one evening a month just for the rest of us to have a good time, the adults. >> absolutely. where can we find out what is coming up after dark? >> that is easy, exploratorium .edu/afterdark. >> thank you. thanks for watching >> it is 5:38, and the meeting is being called to order. if you could turn off all cellphone and pagers. public comment will be taken on each item. roll call. goo[roll-call]

mr. president, we have forum. >> next item. >> you are out of approval of the minutes and the may 7, 2012,. >> do we have a motion? >> i move. >> second. >> all in favor. but that motion passes with five votes. >> item 3, as part of the city

employee recognition program. >> thank you, commissioners. this is a good one year ago and i want to a knowledge of treasurer -- this is a good one. i want to acknowledge the treasurer and the things his office shows and to your streamlining the permitting process. it is making life easy for the business owners in this town, and i want to thank you for abouthat. we would not be here without these innovative ideas. i have been too many meetings

where you did a presentation on the new permitting fees and structures, and to small business owners, it is going to be a shock at first, but i know at the monthly meetings and some of the meetings i attended, people are not free of doubt by this, and the way you presented to this formula -- are not freaked out by this and the way you present it, you made its move. -- made its move. you are everything a city employee should be commo, so i k you for that. i know you wanted to say a few words.

>> thank you very much. i am for a proud to be here to join you in recognizing the great work being done by my colleague. he is an incredibly good worker, and i am not going to steal your thunder in terms of the accomplishments he performs. just to say we are very pleased with the opportunity we get to work with him on a regular basis, but i want to recognize the good work of this commission and the role we play in the city. and we do a lot of out reach across the city. that means we talked to a lot of small businesses, including some very small businesses. it is our job to work in partnership with your commission and other partnerships to make

it easy for small businesses to be successful and to be able to achieve their goals here in san francisco. we do that all the time. i look forward to working with you going forward. good thank you for this honor, and i turn it back to you, steve. >> you attended every small business week function, so thank you very much. the small business commission on this monday, june 11, 2012, the small business commission is proud to recognize the contribution to the office of tax collector, the contributions you have made to the small- business community. through her leadership, the

business licence consolidation project went from concept to reality and is currently being implemented with full implementation in march of 2013. this is a cheese realigning initiative supported by the small business commission and helps make -- this is a key realigning initiative supported by the small business commission. good = we are meeting with merct groups for the forthcoming changes, and you have made that smoothes for a lot of people, because i have not heard any complaints. people have said this is a positive thing, so that is awesome. these truly represent a city employee dedicated to the service and a community she serves, so congratulations on

behalf of the small business commission. [applause] >> nobody ever lets me say anything. thank you so much. i really enjoyed walkand working on this project. it was a great joy to be in the community and work with folks i get to visit. i hope to see you more. i know this project is going to open up new opportunities to continue to improve the way we work together and serve you, so thank you for giving me good feedback so we could do this in a way that was collaborative spirit of thank you very much -- that was collaborative. thank you very much. >> i want to say a few words to acknowledge that from the beginning there was an enormous

amount of moving parts for her to coordinate and deal with in addition to out leash, -- to outreach, and i want to reiterate the presentation you gave has been really clean and simple and easy to understand. it may initially it sound like, change is happening, it is very simple. but i want to thank you as well. >> putting a reflective material over our windows and because we are takinbaking.

they are just going to have to deal with me. >> thank you so much. >> next item. >> the next item will be continued to the next meeting but irecord. presentation of small-business certificate of honor to stephanie hui and for her service during the 2012 school year. this will continue on july 9. item five, of general public

comment. it allows members of the public to comment generally on matters within the commission's purview and suggest new agenda items for the commission's future consideration. >> do we have any comments or something that is not on the agenda? seeing none, public comment is closed. next item. >> item 6, discussion of possible actions to make recommendations on file 120523, transit impact to development fee increase and updates. in the back of the binder is a copy of the presentation, and we have only showalicia from the pg

department joining us. good >> good evening. i am here tonight to discuss a recently introduced ordinance, and if i could just get the overhead. this is the transit impact on development see. it provides funding to offset the impact of new development on the transit. this shows the currency, the proposed fee under the ordinance, and the nexus establishes the total cost of

impacts on the transit system and identifies how much each of land use would have to be charged to offset the cost. it usually cuts out around 68%. there are a few policy considerations of this commission may want to review, which i may bring out of front, but i will go into more detail. the first is the fee of date changes some of the terms and conditions that apply in order to make a more consistent with the planning code. the result is that it applies on a smaller scale to more uses than is currently the case. under the transportation sustainability program, there is

a policy credit program and established, which effectively offset some of the changes, and the commission may wish to consider recommending a policy program into this update. the net change would be a waiver for small businesses operating top to -- operating up to 2500 gross square feet. under the ordinance, it would apply to uses. there is a grandfathering period of to october 1. when that was first established, the expectation was at the update would have been acted upon already by the board sometime this last spring, so

the commission may wish to consider recommending an extension of their grandfathering period. the tfp is a proposal that would bring practices in a better alignment with policy objectives. it would allow the city to provide comprehensive citywide improvements and at the same time mitigates new development impacts on the transportation system. the enabling legislation was introduced along with the updates last month, but it requires an environmental impact report, so it is on hold until donthe eir is completed if you'a good -- is completed.

