instead, as a city we have risen to meet our own challenge and made significant progress in doing so. i have to thank the voters who approved a $1.3 billion housing trust fund for the construction and preservation of affordable housing. in fact, the budget you will review today includes an investment of more than $96 million over the next two years for this purpose. this major cash infusion is precisely what we need to tackle the housing shortage, more resources. let us not forget about some of the most vulnerable families in san francisco, those who live in the housing authority properties. my plan to reenvision public housing will improve the living standards for some of the lowest income, most at-risk people in san francisco. and, again, these steps forward take resources. that's been my focus, and i'll continue it to be my focus, finding money to build and rebuild housing.

i released a 7-point plan to stabilize and protect existing housing, streamline the creation of new market rate and affordable housing. because, supervisors, i believe there is a direct link between new market rate housing and new on-site and off-site inclusionary housing and land site control. we have to develop new units at all levels to ensure we have adequate low and moderate income housing to meet growing demand. supervisor chiu, i am deeply commit today this issue and i will support any proposal that includes public housing, affordable housing, and stabilization strategies. again, we need to focus on revenue strategies in the coming years. that's the only way we can build more housing that's affordable to more families and keeps san francisco affordable to the 100%. i hope we can all work together on the common goals that we all share. thank you for your question. >> thank you, mr. mayor. and our final question for the day will be asked by our

district 11 colleague, supervisor avalos. >> welcome, mr. mayor. in april of 2013, the board of supervisors unanimously passed my resolution urging the retirement board to divest from fossil fuels. in february of this year, the retirement board initiated level 1 passive shareholder engagement with fossil fuel companies, but they have yet to take any steps to divest from fossil fuels or limit the retirement fund's exposure to the financial riskses posed by climate change. in april of this year on kqed's forum program, [speaker not understood] and several other experts who explained how the retirement board could responsibly divest from fossil fuels while maintaining their fiduciary duty to protect and grow our retirement funds. mr. mayor, how do you propose

we work together with the retirement board to divest from fossil fuel companies and reinvest in less financially risky sectors of the [speaker not understood] and create local jobs? >> thank you for raising this issue, supervisor avalos. let me begin by saying that i'm always willing to work together to support our local economy and create local jobs. as a prime example, i'm excite that had we could bring additional funding to go solar s.f. through in year's budget to do just that. our commitment of a 4, $5 million a year to go solar s.f. will continue to create local green collar jobs and has contributed the creation of locally produced 100% green energy. these are the kinds of meaningful investments that actually deploy dollars, creates jobs, and moves the needle on green energy. but the point of your question, supervisor avalos, i understand that last year the board of supervisors passed a nonbinding resolution urging the

retirement board to divest from the top 200 publicly traded fossil fuel companies. i also know that the san francisco employees retirement system under the very professional leadership of executive director jay housh, and retirement president victor [speaker not understood] has been actively working on this issue. also, i have already reached out to your board of supervisors' representative on the retirement board, supervisor malia cohen to discuss fossil fuel divestment. i suggest that you continue to support her work to be the eyes, ears and voice of this elected body at our retirement system. when you are dealing with a retirement system that manages over $19 billion for more than 60,000 current and former employees, you can't simply divest from half a billion dollars in one sector without fully understanding the consequences and alternatives. the san francisco employees retirement system apps rules

clearly state that in no event neither social investment policy take precedent over the fiduciary responsibility of producing investment returns for our city's retirees. so, what options are we left with? as you mentioned in your question, the refirethv board took a step in february to initiate shareholder engagement by enacting social and investment policy under level 1. i do know that the commission is analyzing the feasibility and impacts of their engagement with fossil fuel companies to level 2, which is a more active position to promote social rights and interests. the retirement board underwent a long education process about the various levels of engagement, and ultimately they need to decide which of the levels is most effective to accomplish our goals. i know the commission does seriously consider the fiscal consequences of divestment, and sometimes they decide the benefits outweigh the costs.

