in the report -- mags. commissioner avalos: i found it interesting in the report, one of the primary factors being considered, that there are a lot of bids that turned out to be not able to get to the mag. i'm wondering how common that was in the past just for my own information. >> i believe that that may have been part of why this is separated out from the original package that came to you. airport staff who looks at these mags and traffic and projected sales i think we are just not comfortable with the concepts that were originally prevented. meaning they probably wouldn't going to get close to their mag. commissioner avalos: was that paced on experience? a -- based on experience? >> i think it's based on looking what happened in the past. location of the different sites. and the traffic that we anticipate to be moving through there. that is why i believe this came

as a separate item. they brought it back in house to re-evaluate and look at different concepts that would ensure better success so that we would prefer that they exceed the mag, obviously, and pay on a percentage of gross revenues. but that everyone was more comfortable they could get close to the mag and we wouldn't have to come back and say we need to re-evaluate this in the future. commissioner avalos: thank you. supervisor elsbernd. commissioner elsbernd not so much a question as it is a complement. if you read or anybody read the articles from the "l.a. times" over the weekend about all the horrendous bidding process that is happening down in l.a.x. for the concessions down there and how it goes on and on and on and on, i just say to any airline watching, anybody considering do we want s.f.o. or l.a.x., watch the process here, see how it works and your answer will come

to you quite quickly. >> thank you, supervisor. commissioner avalos: supervisor mirkarimi. commissioner mirkarimi: thank you. earlier this year we had a conversation with director martin and the question came up and wasn't answered at the time and said he would get back to us is this is considered san francisco property, correct? so that when businesses are contracting with the city, the question was is, what level of compliance was there our work force for source agreements for these contracts extended on airport property? so in this particular case, how would that play itself out in terms of their requirements and compliance in hiring people as it sees fit with our local first source hiring requirements? >> if memory serves, i know that we looked at the extensively during the budget process. i do think something was produced. i will make sure that whatever

it was we gathered i get to you. my recollection is that the first source hiring requirements are part -- will be part of these new leases as they would be with any contract. we would use the language that the city requires us to use with any new contract. so the first source requirement language would be a part of these -- is a part of these new contracts. commissioner mirkarimi: can you just confirm that this is exactly the automatic sort of part of your system as well, too? there had been some confusion in the conversation if that was really the case or not. >> i will confirm it. my memory was that we -- the language, first source language is required to be included but there were some questions about the reporting that happened after the fact. i will confirm that for you. commissioner mirkarimi: thank you. appreciate that.

go to public comment. commissioner avalos: we can open this up for public comment. these two items. item number and 9. two 8 an 9. we'll do two minutes. >> budget and finance pauler paulsen. i see they'll be leaving on a bart train, ♪ and i hope that it's a good prize oh, i know you like to ride the bart train there's so many stations you can be found and the price is great all around i know it will be good all the time you're leaving on a bart train and i know the price is going to stay the same oh i know you like to ride the train

and you can be found in every station along the way and i know you're going to make it good today and come fly a good concession price come fly come fly away it's going to be great you're going to fix it the price because that's going to be done today come fly with me let's fly with me let's make pack it up and let's pack the price up and fly away in city land it's going to be a good concession price today and we're going to fix it up and fix it up the way the city way come fly with me come fly a good price for this concession item nine

and eight today ♪ commissioner avalos: thank you. if there are no other members of the public who would like to comment on these two items we'll close public comment. and colleagues,. >> motion to advance with recommendation. commissioner avalos: ok. we'll take that without objection. those two items will go to the full board with recommendations. mr. young, if you can call our last item, number 10, please. >> item number 10, resolution authorizing the lease of 1,426 square feet of space, a license of 2,400 square feet and the shared use space of 1,360 square feet to the elias m. nasra and family partnership, california general partnership, and city hall low created at 1 dr. carlton b. goodlett place. commissioner avalos: welcome. >> welcome back.

members of the committee. assistant director of real estate. so i want to give you a little bit of background as to how we arrived at what's before you today. back in early 2007, mccall, who is operating a mobile cafe operation in the north light court terminated their lease. following that termination we decided to pursue a social enterprise and cafe operation in the north light court. and this board approved a recommendation to have juma ventures operate that which lasted from spring of 2008 until, unfortunately, spring of 2009 when their financials were just not performing at all. so they elected to affect and early termination. there was a penalty associated with that early termination in terms of forfeiture of their

security deposit. which actually made the city financially whole until currently. now it's in agreement that results from a competitive solicitation process an offering of one operator for both the north light court and the ground floor cafe. we are not recommending the current operator, chaun su park and i'm personally handling discussion was her counsel to ensure that our transition to a new operator should what's being presented is approved is smooth and any funds potentially owed for unadvertised value of improvements or other things associated with her initial lease are fairly lined out and she's compensated accordingly. those discussions will go on a separate track add mrltively in accordance with her current lease. the item before you today is

