that have either avoided this or minimized it. and any fee should strictly pay for essential, you know, inspection if, in fact, we need inspection. >> commissioner riley? >> yes, thank you. do you have a clear definition of point of sale? because when we were [speaker not understood] legislation four years ago, we were thinking about safeway and key stores, we weren't thinking about small mom and pop grocery stores. he >> well, from what i got was the -- i think its was the second or third slide that point of sale stations, which is the point of sale systems, shall include a [speaker not understood] that uses universal product code scanner, price look-up codes r, or any other system that relies on retrieval

of of electronically stored information to complete a transaction ~ and that's where it gets broad, i guess, on that last point because it just -- yeah, what is that looking at the electronically stored information. but that's the definition it gives at the state level and the local level. so, that's what we have to work with. >> it doesn't include restaurants, too, right? >> yeah. >> because now when you go to restaurant, they key in whatever you order and [speaker not understood], and at the end when you check out and they punch the total, so, that would include all the small restaurants as well. >> even square, i guess the square technology of -- you have to have look-up the price on your ipad and they have a connector and they swipe your credit card. so, i don't know if they can go around -- i'm sure they

wouldn't want to go around inspecting each individual person that has an ipad using square technology. so, it makes it a little bit broad, a little bit tough to figure out everything that they are trying to include in the definition. >> and maybe that's one thing we should look at for the future. >> commissioner dwight? >> well, i mean, i suppose you could just say, well, i'm not using it as a point of sale device. i'm using it it as an inventory control device because that same scanner is used in the warehouse or on the shelf when i do my inventory, i'm going to go around and scan everything. i am not involved in a retail transaction. i'm merely involved in the, in the act of counting and accounting for inventory. and, so, if my quote-unquote point of sale activity is strictly to track inventory, you know, or is for purposes of managing inventory and incidentally i get a total of

the transaction, you know, maybe there is a work around there of some kind. i just -- it's mind boggling that point of sale technology -- that the use of technology to make your business more efficient like this and control your inventory is subject to a tax. >> i would agree. my comment, i had a question for you because i agree with commissioner dwight as well. i think it can be very difficult. and commissioner riley made a good point about defining what that component is. with that being said, a pos system being inspected now in san francisco? i know the weight machines, we're talking pos as well right now? and to commissioner tour-sarkissian's point, some of them don't even know.

is that being caught on a personal and secure taxes as far as the equipment? is that completely separate or is that, again, another tax? or registration fee, do we know? >> so, the department of public health under the weights and measures is the one that licenses the pos system. it doesn't impact them. >> so, when the commission first heard this, and i think -- and i think commissioner dwight -- commissioner dooley was on the commission at the time. when we first heard it, the idea was i think they're first going to roll it out to the larger businesses and then start rolling it out to the smaller business he. and, so, i'm not sure if i'm answering your question. if i'm not fully answering it, let me know. >> if you have a retail license, that's going to be a

trigger and if you're a restaurant that's going to be a trigger because they know eureffect i havely a food -- >> and i think -- and they're getting information. so, if you purchase a pos system or maybe inventory system then those -- they can get the names of the businesses that are using those inventory systems. i think that's how they find out for some, you know -- >> i don't know how they'd find out. you can buy a pos system from amazon. there's no government registration -- [multiple voices] >> in terms of we can ask the department of public health. i mean, i've given them those list of questions to present to you but reiterated. so, but again, it's been in this last year that we've been contacted by small businesses that give you the example of the hair salon. >> right. >> she use he a certain pos system and, so, i think that's common in that industry. she has 10 products. you know, there is not a high use of inventory for her to

keep track of and for her customers to keep track of in terms of what the price of the goods are. we're contacted by a couple retailers in hayes valley. so, you know, it's a question of we're looking at -- as a relatively, i'd say a relatively new regulation. so, it is completely separate from your unsecured property tax. >> okay, all right, thank you. any other commissioners? questions? comments? thank you, [speaker not understood]. for your presentation, well done. >> thanks. >> thank you. >> is there any public comment? seeing none, commissioner? next item. >> next item, commissioners, is the director's report and in your packet is the director's

