increase the staffing, etc.? >> yeah, i expect maybe an increase at least one inspector and maybe one clerk. >> okay. sure. >> okay >> cool. >> okay. >> all right. >> and there are no further questions, thank you for your consideration of this. >> thank you. >> thank you. >> and is there a motion on it? >> do we need public comment? >> public comment? >> good morning commissioners kowitz and i am the president of the council of district merchants association and i think that it is excellent and the problem that we have for small businesses is that there is not enough traffic, but particularly we have a lot of storefronts that are vacant and a lot of these are vacant is that the owners don't care and they just get the vacant so that the big bucks to come in, this will give them a chance and in some, and of course the

other store the people will say, but, it is such a small incentive and another example of incentives about the bags in the safeway. and you go into safeway today and you will see when the people and when the cashier says can i give you a bag and no, and why spend ten cents on the bag, i will assure you that owners will respond to this and we will have a risk of all of these vacant storefronts and we will be able to tell them, look we will help to you rent the place and we will have also the programs as was mentioned investing in neighborhoods and this will shine to provide money to help these storefronts to get outfited, and so i think that it is a positive thing and it is a positive thing for the community and a positive thing for small business, and we will with the traffic and taravel and fourth street and a lot of areas, geary all over town and these places that are vacant and we don't know who the owners are.

and they just don't care. and the excellence legislation, and i hope that you will be in favor of it, thank you. >> are there any further public comment? >> okay. >> seeing none,... >> could i have a motion on the floor? >> commissioner walker? >> i move the commission to support this legislation. >> second. >> a motion and a second. and i will do a roll call vote. >> find my paper. >> vice president mar? >> yes. >> commissioner lee? >> yes. >> commissioner melgar. >> yes. >> commissioner mccray. >> yes. >> and commissioner walker? >> yes. >> and the motion carries

unanimously. >> thank you. >> thank you. >> okay, back to item four, director's report? >> for a, update on proposed legislation.have one permit, an

so that looks good, but at least one. >> but unless, but because they want to know what the step is. >> okay. >> i expect that it will be more than that after a few months and everybody wants to see, who is going first and then see that, and you know, how to change it. and because, there is a pose on the comments and a lot of people are weighing into it and because the public was adding and we are going up, and also,

you know, being to be part and the income, part, too. and that is the portion and a lot of people want to do it and they hesitate to see how it goes. >> and so the first step is to talk to somebody outside of our department, to be advised in that, and then it comes back if it is a real ? >> right, the idea is to use the same kind of screening with the professionals than we have been using for the mandatory retrofit and the director with the best way for the earners for know exactly what they will be doing with in the legization is to have an, engineer and an architect tell them here is what you are looking at doing in your specific situation. >> do we have an idea of the cost of that, and if the people are watching. >> this is a good question, and unfortunately, the commissioner, we don't know

case by case, depending, and the work with the electrical work, and it is coming out of the cold, and but, with the electrical work is no good, they need to redo all of the electrical. and all of those. >> i am just speaking initially about the consultation? >> our department do not charge anything, we come in and screening form. and then, they will be in a permit and at that time, they will charge for the public fee. >> they need to go to an outside. >> outside consultant and do we have an estimate about what it cost to evaluate, or is that depends on who you hire. >> just made for the soft story depends on the ruling of the consultants and sometimes they charge $400, $500, because they will get the future job. >> yes. >> or, if the people charge $2, for the soft story. >> okay. >> that is helpful. >> it is definitely one of those situations that you will get a few bids as the owner to

find out what your possibilities were. >> and we have a list of people who provided. >> we don't provide the lists but we can direct them to the aia, or the known california structural engineers. >> great. >> actually we have the least in our website, and who ever are paying our public meeting, and then, they look and then they ask, and the friend, or aia, and the structural engineer. >> great. >> and it is published in our website. >> right. >> the director is referring to the fact that we have had three or four of these public workshops, dealing with the mandatory retrofit and we have invited contractors, and engineers, and architects who attended those, to sign up, for the workshop, and then, we post those names and their contact information, giving, home owners an opportunity, or owners an opportunity, i should say, to call them and seek it. >> great. >> commissioner lee? >> yes. just a couple of questions, on

