i'm not sure how many of you have experience hiring through the city but this was a new program and i have are a person to conspiracy and do the inspections i had all my staff. so we spent about 95 thousand 2 hundred plus up front on staff that was like half of a person and hiring of another half of year we brought in $68,000 and in 2012, we haven't hired everyone but we spent 93 61 but got in 76 and identified the locations is with po s we've

spent 4 hundred and 59 thousand now, it's stabilizing we have 4 hundred almost $400,000 in expenditures in 326 a that's what we brought in so we're still operating if you take it all in the last four years we're still 2 hundred and 5 thousand dollars in the red that's the general fund contributions >> so what have we done the first year 2012 we inspected 3 hundred plus locations and the evidence only 56 of them. because not all 3 hundred have po s we eliminated some of them and we found of the 56, 24 had

over charges and in 2013 we inspected 21 locates and only tested 1579 i leementsd 6 hundred locations because they didn't have po s and had 67 percent over charges. so in 2013-2014 this is all fiscal year july one through june 30th we inspected 5143 locations only a few kwflgd almost 4 thousand we eliminated off the database they don't have to register and one hundred plus were over charging it's and it's

10 percent plus we issued notices of violations. that's a brief summary there's a lot more technical information if you have more questions but i know that regina sent me a list of questions you might have i can answer those for i. i don't know if you have the list in front of you i can address >> well, let's take the commissioners questions commissioner white. >> just to refresher my memory is the city and county of san francisco required to do the information. >> we're required to enforce the laws and one of the laws the most recent one that regina passed out in responding no one can charge more than the price. >> we can take the approach

we're going to respond to complaints rather than have a preempt enforcement it makes it illegal to overcharge but not illegal to do the testing; is that correct. >> the statute allows the board of supervisors to allow the adaptation of fees, however, i have to - >> this was so then backing up we the bvrz did, in fact, dick your department to go out and do the preempt. >> to get - >> to get back off would require the board of supervisors to have a new perspective initiative to say we're not going to do preempt testing

we'll go out with the complaints and we'll go out and respond to those complaints that's the practical thing we're going to get into why this is completely impracticality in the new age because the term po s device has changed. and the original reason for this was because supermarkets there's a multitude of prauts products did i really get charged the right price for this stuff my history of scanners both that it was labor saving device that the labor objected but now all of a sudden the contribution was

happening and you just charged me over and you didn't figured out until you got home. so do a blanket and try to go out and first of all, put the financial burden on small businesses that are in cases charging for a single. item and oh, i'm paying $99 for this shirt or blouse and everyone is aware there's only one or two items but no opportunity for miss charging. i think there are large volume transactions where there's a possibility continuously or uncontinuously for pricing to be out of sync with the advertised prices we can look at those but

you've shown this is a losing proposition it's costing more to do what little you're doing with the little staff then getting the revenue for and to scale that that would be outrageous so a waste of time and money we've got a bunch of other questions it's clear to me that we got this is another case where this is legislation that the completely outdated at this point i frankly ill advertised. i'd like to point out consequentially this morning on the issue which of one person to person transaction i've received a complaint many morning on the database. a bag i will shop sally summary labeled it 259 the person was

charged 279 and the person said why are you charging me 26 more and he said that's what the computer said and he said, "well, it's 279 in the computer he refused to refund the money. a complaint was sent and the inspector sent r visited the proprietary and the proprietor took the sign down and contacted the person and refunded the money >> great - >> in light not really large stores like safeway it's across the board. >> that's fine i think that $0.20 is i think that we need to

deal with the complaints $0.20 does not in my way validate starting up the city to cost the city potentially million dollars dollars and create an exception of special circumstances all the devices in the world it's noted scare device but a phone can scan my bar code and look at that information on a database there ever cell becomes a potential po s so when people are out in the field are the for purposes rep a device so a it's completely impractical to father i am regulating, and, secondly, if i have to register and pay