report. there is not anything new to report in terms of city programs, initiatives. i would like to let you know that the small business leadership group that meets quarterly with the mayor has been meeting with the contract monitoring division and the office of contract administration, and today we met -- i joined them meeting with ben rosenfield and naomi kelly to take a look at ways to increase and improve local purchasing with small businesses. and i do know that there is -- i think supervisor david chiu is looking at doing some revisions to the 14 b ordinance and also the mayor and naomi kelly reported back a couple months ago, have done -- have

conducted some outreach workshops to lbes to get their recommendations on ways of which to improve and make it easier for lbes, sbes to do business with the city. the formula retail, so, the planning heard both of the items at the thursday, july 17th meeting. the planning commission is going to continue to support the planning department's recommendations around the number of entities that will trigger formula retail. and at this point i think there will be two kind of parallel pieces of legislation for the board of supervisors, then, to finally bring together. the planning department formally introduced their ordinance last week and, so, technically this should come back before the commission and

i will, you know, let me know if you'd like to hear it again. if you don't, you don't have to. but that's to decide in the next week or two. and then i have a list of recently introduced legislation that should be coming before you at our next commission meeting and then a status of different pieces of legislation that was heard by the commission, though the commission did not hear the interim zoning controls around landmark buildings and pdr. but since this was the topic thats was brought up as a matter of concern, just to let you know that that item, the mayor has signed that into law last week, i believe. and then lastly, i just want to report that we now have our 10th -- our second 10th staff member [speaker not understood], and she started last tuesday.

so, as of today we have now opened the office back to full service counter hours monday through friday, 8:00 to 5:00. and there's no updates on any particular workshops or presentation that staff is conducting. with that, that's it for now. >> thank you, regina. any questions for regina? [speaker not understood]. next item. >> next item is the president's report, but we do not have president adams here. so, that will continue on to the next meeting. item number 7 is the vice president's report. >> nothing to report at this time. >> item number 8, commissioners reports. >> commissioners? >> [speaker not understood]. >> okay, next item. >> item number 9, general public comment.

this allows members of the public to comment generally on all matters within the commission's purview, and suggest new agenda items for the commission's future consideration. >> is there any member of the public that would like to make a general comment? seeing none. >> we are now on item number 10, new business. this allows commissioners to introduce new agenda items for future consideration by the commission. >> commissioner dooley. >> i'd like to bring up a situation at the san francisco flower market. as you know, i am a florist and there is concern among the tenants of the flower market and the florist community in terms of ensuring that there would be no interruption of this business which is not only a $90 million a year pdr, but that also doesn't include the at least 500 small businesses that are florists in this town that rely on an uninterrupted flow of goods and services in

someplace that can be reached conveniently. so, both vendors and florists have asked me to bring this to our attention in terms of working with the -- with them to make sure that there are a number of possibilities that could come up, relocating people all to one area, is the type of industry that needs to have everyone in the same place. they are concerned about rents being raised once the new office building is in. they're concerned about lack of parking. they're concerned about construction interruptions. and, so, you know, this is a major small business industry and i feel very strongly that we need to get together with the tenants and florists to work out what the possible mitigationses are going to be and make sure that this goes

forward in a way that does not impact this major pdr business in san francisco. we're the second-largest flower market in california and one of the largest in the united states. so, it's not a small thing to be messing with these people. >> what is the plan for the property? >> it has been sold. the first half -- the flower market has two market street, one traditionally known as the italian market which is in the front, and then in the back there is the traditional japanese market. the italian market has been sold to a developer to build offices. and this is -- this is a lot of vendors that are inside. and even though they're making comments about making sure that it won't get rid of the flower market -- as i say, this is an industry that is open every day that cannot afford interruptions to their

industry. and, you know, as a major employer of middle class people in this town, they are very concerned because obviously no one was notified. none of the tenants -- >> it opens early, right? that represents a potential conflict where this industry meets residential and office -- well, is a residential development going to go in, mixed use? >> i don't know if it's mixed use or not. but as it is, for example, the parking area for the flower market is extremely limited and is very hard even during holidays to get people in and out. so, basically we just need to look at working with -- with everyone before the building starts. >> is it zoned pdr? >> it is pdr. >> how many tenants -- >> there are 100 tenants in the one that's been sold. then you can say that

