actual rates that have been paid by individual departments and also what the actual amount that will be needed to carry us through the end of the fiscal year. seems like that is the missing information. is that correct? >> yes, that is correct, and we just received information that will enable us to complete our analysis. but that is correct. supervisor chu: thank you. given that you have received the information, would it be a problem to be a budget that information prior to a tuesday board meeting? >> no, we could do that. i just would advise you that, based on our preliminary analysis, we are going to have recommendations to change the numbers. supervisor chu: right. potentially -- potentially lower? >> yes. >> if we were to amend that at the full board to a lower amount, that would not be substantive, what it? >> that is correct. supervisor chu: despicable thoughts. i would be interested to hear what my colleagues think about

this. i appreciate the work that the budget analyst is going to put into analyzing their rates and what we're paying and how much we do need. i and understand where the department is coming from. it has to do with your prior year experience. so the budget analyst is trying to get to a point where we really understand how much is needed, as opposed to just taking last year's amount. so i can appreciate this information that we're missing at the moment. from my leg of this contract, it looks pretty straightforward. the board approved this contract in 2007 for a four and a half year time span. we anticipate another time of corporate $23 million for that time spent a we give the purchaser the ability to extend contracts on a one-year by one- year basis. but we never gave them authority to increase an appropriation for it. that is why they are coming back here now, because they have exercised the option to extend it for one year, but we did not

give them the money authority to do that. there's no budget impact, because we included the amount in this current year budget, so there's no additional cost to the city. it is something we already anticipated paying for. and we still have garbage to pick up. so we are running to a place where we really do need to continue to pick up that garbage. i know that if we were to go to the department and say, would you be able to it out again, even if we were able to in the were no charter issues associated, it would be practically impossible for the department to go through an rfp process and select a new vendor by the end of the fiscal year. i do not see a clear reason why we want to delay with these restrictions, based on what the need is the however, given that the budget analyst has expressed concerns about how much that actual value is, what i would like to suggest to the committee perhaps is the within the item to the full board for this upcoming tuesday's meeting at the current level without

recommendation and to allow the budget analyst to work with the department to determine the amount. if it is less than requested, that would not require a continuance, because it would be lower authority. that would be a way to try to get the city to a place where we are continuing to meet our obligations. it seems irrational and straightforward. those are sort of my thoughts. i would like to hear what my colleagues think. supervisor kim: i would support moving this forward with no recommendation, as long as the budget analysts office feels like it has enough time. i know they got the information quite late. but looks like they do. my other request is for the next one-year reup, that this come to us sooner. then, you know, than later. maybe even as early as june and next year, so we have more time to evaluate it. >> absolutely, supervisor.

we would be absolutely happy to accommodate you with that. supervisor kim: thank you. supervisor mirkarimi: i can make a motion. i thought you cover the bases well. considering the amount of attention focused on recology and services provided, contracts, past, present, and future, over the last year, i do not believe anything that is before us is not a surprise and that the budget analyst really needs that extra time. i think that this process is built into that we can at least be updated in time for the board's meeting. supervisor chu: thank you. one final point, this is a contract, and the values in terms of it were part of the 2007 contract that came before us. the one change that did occur in this reup, just a note, is that we would not be paying an

additional cola. in essence, the city is getting a better deal than what we had anticipated in 2007. so i want to note that component. i want to thank the budget analyst in advance for your work for getting us to a good number to let that go with that, we have a motion by supervisor mirkarimi does in the item forward without objection. thank you. let's return to item number six, please. >> ordinance amending the san francisco administrative san16 .900 to 16.905 and 21.02 to update provisions regarding the san francisco health service systems contracting authority and the city's employee benefit cafeteria plan. supervisor chu: thank you. this is actually an item that the health service system asked me to carry for them.

it is is simple item, and it is non-controversial, i believe. generally, the voters come in 2004, approved proposition c, which remove the health service system from the city's department of human resources and made the organization a separate department. however, the administrative code was not completely cleaned up to that effect. what is proposed ordinance would do with the we would end and administrative code to designate that the health service system as the city's department is responsible for administering the city's benefit cafeteria plan and for contracting for services related to those benefits. right now, is still reside under the human resources department. it is a formality and clean up language. the ordinance also confirms that the courts, as well as the sfcta are also participating employers to the city's plan. i believe these are not controversial. it is really clean up language.

