South of Market Community Stabilization Fund funding

The South of Market Community Stabilization Fund began its grantmaking in 2010, at the height of the economic recession. As community-serving organizations were hit with extreme budget cuts and shortfalls from foundations and other traditional sources of funding, the Fund was able to step in and stabilize the nonprofits that were providing essential services to its priority populations. The Community Advisory Committee and the Mayor's Office of Housing and Community Development and the San Francisco Redevelopment Agency worked together to ensure the Fund was utilized to avert the worst potential impacts of the financial crisis.

Through a partnership with private developer Oz Erickson of the Emerald Fund, the Fund was also able to subsidize the construction of 49 deeply affordable rental units at a market rate development in SoMa, to be made available to individuals and families at 30% AMI. The partnership also allowed the Fund to negotiate significant community benefits related to the development including:

• Increased number of affordable units from the currently mandated 12% up to 15%, thereby increasing the number of affordable units from 39 to 49.
• Increased level of affordability for all 49 units by making them affordable to people earning 30% of Area Median Income ("AMI") instead of the currently required 60% of San Francisco Median Income.
• Funding for case management services through the Veteran's Equity Center BiSHoP program to assist more than 400 SoMa residents in applying for BMR units at the development and other affordable sites
• Creation of more than 300 union jobs
• More than 25% local hire on construction work
• A commitment of 30% local SoMa hire on all end-use jobs in connection with the project
• Funding and supportive infrastructure through Asian Neighborhood Design to provide sponsorship to SoMa residents in the CityBuild Academy
• Significant cash deposits into the Northeast Federal Credit Union to make loans available to low-income residents and families in SoMa
• Support to a local small business to operate a kiosk on the new housing site

Recently, the Fund amended its Strategic Plan to reflect the lessons learned from the first round of funding as well as the rapidly changing environment and economic climate affecting the neighborhood. This plan guided its most recent RFPs which were more targeted than the initial RFP, providing fewer grants with larger dollar investments per grant. While the Fund continues to be invested in the stability of its partner neighborhood organizations, due to its limited resources, it has streamlined its grant investing to demonstrate more meaningful and measurable outcomes while expanding its work to leverage dollars among other funders, position itself as a leader among local entities that provide resources and shape public policy, and promote infrastructure and coordination among nonprofit organizational leaders.