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Harry G. Britt, 40, a homosexual auditor, was named yesterday by San Francisco Mayor Dianne Feinstein to replace Harvey Milk, slain city supervisor (councilman). Mrs. Feinstein stressed that Milk's seat on the board of supervisors was "not a gay seat.” She added: "It's a myth that gay people cannot represent straight people or women, the elderly or the youth. The fact that he (Britt) is gay is secondary. The fact that he is a good human being is primary.” Milk, one of the nation's few avowed homosexual political figures, was gunned down Nov. 27 in City Hall, along with Mayor George Moscone. Former Supervisor Dan White has been charged in the shootings. Estimates are that one-seventh of San Francisco's 660,000 residents are homosexual.