license to the present tenant because of the 30-day period. >> ok. so the liquor license that existed with the market predates the mission of gollott restriction of controls. and the types of alcohol you can sell by quality and size. the letter of determination that has been brought up in public testimony, it has been e-mail back to commissioners previously, only pertains to the continuation to the nonconforming nature of the license. it does not go in or explorer --

does not going to detail or explore the opportunities of a grocery store coming into obtain a new license that does conform to the restrictions under the mission abc controls which fresh and easy has done and will be a condition placed on the approval or the recommendation of approval sent back to abc that they need these restrictions. >> they are in effect -- there would be operating under a new license with the restrictions? >> correct. cresskill license is gone. >> the old license is gone. >> the previous license has been renewed because it is transferred to new ownership. that transfer has been sent to our department for referral. we make a recommendation to the state agency on whether or not they can approve it. that recommendation will improve

the conditions. >> what we have is a reconstituted under new restrictions license. >> yes. >> ok. i am trying to get that clear as i can. ok. and as far as enforcement is concerned, that is going to be abc. in my mind. can -- and i will ask the director, can we put a condition of approval on this that they are required as soon as the ban is lifted or the moratorium is lifted to apply for wic here? >> the answer is yes. >> because i would not vote for any motion of approval.

just personal. as far as some other issues that were raised, the property easement is not within our jurisdiction. that is something for the courts decide -- the courts to decide and not for us to deal with. as far as the murals are concerned, if everyone -- anyone tries to restore murals on someone else's property, it is my opinion they are violating the law anyway. only the property owner or the original artist in agreement could do that. i do not think that is an issue for us. that is all i have at the moment. commissioner antonini: just to reiterate, thank you for answering. i want to make sure i am clear on this. we have determined that ab183 is in process and that will

determine the type of check out procedure that will be allowed statewide. >> i am not certain as to how that law will be interpreted and will apply to this particular site. i would -- commissioner antonini: right. it would take jurisdiction if we were to approve this and whatever is decided at a state level will take jurisdiction. to get bogged down in details of this is not something we have to do because state law will take precedence. >> the enforcement of the law will not fall on the planning department. >> that is what i understand. commissioner antonini: i understand that we can set the condition that they accept the wic food stamp program. we heard in the beginning of your comments that a fresh and easy was trying to get that, but there is a much -- for there is

a moratorium and it would not be able to get it until the moratorium is lifted. >> that is the information they delivered for me. -- to me. commissioner antonini: the reconstituted liquor license is what is before us. all this discussion of the older license is not relevant to the situation because it is in a different form that conforms to when it is re-granted. if it conforms to the mission alcoholic special use. >> any license would have to conform with the mission abc constraints. commissioner antonini: thank you. i have a few additional comments. thank you for your answer. the issue that underlies this. unionization is not a land use issue. we're not allowed to make that decision as part of our decision making process. that really is not something we can take into consideration.

in fact, we will have 20 to 35 new jobs and they will be local hires. that is beneficial and we have a price point that seems to be very comparable to other markets such as safeway and lucky. the price point will be less than the markets that were there before. probably. >> i am not familiar with that comparison. commissioner antonini: it certainly would be comparable. ok, that sounds fine. then we are verifying the fact that all the previous uses have been formula retail with the possible interpretation of the -- if they know whether or not it fell into that category because it was on the border. >> it is difficult to establish because they were adding stores and immediately -- within a

relatively couple of years, started selling them off because they were going through bankruptcy. the other important thing i would note is the president of delano's was a former executive of cal bell market so there was a lot of transition between the two grossers. commissioner antonini: the nearest supermarket of this size would be about 1 mile from the site, is that correct? >> a little over 1 mile. that is a general grocery store. commissioner antonini: a general grocery store. some of the neighborhood stores that have products would not have the kind of ready that you would need from a supermarket, i would thing. >> correct. commissioner antonini: in many ways they're not competitive because they sell things the smaller markets would not sell any way.

that sounds very good. i had a couple of comments but thank you. the rest are not questions. i was happy -- i think this is a good project. it activates a site that has been vacant and a blight for a long time and it will provide jobs as was pointed out. there was all -- other commentary about places like lucky and safeway being local and small. they're not small. there are larger or of equal size with tesco and fresh and easy. their headquarters are in the east bay. they're not local. i do not see them as being any more local than this organization is. the 15 meetings with local organizations is impressive, adding the bike space is, donating food, and -- donating food is laudable. the subletting to a head start or the mission neighborhood

center is laudable. i think we're getting a healthier food which is something that people are always asking for. i think this is very good. we frequently hear how markets will not come into economically challenged neighborhoods and when they do, i think they should be encouraged to do so. we hear people say, we do not want them here. i think we have got a letter from supervisor malia cohen and not necessarily supportive of this particular thing, but supporters of the store that has gone in in the bayview. all the same issues that are being raised would be part of any fresh and easy as well as its 32nd and california store and those have been approved and seem to be functioning well. i am in favor of this. it was also presented that the owners of the property had tried to work with the previous grocers to try to find other

markets to come in with specific reference to markets that were union. they were not able to find any. i think this is what you're going to have to have. i think it is going to improve a lot. as well as all the improvements they are making to the neighborhood. i think that i am in favor of this. we will see what the other commissioners have to say. commissioner wu: my first question is about local hire. there are three other stores in san francisco. i am curious to know what their commitment was to local hire and what -- if there has been an update on whether they met that commitment. >> i will refer to the project sponsors on this one.

