we do not believe in cutting to create more jobs. we agree with the idea of the recovery act, putting more money out there to get people employed. >> on congressional action, that is not my role. in san francisco, we have been the beneficiary. all small businesses should be aware that we have been the beneficiary of a lot of good resources for small businesses. we have more nonprofits that are funded through micro lending here in the city from sba programs. some are expected to be looked at for budget cuts. some will continue. but we have more of those programs in san francisco, really, in any other city in california. we also have a small business commission. that is unique. the folks who are here, who have

been supporting small business for many years are the reasons why san francisco's small business community has a voice in ways that other cities and businesses in those cities do not. i think we have, in san francisco, the benefit of a lot of good resources here, some of which are here because of federal funds, some of which because folks in this room have been an advocate for small business. we are hoping the impact of tight budgets all levels still allows us to have the tools we have been able to use for small business. it is an important piece. >> [inaudible] >> there have been a cut in the budget. he wanted to know how that would cut the sba program.

>> now we are getting into arcane budget discussions. the 2012 budget does slate a couple of sba programs for cutting. it also talks about cuts comparing next year to prior years, when we were the beneficiaries of stimulus funds, jobs act funds. one time-type things are being set as benchmarks. a cut from those one time- funding pieces that were not expected to be continued. in some ways, we do not see it as big as a cut. speaker pelosi was important to us in the jobs act in getting a lot of money put into the sba program. it allowed california to be the beneficiary of having hired guarantees for banks, no sba loans fees.

in the first quarter of the year, lending in california was the most we ever did. we did $1 billion worth of small business loans in december, for example. that is something we have never done before. but that was a one time funding piece. going forward, on the loan side, we are not going to see the cuts have an impact on sba lending. the big issue we see are two issues. the value of california real- estate, stability of businesses in california, and the confidence of our workers looking for credit. those are variables that would be important. >> thank you. we have a question in the back. >> good afternoon. thank you to nancy pelosi and for you panelists for providing this informative seminars.

for our young company, we are a distribution company. i just heard you mention that you do not loan for the sale of alcohol. is that separate from distribution of wine? >> s.p.a. -- sba makes loans to winery's, stores that sell wine. i am not exactly sure what role you play in distribution. the federal government ought -- got out of prohibiting alcohol and long time ago. we are not in the business of regulating all bohol, beverage distribution or sale. we make loans to businesses who sell alcoholic beverages, restaurants, stores. so is not an sp a prohibition.

it is regulated on a local level. we have made loans to a lot of businesses that have some degree of an alcoholic beverages, one distribution. >> terrific. following up to that, can you give any advice on particular resources that would speak perhaps to any tax benefits, subsidies in place for both domestic distribution of wine, as well as exports? >> why don't we take it off line. i think what is the case, there is a lot of complexity to the incentives that were put into the jobs act for small businesses to take advantage of on expensing equipment, investments and their businesses, as far as the tax treatment of those activities.

obviously, as a small-business person, each of you needs to understand, it is complex, but there are a lot of tax incentives and investment in business that you should take aware -- advantage of. >> we have two questions in the back. just to be mindful for everyone's time, we will go for about five more minutes. >> my name is david. i am an internet or entrepreneurs. in general, to the lenders, what type of vanity do you traditionally see approach you for loans, an llc, corp., and who is liable, for whose borrowing the money? >> as a micro lender, we expect the principles, the corporate

form, to provide guarantees. >> personal guarantees. >> the same. 20% ownership in the company. [inaudible] >> [inaudible] >> i heard something about sba guaranteed loans. maybe i missed something. does that have to do with the sba guaranteeing the entity? >> the question on the sba guaranteeing a entity as the order of the business, whether it is a corporation or partnership, for any small business lending, you should expect to be guaranteeing that long personally.

as a small-business owner, from a lender's point of view, we want to see that you are as invested in the business as you are asking the bank to be. the idea that non recourse loans, the way you describe it, loans that you get without having yourself personally liable is not the way it works. you should assume you will guarantee the loan regardless of the structure of your business. the good news, though, for businesses like you are describing, internet business, is that the capital requirements for that type of business is generally small. you are able to get yourself further along and share in revenues with a smaller amount of credit need. that is where we see a lot of businesses and personal service or internet business get started, and generate revenues and be able to show growth

without needing any capital, like a brick and mortar business might. >> my name is terry said. i have a retail business in san francisco for 22 years. i have a 5 04 -- 504 loan. it took me three years to get. we need more capital. i tried to get a line of credit from wells capital. i was decline. where does someone like myself go? i have a loan, i need additional funding. >> did you try through the sba? >> i already have an sba loan. i went to wells fargo for a line of credit and they would not give me one. >> i can speak to you about it. when we look at funds that are needed, the biggest thing we look at our cash flow.