there is no fiscal and back to this item as others in a budget analyst report to it. with that, let's go to public comment. any members of the public who wish to speak on item number six? see none, public, disclosed. can we send this item forward with recommendations? we have got a motion to send forward with recommendations. we will do that without objection. thank you. let's return to item number nine. and would you call item number 11, please? >> item number 11, hearing to consider the annual review and approval of the board of supervisors/clerk of the board annual budget guidelines. supervisor chu: thank you. we have already called item number 9 and 11. for number 9, i would just ask the mayor's budget office to just completed finally the presentation in assessing play with regards -- in a succinct way in regard to the requests. since you have made the request and instructions were given, it

would be good for us to kind of know what they are. >> thank you, supervisors. i am the mayor's budget director and the instructions that the major issue to department yesterday was a request that departments submit budgets that reflect a 5% reduction in their general fund support for the next year, fy 2012-2013, an additional 5% the following year, fy 2013-2014. all of those proposals, he has instructed them to be on going so that they provide ongoing savings and balance both years of the budget. he has also asked for a 2.5% contingency proposal that could be implemented in either year. that could be one-timer on going. that is a hedge against risk on federal tax and labor negotiations but on top of that, he has asked the promise to reduce overall general fund fte's 51% in each year and 5% over the let -- next five years,

and we will be discussing those results with departments. i think i will stop there. i think that is enough said. supervisor chu: so the general instructions have been 5% on general fund expenses to departments at the moment, as well as the two-year budgeting criteria that any budget proposals are actually contemplating with the second year impact will be a double- >> right. supervisor chu: and the most important part is the potential reduction in workforce? >> i would not say that is the most important. it is a 5% the first year and a 5% next year. 5% on going, and then another 5% on top of that. i do not know i would say it is more important, but part of his thinking is that as we go forward, we should see a reduction in our work force by 5% over the next five years. we will be working with departments as they submit proposals to make sure they're also looking at positions. primarily vacant positions.

the mayor would prefer to see this achieved through attrition and not back-filling positions, as proposed -- as opposed to mass layoffs. supervisor chu: there many things we have, whether there and do positions, and other things? >> yes, and being careful about hiring and looking carefully at what positions we absolutely need to backfill and what we can eliminate and consolidate and gain efficiencies. supervisor chu: thank you. supervisor kim: i know that i have heard from some of our budget advocates who will work with every year in the community. one feedback that i heard was that there are certain items that are put on the cut list every year but then are usually restored. in order not to put those nonprofits or services through the same thing would have to advocate for themselves, thereby

taking away their time and resources from serving for the community, that that be taken into account during the budget process this year, that they take into account that there's certain things that fairly consistently every year end up on the chopping block and then get restored to not but never went through the same thing. >> i think, last year, the mayor did a good job of incorporating the back and the nonprofit community, as well as from the board, in trying to have his budget reflect not just his priorities but also what he was hearing from the community and from the supervisors. and i think he wants to do the same thing in the upcoming year. at the end of the day, we still have to have a balanced budget. there will still need to be choices that have to be made. he has not made decisions yet about what he is going to be proposing in his budget to cut, but he has instructed departments explicitly -- the department had a meeting yesterday, and in our written

this -- instructions, they need to have their own outreach processes. they should be having their own meetings. we had our meetings with nonprofit partners. they should have their own meetings with nonprofits to talk about these concerns i thing you'll see that the mayor has said in previous venues that he is likely to do more town hall meetings like he did last year and more average to meetings and he did last year, and i very much appreciate that. i think that dialogue is important. >> i think people are happier with the outcome in the end. i think this is more on the front end. i think the mayor did a great job last year of listening to the community and the proposed budget. but earlier on, i think some of the nonprofit advocates were hoping that departments will look hard from the get go at the cuts they're proposing to the mayor. and intend to try to leave out certain cuts that the proposed

