beginning in 2012 and all through 2013. already, other countries are trying to find out how they can schedule their practices in the bay area. you will see that going on. i have been working on jobs. all of those projects we have talked about is an indication to jobs and make sure that our business is a top priority. i want you to do the same things here but i cannot ask you to do it if i have not done my part as a mayor. my job is to make sure that businesses are here, they are growing, and we have a strong economic climate. last year, a new lease for 7500 square feet.

an unprecedented high of 14 acres in mission bay. of course, they would not have done that without the valuable contribution in building the infrastructure all through the mission day. that is why i spent friday last week partly with the governor and making sure that two things could happen. if they're not listing to the mayor's of the state, they had better listen to the senator and the congresswoman that fought very hard for treasure island, hunters point, candlestick come amid market, all of those represent the underpinnings of a great we development agency tool that we have used with incremental tax power. we are had a host in san francisco to some 500 technology companies, 74 biotechnology and life science

companies and some 200 clean technology businesses. in the past three months, -- opened up their headquarters. san francisco is home to the five top seller companies of the world. just the other day, celebrating with china sf. some 13 companies have located their offices here and sel. we celebrated even the small companies like -- who announced they are moving from their office and tripling their office space in 21 market street. in that span of two years, a

solar company tripling their office capacity, that has to tell you something. within the very first weeks of going on the job, you heard about twitter. thanks to david chew and his counsel and guidance, we all met the top three officers of twitter and would down to the offices and not only met with them but we also met with the engineers in closed-door discussions and talked to them about their commitment to being here and the reason.

then for them to tell me, 65% of their current work force are san francisco residents, 25% come to work on their bicycles every day. by the way, we love those little dedicated lanes, can you do more. we felt we could offer as an anchored to the mid market area an exemption the payroll taxes. i think, along with some other members of the board, that maybe that payroll tax is something we shouldthat is how big twister i.

-- twitter is. they have their international area. you have been reading about them. their tools are being used throughout the whole world, whether it is egypt, yemen, libya, twitter is being used around the whole world. it is critical that companies like twitter the convinced that we are welcoming them and it is also critical to us. we don't want them to become isolated again. our city is a city of innovation. people are coming here from all over the world. they're coming here to build their businesses, to surround themselves with other great new ideas and to forge a new san

francisco work force. we are home to companies that change the way we communicate, like twitter. we're also home to companies that change the way we work, like sales force. we are home to companies that change the way we listen. now, more and more, we are becoming home to the way we play. i want to announce today, it should be consistent with everything else we are doing. as hosting more and more of these on-line game creators and engineers, i want to announce one of the most exciting game companies and we will be opening up and 25,000 square foot office in san francisco as we speak.

let the games began. [applause] i just met the owners and management team. they have been here since 2006. they have chose san francisco to be their home. that is very exciting. whether it is the businesses that we have, whatever it is that we are doing in san francisco to make ourselves a successful, my tenure here will be about great communications, a unified city. one that unites all of us to make sure that we can be an engine of job creation because everywhere we go, whether it is the bay view, or the mission, or chinatown, where the rest of the city, this is all about making sure that we create jobs.

i had the privilege of finding a home here in the early 90's. as my wife and i went through months of trepidation, our kids were jumping up and down on the bed saying that we are going to disneyland. that is how they looked at san francisco. san francisco continues to be an exciting place for everyone to come. this is no less than oakland or san jose and areas, a city of great diversity, a welcoming city. i want to continue making sure that we do everything we can to make sure that you help us do all the things we wanted to add that you do our part and that we have an honest discussion with everyone here turn to of -- with

everyone here. [applause] >> thahalwelcome to jim gardner. >> having been involved in moderating this for a good few years, we saw examples from the first thing this morning that both -- that mayor's can relate

to. and they have sat down beside each other and they have sat down with each other and that was nice to see.

what did you do to reenergize oakland as a good place to do business? >> the core of the plan was to revitalize downtown and he has this famous goal and it got to about 6000 if you include the projects and they are waiting for the economy to come up. that was critical to revitalizing downtown.

san francisco as the number 1 retail city in the bay area. oakland has made an amazing investment. we have industrial areas.

