>> good afternoon everyone and welcome to the january 23rd regular meeting of the budget and finance committee. my name is supervisor mark farrell and i'm joined by john avalos and eric mar. mr.clerk any announcements? >> please turn off electronic devices. copies of any documents to be included must be submitted to

the clerk. >> thanks mr. clerk. call item number one. >> resolution authorizing emergency of management performance fiscal year 2012 in the amount of $289,613 from the united states department of homeland security through the california emergency management agency for the building and sustaining capabilities. >> now we have amy to come and speak about it. >> good morning chairman farrell members of the committee. the item before you is expense approximately $290,000. it's a general grant for disaster preparation, mitigation, response and recovery here in san francisco. this grant requires $290,000 match. it's equal amount and it's an amount we already budgeted in the current fiscal year through emergency management include inclined services. most of the match comes from our

department and part of the match also comes from meals on wheels the local nonprofit here in san francisco. the quick summary who we're buying for this grant is upgrade of the security cameras at the emergency operation center at 101 turk street. we're upgrading the car key access. we're putting in new fire suppression system. we're funding existing emergency planning position. it's ongoing funding. the cool thing we're doing with this grant, we are working with meals on wheels to fund food kits for approximately 2600 low income seniors in san francisco. those are folks served by the current meals on wheels program. if earthquake happens we can't get to them -- that's also a pilot part of this grant. once again, we're not creating any new positions. there's no additional

appropriation required. it's retroactive to the date we receive the award letter which is november 9th. >> colleagues any questions? okay, seeing none, thank you very much. we also have our budget legislative endless report. >> good morning chair farrell and members of the committee. on page 1-4 of our report, we go over the budget. this is $289,000 grant with equal matching fund for total cost $580,000. they do provide security cameras, car keys at turk street officers and disaster food kit. the grant will offset funding for emergency planning position. this position is coded in the budget. it's been accounted for and we do recommend approval. >> okay, thank you very much. colleagues any questions?

see no over questions i like to open it up for public comment. any member of the public like to comment, please step forward. going once going twice. public comments closed. colleagues? >> motion to -- [inaudible]. >> we have a motion to move item four with full recommendation of the board. we can do that without objection. call item number two please. >> resolution authorizing the planning department to apply for accept spend fund in amount of $2,380,000 for local priority development area and implementation efforts expanding fiscal year through 2012 and 2013 and 2015 and 2016. this was responsed by supervisor wiener. >> andre here for supervisor

wiener who was in oakland. before you today is spend resolution in the amount of $2.38 million. accepting funds from the m.t.c. to fund jobs, housing, transportation and planning identified priority developments here in san francisco. california senate bill 375 adopted in 2008 requires each of california' region to prepare a sustainable community strategy that demonstrates how the region will meet greenhouse gas reduction targets through integrated land use, housing and rotation planning. last fall, the m.t.c. approved the direction of $20 million in federal funding for planning within priority development area throughout the bay area, the nine county was of the bay area. the san francisco planning department was identified as the recipient of san francisco share of those funds which amounts to

$2.3 million through fiscal year 2015 and 2016. the plan department will work with other city agencies including the t.a., the m.t.a. and the mayor's office of housing to develop a work plan guiding the programming of these funds. planning is here if there are any questions. thank you. >> thank you colleagues supervisor avalos. >> thank you chair farrell. just a couple questions, i know that typically i've heard that typically, funding for these planning services are generally done through our management agencies and wondering how many other counties actually use its funding through their client department? this is something more or less anomaly to what's typically done in terms of how we do our planning around these elements.

>> so, this was a motion that was made at the m .t.c. and it was an item voted on by the full commission. i think san francisco as an anomaly is an -- >> by the full commission unanimously? >> i don't know what the vote count was supervisor. san francisco is an anomaly and it is a city and county within the nine regions and the planning department is the planning entity for both the city and the county. i think that was the logic behind this and this is more -- the other counties, the funds went to the c.m. a.s and in san francisco, where we have a planning department that looks at issues of land use, transportation and housing, it was seen as being sort of the proper entity to do this work. obviously they will be working with the t.a. and with the mayor's office of housing to figure out how these planning projects ought to proceed.

