navigation system. it's the holy grail of where we're headed. we would like businesses to do as much of the permitting as necessary -- as much of the permitting as possible online. what we are starting with is something much more modest, a comprehensive and definitive list of what is needed based on business type and a schedule of how you should tackle those. the case management assistance is always available the office of management assistance. the bulk of the proposed a distance -- proposed additions fall in the neighborhood development division. the neighborhood development division was very active in this past year. they were able to make 31 loan that create 83 jobs with just

eight that rebels dollars -- $800,000. we opened a grocery store at several small businesses that have served as catalysts on third street and there are now weekly events happening and we continue the third street corridor business attraction at retention program. on that central market, the table tax and it has resorted it 450,000 square feet of new leases being signed. in the eight neighborhoods -- in eight of the new red districts we work in that participated marketplace initiative, they can see rates went down in a struggling economy and we take that to to the lark -- to the attention of our managers at the good works being done by stakeholders. that new initiatives -- supervisor avalos: on that --

supervisor chu: i have been out in my neighborhood and that we have done that in partnership and have done a few merchant walks already. as we talk to some of the businesses, there were a few that did not know about program and were excited about it and it's good we were able to get the information out there. there were also a few that were struggling and perhaps behind on payments already but they were starting to finally turn back into the black hat outstanding debt that was still too, not all of their account balances were current. the way the revolving loan fund is structured is it is geared toward businesses in good financial shape. has the department bought about any kinds of programs that could fit those who may be behind on a few payments but have a good business plan going forward at a

strong business plan because we see that as a gap we are not able to fit. they don't necessarily qualify for the revolving loan funds and they go to banks and banks are not willing to fund them. can you express some thoughts on that? >> yes. it is concerns like that that make us look alike -- that make us look at the mayor's proposal to augment money for business loans in a more comprehensive than the broader fashion. the budget analyst did not have the benefit of getting this information and type for this hearing, but we will work of the descriptions i am about to provide to you. what we are about to do with the $4 million of loan funds the mayor has proposed to fund us over the next few years is to create a spectrum of grant,

forgivable loans, at long products that address exactly you are describing. we think there are some businesses that would be better suited to receiving grants for tenant and sought improvements and there are some that are best suited by receiving forgivable loans, which would be continuing to operate for three to five years at those loans are forgiven. there are some for him at the other end of the spectrum, they have graduated out of a small revolving loan fund and the need monies over $50,000 a year to effectuate an effective expansion, renovation, or to buy more products or have more working capital. what we want to do is not fund the revolving loan program the recently approved a supplemental for any more with these bodies. we believe the money given to us this year can be spent, $500,000

in the next fiscal year and another $500,000 in the following fiscal year and that is adequate for that sort of market segment. i can describe in some detail exactly what we are proposing. supervisor chu: if you could share what is the plan for that -- >> $2 million in year one and $2 million in year two. we would propose the loans and larger sizes than $50,000 and proposal -- $1.5 million in year one and 1.6 million in year two. for the forgivable loans, we would propose 75,000 because it would take a little time to give it up and running.

150,000 in year no. 2. grants that we would like to focus on ada assistance. we have heard there are businesses struggling to make 88 upgrades that are necessary to avoid lawsuits and meet other building code requirements. $425,000 in grant assistance and facades in the first year at 250,000 in the second year. supervisor chu: thank you. >> back to some of the new initiatives. the job squad is an initiative of the mayor's that is direct outreach for small businesses. the idea is these two full-time employees would be out in the neighborhood nearly every day

assisting small businesses who are too busy or small to take a timeout to come to city hall to work out a problem. the idea is these folks would be highly trained to do outreach and education around assistance programs of all sorts, whether it is reviewing rates are tax benefits are department of environment assistance -- and the thing this city has to offer, they would be educated on how to address a business's ability to address it. they would also be able to provide rapid assistance to neighborhoods detrimentally affected by various occurrences or, if you take valencia's street -- valencia's street for example, we have well-trained folks that could have gone out after the night of vandalism and assess what was needed and delivered city services effectively. these folks would also be able

to identify and escalate bigger issues and served as a front line for identifying systematic issues small businesses are facing and bring them to policymakers. one issue we hear a great deal about as large charges for water and sewage hookups. that can often be a deal breaker for businesses trying to open. i spent a little time talking about the loans. at understanding the needs of small businesses, we believe having access to funds to do ada improvement and in order to be able to afford certain types of improvements, we think grants or forgivable loans are a better route than having something be a loan payable back with interest. supervisor kim: i know that in the budget legislative analyst's report, there were questions

