same property, under the ellis act, the city has the right to impose and require the imposition of rent control. we have the ordinance in place in san francisco already. to that ordinance and that case, as to why we believe the rent control provisions should be enforced in this case. i know you have all seen the case. it is worth pointing out some of the express language of the case, which i will read to you quickly right now. this is in the los angeles county vs. some the of los angeles. they cite that you can control rent-controlled on new units. "residential property is subject to rent control is the following conditions are satisfied. one is the real property

consisting of accommodations constructed on the same property where the previous accommodations were demolished. the second condition, the previous accommodations were subject to rent control before withdrawn. the third is that the new accommodations are offered within five years." it is pretty strong language in that case, but we think is pretty helpful. we do recognize that this case is not directly on point. can be distinguished. we are not proceeding under the ellis act here. we have agreed that essentially what we are trying to do here is the functional equivalent. the city, as you know, repeatedly says we would not be willing to enter into this agreement without these rent control provisions in the importance of these rent control provisions to the city. bottom line to all of this is we essentially have three lines of defenses. the first is the exception in

the cost of hawkins ordinance for the forms of assistance provided under the density bonus statute. you heard my statement about how we've made clear what those are and however but has agreed to them. second is the case that basically acknowledges under the ellis act that creates an exception to costa pockets. the california legislature adopted this. it has been confirmed enforceable for replacement units built on the same property within five years. the difference is we are not proceeding under the ellis act. and then the very extensive provisions we have included in the development agreement that established the clear intent the parties, the clear considerations, the contractual privity with each and every owner. like i said, our unwillingness to proceed without the tenants'

private right of action. there is no case directly on point, but we have a strong argument that it is enforceable. it has been strengthened with some of the revisions you have suggested and we have made. not only the ones you introduced today, but the ones we've made throughout the last three or four months as a result of concerns tenants have and various issues that have been raised by tenants. we started out this agreement with trinity as the model. i think it is safe to say that we have greatly improved upon what we did in trinity to make sure there are sufficient protections for the tenants here. with regard to the remedies you specifically asked, think you summarized it correctly. we have included a right of

first refusal for the city. we would essentially use the liquidation payment amount of that you have described, which is valued currently at $150 million plus 20%. supervisor mar: $160 million plus 20%. >> yes. the money would be used by the voucher program for tenants to provide the difference between the brand controlled rent and what ever rent was charged. frankly, we have the right to make sure with the right of first refusal, which is pretty cumbersome and difficult -- we have made it as unattractive as possible for a developer or subsequent owner to try to seek

to renege. if they do, we made the provision that would give us the right of first refusal to lease the units so we can make sure the tenants get the rent to go into those units. we also have the language -- one other piece you did not mention. if there is a reneging act or any sort of judicial determination -- the developer and subsequent owners agree they would not take any action against existing tenants, unless until the matter is finally adjudicated or they pay the liquidation amount. we would have the money in hand to make sure those tenants get the vouchers so they will then not be forced out of these units. supervisor mar: mr. sullivan, could you please start to summarize more succinctly so we

can get to public comment? >> ok. the remedies introduced today include termination rights for against reneging owners and developers. if it happens at all, there would be a termination of the development agreement. if it happens after substantial construction, so we're in the middle of construction, developers have an option of either continuing to abide by rent control or pay the liquidation amount. like i said, we also have the right of first resultrefusal. i'm happy to answer further questions on that. supervisor mar: we have the 14 page document and a summary. we also have mr. yarne's summary of the different amendments. thank you for that. my understanding is there's a puc recommendation, as well,

which i think is on our desks, too. my aide has distributed copies. if anybody wants them, please raise your hand. there are two documents you should be able to receive. one is a summary document that summarizes all the amendments i am proposing. the others are the 14 pages of the actual language of the amendments. folks can see that and review it. supervisor mar: thank you. our city attorney is cheryl adams. i've been advised we will get through public comment quickly and then we will come back to discussion of those amendments. let's open it up for public comment. >> if i could just make two final comments. first of all, thank you for the work. i know that not everyone in this room is going to agree that this agreement is where it needs to be. frankly, i do not think there's anyone on either side that wish

is that all the provisions that are in here were in here. i know that the developer would probably have not referred to have considered putting these amendments into the development agreement. i know there are advocates for tenants who may not think this is enough. that said, again, i am a tenant in san francisco. this is a set of issues i've really struggled with, how to ensure that all of the folks that are currently living at park merced get to continue to live at park merced and continue to live the kind of life that we all want to live in san francisco. it's my absolute intent with these amendments to ensure the protection of all of you who have made park merced your home, who have been part of our san francisco community tree as our deputy city attorney just said, i do think that the agreement

