are being recognized for their efforts. they are being awarded the gold medal of valor. [applause]

>> captain paul chignell, along with officers tastings ahastingd lopez. >> good evening to you all. my pleasure to introduce richard hastings and that lopez. -- matt lopez. saturday, july 16, 2011, officer richard hastings and asked matt lopez were on duty and in uniform. their primary assignment was to be on a fixed post detail on the

imminence of a railway platform on third street between oakdale avenue and plu avenue. this platform and the surrounding areas are notorious for high incidence of robberies, aggravated assaults, indiscriminate shootings, gang activity, illegal firearm possession, as well as a multitude of quality of life cripes. the bayview station has dedicated a high-level police resources to this area, particularly to a recent rash of robberies on and adjacent to the platform. well on the platform, officers tastings and lopez contacted the subject later identified as kenneth harding jr.. he was on the railway vehicle. the officers determined the suspect was riding without benefit obtained. the officers escorted the subject off of the vehicle without incident and requested he sit down on one of the

benches nearby. mr. harding complied with that request well officer lopez conducted a standard warrant record check. as he heard officers radio transmission, he suddenly leapt to his feet and started to run east across third street into the crowded plaza with officers and foot pursuit. suddenly, and from a distance of 10 feet from the pursuing officers, harding a ride of the northern part of the plaza and reached his right hand under his left arm and then fired several rounds from his handgun at both of the officers. the officers immediately engaged in a firefight with the suspect. he then it fell to the ground, suffering a gunshot wounds. officers approached the suspect to taken into custody and render medical aid. numerous responding officers arrived on the scene and

observed the officers surrounded by a mob, many of whom were screaming and provoking hostility towards officers. as they attempted to secure the time seen -- crime scene, the mom became increasingly provocative with the threats directed towards officers. ultimately officers from four police stations and the tactical unit arrived to clear the plaza of the mall. in the aftermath of the shooting, it was determine the suspect was of recidivist criminal who was wanted in seattle, washington, for the murder of young, pregnant woman just one week before. this inference is the police department delayed -- delineates the criteria that must be met for an officer of the san francisco police department to be awarded the medal of valor. that includes outstanding bravery beyond that expected in a line of duty, or failure to take such action would not

justify censure. with the rest of life actually existed and officer had time to evaluate the risk, and where the objective is of the sufficient importance to the risk, and lastly and most importantly, where the officer accomplish the objective. on july 16, 2011, officer richard hastings and matthew lopez the kill each and every requested criteria for the medal of valor. they exemplified bravery of the highest level. in doing their duty and deterred by the fact that their lives were in imminent peril. they engaged in a gunbattle with a career criminal who was engaged with the ones in respect for public life and wanted to escape to not be held accountable for a vicious murder. san francisco police officers know at any time and anywhere they need to put their lives on the line to do their duty to stop a criminal.

july 16, 2011, officer richard hastings and mathew lopez put their lives on the line and did their duty. for that, they're being awarded the most prestigious award, the gold medal of valor. [applause]

>> those were the last of the nominees and recipients. the chief amount to the closing. -- will now do the closing. many of the people on the stage and an audience were present. as amazing as the stories were, you had to see it to believe it. some of the actions these officers took. we recognize the tennis solomon a moment ago, but i want to recognize something. many of officers recognize are not first generation san francisco police officers. four of the six are not first generation san francisco police

officers. can i get the other generation of police officers that gave us these police officers to stand up and be recognized. [applause] >> talk about raising your kids right. another recognition i want to make is we are going to experience in the next 30 days of record exit of police officers, especially commissioned officers due to the sun setting of the retirement program. many of the people that are going out red nominations tonight. if i could, all officers that will be retiring and leaving us, they we think you for your service by getting you to stand. [applause]

that is going to close our program. know that all of these officers when they get back to work, they will go out again looking for trouble and probably find it. i trust they will demonstrate again what these officers do every day, and that is keep this city safe. the command staff and commission will be available for pictures. family and kids for sure. if you can get your metal back from this little guy. thank you very much. hopefully we will see you all again soon. keep the officers in your thoughts and prayers. keep them safe. [applause]

>> thank you. good morning, everyone.

