>> we have issued a second violation it should be scheduled for a director's hearing at our department and we're taking steps to follow up on enforcement since we haven't signed off the work at this point. >> okay thank you. >> thank you. the appellant want to come for 3 more minutes? thank you the engineer >> came up with

the city of san francisco sfgtv meeting of the san francisco budget and finance subcommittee occurring may 15, 2013, will begin shortly.

>> good morning everyone, welcome to the san francisco budget and finance subcommittee meeting for wednesday may 15th, 2012, i'm mark ferrill also

joined by kim and london breed. and mr. clerk do you have any announcements >> silence all cell phones and devices. please include all of the documents to be part of the file should be submitted to the clerk, and they will appear on the may 21st agenda unless otherwise stated. >> i want to thank the members of sf tv, we are not going to be having the regular one clock and we have most of the items here. >> mr. clerk, could you call items 9, 10, 11 first. >> nine, ordinance amending the park code to designate portions of the property leased by staoet and county of san francisco under and adjacent to

the portions of the central freeway located between otis and stevenson street and between valencia and stevenson street and partially bounded by the duboce avenue and referred to as the south of market and west state park and dog park as a park within the meaning of the park code and to authorize the recreation and parks department to control these portions. >> ten, resolution approving the execution of air space lease known as block number 3513, lot number 071, and located along doboce street between otis and stevenson street and by and between the city and county of san francisco and the state of california, acting by and through the department of transportation for the initial term of 20 years and rent of $10,000. number eleven resolution approving for the execution of the air poser lease known as 3513 lot number 074 and located under the highway 101 here

duboce street and between valencia street and stevenson street by and between the city and county of san francisco actleing through the department of transportation for term of 20 years and $2,335,343. >> thank you, mr. clerk, and these items are sponsored by supervisor kim. >> thank you, chair farrell. >> today really a combination of 13 years of organizing work that has been occurring in this part of district six. we are calling it the south of market west, state and dog parks, which will be built on the right-of-way parcels located under the central freeway between valnecia and otis street and in order to maintain the sites and facilities the office has been partnering with the mayor's office of economic development

and the community to negotiate a final lease agreement with cal transand it is a lengthy process and it is something that we have been working on since we came into the office two and a half years ago. and to that end, i really want to acknowledge the very hard work of john updike and his department and carroll wong from the city attorney's office and our staff at the mayor's office of economic development and former and current, ken rich and kelley, and camson and also a resident of this part of our district who have been logging very long hours to try to reach an agreement with cal trans, and fully funded development of this park, the city has done a tremendous job reaching an agreement for a lengthy process for a blended park model that prioritizes recreational usage for the dogs and use and? ing that we have heard over the years when we are serving the community. and i know that i say this over and over again, but district six, as well as district three

has the least amount of open space per capita per resident and the opening of two new parks is a big deal for our community and so we are excited to be able to put this forward today. i do want to bring upjohn updike to present these leases to the committee, thank you mr. updike. >> thank you. >> supervisor kim, good morning members, director of real estate and i am going to speak to the real estate aspects of this and we will have additional details to follow me and we will bring to you as the supervisor said two 20 year leases of cal transproperties and ordinance to amend the park code. and so the geniusis a

comenysing of proposition i and for cal trans2000. and those address the fate of the former freeway damaged from the 1989 quake. and so prop i and the agreement related in a transfer of many cal transassets to the city, including direction on how to use the proceeds of leasing and sales revenues of those parcels by the city. and so in addition to delivering transportation improvements, octavia as we know it today and new developments with the sales of the robust elements and there are in the similar projects that were to be developed and that is why we are here with this item and the input of the supervisor mentioned has led us to the day where we can secure these two properties initially for a term of 20 years, longer with extensions. and for the uses that the dog park and skate park and some activists. spaoes first to 130384, that is primarily for the skate park and initial of $1,000 per month

and increases steadily each year and there is a schedule in the lease and the budget analyst report. and the final year is at $14,859 per month. and we have one option for renewal and that is ten-year and that will be at fair market rent. the other file, 130385, is also a lease of 20 years. and it is for the dog park and adjacent new parking lot. that lease is what we call a capitalized lease. so the payments there are made up front for the term and by doing this, the city saves some funds due to the discount rate that is applied by paying all at once that payment is $2,335,343 and on this one we also have a one oping for ten years at fair market rent, these options are at the city's discretion we. would like to

pursue one as a capalized lease that they do provide sufficient cash to allow us that opportunity. so we took emergency of cal transability to deliver that kind of lease. this is out of the order for cal trans. additionally a portion of the dog park is set aside for parking that is parking will be secure and it will serve primarily city fleet needs and provide modest income from the department that parks the vehicles there which is the human services agency, they currently sublease existing parking spaces. so, this is a replication of what already goes on but in a more secure environment and will be used to offset the leasing forward and so i would like to bring them up who will give you more detail about the over all park effort in these lots. and thank you, john, and good

morning, supervisors, and with the office of economic and workforce development and i am going bring up a quick presentation if i could have the screen. just a quick reminder that you have three items in front of you the two leased and the park code ordinance that extends the park code on to the new park portions of the two parcels. but, not on the real estate managed parking area. and just to recap as supervisor kim mentioned, parts of the products are a ten-year community planning process which i would just like to take a moment to recognize as so many of the folks in the community have helped us and as you know h approved