represents each business has anywhere from 2 to 20 employees. these are all fairly well paid middle class positions. apparently the japanese market is teetering on whether they will be sold. the last part of the market is zoned by the sabatinis and they already said they want to sell their property and build an office building. so, we're looking at hundreds and hundreds of jobs. and not only that, as i say, an industry where i know myself as a florist, we go there every day. we don't just go there at 2 o'clock in the morning. it's the type of on-demand business that you go when you need something. and, you know, there's a lot of concerns. this is an industry we do not want to see leaving san francisco. >> so, maybe we can -- is there some -- is there someone who would be informed enough to come present to us about what

the -- what's happening there and what the likely scenarios are? >> right now not yet, but i just wanted to bring this to the attention, that everyone's listening, and it's all drifting. the deal with the sale of the italian -- the italian market apparently will close by the end of the year. but what we're looking for is to get a jump on knowing what the accommodations -- because i mean, if they're going to be building a major building where there is a one-story building right now, this is going to create a huge disruptions and displacement. >> right, but rather than speculate on this here because we can do this all day, i think there is an action item to deliver to staff, and that is to see if we can't identify a person or persons who have some, you know, maybe it's a couple of difficult reerthctionv people. someone from planning, someone from even the present landlords or the new landlords so that we can have a presentation as to

what the proposals are. ~ different any proposal would have to go through planning. >> right. >> so, i think we -- if we can get out ahead of -- letting planning know that we have another situation coming, not unlike showplace square situation where we have an area that is zoned pdr that we're attempting to preserve the pdr uses there, and understand what the potential threats to that might be and whether there -- you know, what the potential outcomes are. so. >> well, i think we should be in contact with the buyer, the developer. >> okay. >> let's put it to staff to find out. [multiple voices] >> there are a number of people -- >> ask for a presentation. >> just one last question. has there been any communication with the supervisor's office at all? >> no. >> okay. >> yeah, let's let the supervisor know as well. that's who -- >> kim. >> that's in district 6?

okay. >> brannan and sixth. >> yeah. >> commissioner dwight. >> yes, i have some new business i'd like to propose. i would like to propose that we schedule a presentation from the san francisco super bowl 50 host committee at the chamber of commerce. we recently heard from keith bruce who is the ceo of that committee, and they are establishing a formal outreach for small business to try and identify business opportunities for small and local businesses, the two being not necessarily the same. and, so, they have a presentation. i think we should reach out to them and ask them to come -- may or may not be keith bruce, but someone from his office, and hopefully we can get -- do a little bit better than we did with the america's cup on this one. so, it's a big event and it's not too far away. >> all right. [speaker not understood].

>> any other new business? >> also we need contact information. >> i think you already did. >> seeing none, next item. >> all right, item number 11 is adjournment. do we have -- >> move to adjourn. >> second. >> and it is 3:25. the meeting is adjourned. [adjourned]

>> good afternoon, everybody, i would like to call this meeting of the san francisco public utility's commission, to order at 1:38, would you call the roll. >> president courtney n >> here. >> vietor. >> here. >> and moran. >> here. >> torres. >> here. >> and commissioner caen is excused. >> we would like to approve. >> moved. >> any public comment? >> seeing no public comment, i will call a roll, signify by saying aye. if there is no objections from the colleagues, i will call

item number eight out of order and i am going to hang it over to the general manager, kelley. >> and thank you very much. and and i just wanted to provide this afternoon to talk to you about proposed legislation, that supervisor weiner is presenting. from the conversations that we have been having about the financial situation, and we have been as we presented to the commission and the mayor's office and to the board, at that time, we had some consider concerns about our financial situation, and a couple of things that we were highlighting was that one, we were concerned about general fund departments and raising the general fund rates, and two

we were talking about, mount tunnel and that was a major concern, that impacted our ability, or our financial situation. and we rec, which is a regulatory issues and then, the other final one is looking for new customer and also, maximizing and so we talked about those challenge and we wanted to have supervisor weiner come up to talk about the legislation, that he is currently proposing. thank you for joining us today. >> thank you. >> thank you commissioners for giving me the brief opportunity to talk about this today and this legislation, and i want to thank general manager, and puc staff for, having been really helpful in making sure that we, know the facts and we are

