there is a lack of for a meeting of the mines, and it appears both sides have done that. i do think in the interests of moving forward this question, if we want to remove the word historic, i would be prepared to move this forward. >> are you prepared to move forward with it as it is? i am not prepared, so i would like to make roll-call vote and vote no. we can leave it the way it is. >> if taking of that word would make it? >> no. -- is taking out the word would make it? >> no. as soon as she gets a copy, why don't we vote on this item?

roll call vote. [calling votes] supervisor maxwell: no. >> we have two ayes and one no. >> madam clerk, i would like to take a three-minute break, and we will be back for our next item.

>> will you please read the item?

>> item #63 good information hearing on higher -- item #6. informational hearing on the san francisco local hiring policy for construction and related industries. >> it is informational only. i want to thank supervisor avalos for bringing this to us. supervisor avalos? >> thank you for coming out. yes, this is an informational hearing common -- hearing, and mostly we wanted to have this during the 30-day wait. because we have complex legislation, and we want to your concerns from community and

stakeholders better concerned about this legislation -- to your concerns from community and stakeholders that are concerned about this legislation. the actual hearing where we vote on it we are planning to happen november 22, the monday before the thanksgiving, so this is an opportunity to your concerns, and my office is planning to make amendments based on the comments that come to rest during this hearing. i want to thank you all for being here. sentences go's unemployment is holdings -- san francisco's unemployment is holding steady. supervisor maxwell: i would like to ask you to please find a seat, and if you could not, please go to the chamber. i see some empty seats in the middle there.

thank you very much. please find a seat. supervisor avalos: san francisco's unemployment is holding steady at 10%. we are in the worst economic crisis since the great depression, and there are some neighborhoods that we know the unemployment rate is much higher than 10%. in view. in a black community, it is much higher. fortunately in the next few years, we have a great opportunity. the city is investing $30 billion in public works projects. we have a great opportunity to create new jobs. it is inevitable jobs will be created. tens of thousands of new jobs will be made available because

the city is preparing our tax dollars into building a waste treatment plant, and use your system program company a new police command center south of market. there are major projects being planned in the next few years, especially the next five years, so while we know this work is getting done, how do we make sure our public investments get the mass the -- the maximum benefit. that is what i have introduced, and i have worked with stakeholders over the past year to develop this. the past decade the city has run its local hiring program under the first source program. it has a requirement contractors demonstrate good faith efforts to meeting 50% local hire go.

-- goal. the goal was to show good faith efforts. the requirement would be meeting a mandate we want to phase in over the years to come. that is a big change common and -- a big change, and know that we are not ready yet. one area i expect we would engage in is to find out what is real. what are the ways the city is already meeting those goals? we have representatives from the mayor's office of economic workforce development and economic agencies.

there have also been studies that have shown what the makeup of our workforce is, so they are there to give both an idea of how we might want to construct this legislation as we move forward. we know already there are so many franciscans out of work, and we know there are communities that have not always have access to education or job opportunities. we notices one way to still be blue-collar carrier -- blue-

collar. as a city, we need to do better. i have been working with policy makers to draft this ordinance for the construction industry that will save 50% local hiring requirement on the public works. the plan would make real the current goal of 50% local hire ring, and substituting the requirement with a mandate to meet gulf the rise in the next few years. developers and contractors can be awarded incentives, including points on future projects and penalties for failing to meet the goal. the reasons for supporting local hiring are numerous. there are many public works projects that will be in the pipeline. it is important we make sure the dollars we invest in these projects can stay in san francisco and support local communities, so i want to call

up representatives from -- we have not rest with the office of economic workforce development common region we have chris from the office of economic work force of -- we have chris from the office of work-force development. after these speakers, i want to talk about the makeup of the legislation. >> good afternoon, madam chair. i am with the office of economic and work-force development. we want to get started. i would like to outline what the presentation is today and set the framework so we could begin this important legislation, and thank you for calling this informational hearing. i think it is timely and would give people an opportunity to hear what is happening over the next year.