for example, the commission has in the past divested from big tobacco, apartheid south africa, and sudan. i am supportive of targeted divestment, but it needs to be done responsibly, both for society and for the retirement systems' members. i trust the retirement board and staff to make the right decisions in this regard ~. thank you for your question. >> that concludes today's question time. thank you, mr. mayor. colleagues, why don't we now go to our consent agenda. madam clerk, can you read items 2 through 7? >> items 2 through 7 the consent calendar is considered routine. if a member objects an item may be removed and considered separately. >> colleagues, would anyone like to sever any of these items? roll call vote. >> on items 2 through 7, supervisor farrell? farrell aye. supervisor kim? kim aye. supervisor mar? mar aye. supervisor tang? tang aye. supervisor wiener? wiener aye.

supervisor yee? yee aye. supervisor avalos? avalos aye. supervisor breed? breed aye. supervisor campos? campos aye. supervisor chiu? chiu aye. supervisor cohen? cohen aye. there are 11 ayes. >> these items are approved. [gavel] >> why don't we call item number 8. >> item 8 is an ordinance calling for providing a special election to be held in the city and county of san francisco on tuesday, november 4, 2014, for the purpose of submitting to san francisco voters a proposition to incur the following bonded debt of the city and county; $500,000,000 to finance the construction, acquisition, and improvement of certain transportation and transit related improvements. ~ chapter 37. >> colleagues, can we take this item same house same call? without objection this ordinance is finally passed. [gavel] >> and if you could call items

9 through 38 related to the budget. >> item 9 through 38 are the annual appropriations salary and associated fee ordinances and grant resolutions. item 9 is the annual budget and appropriation ordinance appropriating all estimated receipts and all estimated expenditures for selected departments of the city and county of san francisco as of june 2, 2014, for the fiscal years ending june 30, 2015, and june 30, 2016. ~ selected departments. item 10 is the annual salary ordinance enumerating positions in the annual budget and appropriation ordinance for the fiscal years ending june 30, 2015, and june 30, 2016, continuing, creating, or establishing these positions; enumerating and including therein all positions created by charter or state law for which compensations are paid from city and county funds and appropriated in the annual appropriation ordinance; authorizing appointments or continuation of appointments thereto; specifying and fixing the compensations and work schedules thereof; and authorizing appointments to temporary positions and fixing compensations therefore. ~ 2016. item 11 is the ordinance amending the administrative code to adjust the fees for county clerk services for fiscal year 2014-2015; to remove fees for obsolete services; and to authorize annual automatic adjustment of municipal id card fees to reflect changes in the consumer price index. ~ id cards. item 12 is the ordinance amending the administrative code to eliminate the mayor's office of housing and community development escrow account administration fee. ~ community development. item 13, ordinance amending the building code to reduce all fees for staff services by 7% for a 6-month period and affirming the planning department's determination under the california

environmental quality act. ~ 6-month period. item 14, ordinance amending the planning code to eliminate 4 fees, including the installment agreement processing fee, the refund processing fee, the fee for information analysis request for information technology, and the reactivation fee foreclosed cases; making environmental findings, and findings of consistency with the general plan, and the eight priority policies of planning code, section 101.1. ~ closed cases. item 10 is the ordinance amending the subdivision code to adopt a fee to set survey monuments and affirming the planning department's determination under the california environmental quality act. item 16 is an ordinance amending the administrative code to define "art enrichment"; to allow aggregation of art enrichment funds for use on any city property rather than only the funding department's property; to allow the arts commission to reserve up to 10% of the art enrichment budget for maintenance and conservation; to allow art enrichment funds to be used exclusively for maintenance and conservation under limited circumstances; and to clarify references to the arts commission's jurisdiction over works of art consistent with the charter; and making environmental findings. ~ public art. item 17, ordinance adopting the neighborhood beautification and graffiti clean-up fund tax designation ceiling for tax year 2014. item 18, ordinance amending the building code to authorize use of the repair and demolition fund specified in building code, section 102a.13, to address costs associated with private property owner responsibility to stabilize telegraph hill, as part of the rock slope improvement project, and affirming the planning department's determination under the california environmental quality act. ~ improvement project. item 19, ordinance amending the health code to set patient rates and other services provided by the department of public health, effective july