>> then ultimately for reporting to the m.t.c. and to other agencies that are donating the funds, does the t.a. have the responsibility of providing oversight and reporting or is that going to be the client department? >> i will leave it to planning to answer that question. >> as in all county, the agency that is doing the accepting and spending will be responsible for all reporting requirements. we will be working closely with the t.a. to develop our strategy for funds and they will be going to a multitude of agencies within the city will will have those reporting requirements. >> thank you. >> supervisor mar. >> i was going to ask, if looks like the priority development area in san francisco pretty much the whole eastern and much the southern part of the city. it really doesn't cover more northwest or pretty much the

west side is that correct? >> that is correct. i have a copy of our priority development area on over head would like to look at those? >> yes please. it also covers oakland and richmond and many of the most heavily polluted areas with lots of transits corridors. i actually do not have the other outside san francisco priority development4r9h planning in the desire other neighborhoods arises we're able to expand p.d .a.s in earth

neighborhoods. >> great colleagues anymore questions? seeing none, like to open this up for public comment. any member of the public wishing to comment on item two, please step forward. seeing none. a >> a motion to approve the item with recommendation? >> second. >> we have a motion to move item number two forward and second we can do that out opposition. before i call item number three, i like to thank the people from sf tv working on today's event. mr.clerk call item number two. z resolution rattying fong and chan architects from $51,507,000

to $52,521,000. soon to charter section 9.12ly b. >> thank you. we have ronald from the san francisco general hospital rebuild. >> good morning supervisors and staff. my name is ron alameda with the department of public works i'm here to present. i have a brief powerpoint if you like to walk through it with me. it's kind of a little redundant given how concise and clear the budget analyst report was. allow me to walk through this. briefly, we are asking for two actions to occur. the first action is to ratify

contract modification number seven to bring the rebuild and compliance with section 9.118b with the charter. unfortunately there was an administrative oversight. the requirements for the charter are that any contract mod that crosses the half million dollar threshold is put in front of the board for review and approval. modification seven by oversight was not presented and was advanced and then i have contract modification number ten before us asking for approval of that modification as well. brief background, since 2008, by way of resolution 40308 in 2008. we've been advancing the rebuild

design and construction of the new hospital. originally it was -- since then, we have advanced nine contract modifications, taking the contract from $51.150000 to contract amount to $52,000,710. the budget analyst accurately portrayed the evolution of the project in the last five or six years. briefly, the modifications are generated by needing additional design services for scope changes that had occurred due to code changes, hosch pod and interpretation. the art program integration of

some of those elements. we also revised mechanical and electrical requirements for the building as the design advanced and we achieved clarity under requirements. again, we increased the amount as well to cover some contractual obligations for the required insurance levels. lastly, the telecommunications and medical gases requirements of the hospital itself went through every evolution and required additional design services. in terms of modification ten. we are seeking approval for ten and drivers for modification ten is to continue and perfect some value engineering on a telecommunication systems so we could reduce -- get within the

budget for that trade package for the low voltage. we also are revising the uninterrupted power supply system designed slightly as well to align with the current needs for the hospital. lastly, design services for a hybrid operating room design which will fulfill an early requirement program requirement that wasn't fully developed six years ago in so much as integrating some graphic equipment with the o.r.s. the modification ten will bring the contract value to $53,376, 607. the rebuild is within budget and

we are not asking for additional funds. we have been carrying contingency anticipating over the life of the program which is close to over nine year program. we anticipated that the design would evolve and additional design services would be required as well as program evolution. we're covered in terms of dollars in that sense. if i may, i wanted to take this opportunity for context to share with you where we are in progress. that will be a couple slides. the slide that's up now is showing the major entry points of the new hospital. the upper left hand corner was area shot taken off topping off the steel. that was back in august and the last two shots were taken last