itself before the agreements that i put in are extremely dispensable. i believe that with the amendments that i placed in, we now have protections that would insure that in the small, small circumstance something would happen to this development agreement, our tenants would be protected. i think that's incredibly important. again, i look forward to discussion. i do want to mention that at 10:00 a.m., supervisor elsbernd and i need to go for a few minutes to be part of an announcement around pension reform. supervisor mar: we're all going to recess at 10:00 a.m. thank you. let's open this up for public comment. i'm only going to qualified people. we are going to recess at 10:00 a.m. and come back in 15 minutes at 10:15 a.m.

i have about 100 cards here. we're going to come back and have quite a bit more testimony. please keep it short. thank you. >> thank you. i'm speaking on behalf of san francisco. tomorrow, first of all, the proceeding is out of due process. you cannot make a determination before finalization. prejudice is the outcome. therefore, the process is out of whack. i have made that point before. secondly, i have proposed an alternative pro forma for the development to indicate that there are examples, there are alternatives that lower cost for the developer and insure rent

control stabilization for the tenants. if i can do this, then your experts need to do this, as well. therefore, if there are alternatives, everything needs to be postponed until those alternatives are exposed. shall we say, indicated by alternative professional experts that you can trust who are not in conflict of interest? thank you. supervisor mar: thank you. >> i have one more point. i'm going to indicate regard for the suggestions by president chu. if it cannot be insured, it cannot be mitigated. therefore, if you can find an insurer, then you have a project. supervisor mar: thank you. please come forward. thank you. >> good morning. i'm a 25-year resident of park

merced in a garden apartment. i'm here to ask you to not vote to destroy the garden apartments and especially the common areas. i have lived here for many years and i've raised my two children. the common areas, which we share with our neighbors -- we have a common history -- are very important to our quality of life. being able to walk outside and walk and the grass, we will not have that in a high-rise. i'm also concerned with losing rent control. i know it has been discussed that it will be protected. you know, it is our home and our lives. we really cannot afford to lose it. thank you. >> good morning, supervisor mar. i am an attorney for san francisco tomorrow.

i want to echo the comments about the fact that you really should not be voting on this because there's not a certified e.i.r. i noticed that the findings for the development agreement approval say that the board of supervisors has adopted the findings as its own and incorporated them by reference. course, that has not happened yet. the planning commission's findings are essentially under appeal and have no validity. you're not in a position to make a recommendation on this. the planning commission did because they had already certified e.i.r's. getting to the substance of the issue, i appreciate the proposed amendments, but i have a major concern. if a court acts to invalidate the rent control provisions of the development agreement he will do so on the basis that it is against public policy.

if he does that, you will almost certainly find that the additional provisions added to the development agreement are voided, again because they violate costa toxhawkins. it is not any help. finally, i want to point out that the development agreement itself in its findings recognizes the fact that the high-rise apartments are part of the project and are being left as is. you will essentially be approving demolition by earthquake with the subsequent displacement of all of the high- rise tenants. that is improper and certainly should have been highlighted in the e.i.r. thank you. supervisor mar: thank you.

overflow is available in room 250 mr.. goodman? >> good morning. thank you for letting me speak early today. he spoke very eloquently about the issues involved. no matter what is added to it, when it goes to the state courts, any discussion you make today can be tossed out. that is what the concern is. are you looking beyond the development agreement -- the financial issues involved. is that dealing thing that matters -- is that the only thing that matters? i want to thank the people that did come out and look at park merced. it is far from blighted. it's a far from blighted community. it's a marvel of modernism. it's a landscape at risk. that's the concern here. diit just gets lost in the weeds

of the discussion. you are missing the point when it comes to what you are risking. if you demolish park merced, you are never going to see that open space again. it can be a national park. can be preserved. it can be renovated. you have a lot of options involved, including in-fill. you can densify on the eastern side of the site. you can address the towers, which are a concern of structural stability. you have empty parking lots. you have all sorts of transit available land that simple story buildings are on. we can do a lot better job of equity density throughout the city without displacing and demolishing these sound units. we do not have family-style units anymore. we do not have once created or built. that's the problem. that's why a lot of people are leaving the city.

