supervisor chu: welcome to the expanded budget and finance committee. i'm joined by supervisor avalos, supervisor kim and supervisor cohen. supervisor winner will be joining us shortly. are there any announcements? >> please find also phones and

electronic devices. complete the speaker cards to be included and should be submitted to the clerk. supervisor chu: would you call items one through 15? >> item #1 -- this item was corrected yesterday -- proposed budget and annual appropriation or inappropriate all estimated receipts and estimated expenditures for the departments of the city and county of san francisco as of may 31, 2004 fiscal years ending june 20, 2013 and june 30, 2014. item #2, ordnance for the fiscal years ending june 30, 2013 and june 30, 2014. item #3, amending the san francisco park "-- park code to consolidate golf courses

provisions into a single series of new sections and increase certain fees at san francisco and its local courses. item #4, ordinance amending the san francisco park code to increase rates for protect -- for professional tennis lessons on park property and making an arm of the findings. item #5, ordinance amending the san francisco of code to set patient rates and other services provided by the department of public health. item number six, or did its amending the san francisco business and tax regulations code and the san francisco health code relating to fees for food product and marketing establishment licenses issued by the part of public health. item number seven, a resolution authorizing acceptance at expenditure of state grant funds by the sentences department of public health. item #8, resolution approving a contract modification between

the city and county of san francisco and the children's council to provide top care services for the time of july 1, 2012 to june 30, 2017. item #9, resolution approving the san francisco unified school district expenditure plan for the public education enrichment fund. item number 10, a resolution approving the san francisco children and families commission expenditure plan for the public education enrichment fund. item number 11, a resolution approving the expenditure plans for human services care fund for fiscal year 2012-2013 and 2013- 2014. item number 12, resolution retroactively approving the contract between the city and county of san francisco and conrad house to provide master lease house under its housing first program to formerly homeless single adults and money

management services to frail and elderly senior citizens. item number 13, resolution improving the administration of direct aid payments to clients of the san francisco human services agency. item no. 14 car resolution approving the contract between the city and county of san francisco episcopal community services to provide various safety net services to homeless, formerly homeless, and frail and elderly senior citizens for the time of july 1, 2012 through june 30, 2013. item number 15, resolution approving the contract between the city and county of san francisco and st. vincent de paul society to provide emergency shelter services to homeless citizens in san francisco. supervisor chu: thank you for calling all the items on the agenda today. there are related to the budget we have our third day of hearing

from departments today. if there are any members of the public in the audience with us today, we want you to feel free to stay and listen to as much of the presentations as you like, however we will not be taking public comment today. we will not be king public comment today. we will be hearing all of the department budget public comment on friday, tomorrow, beginning at 10:00 in the morning. if anybody wants to stay and it intends to speak for public comment, we will not be hearing public comment today. we will be hearing all public comment on the budget tomorrow beginning at 10:00. in terms of the way we will go forward, we usually take a break around noon. we will just play it by ear to see how the department to get too bad weather there is a good stopping point. one other state -- i do intend to call a few departments a little bit out of order today. supervisor weeder is interested in being part of the recreation

and parks department -- supervisor winner is interested in being part of the recreation and parks department. we will wait for him before getting it till -- before getting into the recreation and parks department. we'll go to dcyf first, and we do want to hear of the reconfiguration because that will impact at number of departments, including dcyf and human services agency. because of that, we will call human services out of order because of dcyf. why don't we begin with the asian art museum?

