SEC. 9.118. CONTRACT AND LEASE LIMITATIONS.
§ 9.118
City departments must get Board of Supervisors approval for high-value or long-term contracts, leases, and real property sales. Contracts generating $1 million or more in revenue, or lasting over 10 years with $10 million in costs, require approval; real property leases of 10+ years or $1 million+ revenue require approval; Port Commission maritime leases are exempt.
When a city department wants to sign a contract or lease that involves a lot of money or a long commitment, it usually has to get the Board of Supervisors to approve it first. For contracts, this means deals that bring in $1 million or more for the city, or deals costing the city $10 million or more and lasting over 10 years. For property leases, it means leases lasting 10 years or longer, or bringing in $1 million or more. The same goes for buying or selling city property. However, the Port Commission can lease property for maritime purposes without this approval.
- Complex:The section contains multiple overlapping thresholds (revenue, expenditure, term length, modification impacts) across three subsections with varied conditions, making it dense and cross-referential.
AI-generated · claude-haiku-4-5 · informational only, not legal advice.
Official text
(a) Unless otherwise provided for in this Charter, contracts entered into by a department, board or commission having anticipated revenue to the City and County of one million dollars or more, or the modification, amendment or termination of any contract which when entered into had anticipated revenue of one million dollars or more, shall be subject to approval of the Board of Supervisors by resolution.
(b) Unless otherwise provided for in this Charter, and with the exception of construction contracts entered into by the City and County, any other contracts or agreements entered into by a department, board or commission having a term in excess of ten years, or requiring anticipated expenditures by the City and County of ten million dollars, or the modification or amendments to such contract or agreement having an impact of more than $500,000 shall be subject to approval of the Board of Supervisors by resolution.
(c) Unless otherwise provided for in this Charter, any lease of real property for a period of ten or more years, including options to renew, or having anticipated revenue to the City and County of one million dollars or more; the modification, amendment or termination of any lease, which when entered into was for a period of ten or more years, including options to renew, or had anticipated revenue to the City and County of one million dollars or more; and any sale or other transfer of real property owned by the City and County, shall first be approved by resolution of the Board of Supervisors. Leases of property under the jurisdiction of the Port Commission for maritime use shall be exempt from the requirements of this section.
(Amended November 1997)