i can address that with you. unless there is an issue, at that point -- [inaudible] >> let's talk, ok. >> i have a couple of more questions. i know that the panelists have agreed to stay after for those who have specific questions. i do have one question for wells fargo. what are the typical rules for applying for sba loan of less than $50,000? how much money do we need to have in your bank to apply for a loan? >> i am on the smaller side of the bank. i am a transaction guy.

i do not technically require one to have an account to do a loan with. what i look for, i generally start at 100,000 and up. when it is a requirement of 50,000 or less, i tend to call of the micro guys to help me out. that is right in their box. for us, the capacity for us to do the smaller side is not there as much as it is for them. on getting a loan through my side of the bank, i do not require an account to do that. we would like to have it, but i do not require it. >> last question for the opportunity fund and a critic representative.

are you a cdfi? is san francisco and s.p.a. in support of cdfi's being established in san francisco? >> yes, we are. we were founded in 1999 with a small business loan. that is how we started our tenderloin office. >> opportunity fund is a certified cdfi, so we are providing a benefit to low and moderate-income communities. he is the city establishing support for new cdfi's? >> mark wanted to address that, in support of cdfi's in the city. >> we have a wealth of partners

in the city. s.p.a. is just now rolling out a program for r -- will be the case by the summer. let me get one last point and on the question about relationships to lenders. the question was, do have to have an account with a bank in order to get a loan? may answer is no, but the real answer to it is certainly want to do that. one of the things we see as an important thing for you, as a small-business person to establish a relationship with a lender on a variety of levels before you look for funding. part of that is opening an account with them, letting a lender know about your business, understand your business, talk to them as you are growing your business. when the economy is strong, all lenders are shopping for

transactions. in times are tough on credit, you want to rely on those deeper liberation ships with your lender. you want to develop a relationship with a lender. it is the case where you want to open up an account, while to have another bank services that you want to have a relationship with your lender with it because when you go to them for any loan requests, you want them to know about your business and feel like they are a partner of yours, not just that you are shopping them. if you are shopping, you are just looking for the best deal from them, rather than a long- term relationship. >> i want to thank everyone for coming. hopefully, you have all signed up for our updates. we are going to be hosting these on a regular basis. the next two coming up will focus on becoming a government contractor, how your small

business can partner with the government. the next one will also be on how to grain your business, with tax -- green your business, tax credits available with that. for non-profit, charitable organizations, we have a workshop coming up. that is helpful for those of you who are looking to access the committee on a durable basis. >> also, on behalf of leader pelosi, i want to thank our panel and her staff. we are tenants in this building. i apologize for the security situation that happened upstairs. if you have concerns about it, please come and see me. i would like to convey those to

the landlord here so that it does not happen again. thank you.

>> i never thought i would be at a press conference in the city surrounded by a bunch of pickup trucks. here we are. these are no average pickup trucks. these have solid green credentials. san francisco has a long history of groundbreaking initiatives an enlargement of victories. this is where the latest bring innovations have been, whether

it is pursuing our zero ways to goals by 2020, when the reducing toxics in san francisco, whether it is becoming the electric vehicle capital of the u.s., this is where green innovation happens. and we practice what we preach in san francisco. every city of san francisco's department is required to develop a department action plan annually, which inventory their own emissions and sets common action targets for the department. this process engages departments that do not typically considered themselves and are mentally focused and effectively makes the link between in one of the responsibility and the financial bottom line the efficiency. requiring each city department to be responsible for the carbon footprint helps integrate the city's climate work into all levels of organizational functioning and incentivizes all employees to participate in this process. the program that we are going to

announce today will help make our individual departments sweet -- more sustainable and help us meet the goals from our climate action plans. additionally, plugging hybrid technology and its electric vehicles represent a good start towards achieving the new fuel efficiency standards that were just announced by president obama, a 54.5 miles to the gallon. this was announced when president obama noted, just as cars will go farther on a gallon of gas, our economy move will farther on a barrel of oil. when we achieve the 54.5 mpg target, it will reduce consumption from our vehicles by 40% and cut in half the amount of greenhouse gas solutions coming out of our exhaust pipe. the electric vehicles, as you may well now, building up the electric vehicle capital here in san francisco is one of mayor lee's top anbar mental priorities. we are honored to be partnering

with chrysler and the u.s. department of energy to push forward with yet another dimension of electric transportation. but first, without further ado, i would like to introduce chrysler's senior manager to tell you more about the program and to make a special presentation to mayor lee. >> good afternoon, everybody. thank you for the warm welcome, mr. mayor. beautiful weather, beautiful city. on behalf of chrysler, i am proud to present the mayor and the city of san francisco with the supply and hybrid trucks. these trucks are part of a grant received from the department of energy to demonstrate technology and further enhance the ability of engineering organizations to implement this