that's why a lot of people are looking to find a place they can live again. that's what park merced represented and that's what we need again today. supervisor mar: thank you. we are going to recess until 10:15 a.m. i'm going to call the next cards. they will be the first to speak as we come back at 10:15 a.m. >> thank you. good morning, supervisors. i'm here to support sending the park merced items forward as the committee reports to the full board. it's incredibly important for san francisco to keep making progress on adding diverse types of housing within city limits. the amount of housing proposed and its carefully deployed density is necessary to support

a successful transit-first community. i've been impressed with supervisor chu's transit- oriented planning and i see this project as consistent with that thinking. the plan provides a nice array of housing types to support a diverse population, with the current and future work force residents, including young professionals and families with children, seniors and students. if we cannot add comprehensive plans, the transit oriented and sustainable housing like this within the city limits, we're facing a very grim future. i ask for these items to be sent forward to the full board. >> thank you. we will recess this meeting until

>> i am glad to see some many of you people survived the apocalypse. he is doing a great job here. i see you've. who else is here that i can recommend. could deceive from the redevelopment agency. los is here?

could this deal, it is good to see you. we have a great celebration today because i get to a 0.12 commissioners, -- get to appoint 12 commissioners, about half of them are repeats. i just wanted to signify that we got the opportunity to welcome new and existing commissioners, but to let the public know even more about what we're doing. they wanted to put together something that was in the works. making sure that we have an

online ability to let the public and tell all of the positions, who is serving on them, when the terms are up. decentralized online database that represents all of the commission's and all of the appointments that we have, the terms that are about to expire at the terms continuing are now on line for the public. all your lives are going to be much more public. we have just a diversity of the apartments and commissions to fill today. our deputy administrator is here. think you for being here. the mayor's office of housing, thank you.

as henry here, too? we cover a let me. let me go through the names as we start out. thank you for being one of our new commissioners and coming aboard. your expertise has been in the private sector, making sure that the ordinary citizen has an understanding of our changes that we want to make. how to thank you for your ability to communicate even better put goals of our department and the environment. thank you for joining the family. we have in the veterans affairs commissions, thank you for joining back up again. and chris, you and i have

talked at some length. i will personally be working with the veterans commissioned this year because of what to understand even better not only the work that the commission does the what goals we have to welcome back our troops and our people who, i think they found dignity in the work for the country. can define dignity as they come back here? a lot to thank the member for working with us as well. you and alexander are two of three women already on the commission. i know your expertise works making sure that there is a look at the health of our survivors and people coming back making sure that these people are critical to our approach.

allowed to make sure that we also have dignified jobs for everyone that wants and can work. what to make sure that we are hooked up with our community colleges when we do that. thank you for agreeing to serve. our goal and a concourse authority. the key for serving again and helping us. certainly with nancy conner, thank you very much for agreeing to work with us. we're going to be working together as well because i am so interested in making sure that the music concourse is activated for the benefit of everyone in the city and to make sure that we have good approaches, to fill that area more as we are in between the two fantastic and wonderful institutions.

thank you for serving on and helping me make sure that the golden gate concords gets filled and it's done right. to the housing authority, we are challenged by some money different things that affect our economy. and with housing being as critical as it is for those economically struggling, it is important that we have expertise. a lot to thank you for bringing your expertise interiors of commitment and your shallots and connections. lead them everywhere we can to help the housing authority. and the residence of that agency, vacuum much for of the housing authority. and of course to our new

commissioners, thank you for stepping ahead and helping our report. for the many years the use serve, at the helm of their international real-estate, it will bring us tremendous talent for the port commission. think you very much for stepping up. thank you for being such a wonderful candidate for us. i want to thank supervisor scott wiener. you identified what we could have. and the the the mta is going to be a very big challenge for anyone that serves on that. it will be one of those years of service that are very sacrificing for all of us.

i know all of you love the city in some anyways had to reflect very strongly what i feel the city needs. with that, i also want to thank our rules committee of the board of supervisors for making it a very smooth the appointment process. supervisors kim, elsbernd and farrell have worked with me on the rules committee to make sure that the appointees are transferred -- the transition to correctly. had received by unanimous vote of confidence that is very reflective of how we are administering government here. and the closeness with the board of supervisors. with that, please stand and we will take the oath and if you

could raise your right hand and repeat after me, we will go through every one of your names and we will say that the commission you will be serving on that will go through that as well. [inaudible] i do solemnly of firma the i will support and defend the constitution of the united states and the constitution of the state of california. against all enemies foreign and domestic. that will bear true faith and allegiance to the constitution

of the united states and the constitution of the state of california. that i take this obligation freely. without any mental reservations. or purpose of evasion. and that i will faithfully discharge the duties upon which i'm about to enter. during such time as i hold the office. [inaudible]