62%, support staff, people. the next largest slice of this pie, 15% of our budget, funds services of other departments. as we have discussed in the past, this includes electricity, sewer, water, city attorney services, workers' compensation, telephone services, fuel, vehicle repairs, a host of services that we buy from other city departments. 5% of the budget is allocated to materials and supplies and equipment. 5% on a services such as garbage pickup and software licensing. 3% respectively on operating the clubhouse and this is a management agreement. 4% on revenue bond debt service on open space in revenue bonds. 2% on facility maintenance, and

1% on city-wide ever had, including services from the mayor's budget office, the comptroller's office, and other city-wide functions. within the context of those resources and expenditures, we're going to start making decisions for the next two budgets. as we move through the budget process and start making budget balancing decisions, we are going to reach out to our staff, to stakeholders, the community, labor, and the city's policy makers. this year, for the first time, the department is also planning to implement an online tool for san franciscans to participate in the department's budget process. it will be interesting to see what that looks like at the end of the day. we are, again, planning to focus on revenue as the primary solution to our budget challenges.

we will be looking at our existing leases and concessions. one example of with this would be, i think based on a the 49ers performance year to date, they will have enhanced ticket sales next year, better advertising revenue, and we will seek a portion of that. we will be looking at the possibility of implementing new leases and concessions opportunities in the coming fiscal year. we hope to be able to generate an additional revenue from special events and permits. and to budget the continued revenue growth that we see from the in hands recreation programming that our staff are providing. we also will be looking at operational efficiencies next fiscal year, in the hope that we can generate some savings without affecting service delivery. we will have implemented the reorganization of the aquatics division by the start of the new fiscal year, and that will be

reflected in the new budget. we will add a new class to the gardiner apprentice program. we are participating, in partnership with the human services agency in a program that is known as the jobs now 3, which is a job training program. hssa actually pays for the workers who are in our parks. we have about 100 of these folks right now. they are primarily assisting on the park maintenance side of the department. tremendously helpful, and we hope that this program will continue into the new fiscal year. finally, we may look again at the delay in hiring in the new fiscal year to meet our budget balancing target. knowing that our staff always have good budget balancing ideas, we have asked them for revenue and efficiency proposals. i have asked them to submit them to me by february 6.

we're going to do, as i mentioned, a fair amount of outreach around the budget, which is outlined on my budget timeline slide. i am here today with the first of three budget presentations. next tuesday, we're going to have an all staff meeting about the budget, where we explain to folks what is going on and answer questions and take input. we're having two community budget meetings this year. one on january 31 at moscone the rec center. and one on february 2 at mission rec center. both of those meetings will be from 6:00 p.m. until 8:00 p.m. we strongly encourage the public to come out and talk to us about the budget, hear what we have to say, give us any ideas or concerns. we would be very pleased if you would also attend the meetings. i will be making a presentation

to prozac on february 7. i will be back here again on february 2 for an update on where we are in the budget process. and then, in front of the parole commission on february 16 with what will be our final budget proposal for your approval before we segment to the mayor's budget office. the budget this year is due to the mayor's office on february 21, which is a tuesday. as always, we're operating under a fairly tight timeframe, but i feel very confident that we will get this done. and then the mayor will submit his budget to the board of supervisors on june 1. so that is my summary. as i started with, we're in very early days, still not sure what our numbers are going to look like.

