became october. in order for the project to proceed, the project requires planning commission approval under section 1332 and 1331 to allow the condominium conversion. i'm ethiopia answer any questions. >> is there any public comment on this item? >> i'm the attorney representing the owner of this. there are just typographical errors. >> thank you. any further public comment? seeing none, public comment is closed. >> commissioner antonini? >> it appears this doesn't change anything other than the fact that it was type graphically done. the conditions met are all

satisfied by this project. >> correct, the project still meets the requirements. >> i would move to approve. >> second. >> [roll call vote taken] that motion passes unanimously 6-06789 that places you on item 10, the area plan implementation and inter indemnity plan implementation committee, the ipic report informational presentation.

good afternoon commissioners, san francisco planning department staff. i'm here to talk to you about the inter agency plan report. i'm here every year to give you an update about where we are in our area plan. while the presentation loads up, i will let you know what we are going to do today. we are going to start by talking about what it does and how the department works on area plan

implementation and i will talk about fee revenue positions we have for the next 5 years. i have noticed in your report or through development. we are anticipating a large appoint of impact fees over the revenue of the next 5 years. we'll talk about that. i will conclude by going over some of my key recommendations in the next 5 years to determine which improvements will be moving forward. it looks like the presentation is up. just to start with, an i have been working with a group called the implementation team which is headed by adam barrett and there is a number of us working on the plans over the 20-year plan period. we staff the cac's for eastern neighborhoods and market octavia and market the plan. our focus is on the

capital improvement side. and just to remind you when we talk about area plan implementation we are talking about our latest generation of area plan and implementation of capital improvements in all of these areas. almost all of these areas have impact fees which are generated from new development to help support the infrastructure. this development we talk about some revenue sources to supplement those impact fees that we've been working on. in each of these plan areas through planning process they identify specific infrastructure needs. we focus on the space, the transportation, streetscape, child care centers and facilities, each plan area has slightly different priorities that are owl outreach effort

for the community process. we have not included the transit center in the report. we are still working on some of the pieces and related to the mello-roos district. also the fee deferral program, we'll talk about that more in the revenue discussion. so, in 2007, the city established what's called the ipic, all of the city agencies were thinking about how to move to support growth. this is a committee that includes representative from the plan it. we chair it but it includes mta, mayor's office of finance participates and the planning committee..

our wour -- work is figuring out what recourses -- resources we have and start to figuring out resources. this chart gives you a sense about what's special about impact fees and programming for area plans around the structure for the city. the vertical bar is what's unique to area plans. we look at communities and infrastructure projects identified by the plan and we coordinate with the cac's, all the horizontal bars is what they do all the time as they do infrastructure plans. it goes through board and commissions and there is a lot of commission

decisions around this. we try to focus on the budgeting infrastructure as much as possible. what we do is update the revenue projections. it's looked at what is projected and where in the pipeline entitled and when they might hit construction and when they might be completed and that helps us understand when the revenue might come in. the revenue we see in the next 2 years are based on construction and over the 5-year period we look at projects and we estimate when they might start where they are. also indexed the development impact fees, every year the fee rates go up. the year the capital improvement plan increased a 5

percent rate fee and that will be effective january 1st. as you can see we do have much more revenue projected over this 5-year period than we have seen in the past. a lot of that has to do with the uptake and the development market who are estimating roughly $110 million from all of the plan areas combined not including transit center. the green bar at the top represents other revenue that we have identified and secured to move these infrastructure projects forward. it doesn't represent all of the money. but these are re news that are specifically targeted towards area plan, growth and infrastructure. they include infrastructure, financial district which is established in rincon hill and a small amount of general fund money set aside to support

infrastructure and growth areas. this map just gives you a sense of which areas are generating about how much revenue and it's no surprise that eastern neighborhoods are also generating the most impact. over the 5-year period we are generally seeing $20 million off the plan areas. in fiscal year 17 you see a major bump that's attributed to a few major projects under construction now eligible for the fee deferral program. it gives you a sense too of when we'll be starting the infrastructure on the construction projects. and again, there is some impact fee revenues that goes to transportation or open space was set to community plan areas. this is a summary of all the plan areas and

