operator that blasted the hilltop so over time it is in a danger condition it has a history of known rock slides the picture on the left was dug up at the san francisco library 1449 one hundred and 50 cube yards that dropped down the picture to the right is 2 hundred cubic lots of materials that came down in a rainstorm 2012 flash-forward two years ago this is we had 2 and a half inches of rain some came in dout do you have an opinion in the size of that tackle nobody got hurt but the car is smashed up if we're lucky nobody get hurts

on the right side it is next to the condominium building and so starting from this event we did the public works did an emergency clear up took out the debris and restored the fence and embarked on an engineering study to figure out how to stabilize the hillside in general we go into the removal of the vegetation it introduces cracks and you'll have water entering the fractures and weakening the slope it is termed scaling we're putting in lot bulks and there recent rock wells their thirty foot long and an application of two levels of

wire mesh and then concrete as you can see the area of the work the coit tower on the left side you see lombard street right-of-way to the left is the rec and parked and the rhetoric is the yellow part below the building is lot 50 that's where dbi is participating on the project so the work is going on schedule and going fairly well, the contractor is removed the vegetation and what we're finding the rock is substantially more fractures on the north side where lot 5 is and he quote the contractor is saying the south of lombard and north of lombard are two different projects there's more

material that we need to remove to stabilize the hillside and because the 4i8 side is unstable if i can kind of look at the specks are actually contradiction workers that are reconcileers their tied off a rope and their 4 of them removing the rock on the hillside it is creating a situation to have to create a safe environment we're going coming to two things we get the support if dbi we estimate there is 2 hundred and 69 thousand additional scale rock so additional rock that needs to be removed another 2 hundred and 50 thousand we're estimating 5 hundred and 18 for the works and we wanted to include this

because of the team of the work so we have the contingency the basic costs we royals we need an additional 8 hundred thousand for this portion of the project that pretty much concludes our presentation. >> commissioners any questions. >> commissioner walker. >> yeah, it's pretty amazing i think quite frankly there was also another rock slide about 57 or 10 years ago. >> that's on the common building inspectors 70 years ago on telegraph hill on the broadway side actually this particular site i was in dbi in the same location this hill as

also having problems for a long issue of rock slides in this area. >> and we're taking this out of our emergency fund is that where it's coming from. >> right you know some of the fund we need to use from our resource to do some of the work. >> i think it makes sense to do it i maple that's what our emergency fund it for . >> i think we need to do it in order to insure the workers doing the work are safe. >> and i feel lucky we stopped work for the last rainstorm you know like i was when they stopped work i visited the site and see the fractures most of them coming down and the public

i think is is appropriate to protect it on the private side. >> commissioner vice president mar. >> i think we talked about this project before i don't think there's a disagreement i'm worried about contributing for money to it every item we haven't talked about our budget i know is coming up for next year we have a lot of things we haven't or maybe we've lived for but under account for such as the last agenda item we've talked about there may not be a future one the next agenda item is a seller it usually means late cost overrun i'm worried about our budget so and you know wanted to make sure that the

city departments which i'm sure dbi is contributing to so that's my only concern about the budget. >> commissioner lee. >> could you talk about what happens after the shock creek supplied is this a permanent fix or what can we look forward to what do we have to do to insure it's safety. >> the idea to stabilize the hillside so the city doesn't have to go back and take care of this issue again every time is rains director huey is correct the work started right after thanksgiving prior to the mid december storm on record as 13 inches of rain and the idea to stabilize the location of the wire mesh and going to leave the hillside in a

good condition to benefit the hillside and neighbors at&t park the hillside and stop you know prevent potential hazard in terms of damage to live or propose. >> do we inspector that. >> we had another different locations we got 311 calls to go and spicket that. >> commiserates. >> i have a question how many areas of this around town are there. >> this is unique so telegraph hill as we saw historically was a query so tenant of this there's oath one the department of public works is taking care of and dbi because of block safety lot 5 issue on this within one and commissioner vice

president mar we're contributing significantly to this as a department. >> yeah, and florida i may close out i hear commissioner what you're saying about the money i'm conscious of spending money but the train left the station there is money set aside as commissioner walker talked about and we're going to have to go back and make sure we get the money this is very expensive process there's no machines to this is done by hand their clearing this and cleaning and grubbing to get it for the tiebacks no means a cheap process i know you've interpreted you've got to remove a lot more material that's labor instiffen on the schedule if this money a authorized and

