progress. in other words we have outlined a few recommendations there be procedure from the mayor's office of housing of community development and the arts commission the project oversight will be a joint committee including mo h is arts commission and grants for the arts and department of public health and the human services and the department of the office of economic workforce development and the request will be for a 3 year period 2014 through 2017 they'll be in good financial standing what we work with the nonprofit with those in social services and must have a strong nonprofit sector for the arts intermediatey and they must

have expertise in the original real estate and they must have experience working with small organizations understanding the support and pifrpdz for that organizations in that budget side. ability to provide other reflection criteria it is through subsidy contract the lease negotiate and financing support that location and linkages to brokerage services and the ability to over see the distribution for tenant and emergency stipends and the other direct financial assistance we've mentions they'll be able to provide the direct financial assistance in a timely fashion with oversight with the city partners. the contract requirements they must provide monthly upgrades to

the department and provide an benefit including reporting to the board of supervisors and the other city stakeholders and have the cap of 10 percent the target number of cb o is 35 per year for the art and 35 for the social services and that will be caps and 25 to thirty percent of the allocation and in direction assistance will range in the 60 to 65 percent they must attack the assessment has a clear reporting of who has been supported and in what regards to note the funds to be described will be an up to amount we're insuring having they have an seated need we'll release that

money to the intermediatey has they've demonstrated and improved the incommunicates demonstrated on the need >> for the nonprofits themselves we anticipate once they're selected we'll put out a call so we'll have an idea how many nonprofits seek the assistance and in terms of felt eligible applicants we've spoken to a number of the nonprofit and the people got their input and the eligible need to be in a good with standing doing work in san francisco 3 years and show direct displacement because those funds with not going to be able to go as far was we like and it was agreed they must be financial stable but for

displacement. they must have a record of funding and any organizations throughout the city can apply theres no neighborhood preference and both city funded and number one funded agencies are eligible the nonprofits that received the city funding acknowledged there are some nonprofits that have been able to provide services without relying on city funds by maybe providing an essential service and in terms of priority has director mentioned we'll be giving priority to those agency with leases expiring within the next 18 months we don't know what the universe are for the agencies. looking at those organizations that meet departmental goal and mandate nate that's why we're looking those it's not a

requirement to be funded by city they need to be awe lindsey and priority given to the agency we wanted to look at those organizations because of the real estate issue their forlsz to relocate we're not necessarily look at the organizations witness budget structural go despite the real estate market we said to look at the nonprofit because of the real estate market needed to relocate. we're not going to be prioritizing funds to fill in a deficit those need to be costs of displacement and we're going go to limit the and a half of the funds that concludes our formal

presentation we're here to answer any aspect of the reports that you may have >> we have a number of questions let's start off with supervisor mar. >> thank you. i wanted to thank you for your hard work and the groups hard work. i wanted to ask i know we've had people that support the merry ribbed gallery on powell street come before the board and one of the owners ann was talking about hoping some cities will they qualify under your criteria and how do they fit into the small organizations are they a nonprofit can you walk us through the herself detain gallery vs. the small program >> we have a complete analysis of the fills up to know their budget i'm aware of their

eviction and i know we've tried to connect them with the loan fund but i don't want to speak without their financial picture you that's 95 my understanding their quality with over 3 years of demonstrated impact in the community and, in fact, much longer i defer to them i believe they have a representative here today to make. but there are a number of organizations like the merry define incremental we've been in conversation with i'll share a few those organizations have contacted the arts commissions are aware of the displacement like the women add i don't and

have experiencing dispracticum to rising rates in commercial real estate pooh-pooh >> supervisor breed. >> just wanted clarity on the nonprofit they're required to be a one 03 c would that include the organizations that have the 5033. not fiscal agency will have to be the eligible agency >> just for clarity if there's an organization that has a building in another location and their fiscal storm drain is located someplace else but the building is erased to that organization and not the fiscal sponsor but the fiscal sponsor is submitting is the application on behalf of it's organization would that be problematicic since the lease t is not

necessarily in the name of the 5 o-1 that serves as a fiscal. >> i think we'll be able to work that out again we'll have to look at it as a case by case basis as long as we could show that the nonprofit who actually has the lease will receive the direct benefit by applicant even if the applicant was the 5013 c. in most cases is landlords will prefer to finalize the lease with a 5013 c >> not necessarily that's my concern in many cases we have many organizations that have

