federal money that comes in after year one. >> the leasing costs are annual the way that the value works is they set their fair market value every year so for this year we know there fair market value rent is we can go up every year hud resigns the value around 2 percent and is that accurate an sro but those sro's have a bathroom in he each unit and other amenities but for an average in chinatown or the tenderloin or the mission what is an average sro rent. >> supervisor as i think is also noted in the report the range we're seeing in our older

master leases that have been before the board have 4 hundred to $700 per unit hover those are often based on deals that were struck as the year 2000 and the renewals were not a reset to the ami reflatter so if we went out to the marketplace today with a sro facility and had to raise it the seven hundred number maybe the down side it would be higher the board knows the dynamic in the marketplace whether sro or the r m b amenities that's a dynamic that's changing the sro market and the numbers even though this is a master lease

not to value. >> just a layperson could you define what an sro is if it has a bathroom is still can be a single room occupancy 50 that's a defines between a studio and what is a amenity being the restroom and enough power for a micro wave that's the difference between a studio those numbers as i think are in the report are over $2,000 per month per unit that's a big gap between where we're another we're in the reasonable place given the unique nature of the facility and the capital renewal gives us a facility and reduction in what we expect to see in maintenance and repair. >> so ms. freed of the veteran

population i know for people that live in sro's there's a large number that are seniors with disabled among the veteran homeless population are those numbers higher curious out of the veteran homeless population. >> the colleagues from the va can speak to that but, yes we find because of the population we're looking for the folks with acute needs they all have a disabled whether mental or physical this building has two elevators. >> colleagues www.drnpa.org. >> on page 16 we note that including the rents and additional costs ftsdz utilities

the total cost to the city are $27 million plus that's over the 10 year term of the master lease that's shown in table 3 on page 16 of our report on page 17 we report that the proposed resolution states that quote the master lease rate for the property has been determined no greater than the fair market value and the first year rent of 1 thousand plus per unit or one million dollars $82,000 plus was based on negotiations between the real estate division and the landlord the for all for the property was difficult to evaluate towards the bottom of page 17 as supervisor mar mentioned the proposed rent 6 is one thousand

$190 for sro unit the most in the first year which is $399.54 percent more than the unit per month master lease between dph and the landlord hotel at 7:30 ellis street they can't recommend approval at this time because the board of supervisors nor the budget analyst has been given specific time to evaluate the terms, however, in the board of supervisors didn't approve the master lease the city will losses many units and hud funding dollars.

>> okay. thank you, mr. rose and to our team for that report colleagues any questions ms. freed to clarify i know this is a short timeframe it is not what we want to see but understand this is a time pressure with the federal dollars and my understanding they have actually pulled their support for projects already based on the timelines the threat is clear we will loss our funding. >> hud released a selection we submitted on application for the project and were awarded one of the conditions is being in contract with the housing authority by october 6th they pulled the award for another

county that was awarded because they indicated they were not going to be finished and they've consistently followed up to make sure we're going to meet that deadline. >> thank you very much why not move on opium i have a number of speaker cards if you will line up on the far side of the chamber. (calling names) i'll call the rest anybody else if i didn't call line up on the far wall. >> good afternoon, members of the board of supervisors i'm honored to be here in the room

with fellow vets that's an how shall in itself if you know what i mean i almost didn't come i thought that would be on a automatic goal but if it sdp isn't i don't see why this makes sense i know the budget analyst and other people, of course, need the money first of all, the actual cost of a market rate is not near the numbers if you walk the street to procure it we're not - we need the building so bad it gives the vet a chance to let the vet be walking around the it neighborhood a lot of us vets didn't get our fight until we came back to the tenderloin we fight for our lives and sobering it and a quality of

life this will give us a decent quality of life this is a fantastic program a lot of people know that in the ages 60 to 70 most are african-american this is the year of the draftees you you know the government went in and skirted out the inner cities detroit and drafted all the people of color we're in our 60s please consider giving us that place this means so much to us veterans thank you your. >> thank you. next speaker, please. >> good afternoon board of directors i'm jamie the united states navy veteran this housing is to crucial to developers in this city the city is the greatest city in the world i've

made a lot of bad choices 14 years ago i lived in a cardboard box and became an addict and prerequisite if it wasn't for the va jumping u jumping in i wouldn't be here today, i'm in the transitional housing thanks to the city of san francisco i was able to get into the rehab centers i'm in transitional heirs it's time i leave my transitional housing i have a hud voucher and it's harvard to find housing this heirs that the city has backed with the va gives me and other conveniences like me a chance to become even a better if he were in society that's you'll we want to be

