to address access to capital. nor cal has a contract with the state of california where they can guarantee 80 percent of the loan to help local contractors to participate on the project. this is pioneering stuff. you can get the job but if you don't have capital you are setting yourself up for failure. we do not want to see that happen. this is our mantra and our goal is to build capacity for the future. 15-20-year project, let's grow these businesses, not only technologically or financially, but give them a real upper hand on participating and growing the business. finally, our workshops were spanned throughout the year. we tailor it on the needs. there are some companies that are automatically participating on the project and some need how

to do a change order and rfi and what are the processes for that as far as accounting and bookkeeping. so our goal with the cap office is to develop capacity through education and providing whatever resources and assistance that we can. again, we are excited about this. we've done a lot of programs. we have not had the kind of resources allocated to be able to do a real solid complete job. we do here and we can only be excited to come to you guys in the future and say look what we have accomplished collectively because this is something that requires the entire team. not just a general contractor, not just a developer but there is contractors from the community. they have to be honest and look hard in the mirror and understand there are challenges within their company and they have to grow their business to participate. this is not a handout, but a hand up to

participate -- on this project. i'm available for questions. >> thank you. commissioners. >> thank you mr. butler and mr. cook, that concludes the presentation. we are available for any questions you might have. >> thank you very much. i would like to take public comment on this item? questions? >> the first sticker is al norman. >> thank you. >> madam chair, madam director, commissioners, al norms. president of mechanical inc.. i appreciate you an allowing me to speak here and explain how we feel about lan ar and roberts now. we know that 50

and 51 on this block deal was already on the process before you got this position in now. it was already in the process. the thing we didn't like about 50 and 51 is you had no process the place for a level playing field. it was just business as usual and the same good old boys you use everywhere else is coming to do this project for me. now we have danny cook an butler enterprise and a lot of other things, we know that we have a fair shake at level playing field. we are not asking anybody to give us a dog gone thing. we went here, we put in the position he did. we expect him to deliver on what they said they were going to deliver. all those meetings and city hall and everywhere else that a lot of you attended. that's all we are asking, a

level playing field in our backyard. we don't get a chance in anybody else's backyard. this is our backyard. we just want a level playing field. we don't want to you give us something because we live here or we are a certain color. just provide us with a level playing field. i think we got that with danny cook and butler enterprise and what they brought to the table for this process. we have you. myself as a contractor and my other fellow contractors. all we want is a level playing field. you can come out and see us and tell us about the adjustments we need to make in our business to be a success and all the other things. i have been in this business for 27 years. the contracting questions, i have done the units for houses or 3rd street but i don't get the same consideration now that i got then. i guess it's a

difference dealing with the daddy and then dealing with the son. but with a we see in place now with lan ar we think we got a good shot at a level playing field. i thank you so much for this opportunity. >> james mabme? >> good afternoon madam chair and the rest of the commissioners. my name is james may bree. i'm with janitorial services. i'm with bayview renaissance and member of the bayview association. i did bid on it and i didn't get awarded

the contract because my bid was too high. i make-up 1 percent. i do final phase cleaning. i try to keep my core crew working which is out of the bay point and i'm looking for more opportunities to hiring more young men and women and get them active as employees. the butler enterprise what they are providing to us as small businesses is real significant because we don't have that level playing field as far as having more opportunities at jobs. this opportunity is being provided right in our own neighborhood. as a small business who has all it's i's dotted and t's crossed. i'm asking you see to it and not just myself and all that have

their i's dotted and t's cross at bidding at a competitive process. not where you are making one mistake and you lose. but bid where we can make money to be stable to be able to sustain when these companies leave. we want to be able to stay in business and keep our core employees moving. that's all we are asking for. butler enterprise entity has invited us out to access the money program and blue read. that is significant because as a small business we don't have access to money. for them to put on, for them to bring in people for us to actually contact and be able to acquire access to money

when having a larger contracts because, for me, a small business, i don't have money to float these contracts. so access to the money is very significant and what the butler enterprise is doing in the bayview point and larn ar is awe son. i ask you to see that they do the right thing. thank you. >> washington? >> good afternoon. i'm here very much supporting butler enterprises in particular because i know the young brother for many years from the fillmore genuine above the board and i think he's very, i think he's a bright person and what the city needs. he's working in the western addition. i'm also here supporting the project in total itself because it must move on.

something that's been going in the process of planning for many years way before most of you were involved with the cac. i'm in the process now of trying to and getting ready to submit proposals to document what's going on for the future of our generation to see how a project of this magnitude starts from the beginning. it's upon me to get the paperwork in my neighborhood and i have been so busy. i have got to slow it down. they say what are you going to do? i'm trying to get that together. meanwhile enterprise is taking some other things. it's the main thing i need to do to document this because this is something that is unique technique that we need to document to bring for our younger generations to see how it was done back here in

2013. so i'm here supporting the project as it stands right now. you have to understand this is an a working process. this project is not going for another 15-30 years. maybe someone after me will be able to take on what i have been doing. i'm here to support the defer enterprises and the project itself. >> angelo king? >> hello, i'm angelo king. i reviewed and co-wrote the epc a long time ago. how about that. as of right now i'm working with butler enterprise group on the cap project. one of the things with the first workshop

that we noticed is a lot of people complain and are we really going to get an opportunity. if we put in our competitive bid, are we really going to get some action? what we were noticing was apathy. these guys have been burned in so many different places where you take the time and effort and resources to put a bid together and you think you put a competitive bid together and all of a sudden you got awarded the bid, you are not called back, nobody tells you. so you feel like you don't really have an opportunity. there's a part of the job that we had to do and if anybody have seen me speak, i'm kind of an optimist. a part of what we had to do is convince people that the players at the table wanted to see succeed and working in the background to do everything they can to make sure the

playing field was leveled. if you put in a competitive bid you should get the bid. this is business. it's not like somebody else said, this is not a handout. these guys can do the job and if they can get a competitive bid within 3 percent. it's our job to make sure they get the opportunity. that being said, we have to spend time to say this is worth your time to bid. please come and bid, this is your work here. we had to convince people to come. so part of the way you need to judge son -- some of this as it moves forward you will know this is a level playing field by how many locals are bidding particularly african american contractors if i want to call it out from district 10, if you see more of them bidding, then clearly they

have been convinced that this is a level playing field and a real opportunity. and with no performance bond, with on-site general liability, with technical assistance at the ready, with people trying to find them ways to get not only long-term funding but cash flow solutions, we are working on their behalf. if all of you who push for this project and people like me and people like coffeeey who i think are honorable folks and cheryl who worked in the community if all of us are not here to make sure those goals are met, then i don't know what's happening. i believe we are getting there. you know, it's starting slow but we are getting there. thank you. >> dr. hann kit? >> before you go on, can you

call like the next two or three people at a time if they are all for this item. is there one more? great. >> good afternoon, commissioners, my name is dr. veronica hanukkah. i'm with the chairman visor committee over seeing the project. for now, members of this group, dedicated volunteers has spent countless hours and efforts and i have been able to carry this project from the conceptual phase to the implementation phase. i'm going quickly because i have a lot of notes to share with you but you know i'm fighting the 3-minute clock. following the san francisco report on contracting it's very obvious to the cac and members close to the community involved with the shipyard project, the problem with the project, the lan ar's

massive community benefits program, basically the whole picture on the ground is not only missing but inaccurate. that blame should be equally shared by your staff an others at cac, we should not let the san francisco chronicle and tell the news media. it's a real wake up call for all of us. we are working on a plan. the board of supervisors and our stake holders to disseminate on the ground. we have your fact and other agencies working with us, we are not pleased that pertinent information is not disseminated as expected. an i am straegs -- illustration of that when i was interviewed by the station about the cac and the

development, the young woman in charge came out and said, i'm so sick of hearing this that lan ar was a rogue agency. by the time i shared with her exactly what lan ar had done, she was shocked. she said wait a minute, we want to make sure that everybody hears this. here are some basic facts. by the way, the cac also hosted supervisor mallia cohen. we made sure we updated her on the progress from the ground and we continue to update her. the main point is lan ar has rose to the challenge to providing the resources for the community. i'm skipping through my notes here. this is what the cac is recommending. we are recommending the following. we will work with executive director tiffany to coordinate this recommendation. we would

like an invitation from your commission for the pull presentation of the cac of the project on the ground and the i c committee and the legacy foundation and from our subcommittee chairs on housing and business to speak on the milestones on the alice griffith project development. that is it. thank you for your time today. i'm grateful that i was able to speak beyond that 3 minutes. >> i will be very brief. my name is parish. we have providing solar panel installations and training and manufacturing here. i'm here to support the cap program with their butler enterprises and i feel like it's a great opportunity for companies like

mine to get some visibility and transparency with the builders, with the general contractors specifically cahill and robert oeb yashey. they have a joint venture with sunlight and power which has received the agreement to provide solar panels for blocks 50. we are currently bidding on blocks 53 and 54. the workshop has been very beneficial to us. we attended the workshop for access to capital which seems to be moving forward with some positive outcomes for funding and i'm here in support of the lan ar project. thank you very much. >> thank you very much. we'll get started real quick. commissioners, i would like you to know that we have a very full agenda today. i want everyone to get their questions in but i will probably cut it

off if it starts to go offtrack too much. you had a question? >> mr. butler, before i talk to you i would like to recognize angelo king and ed norman. i just want to know how you advertised this program you have? >> we are using a number of different techniques. we developed a data base of all the minority women on businesses, local businesses and sbe in the 941207 and 02 and we developed that list and e-mail and fax and we made sure we partnered up with disseminating information with the bayview merchants association and the chambers, the chamber of commerce and all

the others to make sure they reach out to their constituents and stake holders to get the information out. we follow up with a systematically normally three within the timeframe of a prebid meeting and outreach workshop or any activities going on and we make everybody is aware to what is going on at the shipyard. >> how many people on your list and what kind of associations? >> that's an excellent question. we have every association and every chamber of commerce on our list and the cac and stakeholder organizations and when you take a look at the actual contractors, we taylor the outreach list to the scope of work. for instance if it's underground utility we tailor our list to underground

utilities. we keep advertising for somebody that lays carpet and underground utility they don't want the information that you are disseminating. the list that we have for contractors is almost 500 companies. it's not only contractors but we also have professional services, construction related companies whether they are surveying or testing what have you. >> okay. maybe i will talk to you some other time. thank you for the information. >> thank you for the great presentation. particularly i thank lan ar for the good faith effort that you guys have put forth with the providing multiple general contractors and expansion of the cap program. my first question is there a robert yoeb she representative? a couple of questions for you with regard

to i'm looking at the contract awards and going down the block 5 and 51. and it seems that the contract for the common trade professions are being awarded to subcontractors that are not in the city. for example there was a drywall company in mill pit as. what was missing from that general process? >> i think what was really missing was getting bids in all the trades. we got bids from local subcontractors in probably less than half of the trades. what's hard in achieving in creating high percentages of participation is especially getting those bids in high dollar trades. the

plumbing mechanical, electrical trades, the big dollar items. we didn't get any additional numbers from drywall. that wasn't enough for us. we went back out and searched the neighborhood and found a local subcontractor and he bid the project, unfortunately he was considerably higher and met with him personally to go over his numbers to allow him to be competitive for 53 and 54. he did revise his numbers but there was too much of a gap to put him in on that one. i'm happy to say he has rebid 53 and 54 and it looks likes he's getting a project. we are on 50 and 51 they are one project and very hard to break apart. so he's getting a couple of

buildings in 53 and 54. electrical on 50-51 we didn't have any local bid participation on that. on 53 and 54, we a local bid it. the word has gone out now and even though we did the outreach and 50-51 went through several, now they see it's a real project and moving forward and we are seeing a lot better participation in 53 and 54. >> gotcha. that conversation when you see here before you see has to contracts and bids is there a needs assessment from your end and your end, what does that communication look like as far as ensuring that there are folks in the pipeline obviously but the communication is here is where a lot of the contractors are

lacking? >> to give you some background on us, we have worked for over 25 years. we understand what it's like to work with community and as a result we don't as a company put barriers up like set bonding requirements. we've helps substantially throughout the year so they don't limit their work on the project. what we've been mostly relying on butler so far where we are not getting coverage areas so if anybody maybe out in the community that just didn't get a bid on the project. in 50-51 anywhere we didn't have a local contractor, we've been going back out searching and trying to find someone to fill those spots. we've been doing that and 53 and 54 is taking us longer

because we've broken it into 11 projects. it's been working well. >> thank you. my next question for director, just as far as internal capacity to ensure proper oversight to make sure the goals are met, what does it look like for us? >> this is not a compliance issue i think you are getting at. one, yes, we do have a compliance staff. but this is from an executive management point of view. i can let you know that i have been personally involved. we do have a charge, an implementation role to make sure that we are doing all that we can both within the letter and the spirit of the redevelopment agreements to make sure we are meeting just as we met or the vertical professional side on

the contracting side as well as on the hiring side and it starts from the director of the commission. you made it through the priority through the executive management authorities who over see the project through senior manager all the way through the line to make sure we understand, to make sure the development partner truly understand what the requirements are and that's step one and how are we going to implement that. two, what's the proposal, bring us in on the front end as you heard the speakers indicate both from the developer and open yashey as well as defer, we were on a reactionary mode. that is not a good position to be in because we have a lot of units to develop. there has time with the district supervisor and time with the contractor and time with the executive management of lan ar make

insuring that we see this as a priority and we expect them to deliver results and how are we going to deliver results. i think you have her one method breaking down those packages. as a result of having by a block spaces. maybe only approximately 150 units, but what that means from a work flow point of view and we have accepted, that means there is 11 different building permits. so what that means is there is a ripple effect. the project included an mou. we have existing architectural and planning staff to handle that but because we wanted there to be sufficient opportunities for local contractors, now as you heard has had a ripple effect on the review of the permits. we have brought in additional resources where appropriate to make sure that we can handle that work flow and deliver on

those results. >> you answered all three of my questions. so, that's it for me. >> thank you. all right. i will make a quick comment and see if anybody has any questions. i appreciate the presentation today. i think going into today's presentation and rather getting the materials last week wasn't sure what we were going to hear. there were issues with local contracting and local hire with no real resolution in sight. to me it's very pleasing to see there were lessons on both sides. i think it was donny from lan ar that the oce in hunters point that have not been around for a long time are well established businesses. their cards are full but how do

you get everyone else on board. i hope you have learned from the side. i really look and say i need to grow my business to find wags to buildup the cap office to help in the future. this is a 20-year project so it won't be the end. the one question i do have and we haven't touched is on work force hires. my time on the hunters point, we asked for data around work force hiring. it wasn't that it didn't exist, it's just that the data didn't make any sense. it was hard to tell whether it was 1 person working for 10 days or ten people work are for 10 days or 20 people working halftime. it was very hard