about how much of the $1 million we appropriated at the end of march had wind it down. given the mayor is proposing an additional $2 million in small- business loan funds -- i think there is general consensus we want to strongly support this program and help our small businesses with low-interest loans, but the question is are there -- is there the capacity to wind down a large amount of money given their staff resources, etc.? given what we have appropriated has been blown bell hand a little bit on their resources capacity of the organization to further wind down another $2 million this year? >> as i was discussing --

supervisor kim: i apologize if i repeated the question. >> that $1 million has not yet been deployed. half a million was put on reserve and half a million was given to us. of that, $380,000 -- there has been $380,000 worth of grants to small businesses approved by working solutions. none of them have been funded because we have not got the money to them. that actually happened last week. there has been a lot of activity with screening at approving loans. the money should go out or in one day -- in one big tranch. with the other money that will be revolving, it should be enough for the next two fiscal

years. what we would propose for the remaining $4 million in proposed budget for loans, we propose to be allocated much differently, to actually hit businesses across a larger spectrum, including grants for compliance construction work and tenant improvement and forgivable loan for tenant improvements where a business stays in operation for between three and five-year spending of love. the other day this businesses that need loans larger than $50,000. we would look for community lenders for that program to find a lender that would hopefully leverage the money and add additional monies for something similar to a revolving door program. forgivable loans and grants, of

we've worked with a nonprofit community partner to administer those funds. >> what an example of some that we would like to give funding for that is larger than $50,000? we are obviously not getting those out yet. >> it is the same type of programmatic needs we see in the $5,000 to $50,000. folks looking to do bigger scale or a mass some amount of inventory and need the money to amass that and been to rate to sell. it's often times folks that need to invest and their equipment, often times because there is more energy-efficient equipment. those are the main areas we would see.

the third of several new initiatives proposed as a halftime temporary position to support the night life and entertainment sector. we believe this staffer would complement the work we're doing by industry sector, by focusing on the night time economy entered we think right business assistance and promoting the sector and having a well- balanced throughout the city is something we have not paid attention to it could yield a lot of very positive economic results of a were more systematic and how we look at our light -- look at our by -- look at our nighttime entertainment sector. supervisor wiener: regarding the nightlife and entertainment position, as i know you know, earlier this year in my request, a rough study was released showing -- a study was released

showing night live, not even a subset, this doesn't even account for street fairs and daytime entertainment. this is an understated number in an this shows our $4.2 billion to eight san francisco economy and produces around 50,000 jobs and $50 million in tax revenue. i think that's a very conservative methodology and i think these numbers are understated. what we have seen more and more in san francisco is that due to all sorts of factors, including but inertia and resistance in some of our city departments, not only lack of support from

city government but sometimes hostility. we have seen some events that have gone away or one recently went outside of san francisco, so i was excited when the mayor announced his budget would include a position for night life and entertainment because when you look at the critical role -- you look in the market and navigating the different departments, it makes all the difference in the world that i think it is critical we review nighttime entertainment from an economic perspective. i was disappointed when the budget came out and it was only a part-time position. in my view, that is not adequate

and i would be interested in seeing that become a full-time position. this is a big sector in our economy we have neglected and there's a lot of work to be done. with the right person in that position fulltime we could make a huge difference. if you could comment on that? >> i think you're right. the part-time position allows us to cut the nighttime economy in one or two ways. we can look at certain sectors with in the economy citywide or look at certain neighborhoods, but we cannot let comprehensively everything. the planning department recommended an entertainment master plan and i think that could very well informed where the future of our parts of the night time economy are situated. i think that would require more resources. i think half time is a good

start. if you want to hear from joslyn -- supervisor wiener: the entertainment commission is a chronically underfunded agency and we need to start doing this the right way instead of under reinforcing. >> thank you. i'm the director of the entertainment commission. this is a position under oewd. we believe there is a tremendous amount of work to be done in addition to planning projects yet described, -- it spreads across the brat of all projects in that department in addition to the workforce as well because

of a number of jobs that are available to workers that don't need a tremendous amount of training. it is an industry that does not hire without high levels of education. it is really important and i think there is more than a full- time position to be honest and we are fully supportive of that and will help as much as we can. supervisor wiener: one other question -- going back to the revolving loan funds, once bill loan is made, is -- does oewd stay in contact as a resource? >> absolutely. we are on a committee of working solutions that helps to select businesses and we are well

aware of who those recipients are and we continue to work with them if they have any issues related to anything regarding their business. supervisor wiener: when we helped kick off the loan fund in my district, it's running into huge problems. supervisor cohen: i wanted to know if the revolving loan fund had run out. >> there are still dollars available to issue things to your proposal. some of that has come back and has allowed for a few grants around $25,000 to be made again. that number will continue to revolve but with the million dollars you gave us mitt year, half a million of which is about to arrive, there will be

