there are about -- debt service. there is about $9 million due to a one-time savings. we have the fund to support candidates included with those qualified for the elections. that is how we get to our bottom line of $293.4 million, and i am happy to answer any questions about the specific lines or anything else you have, but just to point to a couple of additional uncertainties.

we are still half a year away from submitting the budget. there are things we know are going to change over the coming year. some could change for the good. some could change for the bad. >> i will try not to do my impersonation. >> chief among the uncertainties are what is going to happen with the economy. it looks like things are stabilizing compared to where we were last year, but we do have some uncertainty about our revenues and costs. we also have uncertainty due to the state budget. the state is facing another large deficit. we expect more information about

how the incoming lawyer 10 -- intends to address that. we will get other indications once the proposal is released in january. againswe have a place holder asd in our deficit projection that is part science and mostly art. it is looking fact -- looking back as a reasonable estimate. >> it is at this point of checking in. we are significantly better than what has come in the recent past. >> that is correct for the current year. i would caution that things

could change the budget we adopted this past summer. as you are referencing, the actual impact of the adopted budget were about $7 million, so there was some additional funding we were able to give to cover other revenue losses. however, i think it is fair to say a significant number of solutions and assumptions included in the final adopted state budget are no longer standing, so there may have to be some corrections where the state revisits some decisions made in the past budget and also make an additional future policy decisions to balance next year. there is certainly the possibility that if they are able to work some magic or are

able to fall back on other entities rather than the city of san francisco, we could come out food. i am highly cautious about being optimistic about that happening. i am wary about what happens when the state puts the budget out. as far as the instructions included in the budget instructions, we have asked the departments to make a reduction of 10% of their general funds adjusted as we have in the past voting approved spending requirements. we adjust those and apply the targets to the remaining

discretionary general fund to reduce general fund support by 10%, and we have asked them to propose ideas totaling 2.5%, so one quarter of that amount in the current year. the goal was so we could get some ideas on the table in the current year so the current reductions we can take early action and benefit from 18 months worth of savings instead of waiting until the budget is adopted next year. those proposals we have asked to be turned into my office by december 21. we will take a look of those and talk through with the department, and we can act on them and immediately or to the

extent that policy decisions we can make appropriate to whoever the incoming mayor is so they will have a set of options on the table to work with, and in addition to that, we have asked for another 10% contingency provided by each department. as always, we have asked departments to prioritize or service delivery, finding proposed solutions were possible that minimize disruptions and impacts on services. lastly, the high-level calendar for what is coming over the past few months, december 21, we have

asked the department to submit ideas for current productions. we will see if additional proposals, but my expectation is that nothing will be certain once we do see that proposal, although it should give us some indication, and we will have further updates to current numbers in february, and there will be an adjustment to the deficit production value. lastly, enterprise departments on may 1 and general fund departments to come before this foreign for deliberations --

this board for deliberations, so i am happy to answer any questions. >> i think we are ok. thank you for your presentation. i do not envy it your job. >> ♪ bring the budget home for christmas ♪ please we would appreciate that ♪ ♪ let the money snow, we need it so with the present under the tree ♪

christmas tree we will find a budget were city hall lights shine ♪ ♪ please bring the budget home for christmas, and don't you think it is about time ♪ ♪ if only in my dreams ♪ >> on that note, we will close public comments, and we can continue these comments. >> we are going into closed session. this is item five. settlement of lawsuits with insurance, the ordinance for the lawsuits versus the insurance company.

>> to spot this, i am going to close session. do any to do public comments about going to close session? >> that is correct. the maker of motion. >> a motion to go into closed session. >> we are open to public comment going into closed session. seeing none, we will close

chair avalos: ok, we are back from a closed session. we have a motion to go back into closed session? supervisor mirkarimi: i have a motion. chair avalos: any other motions? we are adjourned.

