in its letter of no less than 3% in no greater than 6%. the budget analyst has made a couple of recommendations with which we heartily concur. one is an amendment to the resolution to address the fact that in this case as in the case with most cellular to indication facilities, competitive bidding is impractical and has to be reactive to industry needs of all in the network. i have tried both here and in my previous positions the approach of taking the competitive approach and offering the site and it doesn't work. the industry just cannot react to it. second, there would be further discussion of the responsibilities of the department jurisdiction to more actively manage their properties and be in improved

communications with real estate going for. we believe it's a great opportunity to have that discussion and we're going to talk about surplus property issues and we welcome including this in that conversation. i'm joined by my colleagues in the fire department we would be happy to answer any questions you have about the item. supervisor chu: thank you very much. appreciative was coming forward with an item that collects the back rent owed to the city and includes and deflation adjustment for the back rent and includes an estimated utility. i feel the city is being made whole for the years we did not collect rent. one of the questions posed in the report was the question around how it is we can tighten the oversight on these antennas. you walked through the transition occurring within the departments and organizations that may have led to things falling between the cracks.

from my understanding, the real- estate department does manage and oversee a number of these antennas installed across city facilities and not some. do you have ideas about how the the real estate department to play a larger oversight role or is there a way to tighten it so we don't see many more of these issues pop-up? in these situate -- in this situation, it was resolved in know it was fine for the city but we may not see that in the future. we would just want to avoid it in the future. >> in my tenure here for the last six years, we have improved our communication and coordination. that goes a long way to closing the loop of ensuring one regulatory arm of the city is talking to the proprietary arm of the city which often real estate represents. that is helpful where notices of violation or even before notices of violations are issued on city property. we of communication direct with

that regulatory side of the house. this is one of those examples where permits were issued, the planning department issues were forwarded and there was no engagement or provisions related to needing the lease agreement on a proprietary side of this. we have strengthened those relationships and we want to continue to do that and there are areas where we will need to make some improvements in that regard and i believe our departments are be more diligent but we need a bit of a carrot and stick approach to ensure better adherence to what is going on in the properties, particularly those departments that do not have a real estate arm. we have enterprise units with their own facilities folks that are in good shape and we have a tremendous role to play to assist our general fund family who have assets but have limited

resources to manage and inspect those assets. i think we can were collectively to improve that. supervisor kim: i appreciate your thoughts. i know in the budget and legislative analyst's report, it was brought up that even in the evaluation of potential surplus the property that there is difficulty obtaining information from all the departments. i appreciate that she said many cases are apartments don't have that level of capacity coming -- that use that many cases our departments don't have that capacity. one of these suggestions from our budget legislative analyst's report was that the director of real estate and what actually provide some possible amendments to our administrative code to help you to be able to gather that level of information. i think it is frustrating from a

bird's-eye view that we are one city family that we cannot access basic information like where surplus property lies. in order to better generate value, it would be great if we could have that discussion on what that might look like and how we could assist you. i appreciate what you said about what was going on administratively at the time in the fire department. i'm just curious why there isn't something automatic after there is approval. clearly there was a public approval process for these antennas and why doesn't that automatically trigger a lease step that follows? >> that the great question. that is a loop we have closed. you will note the problem was in 2003, about nine years ago

and we now have a much better system of communication between planning and real-estate. we have been able to address these issues up front and in advance. i am hopeful we will not see like circumstances 10 years hence. >>supervisor kim: you address ts talking about the market prices determinate by market gaps and coverage. looking at the monthly rental rate, there was a large jump between 2011 through 2012 at if you could explain that jump. it's great we are increasing the rental and not complaining about that, but does that mean we were undercharging in 2003-2011? >> the increase is reflective of

a policy change real-estate instituted for revenue from cellular to indication facilities. the lowest tier was developed at $3,500 a month, so we have that jump and we expect the timing of the policy in terms -- we respect the timing of that policy. the higher tier is a $5,000 a month and that is for a very intense -- either unique geography where we might command a market or in tents pedestrian or vehicular traffic so the system -- intense pedestrian or vehicular traffic. and we can charge a higher rate. supervisor chu: why don't we go to the budget analyst report? >> madam chair and supervisor kim, as mr. updike has testified in the committee has discussed,

there would be back rent required from t-mobile to pay the fire department and in addition to the back rent, if you approve this lease, rental revenues that would be generated are estimated over the initial five years to be from $225,000 -- the committee has also discussed the recommendation on page 7 where we recommend you amend the legislation to make a finding in the competitive bidding procedures. they are impractical or impossible and we recommend you approve this as amended and it has been brought out by the committee that we do recommend we get further input from the real-estate department on potential amendments to the it industry code for possible improvements to the procedures.

