forward prior to 2009, it took some time to get into agreement on direct negotiation agreement positions. the factors that were mentioned. we felt that was the right decision at the end, but as you mentioned, the majority of the parking, the most highly valued parking -- the ability to generate additional revenue was diminished. extending the current lease through that season was the best course. i would also say that the new terms, as i mentioned, have a bifurcated basic rent, such that the low season from october through march -- the old basement was $117,000 or so per

month. putting the new print in place prior to april, it would have dropped before that time. supervisor chu: i see. so the comment you are making, in 2010, early 2010, the tickets for the parking were very much sold. in baseball season at least, which is when we would have charged a higher rate of $300,000 for a permanent rate. so, if we, at the port had decided to say, let's implement in april 2000 at 11, we actually would have seen an implementation, so it made no sense to do it at that time. supervisor kim?

supervisor kim: i just had a follow-up question to that. selling spaces in advance -- why was the port not aware of this? i am aware at the time renegotiated finally, but knowing this was the president, would it not have been a surprise to the port that -- known this was the precedent, would it not have been a surprise to the poor that the parking spaces would have been given away -- to the port that the parking spaces would have been given away? >> yes, in retrospect. i think it was an oversight, frankly. in retrospect, we would have started negotiations earlier. we have a provision that allows for the deduction of rent for

emergency expenses. that is a significant amount of money. but the actual expenses we have seen with regard to last season are quite a bit higher, and negotiations -- the 638 number is a negotiator number. i think the port went into that negotiation with the fact that they had missed, if you will, the six months of 2010. supervisor chu: thank you. just to follow up -- and supervisor kim: i thin -- and i think her point is a good one. if there is an automatic rate increase that goes into effect, does this lead to the same position? >> yes. supervisor chu: ok. why don't we go to public comment? are there members of the public who wish to speak on this item, item number eight?

seeing none, public comment is closed. colleagues? do we have a motion to send the item forward with recommendations? ok. thank you for the presentation and for being your. we will send the item for word. >> thank you. are there other items before us? >> no. beckham please the agenda. >> thank you. we are adjourned.

>> sanrio famous for the designs for hello kitty.

i thought i would try to make it as cute as possible. that way people might want to read the stories. then people might be open to learn about the deities and the culture. ♪ they reached out to make about five or six years ago because of the book published. they appreciated that my work was clearly driven from my research and investigation. after i contributed my artwork, the museum was really beside themselves. they really took to it. the museum reached out to me to see if i would be interested in my own space inside the museum. i tell them that would be a dream come true. it is the classical, beautiful indian mythology through the

lens of modern design and illustration and storytelling. they're all of these great sketch as i did for the maharajah exhibition. i get a lot of feedback on my artwork and books. they complement. they say how original the work is. i am the first person to say that this is so derived from all of this great artwork and storytelling of the past. the research i put into all of my books and work is a product of how we do things that a-- at pixar. sometimes you will see him depicted monkey-like or as superman. i wanted to honor his monkey coloring. i decided to paint him white

with a darker face. it is nice to breathe new life into it in a way that is reverent and honors the past but also lets them breathe and have fun. it is almost a european notion to bring these symbols and icons from southeast asia. they decorate their deities. it was a god they interacted with every day in a human way. the most important thing has been to create work that is appealing to me. i want to see vishnu to pick did in a modern way. it dawned on me by reinterpreting the deities in a way that is modern and reverent to the history, i am building a bridge for young and old

audiences to make friends with the culture and these icons to learn their stories. ♪ captioned by the national captioning institute --www.ncicap.org-- supervisor mar: the meeting will come to order. good impact afternoon, everyone. it is monday, march 5, this is

the land use and economic development committee. our clerk is of the similar period >> please make sure to silence all sell pounds and electronic devices. biodiesel minute to the clerk. these items will appear on the board of supervisors agenda must otherwise stated. supervisor mar: please call item no. 2. >> item number two. ordinance amending the san francisco planning code section 429 to provide that developers currently required to spend 1% of construction costs for public artwork on any new development. supervisor chiu:

i wanted to ask the deputy city attorney when we should appropriately notice this. >> thank you. this is a fee that is being imposed. it needs to have 14 days. when the legislation went from 75 down to the trigger, that aspect of it has not been noted. i recommend that this be continued and that an additional motives be issued for the lower trigger. given that there are a number of different districts spelled out in this legislation, my suggestion would be to cast a broad notice to say that the potential fee would be imposed to all projects that are greater than 25,000 square feet. simplified relief for the clerk -- for the clue -- for the clerk.