accepted back into society be part of society i live in the t l i can't go out because this end of the block there's a shooting every week and there's a shooting on the other block this i know that the funding is hard and what have you but the pay back for the city on this is to tremendous to bring those that went out and fought four their country and most of us did that on our own we came back it is a greats thing to give back to the people he let us be part of society thank you. >> thank you. next speaker, please. >> i wanted to thank everybody for inviting all the vets today, i know we've acknowledged the vets but could say vets raise their hands and in particular men and women

i'm tim a vietnam veteran i've been with the va about 15 years now, now the last 5 years i've been working for the veterans housing program i'm really happy to be talking here today, we're here to ask you as well as president obama to end veterans homeless across the country we made great strides in the city we have a lot more to do affordable housing is on our agenda i know you all know there is not much affordable housing out there we're here we go 80 here to ask for your assistance in the kearny housing practice writing project to provide housing and partner with us as the city should i think this city also leads the way in e-cigarette protons homeless are not on

veterans about - megan mentioned the cities we've identified over 5 hundred veterans that are curling in need of housing we need the project vast program is working everyday working with landlord we spend more time looking for housing then we do helping veterans settle into their houses and turn their lives around i'd like to say i know we have limited time i'm going to finish up by saying the veterans put their lives and plans on hold and their families supported them going forward today, i stand before you the va is asking you to raleigh behind you

recall president lincoln said to care for him you having shall have born the battle for his widow and the government has an obligation to those who entered into war and served their country. >> thank you very much. >> thank you. next speaker, please. >> pull the microphone down. >> i'm not at all but i'm an american veteran i spent a lot of years in and out of prison because of my homeless as a matter of fact i did thirty years in britain i prison because of being a drug annexed definition i slept on the street the last two months april 1st i went into the safe haven in the tenderloin and been there it's

only up to 6 months in february my time will be up i told my story to the chronicle and was in yesterday's newspaper i was on the first page supervisors we need this place the veterans of any and/or post veteran and/or veterans you overlooked we were forgotten and treated badly but veterans that are coming home today are being traded like heros and i see some of the people that we fought in the 60s living in houses today and sleeping on the sidewalk please get this building for us. >> thank you very much.

>> thank you. next speaker, please. >> hi, i'm app deposit picketing i'm an u.s. veteran i used to be on the streets but now in a house and i made a lot of changes sins i got in when i was 0 out in the street i revolted myself and walking around and walking around no more to go you know so having a place to go is ground level great i'm giving back they're talking about giving back but i am you know being me becoming a good citizen and most veterans are but without a home you know there's a lot of anger and so you get

what you put in you know and i think that will be great for anybody to have a home you know or a place to live you know but with you w we talking about veterans that risked their lives to protect you know and so i'm just here to support this because you know it was done for me and so i'm glad to be here to support it that's it. >> thank you. >> thank you. next speaker, please. >> hello. thank you for having us here i'm daryl rogers i'm a native san franciscan i'm also a veteran i was also homeless in

this town and one of the things that struck b me about come back to san francisco was the lack of care if you don't care enough for veterans today then authorities bigger problem you're going to face later is what are we're going to do about them until we do something about the homeless vet then the problem that ms. city and counties around the nation there is no one that the veterans feel like they can go to they go to the streets and end up in prisons and jails we can stop it we can do it today by offering the veterans a place to stay i wouldn't be able to live in the city i was born in without the hud system i couldn't afford it i plead with you taking into consideration that by the went

because you asked now that we've returned help us stay in the place we you. >> thank you very much. >> thank you. next speaker, please. >> good afternoon. i'm a hud supervisor with the community brilliant corners i work dribble with veterans and supervisor a team of social workers we need this project the housing market is horrendous the people that have working but can't find homes in san francisco we asking homeless conveniences to bringism for people that can change everybody in a matter of minutes and those veterans can't find homes i've seen the transformation across the veterans that have found homes

it's been wonderful and await this project i don't see what other solutions sleeping in the street and in shelter i ask you to please consider this property thank you. >> thank you. >> thank you. next speaker, please. >> i'm eric clark a disabled veteran from the panama in the gulf war and/or and a graduate of uc berkley and in chinese i was a twitter slash introrpg from 1998 and the national graduate if 94 to 96 i've experienced i'm preservation housed i was fortunate to have obtained one of the very first vouchers when