thank you very much. as many of you know, i'm a person that doesn't like a whole lot of drama. but i do want to make sure that we take this opportunity to enjoy. this budget is one that's important to all of us, it certainly is one to me and one that reflects a lot of great work. first of all, let me thank everybody for coming this morning. certainly board president david chiu for helping me co-host this and carmen chu and her work with us already started and will help guide us, along with board president david chiu on all of the hearings that the rest of the board will have. i want to thank each and every member of the board of supervisors as well. you've been weighing in and we've been creating a different dialogue on the front end to

make sure that all of our constituents know what we're doing, more transparent, and ultimately where our values are. i also want a big shout-out and thanks to everybody in this room. there's a lot of department heads and commissions and labor representatives and representatives from our non-profits and community members as well. thank you for engaging us in this really dedicated six-month process. i want to go back to the very first neighborhood budget hearing that we held about almost six months ago. it was one where i was asked at the very beginning, what does the budget mean to you? and i wasn't the only one. there were several supervisors that were there, and we all said pretty much the same thing. it really is a reflection of our values as a city and it's one that we want to work hard at, but ultimately it is who we are and it's a combined effort

here, a collaborative effort. so it still is that way, and you'll see from the highlights that we'll be announcing today, as reflected in this budget, it still is a reflection of all of our values. so good morning, everybody. thank you for joining me here today. again, thank you for board president chiu and budget chair carmen chu and all the others that i've identified here today. i also want to say at the outset this budget reflects countless hours of work. a lot of work behind the scenes. in addition to all the neighborhood budget meetings that we had, there were numerous, numerous staff meetings. kate howard's done a wonderful job with her staff. they've met with all of the different departments -- [applause]

this is her first full year budget working with us and she's done a great job and her staff has done a great job. it isn't just putting numbers together, it's listening to each of the finance personnel from each department, it is engaging in the numerous meetings that we have with community, it's engaging with staff of the various supervisors, the non-profits. we had special meetings help, it was health and human services and housing and homeless advocates and others. she was there and her staff was there at every turn making sure that we listened and it reflected in both number-crunching and challenging what the priorities are and so forth. also want to give a shout-out to steve cava. steve, wonderful with all your work. [applause] it's not easy.

you and micki callahan, it's really not easy at all to face a year when there's 27 contracts open, trying to face everybody in the room, trying to make sure that we can make promises we can keep. having been a former employees relations director, i know that keeping promises with our labor representative is critical to building trust and to make sure that we carry out and we honor all that they do every single day in carrying out services for us. to all the department heads and your wonderful staffs, thank you. i also want to make sure i acknowledge all of our labor unions, all of our representatives. for years you've worked with us and sacrificed and bemoaned the bad budget years, but you've stepped up in every occasion. for the department heads and

non-department heads who we've shared challenges with, thank you for sacrificing so many years. and now we get to, i think, a budget that has some relatively good news and a good foundation. this year we begin the hard work of presenting the city's first two-year budget. and we began that year with a $263 million deficit for our general fund. and then the coming year, the second year of $375 million shortfall. that's what we faced at the very beginning. but because of the fiscal discipline that we put in process, a discipline that's reflected in the great work of ben rose enfield and his staff and the controller's office that keeps reminding me of the credit ratings of our city and that we must make sure that we do things in a very solid financial way, we made investments in job creation and we made commitments to reform with that guidance.

now san francisco's economy is recovering and reserves are going. in fact, during the last nine months the controller has reported that our revenues were $172 million more than projected. this is good news. this is good news, but it did not come without commitments, without sacrifice by everybody and all the groups represented in this room. i would like to again thank owe employee unions for working with us to find a common goal, saving more than $28 million in your contract negotiations with us. i'm happy to report that i'm presenting a responsible and balanced two-year budget. while we spare the city the deep cuts we've experienced over the last several years and one that i present to you in a san francisco economy that's recovering, in this budget you will see investments. investments that ensure that people who live, work and visit

our city feel safe, investments that protect our social safety net that supports seniors and youth, low-income and working-class families, investments that support our neighborhoods, our infrastructure and our commercial corridors. this budget reflects a lot of collaboration and partnership with our san francisco community. one thing we agreed on early was that in a time of state and federal cuts, protecting our social safety net is more important than ever, and in this budget i've rejected all service reductions in our health department and human service agencies. [applause] s i've included full restoration of federal cuts to programs and services that serve people with h.i.v. and aids.

the loss of redevelopment has been a severe blow to our city, especially for this first street corridor. so we will invest in economic initiatives in the heart of bayview to stabilize businesses and attract new ones. [applause] we will also continue our investment in central market and especially sixth street, where the elimination of redevelopment has left a gap in services. with our community partners and including the very spirited arts community that's been so wonderful in helping us lead that effort, we'll support businesses in that sector, attract new ones, and keep the area clean and safe. we will also invest in the youth of sfsk and in their education. i will propose releasing the $6

million in rainy day funds to support our public schools, to offset the state's deep cuts to education. [applause] most importantly in this budget we are putting san franciscans back to work. you've heard me say on many occasions recently our unemployment rate dropped from 9.6% in early 2011 to 7.4% today, our lowest since 2008. [applause] we, as a city, along with our business partners and every neighborhood, we created 22,500 net new jobs in san francisco in just the last year. [applause] that's good. that is really good, but we need to do more. with this budget we are continuing to invest in strategies and incentivized job creation, training, and place