>> how much will your strategy rest on luring companies from elsewhere in the bay area? you have highlighted that you are cheaper and more interesting than san francisco. >> you're referring to our pawed industry. that gets a lot of great publicity but is probably only worth a couple of million dollars in sales taxes. that is not a major thing.

it was really difficult for development. by taxing and regulating them, it became the model that most of the state has followed. if medical marijuana is illegal, it should be taxed. we are one of the first cities to tax those dispensaries. if you have a legal marijuana and dispensaries, they should be able to buy it. that is a very small part of our economic development.

obviously the tax breaks are a major part. >> do you see as the development tool of choice or was this a unique deal done in unique circumstances? >> i think it began as a unique one because we have been struggling with how to activate the mid market with many years. many of you know this is the closest thing to skid row that we have. the struggles with middle-market and talking with supervisor kim and david chu, we felt that was the appropriate tool because we had tried everything else in that district.

this is a tool that we believe will be successful. twitter management, even though -- when we compromise on the six months of exemption, that was the right thing to do for the corridor. we have invited them and we know there will be other businesses because when you walk into their offices and you know how it operates and the engineers informed us of this, that

operate in clusters. you hardly ever see an employee working alone. the applications companies are there with them. even in their current site they have a whole floor of other companies that are working with them as well. we think this will be the way to do middle-market, whether it is inappropriate tool for others, we will have to see on a case by case basis. >> he mentioned the possibility of supporting a replacement of the payroll tax. would that be a replacement of the gross receipts tax or do you have something in mind? >> we have a lot of loopholes

that we have not been able to pay attention to. we are just beginning that dialogue. the timing is that there is much more open air about it. we will be inviting people to come and give us their opinions about what can be done that is more fair or equitable and allows us to have a certain amount of revenue and at the same time it invites the growth of businesses in san francisco. you have referred to the proposal to eliminate redevelopment agencies which is an alarming fact for many of our cities. you talk about some compromise ideas a few weeks ago on redevelopment. is a compromise of any sort possible.

>> we have opened the door and began dialoguing with their staff and open the process that has, is some very 3 weeks of. the governor's office is very committed to making sure that they get the money that they need it and they still -- >> they cannot possibly get what they need out of eliminating redevelopment. they might get half of what they think that we can get. we recognize what he's trying to do both in the alignment and try to get funds to fill the $25 million gap.

we would like to help the governor understand the impact that it eliminates the redevelopment agencies around the state and there has been a huge historical commitment of federal funds whether it is clean up hunter's point or the -- on treasure island. we want to raise the money that the governor might need to plug the budget gap. at the same time, the leader in reforming the bad actors throughout the state. there are those that have not reformed and we don't want any part of their bad business. we're willing to reform. it just so happens that our redevelopment agencies are the best-performing agencies

throughout the state. finally to help create the revenue stream that the governor wants to see which is to our school districts. the diversion of moneys to redevelopment could have gone to schools. we want to create that revenue stream. there are other proposals which will modify the governor's elimination to make sure that our projects are stable and continued to be the attraction that it has been. we reminded the governor that he cannot discuss the redevelopment that was done in mission bay.

it was a brand new villages of small businesses. >> it was pretty devastating. there was so many buildings and empty lots because of the damage.

it is important that people feel like they have a problem. there was no one that would not like to give the schools more money. so many people like jobs as the number one issue. can i get a job in the city of oakland. it is unfortunate in california that jerry used to say that in

and he was campaigning for the first time, this is only -- of the budget, more than we spend on our universities. how we spend money on the criminal-justice system has to be part of the solution as well. they will be tied up in court for years.

in addition, they are forgetting the multiplier. how much we play for unemployment? how much we pay for prime? those are the factors that you have to look for. >> and do you have had back up plan for moving some of these projects forward? will the governor be successful in eliminating these agencies? >> we are doing is pretty silly things. you will see the special session where i am selling back- and-forth.

i have to protect money as a last property and the money based in town -- and the money base. there could be some strange blending not controlled by the city. >> what the worst does this open and what does this represent for each of -- what opportunities does this open and what does this represent for each of your cities? >> we started china sf a couple of years ago. they had a vision that the

future was miss a great country like china. our pictures are literally all over the country of china and they know that the bay area is home to a historic appointment. there is great excitement going on. excitement which i think will increase or even double the number of companies that would like to come over. these are places where they can create offices and pay attention to the rest of the country if not this part of the hemisphere. when i was at the lunar new year celebration, we were alerted by one of these companies that was here and they are doing high- speed rail.

we have learned from all the technologies in germany and japan, they want to be partners and help california build high- speed rail. a hundred years ago, the chinese were building the railroads, now they want to help us build a high-speed rail in the state of california. that would be a great irony for us to celebrate. this is a historical movement that we are making. that is what i think president obama 4. that gave us the stage upon which we can promote our localities and i think that it will work. i think that these want a connection to the united states and they want to feel comfortable. the bay area is the comfort level that they can find. you will see chinese companies going back and forth. you can also help companies

going to china to do their developments as well. >> this has to deal with scrap metal, automobiles, medical technology products. these are major exports and they like red wine, by the way. icy oakland as playing an important role in organizing the region. even maybe the country. when we were at the conference of mayors, all ofes