supervisor chu: thank you. why don't we open this up for public comment? i only have one speaker card. if there are any other speakers who wish to comment, please line up in the center aisle. >> good morning. i am the outside counsel for t- mobile and i just want to let you know i'm here to answer any questions you may have. t-mobile would prefer these kind of situations don't arise but they're willing to step up and cover the back rent and even going back to their predecessor when these problems began and we want to know that we are here and we wish to be a cooperative partner with the city, cover its debts and work in the future to keep sites like this which has been on the air for 10 years without incident operating in the city. thank you.

>> ♪ look at what's look att. i can't believe it myself. then they need some budget money and you are going to give it some more help. ♪ believe it or not, they are leasing our air. i never thought we could be so free. ♪ flying away on a corporation prayer. who could it be? ♪ believe it or not it's just mobile t. supervisor chu: are there any other speakers who wish to comment on this? seeing none, public comment is closed.

supervisor kim: motion to accept amendments to move forward without recommendation. supervisor chu: we can do that without objection. item number three, please. >> i request we get the amendment by the end of the day if possible. item three, ordinance authorizing the department of environment to accept and expend a grant in the amount of $403,000 from the california public utilities commission through pacific gas and electric company to study the impact that the replacement of old refrigeration equipment in san francisco businesses would have on energy usage and a peak power demand in the city, fiscal year 2011-2012 and fiscal year 2012- 2013 to reflect the addition of one class 5640 environmental

specialist grant funded position at the department of the environment. supervisor chu: thank you very much. welcome back to supervisor avalos. we have a member of the department of environment here. >> supervisors, thank you. briefly, the california public utilities commission requires pg&e and other investor-owned utilities to spend ratepayer dollars to fund energy efficiency programs to benefit their customers. since 2003, the department of the environment has entered into a series of contracts to implement an energy efficiency program in the city. quickly, through these programs, over 10,000 residential, commercial properties have received over $35 million in energy upgrades and have saved over $3,000 in utility bills each year. in 2011, the department submitted a proposal as part of an innovative pilot effort. the proposal was to look at retirement plans for commercial

food service refrigeration, and it was selected and awarded $403,000. during the work that the commission has been doing, visiting watts of neighborhood stores, looking at restaurants, and trying to help them become more energy-efficient, we figured out quickly that we can change out lightbulbs. we can change our thermostats. and we can teach them a lot about energy efficiency. as you have experience, there are usually refrigeration units that go in, open the door, pulled something out, and that is the primary driver in their energy costs. for many of the mom-and-pop stores and small restaurants, they either by these, they are released, or a manufacturer provides them to them. really, their control over that equipment is very limited what is essentially our pilot project does is to select a handful of commercial properties in san francisco, again, mom-and-pop

stores and restaurants, work with them to switch out there refrigeration units to higher energy efficiency models and track the savings. if we can begin to build a case for these opportunities to establish more incentives and rebates, then our plan is to go back to the california public utilities commission, the california energy commission, and talk about changing standards and code so that manufacturers who are producing these refrigeration equipment are producing higher efficiency units that small mom-and-pop stores can use in restaurants. in addition, we are doing a survey of the majority of the mom-and-pop stores and restaurants to look at actually what types of models and equipment they are using today, so we will have our outreach team going door-to-door in various commercial corridors, collecting this information, and helping us build a case for any kind of changes to the

standards and those for energy efficiency going forward. that is the proposal that we are looking for your support on today. happy to answer any questions. supervisor chu: just wondering with this grant, how many businesses you think you would be able to pilot. >> on the first phase, we're looking at identifying 40 individual businesses that we're offering the rebates to and actually install monitoring equipment to see what the savings are. we would do about 150 audits of the additional commercial businesses in order to kind of build our survey of what the type of infrastructure that san francisco businesses are using. supervisor chu: thank you. with regards to the 40 businesses that he would be able to offer the rebates for in the initial phase, is there a strategy around the types of businesses and the locations of the businesses? can you speak more to that?

