the direction of this industry. this was a piece of legislation that was put into affect during a recession period where construction work hours were off by 50 percent so it was easy to meet the demands initially. they went to 35 percent just in the first year of i implementation. as we have this rapidly expansion market and the projects are coming by the ordinance, it's dramatic. we're looking at this and we're taking market analysis to make some comprehensive recommendations towards construction work force. also taking into consideration the city's provision for first source hiring which aren't as restrictive but covers most private developments throughout san francisco. >> and have any penalties been

implemented so far? >> the off ramps are very generous so we've been able to utilize those to date to avoid liquid dated damaged. in the third year they'll be difficult to avoid in some situations but employers have every opportunity to utilize these off ramps. our goal is not to penalize contractors but put san francisco back to work. we tried to avoid liquidated damages. we work closely with the city economist. we can see there's been cost impacted the city associated with this city. >> all right. thank you >> thank you.

>> do you have someone else presenting or that's it. regarding the report, i want to thank you. it has been a great year and even though we didn't meet our self imposed goal, we're close to it and i want to thank director moyer and the entire staff for taking these goals serious and trying to make sure that we are doing our part in making sure san francisco are working so thank you so much. thank you. >> item 13 a request one port commission resolution 12-92 endorsement of the za 1,230 term sheet and three authorization to enter into a negotiation. portland between

pier 28.5 and 23rd third street 4110 and block 4200 zero located at 21 and illinois street. >> good afternoon commissioners, brad benson, directors here to present. this is going to be familiar to the commission. port staff presented a term sheet for this important transmission project back in november of 2012. we're back before you today with a revised term sheet and we've been negotiating with our partners represented here with jackson. and have some new public benefits to share associated with with this term sheet. i'm going to fly quickly through the presentation because you've heard it before but slow me down if you have questions or i

can take questions at the end. >> you can't leave. we have no forum. sorry. >> pg and e maintains the transmission serving the city with the exception of the transbay cable. most of it coming up the peninsula. they have proposed a new 230 kv transmission line to provide redundant see to downtown san francisco. you remember there were rolling blackouts that

affected downtown and we had reliable services for the cities and supervisors got involved and we're looking at a number of transmission upgrades to the city and endorsed upgrades and this is one of the most important upgrades. right now downtown is served by kb system that runs from the patero substation to the embark substation and there's major concerns if there's an earthquake that happens that that transmission line can be severed and it will take some time to get the power surface up to downtown san francisco. there are a number of proposed routes for this redundant see upgrade. one would involve submerged port property and

i'll show you that route. as i mentioned before the port commission has previously endorsed a term sheet for the proposed project. and we have negotiated significant changes to that proposed agreement for your consideration today. pg and e has been hard at work during the same period of time. they've been working with the california public utilities commission and just recently published a draft mitigated that's under going public comment and review right now. here are the routes that are being considered by the cpcu. there's two upland routes shown in green and red. and then the submerged route is shown in blue and all three routes would provide this tran mission update from patrero. the blue

line would go underneath city streets and then there's directional drilling into the bay just north of pier 30. and that would -- the route would run three miles and then follow the transbay cable up to third street to get to the substation. once at the patrero substation, part of the station is building a new 230 kv switch yard to the existing switch yard in a much smaller foot length. on an anger of the site to the south of pier 70. i've gone over all of this. i'm going to skip this. there's quite a few approvals required for this project. the cpc is the lead agency there

the project. they're analyzing the project from reliability to see if it provides the benefits. cpcu will be collecting comments on their draft mitigated declaration through september 2013 in writing. the board of supervisors will have approval which would come after its complete and there maybe some [inaudible]. there's very agencies that regulate construction in the bay including the regional water quality board and cd cd that may have to issue permits as well as the federal level at

the court of engineers. so getting to the terms of the revised term sheet, the basic premises are the same as what you saw last november. and as is the term which contemplated as a term agreement with one 126 year option to renew up to the 266 years. pg is proposing a pre-paid rent structure so that the ports rent would be collected in a lump sum, actually two lump sum payments in 2014. and we expect $14.8 million divided into two payments. so the water front community benefits policy would apply so there's big deposited in that fund as well. for the option period rent, pg and e would have the option of paying