if we can have the projector. >> good morning, supervisors. i'm the chief operating officer and cfo for the asian art museum. we are pleased to be here today. we'll give you a very brief presentation on the two-year outlook for the museum. before i get started, i would like to thank the supervisors, the budget analyst office, the mayor's budget office and the comptroller's office for all of your support over the last year. we really appreciate it. the image that you are looking at now is an image for our current exhibition on view. we hope everyone has the opportunity to come across the street to see this great contemporary show. as you all know, we have an

integrated operating budget, the department that operate under the city charter is funded by city funds in part and in part by the asian art museum foundation which exists to raise funds to support the state department. the typical annual budget breaks down roughly two-thirds supported by the foundation and one third by the city. supervisor chu had asked us to drill down a bit and provide accessibility on the sources of funds that drive revenue for the museum. the slide you are looking at here shows a high level for the operations of the museum. i am pleased to announce that for fiscal year 12, we expect to have a balanced budget and we project a balanced budget for 13 and 14 as well. if you look at the revenues, you

can see the city component at 7.8 million for fiscal year 13. the $13.5 million the foundation raises breaks down into three high-level components, one would be fund-raising, the other earned revenue and the third being other, comprised primarily of the payout from our restricted endowment. if you look at the fund-raising component, that is comprised of funds we raise from our trustees, friends of the museum, foundations, corporations, government entities like the national endowment of the arts and national endowment of the humanities that support programs and exhibitions on behalf of the museum. the other key revenue component is our current revenue, which is highly correlated to attendance.

supervisor chu asked about some of the challenges for the museum and to grow the fund-raising in support of the museum as well as producing the kinds of exhibitions and programs that generate the public appeal and drive the current revenue line. breaking down the city revenue, primarily general fund revenues, about 70% of our revenue comes from the general fund. 28% from hotel tax revenue with a smidgen from utilities me to dance. in terms of how we spend of the city funds, 70% is labor. 30% is not labour. the non-labor components cover things like are fine arts insurance at about 40% of the maintenance costs with the balance of may the 10th covered by the foundation funds.

on the labor side, roughly 5.5 million for next year's budget at 60% of that is security staff, the largest component of our city-funded labor source. i am now going to turn this over to the doctor will talk about some of the great things we have done and some of the things we anticipate over the next few years. >> i compliment mark for a sink report on our financial situation and i would like to echo his gratitude on both sides of the house. four wonderful leadership, guiding us to maintain a top notch institution as well as for visitors from near and far. some of the major accomplishments the museum has accomplished over the course of the last fiscal year, not only

visitors facing but the infrastructure, for example, we refreshed the museum's brand. it was very well received and public as well as critics and we developed new programs to broaden and deepen audiences which is a key effort of our activity, and we competed in a consulting study as part of the effort of restructuring our debt and the next step, we are right in the middle of a five- year to 20-year business plan. we want to make sure we now have very strong strategic plans but a detailed road map to guide the museum's sustainability and growth in the next five to 10 years. of course, the core program we

offer in the museum is our exhibition program. several major exhibitions have been planned a, one of which is right in front of city hall, symbolized by korean artists, and it is a breathing flour. it's not only a symbol of our museum and exhibition, but a symbol of our city. a lot of people really enjoy it and i'm very pleased to hear many of you also liked it as well. after that, the exhibition that really cuts into the artistic expression of china -- chinese learning is huge in the bay area and we want to connect to that phenomenon as well. next year, starting from 2013, it will be the 10th anniversary of the museum's relocation from

golden gate park to it city center home. we'll celebrate through three exhibitions. the first is with the china terracotta soldiers -- it has been praised as the seventh wonder of the world. in that time when the city -- we will present a major japanese exhibition that will be very significant. the third exhibition in the fall will work with the national museum of korea for an unprecedented large-scale exhibition. we are through our 10th anniversary by enhancing the services to the public and after that, in 2014, which we are already planning, we will do a yoga show. i just saw a picture of people practicing yoga in times square

and i could easily imagine we will do the same in the civic center square. i would like all of you to be able to participate in the yoga practice in the spring of 2014. there is of course our educational programs. we're very proud of that. it is a major platform of education. this is the first thing that comes to my mind. our museum is always a platform -- this is the best place to learn about asia, through its arts and culture. we serve children each year from k to 12 and we will increase that in the next fiscal year. in terms of the people who really put this all together to serve the public, the museum has a total workforce of apprim