to the extent the successor agency wanted to use other fund we were unable to do that we were using 200 and sixth street the remainder of 58 hundred or more unit that were destroyed as part of the you european removal ones transferred to obligations we transfer that access to the mayor's office of housing we're now transferring 2 hundred and 6 street in light of the state department of the finance ruling and we have kevin with the mayor's office of housing and community development to provide further details on this item. >> good afternoon, commissioners i'm kevin from the mayor's office of housing and community development the resolution before you is to authorize the transfer of ownership and the loan for the

mayor's office of housing. this property as you may remember it was acquired on november 12th through eminent domain. in may needing an rfp was issued for the property a proposal for the messing mercy heirs was selected as he's winner and plans for 66 unit of housing with one managerial housing. on november 16th, needing we got a loan of $3.2 million to move the project towards construction since is predevelopment loan was accepted we got additional funding from the development program. and we'll apply for the low income multiply housing revenue

bonds this summer and secured other permits and about commence in september of this year. 0 originally ocii envisioned gap financing and included this in roster 4b with the property tax fund or otherwise known as rb t f f and that will counted towards the ocii traversing the loans to the successor agency to the mayor's office of housing upon completion on september 17th the california department of finance denied to utilize the fund for this project on the grounds that there was construction in place prior to the package in

june 2011 and there's no enforceable obligation it was appealed through the process but the denial of the funding was upheld. the rerequest for a final replacement housing is still pending with oc f and may not meet the deadlines for hud. since no additional funding the staff is asking for the loan transfer to cd now to redirect the closings for september in time for construction. i know you're going to be talking about procurement but the project was following ociis contracted under the existing loan and has exceeded it's goal by 22.5 percent because it will have the funding for the balance

of the project has got the compliance staff to use the procurement procedures of oc d. and it includes section goals frurnt to hud and hiring goals set by the city and county of san francisco and the project continues to be subject to both front seat runs. this that concludes my presentation and the representatives from the housing department are here for questions >> thank you very much any public comment on this item. >> there are no speaker cards. >> i move this from consent to the regular agenda. excellent i wanted to make sure there was time to talk about questions if there's questions to ask about the differences of the contract policies and ocii other than i don't know if

there's other questions you have >> if there are none i'd like to entertain a motion. >> thank you very much is there is second. >> second. >> thank you very much madam secretary call the roll. >> commissioner ellington. commissioner mondejar. commissioner singh. commissioner rosales. chairperson johnson. madam chair the vote is 5 i's. thank you very much call next >> the regular agenda item 5 c approving a budget for the period of july 1st, 2013, through 2015 and asking the director to submit the budgeting budget to the mayor's office and the board of supervisors and this is for 2014. >> thank you madam secretary commissioners we've had a series of workshops both for the members of the public on the budget it was in mission bay

back in april covering the projects and housing the second workshop was the administrative budget this is quite robust this for your review and consideration incorporating our feedback and a public comment is the final budget presentation for your consideration after you review the budget and hopefully productive it we'll forward it to the mayor's office for its consideration for the board of supervisors they'll credit it along with other agencies budgets we're scheduled for june 18th and, of course, it's subject to our department of finance and funding process. with that, i'd like to ask although the deputy for the finance administration so walk you through the changes since we last presented those items >> thank you chairperson johnson and others i'm although

the deputy director for the finance department for ocii. i'll be covering the changes since the workshop and the budget resolution itself. and again referencing the key dates - >> one second natasha anything can you turn the presentation back on mine is flickering. our monitor is up here. i want to keep the meeting going so we can reset our monitors everyone has a present presentation in your folder sorry >> just quickly geology over the workshop die ask the commission item around may 17th

is the dof response there was one item that requires some minor changes if it comes down unfavorably but we're not expecting it to be that way on may 1st, the mayor's office will submit the budget to the board of supervisors. we are a board of supervisors committee he meeting on june 19th and by june 30th there will be a interim budget to make sure we have a budget in place on july one but we also have a final budget and do a final budget approval by july 1st then the second part of our roster approved and that process will be starting in october to confirm the second half of our

year's budget from the department of finance prospective so this envisions that information >> so in terms of the big picture and by the way, we substituted we had minor changes since we sent out the packet but we provided new trablz to reflect the minor adjustment but i'll move along this is with the revised it is $375 million it's a $350 million there for 2013-2014 that's due to the substantial amount of a affordable housing housing it's an increasing in the affordable housing fees. we're moving forward to spend the balances down so it's it

$13.8 million increase from the previous year. i'll talk about the program in excess balances we have access to. it includes a rise at our mission bay revenues by 29 million and offset by last year's budget we have other bonds this year no new bond issuance scheduled so that offset fee increase >> just in terms of percentages this is from our table two in the budget we're spending our plan is basically half of affordable housing to 49 percent and 11 percent on infrastructure and about 6 percent on asset math that's the yerba buena and

3 percent of our budget on project management and other budget costs. if we look at where we get our money from its spread out in 36 percent developer payments and 35 percent property take into consideration and 19 percentage spending down from prior years and others for rent and garage uses and 3 percent other the last year of receiving hotel tax from revenue bonds we have due to the muscone center and loan payments and things like that. what's changed in the budget and that concludes a relatively few items in hunters point shipyard there were things added back in

2 hundred and 50 toward the security funds and making sure we permitting put this into the budget relates to having the ability to assist small krashts that have trouble getting the security bonds and 79 thousands even if be developer funds we are returning to the developer to use on the intended original purchase of african are purchase in the shipyard this is for public art this is a preexisting obligation that's reflected in the budget and in yerba buena gardens there which is more work on the capital program and the reevaluation of the capital there was 2 hundred and thirty thousand added in yerba buena

gardens to reflect the updated estimates. is a a few other changes one hundred and 50 thousand for additional staff how many things are coming at us and getting the extra funding and, of course, this is only spent if we have the resources to pay for that and one hundred thours thousands of our budget was for public communication support on communicating what we're doing to the public that's for publications or managed and the like. we have i think we didn't have a chance to talk about this in the workshops there's ongoing discussions with the city but we're putting into the budget the access pre2011 bond

procedures they were not for the transbay and mission bay and all the other areas where we had 2011 but for areas that are in the morning exorbitantly obligations in the area after we got our finding of completion in the department of finance that's one of the benefits of the completion we're now lout to use the bond precedes but were allowed in the indufrnz of those bond we include $9.2 million that's all the proceeds we're still holding about 8.9 million for tax allowance bond balances and then finally there's a many

item here which is sort of technical we wanted to place this in the budget to allow us to do that the finding of the completion allows the repayment of loans including from the housing prior to dissolution some of you may remember the large spill educational augmentation fund that the agency was required to do that was over $25 million it was part of the state balancing effort to get more money from the rebalancing agencies. here 90 in san francisco we were able to fund some of it but many agencies bordered money from they're low to moderate income housing we sold bond and used the bond precedes to fund it

with the understanding that t will be paid back. then the dissolution happened and the state basically said you can't pay back but the city is the housing agency and controls the fund you can't pay back the city until you've satisfied our completion once you've done that i can pay back the loans you, however, there is a limit as you free up tax increments so basically how much tax increments are compared to the there 2013 we can take 50 percent or pay back 20 onto the 0 housing fund.

by the states circulations that will allow us up to $2.9 million the point say we get to use the tax increments that will have 35 percent of its money going to the state education and the city gets so much of that for the housing program. so, anyway the city has to make a final sdrigsz decisions it reduces the tax increments they received but we're pitting putting this into our funds you'll hear more about that so we require the oversight board you'll have another chance to see it it shows up in the budget

the center 2.5 million. just to mention what the budget resolution there's a typo in the third revolted clause it's supposed to be roth so i hope we can fix 2 typo in the final resolution the budget resolution authors the committee to submit this to the mayor's office it allows the executive director to make non-material changes to the budget because their you may be you further discussions with the mayor's office or the board so it allows the executive director discretion, however, changes about come back to you for you for approval. it controls the budget the oval

budget size to the agency canned expand this before you come back to you actually a couple exceptions it allows for the mission bay pledge of allegiance if we underestimate how much that tax increment is your resolution will authorizes the used to be used without come back to you that's true for the mission bay increment which is fully pledged and the attributing to give to the transbay authorizes to give more for the parcels or if there's a sale there that triggered the passing past to the pg a the authorization will still allow us not to come back otherwise if

there's more money to grow the budget we'd have to come back but it allows for programming between the categories and the project based on the project areas in the cost centers in table 3 and also flexibility for the staffing right now our staffing is allocated to the project budget in the areas but it's the actual time studies florida it changes more work in hunters point shipyard it allows us to change it if we have the money to coffee it that's our responsibility to monitor it throughout the year and any change will be having to be consistent with the states vbtdz so that's what the resolution don't. that's the end of my overview presentation if you have any