the freeway north of market street in 2000, and the city opened up into a agreement. in exchange for this land we are obligated to sell the parcel to construct the boulevard as well as create other projects to mitigate the impact of the freeway on the surrounding neighborhood and just quickly to date, the projects that have been complete are in front of you in this chart, and these projects were performed and prioritized by the transportation khor which conducted a process with the central freeway committee which began in 2004, and in 2006, they prioritized these projects in front of you and the cal transright-of-way improvements. which are the dog play area and skate park are among the remaining projects to be complete. through the process of 16 meetings in 2007 to 2013, the

community with the city staff and these cal transright-of-way improvements in to the proposed dog run and skate park uses. to orient you to the area, market street is running along the top left corner of the map. and the middle lot is the west is soma dog play area and the skate park is in the lower right corner. so on the left of the screen, you have the dog park improvements. half of the lot will be operated by the department of real estate to park the city cars and the other half of the lot, the green portion is the dog park and it is a pilot program project for the use of synthetic turf, the subject will be divided into two years, one for large dogs and small and a green wall will be planted with jasmin, the state park desin fuses the state

elements requested by the workshop participants and a city wide gap in the elements mainly the lowreating opportuni know already reviewed the lease terms with you, they entered into a maintenance use of these, and under this agreement, the maintenance and security for the city, parking areas on the cal transparcel, located between valencia and stevenson street. rec park will maintain the uses on both parcels and also in front of you is the ordinance, and this is needed to provide clear authority to the rec parks department to enforce the code on each of the park areas, this amendment is necessary because the parcels must be leased and cannot be purchased

from cal transand effective through and including rec park ownership of the space and however in other aspects these spaces will look and feel like a public park, the ordinance is needed to create a uniform set of expectations. and from the rec recreation and parks department is here and can answer the questions that you have about the ordinance i want to highlight the sources of funds used for not only leasing the parcels but the funds will be used for capitol improvement and maintenance all of which come from the sale of the central freeway parcels and the octavia boulevard fund. >> and just to give you the highlights of what we can expect moving forward t will start in july and it will be open in the pring of 2014.

thank you. is that it, i am sorry. this is such a big project for us i am expecting more. so i don't have any further comments on this item so we can go to the bob evansing and legislative analyst report. >> mr. chairman, supervisor, breed, and kim. on page 33 of our report, in the fiscal impact section, we are pointing out that the estimated cost to construct the skate park is 1.7 million and the cost to construct the dog park is 1.1 million and so that is a total cost of 2.8 million

in construction costs. and we also report that the further skate park, the city, and as mr. updike has already stated, city will pay $10 per month from july, 2013, to 14, and that increased two percent annually and on page 33 of our report and that will be over a 20 year period and so that will be a total course over that period. and on page 34, supervisors, and as he stated it is on table one on page 3 of our report, for the dog park, the city will pay cal transfor a one time

total of $2 million, 335,343, that will be up front for the initial term of the lease. we recommend that you approve the resolutions and the ordinance and i would be happy to respond to any questions. >> thank you, are there any questions from the committee members? >> supervisor breed. >> specifically one of the things that was in our last committee meeting was the fact that rec and park has limited park patrol officers to patrol the existing parks and in the resolution that is introduced it is changing the code to it add yet another area that park patrol has to add now to their large scope of places that they need to patrol. and i am just trying to

understand, exactly, why are we n't necessarily have not only the capacity, to patrol the existing park land, and the capacity to even maintain our existing portfolio or parks throughout san francisco. >> the property for the records and parks department. and the... those are two separate questions on the maintenance, we do have a dedicated funding source for the ongoing maintenance of the two parks. >> where is that coming from? >> from the octavia funds and we estimate those to be $85,000 a year and there is as part of the departmental mlu which is attached to your packet there is a funding for a shortfall, given the fact that the department will not be paying the ongoing costs, of leasing

the space as well as the up front cost of construction. regarding park control, it is not as healthy as we hope it to be and then our resources are stretched very thin but these two park leases are at the top of our priority list and not only in terms of geographically where we need the park space but llowing us to helping us to walk through the building. we had opportunities to talk with the tenants. it's uncertain how the moving of the tenants is going. every time we had the walk through we had the operator and yesterday we have a convenient what's the strategy and the plan? >> do you have a concrete plan?

it looks like the improvement is all over the place. but we did raise concerns about the bathroom in each floors that hasn't been addressed any of them. and you asked them do you want to take care of the bathrooms because there are people who are disabled. but today they provided the moving plan but i didn't see any concrete days on how they're going to help the tenants and giving them only two days the move. you have to give them mentally - but a couple of of the tenants

we talked to didn't know they were moving. so but we did see good progress and it wouldn't have happened if we weren't in the this every week because they knew we were coming. we have been in this building before and after the last hearing and when we were told you know, i have to allow the anti reach folks to get in we saw definitely an intense amount of work going on. thank you >> thank you any other public comment? >> first of all, i appreciate

the s r l coming out. - >> excuse me. not public comments? >> any other public comment? any questions from the commissioners? >> not a question but i think i would like to see say, i appreciate the work that's been done. we see a lot of problem buildings and oftentimes we are locked in battles around trying to make sure that taeptsz are living in conditions that are habitual. the work that's been done is great we appreciate that. i would tend to want to give the 60 days to cure the violations. the violations were there. i don't think there's an argument about that so

consistent with what's been doing we can consider, you know, supporting the order of abatement and holding it in awe bans hopefully, we, see a building we can be proud of and i just want to add that i appreciate that the owners working with the community groups to allow them in. i know there needs to be a lot of education with the tenants as well it's a hard process to understand that. they can help with the education so they're not just hearing about the offer of the building folks but