an annual rent or a lump sum rent, calculated in the same manner as this initial rent. we mentioned when we were here in november that a major public benefit that port staff had been negotiating for was the ability to buy some property right near the patral yard. and it's where pg and e does industry was operations. if you recall 22nd street is planned to be a major interest to the 4th city water front site development and we believe that the city staff level that there needs to be a change of use at this site in order to facilitate that development so we've negotiated an option price. under the revised agreement the office of he can no, ma'am he can and work force

development would have the option and for city development would rezone the hoedown yard. the great fwhing this structure it provides public benefit that the improved land. that's the difference between the $8.3 million that oewd would pay for the property and what it would sale for. would go to a project that's important to mayor lee, the hope six project at patrol which is completing its environmental review. it's a rebuild of low income housing in the city and really a whole new neighborhood. >> another is figuring out how that existing substation can be improved to allow for all the development in the pier 70

area. this area of the water front has been dedicated to providing power to this city. there was the patraro plant that closed several years ago to the south of pier 7 and the switch yard. as we're thinking about repurposing this area of the water front we have to think about how to treat these old power facilities in a manner that will accommodate growth, so we've been looking with pg and e help with two options, either screening the substation with the utility screen and we go around the perimeter of the project or the substation or enclosing the existing substation in a building. and that's what you see in most of the neighborhoods around the substation. the larkinsubstation is enclosed. that's a great option as well. under this proposed agreement the city will have a right to

select its preferred option and they'll seek the approval for that city preferred option. wrapping up the presentation. the timeline has not changed since we've seen you before. we're in the middle of review that should end at the end of this year. we could be back with a proposed license agreement in early 2014 and construction will start as early as 2015. so as to our recommendations and next steps the resolution before you would resend your prior resolution endorsing that prior sheet and having the staff enter into this revised term sheet and then we would go to the board of supervisors with the term sheet and our expectation is to bring it to them for their consideration and make sure the

terms are acceptable to the board. after the cpuc completes the process then we would come back to you for final action. so that's my presentation and i'm available for any questions. >> motion to approve. >> moved. >> second. >> okay. >> any public comment? >> any questions? the preferred route is the blue line? >> yes. >> which is under warrant. that's the most cost efficient we think? >> pg and e would be better -- they would be in a better position to answer that. it's better from the port's perspective because that's the means we're able to charge rent and we think it's cheaper for the project all over than digging up city streets and putting the transmission. >> it's a blue route? >> the only one we're involved in is the blue route. this is

ontario smith representing pg and e. >> the blue line is cost effective. it clears the hurdles and it minimizes public streets. we're not digging through streets which is impactful for the resident. >> my next question is the only line that affects us is the blue line, the orange or green line we have nothing to do with? >> although i think one of the other lines crosses the creek so we have a very small license for a portion of that route. >> the hoedown yard, who is responsible for remediation if there's a need? >> the site has gone through a regular process. there's deed

restriction on the site. we've been monitoring pg and e environmental efforts with respect to the hoedown yard and the power plant site including those lands off shore. and carol bock is our manager who has been monitoring that work. we think the cost to clean up that hoedown yard are pretty small to residential standards in the neighborhood of $600,000. we're buying the property on an as is basis so really what would happen is we would sale the property to a future developer. they would clean up the site if they were going to do residential use or leave it as it is and build a commercial use which is allowed under current closure. >> so we'll be responsible or the developer -- >> yes.

>> where is the yard going to move to? >> we discussed this and the commission expressed a concern that it not move to port property. pg and e heard that. so we can't tell you where it's going to move to. that will be part of pg and e due diligence over this next period of time as finding an alternative location for that use, but i think we can report to you that it won't be on port property. >> thank you. my last question is the 7 water front benefit fund, the $665,000 what is that based on. >> i think that number is wrong. >> me too. >> i need to recalculate that number. if i come up -- >> i come up with closer to $1.2 million. >> i have to see if the 8

percent reflects the concerns in the schedule, but we'll get that information to you. it will be as we've told you in the past, the contribution to the fund will be consistent with the port commissions adopted plan. >> brad before we take a final vote -- >> by the way, nice catch. >> thank you. >> i am not 100 percent clear on what the revised versed the -- in three or four sentences tell me. >> we've moved from an annual rent structure to a pre-paid structure. we've been contemplating renting structure. we have a new prevision of the substation. that's the major improvement to this term sheet. we've got rough cost estimates for the value of that. we can't tell you what it will cost but it

can be between $10 million and if it's enclosed in a building it can be $50 million of expense. and then the option to acquire the hoedown yard shifted from the port to the office of economic and work force development, i think we concluded at the staff level as the port it doesn't make sense to acquire non trust property for non trust development purposes. >> i understand. that's it, right. i want to be sure that -- >> yes. >> okay. any further questions. >> all in favor. >> i. >> i. >> thank you. >> resolution number 1334 has passed. >> item 14 no business. commissioners. >> no. >> no new business. okay. okay. >> adjourned. >> can we have a motion to adjourn. >> so move. >> second. >> all in favor.