that single permit. and it was, was it voluntary, i mean, did the process... >> yes, it is a voluntary program and it happens to be on baker's street. >> okay. >> and is it occupied? >> yes. >> well, i don't know, if the vacant unit is occupied and i don't know that detail, actually. >> and i had a question, on this, and so, depending on what the professional comes up with in terms of the scope of work, if it is not clear whether there are these legization will be over the counter or go through the planning; is that correct?? >> yes. >> is that something that needs to go through the planning approval and then come to us. >> and for us, my intention is for the surface and because, there is no such of a work and it is more just a basement alteration, and it is nothing to, you know, to have that much except for the fire raiding of the wall and the door and

exiting only. >> okay, thank you. >> and then, after the fact, and if they have legalized this unit, and then the information goes back to the tax assessor and it is adjusts. >> yes, and they will get the information, right. >> and yeah, that is what our next task for it. >> and yeah, but, you know, all of those information, transmit, and that is directly, and then we are going to do it, yeah. >> because it changes from, you know, it changes the make-up of the building, for sure. >> but the public will go up too. >> yes, absolutely. >> absolutely. >> so going back to the legislation, just wanted to mention, as an update on the mandatory retrofits as vice president mar referred to earlier, we have still about 35, 3600 known responders to our screening form submissions which i do on the 15th of september and so to address that, we have started this

advertising campaign, that i mentioned to all of you up a couple of them, and a couple of meetings ago and so we have been in it and we are in the examiner and we are starting in july and august, we are going to be in about a dozen of the neighborhood monthly publications and the so-called, san francisco neighborhood newspaper association. and we have been in the wall street journal on the friday, and property, and listing. and the hope here is that with three or four of these kinds of advertising or along with the monthly post cards, that it is being filled out. as reminder to these, and that will motivate them to respond. and we will also hold this august, 11th, workshop, at the

main public library, out on the corridor, in the auditor um and where we are offering again, for the people to come, and it is if they don't seem to understand what the program is about. and how we can get them to comply. and we are obviously trying to minimize the total number of code enforcement actions that will start in late september, or early october if we continue to have these non-responders. and since the legislation actually requires us to post on the building, this building does not meet earthquake requirements. and that will have to be posted in the three official city languages on the building, until compliance is achieved. so, we are doing everything that we can to try and eliminate that code enforcement action. >> great. >> and the other thing that i want to mention is supervisor melgar has later in the agenda

an item talking about the... i am off the subject again... and to david chiu's new legislation, about registering a permit consultants. and the original language talks about having a register as lobbyists and that has been a member and now they register as permit consultants. and there was also i think a minimum of $1 million threshold, business, level, before, it kicks in. and if i understand it correctly. it does not really start as a grace period until january 1 of 2015. and so, there are a few more months, before this actually becomes something that we will be dealing with. and it did pass the board, again yesterday. so, it is definitely going to be a new law. >> great. >> i just had a question about the soft story, you know, doing

more advertising on that and i was wondering i really appreciated it with the director huey going out on channel 26 and i was wondering if we could offer multilingual news outlets? >> yes, we have the ads running in simco, and journal, and the newspapers that are coming up. >> great. >> and there is a possibility that we may need to try and look at some spot cable tv, for right here in the bay area. as another possibility and i will have to work with sfgtv to come up a spot in order to do that. but, i will be discussing that with the director. in the coming weeks. >> thanks. >> that is great. >> just a quick question. there are a lot of these, and many, i'm assuming some of these property owners may not be local, is there any strategy

to reach out to those property owners that are not in the san francisco bay area? >> not yet. i have not heard of any. >> maybe. we should look into that, because i do know that sometimes, property owners don't live here, and they live outside and may miss it. >> and that is my thought in putting it in the wall street journal, and i thought that it may be that owners who might not necessarily be in the immediate area, and will say, oh, i have got a property in 2 and it might shift this category and i think that one of the challenges with this program is, many owners may not think that they have the kind of building that the subject or a risk of collapse as either the soft story buildings are. >> and commissioner lee? actually, two weeks ago, i think, that it was on the journals 7, right? >> yes. >> on tv regarding soft story. >> thank you.

>> item 4 b, update on permit tracking system. >> good morning, is property director dbi. >> update for the permit tracking system, we are continuing to test and review and give the feedback and in addition to being identified and i will be the result and the property matter and helping us to do that and on the configuration site and on the data convention, we are completing the data conversion and we have identified the issue and trying to resolve them on the side by side with the vendor alongside and we till have two more rounds of data conversion that is coming up. and this will be planned for the go live. we have a meeting with stake holders in august, before going live in september.