if you at some later time needed to add it in, and i understand it does not apply citywide, but if there was a specific district that he wanted to include, he would not have to make another notice. supervisor chiu: that makes sense. please notice it appropriately. you have a date when we might be of a comeback? >> march 26. supervisor mar: we need to open this up to public comment. seeing no one, public comment is closed. can we please continue this until monday, march 26? thank you. please call item no. 1. >> hearing to receive an economic impact study of nightlife and entertainment in san francisco; requesting that the controller, with support from the entertainment

commission. supervisor wiener: shortly after i took office i requested that the city do something we had never done before as a city. specifically to measure the economic impact of my life in san francisco. a frequent topic of discussion frequently, we focus on the negatives and we give very focused on that. we are focusing on these sporadic,-events. we have not put together the positive economic solutions.

the cultural importance of lite light in terms of defining the community and attracting the people of all ages to this city, having diversity in the city, in the lgbt community, the importance of my life to building community when people come out of the closet and thereafter. i requested that the city economist conducted this study and they will be presenting this study shortly. this study required a lot of thinking outside the box and a lot of hard work. i want to thank mr. eagan for his very strong work around this study. in the future, it is my view that this study will provide us and others with a quick, actual

data with which to make policy decisions. sometimes with nightlife entertainment, we make decisions based on assumptions and stereotypes without always looking at the actual facts as much as we should. this will provide us with not all of the facts, but many more facts than we had before. i also want to stress, and i believe that mr. eagan will stress this, this number is quite conservative. first of all, the multiplier effect really does have a significant impact in terms of purchases from other businesses. it becomes a virtuous cycle of job creation in consumer spending. in terms of outdoor fairs and festivals, which are not always at night, but are sort of an

adjunct to night life, they are very difficult to measure in terms of their economic contributions. some are easier than others. we know that folsom st., pride, a chinese new year, contribute as well. had we been able to get all of that data in this number, we would definitely be higher. i also just want to emphasize that in looking at night life of venues, restaurants, bars, clubs, live performance venues, these are almost all businesses that are small. small businesses that struggle, just like every other small business struggles in terms of meeting a payroll and complying but city permitting and other requirements. they do provide health care in many cases.

they contribute to the community. i know that the number of representatives in the castro, the key role that is played by night live venues, and members of the community working with the community can move the neighborhood forward. that said, i am going to invite -- first, colleagues, are there any introductory remarks? >> i really appreciate -- supervisor chiu: i really appreciate the leadership on supporting the different small- business is that are a part of the late night entertainment, but also the various festivals we have a in the city. i know that we had a hearing a few meetings ago in which mentioned the tremendous economic benefits. i also think that in conversations with the hardly strictly bluegrass festival, the benefits and multiplier of facts or even much higher for that

festival. i want to say that what brought me to the city was tremendous night life and cultural events in our neighborhood. from living around the corner to the clown in the stars, to all of the different places in the merchant quarters in my district as well. concerns to come up, like around the rocket room in other recent issues, so i am glad we are looking at this issue as we try to deal with other issues that come from my life in our neighborhoods. some of the entertainment commissioners are assisting me in looking at bringing club owners and small businesses together with residents to address those issues. i see that the former entertainment commissioner is here, as well as stephen lee. i appreciate their being here. and thank you to supervisor wiener for the leadership on this issue. supervisor wiener: following up on but was just mentioned in terms of what you came here, it

is challenging, sometimes, to be a young person in san francisco. it is expensive to live here and we do not produce as many jobs as we would like to, but i believe that my life is one of the things that draws in keeps young people here. not just because it makes for interesting city, but it provides a lot of jobs for young people. whether it is as waiters in restaurants or behind the bar, or at clubs, there are a lot of young people. i want to stress that this report is not in any way a justification for my life venues who are not being responsible. everyone has to be responsible in the entertainment commission is working hard to hold everyone accountable. we can have a wonderful in supported night live and recognize that we have to play by the rules. that said, i would like to

invite up our city economist, mr. eagan. after the presentation, we will hear from a few city departments and we will open it up to public comment. the yellow cards at the table in the front, if you wish to make public comment, please fill them out and we will call them at the appropriate time. >> good afternoon, supervisors. ted eagan, comptroller's office of economic analysis. i would like to briefly go over the report on the economic impact of night life. thank you for your kind remarks on the report and would like to acknowledge the reports in the office, as well as the research development consultant on this project, who did really impressive work surveying the patients -- surveying the night life in the cold nights of december.