another 120 that can be sent out in the coming months and we'll come back and ask the other half million, for reserve and we think that will cover the vast majority of the next fiscal year. supervisor chu: it looks about like $620,000 is not in the preapproved pipeline. >> exactly. continuing on, the other two new initiatives help to backfill the hole left by the dissolution of the redevelopment agency. as you heard during the presentation about where resources are being deployed at which department has the responsibility for what, oewd is leading the central market partnership, which is suppose to be funded with $1.7 million. the priorities are informed by the central market economic strategy and is focused on filling vacancies, creating

jobs, and preventing displacement of arts organizations that includes parts in public-service programming, office of improvement, and programming for our tent next to use projects. this will be an enormous increase and that general fund and a much-needed increase for the central market because previously the redevelopment agency would have provided a good deal of these funds. this allows for the continuation of important programs, just now under these to the family. the bayview initiative would include $1.2 million and continue work under the redevelopment agency, including $600,000 for passat and tenant improvement programs. this would be solely focused on third street corridor and bayview and represents a commitment that would have been

met by the redevelopment agency. it keeps that corridor at a base line. it also includes funding for activation events and funding at the focus of the plaza and money to the use for mixed use development projects. supervisor cohen: about the third street corridor bayview -- which section of third street are we talking? are we specific talking best -- specifically talking evans to paul? >> it is not restricted. something we want to do as the invest a neighbor its initiative becomes an overlay for the work we're doing and becomes a comprehensive umbrella even in communities where we have long been doing work, there'll be different levels of assessment but we propose an assessment

going into the next two years looking at what tools we have available, what are we doing, what has worked and what has not worked? in all cases, these resources are limited. there is still a lot of work to do here but we can see them generate their own energy. it is something we will be doing working in consort to determine the actual parameters. supervisor cohen: perfect. throughout the conversations, the bay view has some serious needs and i don't want it to be seen as a detriment, burgeoning neighbor of like dog patch and

to some degree, mission bay, who our neighbors that can benefit from research it -- resources we are pouring into third street. the entire southeastern part of the city will be healthy and strong. >> that the perfect segue into the concept of invest in neighborhoods which is the city working in a comprehensive way and the initiative has a proposed $1.5 billion over two years. two staffers would be working with these commercial corridors and that funding and umbrella offers the opportunity to work together to identify those corridors that have this kind of

comprehensive been put by the city family and for district 10, the continuity up and down the corridor is extremely important. you do not want to feel like there are starts and stops of city focus because by not having that continuity, you lose a lot of really important work being done. supervisor kim: i know i brought this up earlier but i was hoping you could clarify a little bit. it seems like to departments are asking for positions in very similar lines of work. there was of a request from the city administrator for a community development specialist to support that market and bradstreet projects and here we are seeing request for funding for the central market and third

street -- may be through the invest in neighborhoods, it would be funded, but if you could tell me how you distinguish these positions because we don't want to pay for services when we're trying to find savings for our schools or the cost of doing businesses for nonprofits as we prioritize the budget. if you could explain the thinking behind at and how you imagine the coordination work would happen a month the department. pedestrian safety is another issue. has been challenging working with several departments on one issue. how be hoping to work through that? >> with regards to how the invest in neighborhoods initiative is staffed, earlier this year, the city administrator and i convened a working group which is now meeting on a regular basis which has representatives from a number of departments.

the mayor's office of housing, others are coming together initially to talk about what tools we should put in that tool kit for the work we want to do with paper had to be able to address these comprehensively. as the neighborhoods are put into effect, this would be put into effect like pedestrian safety, who should be doing what in a particular neighborhood, what has to do with enforcement, what has to do with infrastructure, what has to do with painting and taking on those issues in a way this city family is aware of based on the working group structure. i don't think there is duplication. we are proposing enhancements across different departments. i believe the position in the city administrator's office are a position under the neighborhood empowerment

network and i think it to get some streetscape beautification and corridor ambassadors, we want to be able to enhance as part of investing in neighborhoods since we are planning on doubling the number of neighborhoods we're working in. bringing the rest of the city family in other parts of 25 their breath, the positions requested in the department would be specifically talking to businesses around business needs and would act as liaison to corridor managers and be involved in setting of the vacancy tracking program and trying to attract businesses and working as something as a concierge with businesses in these corridors that are having any issues related to the city. they would not be doing the accord or work or streetscape

improvement work. supervisor kim: potentially the streetscape -- i understand a distinguishable group of staffing would focus on street scaping by your house would deal with the sought improvements? >> yes. we have been managing the passat improvement through the redevelopment agency. has been general fund it and it's a program we work directly with businesses on making sure -- it has been our department that has overseen with redevelopment money that has overseen the work of that because we work so closely with merchants and we would continue to do that. supervisor chu: