service below cost so now it's a difficult policy choice to figure out how to fund a hundred year old system incredibly efficient but needs upgrades. assistant general manager ritchie and updates from the 6-month discussion are that that we're $10 million worse off than what i told you on the 6-month report so on slide 6 shows about $50 million by the end of june 30th and given the drought that we're having lower power sales revenue that we'd be projected to be just about $40 million and if if we continue to have the cca reserves un spent and appropriated the useable portion would be only about $20

million. bridging the shortfalls looking at every possible solution. deputy hail are making progress on interconnection and looking at the tunnel costs further so work is being done that's progressing but we do not have specifics to provide at this time we're also discussing increased revenue opposites continue to do that but some of them presented here provide you 3 choices all above zero all solve the drastic shortfall but come with higher rate increases which we're still reviewing. when we did a rate increase on the general fund that was more difficult choices here's more difficult choices of 179 million but never the less gets us back into the black and solves the shortfall. we need

these capital cuts as well as other savings in order to be above zero and also satisfy the commission's 15 percent reserve policy so this is another example of how your policies matter and how that puts us to task so make sure we come to you with a final proposal that is ofs your policies as well as affordability. going forward slide here staying balanced. we're in a dynamic industry here. the agreement doesn't expire so there's several unknowns so we're going to commit to come back to you quarterly revisiting where we are on this path and to meet

your objectives and stay balanced and have reserves so we've put together a draft timeline on how to do that and in the event rate increases on the general fund don't happen we'll have to look at further cuts as well as hiring freezes and other difficult choices but the options we have are not that many unless we have customers paying for their cost of service. and then come back to you with a final proposed financial plan capital plan as well as well as the 2-year supplemental and we'll look to to do that at the may 13th meeting immediately following the mayor's proposed budget for all the enterprised

departments. i'm happy to answer any questions. >> so just to get the timing right here you guys are going to sort through all this figure out where the cuts could happen where the revenue could be generated and come back to the commission before -- >> no this is just a transition plan the mayor is going to propose his budget on may 1st and we will come back to you explaining how that's going to fit into our budget at that time. >> okay so that will be may 13th. >> correct. >> is when we'll have to make some hard decisions. >> yes. >> we put those capital projects into the absolutely required buck ets and important to have but potentially deferrable and that third bucket an expansion of service

nice to have but whether or not it's required so the materials you have before you show 3 options that can get us into a positive zone one can actually satisfy your 15 percent reserve policy but they are going to have to come with a combination of capital cuts as well as additional revenues in order to solve a half a billion dollars shortfall as we discussed in january. >> i would just like to comment that when we adopted the budget, we had some discussion about the clip chart and that it didn't represent a plan it was a description of a problem as opposed to a plan and we asked you to work on that and come back which you are doing

and i think there's a tremendous amount of progress here and key to a viable plan is city hall's willingness to increase general fund rates so i think we are waiting until city hall figures that out is an appropriate thing we need their commitment before we can adopt a plan that really means anything thank you for the progress that you have made and god speed with the city hall folks. >> thank you. >> so this is one of those items if there's no public comment we want to continue to the may 13th meeting as well. >> i don't have any speaker cards is there any public comment on this item? joan? >> i would like to ask to the chair -- do we still have the

charter provision that required that while we depreciate our assets that money be set aside each year in anticipation to repair or replace something. >> it's a good question i'll go ahead and refer to counsel if counsel can answer it on the fly without too much trouble i'd suggest you do so otherwise she will give us a response. >> the charter provision service saying when they were amended by the voters in 2002 they called for these actions to the capital plan and in chapter 16 also requires that funds be set out for the replacement and repair of the facilities on a regular basis so none of that changed the question is how are they going to manage the money and the capital repairs not whether or

not. >> well the question i have is how much money is in that set aside reserve to defray the costs, the capital costs here. we're going to depreciate assets so where's that money that was my question. >> that's an accounting question. >> the question that i heard was about the charter. >> yes. >> and if there's still the existence of the language that required such and such so we've answered that question now the next question is about the money i'm going to go ahead and say i'd like to answer before the 13th if that's possible todd unless you would prefer to answer it now if you don't have a dollar figure. >> so the portion that's actually available in cash is that projected $20 million at

the end of june 30th of this fiscal year and the reason it's not more is because we've been investing hundreds of millions of dollars of cash reserves into the refurbishments but the future needs are not projected to be even greater. >> okay thank you i think we've answered both of joan's questions and please come back on the 13th because i anticipate pretty robust conversation on the 13th right? is there any other public comment on this item. seeing none -- public comment is now closed there is no action here so go on to the next item. madam secretary please. >> next item items 23, 24 and 25 will not be heard and have been removed from the calendar

item 26 anticipated litigation as plaintiff item 27 conference with property negotiation reservoir tract in san francisco , san francisco recreation and park department terms of payment and price and item 28 will not be heard and is removed from the calendar. >> thank you very much donna. >> so i'd like to call for public comment is there any? seeing none public comment is now closed we'll begin moving in. >> actually we need a motion on item 22. >> item 22 whether or not to assert the attorney client privilege. >> i guess i'm not fast enough

on my feet. >> that's on me you were there on time. >> just want to say that i hope the puc negotiates item 27 the parcel and i hope you get the best price possible. >> i'm required to. >> you are required to. >> thank you thank you very many for coming. public comment is closed. >> did we get a second? then seconded. all >> we're here to raise awareness and money and fork for

a good accuse. we have this incredible gift probably the widest range of restaurant and count ii destines in any district in the city right here in the mission intricate why don't we capture that to support the mission youths going to college that's for the food for thought. we didn't have a signature font for our orientation that's a 40-year-old organization. mission graduates have helped me to develop special as an individual they've helped me figure out and provide the tools for me that i need i feel

successful in life >> their core above emission and goal is in line with our values. the ferraris yes, we made 48 thousand >> they were on top of that it's a no-brainer for us. >> we're in and fifth year and be able to expand out and tonight is your ungrammatical truck food for thought. food truck for thought is an opportunity to eat from a variety of different vendor that are supporting the mission graduates by coming and representing at the parks >> we're giving a prude of our to give people the opportunity to get an education.

people come back and can you tell me and enjoy our food. all the vendor are xooment a portion of their precedes the money is going back in >> what's the best thing to do in terms of moving the needle for the folks we thought higher education is the tool to move young people. >> i'm also a college student i go to berkley and 90 percent of our folks are staying in college that's 40 percent hire than the afternoon. >> i'm politically to clemdz and ucla. >> just knowing we're giving back to the community. >> especially the spanish speaking population it hits

home. >> people get hungry why not eat and give >> okay good afternoon. welcome to the san francisco land use & economic development committee. i'm supervisor scott wiener the chairman of the committee to my left it supervisor cowen and we'll be joined momentary by supervisor jane kim the commissioner lee vice chair where we're also joined by supervisor yee for number one. our clerk i want to thank and

sfgovtv for broadcasting specifically jonathan madam clerk, any announcements? >> yes. please silence all electronic devices. and speaker cards and any cardio's shall be submitted to the collect and the items acted upon will be on the next meeting. >> thank you and i will not for anyone that's here for the knob hill supervisor chiu will be here he indicated that he'll be dividend out the subsequent meetings later. madam clerk, call item one >> it's an ordinance amending the planning code for the describe the cannabis dispensaries maybe loud within 5 hundred feet of another.

>> supervisor yee is the author. >> thank you chair winn this was to address the clustering of medical cannabis dispensaries on ocean avenue intention included in the green zone it allows for the medical cannabis dispensaries, however, it's growing and attracting new business merchants and planners it has two distennessee's pepsi with others being comprised there are loitering and double parking complainants. this is when neighbors and other 0 members of the ocean avenue expressed the number of medical cannabis dispensaries. i want to acknowledge that this ordinance is not targeting any permit or support the banning of

dispenses we want to support of the dentist of businesses and prevent the further clustering. the ordinance we're reviewing will require a conditional permit within 5 hundred feet on ocean avenue. applicants would have to prove they'll bring measurable community brenda's benefits to the diflth and develop management plans and have public safety in mind. this process allows for more community input on the application. over the past few months we've gotten support from the organization especially ocean avenue organization. we've worked with the medical cannabis dispensaries advocates to discuss this not to prevent patient access but have a fair

distribution of businesses that reflect the neighborhood character. as with any business we want them to be in the best that neighborhoods they can possible be in to i doubt it to a greater community. the planning commission is unanimously voting for the passage of this ordinance. i believe aaron star if the planning department is here also to present on this matter. colleagues i know this ordinance is important to the neighbors of district 7 and hope we can get the support to pass this legislation thank you very much. >> thank you supervisor yee and good morning this ordinance requires the medical cannabis dispensaries is have conditional

use authorization to be located within 5 hundred feet in the ocean avenue transit district it was heard on april 3rd and voted for approval. the same type of but for is used in the outdoor neighborhood district and in a recent report the planning commission endorsed this should the board of supervisors extend what's referred to as the green zone or the medical cannabis dispensaries what locate. please will let me know if you have any questions >> thank you, mr. star. so at this point if there's no questions or comments by members of the committee we'll precedes for. there are no speaker cards so it you want to make a comment on item we think and it is also 2

minutes there are two of you so come on up. okay. okay great >> good afternoon. supervisors. i'm dan weaver i'm acting ann as represent of the ocean avenue organization the executive director of that cv d. as supervisor yee as point outed out this is in nucleus with this effort we're not trying to eliminate any business, in fact, we welcome businesses. but clustering even if businesses and type of businesses 20 don't work well, we have a lot of that actually. we think that 5 hundred feet is a good distance and we understand this is a temporary

move that could be changed by further legislation at the supervisors and city's level this will help us maintain a balance more or less for the last 5 years. i've given you a position paper the hoa as endorsed which spells out our position on the matter. if if you have any questions, i'll be happy to answer them. thank you >> thank you very much. next speaker. >> good afternoon, supervisors and land use. and good luck with this item that you do. because i'm stoned in love with city you. and i'm just a public comment

man. doing everything the best the city can. and if i could i'd give the city word to you. then good luck to you. because i'm stoned in city love with you. >> thank you. next speaker. . commissioner >> good afternoon. my name is a ms. james i'm a resident of engel side community i'm representing the o m i organization at this point. we're against this cannabis dispensaries in the o m i. one thing i've attended the ineptly side terrace meeting the

other night and brought up the question there was more use of electrical equipment into some of the businesses which means they were growing marijuana or whatever need the business that may cause fire and others hazardous situations. the other thing i've noticed the first one that came but we talked about the school district bow u but not you i'm concerned about the private schools next to the church and that was not included. the other thing we need more variety of businesses in our neighborhood. on that street we don't have a locate smith or hardware store and the other point it attracts other kinds of people to the community from other areas to come into that community where we have drug use around the

community so i'll be opposed to that. we have a mental health clinic on this street at the what is it on saxon i'm concerned about some of the border care homeownerships with the mental ill their attracted to the institutions wanted to sell marijuana. ? not a good thing on the businesses on ocean avenue. we need a lot of other >> thank you supervisor kim has a question. >> commissioner. so commissioner james. i had a question and maybe i don't want to speak for supervisor yee but my understanding with the legislation is that this would create on additional process for any new medical marijuana

dispensary that wants to come to ocean avenue and the goal of the legislation i don't want to speak for the exit of the businesses being created it's not other businesses but is that your understanding this will help reduce medical marijuana dispensaries. >> i understand one is in question and another organization is coming in and competing with the second spot. i'm saying to decrease both of them not have a second one we don't need a second one addressed so there's something wrong with the businesses in question of they're running the business >> so this legislation if it were existing today would prevent from one medical kirnd

mire within 5 hundred feet even if each other so this legislation what it does will have the limitation of 5 hundred feet with each other. you're talking about specifically are it's a situation where there's a new person that's coming in but that's not what what we are doing today >> okay. just because they have the discussion at ineptly side they wanted to take over this one and the one is fighting to stay there. >> so this legislation is different from that. >> all right. all right. thank you. >> any public comment on that item? on item one seeing none, public comment is closed. okay colleagues if there are no additional questions or comments

would i have a motion to forward that to the full board. that will be the order >> thank you. madam clerk, call item 2 >> the resolution authorizing the rec and park department to accept a grant up to one hundred and 50 thousands. >> president supervisor chiu chiu is the author i presume he's on his way down now. can you call the office? actually madam clerk why don't we have a quick item instead of item 2 call item 3 and we'll take item 2 next >> item 3 the resolution exempting certain locations from

the police irregularity arcadia. >> i along with the supervisor breed are the co- authorizes it comes up when we discover outdated and odd code sections and basically, what this b will do is allow self businesses one in supervisor breed's district and one in my that are attempting to expand and this he - we have a police code section that dramatically restricts arcadia games in neighborhoods districts by denying them as used babylon depending on on the square footage you can only have a small number of arresting can

do games this goes back to the day with arcadia games led to no good behavior or something like that. we know there's a lot of great businesses that can use arcadia in creative ways. so the plod code section allows the board of supervisors to eliminate that square footage limitation. and this this elective would do that with the neighborhood commercial district. so that will allow those businesses to install up to 10 arcadia games. the reason it can only gossip to 10 there's a different police section and other sections saying the arresting can do took