did please stand by.

>> good morning, and welcome to the transbay joint powers authority meeting for thursday, december 8. >> i would like to know the directors have conflict that will not be present. with that, director lloyd. boyd present. metcalf present. -- lloyd.

madam chair, you do have a quorum. supervisor kim: item number three, communications. >> item four? >> good morning, directors and members of the public. today is our last meeting of the year. i have to say we are ending on a very good note having accomplished a number of milestones. over 55,000 hours of layer without any injuries or issues. having started construction of the new facility. i would like to take the opportunity to thank all of our staff, consultants, contractors, and the men and women who work so hard on our construction site for all of their heart and good work this year. i would like to remind everyone

that at 1:00 today, john o'connell high school is having the ribbon cutting ceremony. i will be there and other members will be there. we're very excited about that. i would like to also mention that as part of my report, i would like to have the san francisco redevelopment agency, might gristle, given update to the board on the most recent bid we received on one of our parcels. as you know, the state department of transportation transferred 12 acres to the city of san francisco for the purpose of developing and using the proceeds to fund the new transit center. most recently the redevelopment agency put out a bid for block 6 and 7, and it was very successful. i will have mike report on that. >> thank you, and good morning,

directors. and i am senior product manager of the redevelopment agency. as maria said, we issued and rfp for two of the parcels i will show on this map here. block 6 and 7 of the transbay redevelopment project area. they are right here. block six and walked seven. -- block 7. these of the first market rate developments we are proceeding with on folsom streets. it is a very large site. a total of 550 element units. included among that are 136 agenciey-subsidize affordable units. in addition to the proceeds from the land, we have another requirement from the state that we have to build 35% of the

units affordable housing. these blocks here are all going to have a significant affordable housing component, but most importantly the goal is to generate the most money that we can from the market rate component of all of these parcels. each parcel has a distinct market rate project and affordable project. they are financially set -- separate. we have a market rate project consists of 300 ft residential tower, and a bank of town houses along a new clementine tha stre the highest purchase price for that market rate component, as well as a proposal for the affordable component of the project. as maria said, we issued an rfp back in july. i want to thank the staff for their cooperation on that.

we received proposals back in october, and this past tuesday of this week, the redevelopment commission approved the selection panel recommendation of a team of collop realistic corp. and mercy california to proceed with negotiations for them to develop the site. the main factor in this election was their purchase offer. they offered a price of $30 million for this. this is a great offer. let me give you background on how we got there. first of all, we issued an rfp's about three years ago for a different parcel. that was back in 2008. we had to suspend the rfp because market conditions were so terrible and offers we got we felt were not worth pursuing. fast forward to 2011. we issued an rfp with a minimum

price of $18 million. that was higher than any of offers we received on block 8, even though block 8 was the site that was much larger in terms of the market rate portion them walked six and seven. there would have been more units possible, but the market trips were so bad and offers were so low, i think we made the right decision. we get where we are today that not only did we achieve the minimum price, but far exceeded that with the purchase offer of $30 million. the list to say, we were very pleased with that offer. the call-up team submitted a very ambitious and exciting proposal. i've brought images of that here. you can see the 300 foot tower. just briefly the features it includes our sky gardens, a very

innovative site plan with a lot of through access of the sals oo clementina street. a lot of great features of this project. we are obviously still in the conceptual stage, so there will be a long detailed review time before the project is ultimately reviewed by the redevelopment commission, but we're excited about this put in a lot of work to their proposals. these were giant documents that required a lot of time and investment, and we're very thankful to the teams that submitted. the call-up team proposal ended up getting the most points. -- gollup team proposal ended up getting the most points. these are on several podium

buildings, as well as the buildings on block 7 north of where the tower is. the agency will be subsidizing those units, in part with the housing set aside from the tax increment that is generated by the parcels that are also generating revenue. mercy housing is developing that. and they came in with also a very excellent plan, and the goal was to minimize the affordable housing subsidy the agency would have to provide. in this case they requested a subsidy of $186,000 per unit. just wrapping up, the team for the proposal is to local firms. solomon, court well, and santos press thought. mercy housing is a local housing developer that i am sure you are familiar with. -- sanots presscott.

they have experience in europe. this would be their first san francisco project. they have committed to having local staff working full-time on the project, but it is also exciting that we have attracted new investment to san francisco, but obviously the most important thing we have emphasized is they need to have as much local participation and local members of the team as possible, and they have done that. all the other members of the team are local and they will have a permanent presence in san francisco as a result of the project. with that, we will proceed with negotiating an ena, we will take to the redevelopment theme early next year. as you are aware, this approval is contingent upon a supreme court decision, which will be coming down soon about the future of redevelopment

agencies. depending on what the supreme court decision is, it might affecting -- might affect the timing of the ena. this is for what might happen if the redevelopment agency is not able to enter into one. the city of san francisco will work closely. we wanted to make sure the election of this developer was completed before the supreme court decision came down so that whenever agency takes over process will at least have the devil -- developer selected in can proceed to negotiations. -- and can proceed to negotiations. i think that is it. again, we are excited about the proposal. we also have members of the team. if you could stand up, gentlemen. that concludes my update. supervisor kim: thank you.