it was start up in 2008, and 9 my number was c a-2001 and at that time the san francisco housing authority had a cap of $457 for a one bedroom apartment for $457 so having experienced homeless i know at least seven hundred and 50 maybe 9 hundred homeowners maybe closer to 75 hundred homeless veterans also the difference this project is like a ripple in the pond you through a pebble out and i mean from that, we, grow this is just a start and i'd

like to see f it grow and without the va funding they're approved every year thank you. >> thank you very much. >> thank you. next speaker, please. >> hi, i'm actually, the director for the residential program so the veterans are vietnam and/or veterans they have protecting and disabled and looking for housing has been a huge challenge the veterans have criminal background and bad credit to go out in our housing market is insurmountable and if they're dealing with physical or mental issues this will house one hundred and thirty veterans and get them off the street not only from a fiscal but a human prospective seeing someone to get a key in their hand and

start crying that's a big deal. >> thank you very much be opinionate on this item seeing none, public comment is closed colleagues if i want to add a few things first of all, thank you for everyone that came out especially even though veterans i want to thank amanda for all the work this is a project a long time in the workers or works and from everyone joyce from h s f a we don't want to see things come to us quicken at the last minute i understand why we had an budget analyst report the way it was but that was on extraordinarily opportunity we continually need to do more for our homeless veterans we have an

opportunity for a city prospective we have housing in partnership with our va with the ongoing support of support services this is a win-win here and i believe we should very much support it thank you all. >> supervisor mar i wanted to thank the staff for the presentations and the transformations from the hotel to a place that will house people is going to be such a proud moment for the city but thank you for everyone for testifying it's opened any easy to the tremendous need that's out there and the sacrifice i hope we had more time but the risk of losing the housing unit is a huge one i'm going to be

supportive as well, i was going to ask a request about the proposed management you have to select a property manager what's the friendly property management companies in the city what is the capacity to run one hundred and 36 unit building out of curiosity. >> good afternoon. i'm scott with the housing and homeless division the humane u human division it is a fee that's out seeking property management the responsibility of property management is similar to the institutions and in the full master program we're looking for agencies that shows 3 years of experience not only the day to day management of the building the goal not only to provide

tenancies but to support those vets that will be with the partnership with the va the va has put out requests for a proposal request related to supportive services and our property management entity will have a memorandum of understanding to make sure that on site cooperations fully there we have entities in the city that has experience with the prompts and veterans that's part of our procurement it is out now and due october of. >> supervisor avalos. >> thank you for the community members putting this work together there's a concerted effort to make it happen i appreciate the presentation

thank you it was very well done and i want to recognize the vets that came and told their stories i appreciate our presence and i was going to support this project but your testimony was helpful i was glad to hear our stories one concern i have despite going forward with this project is that i'm concerned we're into a new era of higher costs with master lazy know it is what it is called for but a concern that will impact our enhance of the project i'll be supportive today thanks again. >> okay. we have this item before us can i have a motion to send it forward. >> supervisor mar and supervisor avalos we'll take that without objection. >> okay congratulations

everyone and madam clerk call item 9 (clapping.) item 4 is a resolution approving the 7th amendment to the aefrmd security serviced for the, llc to increase the amount of contract not to exceed $35.9 million and extending the contract. >> thank you, chairman and members of the committee director of security investigations and enforcement at the mta i'm here today as a followup as a appearance we recorded that 50ur7bd international the intended armed and unarmed security withdrew their bid school district the agency rejected all bids it's our request for parole the rfp

the cypress not to exceed 6 months we respectfully request the committee recommend the extension to the full board of supervisors in the additional funding of $3 million fizzing. >> just out of curiosity was cypress the other bidder. >> yes. mr. chairman. >> colleagues any questions mr. rose your report. >> yes. on page 22 of our report we state it sfmta's xoins contract with cypress exceeded $92 million for approximately 6 point - $5.4 million table 3 on page 23 of our report shows the

actual and projected expenditures totally $83 million plus to be paid september 2014 and on page 23 of our report bones your analysis the request for an immediately not to exceed $3 million to cover the six months extension of cypress contract appears to be reasonable we recommend you paragraph the proposed resolution. >> thank you, mr. rose colleagues, any questions we'll open this up for public comment seeing none, public comment is closed. . >> motion to send this item forward objection. >> madam clerk madam clerk, any other business before this committee? >> no, mr. chair. >> thank you, everyone we're adjourned