plan. our sources starting off with our need. 2.2 bloidz was our estimated need last year. and i called your attention how we're revooigdz the way we're looking our seismic costs. i'll come back to this first slide. just to talk for a second about what is need is and what on enhancement is. the need is how we and the city defines by capital planning what you need to take care of and

moipt our existing facilities. and if you're required by lay to do that. say we have to upgrade a structu structure. if we've added something new like some of the structures are split and so we counted this as good repair because it enhanced the facility. the way that the city does it's capital there is never a code driven need.

piers are different animal. so the key is that we don't really know until we have a plan for repair of an individual structure whether or not it's going to trigger the seismic code or not. a friend of mine who's an undergraduate what figured out largely in this box was it was either green or blue so we don't know how to treat it until we open it but the key idea was to it required separate treatment it's not green or blue at any time a different color. where i'm going with this is our

seismic depravities are green but we don't know until there's a specific plan of repair ready to execute. so in this plan to get it to go forward it's not part of our need it maybe triggered or not >> what's more definite sense what the seismic plan will be. >> once they understand what their use is that will drive the kind of repair they want to make. changes and use also triggers seismic code. it could kick a cost into a need. additionally there's some piers

that the seismic work may not be done that maybe triggered by code >> i guess i was getting more into the weeds in terms of when we start a project is there too months to get a sense or is it two or 3 months to get an idea of when we sort of figure out when this will be. >> almost any structure is going to trigger seismic but it is going to be a certain weight and then how much of seismic is going to be triggered and what does that mean and what does

that cost. that third step is the hardest it happened with pier one. almost invariable when we change use we have changes but the codes may not have been met. it's very if i but we want to know if that's going to be triggered or not >> do we get 6 months to a year to start figuring out the allocations that's what i want to know how far in advance will

we need to make the adjustment. >> it is designed not to trigger seismic. >> so much really doond the nature of the repairs. you could have one pile that is in bad shape that could trigger the whole project >> looking toward our again here down at lower piles it spates our our need to our unfunded seismic work. but on tape we see the amount of

money we have to spend is nearly $700 million toward the enhancements. so the tread line which i should say in this case doesn't compare apples to oranges but i hesitate to extrapolate too much on this from this year to next year. and this going backwards. this is the individual funding source. here's the shift in the

infrastructure bonds proceeds that are very deliberately round out because their new york city we don't want to get too specific about. and then the development funds you're looking at the purple area. so as last year, we listed it as a funding source this year we don't. and then the blue line the capital fund we're hopeful that the fund will skyrocket. so lately the distribution of fund where we are expecting that to go. we listed this last year, we consider this still new.

we haven't been able to list it yet. so going through the wiert front quicken it - it was changing the contours of water front and it would wipeout the whole section here. this area of the water front is every color on there except for development but very diverse in the amount of funding we're looking at. you can see this area is coat with camouflage.

we have a long term kind of plan. and there are project association funding that is a no, no. we've got to erase that from the map and pier 36 as well. so our water front is changing. and pier 64 it stays the number. all that will be removed as part of the ac/dc permit for the america's cup. so i'll wrap up by noting that over the years this has had a big impact over time.

it's been important for our public to reduce our public debt and it's, you know, it's a flexible tool it will continue to meet the needs of our public. >> is there any public commit? commissioner? okay. so daily guess you update this every year? and every year >> i appreciate the $250 million since 2006 since the last time it was presented so i think you all should give yourselves some credit. it would be great to see as we take things out that we can see

what went out and what came in. hopefully, this is hopefully stabilizing so the tied coming in isn't as great as in the future but i think it is okay to appreciate that and all the good work you all have done. i want to clarify that it sounds like all the promises that ed and his team mentioned are incorporated in this year's capital plan >> yes well incorporate - >> no, i understand not funded but what needs to be addressed. >> absolutely. >> part of the 2.7 and captured. >> every facility is captured

and this is nothing if not comprehensive. so if there are new details estimates that are from a facility or engineering that will be adjusted in the 10 year adjustment period but where a facility maybe removed from yellow tagged or red tagged if there's a major change and there's manage of a judgment call there we may not change at all. it maybe more of an engineering call. and i appreciate that you had asked me from some opinions about the plan as i recall in

this conversation and so if i was to think about, you know, the 2 billion we heard about last time what was equivalent to that is the size and the enhancements would that be the proper way to think about it? i'm perhaps giving a lot of leeway but the last time, we talked about this was it lump the two >> i think making a between apples and apples i think you wouldn't use the 2 billion number. this is the way to get our arms around it in terms of needing a