1, 2014, and making environmental findings. item 20, ordinance appropriating an additional $14,496,012 for the veterans building seismic upgrade and improvement project of the department of war memorial for fiscal year 2014-2015, and placing the total appropriation of $14,496,012 on controller's reserve. item 21, ordinance amending the park code to require the controller to increase the berthing license fees for the west harbor of the san francisco marina small craft harbor each year by 3% or the annual increase in the consumer price index, whichever is higher, until september 1, 2043; and making environmental findings. ~ consumer price index. item 22, resolution amending the city's ten-year capital expenditure plan for fiscal years 2013-2014 through fiscal year 2022-2023 to increase to $500,000,000 the proposed transportation and road improvement bond. ~ 500 million. item 23 is resolution concurring with the controller's establishment of the consumer price index for 2014, and adjusting the access line tax by the same rate. item 24, resolution concurring with the controller's certification that services previously approved can be performed by private contractor for a lower cost than similar work performed by city and county employees, for the following services: budget analyst (board of supervisors); lgbt anti-violence education and outreach program (district

attorney); city-wide custodial services (excluding city hall), city-wide security services, central shops security, convention facilities management, and security services west south of market (general services agency-city administrator); mainframe system support (general services agency-technology); security services (human services agency); food services for jail inmates (sheriff); assembly of vote-by-mail envelopes (department of elections); security services-1680 mission street and security services-30 van ness avenue (general services agency-public works). ~ certain services. item 25, resolution authorizing the acceptance and expenditure of state grant funds by the san francisco department of health for fiscal year 2014-2015. item 26, resolution authorizing the execution and delivery, from time to time, of tax-exempt and/or taxable commercial paper notes in an aggregate principal amount not to exceed $41,000,000 to provide financing for the costs of the acquisition of furniture, fixtures, and equipment for the san francisco general hospital and trauma center project and authorizing other related actions. ~ center project. item 27, resolution approving the fiscal years 2014-2015 and 2015-2016 expenditure plans for the human services care fund. item 28, resolution approving a waiver of the payment in lieu of taxes for fiscal years 2014-2015 and 2015-2016 from the housing authority of the city and county of san francisco. ~ housing authority. item 29, resolution approving expenditures from the budget savings incentive fund for one-time purposes in fiscal years 2014-2015 and 2015-2016. item 30 is a resolution approving the budget of the office of community investment and infrastructure, operating

as the successor agency to the san francisco redevelopment agency for fiscal year 2014-2015. item 31 is a resolution approving the san francisco children and families commission expenditure plan for the public education enrichment fund for fiscal year 2014-2015. item 32, resolution approving the san francisco unified school district expenditure plan for the public education enrichment fund for fiscal year 2014-2015. item 33 is a resolution approving the budget of the treasure island development authority for fiscal years 2014-2015 and 2015-2016. item 34 is a resolution authorizing the execution and delivery, from time to time, of tax-exempt and/or taxable commercial paper notes in an aggregate principal amount not to exceed $14,500,000 to provide interim financing for the costs of seismic upgrade of and improvements to war memorial project and authorizing other related actions. ~ war memorial project. item 35, resolution retroactively authorizing the department of public health to accept and expend a grant in the amount of $166,446 from public health foundation enterprises, inc., to participate in a program entitled san francisco bay clinical trials unit for the period of december 10, 2013, through november 30, 2014.