questions, i'll be happy to answer them or have other project staff answer them for the project >> thank you very much mr. las vegas ton. >> wait a minute we have to take public comment. >> up want to know this. >> approximately don't answer that we'll take public comment on this item. >> there are no speaker cards. >> thank you very much now you may answer. >> no, but the question should be after i, you know. >> public comment first. >> i don't know it was you it's not right what you are asking. in the salary range >> why you turn it in the budget is range you put it. >> in the budget it gives us authority for the budgeted

positions there years when we have a separate we aren't ready yet to have a separate saliva ordinances o ordinance yet but this is is intended to provide disclosure to our budgeted positions and what is the range of pay in our current salary positions, however, as is introduced here if there were any changes as a result of labor negotiations this doesn't change it. there maybe cases in allowance with our policies that maybe anyone was paid outside the range so long as it's consistent with the labor agreement >> the budget you have for the employees what is it you know the range in the beginning or, you know, final?

like for example, you know, general council or some executive director one of 4 to one hundred 99 what is the range by the way, by what is it in the budget >> we budget for what we can afford. >> telling me. >> we build it at the top of the range we expect to be filed but have an allowance that the fact that not you'll positions maybe filled at the end of the year there may be a for about for that and a for about that not everyone is at the top of the range and there is a possibility of cost of living increases that occur through labor negotiations so make sure we can afford those to afford the positions we're authorized,

too, and have filled of course, of the year people maybe hired at the lower range or higher so you make estimates. >> it's very vague i want to know exactly what their making now in the staff. >> we can provide it to you. >> yeah. i'd like that. >> next question for me so this is just want to interest try to jog my memory the payments are different from the payment that's required in 87 had not been inconstitutional. >> yeah. i know you want to keep it straight in my mind.

>> okay. do we have i know we have an increase in the developer fees so what also have a shortfall from fees we were supposed to get like revenue sources like that. were there any changes in the previous time we looked at the budget and the allocation of sources to use in a major way i i know you sort of made a list of items here but - >> yeah. i think there were other than the changes that i mentioned there i don't recall any significant changes. you've noticed we talked about the letters listed in the budget so if we are anticipating bringing in more housing fees in

the next year that's where credit is anticipates 40 millions in the reserves that are available in the following year we not going to spend every dollar but each year what's coming in i don't think that's changed porsche other than the items i've can't take down >> through the chair the last year's budget 2013-2014 you approved table two showed about a third of our dollars were for affordable housing and third for infrastructure and others you can see it's consistent with the directors presentation it's shifted due to the fact we're not anticipating got out for infrastructure bonds in particular in mission bay so, now our budget as table 23 shows

the increase in the budget it's like 50 percent that's dropped to thirty percent and santa fe 11 the fact we're not issuing debt this year but the asset management and others so at a high level i think you asked chairperson johnson what's shifted. >> yeah. my question was not clear that a couple more this is a little bit more minor but on the budget positions did we approve the transfer of the port so we have south beach harbor position. >> it has not transferred to the harbor yet we have a lease with the port we're working with the port to achieve that we don't have documents done prior to the fiscal year your goal is

still to i think your curiosity timeframe is about september to get the termination documents their intent they be retroactive until july one but in terms of the positions we're the people are working there we expect them to continue working there and beau their services from us if there's a change in the future we'll adapt to the future change but for now their ocii positions and the port will be able to pay us to continue to paying those people at the harbor after the transfer. >> all right. >> just in this case, the budget allows us to continue to be spending for all the harbor

operations for another entire year but if we get this done we'll not spend the money. >> then supervisors question the budget a that's in the mo h and mou for the services for various categories that's reflected here i don't see it. >> yes. it is. >> you thank you very much any other questions. commissioner ellington. the 2011 excess bonds are those restricted bonds >> those are pre2011 their subject to the indeferences the bonds covenants when we sold the bonds we promised they'll be used for broad purposes in the project areas so we're anticipating they will be used in those areas. for the broad purposes in the

bonds and for the extent their tax exempt so those are irs restrictions on what you can spend them on we definitely don't want to get into a noncompliance area >> what are the areas. >> in the narrative of the budget i can find the package but there's in the south of market and bayview hunters point hunters point on page 40 of the actual budget narrative for the tax exempt that's the one-hundred 9 million so south of market and 4 hundred and 34 thousand in bayview hunters point. the