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tv   [untitled]    January 3, 2011 8:00pm-8:30pm PDT

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meals with a focus on nutrition. regarding the preservation of the interior of the boat house, i thought the commission was set for preservation. instead it seems to be for transformation. regarding the annual. revenues offered by burress and myself, we're guaranteed $75,000 more than the ortega enterprises. that is to say or take that offers guarantees of $140,000, compared with two other $15,000 by burress and myself. therefore, greater annual revenues. -- compared with $215,000 by burress and myself. it would be more money for san francisco, the committee, and the city, rather than going to
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new mexico, home of the ortega enterprise. it therefore, it seems to me if we would have been chosen, the city would be guaranteed to $75,000 more than the ortega enterprises, plus it would stay local rather than going out of state to mexico, there for helping the economy of the city and the citizens. don't ignore the economic needs of the city and its citizens. will this commission respect local concerns and wishes or go over to corporate interests? democracy or hypocrisy? >> thank you. >> joan, jennifer, jocelyn, and joey. >> good evening. i hope everybody is doing ok. i want to basically say since we're talking about the lease,
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and that is all you are saying, myself as a private citizen, basically you read my letter. you know what i think about the lease. the other thing is i am standing here, but ray did not stay here. awe think the lease is good for basically the parks. there you go. >> thank you very much. >> next speaker, please? >> hi, my name is kathy. i would like to read this letter. dear president, stow lake is in desperate need of a renovation. that is easy to see. i walked there all the time but never by a single thing. i cannot think of anything better than to go there for
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coffee. buying popcorn just does not cut it, even if historic. euna the benefits of organic food. -- you know the benefits of organic foods. as a huge part advocate, as you to approve this zoellick project. thank you. >> good evening. my name is kevin campbell. i am only 26 and originally from seattle, so i cannot claim any deep historical ties to stow lake. i really enjoyed golden gate park. it feels like the voices of the people who live directly around the like are overshadowing those of us -- are over shedding those of us who live around the like. at that don't see how making huge improvements to a site with
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deep commitments to the environment as a bad thing. i don't see how bringing more people to park is bad. i don't see how bringing new people to the park is bad. i urge you to move forward. thank you. >> david, patty, richard, james, henry, time yet ortega. it -- tanya ortega. >> good evening. my name is mark. from talking to the ortegas, i like their passion and what they want to do to work with the community. the way of preserving the integrity and the history of the building -- i think it is great. i am in favor of it.
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it is a place that will be new and serves the community. everything i have heard them say is they want to do things consistent with the community and work with the community. i think it is great. thank you. >> thank you. >> i will just repeat what i said earlier. once again, this decision to sign this lease may have been farmed the land tax. there is no discussion in your calendar item about ceqa or this review. if they initiate a landmark designation, as staff indicated they will treat it as a landmark for the moment anyway, that is an historic research that would trigger a full eir, which would significantly delay or change the basis upon which you have negotiated this matter.
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i don't support changing the nature of the boat house operation. i would encourage you to reject this proposed lease and do something different. thank you. >> thank you. >> my name is patty. i just have to say a few things. i cannot believe that a family that has run a business for 65 years is being forced out by a corporation. we are in the same situation, not necessarily with the ortega family, but we are fighting for our business to sustain for a future generation. we were fortunate enough to win that big it to sustain that lease another 10 years. -- we were fortunate enough to win that bid to sustain that
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least another 10 years. i remember playland. i remember still like the way that it was with the boats and the boat house with the hoist. i don't think we need another restaurant. this gentleman said something, that the cost, for $60,000, it would be the cost of a gardener. i think a family that has run a business 65 years is worth more than $65,000 in revenue. thank you. it [applause] >> next speaker, please? >> my name is richard. i am a native san francisco. i have been going to stow lake since i was a child. now my five kids out and grandkids i take there. if you have ever experienced any time there at all, and has a special charm that you only get with time. it is a special place, and it is
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one of the few places i could still take my kids and grandkids and enjoy the day and not have to mortgage the house to pay for it. it is one of the few places left that i know of in the park that still has that charm that you just cannot buy or build or duplicate. i just wanted to express that. thank you. >> thank you. >> next speaker, please? >> good evening. the one at stow lake is a gem. it has been unfortunately neglected. when i have friends visiting from overseas, i always take them to the other location. i just treasure the gifts they
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have over there. honestly, i am confident that you will take a family to restore this facility with elegance we will all be proud of. i urge you to approve this lease. thank you. >> next speaker. >> good evening, commissioners. my name is it time at ortega. my job for my family's company is to engage the local committee to insure that we form a solid, long-lasting community partnerships. i come here on behalf of ortega enterprises. our goal is to build a network of partners from local businesses to neighborhood associations and nonprofit organizations. we are acutely aware of the importance of stow lake. one of our goals is to make community corner where partners can benefit from a boat house. we are committed to retaining
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the historical nature of the boat house and food suppliers and local businesses, making many community partnerships. we want to become part of your community and we hope that you will approve our lease further so that we can proceed to make the historic but house more attractive as a golden gate park destination -- but the historic but house more attractive as a golden gate park destination. >> next speakers, please? >> the commission actually approved a srow lake rfq that says the department has no capital funds for this facility. the company proposal be put out saying there are no funds available and then all of a sudden there are funds available? the lease states as is without
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-- with all faults. if you dig deeper, it says the city is responsible for allada -- for all ada upgrades. they will also provide a financing plan. seismic upgrades will more than likely be mandated when changing the use to public occupancy. and, nick, it does not say all new boats, it says no new or as new boats. i encourage everybody listening to call in your supervisor to stop this lease from being approved. unless the commission takes the right approach and stops it themselves. there are many errors and this lease and many things overlooked. >> thank you. >> next speaker, please? >> my name as maggie.