>> on schedule. >> that is great, congratulations. >> great. >> just thank you. >> thank you. >> item 4 c, update on the major projects? >> good morning, commissioners. tom huey and the major project is also you know, free from the increase, and i expect this money will be still from increasing it because july first, the new energy code will kick in and that is why a lot of people will supplement before the july first and hopefully by that time we will level off and the major project. >> and to, and so, the code applies to when they applied for the permit? >> yes. >> okay. >> okay. >> and any questions? >> oh,, also, because the

energy code is so complicated, and i have a committee, to address that, and i want to signify it. because, the cost for the inspection and it is just about 100 forms to fill out and we want to signify it and then you will be discussed in the public and the community. >> great. >> you are more than welcome to join. >> okay. >> item 4 d. update on code enforcement? >> good morning, commissioners. deputy director dan lary and inspection services and a report on the code enforcement and dbi monthly update. and we will report on the

inspection of the code enforcement, and the section, and inspector for the report on housing. so, for the building inspections performed live 4988. complaints received was 243. complaints responded to in 24 to 72 hours was 221. complaints with the first notice of violations were 79. complaints received in the data without violations were 480. complaints with violations were 66 and second notice of voices were 23. there was a 100 experience response in 48 hours for the inspections and for the complaints, the complaints received in 24 hours were 59 percent. and complaints response in 72

hours were 32 percent, and complaints response to the 72 hours was 9 percent and so we have, 100 percent response to the complaints for the last month. >> for code enforcement, the number of cases sent to the director was 80, the number of order of abatement issued were 32, number of cases under advisement, is 150. and the number of cases referred to the city attorney, so far to this date were 6. and there was nothing last month for the number of cases referred to the bic because we did not have it, and it was the opposite month that we have it in, and so that is report that we have up to date and i will have the chief inspector report on housing. >> and the graphs are also enclosed for your viewing there, for the code enforcement process. >> good morning, members of the

commission, our numbers are there set forth in the table for you a couple of differences in the numbers for the month of may, 2014, you will see that the total number of inspections performed both in general, and with respect to inspections dropped off. but, that does not take into consideration, the additional 142 site visits to the residential hotels, that were part of the audit for the detailed visits of those buildings, to identify the conditions building features and the detailed audit of the elevators and the physical attributes. and, with respect to those 142 that we did not get entry to, even though we tried to do that so that we could have that personal unannounced contact with the operators? we are doing direct mailings on those, but that time was spent

within a month of may and so, the numbers don't necessarily reflect that. as part of the code enforcement process, we did have an excellent public meeting on the elevator situation, and sros and there is a detailed audit of which the stake holders asked for some more information, and there were some very estute comments by commissioner mar asking that we identify which of those buildings that have elevators has city funding and so we are going back and we are going to be hearing the basic both, dph, and hsa on those issues and we are going back and getting a little more detailed information on the manual and the automatic doors on those elevators because those are principally create a lot of problems with the elevators being out of service and so we

do have that audit and one of the things that we learned as far as how that relates to the code enforcement over all and the statistics is that well it is time consuming and some ways unprecedented and it was a useful thing that could be used by this department and others and listening to the previous agenda item under the vacant buildings, and you know this is something that from a code enforcement standpoint we are going to probably see again and again where we need to do a lot of data collection. and the amount of detail on that, was at the request and the division of the director, and so, those were items that given to say that they the sized and dimensions is the information that could be used by us and other agencies but that is part of this code enforcement effort and that was one of the things that impacted the over all numbers. >> and we will be happy in the future, when we have the next meeting if you would like us to come and report on what happens at that meeting.

we are more than happy to do so regarding the elevators. >> great. great. >> great. >> and item 4 e, update on dbi finances. >> good morning, i'm gale and i am the acting chief, finance manager and our report for revenue is very similar to what we have looked at in the past, and our apartment rental units and we have collected the two payments that are done with our property tax and we have collected about 90 percent of the funds. and we will continue to get some money over the course of the next few months as the people pay their fees late but we have received the bulk of the money. and the charges for services is still the main story for revenue. and we have currently collected quite a bit of the revenue to date, and so we are at that is

old and we have collected, 33.7 percent of the revenue to date. and so, 133 percent, sorry, and so we are obviously going to be over our revenue projection for the year. and quite significantly. and so, we do have more information about that in the budget, which i am going to talk about next. and then, our other income, is a little high with interest and we are collecting more money because we have more money in the bank but we have not moved the money from the fund balance that we had budgeted to move, because our actual revenue is coming in so high, we don't need to do that. >> could i, could i, because we are talking about this. >> certainly. >> and we also have in our plans, to expand our space and we can >> yes, we do. >> and yes. >> yeah. >> and so on thursday. >> we have a plan for the money that we have collected. i want to make sure that you are clear on that. >> yeah. >> we are collecting more than