every year but then get restored. >> i understand the point. i do think there are reasons the department proposed the cuts that they do, whether it is because agencies have not performed well in rfp or issues like that. but your point is well-taken. i will certainly relate that to the mayor. supervisor kim: it is just feedback. it is tiring to come every year and for six months spend time worrying and advocating for your programs, and then they get rid story -- restored every year. people start to say, maybe we shall not put ourselves through that process all the time. but i completely understand the challenges that departments have one proposing these cuts. >> thank you, supervisor. supervisor chu: thank you, supervisor. thank you, rick. >> members of the budget and finance committee, clerk of the board. a one-minute presentation. and the executive branch of government has released their

budget instructions, and i am here before you today to get your budget instructions as person to board rule 6.23. in january, you receive a draft budget based on the guidelines we're talking about today. a quick refresher, our budget is a $10.7 million budget. notably, since i have been the clerk of the board, we're not generating about $500,000 in fees for service as part of our solutions for the general fund savings on going. over the years, even during the dotcom boom, our department and i grow like you saw other departments to do so. only minimum-wage bill -- only minimally with natural growth. the budget analyst contract, the capper, and our labor costs make it 93% of our department's budget. the remainder is about $800,000, and i will commit myself to

looking in every corner to look for potential cost-savings, as we have in prior committee direction. now to turn to the guidelines. the charter provides that the clerk will have charge of the legislative record, classified staff, and the office. the draft budget will anticipate the boards similar number of files needing to be processed. a. current number of standing committees that will comply with did demands of the requirements and generally hold the current -- clark's death and the sources constant while reviewing for cost savings, reorganization opportunities. finally, i would appreciate direction from the committee. if it is different than what i plan to put in the draft budget, which is the configuration or allocation of resources as it pertains to the 22 legislative aide positions. otherwise, you will see it as it currently is. that concludes my presentation to i am here to gather any

additional guidelines or take back recommendations, and i am here for your questions. supervisor chu: thank you very much for your presentation but i know this is a short one because we will be seeing multiple drafts before gets some of it. i would just advise that before we get to the mid-january meeting where we would see a draft of it, of course i know that you will always reach out to individual members of the board for feedback, but i do think that it is probably a fairly safe assumption to assume that we are going to have the same amount of legislation. i think maybe it would be wise to talk to the president of the board and anticipate whether any committees will change or whether that will have different structures that will impact your work. in terms of the legislative record, i would be interested to see what our plans are and to record the many years of history that we do have. that is something i would be interested in. other than that, any ideas that you have in cost-savings and

reorganization opportunities would be welcome. >> and i have a few, and i will share them with you, supervisor. thank you. supervisor chu: are there any members of the public who would like to speak on item number e 11? or nine? seeing none, public comment is closed. if we could, we will file item number 11 and continue to call item number 9, which is a budget update. we will do that without objection. thank you very much. the we have any other items before us? >> beckham pleads the agenda. supervisor chu: thank you very much. we are adjourned.

>> i am the executive director of the san francisco redevelopment agency. thank you for coming. we are here to celebrate and acknowledging the spirit of this block of kucom. -- nucom. we have a close collaboration with the mta, dpw, and leadership from our elected officials. thank you. the investments that we can see here today in the public realm, incredible streetscape improvements, and then in the private rel., through the local -- low-cost loan program for homeowners on this block to

update and maintain their homes, demonstrates the mayor's commitment to revitalizing our city's neighborhoods, starting here in the bayview hunters point community. in doing so, creating local jobs for san francisco residents. thank you, mr. mayor. with that, i turn it over to you. [applause] >> thank you for the introduction, tiffany. thank you for coming down to our brand new nucom avenue. for supervisor cohen who was with me, our public utilities agency, redevelopment agency, public works, environmental protection agency, as well as others, if santa claus has a

choice on which st. he will visit first, i think he will come to nucom avenue first. it is a well-designed street, one that we started -- 16 of these all over the city. this became one of the most important ones, where we are getting the blessing of our planning department working in close collaboration with our model blocks program to design these streets to make sure that we do the most environmentally friendly but also resident- family types of things. you will notice some of the good treatment here, and some is hard to see, and of course, it is going to rain. instead of going into our storm sewers, this will help to feed into the plants here.