week. nearly enclosed with our precast brick enclosure system and advance in the curtain wall nicely. we've gotten good momentum out there. lastly, we are advancing through the floors, introducing mechanical and electrical and plumbing systems, beginning framing and a bit of dry wall as well. all towards the end of maintaining our budget, adhering to our schedule. what's important to me isw3 ensuring, we will deliver what we promised. with that, i can take questions. >> colleagues any questions? supervisor avalos. just a question for the build. in the end, we have lots of furniture to purchase for the new hospital. is that already been budgeted or

is that something that's going to be coming to us at a later date to approve? >> it is not permissible to the bond funds. i have terry sults with the medical from and he's been instrumental and advancing securely funds for the purchase of ff and e. >> in terms of the funds that will need for the purchase of furniture, those have not been identified just yet? is that correct? i see mayor's budget director standing up. maybe she knows. >> ms. howard. >> as you will remember, we budgeted last year in the second year of our budget for the first part of the ff&e for the

general. the cost are quite significant, more than $100 million of ff&e which you will see in the mayor's budget coming up this year. you'll also remember that the san francisco general foundation is committed to raise a significant portion of the f f&e over the next two years. all of those funds will have to come from the general fund because as the project manager mentioned, they're not bond eligible. however, we will be working closely with the project team to identify whether any of the cost are eligible to be lease financed so we can save money on things that have a useful life over five years. >> great, thank you. >> colleagues, mar. >> thank you, and thank to fong and chan architects as well. i appreciate the budget analyst report. i wanted to ask a question.

i know there's a lot of moving parts in this big contract. it's not unusual for administrative oversight for this to happen. can you explain what caused the oversight and how we will make sure this doesn't happen again? this is for modification number seven. >> yes, i think through the chain of approvals, myself, the director as well as the city attorney's office, unfortunately seven advance without anybody recognizing that that dollar amount took us over to half million dollar threshold. i assure you it won't happen again. everybody at each level of approval is where this threshold section of the chapter. it's unfortunate that we crossed that threshold and we have recognized that in our

processes. >> thank you for the update and the great presentation as well. thank you. >> thank you. >> thank you very much. like to turn our budget legislative analyst for their report. >> good morning. on page 2-4 of our report, we showed the modification number seven is for approving $1 million and modification number ten is approving $665,000 total budget finance committee will be approving $1.6 million increase to this contract. both of these increases are related to telecommunication equipment in the new building. they are being paid for within the project budget so it's not increase to the project budget. we recommend approval. >> thank you very much colleagues any other questions? seeing none, would like to open up for public comment. any members of the public wish to comment on item number three,

please step forward. >> hello. good morning budget and finance. are you really happy here in this hospital rebuild of general hospitals the game? [singing]. ♪ you try to talk it over but the words just go and fade. on this lonely hospital road you gave searching but not finding, hospital understanding anywhere. i think you're lost in a general

hospital masquerade. you try to talk it over but the words just go away on the city clouds of gray. searching but not finding hospital understanding anywhere. i think you're lost in a hospital masquerade. lost in a hospital masquerade. budget wise. >> thank you mr. paulson. any other members of the public wish to comment, speak or sing on item number three? seeing none, public comment is closed. >> i like to say that's probably one of the toughest song i've heard walter sing. i'm a big george benson fan. thank you. i like to move the positive recommendation on this item. >> we have a motion to move item number 3-4 with a

recommendation. call item number four. >> hearing consider release of reserve funds san francisco public utilities commission in the amount of $1,442,500,000 to support community choice project cuh978. >> thank you very much. we have ms. fox. >> good morning. congratulations on your appointment to the budget committee. the pc has lots of items before the budget committee. we look forward to working with you all in the coming years. little bit of context for this item. as part of the pc's 2006 and 2007 budget, the board of supervisors appropriated. over the past five or so years,

we've been utilizing those funds and come to the budget committee for previous release reserve and that is supported staff, consultants going out to get an energy services contract, etcetera. with this agenda item today, we're asking for the final release of $1.4 million of that $5 million. the primary purpose of that $1.4 million is to move forward with the customer notification and education plan associated with the clean power s.f. program. i should note that at the end of november, our commission held a joint meeting and the primary agenda item during that discussion was customer notification and education plan. our commission officially endorsed the proposal. we got a lot of excellent feedback