>> sadly. the strategy on the initial 40 that will be part of the rebate pilot is looking at those businesses we have already touched, or we have already gone in and done energy efficiency upgrades, so we have already completed that work, and looking at the kind of creating a model of what their overall energy efficiency is to see if the refrigeration units, we can create a business case that if we had higher efficient equipment in there, we could reduce their overall pg&e costs down to a point that it is actually valuable for them to invest in switching out equipment. we are really looking at creating a formula and then applying the formula to the businesses we have already served in selecting those. supervisor chu: supervisor kim? supervisor kim: she asked the

question i wanted to ask in terms of the targeted businesses. with the partnerships, where has that been correctly? >> the majority of the work that we have done in the past eight years has been city-wide, so we touched almost every district in san francisco with either of our energy watched program on the residential side as well as our commercial lighting program on the business and commercial side. again, we really had a chance to really touch every commercial corridor in san francisco. in this case, since it is a pilot study, we do not have the resources to do the full on aspect. again, we're looking at identifying those businesses that would have a significant savings in their overall utility bill, to bring that down and really create a business case for them, and then ultimately, a business case for the california public utilities commission and the california energy commission to invest in a program like this statewide. supervisor kim: if i can make

some suggestions. it is really important for me that we do outreach with our business owners that may speak other languages. our ethnic businesses. just because i feel like come in many cases, they are may be less likely voluntarily, on their own, to know about programs such as this. the smaller more savvy business owners might be more likely to be educated on these green ways of doing businesses. i think that if you are able to select businesses through ethnic corridors and immigrant communities, you might have a higher level of penetration because those businesses can model for other businesses whether it is little saigon, chinatown, excelsior, portola, all of those areas. i do not know if you have the language capacity to do that work, but it would be great to see a couple of select

businesses in those neighborhoods, particularly ones that serve our more low-income neighborhoods that may really need the savings in their energy bills. it would be great to see summer cabin in those neighborhoods. >> absolutely. supervisor avalos: i actually went on a merchant walk with the department of environment to do energy efficiency outreach, and i was actually very pleased to see that the outreach workers spoke multiple languages, represented local communities in san francisco. we were on at geneva and the mission street area. every business there spoke a language other than english, and the outreach was great actually. i had conversations with people. now getting to the next level of getting commitments from merchants, like where the rubber hits the road, i think the effort was one that i think met some of the needs that we have with other languages in our neighborhoods. i was very pleased to see that. i know that outreach has been

happening in other neighborhoods in my district as well. other languages are spoken as well as english. i think there is that capacity. getting to the next level of that commitment is where we need to make sure we can seal the deal, making sure we are getting businesses to actually bute and -- bite and make sure -- and make sure they are looking at this energy efficiency. >> thank you for the recommendations. supervisor chu: thank you. i think it is important for us to reach out to various neighborhoods. d.o.e. has done a good job. the puc has gone on merchant walks before when we are looking at energy efficiency programs that are available for small businesses. but oftentimes, it takes a number of judges with organizations or small businesses for them to believe you are offering something in there is no catch up to it.

i think to the extent that we can go out to some of these neighborhoods, even though they may not be part of the initial pilot, just to say we're starting to look at this and get that into people's heads, i think is also valuable. with regards to the strategy on the 40 businesses, i am imagining you'll be focusing on a restaurant businesses because of the refrigeration component, but there will probably also be a focus on some of the larger establishments, simply because they might have more refrigeration needs or they might have higher, more intensive use of refrigeration and some of the very small businesses. in that way, you might be able to demonstrate a higher benefit to having energy-efficient models. is that sort of the case? >> in this case, we are really looking at the smaller businesses. in many cases, large businesses like safeway or large chain restaurants -- a supervisor chu: not those.