transportation the light pink block is most of the funding goez -- goes towards that and that's funding space and child care and library facilities and materials. so, the really kind of interesting part of our work is thinking about which projects can we move forward given the revenues we have. this is just a good sum mary of the criteria adopted of around of each plan area with open space projects. as you can see a lot of this is a process with the cac's input. having to talk at length about any other projects that are recommended by the ipic this

year. it details each project. there is an appendix which describes what is meant by each line item in case you have some questions. i thought i would go through each plan area and talk about the key projects that we are going to see move forward in the next 5 years. starting with -- rincon hill, there is an allocation finance district fund to move the project forward. simultaneous to that the community is working on establishing a cbd to help with the management and maintenance of these facilities. so this year, a new park which we had in the plan called

rincon hill park opened. it's now call emerald fund. this was using impact sources. at the end of the day the project sponsors chose to make a donation, to offer the city a land lease is what we are calling it. that park is open. i recommend you check it out. it's quite beautiful. it is a key part of the implementation of the rincon hill plan. additionally on the next fiscal year, we'll have enough money to convert parks where you are looking at now into a full park. so e the city acquired this a number of years ago and we now have the revenue implementing that. we are looking to implement that in the next year. in market octavia we have a number of transportation projects moving forward. the head heda street. i think this

saves the bus six 6 minutes over the course of circumstance -- circulation and it's going to start construction. it's paired with a number of pedestrian improvements. this is a major receptor of the impact fees generated in market octavia and along franklin and in the coming years we'll be working with parks and recreation with hayward park in coordination with the bond. and we have additional revenue and 7.5 of it will go through a project in the plan area.

>> there is some enhancements we can do through bicycle safety. they are moving through. also in octavia and any revenues after those two projects are implemented will go towards transit improvement. in eastern neighborhoods, again major transit project is folsom street and howard. it's currently under environmental review under the soma plan and we have $23 million in revenue for impact fees for fiscal years 17-18. 16 street is also under way and a potential for citywide strategy. these are the two top transportation priority projects identified through

plan. and the plan also set a goal of one new park in each plan area. this is an image of folsom park the department secured through impact fee revenue. we'll also be making improvements to a few of the parks listed. south park is moving forward and we'll continue to move to final i finalize the list and new park. balboa park is a unique plan because there isn't a lot of fee revenue projected but a very ambitious transportation open space plan. the department will be starting an ocean avenue planning process this year. we've also seen lee avenue completed and the loop

is create and the plaza is under construction. mta is leaving a lot of this work to make sure this is implementation. the vegetation valley is an area where not a lot is done, street scape that would connect the commercial corridor approved to the connection park. this is part of our green connections project as well. sort of a summary of where we are, i think this is a good platform where our team's work might go in the next year. this shows on a 10-year basis how much infrastructure we might need to complete in each area versus how much revenue we have generated. rincon hill are

generating enough to move forward and other areas we you -- need to identify other funding sources. it's only been about 30 percent. we need to look at what other agencies are spending. we haven't yet calculated the van ness and market brt and improvements to other streets and that will help us figure out what the gaps are. this is our second presentation. we've also presented to the capital planning complete committee and in january to the planning committee. the funds for march 15th-16 will be budgeted in the

agencies budget and we plan to come back with a recommendation for the next 2 years. i'm happy to answer any questions. >> is there any public comment on this item? >> sue hesser, i was heavily involved in these neighborhoods. pay attention to soma and the mission. the things what i would have question and would like to have more information about is when the plans were adopted they had a certain assumption of growth by areas. we need an update on how much has happened that has

been approved or is pending in the planning department in all of the areas. my sense in eastern soma where it was not doing things 10 years ago is eastern soma has exploded so much that it's spaces for offices and my guess is that we have way out stripped or on the verge of out stripping the growth for eastern soma. it's the same in the areas, the western end of market street where there has been explosion of dot com. techies. we are

losing non-office space. i have a hard time understanding it from what the department tracks. what i did manage to get out of dbi and i was shocked to see the projects contained $500. the transit plan was $57 million. that's supposed to be funding transit and they are deferring it. the second largest project was the rincon hill to the tower that is now under construction. it's next to the bay bridge and third was 45 lansing. when you add these together which is high end view condos, they took a feeder which is not acceptable. because rincon hill

has horrible transit and it doesn't have any affordable housing. so what are we doing for affordable housing and transit in the most explosive areas. i think we need a little bit of context and two of the other top five were for the industry. >> thank you. is there any additional public comment? seeing none, public comment is closed. >> commissioner antonini? >> i have a few questions regarding the report. when you talk about the increase in 4.5 increase in the amount of the fees, was for calendar year

2014 is that what it would be? >> that's correct. the way the legislation sets up all the fees they are updated annually and the committee establishes the index and captures the increase in cost. if it cost a certain amount for the previous year. second, you excluded the transit center and why was that not presented today. >> there will be a later report and hopefully next year we'll be able to give you a presentation. right now, the mello-roos is up for discussion and we are working with tjpa to come up with the right funding plan for the impact fee sources. we are hoping to be back in a month with that. >> that's an area that there is a lot of projects being approved as we move forward and

so that's moving the situation so probably your fees would be a lot different when all of these are approved and they can be factored in. >> absolutely and then we'll see which will take the lead on the next projects. >> and they have an ipf infrastructure and cbd which supplements the monies generated by the fees. >> yes, it's up to the community to vote on that. >> the dba is already there? >> it sure is. >> it seems to me this is a really good system. certain is voluntary. they have to have these situations. it seems they

would approach in the neighborhood plan to see if those involved in the neighborhood would be supplemental funding. there is another location possibly howard. it's a fairly large park. >> there is three part. the first is rin econ park. the third is linear park called

--es sex park. >> it appears you have maybe that's a section that isn't two way? >> when it hits octavia, actually when it hits laguna, the bus turns to the left. if it's heading downtown because right at octavia haight comes

one way. >> the return route is the part that's impacted. the other part on haight street. i look at some of the old pictures and that's the kind of neighborhood that would lend itself if we would just run the buses there. just something to think about. i think there would be a lot of interest in people riding it and it would add to the economic vitality of those businesses and the city park. then there were comments about the fee deferral, but that's already over. is that correct?

>> that's correct. the programs, i forget if it was june or july of this summer. the few projects in the could -- cue are still entitled but future projects would not be able to. >> if a speaker brought up some projects are in fee deferral. at what point are the points due from the fees for the projects that are under construction? >> that's correct. the projects that choose the deferral pay 20 percent of their impact fees of the site permit and they pay 80 percent of the balance at first occupancy. >> that would be once they start to be occupied, the rest of the fee is paid? >> that's correct. right before. >> so that would presumably be

fairly soon. you probably anticipate the fees coming from large projects. >> if you remember the bump in fiscal year 17. >> it would come quicker than that as the speaker mentioned because they are finished fairly soon and assuming they would have to pay the whole fee when it's first occupied or is it a unit by unit payment? full fee, once it's occupied. i would figure it's before 2017. too -- >> the way the fee works, the fees are due at construction. which is generally the first major permit you get. that's due for all projects except for those that have the deferral

program. >> thank you. >> commissioners, sugaya? >> i think that's some of what's reflected in the table of your last page because you have in rin con -- monies coming in. so that must account for the second tower that's being constructed now and others. trying to think the boundary between rin con -- and transit is it folsom? >> i believe it is folsom. i'm not too sure. we are working on integrating the improvements in rin con. >> some of the other projects and this captures the fees

also. >> yes. >> okay. >> commissioner borden? >> just two small questions. because the emerald park was given to the city, does that then move around money anticipated for the park and where does that money go? >> that's correct. the revenue projections you are showing was generated from the park and it will be placed forward than in 2 years. >> in the cases of the various transportation projects, i noticed that some are in conjunction with tep planning. are some of the dlans -- dollars with the tep project. >> the tep is still under environmental review. we used the impact