for those you can shut down all the fairs in san francisco no one is going to do it your fair in, you know, in north beach you do it forgot about it the cost of a booth authorizing our square disses it's absorb so we need to figure out how to find a supervisor to sponsor legislation to eliminate this that's my take. >> i have those on my phone. >> yeah. you owe him 89 dollars. >> i understand that the 20 cents may not be appear to be significant. however, the 20 cents or the 299 or whatever it is is not permissible to be able to charge anyone >> correct we need to figure out another way to enforce the

law without awaited pencil lou gehrig's disease every business in san francisco and assuming that everyone has got this problem and assuming that, you know, you could have we could have sent out a notification or e-mailed did proprietor i'm going out to the bag i will shop for the $0.20 it's going to cost you 50 bucks or next time $100 you can figure out it isn't about dispatching a lot of people to chase down $0.20 there could have been 50 people in line and the clerk may not not been able to look at this i

don't want to get into the argument of the $0.20 today but clearly this is going to result in a lot of problems. we're going to find out someone to roll this and figure out this so your life is not miserable with you shouldn't be hooifg people to do that >> commissioner ortiz-cartagena. i have two questions that commissioner dwight spoke about you said eliminated business from a number of locations inspected or tested you mean eliminate because they don't exist or meet the po s >> in other words, they sent in an application and listed the p association s and we didn't find a po s you don't have to pay us

any money you don't qualify for the program. >> there were businesses that were xevend the application process. >> right so we told them. >> you don't need to pay register fees. >> okay. my second questions any co- commissioner spoke packly is there any correlation to the percentage or what the number of over charges you have to have one hundred and 77 fiscal year jr. 2013-2014 but what does that equate to as cash. >> you median money wise. >> yeah. one hundred and 77 times $0.20 and the closest i can help you there is only the

october 24th letter where s it talks about the value of the retail sales effected if you can go to the second page of that letter it talks about the potential savings is $3.57 million. and in sorry in 2009 division conducted another survey and i probably should have sent you this one but i can read it to you but it's like so much information >> just a quick number we don't

- just a quick estimate. >> an aggregate over charge i'm reading the certain result that 210 thousand plus items were purchased 3 percent were over charged and it was 0.4 percentage of the 9 hundred plus stores effected 19 had no over charges and based on only the correct prices 98 stores had over charges of less than 2 percent and 2324 stores are over charged of two to four percent and 45 stores had over charges of 4 percent of the total. this survey the buyers were

charged one hundred and 43 dollars less than the correct total when over charges and under charges were included. and then it goes further on to say table results the manuel scanned bar codes counties with ordinances should not during the survey 25.47 percent of the shopped locations were recorded to be using non-awkward direct price entries. the non awkward locations were somewhat below the locations of using the automatic. the survey determined both

counties with price version po s programs had an error rate of less than those who don't have the po s programs i'll send that to you for your documentation it's part of my presentation >> commissioner. >> thank you for your presentation i don't want to go over the technical difficulties it is - commissioner white presented. i want to go over the men of the system in place and what i have presented, you know, you've present a letter talking about $3.5 million of potential savings in this and as a result of that letter school district to this letter the register plan

came about and i've looked at our numbers and implementation costs that you have, you know, cost you've presented to us. and in those - in our expenditures and revenues you talked about the revenues of what you got in registration fees but importing and exporting nothing recommended to the savings that the consumers have benefited from in tcity and county so maybe you have that study because of your efforts in 4 years you've kind of saved the consumer and the city and county

of san francisco and the expenditures and efforts have brought down from 2 hundred and 24 thousand businesses to 2 thousand businesses this is a big undertaking i'm wondering from the business point of view each of them have a point of sales also the fact that the state didn't require the registration percent it talked about the enforcement by not registration the proof is one county doesn't have a registration system. where's the benefit in all those four years you've been implementing this ordinance how much do you think the consumer weighing also the burden your placing on biz the consumer

benefits in dollars and sents cents i'm curious to find out if the is $2.5 million figure is something we should rely on to justify the burdens on the small business. i'm curious to hear our app you live it >> commissioner that is really difficult i don't have that information or a model how to base it. i could try to photo how it benefits the city and county of san francisco i'm not sure i could do it tomorrow or next month but the implementation was certainly the most difficult here in the city in the first two years.