simply the new lease. what i'd like to do is introduce your new building manager who we promoted back in december of 2009, rob ryder, don't know if you had a chance to meet him. he will provide you with the details of the current lease under consideration. commissioner avalos: thank you. mr. ryder, welcome. >> thank you very much. the lease before you is a five-year term lease at $1,500 a month or $18,000 a year. the -- it also has a c.p.i. index in terms of increases. the operation of the north light court lease and ground floor lease will be as john updike mentioned, a unified operator. the cafe on the north light court will be offering other amenities, sundries, a wifi service, paper magazine, period cals -- periodicals, a small flourist as well. under this lease the operator will be using sustainable foods

and healthy food choices, compoastable utensils, etc. if you have any questions, i can answer those now. >> thank you. >> mr. chairman, members of the committee. as has been stated this was an r.f.p. process. the winning recommended bidder is elias m. nasra and family partnership. you can see on page 3 of our report in table one their rental bid amount of $1,500 or $18,000 a year. we recommend that you approve this legislation. i would point out that if you look over the past several years, actually this $18,000 represents an increase of about

$9,000, $9,796 more than what we had been receiving in prior years from the nonprofit. that's simply a fact based on the r.f.p. process just by itself we would recommend approval. commissioner avalos: thank you, mr. rhodes. supervisor? commissioner elsbernd a couple questions. should this get approved in the normal legislative process, the new operator would take their place on what date? when would people be purchasing from somebody new downstairs? >> approximately end of october, first of november is likely our transition date. commissioner elsbernd then the budget analysis report did not have this. not that they should. are there any existing facilities that the winning -- the proposed contractor currently operates that would be examples that we would know? >> yes, good question. currently the family operates

the facility at the courthouse. also recently awarded the operation in the lower level cafe at the main library. which is -- has been a successful venture there as well. commissioner avalos: if we approve that, was that early this year or last year? >> i believe it was early this year. commissioner avalos: just a question i have. i know the current leasee downstairs has been concerned about -- you referenced them, mr. updike, in your presentation that there's still some contention about capital improvements that have been made there and whether there's going to be -- you are working that out with your counsel you said. could you say more about that? is it something you can talk more about?

>> the issue is simply the initial cost to acquire furniture, fixtures, and equipment upon her assumption of the prior agreement between l. and l partnership who received the first award for operation of that ground floor, and then she was assigned that particular right. and acquired some restaurant equipment at that time. so we are simply negotiating whether consistent with the lease there might be funds owed as a result of an inability to amortize that value of those improvements. we believe that sum will be relatively nominal because the lease has run out for its current term. and any extensions available is currently on a month to month situation. we are going to do our utmost to be as fair as we can for her. commissioner avalos: thank you. commissioner mirkarimi: one

question was answered regarding other businesses f. there were others the nasra family has facilitated. it's a good answer. thank you. have we ever required there to be a uniform vendor between the north light court and downstairs as well? or is this the first time? >> since the remodel, yes, this will be the unified operation and it will solve the logistical and competition issues we have had in the building. we are looking forward to having unified operations. commissioner mirkarimi: it sounds cleaner and more fluid. what is the savings in that regard in us being able to link up the ground floor and the basement? >> i think the budget analyst hit the nail on the head in terms of the revenue we are expecting. i think it's reflected in the response when one operator has the ability to capture the entire marketplace for food service in city hall.

it's a pump in our revenue. there's some, i think, efficiencies that are gained by sharing the furniture and fixtures that drive both operations. so there's some efficiencies by the operator. that's reflected in the revenue paid to the city. commissioner mirkarimi: there was also an attempt a few years ago after the remodel to restale san francisco-only frod -- products in also north light court s there any discussion about resurrecting that as well, too? >> i would simply say informal, we have tossed that idea around over the last couple years since city store ceased to exist on that area of the north light court. this begins to bring that concept back in terms of having a little bit of retail beyond the existing cafe operations. i think this gives us perhaps a chance to test some things out. commissioner mirkarimi: the current operator in the

basement, were they not able to provide, i think, what would be the hopeful sort of answers to running both ground floor and basement operation? >> i think the ratings included in the package would speak for themselves. we did have a robust group who assisted rob in vetting the proposals and scoring them. so we felt comfortable with the committee's recommendation and their scoring. it really wasn't -- quite a large spread from first to final place. a commissioner mirkarimi: thank you. commissioner avalos: just a question, mr. updike, i know one issue with the north light site is that it will be intermittantly used. how is that going to be accommodated for in terms of any capital improvements? if there's not going to be a

kitchen in place, how will that function with the downstairs kitchen? >> the north light court operation is to retain its mobility so we don't get in the way of special event revenue which is so crucial to the operations of city hall. we worked closely with the special events group to assure we got a process that's solid for any early close up of the operation so that the event staff can move in and mobilize. that's not unlike what we have done before when both mccalls was operating and jumo was operating. we had a smooth process. commissioner avalos: storage as well for the vendor? >> yes. there is storage. that's part of the premises description in the package. commissioner avalos: food prep? >> will happen downstairs. >> we believe so, yes. commissioner elsbernd one more question. in the past, i'm not sure if it was executive orders or what the