founded what do that mean for your schedule. >> on the picture north on the right and south on the left the work from south to north and toward lot 5 the contractors are not held back because they're working on the rfp side but we want to bottom this up it's not going to add time to the project but needs to be done for safety and it's the right thing to do. >> so adversities a total of 8 thousands that money you'll not be coming back. >> the other thing if there's money left over it comes back to the department of building inspection as well. >> so the funds go back into intrpg and that's managed so you

feel comfortable on this number. >> okay. >> that's important to us two thank you for your presentation. >> we've got a great understanding this is not a voting item only an information to us. >> possible action. >> well, i don't think we can take action sorry that might be my fault the way it is put together i don't believe we can take action. >> john from the city attorney's office this general item came before you as part of amending code there was legislation that went on to the board of supervisors to allow the depiction repair fund to address the costs associated with the private property owner who owns the availability lot and that particular property has inform value and so the way the code is set up the process you

can use demolition repair fund monies in the cost of the repairs would be more 50 percent of the value of the proposed the idea is that dbi would recover those costs by putting a lien on the property this property has no value so we went to the process to amend the building code for this situation to allow that fund to be tapped to pay for what otherwise would be private responsibility and then collect whatever we can collect from that private property owner likely will not be very much so that legislation has been approved to authorize whatever fund to abate the situation there was an earlier estimate of $1.8 million as dbi said the cost of the project that portion

is associated with the private property because of the conditions of telegraph hill this is a more of an informational item to bring the commission up to speed on the cost increases but the approval has been given. >> okay. so we don't - sorry so we don't have to vote on this obviously we're supportive to dbi to completing the work but not a vote just a general statement. >> thank you. >> thank you for letting us knows. >> commissioners you're moving ear head do you have a - >> i'm just curious that someone didn't have to say 8 hundred hundred thousand dollars doesn't have to be spent. >> we can if we like. >> that's why we're not voting

but supportive of this money to be spent to rad if i and correct this area in this part of town we don't have to vote that's basically, what we're saying. >> would you like to vote on it. >> maybe you can say it in a way to articulate. >> i just find it curious. >> john from the city attorney's office the reason you took an action previously in the fall because the way the charter it written a amendment to the building code to allow the fund for the work that is effected here this was an amendment to the building code the chapter says wherever the code are amended the building inspection need to hold a hearing you held

a hearing and approved the use of this fund to address the situation the earlier estimation was not accurate because of the conditions added to the cost of it so there's no new need to amend the building code again, this is brought as an informational item not no requirement that you hold a hearing no requirement that you take an action you're free to if you want but it would be purposely purposely siresy. >> my public comment on this item. >> i need a couple of hundreds myself. >> possible action on the budget of the building inspection for fiscal year 2015-

2016 and 2016-2017. >> thank you.

>> good afternoon deputy director of dbi in our packet that you received last week the proposed 2015- 2016, 2012 and i'd like to talk about the budget and some of the highlights and to kind of follow-up so let's get started first of all similar to prior years we have to submit a two year bucket we've submitted a

budget for 2015- 2016 as well as 2016-2017 and last year when we submitted our 2014-2015 budget that means the requested the proposed budget for 2015- 2016 has been approved so this first floor is improved last year by the board of supervisors backpacks that our next two years is bans the 2015- 2016 that was approved last year so and our budget guidelines they were instructed to maintain their general fund because of comfortable that prior years the general departments have to make up 20 percent so 2015- 2016 there are no reductions and in 82016-2017 on a one percent

reduction we don't receive the general funds overlay it is good citywide we're doing so well area our partner departments are not having to make cuts so specifically for your departments the department of building inspection as i mentioned earlier because we don't have a fee study we're not sure what our revenues are going to be and the special revenue department we have to make sure that we have correct revenues budget so it will be able to support ourselves so basically because of that we had to kind of estimate what we think is going to happen with the fee we have to estimate what we think about happy with the fees based on preliminary conversations we've talked about that a little bit we made an

estimate bans a 15 percent reduction that reduction will be based on 2014-2015 revenues so basically, i looked the budget revenues for 2014-2015 and took about 15 percent off that rheumatoid the in about $9.7 million reduction in revenues for the budget so i - you'll hear me as is it so difficult to budget we cannot wait we had superoto move forward and so that's why we went with that so basically based on that and also on the other hand we have been increasing our budget over the past 4 years so our budget right now is almost $73 million so based on the fact we've been increasing our budget on of the expertise time and the