>> i do not have the actual percentages. the bayview is approximately over 60% right now. the first store we opened, we had to work with the city on that one. >> karen johnston. the first store was on -- under a first source hiring agreement. we worked with the office with -- for our hiring commitments on that location and that was the same case for the bayview store. since that time, we partnered with ycd to keep our local numbers of. that is our community hiring partner on going in the bayview. commissioner wu: do have specific numbers about how many

of the current staff are locals? >> i know for 32nd and comment -- clement, it was tougher than that the code. our partners try to get that number up -- tried to get that number up. we have hovered around 60%. that is in the 94124. and it is higher for san franciscans. >> can i follow up on that? we have some testimony here that says in the richmond district you promised 50% and that percent is much lower according to -- >> that was a tough one to get that specific zip code and it was due to the applicant pool. that was initiated by the city and the first source office in the beginning. i do not know what we have been able to maintain since then. commissioner wu: 1 question to

follow up on that, the larger question is, who enforces and who monitors local hiring and -- is there any real enforcement mechanism to ensure local hiring? my second question -- i do not think we can answer that today. >> we could probably ask the city attorney. you could make that a condition of approval. that is enforceable by the city. unless they are required to go through the first source program. we can check on that. i do not know the answer to that right now. commissioner wu: my second question is to ask president fong if we could ask the committee member who spoke about the permit and this idea about the reconstituted permit, i saw some head shaking. i wondered what your interpretation is of the situation.

>> i spoke with abc yesterday regarding -- >> could you speak your name for the record? >> lisa duncan. i spoke with abc yesterday and i did a query on their website as to this license. another member of the community did so as well. i was told by abc yesterday that the license, the previous license owned by delano was transferred to fresh and easy in september 2011. that matches what appears on the query. we can put these papers into the record. i was not told anything about our reconstitution -- a reconsittition.

the license, type 21 license owned by delano, it says it was transferred on april 10, 2007 which is after the formation of the mission alcoholic beverage restricted subdistrict contrary to what the planning -- which she said. commissioner wu: does the project sponsor half of -- have response? >> there was a license that predates the alcohol special district. the alcohol special use district contains conditions of approval. in other words, you have to comply with certain conditions. this license predated that. if someone picked it up within 30 days, they would be exempt from those conditions that are

contained in the mission alcohol restricted use district. the conditions that say no more than a square footage, you cannot sell 40's, highly fortified wine. the lessons we have picked up is subject to those restrictions -- license we have picked up is subject to those restrictions. we will comply with that. commissioner wu: a license itself did not expire within those 30 days. >> did not. it still has a life but it is issued by abc. it can be purchased. it is no longer exempt from the controls. it would have been a nonconforming use. to start talking about technical terms, if it would have

continued that. in order to do that it would have to do that in 30 days. there is no desire or intent to avoid the restrictions. >> just to clarify. what it boils down to is the 30- day limit is the control under the special use district. in order for them to continue that would have had to continue that license within 30 days. that license is still sort of floating in limbo. to continue to license, we would have to propose controls that it meets the definition -- does not meet the definition of a liquor store. that is where you get into the conditions related to the fortified wine or the amount of alcohol content and also the square footage. fresh and easy is not meeting that threshold, they are not considered a liquor store, therefore, there are allowed to move forward. commissioner wu: 01 to make some

comments around the nature of formula retail and whether or not formula retail is desirable in this location. there are the definitions of general grocery stores versus specialty. there is a grocery store called duke loy at 18th and mission. i find it provides a lot of the different kinds of foods you would want to buy in a grocery store. it is kind of a one-stop shop. say that the closest brush restore is a mile away could be technically true but there are a lot of groceries available in the neighborhood. i know this small corner store does not count but there are eight within the three blocks. i took a walk around this morning. i find a mission to be very different than the bayview. there is a lot of food available in the mission. there are organic produce, fresh

produce, and i think it is important to think about protecting the small businesses in the neighborhood along twenty-fourth, a long mission. this is my comments for now. commissioner borden: i had a question for staff. there was a mention of a violation of the law which is in a lawsuit. are there any violations that fresh and easy have against them related to a call? >> not that i am aware of. i cannot speak to the other sites with the exception of this one. commissioner borden: that is good. i have talked to other people. some like to shop at buy-rite. it is expensive, not everyone