obviously, we have a lot of work to do to flesh out what our budget balancing solutions are going to be. and i am happy to answer questions. commissioner lee: ok, this is, what, my 6 4/7 budget, and every year -- you have to credit the general manager and the staff. i do not know of any administration that has tried as hard as we have to earn our way out of these deficits. it seems like we're back in the same place every year, where we are facing another cut. you know, i was a little disturbed to hear that the mta is reporting that revenue is going to be lower at our garages. at the same time, they're going to charge as a management fee. i do not know commissioners know about this. but the mta is going to charge

us a $200,000 management fee for managing our garages that they used to manage for free. part of the city family. if you think about what our general manager and this commission has to do to raise that kind of money through earned revenue, that is a significant cost to us. and i i urge you to talk to the mta to see if they can reconsider. they are reporting revenues are down in the garages, yet they are excessing a management fee on top of it which we never had to paid before. there are other examples, of course. i would like to ask the larger structural question. in coming years, you're going to -- if the 49ers are able to build a stadium in santa clara,

we're going to lose the revenue from the parking. this is a significant source of our revenue. we are going to be faced, potentially, with future losses on our garages if we continue to see declines in parking revenues. earlier on in past budgets, we talked about the possibility of a parcel tax or some tax to some revenue-generating idea and i can help sustain the operating costs of our department, which is largely a, you know, on the park's site, as we saw from your chart, and so forth. i recognize the bond money cannot be used for those type of operations. bond money is spent strictly for capital projects. have you, general manager,

looked at or revisited the idea of a parcel tax or some other revenue mechanism to help with these gaps? >> commissioner, thank you very much for the question put your points are very well-taken. let me start with the smaller parts. we are in conversations with the mta. they have some charter requirements of their own that are part of the conversation about administrative fees for garage management. we're more concerned about the impact on our revenue line from sfpark and how that is actually operating in our garages and with the impact has been. we have raised the issue with mta, and we're having helped the conversations with them. the mayor's office is also aware of the issue. it is one of our higher priority items in the coming months. there is no question that we're going to face the structural

operating challenge if the 49ers and to leave us -- let me rephrase that, if they play their games in a statement other than a candlestick. they will always be the san francisco 49ers. we are aware of that, and we have raised our concerns. the mayor is very well aware of that. the commission is very well aware of that. members of the board are very well aware of that. i think it is sending this city will have to address in the coming years. to the larger star a short question, we believe that we need more operating revenue and that our revenue lines need to be sustainable. i have said that for as long as i have been in the chair, and we keep saying it. i am thing fall to the parks alliance and organizations like spur, who both agree with us. last year, sparked --

commissioner buell participated with spur and we were $30 million short of a sustainable operating budget, and i recommended some structural revenue enhances for the department. and action is suggested that we were heading in the right direction by attempting to generate more revenue. and, by the way, the challenges that we have encumbered as a parks department are not unique to our parks department. i spend a couple times a year with the heads of urban park systems around the country, and we're all facing the fate -- the same challenges. frankly, san francisco is leading in many respects in our efforts to develop more revenue. we would like a parcel tax. we would like more revenue, more sustainable support for our operating systems. our staff is working harder than they have ever worked, doing

more with less. we note every time we come before you and every time our park maintenance orders are presented that, given the staffing levels that we have, you know, we're performing optimally. and it is going to be hard to provide more services and keep our parks cleaner than we currently are, given the staffing levels that we have. so we would like to see something happen. the question is, when? commissioner buell: thank you very much. >> thank you. >> is there any public comment on this item? being none, public comment is closed. this was discussion only. we're now on item eight, palega playground renovation.

>> good morning, commissioners to vigorously with the capital division. the item before you today is a discussion and possible action to award a construction contract for the palega playground renovation at to arntz builders for bass bid and alternates one that threw eight in the amount of $10,195,304. with the assistance of the department of public works, we put the bid out in november 2011. we received bids on december 14. received a total of five bids. it was well below our construction of budget.

and we had arntz builders. we are recommending an award. the committee is eager to move forward with this project. the team is eager to move forward. i would be happy to answer any questions you have. commissioner buell: any questions, commissioners? >> is there any public comment? being none, public comment is closed. commissioner buell: let's entertain a motion. >> so moved. >> second. commissioner buell: all those in favor? thank you. >> item number nine, at the helen diller playground. >> good morning, again. the next item is discussion and possible action to amend the construction contract to bauman landscape construction for the helen diller playground project

in the amount of $372,977. in april 2011, the commission approved the construction contract to bauman landscape construction. it is approximately about 70% complete. we have approved about $200,000 to date. some of these changes relate to additional investigation to address unforeseen conditions on the site, to capture some of the water runoff on the project so that foundation work can proceed. the contract amount increase is still within the the overall project budget. we're asking that you approve this amount. i would be happy to answer any questions you may have. commissioner buell: any questions? >> any public comment?

