Court removes final hurdle for San Francisco's public kiosk program.

SAN FRANCISCO--(BUSINESS WIRE)--Jan. 8, 1996--A San Francisco Superior court judge has turned back a challenge of Union Square merchants and confirmed the legality of the City and County of San Francisco's approval process for the public service kiosks which support San Francisco's public toilet program.

A group of Union Square merchants who had opposed the presence of these facilities in Union Square from the beginning, filed a legal petition claiming that additional permitting and approvals were necessary.

Harry O'Brien, a partner at the San Francisco law firm of Coblentz, Cahen, McCabe & Breyer, counseled the maker of the public facilities, JCDecaux United Street Furniture Inc., throughout this approval process.

"The lawsuit was disingenuous -- the merchants were trying for a second bite at the apple, pure and simple," said O'Brien. "We are pleased that the Superior Court has validated the City's procedures, clearing the way for JCDecaux to provide this critical service."

On Aug. 1, 1994, the board of supervisors adopted a resolution authorizing the department of public works to enter into an agreement with JCDecaux to place toilets on public property in San Francisco in exchange for JCDecaux's right to place advertising kiosks on the same facilities. The contract was signed shortly thereafter and installation of the toilets and kiosks began in June 1995.

The DPW developed an elaborate approval process specifically for the installation of the public facilities. This extensive procedure ensured adequate public notice and comment by requiring that nearby property owners and businesses received notice 10 days prior to any public hearing and by requiring that a public hearing be held if protests were received. The process also allowed for the appeal of any location decision.

DPW and JCDecaux provided greater notice than that required by the DPW's approval process to ensure that the community fully participated in the project's development.

Although it was not required by the official process, DPW held public hearings even when no protests were received and met with property owners and merchant associations prior to the hearings.

On Dec. 8, 1995, San Francisco Superior Court Judge William Cahill denied the merchants' legal petition, finding that they had sufficient opportunity to be heard at the public hearings and that the approval process was appropriate.

The Court stated that the kiosks are indeed a public project from which the City "realizes direct benefits," including a percentage of the gross advertising revenue if the revenue exceeds a certain threshold.

"The first public toilet program in the United States has now been finally approved," said O'Brien. "We are pleased to see the Court confirm that the board of supervisors did the right thing on behalf of the residents, visitors and merchants of Union Square and the entire City."

CONTACT: Kamer-Singer Associates Inc.

Sheryl Wilkins, 415/512-6800