we had expected. >> so, our expenses, with the current ones. and one, and it is a little old. and so, with the expenses, we are still a bit lower than where we should be this time of year and we are going to have salary savings because we still have the vacancies. and we seem to talk about this every month, but, we do have a plan to hire more people, and so hopefully next year we will not have the salary savings that we are seeing this year. we do have lists established for a lot of the classifications now, and we can move forward as the space becomes available to fill, more positions and we have the space to hire, 20 people and so we are bringing on people in the next few months, and we are working on the longer term space issues which i am going to talk about in just a minute here. >> and so, the other thing with the expenses the non-personal related, and showing the savings there, xh is a little defective and we have ordered,

about 35 cars this year and we received 12 of them so far, and so as the rest of the cars come in, we are going to spend that money really quickly and so even though it shows, we have savings there, we really don't. and so this is a rather, and the departments are work orders and they bill quarterly and we should get the final buildings this year this month and next month and i do expect that we will have savings and i don't think that we will be as low as it is showing right now. the transcripts have been done and so we are showing 100 percent there. and that is all that i want to talk about with the finance report for this year, i would like to move on and talk about our budget. and so do you have any questions about the finance report, we can take them now or all at the end. >> you can stay up here, and we can do the public comment on the 4 athrough e. >> and this is part of the report. >> the mayor's budget was announced on june second and i wanted to just highlight the main differences from what i presented to the commission and you guys approved, back in

february. and what was actually submitted by the mayor's office. and so, on the report here, we still have quite a bit of money in the fund balance along with quite a bit more money coming in than we had budgeted for. and so we needed to increase the revenue and the expenses a little bit and talk about how we wanted to spend the fupd balance and some of the ideas that we have that are ongoing expense is that we wanted to add a project for the legalization of inlaw legislation, and the mayor's initiative to add 30,000 housing units and we need more staff to do both of those things and so we asked for 12 new positions, and these are project-based positions so they are not permanent pcs positions project based positions are good for three years. and we would ask for these 12 positions we want one manager to help with some of the public out reach and just from the management of this program. and we are looking for one civil engineer and one mechanical engineer, and one

regular engineer, and three permit technologies to help with the set up with the program and scheduling appointments and processing paper, one electrical and plumbing inspector and housing inspector and we have asked for those 12 positions and these are all new position and they will be project-based. so the other things that we looked to do are more from fund balance. so we would like to do is create a technology project reserve similar to what we did last year with the capitol project reserve. so we are requesting, 7 million, and we are requesting to increase the repair and demolition fund by $5 million and the fund is used after an emergency and if it is a private owner cannot do whatever the emergency repair is needed to make the property safe. and so last year, we demolished a building because of a fire, and we are looking to build that fund up to help after a

larger scale emergency. and we also have one project that i want to talk about in a few minutes, that is in legislation. that we would like to pay for out of that. out of that fund. >> and so, the other thing that is also out of the fund balance is the capitol reserve, last year, we requested a little over and we appropriate ated over 4 million, into a capitol reserve to help with the new future expansion requests. that we have been talking about and studying over the last few months and so all of that money comes out of our fund balance. and the other project that is going to come out of our operating room, money, is a new work order with the assessor's office and so in talking to the control's office and the mayor's office and right now because of the building boom, we have a lot of new construction permits and once those permits are completed they need to be put into the assessor's data base so that the taxes are done correctly and everything is recorded correctly for the owner. and they are having a hard time keeping up with our volume.

and so, one of the things that we have suggested doing is creating a new work order and this will be a project for them and an in-law project and they will hire new staff and put in the permit and that is an ongoing work order of $1.3 million while we are in the building boom, once things slow down they can keep up with their standard staff and it would not be need to be an ongoing thing at that point.. and the last thing and the segway about what i want to talk about as part of the director's report is we budgeted half a million dollars to go into the expansion project to continue planning and design for whatever option we decided we wanted to do. and as those options have gotten a lot cleaner and we have a better idea of where we think that the city is going to go, we upped that to one and a half million and we can do the deposit and the design, that is a one-time cost that is coming out of the fund