whether they are on islands or the new, permeable landscaping. this will slow traffic down, increased the beauty of the street, make it much more engaging for our residents, and also helps with the trees that have been replanted here to increase the beauty of the street, but making it that much more enlivened with greene streets. at the same time, it took a few more months than anticipated. it was expected to take four months. when dpw dug into the main sewer line, they discovered some major work that needed to be done. they wanted to make sure that the sewer line would work perfectly, as well as each of their feeds into homes.

while infrastructure is sometimes hard to imagine or see, you will be -- you are standing on the street that will probably be the best for decades to come. you will have an unstoppable sewer. no longer those backups. the fire chief will have a pleasant time going down the street to make sure that the services are there. as i said earlier, this is a beautiful project coming in, not only the designed for infrastructure, but the work force that was put together. i want to thank the contractors that worked so well with our citybuild program. 18 of that group are president spirit within that work force, they completed 43% of the work hours on this street.

that is a very good standard, the highest standard we have had. we made that commitment at the beginning that our local folks would be hired, san francisco residents will be hired, and they did very well. of course we can do better, but with the 16 beautiful streets -- we have eight of them already completed. that includes van ness and we have five under construction. three or four others under planning, like market street. from the puc to redevelopment, planning,vs department, police department working gear along with the contractors, they all have to be thanked. the most important people i want to acknowledge today are the residents who live here on the street. thank you for your cooperation.

q were working with us on day one to embrace the idea that we could use infrastructure to enliven our streets. i see a lot of smiling faces. you want to see santa come here, too. you are not displaced. this is your home. you what this street to reflect the duty of all of san francisco. thank you for working closely with everybody, thank you for your patience, thank you for welcoming us in to share in this new street. [applause] >> thank you, mr. mayor. supervisor malia cohen is a staunch advocate for her residence, as well as the residents of district 10. we thank her for her leadership

on this project and we are pleased to partner along with her and the residents. >> thank you, good morning, everyone. seven months ago, many of us were standing here doing a groundbreaking ceremony. here we are making sure that our walk and talk were in line with each other. i told you that this was the beginning of a rebirth for a new neighborhood. here we are along an infamous street. those of us that know this area knows that there had been good and bad activity. here we are one block off of third street, celebrating the work of san franciscans, a shining example of our local hired initiative, and i want to the knowledge the public partners that make this a reality.

we have new roads, and everyone is here, a physical manifestation of the partnership, not just on the city sought but the contractors, private citizens, working to make san francisco better, one street at a time. i am very happy to be here. thank you. [applause] >> thank you, supervisor. infrastructure is the backbone of our city. we could not have done this incredible project without the hard work of our partners at dpw. [applause] >> let me join the mayor and supervisor for thanking everyone for coming out. i do not know how many of you know what the street used to look like, but this is a huge change for the community, a victory.

streets around san francisco, we will continue to make sure we have sidewalk landscaping. these gardens you see, when it rains, they will absorb water and reduce the amount of water that will end up in our sewer plant. the papers will also collect water. as much of -- as half of the rainfall will be a absorbed into our landscape and continue to sustain a healthy street and help the soil and reduce the amount that goes to our sewer plant. the design had been changed. the lights are human scale, they are not the tall ones that go overhead. they are designed to fit the neighborhoods. the plans are also from around the area, so they will do well, low maintenance, but with the

newcomb avenue residents, they will help to make sure that they do well. this is a victory. i want to thank the staff from dpw, the project manager, and all the landscape architects who worked hard to make this a huge success. i am from the neighborhood, so i am looking forward to seeing many of these streets become more sustainable and enjoyable. thank you. [applause] >> thank you. the sfpuc is a leader in environmental stewardship, at the forefront of environmental practices, pushing us to adopt stormwater management guidelines, clean energy. this street is a physical manifestation of the hard work from the residence and a great partnership with city departments, including sfpuc general