technology and future applications to be a part of the green energy that chrysler and bodies and to support the recently announced fuel economy rolling. we are proud to be in partnership with the mayor, and we are looking forward to work with your team over the next few years to demonstrate the technology and to learn from how they will dry data and further enhance the ability to demonstrate these applications. thank you very much. i look forward to working with your team. [applause] >> thank you. we are just commenting, as your walking up, he has been in the auto industry for quite some years. i have been working in government for some years and we are both tried to find our youth in what we do. it is need to work on something

that is fun, that is great for our country, that is very much a part of this movement that the whole country is not interested in, getting off of foreign oil and making sure we do something for our environment. this is fun because you are looking at 14 pickup trucks that have in them a hemi engine, but powered by electricity. these 14 pickup trucks will be lent to us for the next three years or free, thanks to our department of energy and their grants with chrysler's own contributions put together to allow for our city to devote one of the few cities organized across this. i know sacramento will have some of this. other states, there is only less than a handful of other states

participating in this nice experiment. for san francisco, we are probably going to be one of the hilliest cities that have this opportunity over the next three years to test these electric trucks in the most hardened ways. in other words, we are going to have department of public work'' picking up trash in these vehicles, the bureau of engineering to be looking at and traveling to all parts of the city in these vehicles, managing the projects in this city, thanks to our city engineer. different departments under our acting city administrator, including, interestingly enough, animal care and control. they will be caring for stray animals, making sure they are safely transported, and the day from our streets and into shelters, and so forth. the puc, police department,

real-estate department, a multitude of some 14 departments, that will have the chance to use these trucks and the way in which they operate. the very essence of city fleet operations. so i want to thank chrysler for allowing sanfrancisco to experiment with our department of energy, and also while we are experimenting with this, we have uc-davis as a partner. we have the director of our plugged in demonstration project. working together with the transportation electrification institute here. with their corporations, getting the data about how these vehicles are used, how they are tested, whether they can go up hills as efficiently, bringing up the cargo and animals and

tool that dpw will use, various departments inspecting buildings, streets, all of the different uses for a city fleet, all on the dime of the department of energy because they want to see these the electric vehicle properly used, the way that we use our fleet generally now. ali, they will be replacing the fleet that we are using now and saving that money. and then do what i do, i keep in mind -- i do not ever want to run out of the electric power. as i come to city hall, i asked my staff, plug it in. i try not to use any oil so that we can try to do this in the cleanest way possible. that makes it fun. it is a bit of a game that i play with our staff, but that is a game that everyone is playing with these cars.

making sure they can go the whole day without using a drop of oil. that makes it fun and challenging and keeps my mind up to use the vehicles in the proper way. it is a corporate for san francisco to do this. we declared some two years ago, in cooperation with all nine counties in the bay area, we want to be the rv -- ev capital of the world. we are doing everything necessary to make sure that we are. with the cooperation of great cities like san jose and oakland, san jose and alameda counties, we are already putting in the anxiety-recharging stations all over the bay area. in fact, the airport already has 14 charges already installed at the airport, and we have, by

the end of the summer, some 43 charging stations in our garages that are already being done. by the end of the year, working together with charge. america, coolant technologies, we will have 100 charging station within san francisco already installed. so you will not have any anxiety. one of those is in the mayor's crotch, and that will be installed in the next couple of weeks. these fast charter will be out there in a public setting. with charge. america, in the bay area, they are doing charging stations for the residents and another in the public sector for the whole bay area. so we're getting rid of that anxiety quickly and making sure that all of the automobile manufacturers, including chrysler, can develop these beat

-- vehicle the best they can, use the data, test pilot them, but ultimately, i think we will see companies like chrysler bring to market an electric vehicles for all of our citizens to use, and every city fleet is doing so. we are working with the company throughout the bay area. we are all experimenting on the different flight uses of this. this is the first time i have seen or course trucks -- really, the dpw's of the world, puc's of the world, all of the utility- driven departments in our city, to carry equipment, cargo, transport trash and all the other thing that we do, these are the workhorses. this is going to be a great test and use of federal funding. i have to say -- i have to make sure i say this.

i am happy for this moment because president obama just signed this very important debt ceiling settlement with congress. the senate and house voted on it. leader pelosi was extremely grave in her performance, getting a number of democrats to sign this. i would be looking sad, even in light of this great news, we have to keep this country moving forward. we will not have the opportunity to use the technology that chrysler is offering if we are not strong in our economics. so we are doing it right. now that we have the debt ceiling behind us, we can move forward on all these programs. i want to thank the department of the environment. alan, you are gracious in your remarks, but the department of environment keeps me up with great ideas, keeps me talking constantly about one beacon do as a city, how we can contribute to our environment. the department of the in gardening keeps me on my