press release or what the mayor has talked about, mandates about, no soda machines, things like that. are there going to be restrictions on what this vendor is able to sell and what they are not able to sell? >> yes. consistent with the executive director directive relative to healthy foods initiative, actually the existing vendor has working with the current vending machine operator, has changed the product in the lower level. if you take a look there are new healthy food options. that are in conformance with the directive. and our incoming operator has indicated a willingness and openness encouraging -- commissioner elsbernd will super ayesor campos and i still be able to get the diet coax downstairs? >> yes. commissioner mirkarimi: that's so much healthier. commissioner avalos: i like the

sound of diet coke opening in the board chamber, actually. ok, we can open this up for public comment. any member of the public who would like to comment, please come forward. >> ♪ north to the north light court we're going to fix it up north to the city hall north light court we're north we're going to fix it up north to alaska we're going to north we're going north to fix it up you're a smooth operator smooth operator north in light court north fix it up now fix all the sale you're a smooth operator smooth north court light operator fix it up and north end sales

fix it up today crazy crazy for wanting better mental health crazy crazy to want to fix it up crazy to think that this building could hold you i'm crazy for crying and crazy for trying and i'm crazy for loving and wanting to fix it up for you this court this place was always on my mental health mind it was always on my mental health mind tell me tell me you're going to make it better all the time please fix it up fix it up make it real great fine today ♪

commissioner avalos: thank you very much. we can close public comment. did mr. rhodes talk about this? you did. so colleagues, can we move this forward with recommendation? without objection. very good. i believe that is our last item. so we are adjourned.

>> in this fabulously beautiful persidio national park and near golden gate and running like a scar is this ugly highway. that was built in 1936 at the same time as the bridge and at that time the presidio was an army and they didn't want civilians on their turf. and the road was built high. >> we need access and you have a 70 year-old facility that's inadequate for today's transportation needs. and in addition to that, you have the problem that it wasn't for site extenders.

>> the rating for the high viaduct is a higher rating than that collapsed. and it was sapped quite a while before used and it was rusty before installed. >> a state highway through a federal national park connecting an independently managed bridge to city streets. this is a prescription for complication. >> it became clear unless there was one catalyst organization that took it on as a challenge, it wouldn't happen and we did that and for people to advocate. and the project has a

structural rating of 2 out of 100. >> you can see the rusting reinforcing in the concrete when you look at the edges now. the deck has steel reinforcing that's corroded and lost 2/3's of its strength. >> this was accelerated in 1989 when the earthquake hit and cal came in and strengthened but can't bring to standards. to fix this road will cost more than to replace. and for the last 18 years, we have been working on a design to replace the road way, but to do in a way that makes it appropriate to be in a national park and not army post. >> i would say it's one of the

most ugly structure, and it's a barrier between the mar sh and presidio. and this is a place and i brought my dogs and grandchildren and had a picnic lunch and it was memorable to use them when we come here. what would it look like when the design and development is completed. and we are not sure we want an eight lane highway going through this town. and it's a beautiful area in a national seaport area on the planet. >> the road is going to be so different. it's really a park way, and it's a parkway through the

national park. and they make the road disapeer to the national park. >> and the road is about 20 feet lower, normally midday, you go through it in two minutes. looking back from the golden gate bridge to presidio, you are more aware of the park land and less of the roads. and the viaduct will parallel the existing one and to the south and can be built while the existing one remains in operation. and the two bridges there with open space between them and your views constantly change and not aware of the traffic in the opposite direction and notice the views more. and the lanes of course are a

foot wider than they are today. and they will be shoulders and if your car is disabled, you can pull off to the edge. and the next area, the tunnel portal will have a view centered on the palace of fine arts and as you come out, you can see alkatrez island and bay. and the next area is about 1,000 feet long. and when you come into one, you can see through the other end. it's almost like driving through a building than through a tunnel. and noise from the roadway will be sheltered. and the traffic will be out of view. >> when you come out of the last sort tunnel and as you look forward, you see the golden dome of the palace of

fine arts and what more perfect way to come to san francisco through that gateway. >> it will be an amazing transformation. now you read it as one section, the road is a major barrier and then a wonderful strip along the water. all of those things are going to mesh together. >> right now the road really cuts off this area from public access. and with the new road, we will be able to open up the opportunity in a new way. >> this bunker that we see now is out of access for the general public. we are excited to completely rework this side and to open up the magnificent views. and what we want to do is add

to this wonderful amenity and restore this coastal bluff area and respect its military history and the doyle drive project is allowing us to do that recorrection. and this area is not splintered off. >> and we can see how dramatic a change it will be when doyle drive is suppressd and you have a cover that connects the cemetery to this project. it's historic on the statewide and national basis, but you could rush the project or put thought and time to create something of lasting public benefit. >> we really want this, for everyone to feel like it's a win situation. whether you are a