5:18 commissioner chiu: good afternoon. welcome to the san francisco board of supervisors meeting of december 14, 2010. >> alioto-pier present. avalos present. campos present. chiu present. chu present. daly present. dufty present. elsbernd present. mar present. maxwell present. mirkarimi present.

mr. president, all members are present. commissioner chiu: thank you. ladies and gentlemen, could you please join me for the pledge of allegiance? colleagues, i just want to mention as far as the agenda today, given that this is the last meeting of 2010 and we have a lot of items, what i would like to propose is that we go through the consent agenda, moving to local hiring, and given how many people are here with regards to the america's cup, we move to that item and proceed through the rest of the calendar until our 3:00 p.m. special orders and moved to our 3:00 p.m. special orders, including the discussion of its potential nomination around an interim there.

why don't we move to the meeting minutes? you should have copies of your november 9 and november 16 meeting minutes. motion by supervisor mirkarimi to approve. without objection, this meeting minutes will be approved. are there any communications? if you could read the consent agenda, items one through 16. >> items 1 through 16 comprise the consent agenda. the items will be acted upon by a single roll call vote unless a matter is removed and considered separately. commissioner chiu: would anyone like to consider these items -- to sever any of these items? roll call vote. >> alioto-pier aye. avalos aye. campos aye. chiu aye. chu aye. daly aye. dufty aye. elsbernd aye. mar aye. maxwell aye. mirkarimi aye.

there are 11 ayes. commissioner chiu: these ordinances are finally passed and resolution adopted. item 17. >> item 17 is a resolution approving an amount not to exceed $30 million in tax-exempt qualified bonds for the financing and refinancing of the golden gate park music concourse the raj. commissioner chiu: same house, same call? the resolution is adopted. item 18. >> item 18 is from the budget and finance committee without recommendation. and ordinance amending the administrative code regarding local hiring policies for construction. commissioner avalos: colleagues, i would like to thank you for your support, for helping to pass on first reading the nation's strongest local hiring mandate. it took quite a road to get here. over the past year, i first introduced this idea requested a

draft from the city attorney back in january and spent the whole year to get to where we got to last week with an 8 majority vote. do not want to talk too much today, but wanted to acknowledge some of the folks who i did not quite acknowledged last week, and i know i had a very long list of people. i want to give a special mention to caa, cpa, power, the osiris coalition, local to 61, and local 22. the carpenters' union signed on, and we got a letter of support from the carpenters' union for this legislation. i wanted to go a little bit further in highlighting some individuals who were key in making this legislation come to fruition. in my office, we huddled with people across the city family with contractors, with building

trades, with community members and city departments to help make this happen. i said last week this legislation would not be here without her. i stand by that statement. keeping people in the communities, i want to acknowledge the president of kwon row ironworks. she has been a general contractor based in the bayview and has been proud of her work for us, composed of my note -- 90% minority san franciscans. she is formerly the president of the asian american contractors association and has been an active part of this effort. see celebrates her birthday today and says the passage of this legislation today will be a great birthday present. i also want to acknowledge espanola jackson, who could not be here today because she is preparing to go to surgery, but she has truly been a stalwart in the fight for mandatory hiring for many years. her first husband was an electrician in the navy, first

lieutenant, and the first african american worker tradesman at hetch hetchy in the 1950's. however, he was never able to join the union. it was this experience that fueled her passion for access to the trade. 50 years later, we know that things have much improved and with the passage of this measure, but even greater pathways to careers and the trades will be opened up. i also want to thank reuben, a native san franciscan who grew up in the mission district and is now a union general contractor based here in san francisco. he has a 10-year history of hiring san franciscans at well above 50% as his way of giving back to the community. he has a compelling story about how he took over a project in the bayview where there was a great deal of attention between workers from a former contractor who have really messed up the

relationships on the contract. he came in and hired young people off the street, just asking for jobs, hungry for work. he put them to work on the project, and they were there for months, for the duration that was left on the project. a pastor from one of the churches came up to him afterward and thank him for what he did. he helped to lower the murder rate by giving the opportunity to these young people. that is a story that mr. santana tells over and over again and tells -- speaks to the power of this local hiring legislation. third-generation bay view resident and member of the hunters point shipyard cac, she is an out of work electrical worker and a member of ibew. she was part of the stake holder group that met over the summer and helped to -- was with us the whole way through drafting this ordinance. lastly, i want to acknowledge

joshua, a relentless force behind local hiring and particularly this legislation. he first came to me last year are around this time to educate me about the cleveland organs -- cleveland ohio -- and the court ruling upholding their mandatory local hiring legislation. it was from that meeting that i knew we could do it here but we would have a long road to make it happen. i want to thank him for all of his work. this legislation before us, i hope we can get to the right vote. thank you. commissioner chiu: thank you. any further discussion? roll call vote on this item. >> item 18, alioto-pier no. avalos aye. campos aye. chiu aye. chu no. daly aye. dufty aye. elsbernd no. mar aye.