~ clinical trials unit. item 36, resolution retroactively authorizing the department of public health to accept and expend a grant in the amount of $162,313 from the national institutes of health to participate in a program entitled "a probability-based survey of hiv risk among transmen using a novel sampling method" for the period april 1, 2014, through march 31, 2015. ~ transmen. item 37 is a resolution retroactively authorizing the department of public health to accept and expend a grant in the amount of $322,645 from the health resource he and services administration to participate in a program entitled ryan white part c outpatient eis program for the period may 1, 2014 through april 30, 2015, and waiving indirect costs. ~ outpatient program. and item 38 is a resolution retroactively authorizing the department of public health to accept and expend a grant in the amount of $556,874 from the centers for disease control and prevention to participate in a program entitled "medical monitoring project" for the period of june 1, 2014 through may 31, 2015. >> thank you, madam clerk. supervisor farrell, the budget chair. >> thank you, president chiu, and thank you, madam clerk, for reading all those items. so, colleagues, with our budget this year, very pleased we were

able to come to a unanimous vote at our budget committee again this year, and in record time, to pass out our 14-15 and fiscal year 15-16 budget out of committee. as we all know, giving the diversity of opinions and political perspectives on our board, this is easier said than done, but i think that we're proving that we can do it and in fact work together. i really want to thank my fellow committee members, supervisor wiener, supervisor breed, supervisor mar, and supervisor avalos and in particular supervisor avalos for once again his leadership during the budget process this year that cannot go understated. compared to a roughly $585 million budget deficit the first year that our class of supervisors came into office, thing are better, but we nevertheless went into our budget season $66 million in the hole and so we still have to make difficult decisions. but excited about where we came out. you know, the mayor's budget of 8.6 billion focus on a lot of

things and i think he prioritized a lot of great things in his budget. he mentioned just earlier during this board meeting $94 million towards affordable housing, 2 million to rehab the s.f. housing authority units that i think are an incredibly big deal. investments in our public infrastructure, continued our public safety hiring plan, and numerous other things and item that -- and priorities i think a number of us or most of us would agree have been tremendous. i do want to thank the mayor's team in particular, kate howard, the mayor's budget director and her entire staff and certainly ben rosenfield our controller who played such an integral role in our budget process, we wouldn'tible able to get this done. [speaker not understood] our work began in march as always, and met with departments, each of the members of the board of supervisors i know had copies locally in their own districts with mayor lee. we held an online town hall with members of the public. that went well, including our

full day of public comment that we had here at the board of supervisors. and this year what we did for the first time is actually invited online public comment throughout our budget process, through our website at the board of supervisors. there are so many people to thank behind the scenes. first of all, on past of the entire board of supervisors to harvey rose and the entire budget and legislative analyst staff, thank you for all your hard work again this year. to our clerk's office, certainly our committee clerk linda wong and victor young who -- for his continued help to fill in john [speaker not understood] budget website, we had mom's involved, sfgov-tv and all the different department heads. in terms of our package at the end of the day, we were able to find over $40 million of savings over two years, general fund enterprise departments, $23 million in the first year and over $18 million in the second year. and for me, as we talked about that night, i am really proud of all the major priorities

that we funded. 3 million additional dollars for homeless services, in particular around rapid rehousing and subsidies for those that are on the risk of becoming homeless on our streets. we funded eviction defense counseling for a number of these individuals. we put $2 million more to food security, increased funds across our city for vision zero. we added park patrol officers. we added an arson investigation team. and we were all able to fund very important infrastructure priorities in our own districts. and as a board of supervisors i know that continues to be an important priority for all of us and i think we all had a lot to say that we accomplished within our own districts. i do want to thank in particular catherine stephanie from my staff who worked very hard on the budget, all of the other people and the different, especially the committee members' offices that worked so hard on the budget again this year. their contribution is invaluable. i do believe it's a budget we can all be proud of. i want to thank everyone for their involvement and look