any questions on that? >> i just want to commend you guys on the market timing decision you made. that took a lot of courage to say no to the previous round of bids. you have really helped this project get the money it needs by making that decision. the project looks great. could not be happier. supervisor kim: any other questions or comments? >> how many parcels to we have for the transbay redevelopment area? >> let's put that back up again. all of the number of parcels that you see here, block 1, 2, 3, 4 and 5. there is one more off the map here. about 12 he parcels and what we

call zone 1. -- 12 parcels in what we call zone 1. there is also a surplus site that is freed up by the new configuration of the transbay transit center reappear yet up to 13 sites we will be rid of -- we developing over the next 13 years. supervisor kim: how many of those have been bid out? >> 6, 7, and 11. in block 11 is 100% affordable project. it is affordable housing for formerly homeless. supervisor kim: congratulations again on the bid. it is nice to see we reduce so well in this market. and i do continue to look for

project sponsors that are here locally in san francisco and hope we can continue to try to work on that for future parcels. >> would like to have sarah report on the quarterly financials. >> good morning, directors periods their agi. sarah gillete. the first fiscal year, everything is in budget and expenditures are in line with where you would expect them to be through first quarter. the second report is the status of the contracts, and i would like to note a couple of our contractors that are doing very well on the participation exceeding any goals they have in the contracts or targets they have in the contracts. the program management consultant is up 44% participation.

the architect and engineer on the bus storage facility is that 23 percent signed, where as the goal was only 16%. -- 23%, where aeas the goal was only 16%. take a they have consistently been well over the target, which is 20%. you can see of the report they are at 29% participation. the third report is the investment and earnings report. it shows the cash balance at the end of the quarter and small amount of investment earnings. the third report is the revenues and expenditures for the life of the program. i am happy to answer any questions. supervisor kim: questions? before we have the ark of jollity presentation -- archeology presentation, i want

to say it has been very well attended. we're very excited about it. i have seen a number other articles pop up on the east coast about their own archaeology sites. with that, i would like to have a briefing on the site. >> good morning, directors. >> i go back to the previous speaker? >> director ortiz has a question for sarah. director ortiz: what happens when they have not accomplished anything? like the transportation group had 30 percent signed, and nothing has been -- >> the advisory has been 30 percent signed, and right now they are at 0 because they're

not setting out any work. they're just supporting the design team with the train box extension, so there is not any work for them to do right now, but their term is continuing through 2014. so as additional funding is identified to move forward with phase two and they become more engaged, that some consultants -- then this up consultants will move forward. director ortiz: you put pressure on the advisory? >> there are not any [inaudible] we of course let them know this is important to us. supervisor kim: paul, please. thank you. >> good morning again.

i was just asked to give a brief overview of the archaeology program that we have undertaken for the new transit center. the first one is determining where we were going to do archaeology. we start with the geotechnical area that shows basically the area underneath. there are three areas we're particularly interested in. one is the top of the sand formation. that is the orange band. that was ground surface during

the ice age, which is when people first entered the area, then there it is the dune sand, which is near the top here. it is the orange color. that was the sand dunes that surrounded san francisco bay during the time of the native american occupation. above that there is a layer filled, which is hard to see on the top layer, and that is the time. of the historic occupation when the inland sand dunes were basically leveled in sand was used to fill the towards the bay area for occupation in the 19th century. so we have these three zones of interest that are under the terminal. then we used records of existing sites, known pre-historic sites to areas where there may be

fines within the area of the project -- finds within the area of the project, which in this case there were not. in this case there are some sites neighboring near the coast, and that means there may be other within the transit center area. we basically use of predictive model to identify where we need to look. we dead use historical maps. here you see the 1853 coast survey showing a good part of the project area is in the way in a cove -- buena cove. they were all under water during the gold rush. that means the areas where we might find ships that were abandoned during the gold rush

comment on bond -- on the end blocks, and this is our number if system, block 10 the main part of the current construction areas, you can see a number of dwellings through that area. these are the things we know to look for. we also use historic photographs come in here is one looking towards the area at the edge of the bay. block 11 is under water and the whole bunch of ships out there. these are shipwrecks or abandoned ships really would be a possibility in that area. this is howard street going down into the water. around the cove there were various industries related to shipbuilding and ship repair and that sort of thing, but over time for the next 20 years from the 1860's-1870's