a large orchestra versus a small one. >> we're looking at independent operators. that is a we plan to work with, so we will have the balance between the small and mid-sized firms. the other commitment that the department certainly will make is to capture the data in terms of participating businesses, both those 40 we're working with on the pilot, as well as on the survey, to make sure we have the diversity in both geography as well as ownership and language. as part of our argument with the state, it is that they also have to put resources on the table so that we can actually go out and communicate these programs and rebates and services to constituencies that english is not their primary language for doing business. really capturing that that gives us the ability to convince policymakers at the state to provide resources for departments like ours to really make sure that we can go out and touch every kind of business in san francisco in a language that

they can make business decisions in. supervisor chu: thank you very much. why don't we open this up for public comment? are there any members of the public who wish to speak on item number three? >> good morning. i sang this one that is small business commission. they liked it. at the small business commission, they like this song. ♪ >> there's no business like small business like all business i know everything about it is appealing everything that budget traffic will allow someone you bring them some extra-out there is no people like small business people they smile when their budget is low and woke you bring them even when it comes to be about refrigerationrt

you may be stranded out in the cold and so won't you give them in this budget now bring them some more budget do ugh ♪ supervisor chu: thank you. are there other members of the public who wish to speak on item 3? come forward. >> good morning. my name is douglas yep. i have lived in san francisco for 60 years. i would like to speak in opposition to this ordinance. i think this is another example where government is basically making work for itself. i do not think pg&e as the time and effort to go into another program. it should take care of the pipelines that need more work. also, the cpuc also needs to reform itself, according to what i have heard. it looks like they need to take care of basic business rather than trying to expand.

also, this ordinance has a section where you get the department of environment to hire another worker. i did not hear anybody mention that. i also would like to make a suggestion that the department of environment needs more work. first, they should help out on the illegal dumping all over the city, especially in bernal heights. secondly, why don't they take care of all those eyesores that travel on wheels all over the city? that was supposed to be taken care of a long time ago. but you drive around the city all day, and all you see are these eyesores traveling around. so the department of environment needs more work, why don't you tackle those two? that should keep you busy for the next 50 years. thank you. supervisor chu: thank you. are there other members of the public who wish to speak? it seeing none, public comment is closed. colleagues, do we have a motion to send this forward with

recommendations. we have a motion. we will do that without objection. item four, please. >> item four, resolution authorizing the san francisco recreation and parks department to accept and expend in grants administered by the gulf and state parks and recreation department in the amount of $4 million for the boeddeker park and clubhouse project. supervisor chu: thank you. supervisor kim, comments? supervisor kim: yes, i ask for support. this is our largest park in the neighborhood and one of our densest parts. we have a lot of youth and seniors, a lot of residents in general that depend on this open space in this neighborhood. over the past couple of years, another has been a lot of -- a variety of different issues, structurally and others with the park. i know our residents are looking forward to the renovation so we

fully open this park so it can reach the potential that it can in terms of contributing to a healthy neighborhood here in the tenderloin in neighborhoods. >> thank you, supervisors. i am actually open to answer any questions. i am -- philip from the transfer of public land is here. i wanted to recognize them any supervisors work on helping to close the funding gap on boeddeker park. supervisor chu: for the sake of the public, can you do and overview of the renovations that our upcoming end of the proposed plans that we might see -- and the proposed plans that we might see when this is finished, especially serving our youth and children? >> it has significant improvements to the park. we have known that there has been surveillance and safety issues in the park. the new design includes a new 4300 square-foot clubhouse with

greater visibility into and out of the park. and green building features. the established building -- almost net zero in terms of energy use. a area for children. a full-size regulation basketball court. an adult fitness area similar to the hayes valley playground, which is an extremely popular project. there will be a perimeter walking path for seniors to have the ability to get out and walk inside the park. there will be a flexible stage in the performance area and an outdoor plaza for informal gatherings in the programs. we have been working, as you know, supervisor supervisor kim, with your office to work with the community benefit district, with several merchants and community organizations to help fully staffed the clubhouse. the goal is to have it open as much as possible, 6:00 a.m. to 10:00 p.m., and active it this -- activate this space is to begin within the neighborhood.

-- beacon within the neighborhood. supervisor chu: i do not seek further questions from colleagues. we can open it up for public comment. thank you very much. let's open this up for public comment. are there members of the public who wish to speak on item number four? >> good morning. my name is douglas yep. i will like to speak in approval of this item. the reason why i feel that way is i think this park should have been made bigger when it was originally planned. sometimes when i drive by it during the wee hours, i notice suspicious characters in the neighborhood. so i think that issue should also be addressed on a consistent basis once the improvements have been finished. i think some of the people there