unsincerity of the conversations are there that he basically decided for this proposal to basically keep the budget at the base level we'll keep it as what you approved in 2015- 2016 and that's about $73 million so if you look at the revenues the next slide which has the revenues i'm sorry - i'm - >> it's on the overhead. >> we can put it on the overhead overhead. >> where are the revenues so the next slide is the revenues i can see a little bit about the history of our revenues you see from 09 the actual revenues $41 million and 2014-2015 did actual up to 75 years a banner

year we talked about that about having 6 projects valued over $100 million in the fiscal year $336000 if you look at the proposed 2015- 2016 we shall proposed e prototyping to go down to $58 million for the charges of services that's reducing the revenue to about $58.6 million and which is about a $9.7 million resurrects in our charging facilities over the years we've had revenues but using fund balances the proposals we'll continue to use will make the difference so the next slide is expenditures in our proposal we're proposing to basically keep 2015- 2016 and 2016-2017 expenditures anothers

$72 million basically the base no major increases in the basis a there's one major reduction in 2014-2015 because there are a lot of projects in the summer we'll not have to worry about funding we've moved that funding to continuing fund to use the funding for a variety of years next slide is actual our budget or the revising condition similar to most departments the largest expenditure is from budget and as you can see we talked this the department a increasing the number of authorized position to basically to get united states to a point we can provide continue to provide quality customer service center and keep up with the booming construction our fiscal year 2015- 2016 and 2016-2017 budgets are brings our fte up to

two hundred and thirteen positions. >> are we factoring in our budget things like the buildings that are coming over from hud. >> right. >> the need for our in-law units for i mean are we fact or facts those in those are needs for there's you know not status quo. >> in this current year we've not factored that in for a variety of reasons the first is chief officer mentioned that we should keep in mind but we didn't have the details until recently what that meant we didn't put anything in the budget and although we have the budgeting authority of 3 hundred and 9 position as we mentioned 2 hundred and 60 we have vacates in our budgeting authority we

can use to kind of back filling fill some of those things seeing the presentation we'll need to talk about what does this mean gossiping in october if those are vacancy are fulfilled or if we have to look at other ways to fill them when we put the budget together we knew that some things will be coming up but we wanted to wait because of the revenue. >> yes. commissioner. >> also the issue of the fund the emergency fund we're using nearly a million dollars out of it. >> right. >> do we have included in our budget maintaining a prudent reserve of that fund. >> that's operate the repaired occasion fund as the city

attorney mentioned the budget is focusing on our annual operating fund which is our basically, the funds we get if fees that repair demolition fund is separately. >> where does the money come from do we need to replenish that so it's - >> right we're in repair of the demolition so far we're using in the current year maybe about $2 million to it seem like we've got enough funding at this time also the controller's office i mentioned earlier we have a variety of fund balances and so right now we have an unappropriated fund balance not set for a fund of $56 million so we have funding to move different things around the reason we're being convert with this budget we don't know if

$9.07 million it enough or higher and the controller's office mentioned ideally those fee studies once you change the feces it is changed four or five years so based on the controller's office presentation we'll have a little bit better information to figure out the fund balance and also take other things in consideration do we have enough resources available. >> and adjustment there. >> also the fact i think we're going to be on the hook if there's an emergency an earthquake the first responders we're going to have a lot of those things so i think as we talk about our fees we need to be realistic about this not just automatically think we're i mean there's a reason to

have the fund at dbi because we're the responsible party the one they come to write the checks for the emergencies i'm encouraging us to be realistic about it. >> not concerned about the budget or the him or her. >> the things we're obligated of we're not spending money but will happy if we have an earthquake if there's a need to keep our people on extra time if there's more of those slow down that happen all of those kinds of things we're technically on the hook for . >> right. >> so just for clarification i think i was not clear when i said we're not boy and girl conservative we're conservative buyouts 2015- 2016 right side

and truly fully to be honest we've envelope spent what we normally budget it is so normal to budget the $72 million but passed the city hirings process and a variety of other things we will will we spend $72 million at the end of fiscal year 2012 we spoent spent a lot lower it takes time to get the hirings and doing big prurpz like purchasing vehicles and e.r. mosque things for staff all those things take a while what's happening in the past we've gun or been aggressive