They mean business
Why is Newsom keeping four controversial appointees to the Small Business Commission?

By Matthew Hirsch

Mayor Gavin Newsom walked a fine line during his campaign last fall, presenting himself as a candidate of change while at the same time avoiding criticism of outgoing mayor Willie Brown. Now comes the real challenge: appease the small-business community, which wants Newsom to appoint four new members to San Francisco's Small Business Commission, or continue Brown's legacy.

For Newsom to make the small-business appointments, he first has to replace four commissioners Brown installed Jan. 6, just two days before leaving office. Brown took advantage of a new law that reshaped the Small Business Commission to reappoint Nick Aiello, Dick Mak, Sal Salma, and Gwendolyn Wright, all of whom served on the commission during Brown's time as mayor (see "Willie Pulls a Daly," 01/19/04, on the Bay Guardian politics blog, dev.sfbg.com/politics).

The move irritated the backers of last year's Proposition D, which was intended to create a commission more responsive to the diverse small-business community. Beyond just being Brown cronies, three of the four reappointed commissioners have no employees, so are considered to be poor choices for a commission that will weigh in on changes to the business payroll tax.

Newsom didn't speak out against Brown's 11th-hour commission appointments at the time, but the move never sat well in small-business circles. It was "a slap in the face to the new mayor, who should have the chance to appoint his own commissioners, as well as a slap in the face to the small business community," according to Rolf Mueller, president of the San Francisco Council of District Merchant Associations.

Mueller published his opinion of Brown's "parting shot" to the small-business community in the February CDMA newsletter, which he also sent by e-mail to Newsom aide Ruby Tourk. In the e-mail, Mueller called on Newsom to appoint new commissioners. Several other merchant groups have been sending Newsom e-mails and phone messages about the commission appointments, Scott Hauge, president of Small Business Advocates, told the Bay Guardian.

"Obviously, as a small-business owner and small-business advocate, I want to make sure we've got an outstanding commission. I supported Prop. D, and I obviously would like to make my own appointments," Newsom told us. "At the same time, I don't dismiss everyone who's currently on the commission just because some other mayor appointed them."

Newsom said he's waiting for legal clarification on the status of the appointments from the City Attorney's Office before making any decisions. Deputy city attorney Cheryl Adams has told the Board of Supervisors that Brown's commission appointments were never formally submitted to the board, as the law requires, and therefore may be considered invalid. Even if the appointments are later found to be valid, none of the commissioners have fixed terms, so Newsom could replace them any time he wishes. But will he?

"I have respect for those four individuals. But that doesn't necessarily mean they would have been my first four choices on that commission. At the same time, I don't want to diminish them in their capacity ... because that would do them a disservice," Newsom told us.

The Board of Supervisors on Feb. 24 selected three neighborhood merchants to serve on the commission: Michael O'Connor, who runs the Independent nightclub in the Western Addition; David Sahagun, owner of Chevron gas stations in the Castro District and Pacific Heights; and Jordana Thigpen, who operates Mask Italia, a retail store in the Marina District.

The board also considered a request by Sup. Chris Daly to appoint Philip De Andrade, owner of Goat Hill Pizza and president of the Potrero Hill merchants' association, and Luis Granados of the Mission Economic Development Association to the commission. Daly's motion was defeated 6-4, with Sups. Michela Alioto-Pier, Bevan Dufty, Matt Gonzalez, Tony Hall, Fiona Ma, and Sophie Maxwell opposed.

Steven T. Jones contributed to this story.

E-mail Matthew Hirsch


March 3, 2004