Breed picks Herrera to oversee SFPUC
Mayor London Breed nominated City Attorney Dennis Herrera on Monday to be general manager of the San Francisco Public Utilities Commission, a significant decision that will allow her to appoint someone to fill his position until the next election.
Whoever Breed appoints to the city attorney job would oversee an ongoing probe into a sweeping City Hall corruption scandal, a local investigation that Herrera launched in January 2020. That puts pressure on Breed to tap someone who’s seen as independent from her and others at City Hall.
Herrera has been a longtime fixture in San Francisco politics, winning the city attorney position six times since he was first elected in 2001. News of his potential departure shocked many in City Hall, and some members of the Board of Supervisors criticized the decision and questioned the optics of the mayor appointing the next leader of the corruption investigation.
Monday’s announcement
also made it increasingly likely that the board would call for a local election this year, which they can do due to the likely statewide recall election of Gov. Gavin Newsom. That means Breed’s appointment may have to immediately run to keep the seat — but only if they’re appointed more than 120 days before the election.
Such is the latest twist in the ongoing City Hall corruption scandal, which has led to the arrest and resignation of several city contractors and department heads and the shuffling of several public officials into new positions. Herrera launched his public corruption probe shortly before the U.S. Attorney’s Office publicly announced it had charged former Public Works Director Mohammed Nuru with fraud and lying to the FBI.
Among the city officials indicted in a separate federal probe: former SFPUC general manager Harlan Kelly, who resigned Nov. 30 after the FBI charged him with accepting bribes from a city contractor and permit consultant. If the commission approves Herrera’s appointment, he would take over that department, which has been roiled by the scandal.
If he’s shot down by the commission, Herrera would remain city attorney. But he told the Chronicle on Sunday that it’s “unlikely” he would run for reelection in 2023.
“It’s time for a new challenge for me,” Herrera said. “After several discussions (with the mayor), the prospect of putting the city’s top watchdog at the head of the PUC was appealing to both of us.”
Herrera would manage a big department — about 2,300 employees and an annual operating budget of about $700 million. He would oversee an agency with massive reach in the everyday lives of San Franciscans, managing contracts for water, power and sewer systems.
Supervisor Rafael Mandelman said Herrera is an institution in San Francisco politics, and he’s confident the mayor will appoint someone in his place that the public has “complete confidence” in. He would not comment on whether he was interested in the city attorney position.
Other supervisors — and frequent critics of the mayor — were more skeptical.
“It feels wrong,” said Supervisor Hillary Ronen. “This is the type of backdoor dealing that got us into the corruption probe in the first place, and it should be the last thing that we’re doing going forward.”
Supervisor Matt Haney said the independence of the City Attorney’s Office is “so essential, especially in the midst of an active corruption investigation.”
Breed said she nominated Herrera because of his “work ethic, guidance and support of the city.” The mayor also said recruiting someone to lead the PUC has been challenging amid the investigation, and she’s grateful that Herrera is willing to take on the role.
When asked about the optics of appointing the next person to lead the local investigation in the City Attorney’s Office, Breed said, “It is offensive to imply that someone like Dennis would take on a position like this, and not be confident in my ability to make the right decision for what is one of the most respected city attorney offices in the country.”
While the city attorney does not lead the investigation’s daytoday operations, Herrera has been the face of the local probe. His office, along with the city controller’s, has issued 24 subpoenas to various companies and nonprofits as part of the investigation.
Herrera said he’s “absolutely” confident that his successor will uphold the integrity of the investigation, and will also remain independent.
David Anderson, the former U.S. attorney for the Northern District of California who led the federal investigation into the corruption scandal, said he wouldn’t expect any leadership change to influence the investigation.
“The line attorneys who actually drive the work of the office like the City Attorney’s Office don’t roll over just because there’s a change in leadership,” he said. “Big investigations have deep roots inside these offices.”
It will still likely be several weeks before Breed can appoint anyone. The fivemember commission that oversees the SFPUC must interview Herrera, then decide whether to formally recommend him to the mayor.
While the city is not legally required to hold a local election at the same time as the statewide recall election, a majority of the Board of Supervisors can vote to call for one. On Monday, at least four supervisors said they’d be interested in doing so, particularly so that voters decide on Breed’s appointment.
Assemblymember David Chiu — whose name, along with Mandelman’s, was one of several City Hall insiders discussed as a potential city attorney pick — said he didn't have the time Monday to give the news “the consideration it deserves.”
“I love representing San Francisco in the legislature,” he said. “Throughout my career I've always considered where I can best serve the city I love, and will continue to do that.”
Meanwhile, David Campos, a former progressive supervisor and former deputy city attorney, said he would “certainly consider” running for the position this year if he’s able to.
If the city does not hold a local election this year, whoever is appointed to replace Herrera would have to run during the June 2022 midterm election.
The next city attorney will step into an office that has gained national attention for its work on cases related to climate change, gun control, samesex marriage and sanctuary cities under Herrera’s leadership. Most recently, the city attorney grabbed headlines for suing the city’s school board over what he said was a sluggish reopening plan.
Herrera would take over the Public Utilities Commission at a particularly challenging time. But he said it’s “more important than ever” for the SFPUC to have a general manager who can bring “ethical, responsible and decisive” leadership to that role.
He would take over from acting general manager Michael Carlin.
It’s unclear how much money Herrera would make in the new position. His compensation would be part of a contract negotiation if the commission confirms him. As city attorney, he made about $342,459 in 2019 in salary and benefits, according to Transparent California. Kelly made about $469,593 in salary and benefits.
Herrera said the decision to step aside from the City Attorney’s Office was incredibly difficult, and it has been an “honor and a privilege” to lead the office for nearly 20 years.
“I recognize that this is going to be a shock to some people,” he said, his voice catching. “But everybody has their time. And I think, for me, this is the right time for this move.”