good state of repair but enhancing the promotions so if you were to compare the last two years the number would be minus the enhancement so i'm not sure i'll be able to do this >> your comparing 2.2 to 1.95. so i think that we're getting better in the methodology. but in terms of how to address those issues we need to figure out how to get our hands around

it and get other funding from other parties. i would have mentions a new business but we also have a major category with our master -- what's going to pay over time is not the major leasing but we need to understand that where the revenue sources are going. and it's at least going on the right trajectory. we need to find third party source. bonding whatever. i see elaine taking notes >> when you're working with the various departments it is a

major portions of the revenue we don't understand what's happening on the periodic basis. >> that's great work. i know there's more work being done and i'm willing to work with you. with leader pelosi and feinstein. we need all the west coast people we need to come together and maybe get these folks down here. so sometimes they're in d.c. they're so far removed they need to come down and see the

deterioration of our port. i want to hear about the harbor maintenance tax we can't get it and we pay into it. i mean maybe they're using the money for something else. this is something for me, i think we really need that money here. it's got to be imperative. we've got to pressure them and i think it's something we've got to do. >> so the harbor moindz tax is something that has come up in the last few months. it's really the east coast ports that are really interested in it

and that's the primarily concern expressed by cap and we work very closely on this issue is very important. so i'm looking forward to talking with you in much greater detail. there is some concern with using the fund for land side improvements land side structure. and there's a suit in the world trade organization that could cause that as a funding source to be derailed completely. so the capital a leadership is

the sort of smallest change is the right we're talking about way to go and for the port of the san francisco it's really - it's great news four us. the channel drudging doesn't effect us. but the birth drudging could be very important for us. we're suddenly becoming inadmissible for that. and the port change has worked hard.

and so what is says in the boxer draft is what we want to 80 it to say. we have been dialed in on this and focused on it and we're going to stay on top of it, it's part of my job at the moment >> any comments? >> thank you all for your hard work it seemed like an impossible task but i know it's quite a lot that's been going on behind closes doors. do we have any way of looking at

when he look at some of the addressed investments can he track it and see what it saves us long term. i think if you have the deferred maintenance it costs that much more. i guess i'm looking another to get addressed support so we can see how much we're saving by funding those projects sooner rather than later >> the capital side of thing the - i had a note in here on one of the slides. there's about 20 thousand pieces of information. there's just so much and we do track all our maintenance and

when those get more expensive it's backed into the software. it's a long term planning horizon doesn't afford itself that way. we don't do depression >> ports our systems does have the ability to provide a profit and loss statement and we've been getting the data on the cost side numbers. so we can see investment now does it safe costs or prevent loss of revenue. you can see both sides and we do

this analysis but we're looking to see it more portfolio wide. so when it's red, yellow tagged in terms of cost saving there's operating savings that fell off from capital investment and there's also reduction of future cool investment that spins off from good capital maintenance and we're looking at that more capital wide >> as you invest you get to look at this on the capital side of your investment sheet but when you do make the adjustments

one the benefits is the question reminders me you should be capitaizing that. >> it does it improves our net over all. >> coverage. >> coverage yes i understand but we're looking at leverage and everything else. it does increase >> true and capital investments do have a direct benefit to seat line but those types of investments are truly capital do show in our improvements to the balance sheet. >> right. thank you

>> i just want to echo i hope we can work with staff and some of our political leaders and we can argue to get our fair share of federal fund and the trade in china we learned is exceeding the united states so the west coast ports are going to be more and more important. we've got to carry the message to our political leaders >> so i did take notes on the items you asked for commissioner. do we have any new business >> any new business or public

comments. francisco i know you listed yourself for other comments >> the reason i came here for public comments and because of my past history i have to comment. so one of the things missing in this presentation and or issues. some of the toongz have been removed. you should revisit to find out what that can do. and on port proprieties when had pollution in our base and we

have to understand those things. we can talk about pier, however, we want to. we know there are some ammonia places. we have to look at it in this way we know that one time for over 10 thousand years the people kept this area press tin and somebody came in over here and polluted this area. we need to pay attention to environmental issues. so our children and our youth, our elders have to get the best. now i focus on the south sector where we have a number of

issues. and we had a number of these issues because of our power plant of the place in the south in that area that impacted our situation. but their problem is that they were inversely impacted so we have to reach out and allow them to have a voice not just in those districts their focused on - we need to focus on our real issues by enclosing to city hall and participating in forums and debates. we villaraigosa to have robust