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i am a san francisco resident. at the san francisco commissionaires bureau is in full support of this. the wooden boat house has undergone very few renovation since 1956. that needs a paint job, mold is growing, the building interior has become damaged. insuring this building is adequately restored requires a new lessee. the ortega family has been selected and i am full support of it. >> next speaker, please? >> commissioners, i will use an extra minute. you will be pleased with this. >> go ahead and start. we will grant the extra minute
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if it sounds interesting. >> he told me to tell you that is a waste of time since you already made up your mind and this whole process has been a mess. what i would like to say this house sad is that our state playground has been turned into a battleground. for the direction of migration, i extend an invitation to join me in silent meditation. peace in our hearts, peace and the parks. >> thank you.
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>> thank you. >> that was kind of nice. >> good evening. my name is james. i'm a resident of san francisco. my concern is primarily, what is the fiscal impact to the city? we are already short of cash. is the city in any way obligated to pick up the tab for any of the upgrades or retrofits to the boat house? i was scared to death at the hall of justice for about six years. i know that ada expenses are extremely expensive and they get more expensive as the project goes on. my question is, is the commission aware of any cost that could possibly have to be picked up by the city?
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>> hello, commissioners. today i want to focus on finances in my brief time. basically, i'm talking about the least. staff has this been going on this. they keep comparing the least 20 years ago to the proposal that we put in this year. the proposal before you guarantees a minimum rent of 140,000 less per year. are guaranteed rent was going to be $215,000 per year. after factoring in the escalations, the difference over the term of the contract would be just over $2 million in guaranteed rent, averaging out to about $100,000 per year according to the $60,000 per partner. that is quite a few partners.
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there are also dramatic differences in the percentage of front that we have offered. the lease you are considering requires the or take up only needs to pay 33% of boat rentals. we had offered 36%. they only have to pay 10% of food sales. we offered to pay 27%, three times higher, and we had the full service cafe they talk about. it was not limited staff. they offered to pay 7.5% on merchandise. we offered 27%. basically, what you are doing by accepting these low or rats, you are sending a clear message to the city administration that you have sufficient funds in your budget, and as you go forward next year with the new budget trying to get limited resources available from the city, but this is going to come back and haunt you.
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the city will look at recreation and park and say here they go, the gave up $2 million on this lease from the 67-year concession air, rigid concessionaire, and it sends a clear message. a storelly, -- historic lee, this is a boat house. i also have a letter here that think your behalf. i just want to put this on the record. >> thank you. >> would anyone else like to comment on this item? if so, please come forward now. >> good evening. i hope you understand i have a couple of friends who gave me a couple minutes. i should be given five minutes. i defer to your authority. one minute. mr. chairman, i am a native san
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franciscan. i have lived here my entire life, raised four kids. colgan gate park was one of the primary places we went out as a family. i think it is an embarrassment to have the concessionary out there basically doing nothing to give back to the community. golden gate park is the crown jewel of the system, and i think this is a world-class city that deserves an international tourist destination, better than the one we have out there. it is an embarrassment. every time i look at what they have on east bay and come back here, i am embarrassed and ashamed. this is not an heirloom to be handed to family members, this is about the international community coming to san francisco. i commend the staff. they have done due diligence.