fiscal because they're not larger enough and get calculate from processes like this i want to make sure if we're truly trying to serve is organization they're not left out of the process so i hope that language could be included to make sure this is not an obstacle. >> you know as the art commission majority of our funded organizations are fiscally sponsored to establish the fiscal sprrnz like the intersection so far this arts so we've worked to grant the money to the nonprofit and previous successfully into the intermediatey in the called intermediatey to make sure those organizations are fiscally sponsored will quality again, the grants agreement will have to be with the fiscal sponsor but move the resources into whatever needs that entity thas

has for their space so with our information that's feasible. >> oftentimes it's difficult to facilitate the process that the city puts into place especially for a program it's meant to actually be of service if an emergency situation so i'm just asking we put you know the necessary i guess language in the requirement that don't make it this as difficult for the smaller nonprofits who tend to have a lot of difficult if maine their own 501-c 3 and navigating through the city we were not considered a large organization i helped us through the process of getting work on the building it was frustrating and difficult and times consuming it it was

tedious but you, you know, we got through the process and we had our own 501-c 3 just imagine those facilitating the nature and this was intended to physically support the organizations of my concern as well is to support those particular organizations i'm just hoping we put the necessary language in place so we don't make this more of a difficult in terms of the challenges they're facing. >> i think we'll be able to do that. the gentleman mentioned we sporadic want to look for intermediateries that have the experienced real estate the challenges you 5001-c 3 is put in because of the city krookt requirements but i think we've been able to work with the enter

medicineries regardless of whether or not they have a fiscal sponsor >> thank you. >> supervisor tang. >> great in terms of the intermediatey i'm assuming you're using the same intermediatey for the nonprofits and the non arts community. >> so we would not necessarily select the same intermediatey it maybe by we'll be issuing spectacular rfps because there's may be one intermediatey on the arts side and one that works with social services organization if that's the case we have to enter medicinesries the overall selection of the nonprofits will be gunning done by a group in this case we anticipate in terms of how much

the intermediateries receive once selected we'll enter into grant agreement that allow us to spend up to $2 million for the arts intermediatey up to 2.15 for the social service intre mediciney but the entrant will give the authority up to the full amount we can lessen the amount so we'll do the lessor amount to making sure they're ready to go and once we get the initial application f that drerments the grantees we'll incan you remember the amount for that sufficient amount so we maintain the amount we anticipate we'll be able to

spend the full amount over the 3 years but we felt is over all control throughout the process and i know my mentioned this as the original meeting. i was happy to see a more perimeters given around the program and i want to make sure their called to oats so in terms of the next steps the timeline i know that wanted to have the intermediatey i don't know if you've determined the timeline for plagues for good times but

was the idea behind the september hearing to find out what the needs are and basically how much we need to dual out for nonprofits. could i don't know if supervisor kim can answer that. i think the goal is contact is an intermediatey to put out proposals to the board community of nonprofits. we want to you i think the supervisor breed point about reaching all organization we want to give accurate times for to submit the necessary outreach to make sure they're aware of the resources and pull together their applications many small organizations struggler so we want to balance that where the resources will be. one of the ideas we have discussed would be to do two

roupdz of calls for proposals so let's first one will allow the organizations their experiencing displacement and they're watching this today and then to do a second round and at a later time to law the nonprofits that have not assessed their need to be able to respond in a second round we'll are working with the intermediatey to balancing the outreach with the immediacy of the need. and basically i wanted to say we want to see what exactly those needs are, however, i don't know if it is a question for the city attorney i understand we're not allowed to have a say as to where the funds b are going to specific nonprofit organizations is as john gibner, deputy city attorney >> that's correct the charter

prevents them to say where the money goes. >> i'm wondering perhaps through the controller's office or might be through our various departments i'm not sorry khan which one but as the fund are dialed out we can have a report maybe a regular update quarterly how those funds are being spent so we have transparency. >> supervisors we can certainly work with the departments to develop a regular report for the types of funding and the allocation of the funds we can work with our office for design the perimeters of that. >> thank you very much. thank you supervisor yee. >> thank you president chiu. >> i really appreciated the

presentation primary base i thought you only had the report when i went through it i was getting nerve about wanting to support this didn't have the same details. and i'd like the idea of the two rounds mainly because it seems like you have only one round then the technical assistant piece of it includes the quite a few of the of those boxes. when taken it would take time to had had analysis and figure out what's the best approach. my basic question is here there's a lot of stuff here that's beyond supplementing the