essentially, the chief findings are two fold. first, night life is a major source of economic activity, jobs, and tax revenue for the city, but in terms of the net economic impact, it is an important driver. there are a lot of types of spending that represent large piles of money, because san francisco residents like to spend their money there, which is great, but there is an entirely different order for types of businesses that draw people into san francisco and draw -- pump money into the economy that would not be there. that is where the multiplier effects really begin to kick in. in the scope of the study be thought it needed to revolve around businesses that would be open after 8:00 p.m. they were grouped into five categories. restaurants, including live entertainment it did not generally charge for the mission, bars that were like restaurants but did not serve

food, then use and like clubs that were different in that they would charge for a mission and have live entertainment and deejays, what have you. there are also art galleries opened in the evening as well as other forms of performance art. we were looking for businesses that we could get statistics for, government economic statistics, but also in that category of being open after 8:00 p.m. as he said, and i want to mention this, we were not able to incorporate outside festival in the events into that. by now we do mean to diminish -- mean to diminish their economic importance to the city, but each one of those events requires an economic impact report of their own. for example, of folsom street fair, 350 to 400,000 people, 40% coming from outside the bay

area. a major driver, which has mentioned, generates over $60 billion for the city. -- $60 million for the city. our estimate is that there are 3200 businesses and industries of this sort in sentences go, employing nearly 48,000 people. this is the direct number of people employed in a restaurant, bars, night galleries, art galleries, in other venues. we got this data from the apc and bureau of labor statistics. these industries host over 80 million customers per year. as many of our estimates are, these are conservative estimates. restaurants account for 30% of the total. the numbers for all of the academy -- all the categories ranged higher. as a group, they generated $4.2

billion in spending in san francisco in 2010. bottom this spending gets recycled back into the city economy in a number of ways. first of all, payment in wages to the people that work in the industry. the industry also spends $670 million per year just on food. another $580 million on local beverages. another $370 million on local performers in global business services. it gets recirculated to provide opportunities for other industries. what's there are a lot of restaurants that are full- service restaurants that have bars -- >> there are a lot of breast route -- and what restaurants are full service, for those significant number of restaurants that have both, the restaurant category that

includes restaurants with bars. >> absolutely. all the restaurants have an alcohol license. supervisor wiener: right, but sometimes it is not just a bar where people are waiting to be seated, but a destination bar, still considered a restaurant? >> it would be. it might be bigger than it would appear at first glance. any bar that serve food would be classified as such. supervisor wiener: thank you. >> we estimated that might like businesses contributed a minimum of $55 million per year in tax revenue to the general fund. they were readily able to come up with these estimates by looking at the sales table, but there is an additional amount that comes from things we could not quantify it, like property tax payments and fees paid to the city.

this is a map that indicates where light by businesses are located in san francisco at the zip code level. these are heavily concentrated in what we might call of the court of the city. but north-south fisherman's wharf, union square, chinatown, tenderloin, etc. as we look at the sales tax they that and how much of the sales, the city's sales come from night by the establishment in the area, it is about 80%, with 36% coming from that upper northeast quadrant, and another 14% from the marina, 14% from selma, 8% from the castro area, and another 6% from the japan town area. as i mentioned with our consultants, resurveyed over 300

patrons at my life establishments in these areas in the city. we wanted to find out what they're spending was and why they came to san francisco, in where they came from originally. on average, 43% of patrons that these businesses on any given night our san francisco residents, 57% live outside the city. a 11% come from elsewhere in california. 10% come from other countries. 36% live in other bay area counties. this is a very vital and important element in understanding the economic role of night life. we will explain why in a minute. the first one of the reasons, we asked them how many times they had been out in san francisco. the residents that we caught, none