can afford to shop there. that is the choice i do make. i probably will not be a user of the fresh and easy but there are other people who clearly will be users of the fresh and dave -- fresh and easy, should it doing to this location. it is unfortunate that there is a real discourse with that community and -- the community and the representatives of fresh and easy and i hope there could be more dialogue if fresh and easy intends to do more work in san francisco. it is important to understand the community and what their needs are. we have had a struggle, we have gone back and forth on the issue of grocery stores. we have seen a decline for a long time. albertson's left and so on. we have seen a resurgence with wholefoods which no one ever seems to protest about wholefoods because everyone

loves wholefoods because somehow they are held up to some pedestal. there are not union but people seem to local foods. i did not understand why. i do like whole foods. they get treated different ly than other stores do. the issue here, i would be supportive and we could put some things in place. one of the things i would want is however we could put something in about the local hiring, whether -- to meet the goals of the 100% local hiring. the condition about beer and wine sales only. that was their intent anyway. but i think if we put that in there, beer and wine would be the only thing they could sell, that would help. most kids are not trying to steal wine other grocery store.

if that is the case, the issue around self check out, if they are allowing people to come in and steal all call, that is a quick way to be out of -- steel alcohol, that is a quick way to be out of business. maybe there is a line that is not self check out. maybe we can create some protection around that issue. the other issue i have heard is wic, and we can make that as a condition of approval when they apply when it is available and offer it in -- and any of your sort of program that allows assistance for people to eat. i think those are the key things. the other thing i would want to add in the condition is they come back to us in a year with

hiring, measures around hiring, information about alcohol in particular. and also ongoing things, the outcome with the work with mission neighborhood center on the head start, i think that is a critical piece that has not been -- it has not been decided at this point, obviously but it is being hung out as something that will happen. it will be important to know that it did happen. i think that could be a good reason to support this. those are the things i would want to see because i think the community needs protections around those areas and we do need to have a way to have feedback in making sure that happens. i would want to make sure, we have in our conditional use that a community liaison is appointed but it would have to be someone at fresh and easy, at the store,

not someone affiliated with the project generally. it would have to be someone who has control on site. commissioner sugaya: i have a question for the project sponsor. i do not know the ins and outs of the wic program. obviously there has been some kind of moratorium in place at least twice within the last number of years which sounds like it prevents fresh and easy from even applying. we have had testimony from the public to the effect that you could apply for an exemption. could you elaborate on that a little bit? >> i can speak to that. when the announcement of the moratorium being put in place went to a fact, there was an opportunity to submit a list of locations they identified where

they would apply for wic during that time. we did submit a letter to the state with a list of sites, and on that list was the bay view store and we're currently in the application process right now. we're hoping in the next hopefully month or two months that it will be authorized there. it is not true that we did not apply for exemptions, it was not for all our stores but it was for a certain amount of stores. commissioner sugaya: thank you. it is disconcerting for a large, will run organization to come here and not know what the% of hiring is in two stores in san francisco when that has been a huge issue around this particular application.

you have had a continuance. there have been opportunities to hear someone come from our president is -- a representative, and said it -- say they do not know the percentages, it does not hit me right. also, someone else may be able to answer this. in terms of alcohol sales, i assume alcohol sales are essential to your business model, is that correct? and what percent of your overall retail sales are alcohol sales, of all kinds? >> it is a necessary component above -- a necessary component, but not exclusive. it is 5%. we offer beer and wine in the majority of our stores. commissioner sugaya: thank you.

a couple of questions to staff. can we control the type of checkouts in this building? >> i believe we can add a condition. commissioner sugaya: kelly ban alcohol sales in the establishment? we went around on this before. -- can we banned alcohol sales in this establishment? we went around and around where we were told we did not have tears in -- jurisdiction. i think that is a wrong interpretation but i will ask again. if we approve this, can one condition be no alcohol sales tax -- no alcohol sales? >> i do not know. i will try to find out. commissioner sugaya: you can

continue. commissioner miguel: i think commissioner sugaya's comments are well taken. any organization like this should have their organization -- their hiring personages on the tip of their tongue and i find it extremely disconcerting to not have those in front of us when they know this is a very serious item in san francisco and on this agenda. aside from that, what i did not comment originally on, i did notice my own notes was the concept of the automatic check out in general. safeway is experimenting with it on a small-scale. it is my and standing they will continue as experimenting with this -- my understanding they will continue experimenting

with this nationwide. what you hear -- half of you remember when you were forbidden by state law to put gas in your own gas tank. it is still true in oregon or was the last time i was up there. it could not do it. and now, -- you could not do it. and now unless you have a disabled sticker, you are not allowed to have them do it, in effect. service station employees themselves. it is similar in that regard. i know what effects the number of employees, but it is something that perhaps 20 years from now to an increasing number of this.