>> so good morning and welcome to all of you i'm joseph i'm the director of prime care for homeless services and urban higher or speaks louder you still can't hear me. okay. i've joseph with urban house thank you for coming distinguished gifts and staff

and community partners and many, many other wlor here today. i can't believe we're here and it's so great to share this exist day with you and this exciting new chapter in homeless services and a principle care for our most vulnerable co- citizens of san francisco. i'm very happy to have you all here. i'll make a quick program note there is a little reversible in the order just bear with us if it looks like the order is out of order. i wanted to - color to the mike - okay. i want to acknowledge what a shift this is what this day represents for us as a city as a health department and a clinic especially a clinic two

clinics that came together to become one. two clinics that were flagship clinics to provide high quality care and advocacy for our vulnerable residents. we've been innovator long before some of you saw early today in pushing the boundaries and setting higher standards of care for those who have long been overlooked and now we have thanks to the commitment of so many people a beautiful place to symbolize that commitment and the district and respected for the patient we serve. i want to thank all the people and i will do so throughout the program and especially i want to put our patients and a clients

front and center. i want to thank you for being with us and entruce us with your health care it's been exciting to meet you and to hear how excited you are this we've got this space speaker i want to say within the health clinic this has become the urgent health services a very, very long time even before the homeless program and it continues to take care of those who need the care. i think tourists still come to tom when they need help base wear written up in tour guides. we continue to a provided exemplar dental services for

those who are fengd that hiv and we continue to a have this beautiful space downstairs have a strong commitment to provide services in your offer 15 community sites. we have a wonderful office space o pet treatment program that brings recovery right into the preliminary care setting pr we are ahead of the curtain with community based primary care hepatitis care treatment and ahead of the hiv care and we co- run a center of the obsolesce in the tenderloin. through josh about 12 years ago we started or josh started the first medication adherence

program for people who are homeless or mentally ill and many people were written off because they were thought two disorganized to manage it and we said no, we, take care of those people and help them and that program continues (clapping) we've had integrated prim care and behavioral health before president obama thought about that. we have our psychiatry services. and our transgenders tuesday's. wee which is about to celebrate 20 years of service this january

(clapping) and tom o'dell urban health remains at the forefront as itself services for the transgender community are ignoring both to be another service and we can do it all in the state of the arc facility that's a shining example to all of this city's undying testament for those who are surviving with multiple chronic conditions and poverty and the like. we've been doing it and now we get to do it in style (clapping) >> so - enough from me you'll

hear some more thank you's but i'd like to introduce margaret she's the director of the san francisco department of health and she's been a champion and in those moment when we needed help to get through some rough spots to make sure we got this off the ground she was there and creativity in findings solutions to making this day possible. marcelina >> (clapping) >> okay. i'm not moving because i don't want you to see me we just need to fix it. okay mayor, is supervisor kim

here >> yes. >> supervisor kim, director of public health garcia and t nc partners really want to welcome you and we're very, very pleased you're here to share the occasion. the new clinic is actual one of the first grants that we've built since 1969. not only is this incredible it's at the heals of health care reform. i want to thank the mayor's office for their you financial support and director garcia and also to be able to navigate the whole f f c process. this has been really challenging to bring two different clinics with two total care of having a

single way of doing things. it's been challenging but the san francisco staff has shown they can do anything to come together to create this incredible clip. i've said about being incredible in the way they provide care to the homeless they have the best practice and that's what's been brought together not only is the practice being brought together but it's a one stop care for homeless people it has housing and primary care and community programs so it's a one stop location and we will get a better outcome for homeless patients in san francisco.

i wanted to thank t n b c they're great partners and because of them working with us that's why we have the great clinic that we have. tom railway dell we have 12 clinics throughout though city and this helps homeless but just to have the sensibility and vision and commitment on how to help clients and we need health care reform and this will help house to manager the care of people who have complicated health issues so today is a really, really great day. i thank you for coming here to