being none, public comment is closed. commissioner bonilla: yes, i would like a little clarity here. i am a a little confused. it says that in consideration of the gift that is being provided by the friends of bill flores park, the playgrounds will be named playground, yet we are referring to it now as the helen diller playground. has that already happened -- >> that has already happened. >> ok, just wanted to be clear. commissioner bonilla: ok, this gave a different impression. thank you. >> my apologies for that. commissioner buell: can i

entertain the notion? moved and second. all those in favor? thank you very much. >> item 10, acceptance of a gift from the sacred heart cathedral school. collected afternoon. i am the assistant director of development for institutional giving with the recreation and parks department. i'd like to prison for your consideration of a gift in place of renovations to create quality skinned softball diamond a profit for girls' softball play at lang field, valued at approximately $17,000 from sacred heart cathedral preparatory. the quality of our community relies on public services that cities provide. high on the list are local programs that can make a significant difference, our quality resources for youth

facilities include being ball diamonds, soccer field, basketball courts, and other facilities. i comprehensive study conducted by the women's sports foundation conclude that physical activity in sports are fundamental solutions for many serious social and health problems confronting american girls today, such as sedentary lifestyles, obesity, and the many help complications associated with obesity. furthermore, in 2004, california passed a law which addresses the need to ensure that any california city does not discriminate against any person on the basis of gender in the allocation of parks and recreation facilities and resources that support or unable youth athletic programs. prompted both by this law and are pigee's interest in providing more regulation softball fields -- fields, rpd conducted an evaluation of its facilities which found that there are a very limited number

of fields in this area of the city available for girls recreation softball. given this finding, rpd determined that lang diamond number one was visible field to be converted to a regulation softball diamond, based on quality and location. current users of the field have been notified of the proposed renovation, and they understand the need to create more complying carell spc of coffield. the have been assured that they will continue to be able to play on the field, even if its is skinned. creation of this requires a significant initial investment to change irrigation, grating, and at infill. financial support provided by cathedral heart makes it possible for rpd to conduct the needed renovation and provide an additional reserves for girls softball in san francisco. our director of permits and

reservations is available to speak further to the need should you have any questions along those lines. thank you. commissioner lee: was this a contract awarded through our capital division? >> it is a gift in place, so they are managing the renovation and gifting us the project. commissioner lee: so sacred heart hired their own contractor, did their own work, and is providing this? >> yes, they're working with rpd staff. commissioner lee: and you approached sacred heart about this location? >> yes, their school is in the neighborhood, and they have mentioned the need for a girls softball facility, so they were a good match. commissioner lee: thank you. commissioner buell: thank you. >> is there any public comment on this item? being none, public comment is closed. commissioner buell: maintain a motion? >> so moved. >> second.

>> all those in favor? unanimous. >> item 11, opens this contingency reserve, fiscal year 2011-2012, deferred maintenance budget. >> good morning. director of operations. the item before use discussion and possible action to amend the scope of the kezar pavilion deferred maintenance projects and increase the project funding from the open space defined contingency reserve in an amount not to exceed $450,126. in july, your approved the use of the entire fiscal year 2011 that trundle 12 allocation through the open space on a contingency reserve which is allocated for annual preferred means to the replacement of the kezar pavilion gym floor and a correction of water intrusion problems. at that time of that commission action, we committed to come back to the commission with a