rent you have a box for the planning, zoning, and developer and incentives and a box for identifying the available space and a box for other things. and are you expecting that intermediatey would have the the experience and skill level to do all of those things are anticipating they may intermediatey my intact u subcontract to realtors or something what's our thought >> i'll speak to the arts piece and we we're saek an intermediatey that has demonstrated in expertise in technical assistance for real estate brokerage and the legal services to small midsize

nonprofits. they any subcontract that out maybe in house but in terms of the boarder policy solutions the other enter mediciney with about the partner to xhaungz point to consultation a form needs structure to work with the cities sdepts e develops to identify the inventory because of the inventory maybe city ordinary i or owned by school district a they'll be a partner in identifying the inventory and a partner in the full needs assessment in terms of nonprofit. i don't know thankful be able to impact the long-term so i would envision that will continue as a working partnering through the departments that are overseeing

the intermediatey we've discuses ways to form list that working group over the next 4 years to 5 years so we'll have better city partners so i'll let mr. chiu add it that. as was said we'll continue to work with the city departments it's important to have the real estate department and the san francisco community investment fund, the office of the city administrator to be engaged in july we're going to be reconvening the city long term and short time solutions the intermediatey will hit four or five but i don't want people to

lose site of the long-term structural solutions will lie in many of the recommendations beyond the scope of the enter midy itself >> i thought united states long-term solutions were a big factor in trying to actually have longer impact for the nonprofits. i'm hopefully hoping in thinking through we have two rounds of funding that unless there's a big emergency you need to spend a bigger piece up front i want to have the intermediatey hold off as much as possible to reduce the need for supplements >> thank you. >> thank you campos. thank you president chiu and mr.

carmen chu and gentlemen for your work greatly appreciate all the thought. i wanted to ask a couple of questions. i'm having a hard time understanding exactly what the roll of the intermediatey will be can you talk about that and sort of the time entity that could without talking about the specific entities but the characteristics or qualities of that entity >> we wanted them to have demonstrated real estate recycle working with nonprofit strengthens would be an enter mediciney pertain that works with the directors of nonprofit oftentimes the real estate negotiations are timely so in mid-size organizations

supporting the nonprofit in the releasing brokerage 0 so having the demonstrated experience in real estate brokerage but having down so with demonstrated impact hearing from perhaps the prior nonprofits they've worked with the rfp requiring a letter of recommendation from the nonprofits they've served effectively. >> so i want an intermediatey that has the administrative capacity and the fiscal oversight to be an fiscal organization so the entity that puts out requests for culture competency that's inviting to our city and has the ability to access financial health and be able to track the information so we as a city department north

get the quality reporting and the impact of the investment. >> thank you therapists helpful i guess it's more of a point unless you have anything to add to it. there's a degree of subjectivity here. and so one concern that i have is making sure that the institution the organizations that need the most help are not necessarily left outors are the institutions that actually are is a tougher time going through a process like this. and so, you know, that's the concern that i have that in fact the folks who look good on paper, you know, may not

necessarily be the people you're actually trying to target. and so i do worry about that because i think that there are some neighborhoods where the very people you're trying to help may very well be left out of the criteria our putting forward >> supervisor breed was making that point that's why both the arts commission and our department in particular up are more awe you custodian to working with the smaller organizations i know our department offered support for the budgets less than one hundred and i thousand where it's one package staff a volunteer person that's doing the work with the haishgd board of directors we anticipated we

didn't want to over engineer the art but apartment the application process will be specifically designed to be straightforward. and we'll not be expecting people to turn in an application, you know, with those many packages of supporting documents but really get the name of the organization and get basically information and once they're selected for assistance we can determine the level of assistance but make the application easy so we don't exclude the organizations that are most at risk of displacement sometimes they struggle with the capacity issues >> just to add to the arts which i guess may have been hailed as a national model to as a city department fund the

historically undervalued partnering or partnership with the greece greets to build the capacity to sustain their work and grow as healthy indicators i'm confident we have the staff capacity to work with an intermediatey who brings forward the endure in their application and democrats they can work and advance our elective mandated of culture entity. i understand and appreciate that. i think you guys do an amazing job of doing that but the concern i have is that i know that for instance, within the neighborhood like the mission the more challenge to institutions are the ones that may have a hard time meeting the

criteria to the extent this is like a loan program you know you're trying to help people who need help and the criteria required that they have a great credit score or maybe the vuvent which that that's precisely why they need help. i'd like to see more i have a fear that a lot of institutions are going to, left out or could potentially be left out. thank you >> supervisor kim. >> i don't want to belavish this people have been waiting since 2 o'clock but i want to say a skuch of things there's a good track