appreciative to that. and so, to briefly discuss with you the legislation, and that i, or that i along with supervisor breed that we together, are sponsoring at the board of supervisors, to help the puc address, its lack of retail customers. and resulting lack of efficient resources to maintain the infrastructure of the power of enterprise including the street lights and as i know, kelley you have been discussing this quite a bit in terms of these massive unmet, capitol needs and since i have been on the board, we have done a lot of hammering around it. and i thought that it was important to finally take a step to give this agency to give you, the ability to actually starts addressing that and so that is what this legislation is about. and as you know, commissioners for nearly a century, the puc

has provided clean, hydroelectric power to the city departments from the airport to the muni and the san francisco general hospital and the other very critical agencies, in our city. and the energy is 100 percent greenhouse gas, free, and it is clean energy. and there are many benefits to having this public power clean hydroelectric, enterprise. and including local control, and lower rates, transparency, etc.. the power enterprise as you know has massive unmet capitol needs. we know there has been a lot of pressed around the mountain tunnel and there are other infrastructure needs as well and i know

of refusal, to be the power provider to the new development in san francisco. and it did not require the puc, to become the power of the provider under the charter. the puc will obtain that discretion and i know that there is a lot of discussion about what projects that they may believe or appropriate or less appropriate, and our less

beneficial to be the provider for and the puc will set up the standards and make those determinations. but with this legislation, will provide the agency with the space, and with the ability to decide which projects warrant the agency stepping in, as the power provider. and i know that particularly, some of the larger development projects, could easily fall, into that category, or it would make a lot of sense. the currently, as you know, excess hydroelectric power, generated at hetch, hetchy gets sold on the wholesale market at one quarter of the price that would be charged to a retail customer. so if we give the agency the ability to have more retail customer and there will be more revenue from the power and that

can be reenvested in the agency's infrastructure including street lights. we are continuing the discussion with the staff with the particular of the language in the legislation and we have an open dialogue, and we want to make sure that the legislation is passed in the right form. and i know that the staff has proposed a few amendments, some of which were open to and others were not quite there and i am sure that we will continue to talk and so with that, i am happy to answer any questions. and i appreciate the time. >> commissioners? >> yes, mr. torres? >> i just want to say thank you for your leadership and you are my supervisor, and i am your boss and so i vote for you. >> thank you. >> and you have been doing an incredible job and i think that this effort that you are trying to incorporate, i am grateful that you have come to the commission to share your thoughts, because i think that input is always so good for

building con census around an important issue. >> thank you. >> vietor. >> thank you, for helping to address the shortfalls that we have been struggling for a long time and it is a long way. and i just have a couple of smallish questions. and the development would it be maybe it is sort of the staff, but also what you envisioned, you said any and all development or do you have a certain size and scale is it first right of refusal for anything that comes on-line. >> i can that ultimately it will be a decision for the agency and you will be able to set the standards and in the legislation we talk about any project that is ten units or greater. and i understand from the staff that the agency is probably a lot less interested in the small projects, which have, you know, in terms of the cost benefit, of what you have to do

to become the power, but it may not be worth it, but we know that the agency will, it appears be the power provider for hunter's point, and candle stick and for treasure island, and you know, i think that pier 70 coming on-line from the mission bay development and there are other developments that use the large projects and as i understand it, from the staff, is what would be probably the most, interesting, to the agency, and i would love to see the agency be the power provider for the cathedral hill hospital for the park merced and i don't know if it is too late for that, but as the larger projects are probably the ones that make the most sense, but i will let him address that. >> so one of the things that i have been in conversations with supervisor weiner's office, is that we wanted to make sure that we based on our strategic plan identifying customers we feel best suit our needs.

we want to maximize our hetchy power, because we have excess hetchy power that we are actually selling into the grid, which if we have customers for, and so we have been very successful in pursuing the customers that we have been pursuing and i think that we need to be a little more active in pursuing those customer and so i just wanted to make sure that the legislation is clear that we want to pursue the customers that we feel are appropriate for us to pursue, and not to require us to pursue every little customer and that is the dialogue that we are having. so, we are going to propose, some changes to the legislation, to kind of hopefully be consistent to the direction ha we would like to go as a power provider. and so, those are the comments that we are probably going to move, and give you some copies. we are