our residents for their jobs for the 21st sent re. we are creating a climate that gives entrepreneurs and investors confidence in our city, allowing them to work with us to innovate, grow and create jobs, whether they are in neighborhoods, small businesses or tech start-up or a thriving global headquarters. in neighborhoods, we are more than doubling grants available to small businesses, and we are including $4 million for neighborhood commercial districts through our new invest in neighborhood strategy. that includes job squad and the recapitalize the small business revolving loan fund. we are bringing staal to the neighborhoods -- city hall to the neighborhoods where it belongs, to support small businesses. my proposed budget includes $4 million in smart capital investments and $441 million in smart capital investments in

our city's 10-year capital plan to improve and invest in the city's infrastructure. [applause] over the next two years we'll invest in and improve or water system and continue investing in our waterfront. we will also continue to invest in our parks. and i've joined the members of the board of supervisors to introduce $195 million bond measure to keep our parks clean and safe. [applause] all told, over the next two years enterprise departments will spend more than -- will actually support more than 8,700 jobs in san francisco by infusing $1.3 billion into our local economy. as our economy grows and as we add jobs, we must redouble our efforts to expand housing

opportunities and build more housing for people at every income level. i get it. i know there's anxiety out there, because rents are start together creep up again in every neighborhood as our economy recovers. but the answer to scarce housing and rising rents is not to stop growing our economy or creating jobs. that's why we proposed the housing trust fund measure for this november, to create a permanent source of housing and revenue to fund the production of housing at every level of our economic spectrum. i am pleased to share with you, too, that my budget also includes a six-year police and fire hiring plan. [applause] this hiring plan for police and fire will train the next generation of san francisco public safety personnel. we are planning for anticipated retirement, reducing overtime

and making sure our public safety departments are appropriately stand. mow, of course, this submission of the bubt is not the end of the process. i've looked forward to working with the full board to ensure that our residents receive quality services while we balance the budget and continue in our economic recovery. i again want to recognize supervisor carmen chu and the board of supervisors for their steadfast leadership and commitment to building a collaborative process, backed up with our board president, david chiu. thank you steve cava, chief of staff, thank you budget office, director kate howard, and to best rosenfeld, thank you to you and your wonderful staff and i will advance, thank you harvey rose, for his work he'll be doing. this is very less dramatic presentation, i know that. but all the work that's been done in a very comprehensive

way, and i want you to know that the values of the city are intact, we are moving forward, and we are investing in all of our neighbors in san francisco. thank you very much. [applause] ok, back to work.

>> good morning. i want to thank everyone for coming. you can tell by the group as an old -- assembled around me that the mayor has a big announcement to think. i want to thank the supervisors for taking time out of their day to be here. we have the police commission, fire commission, command stocks of both police and fire, the current class in the police academy, and the presidents of local 798 and the poa. without further ado, the mayor of san francisco, ed lee. >> good morning. thank you for joining me here at the san francisco police academy. also for joining the men and

women who serve our city and all their public safety responsibilities. i want to thank the supervisors that are here today. certainly i want to think chief suhr as well as chief hayes- white for being here. i want to give my personal operation -- appreciation to tom o'connor and our police officers association for working so closely with us. we have some great announcements today and something that no have been waiting on for quite some time. but before i do that, i just want to express to the cadets that standing behind me, i really want to thank you for all of your work for the police and fire commissioners. i cannot really stand -- say enough about your commitment, your family's commitment, your dedication to our city as you complete your training here. to our fire personnel,

especially our fire department training staff, thank you for your continued service in your important work in training the next generation of firefighters. the first for our police department. the police to barman is committed to being a world-class police department. a leader among urban police departments by hiring and promoting talented officers and professional staff, employing the highest standards of performance, the best practices in policing and accountability, and reflecting the values of world-class city that it deserves. we have brought the city's violent crime rate down to historic lows and implemented in a bit of crime-prevention strategies to keep san francisco the safest big city in our country. our officers have dedicated long hours to protecting our citizens and have shown a commitment to finding better methods to deliver police services to victims of crime. volunteer time, both on and off

duty to provide at-risk kids an opportunity and positive attitude with in their neighborhoods. a goal to be a mentor to new officers as they begin a career in a dangerous yet rewarding profession. with the expiration of the deferred retirement option program, the so-called drop program, the department is certain there will continue to be significant retirements. the program will end in june 2014 and will have a total of attrition of 265 officers over the three-year time span that began in 2011. so today, i am here to announce to chief suhr that we have developed a multi-year staffing program that will reach the city charter mandated 1971 folded the officers. in the next two-year budget, which will benv