF Action and GrowSF also oppose the measure. Both are backed by tech and venture capital and aim to reshape local politics, in part by giving the mayor more power. Proposition C concentrates too much power in the inspector general position, TogetherSF Action has said. 

The San Francisco Democratic Party also opposes the measure. The party’s leadership shifted in March away from the political left and toward the center.

What it would do

If passed, Proposition C would create an inspector general position within the controller’s office, which oversees the city’s finances. The inspector general could lead investigations into potential violations of city law and, alongside the city services auditor, review complaints from citizens and whistleblowers. Any entity that had business with the city — including individuals, companies and nonprofits, and contractors applying for permits — could be investigated.

While the inspector general could not independently charge anyone with a crime, the office would coordinate with and refer complaints to the city attorney, district attorney, Ethics Commission and Department of Human Resources. 

The inspector general would publish reports on their investigations twice per year.

To enable this person to carry out their duties, Proposition C would empower the controller’s office to issue subpoenas to lobbyists and the various entities whom the inspector general could investigate. The controller’s office could also execute search warrants.

The controller would appoint the inspector general with sign-off from the mayor and a majority of the Board of Supervisors. 

Implementing Proposition C would cost $725,000 to $775,000 annually to cover salaries for the inspector general and two staff members, according to an analysis by City Controller Greg Wagner. The city would likely incur additional costs that varied each year, for legal services like executing subpoenas and preparing search warrants. 

History and context

At least 18 people, including city officials and private contractors, real estate brokers and construction executives, have been convicted in the last five years on charges including bribery, money laundering and fraud, Mission Local reported.

That includes Mohammed Nuru, former director of the Department of Public Works, who was sentenced to seven years in prison after pleading guilty to wire fraud. Nuru received bribes — like a $40,000 Rolex watch from a city contractor and upward of $1 million from a former Recology employee — and used the money to pay for lavish parties. 

Peskin has called the inspector general model the gold standard of municipal public integrity, saying that “San Francisco is one of the only major cities that does not [have one] and is arguably the city that needs it the most.” 

Dozens of cities and states have inspectors general, and Proposition C’s authors have cited Baltimore, Philadelphia, Chicago, New York City and Los Angeles County as models.

In Atlanta, an investigation by the Office of the Inspector General led to the firing this summer of the head of the city’s human resources department. More recently, the office has faced backlash from two city council members after investigating them for potential corruption, and officials have since created a commission to review the inspector general’s policies and procedures.

The New York City Department of Investigation, equivalent to an inspector general’s office, partnered with federal officials to investigate Mayor Eric Adams, who was recently indicted on bribery and fraud charges.

Campaign finance

As of Oct. 7, the Ethics Commission had reported no official campaign spending for or against the measure.  

Votes needed to pass

Proposition C requires a simple majority of “yes” votes to pass.


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Editor’s notes:

  • 10-10-2024: This article was corrected to accurately convey Jay Donde’s position on Proposition C.
  • 11-2-2024: In response to reader questions via our newsletter, this article was updated with information about which entities the inspector general could investigate, more details about the appointment of the inspector general and other governments with similar models.

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