Dispute over Millbrae’s La Quinta Inn continues 

The hotels, he said, are a key measure meant to help the county reach its goal of functional zero which means homelessness would be rare, brief and never chronic. Some of the hotels have been turned into temporary housing — sites meant to house people until more stable housing can be found — while others have become permanent housing. 

“If we ever hope to reach functional zero in the county we need more housing, and here’s the opportunity to have 100 units in six months rather than the 8 years it would take to build,” Callagy said. “It’s like winning a lotto ticket and these people will become community members in Millbrae, working in Millbrae, shopping in Millbrae, going to church in Millbrae, becoming part of the fabric of Millbrae and I think that’s lost on people right now.” 

Push back

But Millbrae residents have raised concerns about the potential purchase of the La Quinta Inn since news about negotiations broke in June. Opposition has grown since then with city officials holding a press conference Friday rallying against the county’s plans. 

Mayor Ann Schneider raised a number of issues with the county’s plan in a phone interview after the press conference ranging from what she said was a lack of transparency and communication to budgetary issues only the city will feel. 

Schneider said she was not contacted by the county before news about the potential purchase spread in the community and argued a better process would have been to loop city officials in on the discussion earlier on. 

And if supervisors are to approve a purchasing contract, she said about $600,000 worth of hotel tax revenue will disappear from the city’s already limited budget of about $39 million. The hit would be hard for the city, she said, given that it will be the second hotel to be replaced by a housing project. The El Rancho Inn is also slated to be replaced by a 384-unit housing development. And the city’s limited business community is still recovering from the pandemic, she said. 

Also adding budget strains are the number of government sites, many tax exempt, sitting on viable land on which the city could build including the San Francisco International Airport and Caltrain and BART stations. 

Schneider also pushed back on claims the city is resistant to helping vulnerable populations, noting the city spends nearly $1 million annually to help connect unhoused people often kicked off at the Millbrae BART stop with assistance. 

“The county can say ‘we can’t afford it but Millbrae can afford it,’ all the while making us look bad,” Schneider said, noting the council is slated to discuss potentially legislative avenues for addressing the county’s plans during a meeting this Tuesday, July 25. “If it had been collaborative, above board and happening months ago we would have trust. I have zero trust in the county now. … We have a population that is mad as hell.” 

Pushing forward

Callagy said the county followed the same process it has for all hotels it sought to purchase. Officials reached out to the city manager to arrange a meeting and discuss the issue and also spoke with councilmembers. It’s unclear how residents became aware of the matter before it could be discussed during a closed session meeting with the Board of Supervisors, Callagy said, noting the county began receiving petitions before hand, but said that news breaking wasn’t the county’s fault. 

Callagy also noted the county has offered to pay the city $600,000 in the first year and to fund the deployment of an extra deputy and clinician in the city for two and a half years, a value of about $600,000 annually. The increased police presence, he said, would not be in response to the new tenants but would instead answer a request from city officials who argued more support was needed. 

And Callagy said the county is committed to properly maintaining the site in partnership with a nonprofit as done with other similar hotel conversions. If purchased, La Quinta Inn would be managed by Episcopal Community Services of San Francisco. 

“We’re not going away. We’re the County of San Mateo and we’ll ultimately be responsible for property if we obtain it. We’re going to be there working with the council and community if there’s anything they need to address,” Callagy said, adding that he’s also promised to establish an advisory committee that would meet monthly to discuss the operation of the site. This is a good deal the county would benefit from and those who are seeking affordable housing will benefit from. After this is operational I think it’s going to be a nonissue.” 

But Schneider said the county’s offer is inadequate and argued that if officials really wanted to help the city meet housing goals, they’d offer the city more grants through Measure K, a half-cent sales tax, or support two housing projects with a total of 480 units that have already been entitled but need funding. 

“The country treats us like we’re stupid little children,” Scheider said. “What I hear is Millbrae is only good to help others and not to take care of our own, and that’s how the county has treated us.”

Note to readers: This story has been updated to clarify the closing date for the El Rancho Inn. The hotel is expected to remain open for the next year. 

sierra@smdailyjournal.com

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