more detailed project scope once it was known, falling excavation, investigation, and inspection of the sub-flooring condition and watertight integrity. over the past several months, in partnership with the contractor hy flooring, to his work on this floor for the last 30 years, we have undertaken an in-depth inspection of the condition of the floor and excavated the south exterior. we have come up with the following findings. the water intrusion into the gym is calling the floor slats to warp and generate mold. water intrusion is caused by a broken roof system, leaking gutters, compromised integrity of this out a section of the pavilion group, which allows water to see into the walls, and a training system which is undersized for the amount of runoff water that must be diverted away from the pavilion

exterior. the existing floor does not have a moisture protection barrier, and significantly, none can be installed at the replacement for replicates the existing floor design. this is due to the structural limitation that the existing two feet by four feet support dresses underneath that supports the current floor. we found that those are actually embedded in the concrete sub-floor. that was the original pavilion design at the time, and they either have to be used or abandoned in place. additionally, the existing gym florez bill with two and one- quarter inch wide floorboards. the standard is for a narrow, one and one-half inch floorboard. this is the most dimensionally stable floorboard around, and it is less likely to cup or warp

during the cold weather and the wet season. commissioners, as a result of these findings, we recommend that the scope of this deferred maintenance project be amended for the following vietor to waterproof the pavilion building foundation, install paid training system along the pavilion's south perimeter, exterior. it drains into a new 10-inch pan drain line peter replace a 10- foot section of the existing drain line leading up to frederick street. repave the south perimeter what way and pave over the foundation planting strip for water in permeability, for water that would come down off the building exterior. reform the concrete steps. reroof the south roof section to replace the better system. once that work is done, on the the gym floor, replace it with a permaflex system, including a

vapor there your installation. that floor system is recommended for the following reasons, it is the industry standard now for plate ability and durability. significantly, from the research we have done, there's no organization that currently would install the existing floor design today. the durability and strength of the new floor would be able to support activities on the floor other than courts boards, such as a roller derby or other evens, not that we're recommending that, but it does happen. the new floor can be installed with the vapor guard, which will protect the floor from any water intrusion or humidity damage in the future. it is slightly less expensive than replicating and recreating the existing kesar for design. the prermaflex floor is now the

stanford university field house. it is the floor system at the usf field house on golden gate, and the usf gym on the usf campus on parker. ahmadi the one in the tractor to the floor design is that it has less inflexion. back in july, we said we would replace the current four because of its bouncy field. that is a necessary element of the floor design for durability and maintain ability. however, i would want to point out that the extraordinary degree of inflection or bounciness that the existing floor has has also been linked to increased at least injury. if you have been on the floor, you can dunk and that kind of thing. the balance of the floor is

giving the player who is dunking, but for the other players, the floor is literally coming up, and that an increase injury because of that unplanned inflexion. you would anticipate a stable for, but it is literally coming up while you're coming down. the estimated cost of the total cost and a detailed project scope for this entire scope that i have just described to you is $950,126. the detail on that entire program budget is in the attachment on your package broken out. previously, in july, your approved $500,000, which with the full deferred maintenance allocation. again, you allocated that with the provision that we may come back with a request for additional funds once we knew the true detailed project scope.

as a result, we need an additional $450,126 to complete the scope by have described. the current fund balances in the open space contingency reserve are in the u.n. designated contingency, $1,191,289. in the commissioners contingency, $443,597. as depicted in your staff memo, we have depleted this year's deferred maintenance contingency vietor consequently, the item that we are requesting your approval on today is for the $450,126 be allocated from the and designated contingency reserve to fund the conclude -- completion of the project scope i just described. the staff recommendation is a purple. and our outreach on this

project, we have contacted all of the historic and regular year-to-year permit fees of kesazar pavilion. and they are all in favor of this particular project and the permaflex for design. we have not found any in opposition. commissioner buell: thank you. commissioner levitan: this all sounds great and necessary. relative to the floor, with this new flooring, would you know the difference looking at the interior of the pavilion? is this somehow going to change sort of the historical or authentic aspect to kezar? >> but the appearance will look the same with the one exception of the narrower