i'm sure you're aware of the data was not there that provided did information that we could lessen our costs to be able to go out and get this program implemented the data was not there. we pretty much manuel deleted those businesses from the tax collectors to answer your question i don't have any idea how to get that information >> my final comment i find important is education. we put a lot of emphasis on licensing and i don't have how much emphasis on the education in educating the businesses for the reason to bring down the

implementation of the >> law. i'm presenting this to you should you not put-down more this was on education and relieve the businesses that rely from the burden of licensing and what is our opinion about that and what has our vice president done educating the small business in the city and county of san francisco. i'm so glad you asked that question i hadn't thought about it to bring it up to you. but any staff has directed each and every one from the day i arrived in 2008 that when we go out it's not with the philosophy that wear an enforcement officer i've go on gone to staff meeting

i've explained you'll go out and give them a card and explain who you are you'll explain why you're there, what you're going to do, and how you're going to help them achieve compliance if there's going it be an issue. threat each consumer like that and that is what my staff don't see to educate every single day another every single location that we go to and every single call we've receive on the phone. every time we receive a cail to cat and explain and to try to help them understand what it say they have to comply with the registration or law or if it's

not something we do we get a lot of calls that are we direct to the correct person if you don't know who it is you'll call and find the right person. and that's what my staff is trained to do >> thank you. that's the only way to educate them unless we go on citywide tv with measures and programming. >> commissioner dwight >> i'm assuming your group does other things related to public health; is that correct. >> we're strictly with weighs and measures. >> and as the weights and measures group you have other staff besides.

>> yes. >> so my question i guess what is you're feeling about this particular thing that you've been asked to do is this something you embrace and glad to see this task put on your plate or rather not have to be proactively enforce the way your directed to do. >> i believe the data is correct and benefit to the businesses it under charges. >> yeah. >> i accept the responsibility for implementing the program. >> uh-huh. >> i believe if it's going to be a benefit i'll do it and i accept that i have other device and gas petroleums and scales

and weigh masters and have the wealthy masters it treat all the grod gold buyers and balance the activity but because this proposal in 2010 was adapt and you had to implement the program. >> right. >> i directed resources to it. >> i'm assuming the resources you have to direct are the distraction from the other activities that you have to do this is. >> - >> the less energy you spend on wealthy and goals for example, this is additional stuff and you're under staffed; is that correct. >> currently there is only so many hours. >> so for some reason this disappeared as a responsibility that will be fine you could

allocate additional resources to the things that are currently on your - >> (laughter). >> that's not going on our document. >> i'm not asking you to tell me to get rid of this (laughter). >> no, i'm not in disagreement with you. >> i have to go do this. >> commissioner riley. >> i have a question on the $3.7 million saving for the consumer on the second page of the letter you use the estimate name sales and rate to come up with the $3.75 million how is that going to benefit the consumer are you required the stores that in violation of over charge to refund the money to

the consumer or would do we do with the $3.75 million. >> it's a broad figure of benefit to the consumer not necessarily to the individuals. >> that's to be avoided. if we had perfect enforcement that is the amount of money that is saved for the consumers this is not a measure to be rebaited just trying to put a number at what is the consumer downsize here. this is not a net of under charges this is a approximate of over charges >> the under charges are there. >> oh, they are. >> the under charges and you get a map. >> you have to look at this to the grow number of transactions

and the number of dollars spent in the city and county of san francisco this is not only san francisco consumers but all consumers there's million dollars of out of town tourt for one thing. this is a very small number 3 about the $75 million is a lot of money if you are buying a condominium but not a lot in the transaction of the consumer dollars in the city and county of san francisco >> if you're using this number as a benefit you're not giving the money back to the consumer this is something we say if we do this and nobody is in violation then this is the net result but actually, the $3.75 million we're not asking the store to reimburse the commentator their nonexistent.

>> well, maybe if i in relationship to your question. and this is probably not a popular subject but if the highway patrol doesn't have a speed limit of 55 or 65 miles per hour and didn't enforce the speed limit how many more car crashes would we have if they're not enforcing the stop sign or other traffic laws so what's the net benefit there to the community to the population as a whole? and that's preempt active. the highway patrol is ticketing