when is implemented, it would no longer be completed. state law requires we update the impact fees every five years. they did complete an actual study of state in 2011. -- an update in 2011. in the last eight years the costs to offset development has increased disproportionately to the cpi. good the way it has been applied and a fine has been inconsistent, so this offers an opportunity to streamline administration of the fee.

this was an outgrowth of the downtown plan enacted in the early 19 80's. there was a recommendation downtown would require additional servers to reuter when the downtown plan was adopted, the expectation was that it would serve as a commercial with office uses, and that has not entirely been the case. in 2001 they conducted a study, and that established an impact on the transit system. an update broaden the

application to some other commercial users along with citywide superio. many of the changes in the ordinance are consistent with what is being proposed with an important distinction it is not propose to apply for residential, sir to give you a little more of an idea of the changes under consideration today, some of the land use definitions have been changed to provide greater consistency. the majority of impact fees are

in the planning code, so there was not always a comprehensive tie back to the planning code, so in terms of specific changes, one is to provide ammonification that so find child care facilities here are your -- that defines a child care facilities. goothe of state also changes the definition of an abandoned use. it currently it applies in cases where the site has been inactive for more than five years. by tying the definition back to the planning code, there is a modification the principal use those are never considered

abandoned, but certain conditional users are considered abandoned after three years, so for certain projects there would never be a cab on the amount of time for every applying buffi-- for reapplyinge fee. when we have nonconforming uses, typically those are not conforming for a reason, so they undergo an additional scrutiny under the planning process triggered it also clarified as it is calculated on of gross square footage basis. however, the wording makes it more explicit. it also provides conditions for use. this as one of project comes in

as a restaurant, and the way this would apply and practices is different project came in with a change in use and the underlying use had a change in impacts less than the new use, the difference would apply according to the different kinds of uses, so the pressure is to capture only the net increase, and finally, the exchange recommends it does establish a hundred gross square feet -- 800 gross square feet. this was something that was established during the planning department's efforts to develop a plan and went through analysis. currently it exempts projects from paying the fee if they are

coming at 300 square feet or record is changes that. again, tdifs were to adopt a policy plan, that would change the fee in terms of how it would be applied. in terms of application, it extends to certain uses of that have been exempted. it would apply to nonprofit and institutional uses. goothere was a comprehensive eft to understand who the developments. it is intended to apply for those uses.

there was an exemption for automotive services and for wholesale of the equipment. they had insignificant information to measure the impact of those uses. they have been able to identify that, and the most recent study does look at that comprehensive ly. finally it would apply to property owned by the city. it also allows for some administrative changes. specifically it provides for a project's work permits were issued after july of 2010, and

this is the collection and enforcement of the freee. it also clarifies they do the assessment. this is a acknowledging they have historically been under purview and not in the planning code, so it allows for a transition period of finally hit titus future of days to reject it ties future updates to the planning code. this again is tdif rates as proposed your urine and while

most of the fees are experiencing are relatively modest increase, there are a couple of categories where they will go down the record we were able to distinguish between other cultural institutions, so hopefully that is the reason for this one going down. this provides revenue. i should mention this is complete development know about in any given year, so these numbers are likely overstated, but it does give you an idea of what this shift means, and it is estimated at 4% annually, so going back to policy considerations, they allocate

6% to policy programs curator -- to policy programs. that provides the reduced fees. there are four types of projects that are eligible. that includes small businesses that are not formula of retail, of projects which killed less than maximum parking, and small residential projects. there are some open questions still a. the tsp does not define a cap on

credit. they felt while they were supportive of the program in concept, they felt it was important to recognize any new development does have an impact on transportation as a whole, so they felt most comfortable moving forward if there was a cab on the complete amount of seizefees per project, but thats not been as travelers. there is no project yet defined or included. it is intended to be consistent with the recommendation. it is not intended to apply for residential, so there would not be in need to have a policy

program for residential uses, but the commission might want to consider recommending a program for small businesses and for parking, where it does apply, and the commission might wish to acknowledge the request to cap the fees credit. the second policy, the grandfathering provision basically applies so if anyone comes in prior to october of 2012. however, at the time it was that we did believe they would move

through this process, and we have heard from representatives that they need a little more time to accommodate son raising, -- to accommodate fund raising, so you may wish to consider extending grandfathering to the point when it is in place. part of the program was to recognize for nonprofit uses an institutional uses they need to do a lot of fun racing, so it was always intended to give them time to adjust, but it is appearing the amount of time is insufficient. in terms of time line, it will

be considered on july 19, and that will likely go to land use or both. after they go to the committee that will go to the full board to reuter the board is expected to take some action on this. there is a 30-day waiting period before that can go into effect, and we are expecting them to go through the process in winter of 2013, and if it is implemented, it will no longer be collected, so i am available for questions, and this just gives the information as well.