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 taxable bond precedes those are tax exempt the 1.8 million tax exempt for the housing that's the problem in spending them is because of tax exempt we couldn't use them for loans for

various reasons and we can get more into the technical part in various ways >> thank you. yes, a follow-up on the question of 1.8 million are those restricted to project areas? i everything we can come back to this at another time but - >> hi sailing i didn't ero deputy director for the record the project exemption is relaxed you can spend them citywide there were some hunters point and we can provide for information when the bonds come up for transfer. >> i have one small i think is it correct question on the budget let me just ask it this

way for instance, in the budget part for administration if there are savings can those savings be used for let's say more temporary staffing if we need it beyond the staff lines in the budget how much flexibility in the budget we have savings. >> if we have the fund and savings within the administration this provides us with the flexibility to provide other temporary salaries so if we have is savings in regular salaries we can have savings and benefits and other professional services woe we could do that. >> but in other parts of the budget maybe not. >> if you have savings in the center yerba buena lease revenues we couldn't use that to

hire extra staff. >> it would be prohibited because of the underlying dollars but the administration is more flexible. >> we have to make sure we do it with our reduce lines they're very general to for that purpose. >> commissioner ellington. >> last question for me there was a couple different representatives in the narrative in the mayors plan to build 2 hundred units is that with the sb 13 or is that two distinct policies. >> sally for the record. the pipeline that we have for the meeting with the mayors pledge or plan for affordable housing by 2020 is focused on our projects we'll go over in

this details when we go over that with the mayor's office of housing. so since we're in a pending status on the replacement housing funds we don't know but additional funding available that's additional units inform fund right now it's focusing on the redevelopment projects with the remainder what the exception would be and the hugh and the hunters view and the sf project for the project areas and then, of course, part of the pipeline includes the inclusionary areas with the few of the project that are finishing up in a few other areas. those are separate >> we'll go over in the mou i have a couple slides on the pipeline those are the contributes of pipeline over a

quarter of that is coming from the ocii projects. >> through the chair commissioner ellington to further clarify yes. the 2 hundred and 75 hundred and 50 is wholly operate for but for the deputy has described its not new 2013 money whether the remainder in hunters view or whatever for the acquisition for the hugh it's not relying on the other hand, on new 2013 funding it's but for tax increments and the like. >> follow-up question. would the 10 thousand units by 2020 pledge how many units have

we >> let me give you a preview on page one of our budget narrative at least 2 hundred and 53 units those are recent and we can distribute it through the city which the planning department has otherwise it's annual progress for the mayors pledge so it's lease two hundred and 53 that just completed and opened their doors in 2014 and we have an additional 3 hundred and 41 units in construction right now on the stand alone affordable in terms of the capital projects we fund and there are a smaller amount of under 20 maybe i'll do my math are in construction on

the inclusionary pipeline i'll show you that pipeline slide. >> thank you. i'd like to it i mean, we have the commissioners questions and matters part of the end of our agenda with we'll have more 2013 questions i'd like to keep the questions to the budget if there's anything that like that let's get to the item. excellent any more questions or comments. seeing none, i'd like to entertain a motion on resolution 32, 2014 >> sectional thank you, thank you very much madam secretary. >> commissioner ellington. commissioner mondejar. commissioner singh. commissioner rosales. chairperson johnson. madam chair the vote is 5 i's pr the next order of business a

memoranda of mayor's office of housing with the community development for the implementation of the retained obligations and the resolution number 33 >> commissioners as you've heard as part of our budget process we procure services from a variety of services from the maifgz and other departments the mayor's office of housing is a key sister agency you've heard a workshop on this particular item we took public comment your comments into account and now are back incorporating the feedback for your consideration of this proposed mou. deputy director sailing i didn't will walk through the terms and in particular highlighting the changes we last presented >> thank you. again sally i'm pleased to be here to present

the memoranda with the maifgz we refer to as more cd with the implementation of the affordable housing and our agenda for this presentation i'll revisit this how we ended up here and go over the project pipelines we are that discussing and give you details on the scope of the work if cd and what was the fraction for creating this mou and the principles and i'll go over what the mou does and a stipulation of the agreement and go over our planned budget for 2014-2015 to go over the solution kwurd or

occurred in 2012 pursuant to 86 based upon the law that was in e the city acted through the cd as the assessor agency by as we know in june of 2012 a bit 1484 was passed is that they were separate entities from the city or the sponsoring city and the successor city and counties cities may retain the obligation to this was implemented through the ordinance 15 dash 12 the successor agency that created this commission and identified in terms of of the housing obligations what were the obligations it fell into two categories the health department and candle stick point and mission bay and the transbay

project and then as well as our replacement housing we refer to by it's funding legislation what was sb 2113. so then again in november of that year we went through the due diligence progress funds and again based on the irrational law the assumes was all the housing assets will transfer to the city but dof invalidated that transfer and we redid our due diligence review and were successful in remaining over $100 million plus and then sort of of the final step was, you know, we got our funding of completion and reconfirmed the assets that transferred tea in

november along what the property management plan the commission and the oversight board approved the completed project that had already transferred there were many thousands of assets between the plans and affordability positions and did that in march of this year and the due diligence approved that confirmtion a so not only do we have the pledges and cars there our obligations but also the mayor has pledged to help the city get to thirty thousand residential unit by 2020 but you'll see from the chart ocii pipeline is a key part of that plan and you can see we've got 3