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this process has been fair to everybody and we deserve something better at stow lake. thank you, commissioners. >> thank you. >> the next speaker? >> good evening. my name is ted. i also want to commend you for the work that has been done to get to this point. i guess i need to say i am a recent native of san francisco. but you have a contract in front of you that i think has gone through the normal channels. it looks like a solid contract, and the important part of this is it is really straightforward. the ortega family has negotiated this lease that is really looking forward. it cannot accept this least at this point is to do nothing, -- to not accept this least at this point is to do nothing and move
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backwards. the road around stow lake is atrocious. it is rotted, bobbie, multiple repairs, it is awful. why you are at it, fix that road, please. thank you. >> thank you. >> next speaker, please? >> i just wanted to hear both sides of the story and i wanted to hear what the ortega family had to say to the citizens of san francisco. everybody who has a restoral like emblem on them is reading or rehearsed. they are all from the ortega family. i think the ortega family is making a big mistake. i walk around the lake. i have walked around the lake for 30 years. these are not people who will spend money.
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they are elderly. they walk their dog. they sit. some young people come with strollers, purchase popcorn, feed the ducks. the people who rent the boats were at the boats on the weekend on a sunny day. when the tourists come, they covered the summertime. in the summertime, stow lake is fogged. they think they're going to make a lot of money, but that concession come even with the cafe, will not make money all year round. it will make money september, october. during the week during when i walk it, it is mainly the older people sitting on the benches with their dogs. it is a quiet place. where the money is being brought in is from down below, or the bikes are rented.
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take the bicycles away, what is going to happen? there is also not enough parking. >> thank you. >> next speaker, please? >> hello again, commissioners. christine hall. i will make you very happy by talking about the lease itself. i have a number of questions that have not been addressed and i have not had a chance to pose because something that has not been mentioned at the last committee meeting -- at the last committee meeting it degraded into a tumultuous meeting where there was enormous confusion. i never got to ask a number of questions that i have. these are matters on which the lease is completely silent. i hope that you will be able to
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discuss these points at all for the committee some assurance about things such as night the lighting, hours of operation, and strangely there is nothing and of these about the proposed hours, alcohol use, which would make a huge difference in people's ability to enjoy the place quietly, bird feeding restrictions, music in particular. are you going to allow music? which would be very disruptive. i find it very concerning and alarming that the lease mentions nothing about these critical issues, and i hope that you will take care to include some attention. thank you. >> thank you. >> the next speaker, please? >> good evening. " my dad started the stow lake concession 67 years ago and i
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will address the lease itself, as you requested. when it was approved on august 19, there was no. and at least. it was absent that the silent currie -- it was absolutely silent. the lease has a number of problems. having been involved 61 years myself, every lease for about last 30 years i negotiated, i think i understand what it should have in it. there are a bunch of sleepers in there. it a lot of promotion is made on the note ortega unisex bathroom. hidden in the lease is that you are paying for that bathroom. you may not know that credit is in the least. at your insurance risk manager is wrong. we have carried watercraft insurance. >> i need more time.
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we have carried watercraft insurance 67 years. it is a separate endorsement. we have had different brokers over the years who said we had to have it. it is expensive. and if you want that operation to run without it, remember, you have exposure also because you are the next layer after the insurance, $1 million, has been used up. the most important thing, but me get to rent credit nick mentioned in the first year that stow lake would pay $153,000 and ortega would pay $200,000. that is not true at all. stow lake offered $215,000 minimum. there has been a lot of spin, but it has not been on the table. it has been ignored.
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ortega offered $140,000. stow lake, but dollars215,000. -- still like, $215,000. those numbers are indexed. the last 20 years, we have had 2.73% cpi. with our national debt today, 3% average over the next 20 years as conservative. that ends up at over 8 $2 million differential on the minimum rent. inow, your staff has mentioned that the ortegas will succeed at the $140,000, 200 in the first
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year. if they believe that projection -- and i believe projections are nothing more than marketing tools, look at the bay bridge -- but if they really believe they will have those numbers, why not guarantee it? stow lake is willing to guarantee that $215,000. we have a 67-year track record of paying the rent. we're not newcomers in town. so i think that you have a real need to let -- to look at the economics and study that four page document that shows a lot of the warts that are sitting inside of that lease. you wore this fiduciaries. that building is your responsibility, that concession is your responsibility, and if you put out the least that i read, you will regret it,
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because it is full holes. thank you. [applause] >> thank you. >> next speaker, please? >> good evening, commissioners. first, respectfully, the 115,000 they offered is a canard. i will offer $315,000 under the same terms and conditions. however, that would be bad for the community and bad for san francisco. but if that is what the city once, we will raise it $100,000. that is a canard. aside from that, i think you. thank you very much, and i would like to submit this long list of people who say we represent truth, justice, and the american way, environmental organizations
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and that sort of thing. >> thank you. >> is there any other public comment on this item, please? if there is anyone else, please come forward now. >> good evening, commissioners. i have a variety of comments. >> is there a market of trading minutes out there i am not aware of? >> absolutely. >> go ahead. >> i sat through these meetings. i am surprised, there were only a couple of commissioners there who were interested in landmark status. i think what the staff has presented is not quite accurate. second, you have a letter from the golden gate audubon