i first want to thank supervisor avalos for his leadership and really listening to all the stakeholders and giving us time to do till the -- due diligence. i think it has been valuable to help us get to this point. the first presentation will be done by our consulting team. we will also look at the city academy. we have a couple of specific projects and getting through the actual pipeline, what has happened over the past five years, and lastly we will talk about some of our discussions with other city departments in having some broad recommendations for improvement. one of the first things

commission was the bright line study, which primarily focused on the building trade and their membership in makeup. there are also 26 public work projects. the second thing we're going to perform his in depth analysis on construction trade. he was very much a part of that, and i want to thank the redevelopment agency for helping us do this study. it is really a collaborative effort to put together this study. we are going to examine the academic impact, but its lens

into how these programs impact redevelopment whir, and the stakeholder process will be conducted in partnership with private foundations, which really kept together the primary stakeholders, and those were community representatives. the employers, contractors, and building space, and i think it was a unique form to give all of you in our room together and to provide the best ideas and discuss this topic.

that is a brief overview of where we are our region we are at. -- a brief summary of where we are. >> have we had this kind of information before? >> we have not superior region we have not. this has presented a great opportunity. your we have not done a great look into this. for the most part, everybody has been trying to achieve as much as they can. as a contractor was doing 30%, and we said you are not in compliance, we did not have anything to base it on three good -- to base it on.

we have a very grave snapshot of what local availability of construction workers are right now -- a very good snapshot of what local availability for construction workers is. >> i want to thank you it is really great for a city. thank you so much. >> i think the mayor's office commissioned a study, but i think all of us have shown interest in to making sure we are hiring locally. >> we have been working on it a long time. >> i would like to introduce dr. lester. >> good afternoon common and supervisors. i want to -- good afternoon,

supervisors. the first thing we are going to do is get the powerpoint going. our charge was basically to analyze data from several sources to provide as clear an assessment of the work force and then to generate and then to provide a number of jobs over the next decade, so this afternoon i am trying to confine this presentation to the highlights of our findings that are most pertinent to the recently introduced hiring policy. we're going to take a look of the san francisco residents currently employed in construction as of june of this year. we estimate this number to be about 7855 people, and these include union, non-union, public

sector, and private sector as well as workers who work primarily on residential projects. about 70% of these are laborers , carpenters, or pagers. 16% are plumbers, and the remaining is distributed through trade. we found out that many of these workers actually work in san francisco with a little less than a quarter of them working in the surrounding bay area counties. it is important to note this 7855 number does not include any unemployed workers. the state employment development department does not maintain data on unemployment specifically for san francisco construction workers, but they did report that construction unemployment increase to 18.1% in 2009, far exceeding almost

any other sector and between 2006 and 2010 the combined counties have launched new -- have lost nearly 14,000 construction jobs. we are also -- we also took a look at some of the demographics of these workers. this is an aging work force. about 40% of these workers are over the age of 35, and 25% are over the age of 50. the construction work force is about 1/3 caucasian, a little less than 1/3 asian/pacific island, and 5% african american. only about 3% are when then -- are women. found 51% reported annual

earnings of less than $30,000 a year, and it was revealed 2/3 of these workers actually appear to received low wages. in other words, they receive low earnings due to being paid relatively low wages as compared to the third but was under employed or work less than 30 hours a week. >> they you have any idea how the work force is aged in other -- do you have any idea how the work force is aids in other regions in california? are they under -- work force in other regions in california? are they under 35? >> that is not uncommon. >> i always thought this work force made better wages.

>> the was something that was -- how did we do that? that is something that is very interesting when we look into this group. this includes people who are on the employed when we look at the data, so we figured -- as you know, there are large numbers of workers in construction that do not make prevailing wage. they do all types of work, and for the most part, a lot of these workers are paid relatively low wages. >> these are usually non-union workers? >> that is correct. >> did you make any distinction between non-union and union workers, or are they all lumped together? >> for this particular data, they are all lumped together. we did not have a good reference point or a source to

make a distinction between how many could be union and how many could be non-union. >> the union folks -- did you approach and they did not have the information? >> the study did not include a survey of the building. now we are going to shift to a subset of san francisco resident workers, and these are active apprentices. now there are five trains that are most common among the carpenters. reserve five trains that are most common among carpenters. the apprentices are almost evenly divided among the major ethnic groups in san