projects in construction right now in envying mission bay in the transbay and those items have come before you and our preliminary planning pipeline for you've heard about a lot of those projects some have come before you for the previous development will funding and some are going to come to you for the gap funding or the last piece of funding for construction. we're anticipating we'll have on the stand alone housing meeting one hundred percent fund by the ocii one of the main local funders we'll have 2 hundred and plus units completed by 2020. the inclusionary side we have a number of projects underway the first phase is the shipyard we have inclusionary units there and as i mentioned there's a few

project outside of major improvement like franklin and others those are completing and but we have lots of work in the shipyard and mission bay south your familiar it came to the commission and an inclusionary affordable will be go constructed by 2020 so that brings us to how do we structure an mou to tackle this robust pipeline. as we've discussed the successor agencies retain and ocii is responsible for the delivery of the projects associated with them and so therefrom wooeshg we're going to be doing the day to day policies the purposing

policy will apply and workforce and there is, you know, might be some exceptions to the rule in perhaps we might have some 2013 funding in the future we've contribute to a project and that project will be following the city's policies like the hiring program in this case this make sense this is the practice in prior dissolution when we defund most projects r with d cd another principle our currently ocii doesn't have the staff in house o to deliver on the robust program and cd has great in house expertise so this mou allows us to procure the services to assist us in the

implementation of the housing projects. and would also you know what we considered was we did the fraction for the mou all of the assets when they're implemented will be transferred to missouri cd to its in everybody's interested we cooperated now how do we insure the coordination. so the mou itself covers the following areas of scopes of work i'll highlight those and the services we're procuring very we have our capital projects that is where we provide the funding typically those are the stand alone one hundred percent affordable projects and work-related to the

first time homeownership or below market rate inclusionary programs the certificate of preference program and the designated fiscal services and local, state, and federal and the key players in san francisco we want to make sure we're coordinating with things that might come from the state and federal level and reporting is key we can measure how we're doing on the enforceable obligations and time keeping and billing and our budgetary process so on our capital projects which is the pipeline which is the majority of our work those are the following services we'll be procuring we're going to use some of they're in house staffing with the financial process and getting all the documents in

order and the construction manager we don't have one on staff the construction management staff again should we fund any projects that have homeownership units and drafting the documents they require a separate set of documents and the marketing is an important part to insure that the designated population your targeting for that project that that's leased up and in compliance and any applicable references that are required but we mentioned all those assets are going to be held by oc d d so tlrps a parallel track for them to be participating wearing their other hat highlighted no blue. so as we are highlighting and documenting things we've created a path for the oc d to provide

feedback participating in the loan under writing process and again providing feedback on documents. oc d is heeding the project they're the keeper of our 4 percent tax credit cue that's american people application process to get 4 percent take credits so there's a list to look at and prior to dissolution we'll have our tax mortgage for affordable housing and posted solution so the city will act as issuer like they do on other prongs. on the inclusionary side we've hope help to document things or

the leasing of inclusionary unit and reviewing where the inclusionary projects are to make sure their appropriately distributed and then monitoring making sure that things are going as they should with the xhoeshl obligation. the certificate of preference program is administered on a day to day about his business from the maifgz but on behalf of us they will be doing the day to day administration and wanted to point out the commission asked we incorporate the actual certificate of documents as part of the mou document it's those are the exhibits but no

crediting administration again includes the day to day management the issuing of new certificates harassing as people inquire whether they're okay there are well positions for the staff to make sure we're doing to the appropriate outreach and the certificate project holder will get the cds and the assistant programs and outreaching as well to the certificate holders so access those cds readiness program. on fiscal services most cd and accounting staff will be assisting us with the day to day accounting of our housing fund and setting up our accounts we use the same management that's known by the match sma f they'll

help us to maintain the proper structure and providing the reports and assisting with annual audits this is b be done with the ocii housing staff that will be reviewing it and signing off for disbursement we want to make sure we have the timing down and the types of funding we're using. as i mentioned part of the mou calls out that the parties will coordinate on housing policies that may change and infrequent monthly on the state and federal level we want to be consistent

certainly any amendments whether or not redevelopment plans that effect our remaining obligations or changes to citywide policy that might impact us we've incorporate that and report back to the commission or the board of supervisors or the oversight board. reporting as i mentioned this is a key feature to make sure we can monitor how we're doing and show our progress hopefully our successful progress on the goals so we're going to have reports and cd will have reports on our side we'll do our reports on the unit you can see the pipeline the targeted dates but every year we'll have the identifying factors there were questions at the workshops asking about the

reports some specification on the data criteria fields are included in the report but you'll be able to tell how big is it who built it and who is it for we'll do a similar report for the intersection 2013 to track our housing obligation that's the annual replacement housing program and we'll coordinate to make sure we're in sync we want to make sure we're incorporating everyone's data. they provide a citywide report so they'll continue to be the lead coordinated on that report we're hiring them to assist us with the marketing of our projects they'll be generating

reports so attached to our memorandum is the dissolution in 2013-2014 5er7 leased up open the stand alone leaseable side there was data valuable you, you know, because there wasn't a consistent reporting mechanism there's projects that had more data than other but going forward based on what's included in the mou again, it it is identifying the details of various projects and any occupancy projects we know the xhoeshl obligations maybe require in blight or candle stick that rentals be given a preference we want to identify those