forward to passing this out. >> supervisor avalos. >> thank you, president chiu. well, chair farrell talked about much of the content. our own budgets, i won't go into that. i am in agreement there are a lot of different things we can be proud of in the budget. most of all, i think the process that was led by chair farrell was a really good one, really transpairedthctionv, very balanced approach to make sure that there could be input from all of our offices and i just want to commend you for that work. it was very well done. also want to thank office support we got from the budget analyst and the controller, controller's office, mayor's budget office as well. this is a city, a budget that really reflects a lot of the city's politics and city's values and i just think that it's something that moving forward we'll be really great for this coming year. so, i just want to put credit

where credit is due. also of course our legislative staff who have been involved in this effort as well, kevin stephany and mark farrell's office to interns like david schecter in my office, [speaker not understood] who is in supervisor yee's office, beth rubenstein in my office and [speaker not understood] in my office as well. justify want to say thank you for all your great work. of course many people not thanking as well, but just want to say it's worthy to pass and look forward to its passage today. ~ just, not justify >> supervisor cohen. >> thank you very much. i just want to acknowledge all the hard work of the folks that sat on the budget committee. thank you, i know it's been very difficult to make these types of decisionses. and i do, however, want to just express a little bit of disappointment that, that seiu tenderloin, not necessarily call out the organization, but also -- but the nonprofit workers that really work for

our city were not really represented in this particular budget. and i hope that there is something we can do in the future months to come to help rectify this error. thank you. >> supervisor campos. >> thank you very much, mr. president. and let me just begin by saying that having gone through a number of budgets over the last few years that it's never an easy task, especially given the various views that all of us have. and i want to take this opportunity to thank my colleagues who serve on the budget committee for all the work. i know it's a very time consuming for them and for their staff, and i especially want to thank the chair of the budget committee, supervisor farrell, for two years in a row

having a process that i think has really allowed everyone to, to have a say and make sure that their views and priorities are taken into account. i think that there are a number of issues that -- where there is always room for disagreement, and i certainly agree with supervisor cohen with respect to the need to do something with our nonprofit workers. and the reality is that we need to make sure that we make san francisco affordable for everyone, including workers that are doing very important work on behalf of our residents and for the city. that said, i do think that there is a process that we can follow to address that issue. and with that in mind, i'm very happy today to support this budget. i think that it's a testament to the fact that this board is

working together and not just working together, but also working together in a way that is honest and that allows for the important discussions that took place to indeed take place. so, again, i want to thank my colleagues. i want to thank the chair of the budget committee, supervisor farrell. and with my staff i want to thank carolyn goosen who has been working with us on this important document, which is the most important policy document that we can pass as an elected body. and i especially want to thank the members of the community who time and time again come to city hall to work with us every year to make sure that we have a budget that reflects our priorities. so, well done, and i'm happy to be supportive today. >> supervisor yee. >> thank you, president chiu. i'll join the chorus line. i want to thank the members of

the budget committee, and particularly chair farrell and supervisors -- supervisor avalos in their leadership in bringing this budget together fairly quickly. there's many choices we have to make and for this budget process, i'm glad we were able to add back and support additional funding for quite a few of the items, such as food security and services for the homeless. however, i was fairly disappointed that there was no funding allocated for early education, when we all know there is a great need to serve thou of low-income families -- children, preschoolers that come from the low-income families that are still on the waiting list trying to get this type of service.

the beauty of this budget process is that it also allows each of us as district supervisors to work with our residents of our district and ask them what their priorities are, and for us to then articulate and communicate that to the rest of the board. so, i'm glad that we're able to do that. that allowed for each one of us to ask for some small amounts of funding that can support specific projects or concerns of our district when it could be easily overlooked when we look at the much larger budget. so, i once again want to thank everybody on the budget committee. i want to thank the mayor and everybody from the community. and i want to thank my aides from my office who worked tirelessly to help with this budget. thank you very much. >> supervisor mar. >> i just wanted to give a special shout out to our chair, mark farrell and his staff for