maxwell aye. mirkarimi aye. there are eight ayes and three nos. commissioner chiu: this ordinance is finally passed. [applause] >> never again! commissioner chiu: congratulations. as i mentioned earlier in the agenda, if we could now move to item 53, the america's cup item. >> item 53 was considered by the budget and finance committee at a recess meeting and was forwarded to the board as a committee report. it was recommended with an amended agreement. item 53 is a resolution approving a host city and a new

agreement among the city. the america's cup event authority and san francisco america's cup organizing committee authorizing the mayor or his designee and the port to execute the host city and the new agreement and finding that the proposed event is physically feasible as set forth in the administrative code chapter 29. commissioner chiu: thank you. if we could just give the audience a moment to clear out. as you are leaving, if you could please keep your voice is down. we do have a lot of business today. ok, why don't we begin the discussion? i know supervisors mirkarimi has a few commons. then we can proceed to city

staff. commissioner mirkarimi: thank you, mr. president. i'm delighted that what is before us today is a revised bid that really in unprecedented time we have seen practically almost a rare consensus of the city's elected family coming together and doing its best to marshal its resources in putting forth the best economic plans to secure the hosting rights of the america's cup. this body, the board of supervisors, immediately seized opportunity. when we knew mr. ellison had won the cup, we passed a resolution unanimously, from their ensuing war negotiations, and this

according between the mayor's office, members of the boards, the city family, and bmw oracle. the first terms that were designs on the central waterfront was just not economically feasible. really, to everyone's advantage, even despite the very unorthodox kind of negotiating environment, because of the rapid time that we have had due to parameters that have been imposed upon us to come up with clear-cut answers, we now were able to see i think what was a smarter proposal so that the assumption of risks would be mitigated, and the liability for the city and its people would be significantly reduced. that was the extension of us shipping from the central waterfront bid proposal to the

northern waterfront, which is before us today. i really want to say how impressive in has been for the san francisco port authority, oewd, the mayor's office, members of the board of supervisors, mr. mark buell, and others who really have been demonstrating significant due diligence, which for holiday spirit reasons alone should earn us the right to secure the cup, but i think by us being able to illustrate very concretely why san francisco is the best place in this nation and abroad to host the cup, that is the deal before us. it is a great deal for san francisco as long as we are not shouldering the kind of excess of responsibility that we were quite concerned about before. great questions were being asked by a number of our colleagues

here to keep the negotiations on track, and they really helped contribute, i think, to the intellectual arsenal for us to make sure -- this is really unprecedented for something of this nature and size to come before san francisco. the city attorney's office has also been working around the clock in order to really be as agile as possible to doing something that no other city in the country or abroad has had to do, and that is negotiate in a transparent environment such as ours. italy and spain do not have to go through this. leaders of their government can advance the deal in more of a unilateral fashion. there is no other city in the united states that is really a contender or has been identified yet, and yet, we have been negotiating in the most transparent public way to be able to advance this dialogue

and advance incredible proposal within a really somewhat unorthodox, very restrictive kind of timeline. before us is that product that has come from an immense amount of contributions from a number of people and apartments that i identified. yesterday in the meeting that was continued, we agree that this should be advanced with recommendation, which is what is before us here. mr. president, thank you for helping with the orchestration from our end. i would then ask the city to come and speak to the newest deal before us. commissioner chiu: before that happens, let me call upon supervisor alioto-pier. commissioner alioto-pier: thank you. i would just like to start by

thanking a few people. i am for sure going to forget some, but i have been attending these american cup organizing committee meetings for i suppose now for a month or month and a half, and the amount of people who come, regular san franciscans who would like to see the america's cup come to san francisco and who are actively participating and trying to help us finance it and actually get it to san francisco -- i do not think we can thank them all enough. there is the city staff, carry mcclellan, jennifer mattes, brad benson, monique moyer. the port has been remarkable. i would say the former port commissioner, we have great assets at the port of san francisco, but they are slowly starting to fall into the water. as we have seen with pierre 30/32, it has the shelf life of 30/32, it has the shelf life of another, i think, 10 yea