having a very fair approach. i know as the city-wide needs and equity was driving a lot of us, there's also 11 different requests to his office where he had to balance as fairly as he could all the different requests. but i know that he was very transparent and i really appreciated that. i wanted to thank nick and peter from my office from working around the clock for many days during the whole process and their hard work really paid off, especially for equity within the budget for people's needs. but also making sure that district 1 didn't get the shortened of the stick like we had over past budget years. ~ shoder end i wanted to thank kate howard, ben rosenfield, and harvey rose and his staff from the budget and analyst office, special thanks to terry and the food security task force for really putting together a really thought out budget proposal. we didn't get everything we

wanted, but it's a significant amount of money. the mayor -- the mayor contributed a lot, but then with the advocacy of the food security task force an additional 2 million to the 1 million that was added so that children and seniors don't go to bed hungry and that it's helping to deal with the hunger crisis that we're trying to severely end by 2020. i wanted to also say that i believe this budget is equitable because we helped to give even more support to our critical safety net in the city. and i would agree with supervisor campos and cohen as well that the one bit of unfinished business is to ensure that our hard working nonprofit community-based workers get a fair share so the cost of doing business is a critical measure na supervisor campos has taken a lead on. ~ that as we had a demonstration in this board of supervisors meeting last tuesday where people very eloquently chanted "we can't survive on 1.5" and

other comments like "i am in agreement" and i'm hoping with supervisor campos's leadership we will correct that bit of unfinished business. but thanks so much to supervisor farrell and the whole budget committee for i think a great process this year. >> supervisor wiener. >> thank you. i also want to thank chair farrell for his work and his office's work. it was a really smooth budget process this year, yet again a testament to his leadership. i also just want to note that among the many, many good things this budget did, i want to thank the mayor again for some of his choices around fully funding road resurfacing and once again for funding three police academy classes, helping with some key needs in the fire department as well as with our backfilling 100% of hiv budget cuts as well as other social service needs. i also want to thank you, colleagues, and budget

committee for supporting some i think very, very important add-back that we did this year. in addition to some of the great work we did around housing and food security, we also provided some additional staffing to park patrol, which i think is long overdue. it's not enough. we need more, but we are -- the department will now be better equipped to keep our parks safe, to deal with the vandalism and dumping and other challenge that we have in our park system. i also know supervisor tang and i worked very hard to try to finally provide some extra support for animal care and control. i want to thank the mayor for starting the process and then we were able to get some additional support for this agency which is such a key safety net that doesn't pick and choose what animals it takes in, that is always there for all animals in san francisco. and i can tell you that even what we were able to put in, its was not a monumental

amount, but it was thor than i can recall ever being added back for animal care and control. and i can say there are a lot of residents in san francisco who are deeply appreciative for what we were able to do in the budget. so, this has been a really terrific budget and i just want to thank everyone for their work. >> supervisor breed. >> thank you. i just want to start by thanking chair farrell for being open minded and working with all of us to balance the needs of every district. yes, as a city we come together and we have larger needs for the city and the ability to add more money to the park for park patrol and trees as well as the ability to add additional funding to the fire department for arson investigators to maintain our academy classes for both fire and the police department was really important. and everyone was on board with making sure that city-wide, many of the services that we all hold near and dear in each of our respective districts was maintained in the budget. no, it's not a perfect budget.

no, everyone didn't get what they want. it is frustrating to have to give up some things in order to allow various districts to have things where there is more need, and in particular, in my district i'm really happy with the ability to make sure that community centers like [speaker not understood] get taken care of as well as job programs and job training programs. the frustration of dealing with in the past the homicides which i know mady scott is here today from the healing circle. some of these women here today have lost their sons, have lost family members ~. one of the things that happened in my district in particular was the loss of so many young african-americans over the years and the one consistent message in my district has been job opportunities, housing opportunities, and opportunities for a brighter future. and because of this budget, because of the ability to add i